INDUSTRY DEVELOPMENT AND JOB CREATION IN AUSTRALIA
INDUSTRY DEVELOPMENT AND JOB CREATION
INDUSTRY DEVELOPMENT AND JOB CREATION IN AUSTRALIA
First Solar, AGL Energy Limited (AGL), the Australian Renewable Energy Agency (ARENA) and the New South Wales (NSW) Government are supporting the delivery of Australia’s largest utility-scale solar farms to date. Located in NSW, the Nyngan and Broken Hill solar projects have a combined capacity of 155 MW (AC). Together, they will generate 360,000 megawatt hours of electricity each year, sufficient to meet the needs of over 50,000 average homes in NSW.
The projects represent a total investment of $440 million, supported by $166.7 million of ARENA funding and an additional $64.9 million in funding from the NSW Government.
The scale and footprint of these projects demonstrate that utility-scale solar is a proven, bankable source of power generation in Australia today.
Expected to provide significant value to the region with up to 450 direct construction jobs, the projects will also offer scope to develop regional skills and create more sustainable employment. The projects’ impact on regional development is highlighted in the following ways:
• On-site jobs involved in the delivery of the projects
• Off-site jobs involved in the supply of materials for the projects
• Off-site jobs involved in the design, management and support of the projects
investment
$440
are expected to be provided in NSW
450 JOBSIN CONSTRUCTION
56.3%LOCAL PROCUREMENT
INDUSTRY DEVELOPMENT AND JOB CREATION
PROJECT OVERVIEW
KEY STATISTICS
Capacity/Generation: Nyngan Broken Hill
MW (AC) 102 53
Annual GWh (at plant boundary) 233.4 126
AC Capacity factor (at plant boundary) 26% 27%
Construction:
Scheduled construction start Jan 2014 July 2014
Scheduled construction end June 2015 Nov 2015
Peak Direct construction jobs created 300 150
Design Details:
Site area (ha) 460 200
Solar Field area (ha) 250 140
Number of modules (approx) 1,350,000 650,000
Number of posts (approx) 150,000 75,000
Number of inverters 154 80
Number of strings 105,000 55,000
Environmental Benefits:
Equivalent NSW homes powered @ 7 MWh/yr 33,300 17,000
Equivalent cars off the street 53,000 29,000
Nyngan
Owner: AGL EnergyEPC Contractor: First Solar (Australia) Pty LtdSize: 102MW (AC)Estimated Completion Date: Mid 2015Type: Ground MountOutput: ~233GWh per yearModule Quantity: Over 1.3 million*Based on national average data for Australian grid electricity and car emissions.
Broken Hill
Owner: AGL EnergyEPC Contractor: First Solar (Australia) Pty LtdSize: 53MW (AC)Estimated Completion Date: Late 2015Type: Ground MountOutput: ~126GWh per yearModule Quantity: Over 650,000*Based on national average data for Australian grid electricity and car emissions.
PROJECT DETAILS
Project Construction Jobs (500)
Nyngan (300)
Broken Hill (150)
UQ Gatton (50)
Offsite Jobs (162+)
First Solar Corporate (25)
First Solar O&M (2)
Suppliers (135+)
Jobs Supporting Project Sites (34)
First Solar O&M (4)
Accomodation (10)
Transportation Services (10)
Catering (10)
FS CORPORATE
BROKEN HILLNYNGAN
GATTON
SMAAMPCONTROL
PRYSMIAN
IXL SOLAR
WILSON TRANSFORMER
WILSON TRANSFORMER
COVENTRY FASTENERS
ABB
MAYFIELD INDUSTRIES
IXL SOLAR
FS O&M
BLUESCOPE
DELTAFLEX
HOFMANN ENGINEERING
INDUSTRY DEVELOPMENT AND JOB CREATION
Solar Plant Component Procurement Item Construction Activity
Site Establishment Offices, Fencing, Utilities Civil Works, Delivery/Installation
Solar Modules Modules Module Installation
Mounting Structures Posts, Tilt Brackets, Tables Post/Structure Installation
DC Electrical Combiner Boxes, DC Cable Installation, Connection, Testing
Power Conversion Inverter, Transformer, Skid Delivery, Connection, Testing
AC Electrical Switchgear, AC Cable Delivery, Connection, Testing
Commissioning and Operation Spare Parts Testing, Analysis, Maintenance
SITE PREPARATION
SITE GEOTECH AND SURVEY
POST INSTALLATION
AC TRENCHING
UNDERGROUND CABLE INSTALLATION
PCS FOUNDATIONS
TILT BRACKET INSTALLATION
FOLDING TABLE INSTALLATION
MODULE INSTALL AND STRING IN SERIES
DC WIRING AND COMBINER BOX
PCS
PVCS
PV SUBSTATION
PLANT TESTING AND COMMISSIONING
COMPLETE
CONSTRUCTION OF A UTILITY-SCALE SOLAR FARM
Courtesy of: Clean Energy Council
INDUSTRY DEVELOPMENT AND JOB CREATION
OVERVIEW SOLAR PLANT SUPPLY CHAIN OPPORTUNITIES
Location Geelong, VIC (Head Office & Manufacturing), Adelaide, SA (Manufacturing)
Employees 200+
Sector focus Automotive
Solar Component
Tables
Solar-Related Jobs
40 (at peak)
Total Investment
$25-30M
Recent Events
Historically dependant on the local automotive industry to support its steel fabrication business, IXL is opening a new manufacturing facility in Adelaide in April 2014 that will produce and supply structural components for the solar projects.
