The City of Newcastle flicked the switch on its new five-megawatt solar farm on Wednesday, which will save Council (and ratepayers) millions of dollars.
Joining other solar power systems on Council buildings that are producing approximately 803 megawatt-hours of clean electricity per year, Summerhill Solar Farm consists of 14,500 solar panels that will generate an estimated 7,500 MWh annually. The facility is expected to save ratepayers around $9 million over its 25-year operational lifespan.
The $8 million solar farm received financial support in the form of a $6.5 million loan from Australia’s Clean Energy Finance Corporation and a $1 million grant from the NSW Government’s Environmental Trust through its Waste Less, Recycle More Initiative.
From Coal, To Garbage, To Clean Energy
The solar farm was constructed on an eight-hectare capped landfill cell at Summerhill Waste Management Centre1 . The area was also previously a coal mine (Wallsend Borehole Colliery), so given its history and contamination, it’s not the type of place you’d want to build houses or graze animals on – or do a lot of other stuff.
Next Step – 100% Renewables From 2020
While Summerhill Solar Farm will generate enough electricity to run the equivalent of the City of Newcastle’s facilities during the day, Council hasn’t stopped there.
From January 1 next year, the City of Newcastle will be powered by 100% renewables for its electricity needs as a result of a purchase-power agreement (PPA) to source electricity from a wind farm. In October this year, Council signed a 10 year agreement with energy retailer Flow Power for output from Sapphire Wind Farm, which is situated around 400 kilometres north of Newcastle; near Glen Innes.
“The solar and wind farm combination will mean enough clean energy will be put into the grid to power every sportsground floodlight, local library, park BBQ and every other facility the City operates,” said Deputy Lord Mayor Declan Clausen.
Earlier this week, the City’s solar energy and other environmental efforts were recognised in Local Government NSW’s (LGNSW’s) Excellence in the Environment Awards, with Council taking out the leading prize.
“The City of Newcastle is an outstanding example of the environmental leadership councils provide, implementing a whole-of-council sustainability framework based on leading-edge United Nations’ sustainable development goals,” said LGNSW President Linda Scott.
Footnotes
- A new $6 million resource recovery facility at Summerhill was also opened on Wednesday ↩
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It saves $9 million over 25 years, and it cost $8 million upfront?
Was there a competitive tender process?
I think they’re doing it wrong.
I haven’t looked at their figures, but that $9 million might be after the solar farm is paid off. The average wholesale electricity spot price is almost 9 cents in NSW this year. If they get that the electricity produced in the first year will be worth about $675,000.