From pv journal Australia

Australian Federal Energy Minister Chris Bowen has confirmed that greater than 40 GW of variable renewables tasks have been registered within the first nationwide Capacity Investment Scheme (CIS) tender aimed toward including new dispatchable renewable capability to assist the clear transition. of vitality in Australia.

“The first public sale of the Capacity Investment Scheme that can assist 6 GW of latest energy has acquired greater than 40 GW of challenge registrations,” Bowen mentioned in an e mail shared with pv journal, famous that the response confirmed nice investor confidence within the CIS framework designed so as to add new dispatchable renewable capability and guarantee reliability in Australia’s unstable vitality market. “There is a robust pipeline of renewables able to go along with the suitable coverage settings.”

Under the CIS, the federal government will run six-monthly aggressive tenders till 2027. The purpose is to offer a further 9 GW of dispatchable capability and 23 GW of variable capability by 2030 to fulfill expectations reliability gaps as growing older coal energy stations exit the system.

Successful tasks will probably be supplied a capability funding scheme settlement (CISA) the place the income flooring and ceiling are agreed upon by the Commonwealth. If a challenge’s earnings falls beneath an agreed flooring, CISA will present earnings assist. In flip, if income exceeds the agreed ceiling, CISA can even require tasks to pay a share of income to the Australian authorities.

The Australian authorities says it is going to present a long-term earnings security web that reduces monetary dangers for traders and encourages extra funding when and the place it’s wanted.

Registrations for the primary tender closed on 19 June 2024 and challenge bids are scheduled to shut on 1 July 2024. Successful bids are anticipated to be introduced in December 2024.

CIS Tender 1 – Generation of NEM, seeks to ship 6 GW of renewable electrical era all through the National Electricity Market (NEM).

At least 2.2 GW of the 6 GW generated via the nationwide tender will probably be allotted to New South Wales, whereas Victoria is assured a minimum of 1.4 GW, and Tasmania and South Australia are allotted 300 MW every. The remaining 1.8 GW of renewable capability will probably be allotted to tasks in NEM jurisdictions primarily based on a benefit evaluation of the tasks.

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