Ann: WA Commercial Project Site Decision , page-26

Your logic is impeccable, Acees, and you are right. It appears that in principle an REDP can be subsumed into a LEED grant for matching funding purposes, but not vice versa. I had not read the detailed print of the LEED documentation previously.

These sort of grants (REDP) are generally made for the purpose of encouraging private investment in areas that governments consider strategic. The various conditions that are therefore attached are designed to ensure the end goals are achieved. The leveraged matching part then becomes immutable. In the case of the WA LEED funding the aim is somewhat different in that the key criterion is the reduction in greenhouse gas emissions rather than stimulation of private investment.

This still leaves us with the problem of how CWE can actually work it.

If REDP grant is awarded,
then CWE funding = $12.5M + $80M = $92.5M,
and Investec contribution = $250M > 2 x $80M
Total project = $342.5M
Presumably JV ownership in proportion to contribution.

If no REDP grant (almost unimaginable), then need to find another $37.5M.
Farm outs should be strenuously avoided at early (5MW) stage.
Would shareholders come to the party?

Juke