Melbourne unites for renewable energy project

Some of Melbourne’s most iconic businesses, universities, cultural institutions and councils have united in a consortium to drive new investment in renewable energy.

Led by the City of Melbourne, the consortium includes the University of Melbourne, RMIT, National Australia Bank, NEXTDC, the City of Port Phillip, Moreland City Council, Federation Square, Melbourne Convention and Exhibition Centre, Citywide and Bank Australia. Together, these groups have proposed the Melbourne Renewable Energy Project, which aims to support the development of a new renewable energy plant that will supply energy to the consortium at a competitive rate.

“Our group aims to purchase 120 GWh of energy,” said Lord Mayor Robert Doyle. “That’s enough to power more than 31,000 households in Melbourne for a year.

“We expect this project will provide a major boost to employment within the renewable energy sector. Up to 140 jobs will be created in the construction phase and 12 ongoing jobs in operation and management of the plant.”

The group is preparing to go out to market, with industry briefings for the energy sector to be held on 15 December at the City of Melbourne Town Hall (registration must be submitted by 11 December). Tender documents are expected to be released in the New Year and responses will be sought from new renewable energy projects that are shovel-ready and have planning approvals in place.

The chair of the City of Melbourne’s Environment Portfolio, Cr Arron Wood, said the announcement comes a year after council launched a Request for Information process, which resulted in widespread interest from Australian and international companies operating in the wind, solar and biomass sectors.

“We have extensively tested the renewable market to gauge the viability of a group-purchasing approach, and the market has responded with a resounding ‘yes’,” Cr Wood said.

“Transitioning to a clean energy future is not only good for the environment, it’s a smart long-term business decision.

“We’re creating a blueprint to inspire other organisations who want to see more investment in renewable energy in Australia. It’s a win for regional jobs and a win for a sustainable Melbourne.”

Using a renewable source to meet the group’s energy needs will save 151,200 tonnes of carbon emissions each year, which is the same as planting more than 175,000 trees. It will also contribute to the City of Melbourne’s plans to achieve carbon neutrality by 2020, with a target to source 25% of the city’s energy from renewable sources by 2018.