AGL to install solar battery virtual power station on 1000 metropolitan homes

Energy company AGL will build a solar virtual power plant in metropolitan Adelaide using intelligent solar batteries installed on 1,000 homes, in the largest and first project of its kind in the world.

The batteries will store excess power, otherwise to be fed into the grid, that can be drawn upon by the customer, reducing their power costs and demand on the grid.
AGL will be able to direct power from the battery to the customer’s home or into the grid during critical events such as peak demand. Any solar energy exported to the grid will occur at the agreed retail feed in tariff.

The system, driven by the Sunverge VPP platform, will create a 5MW peaking plant embedded inside the energy network.

First of the heavily-subsidised systems will be installed to customers for around $3,500. Later phases will include a mix of battery suppliers. The systems cost is subsidised by AGL, ARENA (The Australian Renewable Energy Agency) and US-based energy storage and management company Sunverge.

AGL anticipates a payback of about seven years to customers who buy batteries as part of the project.

The state government will buy 25% of its electricity from dispatchable renewable energy suppliers to encourage further technology.

The VPP used a cloud-connected intelligent control system allowing the batteries to be directed in unison. Mostly, this will help consumers use their own stored solar power during peak demand, benefiting them and the broader community in high electricity demand. If batteries are operated independently (outside the connected system) they cannot be relied on to provide grid services.