The Australian Government making a $100 million investment through the Clean Energy Finance Corporation (CEFC) to support the development of up to 16 hybrid solar, battery storage, and battery retrofit projects.
The CEFC is working with Infradebt to accelerate the rollout of these projects through the Distribution Connected Accelerator Program (DCAP)—a new financing initiative aimed helping more renewable energy projects reach construction in 2027.
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The initiative will mainly support projects up to 5MW, such as smaller scale solar and battery hybrid projects, while also allowing for larger projects where appropriate.
These projects fill the gap between rooftop solar and large-scale renewable developments, helping deliver more clean, reliable, and affordable energy and make better use of existing electricity network infrastructure, allowing more renewable energy to connect faster and at lower cost.
The initiative will reduce finance barriers by providing concessional senior debt, with Infradebt selecting applicants through a competitive process.
Many smaller projects struggle to secure finance despite being technically viable because traditional project finance is often geared towards larger developments. The funding will improve access to capital, help projects get off the ground sooner, and build a stronger pipeline of renewable generation connected to local networks.
Federal Minister for Climate Change and Energy Chris Bowen said, “Australians know about rooftop solar, and they know about big solar and wind farms. This investment backs the missing middle—projects that can be built faster, connect to local networks and help deliver cheaper, cleaner electricity.
“These projects make better use of the poles and wires we’ve already got, helping bring more renewable energy online without waiting for every major transmission project to be completed.
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“This is about unlocking private investment, getting more projects built and delivering a more reliable electricity system while putting downward pressure on power bills.”
