Capital Community Update – August
17 July 2015
We recently announced that Infigen has agreed to sell Infigen’s US wind business which comprises 1,089 megawatts in 18 wind farms in the United States. Previously we had also announced agreeing to sell our US solar development business.
This means that all of Infigen’s operating assets – 557 megawatts of wind and solar farms – as well as over a thousand megawatts of development projects are in Australia.
Infigen Energy trades on the Australian Securities Exchange under the code IFN. All company-related announcements are available at http://www.infigenenergy.com/investors/asxreleases.
If you saw media coverage regarding the Federal Government’s decision to intervene with the Clean Energy Finance Corporations (CEFC) investment mandate by issuing a directive to exclude wind and rooftop solar, you may wonder what this means to future renewable energy projects. The CEFC was set up as a ‘Green’ Investment bank with a mandate to encourage the uptake of renewable energy and clean energy initiatives. In the event that domestic banks (e.g. ANZ, CBA Westpac) were not willing to invest, the CEFC could step in to finance with more risk appetite. To date, it has been performing really well and earning a solid return for tax-payers by investing in a mix of wind, solar, wave, energy efficiency, and bio-mass projects.
After finally having the Renewable Energy Target policy certainty restored after 18 months, it is disappointing to see further market intervention and attempt to erode investor confidence in the industry. It is our view that the CEFC should not be prevented from supporting a specific technology type and should be able to fund anything that will encourage new developments of clean energy. The CEFC is legislated under their own Act of Parliament so it is unclear whether they will have to adopt the Government’s request.
Updates from our development pipepline
Although Infigen has made investments alongside the CEFC in the past, the direction from the Prime Minister does not have any material impact on the progress of Capital 2 wind farm or Capital solar farm project.
Capital Community Fund
The Capital Community Committee met for a quarterly review of sponsorship applications received by Infigen Energy on Thursday, 9 July 2015 in Bungendore. To date, the Capital Community Fund has distributed $59,560 to various community projects in Bungendore and Tarago. In the first quarterly review, the Committee received five applications in total of which it approved four applications; $9,500 is shared between:
- Tarago Sporting Association – to increase distribution of the free Tarago Times newspaper.
- Tarago Pre-School Association – to sponsor new bikes, helmets and safety vests for the kids.
- Bungendore Rodeo Association – to sponsor Bungendore Rodeo 2015.
- Bungendore Community and Sports Club – to re-establish new, family-friendly, non-gaming club which offers rooms for rent and organises activities like open air cinema nights.
The next quarterly review will take place in September 2015. If you wish to submit your application, please fill in the forms available at http://www.infigenenergy.com/capital-precinct/community-committee/forms and send to email@example.com by 31 August 2015.
Other consultation matters
The Capital Community Committee also discusses matters relevant to Infigen Energy’s operating wind farms and solar farm, as well as development projects (Capital 2 wind and Capital solar farms). The meetings provide an open forum where members of the public are invited to participate. If concerns are raised, these are addressed depending on their nature and relevance, either by escalating with the wind farm Site Manager or with senior management through a formal process. Infigen’s Complaints Handling Policy explains the formal process. A summary of it is available athttp://www.infigenenergy.com/about-us/corporate-governance/complaints-handling-policy.html).
Please contact us if you wish to become a member of the Committee or participate at the next meeting.
Run with the Wind Community Forum
Run with the Wind 2015 will be held at Woodlawn wind farm on Sunday, 11 October 2015. Infigen held a community forum on 9 July to exchange ideas for improving the event. We were pleased to see representatives of the CWA Tarago, Boro Mt Fairy RFS, and Bungendore Community and Sports Club, who gave up their time to help us out. The Facebook community is very active, so if you want to follow what’s new or chime in yourself, check out the page.
If you are a small business owner and can offer accommodation packages to runners, please get in touch with us at firstname.lastname@example.org or call (02) 8031 9900.
Energy Policy Update
In July, the senate passed an amended renewable energy target of 33,000 gigawatt hours, with the aim of restoring bipartisan support and investor confidence in Australia’s renewable energy sector. Since the amendment was passed, the Victorian Ararat wind farm has announced a contract, indicating the first shoots of a return to business for the renewable energy sector. We are actively working on progressing our development projects, with this in mind.
The Clean Energy Council estimates between 30 and 50 projects will be needed to meet the revised target by the year 2020, each of which will deliver substantial benefits to local communities through employment, community sponsorships and tourism.
If you have any questions about the Capital or Woodlawn wind farms, please don’t hesitate to get in touch with us!