Ashurst is advising The Melbourne City Council, which is leading a consortium of 14 buyers in entering into collective corporate power purchase arrangements (PPAs) for electricity and large-scale generation certificates (The Melbourne Renewable Energy Project), which will partially underwrite the development by Pacific Hydro of the Crowlands Wind Farm in Victoria.

This project marks the first time in Australia that a group of local governments, cultural institutions, universities and corporations have collectively purchased renewable energy to assist the underwriting of a new, large-scale generating facility.

The consortium consists of Bank Australia, NAB, Australia Post, Citywide, Moreland City Council, City of Yarra, City of Port Phillip, City of Melbourne, NEXTDC, RMIT University, The University of Melbourne, Zoos Victoria, Melbourne Convention and Exhibition Centre, Federation Square.

The consortium buyers are to purchase 88 GWh of electricity per year from the Crowlands Wind Farm under long-term PPAs. The group also received ACCC authorisation for the arrangements.
 
Ashurst has been involved on the legal aspects of the tender, negotiations and documentation.

Lead partner Jeff Lynn (Utilities) commented: "We are proud to have acted for the Melbourne City Council in this Australian first, and congratulate them for pioneering the way forward in group purchasing models for renewable energy. Having been involved from the very outset, we are pleased to continue working on the new wave of Corporate PPAs in Australia, as the industry becomes more innovative towards power procurement strategies."

Jeff was assisted by partner Peter Limbers, counsel Justin Jones and senior associates Cassandra Wee and Caroline Lindsey (Utilities).