Energy November 2021 Digital Edition by Monkey Media

ISSUE 16 · November 2021 · www.energymagazine.com.au

ELECTRIFIED HOUSEHOLDS:

the climate change vaccine

Game-changing bifacial solar cells developed

AUSTRALIA’S OFFSHORE energy potential unleashed

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ISSUE 16—NOVEMBER 2021 WELCOME

ISSUE 16 · November 2021 · www.energymagazine.com.au

ELECTRIFIED HOUSEHOLDS:

the climate change vaccine

Game-changing bifacial solar cells developed

AUSTRALIA’S OFFSHORE energy potential unleashed

Cover highlights two major features in this issue; one on a promising bifacial solar cell development, the other on the role of solar in household electrification.

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Monkey Media Enterprises ABN: 36 426 734 954 C/- The Commons, 36–38 Gipps St, Collingwood VIC 3066 P: (03) 9988 4950 F: (03) 8456 6720 monkeymedia.com.au info@monkeymedia.com.au energymagazine.com.au info@energymagazine.com.au ISSN: 2209-0541

Editor Imogen Hartmann Contributing Editor Michelle Goldsmith Journalists April Shepherd Christopher Allan Lauren DeLorenzo Annabelle Powell Design Manager Alejandro Molano Designers Jacqueline Buckmaster Danielle Harris Luke Martin National Media and Events Executives Rima Munafo Brett Thompson Marketing Manager Radhika Sud Publisher Chris Bland

EDITOR’S WELCOME

his is a very exciting issue of Energy for me to introduce to you, the first that I have worked on as the new Editor. I’ve spent the last couple of years working on Energy as a Journalist and Associate Editor, under the mentorship of Managing Editor, Laura Harvey, and I share her passion for the industry, the challenges and the opportunities that lie ahead. As Editor, it’s important to me to continue the legacy that Laura has carved in bringing you the highest quality news and stories. Whether it’s innovative technology, new forms of generation, forward-looking policies, asset maintenance strategies, or finding new ways to continue to support the transition to a cleaner energy future – you’ll be able to find it in Energy magazine. Part of what I love the most about Energy is the reputation of delivering stories by the industry, for the industry. With that in mind, if you have a potential story to pitch, I encourage you to get in touch. My contact details are at the bottom of this page. The Energy team has been hard at work creating our last issue for the year – and what a year it’s been. For many of us, we started the year hoping that it would look a lot different from 2020 in terms of COVID-19 lockdowns and restrictions, but unfortunately, that’s not been the case. However, at the time of writing this, I’m watching the vaccination rates tick upwards, restrictions easing in many parts of the country, and feeling cautiously optimistic that we’re finally approaching the light at the end of the tunnel. Although the lockdowns have been hard and testing, the energy industry has continued to power through, stepping up to the challenge of ensuring that the lights stay on, with an ever-watchful eye on the future. I know the transition to a cleaner energy landscape has been on everyone’s minds, and at the time of writing this, the

Federal Government has just released its long-awaited strategy to reach net zero emissions by 2050 ahead of COP26 in Glasgow. The strategy is one that the industry has been eager to see and has much to say about, which we delve into in this issue. With decarbonisation front-of-mind, in this issue, we explore what’s been dubbed as the climate change vaccine: electrification. I for one, am feeling significantly more positive about a potential emissions-reduction solution after getting my head around the concept, and I encourage you to give it a read. We also look at some of the biggest batteries around the country, a promising bifacial solar cell development, the role of transmission in our clean energy future, and much more. I hope you enjoy this issue, and I very much look forward to continuing to bring you all the latest news in Energy magazine. Imogen Hartmann Editor

We’re keen to hear your thoughts and feedback on this issue of Energy. Get in touch at info@energymagazine.com.au or feel free to give us a call on (03) 9988 4950.

