Nördnytt! 🤓In Australia, a home battery boom has helped cut wholesale power prices
- AnotherGoodName - 11144 sekunder sedanIt started with a solar boom, many small home scale solar roofs popping up everywhere. Australia has a free trade agreement with much of the world, including China, and solar panels have literally dropped to 1/50th of the price they were in 1990 ($10/W to $0.2/W today). A shout out to the work that was done to establish dynamic grid pricing too.
Anyway that caused power prices to reliably go negative during the day as the solar boom led to too much energy being produced. So everyone started buying batteries (you can even get live feed in/out pricing as a consumer). In fact the government even today will pay you a $3000 subsidy to go install a battery. This is in a country where people can buy cheap batteries with no tariffs (free trade's amazing, seriously!). So everyone who could started doing it. For those in apartments etc. that couldn't easily install solar and batteries they won too since the entire power grid is now half the price.
Another consequence of all this, aside from the cheap power prices during a datacenter boom and Hormuz blockade is that fossil fuel usage is plummeting. Particularly gas https://ieefa.org/resources/slump-eastern-australia-gas-dema... . No need for a gas peak power plant when the grid is packed with batteries. Which is helpful since one of the main issues with the current blockade is a lack of gas globally.
- epistasis - 7328 sekunder sedanThis is exactly what utility propaganda and PUC manipulation in the US has successfully stopped from happening.
From NEM3 in California, to charging a high fixed fee for being on the grid in other areas of the country, utilities have manipulated rules at every step to prevent a future that has cheaper electricity for rate payers. They come up with rather fantastic propaganda about how ratepayers with solar are burdens on the grid, or concentrated in high-income areas, to try to hide the reality of what's possible with highly distributed electricity generation.
And the media in the US have been very willing accomplices in perpetuating this as well.
I have not figured out why its so different between Australia and the US, but it does seem that Australia has a far greater free-market bent when it comes to these things than the US. It's why solar is 4-6x cheaper to install than in the US.
- collinmcnulty - 10480 sekunder sedanI've long thought that any country should buy solar panels from any other country that's crazy enough to sell them to you at a subsidized price. It's not like buying oil; once you have the panels, that energy independence belongs to you.
- skew-aberration - 10651 sekunder sedanThe subsidy was closer to 70%, and in my case I was paid the equivalent of about 10 years of free electricity for a battery with a 10-year warranty. In total somewhere around 5-7 billion AUD was paid out (not yet public) - the wholesale market for comparison is around $16B AUD annually. Personally, I would have preferred it was used to build grid scale storage instead of funneling tax money to the relatively wealthy (myself included). Given the extreme volatility of power prices, a figure such as '47% decline' should be taken with a grain of salt - but power prices are certainly a bit lower than last year.
- plantain - 11136 sekunder sedanThe program has so far spent $2.5bn, and installed 11GWh. That's just the cost of the subsidy (~30% discount), not the cost of what home owners tipped in.
Utility scale batteries are now at ~$66m/GWh, or about ~$726m equivalent.
It does not make sense for everyone to be doing a bespoke installation inside their own home. It is ridiculously inefficient.
We are a society. We don't build our own roads, water, grid, schools, hospitals. Why have we suddenly decided to DIY our own redundant power sources? (A: failure of governance)
- black_puppydog - 11976 sekunder sedanAs ever, Volts did a really good episode on this:
https://www.volts.wtf/p/how-to-make-rooftop-solar-power-as
Worth a listen, both to learn about how ridiculous the US situation is, and just how good the "news" of abundant solar is.
- thelastgallon - 5198 sekunder sedanAustralia is now ready for vertical solar, add a few more hours of production in the morning and evening. Panels are dirt cheap anyway, use them as fences, put them on high rise buildings. Change the building to require structural elements to hold the panels and build new homes with vertical + rooftop. The electric code should be updated to allow v2g.
With BESS (home, grid) and EVs (always plugged in, parked 95% of the time), there may be enough storage to start replacing baseload. This will take decades, but can be done. We gotta start somewhere.
- kleiba2 - 11915 sekunder sedan> The government has moved to make use of this surplus solar energy, including by offering free power in the early afternoon to homeowners in Queensland, New South Wales, and South Australia, regardless of whether they have solar panels on their roof or not. The goal is to spur more consumers to run appliances or charge electric vehicles during this window.
Taking the term "1st world problems" to new heights!
- thelastgallon - 12020 sekunder sedanUse EVs as energy storage. Millions of EVs form an energy reservoir. 20% of solar is curtailed now and q lot more in future, instead charge EVs. Pay the EV owners because they are creating a storage layer with their capital and power prices go negative hundreds of millions of times every year. No need of home batteries.
- thelastgallon - 4620 sekunder sedanAustralia is also 4,000km wide. A time difference of 2 - 3 hours. This adds a few more hours of Solar with long distance transmission.
- m101 - 6962 sekunder sedanIs the only reason that a behind the meter subsidy is more efficient because it reduces the upfront for an equivalent kWh storage (with the consumer footing the difference)? I would have thought few, larger, batteries at local substations was more efficient otherwise.
- yason - 4095 sekunder sedanIn Europe the battery subsidies could've been used to double the price of electricity and make things worse for everyone paying for it. What a wasted business opportunity.
- testing22321 - 10840 sekunder sedanI put 7.3kw of panels on our roof for $0 of our money thanks to a $5k rebate and $8k interest free loan. It makes 7.2Mwh of power a calendar year, which would cost $1000 if we had to pay for it.
So for 8 years we pay the loan instead of for the power, then we get -25 years of $1000 a year in our pockets. The price of power is also pre approved to increase a minimum of 5% a year every year here, so the savings will be more than that.
Right now we get a 1:1 credit for anything we put into the grid. If and when that changes I’ll get a battery.
The kicker? We’re in Canada in a tight valley where it snows a ton. If it works here…
- surfmike - 10881 sekunder sedanCalifornia is also adding a lot of battery storage… but why are electricity prices falling in Australia and not in CA? Are they outpacing us?
- greenleafone7 - 10787 sekunder sedanThis whole thing started because of some power pylons got destroyed and electricity was not restored for about a year right?
- fitsumbelay - 6317 sekunder sedanOpposite story here in the US with very recent news about Trump breaking offshore wind farm agreements and using billions of US taxpayer dollars to pay repercussive fees to those operators. Our decline/regression in terms of clean energy and how easily the current administration's pulled it off and continues to is an ugly fucking mystery ...
- Apreche - 11499 sekunder sedan[dead]
- Wacari - 11627 sekunder sedanso in other words, heavily subsidize another technology (introducing cost shifts onto non-adopters, typically poorer people) to try and solve operational problems directly caused by oversubsidizing rooftop solar (another regressive cost-shift and extremely inefficient cost allocation relative to tx-connected solar) by bringing down wholesale prices (already a minority of the utility bill).
Fixed costs, the majority of the utility bill, continue to increase. But hey, LMPs (something residential tarriffs are not as exposed to) are lower!!! LMFAO