A consortium formed to build a solar power plant in Queensland, confirmed on Monday that the project has been scrapped. The Solar Dawn project would have been the largest in Australia.
The state government in Queensland has withdrawn $A75 million worth of funding which was promised by the former Labor government for the $A1.2 billion scheme.
A funding agreement with the federal government, which had promised a contribution of $A464 million, has also lapsed.
Construction of the 250 megawatt solar thermal power plant near Chinchilla, in southwest Queensland, was due to begin in 2013.
AAP reports that after extensive discussions with the Australian Renewable Energy Agency, the consortium said it will not pursue the project.
