The funding has been pledged by Origin Energy, which recently acquired the Yanco Delta Wind Farm from Virya Energy.
The contribution is part of a Voluntary Planning Agreement (VPA) with Murrumbidgee Council.
Murrumbidgee Council Mayor Ruth McRae said the council is delighted to partner with Origin to bring this transformative project to Jerilderie and the surrounding area.
According to Cr McRae, who is also chair of Murrumbidgee Local Health District’s Jerilderie Local Health Advisory Committee, this is a significant milestone in the council’s ongoing efforts to meet the area’s evolving health needs and ensure health services are ongoing and accessible to all.
“When complete, the new medical centre will provide medical and allied health services, dental care and minor procedures,” she said.
“With the shortage of healthcare professionals in rural areas, this new facility will be essential in attracting and retaining medical professionals in the Jerilderie area.
“It will enhance the health services we currently have and empower the local community,” Cr McRae said.
Origin’s head of social performance Jim Belford thanked council and the project’s previous owners, Virya, for their work in establishing the VPA.
“We welcome council’s decision to approve the Yanco Delta Wind Farm Voluntary Planning Agreement which will contribute $5 million to develop a new medical facility for Jerilderie.
“As the new owners of the Yanco Delta Wind Farm, Origin looks forward to building on the good work of the project’s previous owner and working closely with council and the local community to deliver this important piece of community infrastructure.
“Origin will also work with council and other local stakeholders as we develop a separate community investment program which will ensure the benefits flowing from the Yanco Delta project are shared with the broader community.
The timeline for the project has not been finalised at this stage.
Virya Energy received conditional consent for the wind farm project from the NSW Minister for Planning and Public Places on December 21, 2023.
Origin last month announced it had entered an agreement to acquire the Yanco Delta project from Virya.
As part of the conditional consent, the project’s owner is required to enter into a Voluntary Planning Agreement with local councils and subsequently make a monetary contribution for a public purpose such as infrastructure.
The Yanco Delta Wind Farm, will be located north-west of Jerilderie.
When complete, it will be one of the largest on-shore wind and energy storage developments in the country.
Connecting to the Dinawan Substation, also near Jerilderie, it is envisaged the project will produce power for around 750,000 households and avoid up to 4.5 million tonnes of carbon dioxide from entering the atmosphere.
The Yanco Delta project will also span in to the neighbouring Edward River local government area.
The purchase price and development expenditure prior to commencement of construction will be funded from Origin’s corporate debt facilities.
The consideration consists of an upfront payment of $125 million to Virya Energy and an additional variable payment of up to $175 million conditional on the project achieving certain development milestones.
Origin CEO Frank Calabria said the acquisition of Yanco Delta represents a major step forward in the journey to transition Origin’s portfolio to cleaner energy.
“Strategically located in the South West Renewable Energy Zone, Yanco Delta is a quality wind resource that provides benefits of scale,” he said.
“We look forward to working closely with the local community and other stakeholders and bringing Origin’s expertise and track record in developing large scale energy projects to progress this project to construction.”