The company behind a $100-million solar plant with battery storage has said its project could solve South Australia’s energy woes as Australia’s conservative Liberal-Nation government announces a $445,000
investment into a pumped hydro-station for the state.South Australia’s power supply has been scrutinised since the state was plunged into darkness last September, and was recently forced to “load shed” during a recent heatwave.
South Australian-based renewable energy company Zen Energy is working to build a $100-million solar power plant with 100 megawatt (MW) of battery storage in the region.
“The blackouts of the past year would not have happened if this was in place,” he said.
We think that it can make a major contribution both to grid stability and also to provide a buffer for when peak demand for power exceeds supply from other sources.”
However, Professor Garnaut said “arcane” rules and pricing in the national electricity market needed reform in order for the project to be viable.
He said they already had financial backing for the project, which meant it could be in operation by next summer if restrictions were loosened.
“Our biggest hope is for reform of the arcane rules of the national electricity market which are standing in the way of a secure energy future; it’s one of the most regulated sectors in the Australian economy,” Professor Garnaut said.
“It makes life very difficult for a battery that can respond very quickly and it takes away some of the advantages of the battery.”
Energy Australia also received $450,000 from the Australian Renewable Energy Agency (ARENA) today to develop a pumped hydro-power station in the Upper Spencer Gulf.
Pumped hydro generates power by releasing water from a dam through turbines to a lower dam when there is high demand and pumping it back to the top at off-peak times.
Mr Weatherill has previously touted the idea of breaking away from the national electricity market.
However, Professor Garnaut said reforming the national system would be a better option for South Australia.
Mr Weatherill said work was progressing on the state government’s energy plan which would recommit to a 50 per cent renewable energy target.
“We’ve got people beating down our doors promoting renewable energy projects which includes storage,” he said.
“The long-term future is renewable energy associated with storage which will secure the future of our energy sector here in this stage and also the nation.”
Mr Weatherill said the government would release its energy plan “soon” but the Liberal-National state opposition has accused the government of not having a plan.
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