NEWS COMMENTARY

South Australian government and Tesla work together to create a 250 MW virtual power plant worth $634 million

Published:
February 08, 2018
Coverage:
Owning the Energy Transition More...
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Project
by Jessica Hernandez
Average importance

The South Australian government plans to equip at least 50,000 homes with a 5 kW photovoltaic (PV) system and 13.5 kWh Tesla Powerwall 2 battery, and claims that these homes will experience 30% in energy cost savings. The purpose of this VPP is to assist during peak demand hours and improve energy stability. This new project eclipses AGL and Sunverge’s plan to develop the world’s largest battery-only VPP, also in South Australia. AGL’s project went live in early 2017 and was suspended a few months later. This time, the government intends to offer the PV and battery system free of charge, while only assisting with 0.3% of the total cost. The economics of the project are hazy; clients should remain skeptical until more details are released.

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