Rest backs $300m solar farm and battery project

Octopus Australia has announced the financial closing and the commencement of construction of its 80mw Fulham solar farm and 128 megawatt-hour (mwh) battery project, backed by key investors including Rest.

This comes as the majority of Rest members are increasingly expecting the super fund to "invest responsibly and think about sustainability."

The Fulham project was developed by Octopus in-house technology to develop the innovative hybrid solar and battery storage design, which will enhance local grid reliability while supporting Victoria's clean energy transition, Octopus Australia said.

It will be one of the first DC-coupled solar and battery hybrid assets in Australia and adds to Octopus' renewable portfolio exceeding $11 billion across wind, battery storage and solar assets on the east coast.

Those include the constructions of $850 million Blind Creek Solar Farm and Battery in New South Wales and the $800 million standalone Blackstone Battery in Queensland.

Rest interim co-chief investment officer Simon Esposito said its members will benefit from the "attractive return prospects" from the project.

"Octopus' focus on renewables offers a fantastic opportunity for Rest's two million members to benefit from the ongoing decarbonisation of the economy. We're excited to reach this milestone and see construction get underway," Esposito said.

Octopus co-managing director of renewables Australia Sonia Teitel added the Fulham project will help move forth the nation's energy transition.

"This project demonstrates our ability to bring together institutional capital, government support, and leading-edge technology to create renewable assets that provide long-term benefits to our communities and investors," Teitel said.

"I'm incredibly proud of our team's efforts in bringing the project through development, and we look forward to beginning construction."

It also attracted commitments from the likes of the Clean Energy Finance Corporation (CEFC) and clients of Westpac Private Bank, backed by a power purchase agreement (PPA) with the Victorian state government.

CEFC chief investment officer, renewables and sustainable finance Monique Miller said: "The CEFC is proud to support the continued growth of new clean generation along with the storage, transmission and infrastructure that is crucial to Australia's energy grid."

"Fulham will be one of the first of these configurations in Australia which allows the battery to charge directly from the solar farm when sunshine is plentiful and supply this electricity to the grid when it is needed to power homes and businesses.

"The Fulham solar farm will provide clean energy and construction jobs to the Gippsland region to help decarbonise the energy sector and demonstrates the key role regional Australia has to play in powering towards a low emissions future."

To mark the occasion, Octopus Australia hosted a Sod Turning event at the site on Wednesday, attended by the Minister for Energy and Resources Lily D'Amborsio along with key project stakeholders.