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Battery storage set to strengthen South Australian grid

Staff Writer |
The world’s largest battery storage "virtual power plant" is set to land in South Australia, boosting grid stability, reducing power price volatility and supporting renewable energy.

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The Australian Renewable Energy Agency (ARENA) has conditionally committed up to $5 million funding for AGL to install 1,000 centrally controlled batteries in South Australian homes and businesses with a combined 5 MW / 7 MWh storage capacity.

ARENA CEO Ivor Frischknecht joined AGL CEO Andy Vesey and South Australian Treasurer and Minister for Mineral Resources and Energy Tom Koutsantonis in Adelaide to launch the project.

Mr Frischknecht said the $20 million project could point to solutions to South Australia’s grid challenges and reduce the risk of power price shocks in the state.

“Australia is on the cusp of a battery storage revolution as technology costs continue to fall. ARENA is at the forefront of figuring out how batteries can best support renewable energy to provide affordable, reliable and sustainable power,” Mr Frischknecht said.

“When small-scale batteries work together they become more than the sum of their parts.

“AGL plans to operate the batteries as a kind of virtual power plant, installing them alongside solar PV and linking all 1,000 systems with centralised monitoring and management software.

“The result is like adding a 5 MW power station that can quickly deliver enough energy to power 1,000 South Australian homes where and when it’s needed most. This approach can ease local network constraints, displace gas power and complement the Victorian interconnector, especially during times of peak demand.

AGL has selected Sunverge batteries and control systems for phase one of the project. Sunverge received an ARENA-backed investment boost and its batteries are also being trialled in Queensland by Ergon Energy in another ARENA-supported project.


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