Queensland’s Munna Creek Solar Farm Completes NBN Co’s Renewable Energy Goals

The Munna Creek solar farm, boasting a capacity of 120 megawatts (MW), has officially commenced operations, earning the distinction of being the final project needed for NBN Co to transition to a fully renewable electricity supply.

Owned by the Greek firm Metlen, Munna Creek is the second solar farm to declare its completion within just a week, following the announcement of Acciona’s larger 380 MW Aldoga solar farm.

Power Purchase Agreement and Capacity

Situated near Gympie, the Munna Creek solar project is contracted through a power purchase agreement (PPA) to provide NBN Co with 59 Gigawatt hours (GWh) of electricity annually, which accounts for approximately 20 per cent of the company’s total energy generation.

This marks NBN Co’s third PPA, the previous agreements being with the 90 MW West Wyalong solar farm in New South Wales— which began operations in 2023, yielding 90 GWh yearly— and the 420 MW Macarthur wind farm located in Victoria.

Renewable Energy Initiatives

With these three offtake agreements in place, NBN Co is poised to fulfil all its electricity requirements through renewable sources, as highlighted by Gavin Williams from NBN Co. He stated, “We set a target in 2021, and with the successful completion of the Munna Creek Solar Farm, we are delivering on our commitments.”

Williams further noted that the company aims to enhance its use of renewable energy and invest in energy efficiency. He added, “Expanding the use of renewable energy sources and investing in energy efficiency, including deployment of fibre, enables us to drive down our emissions and operating costs.”

Future Goals and Community Impact

NBN Co has set its sights on achieving net-zero greenhouse gas emissions across its operations and value chain by the year 2045. The Munna Creek solar farm is equipped with 255,000 solar panels and supported around 150 jobs during its construction phase.

The total electricity produced by the solar farm is anticipated to be sufficient to supply power to around 41,100 Australian households.

Corporate Partnerships and Industry Insights

In addition to NBN Co, Telstra has committed to purchasing half of Munna Creek’s output, solidifying its agreement in September 2023. Corporate power purchase agreements (PPAs) have played a critical role in fostering renewable energy initiatives, accounting for roughly one-fifth of the capacity contracted between 2017 and 2024.

However, Chris Briggs mentions that most of these agreements tend to be short-term. He points out that corporate buyers often lack the capacity to provide the extended financial backing that projects necessitate, highlighting a gap that the Nelson review on markets aims to address.