Five things you need to know about BESS in Australia
Battery Energy Storage Systems (BESS) are the key to Australia – and the world – transitioning to 100% renewable energy. Rapid advancements in the technology have added significant value to renewable power generation models and that value is only increasing.
Here are five things you need to know about the rise of BESS in Australia.
1. BESS is the new clean peaker
Thanks to technological advancements, large-scale battery storage is now the superior choice for electricity peaking services — storing energy for when it’s needed most.
A 2021 paper published by the Clean Energy Council showed that BESS provides significant cost, flexibility, and emission advantages in comparison to traditional peaking services such as open-cycle gas turbine plants. BESS were found to have faster reaction time, higher accuracy and increased flexibility, allowing them to respond more efficiently to price variability.
BESS’s lower operating costs, complemented by its lowered capital costs, are cementing it as a superior solution to meet the demands of peaking power.
2. Australia currently has 12 ‘big battery’ projects operating, 38 underway and 42 proposed
Australia’s BESS industry is booming with no signs of slowing down. There is currently a total of 92 big battery projects implemented, in-the-works, or proposed in Australia today. That’s not including any smaller battery projects (<10MW) which are also underway across the nation.
In 2021 the BESS market had a record-breaking year surpassing 1GWh of annual battery storage deployments, enough energy to power 750,000 homes. Of this 1GWh, approximately 756MWh was non-residential, focusing on large-scale front-of-the-meter projects instead. It brought the total amount of BESS installed in Australia to 2,657MWh.
Another 1GWh+ of installation has been forecasted for 2022, predicting 33,000 home energy storage sales and around 750MWh of grid-scale storage.
3. A total of 19GW of firming storage is needed by 2040
As we navigate our way in the clean energy revolution, we need to rethink how energy will be stabilised going forward. BESS offers a vital solution, with the storage of energy potentially being the best possible insurance policy on any network powered by renewables.
The Australian Energy Market Operator (AEMO) has predicted that 63% of coal-fired energy generation will retire by 2040 with expectations it will be replaced by 26-50GW of renewable energy generation across wind and solar. To match this rise in renewable energy, there needs to be a complementing rise of 19GW in ‘firming’ generation assets, dedicated to supplying energy during times of poor renewable generation. BESS is a first defence in this area.
4. The Australian government has committed to funding $100M in BESS
The government recognises the benefits of BESS. Acting through the Australian Renewable Energy Agency (ARENA), $100 million has been provided in government grants towards large-scale battery energy storage projects.
5. Risen is working hard to contribute to BESS deployment
Risen Energy Australia is taking a proactive role in deploying BESS around Australia. We are currently involved in six BESS projects which are at various stages of the development pipeline.
Talk to us today about partnering up for your next BESS Project: https://risenenergy.com.au/contact/