Call me cynical but I suspect this will mainly shift load for the benefit of the network operators.
I wouldn’t be surprised if supply charges and non-free hours go up to offset any income loss for the electricity suppliers. Weatlhy home owners with solar pv, large power demands, and expensive appliances who can take advantage of free hours might be better off. People in rentals or poorer home owners might be worse off and it could be yet another wealth transfer.
Eh. This is really a short-term problem. The real value of this is that it creates a market incentive for other companies to build storage and off-peak energy usage.
This may end up being the most affordable way of moving to a 100% renewable grid. Solar panels are so stupid cheap now that the best option may be to build some minimal storage, but solve most power swings by just absolutely spamming solar panels. You build enough to provide your average daily need in the lowest-producing months. Then the rest of the year you have dirt cheap power. Some power-intensive industries just become seasonal. We have a farming season. Why can’t we have an aluminum smelting season or a AI model training season? Maybe the guys working in the aluminum foundry work 12 hour days in the summer but get three months off in the winter. This type of seasonal employment variance has been the norm through almost the entire history of civilization. Before cheap lighting, even manufacturing was a seasonal affair, with longer hours in the warm months and shorter hours in the cool dark months. We’re used to our industries operating at a constant output through the year, as that is the best way to minimize CAPEX expenditure. But with dirt cheap power for most of the year, the economics of many industries change, and seasonal production swings become profitable.
Oh definitely. Rather telling that vic doesn’t get a look in - the state that’s entirely smart meters and infrastructured to enable this.
Because we’re only getting 3 hours of sun on our solar panels amirite? 😔
“Free” lol. Power companies definitely won’t be increasing their power costs in the other 21 hours after being literally forced by the government to give it away for “free” for 3 hours.
Also you have to sign up to a new power plan that will no doubt have higher and/or new daily fees, requires a smart meter, and I’m pretty sure is VPP enabled meaning the power company can steal your power and charge you for the privilege.
I’m pretty sure is VPP enabled meaning the power company can steal your power and charge you for the privilege.
With a VPP you are paid for exporting power from your battery to the grid when there are price peaks.
You get paid to do this and if enough people do it the price spikes flatten down saving everyone on the grid money.
https://www.solarquotes.com.au/blog/vpps-have-pros-cons/
Also the government recently made it legal for power companies to charge you for your exports, which you need to be on a VPP for them to do, and at the same time the government is incentivising everyone to get a smart meter, on a VPP, and solar and batteries……
Coincidence?
I don’t get it
the power company can steal your power and charge you for the privilege
If you export power to the grid, you are paid for it
The whole reason to join a VPP, is so you get paid for exporting power during CRITICAL peak events
I know, because I have now been on 2 VPP’s
One with Sonnen, where they paid me $15 a month for being on standby to charge or discharge during peak events and Globird ZeroHero:
ZEROLIMITS (Optional add-on): Take your earnings to the next level Get $1/kWh on exports during wholesale critical events, plus other critical event credits
https://www.globirdenergy.com.au/energy-saver/zerohero/
Nobody is signing up to a VPP to donate their power and get nothing for it
Also the government recently made it legal for power companies to charge you for your exports, which you need to be on a VPP for them to do
Where did you read this?
The charge for exports is for SOLAR during the MIDDLE of the DAY because there is TOO MUCH solar
Solar energy exports are reaching levels in some parts of the grid during the 10am – 3pm period that they are becoming difficult to manage and could potentially pose a threat to network stability. Export charges applied during this window will act as a signal to system owners to self-consume more of the energy they generate during this time.
https://www.solarquotes.com.au/blog/debunking-sun-tax-mb2941/
Here is the current wholesale cost of power at 11:35am QLD time
Notice that the price is negative
Sorry I’m out at the shops and wrangling the kids at the moment, so will do a full reply later.
Solar feed in charges: https://repositpower.com/blog/blog/the-solar-tax-has-arrived-now-what
What is happening now doesn’t matter, as it’s all going to radically change as the AEMO plan states that 60% of all grid storage is home battery storage, and that the power companies draw from this at will - and they’re not going to pay for it. Power companies are in the business of making money, and politicians are in their back pockets for those sweet lobbying dollars and post-politics executive jobs.
To make all this work they need everyone with smart meters, and solar and batteries. What they’re doing now is getting everyone to get them installed via incentives, so when everyone has them they can start stealing your power and charge you for it and there’s nothing you can do.
Solar feed in charges:
yes as i said and from your own link
Solar export tariffs are designed to stop solar being exported to the grid when there is a lot of sunshine about. That means that solar panel owners should put in place things that soak up their solar generation.
there is currently too much cheap renewable power going to the grid during the day
the AEMO plan states that 60% of all grid storage is home battery storage, and that the power companies draw from this at will - and they’re not going to pay for it
no it doesn’t
The claim that “60% of all grid storage is home battery storage, and that power companies draw from this at will—and they’re not going to pay for it” is a significant oversimplification and, in some respects, a misrepresentation of AEMO’s plans and the current state of Australia’s energy market.
What AEMO actually says:
- AEMO’s Integrated System Plan (ISP) does highlight the growing importance of distributed energy resources, including home batteries, as part of Australia’s future energy mix. The plan envisions a future where consumer energy resources (CER), such as rooftop solar and home batteries, play a major role in supporting the grid, especially as coal plants retire and renewable energy capacity expands. By 2050, AEMO expects a massive increase in both rooftop solar and battery storage, with home batteries potentially helping to avoid billions in grid investment costs—if they are “well coordinated” .
- The key here is “well coordinated.” AEMO and the energy market are exploring ways to integrate home batteries into the grid through mechanisms like Virtual Power Plants (VPPs), where households can choose to participate and may receive incentives or payments for allowing their batteries to be used to support the grid during peak times. Participation is voluntary, and households are not forced to give up control of their batteries without compensation .
- There is no current policy or plan that allows power companies to unilaterally “draw from” home batteries without the owner’s consent or compensation. Any use of home batteries for grid support would typically be part of a formal agreement, such as a VPP program, where participants are compensated for their contribution
VPPs mate lol. It says that at the end there. When everyone has a smart meter and the only plans available are VPP ones, what do you think the power companies will do with the legislation that allows them to draw all your power from your battery and charge you for it?
When everyone has a smart meter and the only plans available are VPP ones
Who says there will be only VPP ones? And you’re saying all 10 million households will have a home battery?
In Victoria, there is already at least one retailer who offers a similar window to households without solar.
Australia has seen such a high uptake in solar panels, that solar rebates are basically down to like 1c/kW except for maybe the shoulders around dusk and dawn.
Makes sense to try and incentivise usage when renewables are pumping, and try to reduce some of the peak time usage which still relies on fossil-powered electricity generation.