Managing Editor Laura Harvey November 2021 ISSUE 16

CONTENTS NEWS 4

Controversial NEM reforms to see further evaluation

NSW maps EV fast-charging network future

IEA: using drones to identify underperforming solar panel networks

64 FEATURES SCHEDULE

Australia’s biggest energy source revealed

64 ADVERTISERS’ INDEX

Additional $150 million for regional hydrogen hubs

FUTURE ENERGY

10 Household electrification: savings, not sacrifice

24 S iemens’ string inverter technology helping mines reduce emissions

FUTURE ENERGY 16 Australia's solar reign: record bifacial solar cell development 20 Australia’s big battery boom

November 2021 ISSUE 16

EDITOR'S WELCOME

INDUSTRY INSIGHT

14 M aking the most of strategic partnerships in renewable energy

EACH ISSUE

26 Sustainably powering specialist disability accommodation

32 GRID INTEGRATION AND STABILISATON 32 Why new transmission is essential to Australia’s clean energy future 34 O ffshore framework to bring new swell?

28 W inning hearts and minds to deliver the renewable energy transition

37 H ow Siemens is helping Tahiti reduce its environmental footprint

30 M aking wind turbine rotor brake maintenance a breeze

38 B atteries – powering the clean energy transition

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CONTENTS

DISRUPTION

BIOFUELS

40 Black system or black swan: learnings from South Australia’s infamous 2016 blackout – Part 2

46 A ustralia’s hydrogen future: how wastewater is changing the game

44 W hy thermal runaway is the real killer in battery fires

52 DEMAND MANAGEMENT 52 I ntegrity of the rooftop solar PV sector under review

50 IoT & CLOUD COMMUNICATION 50 Consumers at the heart of energy digital transformation

48 W aste-to-energy: tapping into new technologies

56 DECARBONISATION 56 Australia’s net zero by 2050 plan: what does it mean for our energy future?

60 ELECTRIC VEHICLES 60 Electric vehicles and Australia’s fast-charging network: which states are on the right track?

54 W hy storage is the perfect partner for PV

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November 2021 ISSUE 16

NEWS

CONTROVERSIAL NEM REFORMS TO SEE FURTHER EVALUATION

he Energy National Cabinet Reform Committee has introduced major reforms, including 5 Minute Settlements (5MS), twoday retail switching and Wholesale Demand Response (WDR) in the National Electricity Market (NEM). The reforms were based on recommendations provided by the Energy Security Board (ESB) and aim to aid Australia’s energy transition and improve market efficiency, competition and consumer benefits. CEO of the Australian Energy Market Operator (AEMO), Daniel Westerman, said the reforms will create better outcomes for market participants, consumers and a more efficient energy sector. “5MS will reduce the wholesale electricity spot market settlement period from 30 minutes to five minutes, matching the electricity dispatch periods,” Mr Westerman said. “5MS provides better price signal for investment in fast response and flexible technologies, such as batteries and gaspeaking generation.” AEMO also began reporting unaccounted for energy (UFE) values as part of the Global Settlement (GS) ‘soft-start’ in October. Full GS changes will be implemented on 1 May 2022. At the start of October 2021, the time for consumers to change electricity retailers

was reduced from up to three months to two-day transfers. Following a recommendation in the ACCC’s Retail Electricity Pricing Inquiry report, AEMO developed a new framework to facilitate faster and more efficient switching. A new market participant category will be introduced to coordinate and offer ‘demand response’ into the NEM. Proposed reforms were provided to National Cabinet in October 2021, and included: » Adoption of principles for jurisdictional investment schemes » The option of a ministerial lever for the T 3 instrument under the existing Retailer Reliability Obligation » Progression of a Distributed Energy Resources (DER) Implementation Plan » Adoption of a ministerial lever for emergency backstop measures for minimum load conditions » Enhancements to the transparency of generator availability » Implementation of a jurisdictional strategic reserve Ministers also agreed to progress further design work on a mechanism that specifically values capacity in the NEM, and to support further design work to develop a congestion management model. The capacity mechanism received concerns from the industry that it would result in paying coal generators to remain

