Babcock & Brown Wind Partners (BBW) has entered into an agreement to supply renewable energy to Sydney Water's desalination plant at Kurnell.
The company said its capital wind farm will be the first large, utility scale wind farm to be located in NSW.
Chief executive Miles George said the agreement represented an attractive contract for the company.
"BBW remains well-positioned to participate in the expected strong growth in renewable energy generation in Australia which is underpinned by the federal government's 20 per cent by 2020 national renewable energy target," George said.
BBW's wind farm is expected to be operational by mid 2009.
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