Australia’s largest operating virtual power plant is now live with the first tranche of solar battery storage installations ‘switching on’ to power local homes and businesses across Adelaide (SA).
This innovative and first of its kind project means home owners and small businesses can use more of the energy generated from their own rooftop solar systems, to lower power bills, reduce emissions and provide stability to South Australia’s grid challenges.
AGL Energy Limited’s Virtual Power Plant project will operate as a 5 MW solar power plant by installing batteries that ‘talk’ to each other through a cloud-based platform to form a connected system.
Rather than sourcing electricity from large power stations outside cities, the cloud-based system allows AGL to operate the system virtually, harnessing power from the sun, captured and stored from residential rooftops. The virtual power plant will support the grid in times of instability and allow AGL to discharge electricity to homes in periods of peak demand.
The federal government, through the Australian Renewable Energy Agency (ARENA) provided $5 million towards the $20 million project. The project will connect 1,000 residential and business premises.
Environment Minister, Josh Frydenberg, said maintaining energy security in South Australia is crucial.
"Recent energy outages in South Australia have shown that we must do everything we can to ensure the transition to a lower emissions future does not compromise the reliability, affordability or safety of our energy system," he said.
"This battery storage project is a great example of flexible capacity solutions and large-scale storage projects that secure energy supply, integrate renewable energy sources and enhance grid stability."