The Minister for Energy outlines the benefits of the Mandurah bulk-battery storage trial, focusing on grid integration, cost savings, and enabling renewable energy adoption. He contrasts this with the previous government's approach to energy.

AnsweredQoN 810Legislative Assembly
Asked
18 October 2018
Portfolio
Energy

QuestionView source ↗

BULK-BATTERY STORAGE
TRIAL — MANDURAH
810. Ms J.J. SHAW to the Minister for Energy:
I refer to the bulk-battery storage
trial in Mandurah announced yesterday that will for the first time integrate a utility-scale
battery into a major metropolitan electricity network. Can the minister advise
the house how this trial will benefit those participating; and can the minister
outline how this technology could benefit Western Australians into the future?

AnswerView source ↗

I thank the member for that very,
very good question.
As members know—the member
for Mandurah certainly knows; he turned up in front of the cameras very eagerly
yesterday—we have announced our first ever bulk battery on an existing
grid. It is an interesting conversation now, because ultimately, with
renewables reaching a certain pricepoint now, the issue is not so much around
generation. Generation is coming, whether we like it or not. That is the
reality. The issue is integration. That is something that is quite new to this
government, because ultimately when I became energy minister, I asked the very
question relating to integration. Not much was done, it is fair to say, in the
term of the former government. This is actually fundamental. Although people
often describe it as a race to maximise renewable energy, the actual story is
how we integrate in a way that ensures reliability and stability.
That is why the PowerBank trial is so important. The two-year
trial will effectively allow up to 52 people across the City of Mandurah—not
just at Meadow Springs, where the battery is based—to partake in it.
There will be 200 people invited, but we are looking for about 52 with a certain
pattern of usage that would benefit from this battery. It will effectively
allow them to virtually store the energy that is lost during the course of the
middle of the day. It will do that thing that we have been trying to do—equalise
the duck curve and marry up the supply of and demand for solar. That will be
beneficial, and not just to those on the trial—it will cost about $1 a day
for those on the trial. But if this works, as I expect it will—batteries
are now rapidly advancing in their capacity—it will mean that networks
like Western Power will hopefully over time not have to spend the sort of money
that they now need to spend in respect of augmenting the network, whether on
substations et cetera. That will have a huge impact on power bills because, as
most people know, or should know, about 40 per cent of our power bill is by way
of network cost.
This is a good investment by the
collaboration between Synergy and Western Power. I was looking at a quick
assessment done by SolarQuotes, which analysed our announcement yesterday. On
average, the cost per kilowatt hour, if people want to put their own battery
in, ranges between 20c and $1.07 depending on the nature of the battery et cetera.
But the community battery—the PowerBank—works out at about
12.5c per kilowatt hour. So it actually highlights the fact that it enables
people to take advantage of battery technology without having to actually make
the very significant capital investment of putting their own battery in. A
community battery allows us to get the broader community and network benefits
that we are trying to achieve all the time.
I want to make some final points,
but I was intrigued by the member for Bateman's question to the Premier yesterday about our renewables strategy.
Members should bear in mind that when I became the Minister for Energy, zero had been done on renewable energy in eight and a half years.
Several members interjected.
The SPEAKER : Members!
Mr B.S. WYATT : Indeed,
large-scale renewables cannot even connect to the grid without a huge capital
spend to get connected. We are changing that and easing the way for large-scale
renewables to connect. Importantly, we are at a point at which large-scale
renewables no longer need power purchase agreements from government to justify
their construction. I want to confirm one thing for the opposition: when we say
''renewable energy'', we do not mean simply renewing a clapped-out
old coal-fired power station. The then Minister for Energy, who is now the Leader
of the Opposition, had a shovel and was shovelling dollars into the damn thing
as it burned and burned to the tune of $300 million. Just for the record and
for all members who may be somewhat confused, that is not renewable energy!
This is a good trial. We are doing
something that did not happen under the former government. We are working on
the process of integrating renewable energy into the system so that we have a stable
and well-planned energy system. After eight and a half years of nothing, we are
starting a long way behind.

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