A feud between billionaires has led to the collapse of a $35 billion solar farm in the Northern Territory, which was meant to produce green energy for the NT and Singapore from 2026.
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Backed by prominent tycoons Andrew "Twiggy" Forrest and Mike Cannon-Brookes, one of the country's largest renewable projects, Sun Cable, has confirmed it has gone into voluntary administration.
Sun Cable said in a statement the move was due to the "absence of alignment" among shareholder objectives and visions for the project.
The company's Australia-Asia PowerLink project was promoted as the world's largest solar energy infrastructure network, seeking to generate, store and transmit renewable electricity to Australian and Asian markets near Elliott in the Barkly Region of the Northern Territory.
The PowerLink project's aim was to build a 12,000ha solar and battery storage facility at Powell Creek Station on the Barkly, with construction due to begin in 2024.
But on January 11, Sun Cable said while funding proposals were provided, "consensus on the future direction and funding structure of the company could not be achieved".
In 2021, the project was spruiked as being able to "generate enough renewable electricity to power more than three million homes a year" - the equivalent of cutting CO2 emissions by 11.5 million tonnes or removing 2.5 million cars off the road each year.
Amidst the feud of the board of billionaires regarding the vision of the project, the voluntary administration process is seen as the only way to continue developing the Power Link project, which continues to be backed by tech heavyweight and Sun Cable Chair Mike Cannon-Brookes.
"Sun Cable has achieved so much since it was founded in 2018," he said.
"I'm confident it will play a huge role in delivering green energy for the world, right here from Australia.
"I fully back this ambition and the team and look forward to supporting the company's next chapter."
Meanwhile Sun Cable founder and CEO David Griffin said his venture had "made extraordinary progress" in developing the PowerLink between Australia and Asia and the project remained "well placed for completion".
As we have progressed our work, the demand for delivering reliable, dispatchable 24/7 renewable energy in the NT and the region has risen materially," Mr Griffin said.
"Sun Cable looks forward to developing and operating the projects to meet this demand."
Mr Griffin said Sun Cable continued to represent an "outstanding strategic opportunity to operationally deliver the largest renewable energy project in the world", with the PowerLink project to supply power "commencing late this decade".
The project was anticipated to create around 14,000 direct and indirect jobs.
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In 2021, the NT Government granted the venture Major Status, with then-Chief Minister Michael Gunner signing an agreement that would advance development of the project.
"This is a big step forward for the Territory - for our energy security and our job security," Mr Gunner said at the time.
"This project will put the NT on the international map when it comes to renewables.
"It will also see hundreds of Territorians find work in the Barkly and Darwin regions during the construction and operational phases.
"This project will transform the Territory into a renewable energy powerhouse, and cement our position as Australia's comeback capital."
FTI Consulting's Christopher Hill, David McGrath and John Park have been appointed as voluntary administrators for the project.
Annie Hesse
I am the NT Correspondent at Australian Community Media and I write for my hometown newspaper, the Katherine Times. I love telling people's stories, and I am passionate about giving those a voice who may otherwise remain unheard.
When I am not busy putting pen to paper, I spend time in my garden, go bushwalking or travel across the Northern Territory, Australia or the world.
In my spare time I write, illustrate and publish books.
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