CLEAN energy initiatives in Queensland took another hit this week after the Federal Government abandoned a $1 billion solar plant in southern Queensland.
The $1.1 billion Solar Dawn project, originally proposed for land near the Kogan Creek power station, was scrapped, to move the funds to other projects in regional areas.
The decision comes about two years after the State Government scrapped a plan for a multi-million-dollar clean coal upgrade at the Kogan Creek Power Station.
But the cancellation of Solar Dawn, and another clean energy project in Victoria, will see the $2.2 billion funds re-allocated to smaller solar and clean energy projects around regional remote Australia.
A new funding strategy was announced by the Australian Renewable Energy Agency, with the Regional Australia's Renewables taking the $2.2 billion from the Solar Flagships Program
.ARENA chairman Greg Bourne said the funding would allow for new projects in regional areas where power demand was high and the costs of fossil fuels for generation were greatest.
The change was not an abandonment of larger solar projects, with Mr Bourne saying the government was still pursuing discussions with other proponents.
The Solar Dawn project was scrapped due to "current market conditions" and was understood to be due to the large scale of the project.
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