ARENA? ?to? ?help? ?fund? ?$30? ?million? ?30MW? ?SA? ?battery

A? ?new? ?large-scale? ?battery,? ?designed? ?to? ?demonstrate? ?how? ?energy? ?storage? ?can? ?strengthen? ?the grid? ?and? ?potentially? ?lower? ?energy? ?prices,? ?will? ?be? ?built? ?in? ?South? ?Australia? ?with? ?support? ?from the? ?Australian? ?Renewable? ?Energy? ?Agency? ?(ARENA).

The? ?Minister? ?for? ?the? ?Environment? ?and? ?Energy,? ?the? ?Hon? ?Josh? ?Frydenberg,? ?today? ?announced that? ?the? ?Agency? ?would? ?provide? ?up? ?to? ?$12? ?million? ?in? ?funding? ?toward? ?a? ?30MW,? ?8MWh? ?battery at? ?the? ?Dalrymple? ?substation? ?on? ?the? ?Yorke? ?Peninsula.

ARENA? ?CEO? ?Ivor? ?Frischknecht? ?said? ?the? ?battery? ?-? ?the? ?second? ?phase? ?of? ?the? ?Energy? ?Storage? ?for Commercial? ?Renewable? ?Integration? ?(ESCRI)? ?project? ?–? ?was? ?expected? ?to? ?cost? ?around? ?$30? ?million.

ESCRI? ?Phase? ?1? ?consisted? ?of? ?a? ?study? ?into? ?the? ?potential? ?for? ?energy? ?storage? ?to? ?benefit? ?the South? ?Australian? ?network.? ?It? ?has? ?allowed? ?key? ?aspects? ?of? ?a? ?utility? ?scale? ?battery,? ?such? ?as revenue? ?generation,? ?to? ?be? ?thoroughly? ?planned? ?ahead? ?of? ?today’s? ?announcement.

Mr? ?Frischknecht? ?said? ?the? ?ESCRI? ?battery? ?would? ?make? ?an? ?important? ?contribution? ?to? ?security? ?and reliability? ?of? ?supply? ?in? ?the? ?context? ?of? ?high? ?renewable? ?energy? ?generation? ?in? ?South? ?Australia.

“This? ?is? ?also? ?the? ?first? ?large-scale? ?grid-connected? ?battery? ?to? ?be? ?designed,? ?built? ?and commercially? ?operated? ?in? ?Australia? ?largely? ?with? ?private? ?investment? ?from? ?energy? ?providers,” said? ?Mr? ?Frischknecht.

“It? ?may? ?not? ?be? ?the? ?biggest? ?battery? ?in? ?the? ?world,? ?but? ?pound-for-pound? ?it? ?will? ?pack? ?a? ?big punch? ?in? ?demonstrating? ?how? ?utility? ?scale? ?storage? ?can? ?contribute? ?to? ?a? ?stronger? ?South Australian? ?energy? ?network.”

Mr? ?Frischknecht? ?said? ?the? ?ESCRI? ?project? ?would? ?demonstrate? ?how? ?utility? ?scale? ?battery? ?storage could? ?help? ?contribute? ?to? ?a? ?more? ?secure,? ?reliable? ?and? ?affordable? ?electricity? ?system.

He? ?said? ?specific? ?benefits? ?included:

–  Supplying? ?Fast? ?Frequency? ?Response? ?(FFR)?,? ?which? ?helps? ?balance? ?the? ?electricity? ?network, particularly? ?in? ?the? ?context? ?of? ?increased? ?levels? ?of? ?renewable? ?energy? ?generation.? ?This capability? ?will? ?also? ?be? ?used? ?to? ?help? ?reduce? ?operating? ?constraints? ?on? ?the? ?Heywood interconnector? ?with? ?Victoria? ?which,? ?in? ?turn,? ?has? ?the? ?potential? ?to? ?place? ?downward? ?pressure on? ?wholesale? ?energy? ?prices? ?in? ?SA.

