Category: ZEN Energy Updates

ZEN Energy (ZEN) continues to grow its renewable energy portfolio with the second offtake agreement finalised in as many months.

The 10-year deal with ACCIONA Energía’s Waubra Wind Farm will provide ZEN with an estimated 200,000MWh of 100% renewable energy per year that will support the continued growth of the business and help to deliver on its mission to lead communities into the zero-carbon world and accelerate Australia’s path to a renewable energy superpower.

Located 35 km northwest of Ballarat in Victoria, the Waubra Wind Farm produces enough electricity to power the equivalent of 138,000 homes, with ZEN taking 34% of the total generation. Since completing Waubra in 2009, ACCIONA Energía has contributed almost $10 million to the local community.

“ZEN is accelerating its renewable energy portfolio strategy. The signing of this offtake agreement with Waubra Wind Farm, along with the recent offtake from Tailem Bend 2 Solar Farm, is just the beginning of our contribution to the energy transition,” said Anthony Garnaut, CEO of ZEN Energy. “We are focused on structuring our deals in an innovative and sustainable manner, that complements the needs of our customers and energy market participants. This is another industry-first deal structure for ZEN and we want to acknowledge the flexibility and creativity of the ACCIONA Energía team.”

“We have a long-standing partnership with the team at ACCIONA Energía and this new agreement with the Waubra Wind Farm is a testament to the strong relationships we seek to build with our supply partners.”

ACCIONA Energía Director of Energy Markets and Policy Melanie Sutton, said, “Our mission to build a better planet now is shared with ZEN Energy. They are as motivated as we are to create sustainable solutions for their customers and we’re excited to see our partnership with them grow with the Waubra Wind Farm agreement.”

“We know that large-scale renewables can confidently supply the power required for commercial customers. Today is another example of how a major business can supply green renewable energy to reduce power bills,” said Ms Sutton.

In July, ZEN Energy announced an offtake agreement with the soon-to-be operational, Tailem Bend 2 Solar Farm and with this Waubra Wind Farm, ZEN now sources renewable electricity from 17 different solar and wind assets around Australia.

About ACCIONA Energía

ACCIONA Energía is the largest 100% renewable energy company with no fossil legacy in the world. It has 11.2GW of renewable energy and commercial operations in 20 countries. With 30 years of experience, ACCIONA Energía offers a complete portfolio of tailor-made energy solutions for its corporate and institutional clients to meet their decarbonization goals. ACCIONA Energía is committed to the highest environmental, social and corporate governance (ESG) standards. ACCIONA S.A., a leading global company in the provision of regenerative solutions for a decarbonized economy, is the reference shareholder of ACCIONA Energía. www.acciona-energia.com

Underpinned by the long-term commitment from the South Australian Chamber of Mines and Energy (SACOME) Joint Electricity Purchasing Group, ZEN Energy has penned an innovative agreement with Vena Energy to purchase renewable energy from the 87 MW Tailem Bend 2 Solar Project. This new solar energy project will provide more sustainable energy into the South Australian grid and is another significant step to achieving South Australia’s net zero by 2030 goal, benefitting South Australian businesses and the wider community.

The Tailem Bend 2 Project is located approximately 90km southeast of Adelaide.

The energy from this project will support ZEN’s South Australian customers including the SACOME Joint Electricity Purchasing Group. SACOME supported the project through their commitment to a long-term contract with ZEN, commencing in 2019. Customers under the SACOME joint electricity purchasing group contract include the majority of local Foodland and IGA supermarkets, Viterra, Central Irrigation Trust, Adchem and Hillgrove Resources.

”ZEN Energy’s agreement with Vena Energy to purchase renewable energy from the Tailem Bend 2 Solar Project fulfils the intent of SACOME’s Joint Electricity Purchasing Group to underpin new electricity generation in South Australia,” said SACOME CEO, Rebecca Knol.

“This once again highlights the benefits of collaboration across sectors, providing affordable power to some of South Australia’s largest energy users while supporting the development of new renewable power generation for the collective benefit of the state.”

Tailem Bend 2 Solar Project is being constructed adjacent to the Tailem Bend 1 Solar Project, which commenced operation in May 2019 and is expected to achieve commercial operation in the first half of 2023. Once operational, It will be capable of supplying the equivalent of approximately 35,000 homes with clean energy annually, reducing more than 207,000 tons of CO 2 Greenhouse Gas Emissions.

“The energy transition is about building more renewable energy and storage assets, like Tailem Bend 2,” said ZEN Energy CEO, Anthony Garnaut.

Anthony continued, “there’s a chain of commitments that’s needed to make this happen. The members of the SACOME Joint Electricity Purchasing Group engaged with ZEN on a long-term basis, allowing us to, in turn, secure the output of this new generation asset on a long-term basis, creating revenue certainty for new capital deployment into new, long-term assets for Australia.”

“We are constantly looking to innovate how we engage with our partners. Tailem Bend 2 is underpinned by an innovative power purchase agreement which ultimately brings benefits to all involved.”

