Fremantle-based firm Carnegie Wave Energy has been awarded an $11 million federal government grant to support its next CETO power wave project.
Fremantle-based Carnegie Wave Energy has been awarded an $11 million federal government grant for its next CETO power wave project.
Carnegie said the combined funding would now allow it to confirm Garden Island as the location of its first CETO 6 project, which is expected to cost $31 million.
“In a globally competitive environment this gives us the confidence to move forward quickly and efficiently with the commercialisation of our CETO technology,” Carnegie managing director and chief executive officer Michael Ottaviano said.
Electricity generated from the project will be sold to the Australian Department of Defence for use at HMAS Stirling, Australia’s largest naval base, which is located on the island.
According to Carnegie, the CETO system operates underwater where it’s safer from large storms and invisible from the shore.
The submersible offshore units capture wave power to pump water at high pressures and drive turbines and generators to produce electricity.
The project will consist of three CETO 6 units deployed off the coast of Garden Island and connected to the Western Australian electricity grid.
The CETO 6 unit in the project has a target power capacity of one megawatt, four times the current CETO 5 generation being used in the Perth project.
The company said the increased capacity, combined with superior efficiency, delivered significantly reduced power costs and, when deployed at large commercial scale, aimed to be cost competitive in a range of markets globally.
“The current primary focus of the company remains on the commissioning and operation of its Perth project, however, given the lead times inherit in developing projects, it is important that the CETO 6 project and associated financings are progressed in parallel with the Perth project,” Mr Ottaviano said.
“The Perth project utilising the CETO 5 technology has progressed up to the point of commissioning and an update will be made shortly.”
Carnegie shares rose by 4 per cent to 5.2 cents at 12:45pm WST.