THE Limestone Coast is set to become an epicentre for state-of-the-art renewable energy technology amid plans by a national energy giant to co-fund a $38m “big battery” near Millicent.
Infigen Energy yesterday announced plans to build a 25MW/52MWh battery energy storage system at the Lake Bonney wind farm, using Tesla Powerpack technology.
The investment is considered key infrastructure to secure power supply to South East households and businesses following a number of power black-outs.
Member for Barker Tony Pasin yesterday welcomed the significant project, which has received investment from the South Australian Government and the Australian Renewable Energy Agency (ARENA).
“This Federal Government investment will convert the Lake Bonney wind farm from a facility that delivers intermittent energy to one which will operate on a more baseload basis and I welcome that,” Mr Pasin said.
His comments follow the Liberal backbencher making waves in his partyroom this week by declaring he cannot support the Coalition’s proposed National Energy Guarantee.
“My focus regarding energy policy in Australia has always been on reducing the cost of electricity for businesses, households and consumers,” Mr Pasin said in a statement yesterday.
It is understood a number of Coalition MPs have threatened to cross the floor on the issue.
“I advised the prime minister and my colleagues during the party room discussion on Tuesday that I cannot support the NEG as currently designed and would only do so if it incorporates a price target,” Mr Pasin said.
It is understood state and federal government agencies will each contribute $5m to the Infigen Energy project, which is expected to get under way next month.
Infigen Energy operates 112 of the wind turbines which overlook Lake Bonney and have a maximum generating capacity of 275 megawatts.
Once installed, the battery will be connected to the national electricity market via the Mayurra substation owned by ElectraNet.
When fully charged, the battery will have 52 megawatt hours of stored electricity, ready to be dispatched when needed.
By charging during times of low demand and low prices in the spot market, the battery will enable Infigen Energy to store and supply energy to service the needs of its customers and manage the risks of intermittent production during periods of high market prices.
In addition to providing firming energy for Infigen’s portfolio, the battery will also provide ancillary services to the national energy market, ensuring increased security and quality of supply.
Infigen Energy chief executive Ross Rolfe said the Lake Bonney project demonstrated his company’s solid progress towards participating in the current growth opportunities in the market.
“We are delighted to be able to work with a global technology leader Tesla, the Federal Government’s Australian Renewable Energy Agency (ARENA) and the State Government to improve energy security for South Australian energy consumers,” Mr Rolfe said.
He was recently in the South East region with other Infigen Energy board members.
They hosted a dinner at a Mount Gambier restaurant for the owners and managers of the 25 farming properties where their turbines are located.
Wattle Range Mayor Peter Gandolfi yesterday welcomed the announcement.
“Whilst we are not aware of the local content of the construction, we would be hopeful that local contractors are engaged to provide goods and services for the project,” Mr Gandolfi said.
ARENA chief executive Ivor Frischknecht said battery storage was increasingly becoming a key component of transitioning to an energy system powered by renewables.
“It is clear that grid scale batteries have an important role in stabilising the grid,” Mr Frischknecht said.
“The co-location of a battery with a wind farm provides an opportunity for Infigen Energy to pursue regulatory changes that could improve revenue outcomes for grid-scale batteries, helping to become more competitive.”
State Energy Minister Dan van Holst Pellekaan said the Lake Bonney project was one of 21 to receive funding through the State Government’s Renewable Technology Fund.
“The Marshall Government is a strong supporter of increasing battery storage to harness the full potential of South Australia’s abundant renewable energy to deliver lower prices to households and businesses,” Mr van Holst Pellekaan said.
“South Australia needs substantial investment in multiple battery storage systems to ensure the continued transition to renewable energy produces more affordable and reliable electricity.
“Infigen Energy’s investment in South Australia is welcome news to businesses in the state as it will increase the competitiveness of electricity prices for customers with high energy demand.”
Infigen Energy has had long-term planning approval since 2012 for a further 124 wind turbines between Millicent and Cape Jaffa.