In December 2017 ANZ announced its participation in a Telstra led collective to execute a renewable energy power purchase agreement (PPA) for the Murra Warra Wind Farm, located near Horsham in North-West Victoria. Coca Cola Amatil and the University of Melbourne also joined this collective.
An electricity supply contract between a renewables project and an energy buyer, a PPA typically has a long contract term of around six to 12 or more years. They require an upfront agreement on the cost of electricity and/or green products for the life of the contract.
As a result, PPAs can generate substantial energy cost savings while delivering new and additional renewable energy onto the grid.
“As well as reducing energy costs, the project will provide significant environmental benefits and substantial support to the local community and regional economy, ” said RES Australia CEO Matt Rebbeck the PPA project developer and operator.
Stage one of the project is currently under construction and due for completion in early 2019. Once both stages are complete the wind farm will have 429 megawatts of capacity, making it larger than any wind farm currently operating in the Southern Hemisphere.
Entering into this PPA is one of the ways ANZ is supporting the transition to a low carbon economy.