The 200 kilowatt station is located onsite at ScatoPlus and will provide about a quarter of the compost company's energy requirements.

The technology, developed in Victoria by renewables company RayGen, has been touted as key to making solar power commercially viable. 

Trials of the technology conducted with the University of NSW have set a world record for the most efficient conversion of sunlight into electricity. 

RayGen chief executive officer Robert Cart said the system was about 20 per cent more efficient than other solar systems of the same scale.

RayGen has signed a memorandum of understanding with its Chinese commercial partner Juye Solar which commits an extra $6 million in capital investment to RayGen.

Mr Cart said the partnership with Juye allowed RayGen to improve its manufacturing capacity.

"It's difficult to secure investment for private technology companies in Australia.  There's not much venture capital-type investment here," he said.

Mr Cart said a lack of federal political support in Australia for clean energy meant companies developing renewable technologies must first look overseas to secure investment through export opportunities.

"We can get our scale up and our costs down through doing business overseas and then we'll be able to address the Australian market for our product without any policy support," he said.

"There are lots of challenges in the domestic market for large-scale solar energy. It's a big political problem."

Mr Cart said Newbridge was the ideal location for a solar facility. 

"There's better sunlight than there is in Melbourne, there's a company with a growing demand for power and Newbridge is within a couple of hours drive from our offices," he said.

"The potential is for solar energy to be the largest producer of energy in the world in the years to come."