“We deeply value our partnership with Vena Energy, the developer of the project. Together, we have crafted a project model that will underpin our ongoing work with Vena Energy and others, and we are proud to be their partner. This is the first of several agreements that ZEN is seeking to finalise in the next 12-18 months as we pursue our mission to lead communities into the zero-carbon world.”

About the SACOME Joint Electricity Purchasing Group

The SACOME Joint Electricity Purchasing Group brings together manufacturing, retail, agriculture, and resources companies in a landmark bulk electricity deal to deliver affordable and reliable power supply to some of South Australia’s largest energy uses. The current eight-year supply contract was awarded to ZEN Energy in June 2018 to significantly bring down the cost of electricity for its members and to support the development of new renewable generation within South Australia. The ACCC approved buying group originally arose out of discussions amongst its members on how to respond to rising electricity costs after the close of the Northern Power Station. By aggregating load, ZEN was able to back demand for new renewable power generation and offer lower pricing to the group’s members.

About Vena Energy

Vena Energy is a leading renewable energy company in the Asia-Pacific region that owns, develops, constructs, operates, manages, and commercialises a renewable energy portfolio totalling 18 GW (1) of solar, onshore wind, offshore wind, battery storage, green hydrogen, and hybrid renewable energy projects. Vena Energy has a fully integrated business model and an extensive local presence throughout the region with 67 corporate and site offices in Australia, India, Indonesia, Japan, Philippines, Singapore, South Korea, Taiwan, and Thailand. Vena Energy is committed to engaging with local communities throughout the lifecycle of its portfolio projects, as well as incorporating internationally recognized Environmental, Social, and Governance (ESG) standards into its strategy and business practices. For more information, please visit www.venaenergy.com.

1. Includes all assets in operation, construction, contracted, and development stages.

The ZEN team is so proud to share this major piece of news! Together with the Southern Sydney Regional Organisation of Councils (SSROC), we are delivering one of the largest renewable energy contracts for local governments anywhere in Australia.

Now, landmarks in the Bayside, Burwood, Campbelltown, Canada Bay, Canterbury-Bankstown, Fairfield, Georges River, Hornsby, Hunters Hill, Inner West, Ku-ring-gai, Lane Cove, Liverpool, Mosman, North Sydney, Parramatta, Port Stephens, Randwick, Ryde, Singleton, Sutherland, Tamworth, Waverley, Willoughby and Woollahra councils will be receiving electricity from ZEN with 19 of these councils opting for 100% renewable!

So that’s 214 gigawatt hours of electricity per year to over 300 major council facilities, 3,000 smaller sites and more than 210,000 streetlights. These councils serve over 3 million people, which is almost 38% of NSW population.

While 19 councils are using 100% renewable energy, 83% of the total electricity will be supplied from NSW solar farms.

ZEN Energy and SA Government have signed a new energy supply contract to help power COVID recovery in the state, creating 810 construction jobs and supplying cleaner, cheaper and more secure electricity.

In a decade-long deal with the South Australian Government, the contract includes the construction of South Australia’s largest solar farm and the state’s 5th grid-scale battery.

ZEN Energy won the new contract after a rigorous process to supply power to the State Government through 2030. Selecting ZEN Energy is an example of the Government’s commitment to a uniquely South Australian organisation. ZEN Energy will supply the state with highly competitive renewable energy solutions.

“ZEN Energy is pleased to be able to continue to build a long term relationship with the SA Government to supply its electricity needs across all government sites. This recognises ZEN Energy’s high-quality customer service approach and innovative energy solutions.

This is a landmark contract for ZEN Energy’s business, building on other recent announcements for long term renewable energy supply contracts and reinforcing the ability for renewable energy to supply customers with clean, affordable energy solutions.

This contract continues ZEN Energy’s growth with more jobs at its head office in Adelaide.” said Ross Garnaut, Director ZEN Energy

In a statement from Minister for Energy and Mining Dan van Holst Pellekaan said, “The Marshall Government has used its significant purchasing power to secure the construction of a 280 MW solar farm at Cultana near Whyalla and 100 MW battery near Port Augusta – both projects will be delivered in partnership with SIMEC Energy Australia.”

This is an excellent outcome for taxpayers, for jobs, for power prices and grid security.

The Marshall Government’s energy policies are making these long-proposed projects a reality.

It’s a big solar farm and battery, with significant savings for taxpayers, creating a considerable amount of jobs.

The $660 million investment to deliver these two projects includes creating up to 810 new jobs at the peak of the construction phase and around $40 million in local goods and services.

These projects will be a coup for the communities of the Upper Spencer Gulf.

This new contract will allow ZEN Energy to grow its business customer base, enter the residential, retail market, and improve the grid’s security and reliability with the state’s 5th grid-scale battery.

Once operational, these new assets will have a positive impact on competition in South Australia and deliver emissions reductions and price reductions, saving SA households $10 on average on their electricity bills, on top of the $158 average reduction in our first two years in Government.”

The 10-year agreement commences on the 1st of November and will result in around $12.8 million in savings for taxpayers compared to the previous power arrangements.