Genex Power has received approval from the Northern Australia Infrastructure Facility (NAIF) to proceed to the full due diligence phase for its Kidston project in North Queensland.
The $1.05 billion large-scale solar and hydro pumped storage project was given critical infrastructure status by the state government on June 28.
The project includes a 1500MWh hydro storage plant with the potential to power 100,000 homes, as well as a 50MW solar farm.
The second stage of the solar project includes an additional 270MW of capacity.
Genex is currently working on advancing its stage two projects, with a view to commence construction in 2018.
NAIF is a Federal Government organisation mandated with $5 billion in aggregate loans to develop or enhance northern Australian infrastructure.
“Genex welcomes this decision from NAIF as it views NAIF as an integral partner in the stage two project financing,” Genex managing director Michael Addison said.
“Genex is aiming to commence construction of the 270MW solar and 250MW hydro projects in 2018.”
NAIF chief executive officer Laurie Walker said the organisation was looking forward to working with Genex on the full due diligence phase for the second stage of the project.
“NAIF is keen to support infrastructure projects across northern Australia that will generate public benefit and economic and population growth in northern Australia, such as this in the renewable energy sector,” Ms Walker said.