The company’s Managing Director Steve Symons said that at this stage the Musselroe Wind Farm is not progressing to full construction because of the project economics caused by a range of issues relating to the Renewable Energy Certificate system.

So-called ‘phantom credits’, which are eligible to solar hot water systems and heat pumps, have seen Renewable Energy Certificate (REC) prices fall in recent times. The current REC spot price is $35.10, according to Next Generation Energy Solutions.

Mr Symons said that Roaring 40s would like to see the current Renewable Energy Target (RET) legislation amended in order to remove the impact that solar hot water projects are having on the price of RECs.

“We are optimistic that changes in legislation at a federal level will occur to put the Musselroe project back on track,” Mr Symons said.

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Significant pre-development activities have already been undertaken on the Musselroe Wind Farm, with Roaring 40s already having spent $20 million. These activities include construction of roads, establishing hardstands, excavating turbine foundations, clearing for the control building and erecting wind monitoring masts.

Musselroe is not the only wind farm to be halted pending RET reforms. Pacific Hydro General Manager Lane Crockett has said that the progression of its Australian wind farm developments have been stalled for this same reason.

“We are working with the Federal Government to resolve issues within the RET, and unless they are fixed we are unable to move forward with any more of our projects,” Mr Crockett said.

Pacific Hydro recently opened a wind farm in South Australia, 56.7 MW Clements Gap Wind Farm.