IXL GROUP COMPANY PROFILE
Location Melbourne, VIC (Head Office), Wodonga, VIC (Manufacturing)
Employees 550
Sector focus Utilities
Solar Component
Transformers
Solar-Related Jobs
~65
Total Investment
$9-10M
Recent Events
With an increase in off-shore competition, Wilson Transformer has embarked on a strategy to demonstrate the benefit and value of maintaining local expertise. Despite many low-cost global competitors, its bid for the Nyngan and Broken Hill work was chosen on merit based on its competitive costs and high quality.
WILSON TRANSFORMER COMPANY PROFILE
Jon Retford, General Manager Distribution Business Unit, Wilson Transformer
Claude Dagescy, General Manager IXL Solar
First Solar is committed to supporting Australian manufacturers and our first preference is to source materials within Australia whenever it is viable and appropriate to do so. Local procurement accounts for 56.3% of total procurement spending on the Nyngan and Broken Hill projects, with over $66 million spent on local equipment for both projects.
“Our contract providing transformers and switchgear to the Nyngan and Broken Hill solar projects represents a significant milestone for our business and a real boost to our manufacturing facility in Albury-Wodonga. As an Australian owned company with over 550 employees, opportunities like this highlight the strength of Australian manufacturing in an increasingly competitive marketplace”
“As an Australian owned company that has been based in Geelong for over 150 years, we have had to explore new business opportunities as local automotive manufacturing declines. Making mounting structures for First Solar has been a natural extension for our business, and we believe that Australian-made mounting systems can be more than competitive with imports.”
BREAKDOWN OF LOCAL EQUIPMENT PROCURED
Cables/Miscellanous
Power conversion/Switch gear
Mounting structures
46.2%
46.2%
7.6%
International Procurement
Local Procurement
43.7%
56.3%
LOCAL VERSUS INTERNATIONAL PROCUREMENT SPENDING
Cables/Miscellanous
Power conversion/Switch gear
Mounting structures
46.2%
46.2%
7.6%
International Procurement
Local Procurement
43.7%
56.3%
Cables/Miscellanous
Power conversion/Switch gear
Mounting structures
46.2%
46.2%
7.6%
International Procurement
Local Procurement
43.7%
56.3%
Cables/Miscellanous
Power conversion/Switch gear
Mounting structures
46.2%
46.2%
7.6%
International Procurement
Local Procurement
43.7%
56.3%*Excludes solar panel supply
Courtesy of: Clean Energy Council
INDUSTRY DEVELOPMENT AND JOB CREATIONINDUSTRY DEVELOPMENT AND JOB CREATION
OVERVIEW SOLAR FARM CONTRACTING OPPORTUNITIES The total value of local subcontractor procurement for services provided on the Nyngan and Broken Hill projects is over $76 million. Procurement of local services will result in peak employment of over 450 construction jobs across the two sites.
BREAKDOWN OF LOCAL SUBCONTRACTOR SERVICES PROCURED
WBHO CIVIL AND PROBUILD CIVIL COMPANY PROFILES
WBHO CIVIL PROBUILD CIVIL
Location Subiaco, WA Bowen Hills, QLD
Employees 500+ 150+
Sector Focus Civil construction Civil infrastructure
Solar Component Fencing and Civil Site Establishment, Structural Works (post installation), and Balance of Scope Electrical
Solar-Related Jobs 100 local job opportunities in addition to subcontract opportunities for local companies
Total Investment $50-60M
Recent Events In 2012, WBHO Civil partnered with First Solar on the 10 MW Greenough River Solar Farm. The projects at Nyngan and Broken Hill allow WBHO Civil to continue this partnership with First Solar as it expands the company footprint into NSW.
