Fotowatio Renewable Ventures (FRV) has agreed to sell 100% of the power generated from its proposed 125MW Lilyvale Solar Farm project in Australia to Ergon Energy.

The Spanish solar developer has entered into a Power Purchase Agreement (PPA) in this regard with the Queensland Government-owned electricity retailer.

Ergon Energy will also buy all large scale renewable energy certificates (LRECs) produced by the Lilyvale Solar Farm along with the electricity. The PPA will come into effect once the solar facility becomes operational by end-2018.

The agreement will last until 2030, till the termination of the Renewable Energy Target (RET) scheme.

FRV Australian managing director Cameron Garnsworthy said: “Using commercially-proven, single axis tracking technology, FRV will provide Ergon with significantly greater commercial value by maximizing output from the Lilyvale Solar Farm over longer periods in the day.

“FRV continues to demonstrate strong performance in securing long term PPAs to underpin its landmark solar power projects in Australia.”

FRV’s proposed Lilyvale solar farm which was granted development approval in September 2015, is located 50kms from Emerald in the north east direction in the Queensland Central Highlands region.

Located close to important existing network infrastructure, the Lilyvale solar farm is claimed to be ideal for connecting to the Australian electricity grid. It is likely to provide clean power to nearly 45,000 homes after commencing operations.

The PPA with the Queensland electricity retailer marks the third such agreement signed by FRV in Australia in the last 12 months. Its other PPAs in the timeframe include the agreement for the Moree Solar Farm with Origin Energy in New South Wales and for the Clare Solar Farm in North Queensland.