The QIC Global Infrastructure Fund (QGIF) and its managed client, the Future Fund, have acquired an Australian wind farm for around AUD450m (€318m).
The investors are partners in the AUD1bn Powering Australian Renewables Fund (PARF), which also include the country’s leading energy provider, AGL Energy Limited (AGL).
PARF aims to deliver about 1,000 MW from four large-scale projects accounting for around 10% of Australia’s renewable-energy market by 2020.
Its manager, QIC, said with the latest acquisition, the Silverton Wind Farm in New South Wales, PARF had completed three investments in its first six months and committed to a total of 355 MW of installed capacity.
Ross Israel, QIC’s head of global infrastructure, said: “When we did the partnership, we flagged that the fund would acquire at least four assets.”
Israel said the first two assets were brownfield solar farms, while the partners also identified two wind farms.
The second wind farm, in Queensland, is also a greenfield project.
It is due to be completed over the next 12-18 months.
PARF has now achieved diversity in fuel source and is on track to build capacity to produce 1,000 MW energy, he said.
Israel expects that, once PARF has secured its four assets, the fund and its partner, AGL, could look at acquiring other assets.
Israel said current political debate on renewables, resulting from controversy over a break-down in supply in South Australia, had arisen because society was making the transition away from carbon.
“The debate around renewables has arisen because various markets are struggling with the security of the supply given the transient nature of renewables,” he said.
Renewables, having to depend on either sun or wind, lack the 24/7, 365-day reliability of coal power generation.
But the world is developing new storage systems, which will be positive for renewables, he said.
With ongoing technological development, centralised energy grids are gradually being decentralised, he added.
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