Australian developer Edify Energy has reached financial close on two solar-plus-storage projects in Queensland, Australia, featuring 600MW/2,400MWh of battery energy storage systems (BESS).
The Smoky Creek and Guthrie’s Gap solar power stations, located on the traditional lands of the Gaangalu Nation People in Banana Shire, will together deliver 720MWp of solar generation with the co-located BESS.
The projects are backed by a 20-year hybrid services agreement with mining company Rio Tinto, under which Rio Tinto will purchase 90% of the power and storage capacity to supply its Gladstone aluminium operations with lower-carbon energy.
Financial close was achieved with support from Edify’s shareholder, La Caisse (formerly CDPQ), and a syndicate of 14 domestic and international lenders.
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According to the group, the debt financing represents the first deployment under a greenfield renewable energy portfolio financing platform, a structure not previously seen in the Australian market that provides a foundation for scaling future project development.
The projects secured long-term revenue support under the Australian government’s Capacity Investment Scheme (CIS) Tender 4, which provides revenue underwriting to reduce financial risk for investors and accelerate deployment of renewable energy and dispatchable capacity.
In this tender, 20 projects were successful, with long-term contracts awarded for 6.6GW of renewable energy generation and 11.4GWh of energy storage.
As part of the CIS agreements, Edify has committed to supporting local communities and First Nations, alongside substantial local content requirements designed to benefit regional industry and suppliers.
Both projects will utilise DC-coupled hybrid configurations integrated with grid-forming inverters, technologies designed to enhance power network stability as ageing thermal generation retires.
Unlike AC-coupled systems, where solar PV and battery storage operate through separate inverters, DC-coupling enables direct current flow from solar modules to the battery energy storage system through DC/DC converters before final conversion to alternating current for grid connection.
This configuration allows the projects to capture solar energy that would otherwise be clipped at the inverter during periods of high generation, storing it for dispatch during peak demand or when solar output is low.
In an interview with our sister site, ESN Premium, last year, Neha Sinha, product manager for energy storage systems at Wärtsilä Energy Storage, discussed how DC-coupled hybrid systems address emerging market challenges and maximise system potential by improving operational flexibility and reducing capital costs through shared inverter infrastructure.
To read the full article, visit PV Tech.

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