Carnegie Wave Energy Limited released the design of its commercial generation CETO 6 unit to be used following the current Perth Wave Energy Project (Perth Project) as the company’s first production unit for sale.
The CETO 6 unit will have a 1MW (1000kW) power capacity, some four times of the current CETO 5 generation being used in the Perth Project. The increased capacity, combined with superior efficiency, delivers significantly reduced capital costs and, when deployed in large commercial size projects, is cost competitive in a range of markets globally.
The primary focus of the Company remains on the completion of construction, commissioning and operation of its Perth Project, however, given the lead times inherent in developing projects, it is important that the both CETO 6 unit and project designs and the associated financings are progressed in parallel with the Perth Project.
Carnegie’s Managing Director, Dr Michael Ottaviano, said:
“The CETO 6 unit will be a commercial breakthrough for the CETO technology and Carnegie and builds on approximately 10 years and $100 million of R&D. Beyond its planned demonstration in 2016, the 1MW CETO unit will allow Carnegie and its licensee partners to roll out profitable wave power projects globally.”
CETO 6 Demonstration Project
The CETO 6 Project will consist of a 3MW grid connected 3 unit array demonstrated in 2016.
The electricity generated from the project will be sold under a Power Purchase Agreement (PPA). The capital cost of the Project is expected to be approximately $25m excluding design and associated overhead costs. The recently announced $20m debt facility with the Clean Energy Finance Corporation would be utilised to provide a significant proportion of the project’s capital requirements for a CETO 6 project in Australia. Carnegie is currently targeting a 2016 construction date for the project.
Press release, March 21, 2014; Image: carnegie