ACEN wins Australia RE contract, gets state-backed revenue support

ACEN CORP. secured a long-term government-backed revenue support agreement for its large-scale solar and battery storage project in Australia after winning a competitive renewable energy (RE) tender, strengthening the Ayala-led company’s expansion in one of its biggest overseas markets.

The company’s Birriwa Solar and Battery project in New South Wales was selected under the seventh round of Australia’s Capacity Investment Scheme, according to Australia’s Department of Climate Change, Energy, the Environment and Water.

“Large-scale renewable energy projects such as this are critical to Australia’s transition to a clean energy future,” ACEN Australia said in a statement.

The agreement gives ACEN revenue protection for the project by providing a government safety net if earnings fall below an agreed threshold, helping reduce financial risks tied to renewable energy investments.

Under the program, revenue below a set floor is covered by the Australian government, while earnings above a ceiling are shared with the government.

The Birriwa Solar and Battery project was among 19 renewable energy projects selected under the latest Capacity Investment Scheme round that Australia said are expected to deliver 7.8 gigawatts of capacity by 2030, enough to supply about four million households.

The project will occupy about 1,440 hectares and will have 600 megawatts of solar generation capacity and 2,400 megawatt-hours of battery storage capacity.

Australia’s Independent Planning Commission approved the project for construction in August 2024.

ACEN said the facility is expected to generate enough electricity to power about 262,000 households.

Australia accounts for 28% of ACEN’s net attributable renewable energy capacity outside the Philippines.

The company operates Australian solar farms with a combined capacity of 1,042 megawatts.

ACEN has about 7 gigawatts of attributable renewable energy capacity across operational, under-construction and committed projects in the Philippines, Australia, Vietnam, India, Indonesia, Laos and the US. — Sheldeen Joy Talavera