–  Providing? ?contingency? ?power? ?for? ?the? ?Dalrymple? ?service? ?area? ?during? ?a? ?loss? ?of? ?supply.? ??The islanded? ?battery? ?will? ?work? ?together? ?with? ?the? ?existing? ?90MW? ?Wattle? ?Point? ?wind? ?farm? ?and rooftop? ?solar? ?PV? ?in? ?a? ?microgrid? ?to? ?provide? ?backup? ?local? ?supply? ?until? ?connection? ?to? ?the? ?grid is? ?restored.

–  Demonstrating? ?that? ?utility? ?scale? ?batteries? ?can? ?aggregate? ?and? ?“value? ?stack”? ?multiple? ?revenue streams?? ?and? ?deliver? ?both? ?regulated? ?network? ?services? ?and? ?competitive? ?market? ?services,? ?thereby encouraging? ?other? ?energy? ?developers? ?to? ?enter? ?the? ?market? ?with? ?battery? ?projects.

Mr? ?Frischknecht? ?said? ?ESCRI? ?will? ?be? ?one? ?of? ?the? ?largest? ?batteries? ?in? ?the? ?world,? ?in? ?terms? ?of? ?MW capacity,? ?behind? ?the? ?Tesla/Neoen? ?battery.? ?It? ?is? ?expected? ?it? ?will? ?be? ?constructed? ?and operational? ?by? ?February? ?2018.

“Battery? ?storage? ?is? ?a? ?key? ?enabler? ?as? ?we? ?transition? ?to? ?an? ?energy? ?system? ?powered? ?by? ?variable renewable? ?energy? ?like? ?wind? ?and? ?solar,”? ?said? ?Mr? ?Frischknecht.

Mr? ?Frischknecht? ?said? ?ESCRI? ?would? ?complement? ?the? ?100MW? ?State-funded? ?battery? ?to? ?be? ?built at? ?Hornsdale? ?by? ?Telsa? ?and? ?Neoen,? ?recently? ?announced? ?by? ?the? ?South? ?Australian? ?Government.

“Australia? ?is? ?now? ?a? ?leader? ?in? ?demonstrating? ?the? ?potential? ?of? ?large-scale? ?battery? ?technology to? ?facilitate? ?high? ?levels? ?of? ?renewable? ?energy? ?penetration.? ?This? ?project? ?will? ?complement? ?the Hornsdale? ?battery? ?and? ?other? ?ARENA-funded? ?grid? ?support? ?projects? ?to? ?help? ?deliver? ?reliable and? ?secure? ?electricity? ?in? ?South? ?Australia,”? ?Mr? ?Frischknecht? ?said.

The? ?project? ?will? ?be? ?procured? ?and? ?maintained? ?by? ?transmission? ?provider? ?ElectraNet,? ?which? ?is? ?in discussions? ?with? ?potential? ?energy? ?retail? ?operators? ?to? ?provide? ?market? ?services.? ?Consulting? ?firm Advisian? ?has? ?supported? ?the? ?development? ?of? ?the? ?project? ?from? ?its? ?inception? ?and? ?will? ?play? ?a? ?key role? ?in? ?delivering? ?the? ?knowledge? ?sharing? ?plan? ?to? ?maximise? ?industry? ?learning.

ElectraNet? ?Chief? ?Executive,? ?Steve? ?Masters,? ?welcomed? ?the? ?Australian? ?Government’s? ?support of? ?the? ?project,? ?through? ?ARENA.

“We? ?thank? ?the? ?Government? ?and? ?ARENA? ?for? ?their? ?funding? ?commitment? ?to? ?this? ?important demonstration? ?project? ?on? ?the? ?Yorke? ?Peninsula,”? ?he? ?said.? ?“The? ?learnings? ?and? ?expertise? ?that we? ?will? ?gain? ?from? ?this? ?project? ?will? ?greatly? ?assist? ?to? ?support? ?the? ?shift? ?in? ?energy? ?mix? ?and landscape? ?that? ?South? ?Australia? ?is? ?experiencing.”


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