Giant batteries to bring cheaper power to disadvantaged South Australians
An Australian energy company will build and operate numerous new community batteries in South Australia, saying it will bring cheaper electricity to those in need.
AGL has partnered with the South Australian government on the $25.7 million emPowering SA project to deliver 16 new 700 kW / 1828 kWh community batteries, which it said would provide cheaper electricity for social housing tenants and people experiencing financial hardship.
The new batteries will operate alongside the South Australian government’s two recently commissioned community batteries at Magill and Edwardstown, as well as AGL’s existing multi-asset Virtual Power Plant to deliver 11.5 megawatts of storage in total.
The project is supported by around $11 million in funding from the Australian Renewable Energy Agency as part of the Community Battery Program Round 1, with AGL investing $4 million.
AGL chief customer officer Jo Egan said AGL was pleased to work with the South Australian government to build and operate AGL’s first community batteries in the state.
“This project builds upon our recent acquisition of South Australia’s Virtual Power Plant from Tesla – one of Australia’s largest virtual power plants,” she said.
“It also forms part of AGL Community Power, a program that aims to find innovative ways to share the benefits of the energy transition, including with those who do not have solar or batteries, or who may be locked out due to barriers to home ownership.”
Egan said that consumer energy resources, such as rooftop solar, play a vital role in Australia’s energy transition and make up an increasing part of the country’s total energy generation.
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“If we can use these resources more effectively and efficiently, in ways like community batteries and virtual power plants, this will help us provide more affordable energy to some of the customers who need it the most,” she said.
“More than 10,000 low-income and energy hardship households across South Australia will be offered the chance to participate in the empowering SA community battery project via an AGL energy plan that will be priced at 25 per cent below the current SA default market offer. These offers will be made over time as the batteries roll out.
The new batteries come after AGL’s recent announcement that its customers would receive free electricity from 10am to 1pm daily as part of the “Three for Free” energy plan in its AGL Community Power program.
In February of this year, AGL was also granted state government approval for a major wind farm and battery system near Red Hill in South Australia’s mid-north.
