Aula Energy has signed a long-term power purchase agreement (PPA) with Snowy Hydro for its 256 megawatt (MW) Carmody’s Hill Wind Farm in South Australia’s mid-north, bringing the project a step closer towards financial close.
Under the 15-year agreement, Snowy Hydro will contract 120 MW of the wind farm’s output, which is the equivalent to around 47 per cent of the project’s expected generation.
The deal follows a series of recent milestones for Carmody’s Hill, including the project’s successful bid into the Australian Government’s Capacity Investment Scheme (CIS) Tender 4 and the approval of its negotiated generator performance standards by ElectraNet and the Australian Energy Market Operator (AEMO).
Chad Hymas, Chief Executive Officer at Aula Energy, see the agreement highlights the importance of long-term customer partnerships in supporting the next phase of Australia’s energy transition.
“Securing this PPA with Snowy Hydro is a major step forward for Carmody’s Hill Wind Farm and for our commitment to deliver reliable, renewable energy in South Australia,” he said.
“Snowy Hydro’s leadership in the energy market reflects their position as a key customer driving change as we work towards a more sustainable energy system.”
Hymas added that Aula Energy, as a long-term owner and operator of renewable energy assets, would continue to work closely with customers as market and demand profiles evolve over time.
Dennis Barnes, Chief Executive Officer at Snowy Hydro, sees the agreement as a reinforcement of the strategic importance of South Australia in the national energy transition.
“This agreement with Aula Energy reflects our confidence in the quality and strategic importance of Carmody’s Hill Wind Farm and the South Australian market,” he said.
Barnes added that the Snowy Hydro’s portfolio of dispatchable generation and pumped hydro storage was critical to enabling higher levels of variable renewable energy on the system.
“Our unmatched mix of on-demand power and pumped hydro energy storage is what makes renewables work, enabling three times the clean wind and solar to come online,” Barnes said.
“This new contract enhances our role as an integrated generator and retailer, supporting the continued growth of Snowy’s retail business, which now serves more than 1.6 million customers.”
Located near Georgetown in South Australia’s mid-north, the Carmody’s Hill Wind Farm will comprise 42 turbines delivering up to 256 MW of capacity, supported by a new 275 kilovolt (kV) transmission line connection.
Aula Energy said the project has been shaped by extensive community consultation and is expected to deliver long-term economic and social benefits to the Georgetown, Gulnare, Caltowie, Bundaleer, Washpool, Gladstone and Nukunu communities. A dedicated community benefit fund will support local initiatives during the construction and operational phases of the project.
