BIZ NEWS: Renewables are at the front when it comes to business news for this week, with good news for solar and hydrogen, and criticisms mounting on the Albanese government to cut subsidies for fossil fuel companies.
In acquisitions news in infrastructure, independent investment firm Whiteoak has acquired a majority stake in infrastructructure the MacDonald Group for an undisclosed sum, which comprises independent engineering consulting and software firms MIEngineers and Benchmark Estimating Software in Australia and sister company Benchmark Estimating Ltd in the UK.
There will be no change in leadership as the chief executive of MIEngineers in Australia and Benchmark Estimating Ltd in the UK will remain Amy-Ruth MacDonald and Frank Prestipino will continue as chief executive of Benchmark Estimating Software in Australia and the UK.
In the theme of solar, Haystacks Solar Garden – Australia’s first solar garden – is expanding from NSW into Victoria, ACT, South Australia, Tasmania and south-east Queensland.
Chair Kristy Walters, and director of the Community Power Agency was excited to welcome what she calls “solar gardeners” to join the co-operative, explaining that it functions as an alternative to rooftop solar that many Australians are unable to access due to living in an apartment complex or renting.
“If you can install rooftop solar, that will always be the best option financially. If you can’t, either because you rent, live in an apartment or some other reason, buying a solar garden plot is the next best thing. It’s better in many ways because it’s hassle free – no maintenance or insurance costs to worry about, with the added bonus that a solar garden plot moves with you,” Walters explained.
“After purchasing their plot, solar gardeners stand to receive estimated savings of $505 on their electricity bill each year for a decade, making a difference to household budgets at a time when cost of living expenses keep rising.”
The project is funded by the NSW government under the Regional Community Energy Fund in association with Community Power Agency, Pingala, and Komo Energy, with support from other organisations.
The aim is to build a 1.5 megawatt solar array across about 5 hectares at a farming property in Grong Grong, one hour west of Wagga Wagga. This will help reduce emissions by 3100 tonnes each year.
In more trends away from fossil fuels, 350.org Australia and Lock the Gate are calling on the government to cut Morrison Government-era gas subsidies in the October budget after new data revealed nearly $2 billion worth of projects were not formally committed.
Projects with uncommitted funds include:
- $200 million for a petrochemical precinct in Darwin
- $263.7 million for Carbon Capture and Storage projects which would directly benefit gas companies who use CCS to greenwash
- $60 million for the Cooper and Adavale Basins which have gas with very high carbon dioxide content
350 campaigner Shani Tager called on the gas subsidies to be scrapped, stating: “There’s no justification to continue to give public money to companies that are damaging the climate while making eye watering profits.
“The Albanese government has an opportunity to put an end to this wasteful spending and make sure no further handouts are given to gas billionaires.”
In the renewable energy space, a $47.5 million grant has been conditionally approved by the government’s Australian Renewable Energy Agency (ARENA) towards Australia’s first large scale hydrogen plant to be built in Pilbara in Western Australia.
ENGIE’s $87 million renewable hydrogen and ammonia project includes a 10 megawatt electrolyser to produce renewable hydrogen, 18 megawatt solar PV system to power the electrolyser and 8 megawatt / 5 megawatt per hour lithium-ion battery for firming, and will supply hydrogen and electricity to Yara Pilbara Fertilisers at its neighbouring liquid ammonia facility.
Once completed, the project will be Australia’s largest electrolyser, capable of producing up to 640 tonnes of renewable hydrogen a year.
The project is expected to reach financial close by the end of September. Construction will commence in October and be completed by early 2024.
In the construction space, Procore Technologies together with FMI Capital Advisors has released the results of its State of Global Preconstruction Report, finding that with construction workers and civil engineers identified as two of the top 10 jobs in highest demand over the next five years, building companies are having to find ways to do more with less.
Worryingly, the results of their report show that among 979 construction industry stakeholders surveyed worldwide, less than one in five conduct above-average preconstruction, which is concerning since contractors with above-average preconstruction processes cited experiencing higher client satisfaction (33 per cent) and higher profitability (52 per cent).
The good news is that in Australia and New Zealand, companies are more likely to have formal processes in place (86 per cent compared with 75 per cent in the UK and 72 per cent in the US and Canada).
And when preconstruction is done well, ANZ companies reported to achieve better performance against initial budget (36 per cent) and fewer project delays (32 per cent) as the highest benefits.
Dan Shugar, founder and chief executive of Nextracker – a leading voice in business, technology and climate policy, advancing solar and climate technology solutions – is one of the keynote presenters at the All-Energy Australia event that will take place at Melbourne Convention and Exhibition Centre (MCEC) on 26-27 October.
His company, a solar provider, has doubled its manufacturing capacity over the past year to 300 megawatts a week, equating to a carbon emissions offset of nearly 75 million metric tons, with enough capacity to power 10 million homes.
He will provide a global perspective on the critical issues facing the renewable energy industry today.