Battery Storage Support Offers Broader Opportunity
Home batteries have an important role to play in Australia’s energy transition, but the full benefits of this storage will only be realised when they can also be harnessed to deliver collective power to the grid, according to the peak body for electricity retailers, the Australian Energy Council.
The AEC’s Chief Executive, Louisa Kinnear, said retailers were already unlocking the potential of home batteries through virtual power plants (VPPs) to help reduce system costs and meet demand.
“Through VPP agreements, retailers can coordinate thousands of batteries together, maximising the collective benefits. Electricity stored at times of low demand, and excess solar, can be released into the grid when there is high demand, and after meeting the needs of the individual home.
“There is real value in installing home batteries alongside rooftop solar and the announcement that a re-elected Albanese Labor Government will reduce the cost of new batteries by 30 per cent would further encourage their uptake. The trick is now to make sure we maximise that value for both the individual household and the electricity system as a whole.
“There are a significant number of households unable to install solar and batteries, including many vulnerable customers and renters. Whilst this scheme will provide material benefits for those able to access a battery, encouraging VPP participation would help broaden the benefits of storage and rooftop solar generation and see reduced costs for all.”
Energy storage, along with other Consumer Energy Resources (CER) like rooftop solar and electric vehicles have been identified by the market operator as important to meeting our energy transition and emission goals and helping keep the costs down for all users.
About the Australian Energy Council
The Australian Energy Council is the peak industry body for electricity and downstream natural gas businesses operating in the competitive wholesale and retail energy markets. AEC members generate and sell energy to 10 million homes and businesses and are major investors in renewable energy generation. The AEC supports reaching net-zero by 2050 as well as a 55 per cent emissions reduction target by 2035 and is committed to delivering the energy transition for the benefit of consumers.
https://www.energycouncil.com.au/news/battery-storage-support-offers-broader-opportunity/