Solar panels. Author: Chris Baird. License: Creative Commons. Attribution 2.0 Generic.
The Australian Renewable Energy Agency (ARENA) on Wednesday said that Simply Energy will build an 8-MW virtual power plant in Adelaide with AUD 7.7 million (USD 5.9m/EUR 4.8m) in ARENA support.
The AUD-23-million project will deploy 6 MW of residential energy storage from Tesla Powerwall 2 batteries at up to 1,200 Adelaide homes and 2 MW of demand response capacity at 10 businesses.
The virtual power plant is expected to be online by the end of 2019. It will be the second in South Australia after ARENA previously provided AUD 5 million to help AGL Energy Ltd (ASX:AGL) create a virtual power plant of 1,000 households and businesses in Adelaide.
"We think consumer energy resources have a huge role to play in Australia’s energy future, but we are still figuring out how we can orchestrate rooftop solar and home batteries to feed back into the grid," said ARENA chief executive Ivor Frischknecht. "This is technically hard to do, which is why these pilot projects are so important," Frischknecht added.