Australian energy company Infigen is rescheduling the timing of the delivery of up to 700MW of planned renewables capacity and postponing a final investment decision (FID) on the Flyers Creek wind farm because of the impact of the Covid-19 pandemic.
Infigen said it remains committed to the 600MW to 700MW of planned clean power projects, adding that the decision to adjust the timing is in line with its capital management strategy.
“The decision to re-accelerate the growth strategy is one that will be made when Infigen has confidence in the timeframe over which market conditions will normalise,” the company said.
It added that, in the short term, the decision minimises its exposure to wholesale electricity prices.
Infigen said it had expected to reach financial close on the up to 145MW Flyers Creek project in New South Wales by 30 June.
“The decision to defer FID is due to a range of risks that arise from the Covid-19 crisis, including risks related to financing, construction, and commissioning, through this period of economic and social disruption, along with a more subdued wholesale electricity price outlook,” it said.
The company added that consideration of the FID will be taken “as and when the market normalises”.