Transfield Services Infrastructure Fund (TSI Fund) purchased four wind farms in December 2007, becoming Australia's second largest provider of wind energy.
The four wind farms – Windy Hill in Queensland, Toora in Victoria, and Starfish Hill and Mt Millar in South Australia – have a total capacity of 137.5 megawatts and produce more than 20 per cent of Australia's wind energy.
The wind farms add renewable energy to TSI Fund's portfolio of power stations and water treatment plants. Wind energy is the most commercially viable form of renewable energy.
Investments in renewable energy are environmentally and commercially sustainable. Australian Government renewable energy schemes allow producers of renewable energy to sell the power generated and obtain Renewable Energy Certificates (RECs). Energy retailers are required to purchase RECs to support the generation of renewable energy and achieve renewable energy targets.
In December 2007, Transfield Services purchased a portfolio of development rights for new wind farms with a potential production capacity of 1,150 megawatts of wind energy.
These projects represent strong potential growth opportunities as the Australian Government has set a target of 20 per cent renewable energy by 2020.
Transfield Services and TSI Fund are looking into the potential of each of the development sites, assessing aspects such as wind speed, location and proximity to the electricity grid.
Three projects have been identified as high priorities, one each in Western Australia, Victoria and South Australia.
Transfield Services set up TSI Fund in June 2007 to maximise growth opportunities for the services and asset ownership parts of our business.
TSI Fund is a unique infrastructure fund, as it is managed and operated by experts in long-term, sustainable asset management, development and maintenance.
TSI Fund has invested in an upgrade to the dual fired Kemerton Power Station, located near Bunbury in Western Australia.
The upgrade will increase capacity by 40 megawatts to 300 megawatts in high temperatures, providing power for an additional 10,000 households without increasing greenhouse gas emissions.
Transfield Services developed the innovative environmentally friendly solution in conjunction with our client, energy retailer Verve Energy, and is carrying out the works, which are set to be completed by June 2008.
For information on how wind farms work, see Case Study: How does a wind farm work?.