Australia solar projects run into obstacles

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A pair of large solar energy projects under consideration in Australia have run into trouble with financing and may be set back as a result, according to news reports.

The Solar Dawn consortium has abandoned plans to build a 250 MW solar energy plant on Queensland's Western Downs, according to the Australian Broadcasting Corp.

Earlier this year, the Queensland government withdrew its commitment to the project and this week the Australian Renewable Energy Agency (ARENA) decided not to commit $500 million in federal funding.

Also, TruEnergy's bid to build a 173 MW solar park near Mildura was referred to the Australian Renewable Energy Agency, after the project was overlooked for federal funding from the Solar Flagships program earlier this year.

TruEnergy, now know as Energy Australia, said it believed the proposal was strong and competitive and would have provided economic and environmental benefits to the state of Victoria. Energy Australia says it will assess other funding options.

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