Probuild Civil has a strong reputation in the civil construction industry for specialising in the high quality construction of roads, bridges, earthworks, concrete structures and boutique projects. Probuild Civil is now expanding into different markets, such as solar projects, and partnering with reputable organisations to deliver successful outcomes.
Electrical
Structural
Civil
Services
Equipment
Pre-mobilisation
Design and Engineering
49.2%
12.5%
7.9%
11.8%
9.9%
1.0%
7.7%
Electrical
Structural
Civil
Services
Equipment
Pre-mobilisation
Design and Engineering
49.2%
12.5%
7.9%
11.8%
9.9%
1.0%
7.7%
Electrical
Structural
Civil
Services
Equipment
Pre-mobilisation
Design and Engineering
49.2%
12.5%
7.9%
11.8%
9.9%
1.0%
7.7%
“Our business has traditionally been focused on civil construction supporting the mining and resources sector. Working with First Solar has given our employees the opportunity to understand the challenges of constructing a utility scale solar farm and reduce cost and risk incrementally from project to project. Projects like the ones at Nyngan and Broken Hill mean a lot to the communities and provide long term infrastructure and employment opportunities for remote and regional Australia.”
Will Grobler, Managing Director WBHO Civil
Courtesy of: Clean Energy Council
PROJECT PARTNERS
First Solar (Australia) PTY LTD (ABN 66 141 686 946)
Level 3, 16 Spring Street Sydney, NSW 2000
Australia +61 2 9002 7700
WWW.FIRSTSOLAR.COM
AUSTRALIAN RENEWABLE ENERGY AGENCY (ARENA) The projects will be delivered with the support of funding from the Commonwealth Government through the Australian Renewable Energy Agency (ARENA).
ARENA was established by the Australian Government as an independent authority to make renewable energy technologies more affordable and increase the amount of renewable energy used in Australia. ARENA is funded through to 2022 to invest in renewable energy projects, support research and development activities and increase industry and community knowledge about renewable energy.
For more information about ARENA, please visit: arena.gov.au
NEW SOUTH WALES GOVERNMENTThe projects will be delivered with the support of funding from the New South Wales Government.
The NSW Government has developed the Renewable Energy Action Plan to guide NSW’s renewable energy development and to support the national target of 20% renewable energy by 2020.
For more information about the NSW Government, please visit: www.nsw.gov.au
FIRST SOLAR (AUSTRALIA) PTY LTD First Solar has been engaged by AGL Energy Limited to build both the Nyngan and Broken Hill solar projects. First Solar will provide engineering, procurement and construction services for both sites, using its advanced thin-film photovoltaic (PV) modules.
First Solar is a leading global provider of comprehensive photovoltaic (PV) solar energy solutions. Our vertically integrated power plant offerings diversify the energy portfolio and reduce the impact of fuel-price volatility while delivering an economically attractive alternative or complement to fossil fuel electricity generation. By integrating technologies and expertise across the entire solar value chain, First Solar delivers bankable PV energy solutions that can maximize the value of our customers’ PV investment while minimizing their risk. With over 8 gigawatts installed worldwide, First Solar has developed, financed, engineered, constructed, and operated some of the world’s largest and most successful PV power plants in existence, establishing the company as the partner of choice for customers globally.
First Solar will also maintain both projects for AGL for five years after commercial operation starts.
For more information about First Solar, please visit: www.firstsolar.com
AGL ENERGY LIMITED AGL Energy Limited is developing the Nyngan and Broken Hill projects as part of, and with support from, the Australian Renewable Energy Agency (ARENA) and the NSW Government.
Drawing on over 175 years of experience, AGL is Australia’s leading renewable energy company and largest private owner, operator and developer of renewable generation assets. The development of this solar project demonstrates AGL’s commitment to renewable energy and is a natural next step for AGL to build on its strong track record of wind, hydro and biomass renewable generation assets.
AGL is committed to ensuring that all of its projects are delivered in a safe, sustainable and professional manner and that all feedback from interested stakeholders is addressed in a timely and effective way.
For more information about AGL Energy, please visit: www.agl.com.au
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