Community-owned batteries are emerging as a significant solution for energy storage in Australia.
According to the Australian Energy Market Operator (AEMO), if consumer batteries are effectively coordinated, they could potentially help lower costs for all consumers by eliminating the need for an additional AUD$4.1 billion (£2.1bn) in grid-scale investments.
A 1MW community-owned battery, when enrolled in a Frequency Control Ancillary Services (FCAS) programme, could generate approximately AUD$250,000 (£128k) in revenue per year for its community owners, as outlined in the GridBeyond White Paper titled “Community Battery 101 – Australia.”
Additionally, community-scale storage can achieve net value by offering multiple services, providing operators with an income stream and attractive payback opportunities.
Community batteries can mitigate rising electricity costs by enabling local users to store excess energy during off-peak hours and utilise it during peak times.
This storage solution allows communities to reduce their dependency on traditional energy providers while maximising the use of renewable energy sources, such as solar and wind.
Moreover, community batteries can serve as a reliable energy source even during grid outages.
