Australian telco Telstra has signed a Power Purchase Agreement (PPA) with Global Power Generation (GPG).
GPG, a subsidiary of Spanish utility Naturgy Energy Group, will help build the 100MWp solar park in Bundaberg, Queensland.
According to Telstra, the PPA will enable the operator to secure renewable energy generation equivalent to 100 percent of its power consumption by 2025.
The site will supply Telstra with up to 153GWh of electricity each year.
Construction of the site is set to cost around AU$130 million (US$87.2m) and is due to begin early next year. The site is expected to be operational in 2025.
"Once these projects are fully up and running, our share of their renewable energy output will be equivalent to our own electricity consumption,” said Vicki Brady, Telstra CEO.
In September, Telstra signed a PPA to purchase the output of a solar farm in Queensland with Munna Creek Solar Farm Investments.
Under the agreement, Telstra will buy half of the output of the 120MW Munna Creek Solar Farm outside Gympie.
Telstra targets meeting 100 percent of its power consumption with renewables by 2025, and by 2030.
The latest PPA signed by Telstra is the company's sixth in total.
Last year, it signed a PPA with Ark Energy to procure from the 923.4MW MacIntyre Wind Farm in Queensland. The company has previously signed deals with RES Australia to procure the outpost of a solar farm in Queensland, a wind farm in Victoria, and a wind farm in New South Wales.