in the grid longer than necessary, while the congestion management proposal was criticised for its potential to generate too much uncertainty around new projects, causing financing difficulties. ACT Energy Minister, Shane Rattenbury, said the ministers also agreed to establish an environmental element that has been lacking in the NEM rules. Mr Rattenbury said he put forward amendments to ensure that the capacity mechanism only applied to new, zero emissions capacity to avoid unnecessarily prolonging the life of coal and gas power plants. The proposed reforms will also streamline the ESB by reducing its membership to the heads of the three market bodies (the Australian Energy Market Commission (AEMC), the Australian Energy Market Operator (AEMO) and the Australian Energy Regulator (AER). The head of the AEMC will Chair the ESB, although Energy Ministers retain the power to appoint an independent Chair if necessary. The full suite of reforms are expected to ensure the NEM remains fit-for-purpose and capable of providing the full range of services necessary to deliver an affordable, secure, reliable and lower-emissions electricity system for consumers.

NEWS

NSW MAPS EV FAST-CHARGING NETWORK FUTURE

he New South Wales Government has created an online interactive map, the Electric Vehicle Charging Masterplan, designed to showcase the state’s potential Electric Vehicle (EV) fastcharging network. The Masterplan is a fully open-access map that will help investors identify optimal locations for electric vehicle fast-charging infrastructure and will help to assess applications for EV charging grants. New South Wales Minister for Transport and Roads, Andrew Constance, said the interactive plan is about making the state the best place in the nation to buy and drive an electric vehicle. “The Masterplan highlights our plans to boost our existing charging network by over 300 per cent – providing more EV charging stations than all the other Australian states and territories combined,” Mr Constance said.

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“The New South Wales Government will co-fund new ultra-fast charging stations by providing about 1,000 charging bays along key travel routes across the state and unlocking around $160 million in private investment. “The ultra-fast chargers will allow vehicles to charge to optimal range in under ten minutes or about the time it takes to have a cup of coffee – future-proofing the state and signaling to the market that New South Wales is ready to receive more EV models.”

World-first free EV fast-charging kiosk An initiative from Ausgrid has seen the state’s first-ever transformation of an existing streetside kiosk into a state-ofthe-art JOLT EV charging station in Mona Vale, near the heavy traffic volume areas identified by the Masterplan. Ausgrid Chief Customer Officer, Rob Amphlett Lewis, said Ausgrid’s program to convert existing streetside “green boxes” to double as charging stations was going to help push Sydney into greater EV take-up. “We’re using existing, essential electrical infrastructure on the street to provide a free service for the community and hopefully help accelerate the transition to electric vehicles in Australia,” Mr Amphlett Lewis said.

“People will be able to pull up, plug in and be on their way in 15 minutes.” JOLT Chief Executive Officer, Doug McNamee, said he plans to rollout 500 charging kiosks across the Ausgrid network. “JOLT’s partnership with Ausgrid helps solve the major barriers affecting the uptake of EVs including access to charging, cost and range anxiety,” Mr McNamee said. “In the last twelve months, EV ownership has skyrocketed, almost doubling to 23 thousand new registrations, representing the second year in a row where the total number of electric vehicles has almost doubled. “Now more than ever, Australians are gearing up for an EV revolution.” Customers will be able to sign up via the JOLT app to access 7kWh for free once per day, which takes around 15 minutes to charge. Users looking for more than 7kWh can pay for further energy via the app. The next kiosk will open in Strathfield, with plans for charging stations to be rolled out across Sydney including Randwick, Hornsby and the Northern Beaches. The Electric Vehicle Charging Masterplan is the latest step in the state’s nationleading half-a-billion-dollar Electric Vehicle Strategy, released as part of the 2021-22 New South Wales Budget.

November 2021 ISSUE 16

NEWS

IEA: USING DRONES TO IDENTIFY UNDERPERFORMING SOLAR PANEL NETWORKS

he International Energy Agency (IEA) Photovoltaic (PV) Power System Programme, has released a comprehensive PV inspection methods report, showcasing a number of innovations used to inspect PV onsite with portable test equipment – such as the use of infrared inspection with drones. Australia is represented by the Australian Photovoltaics Institute (APVI) in the IEA report titled, Qualification of PV power plants using mobile test equipment. The value of a PV power plant relies heavily on the solar technology performing to its promised yield, however these large-scale operations have traditionally been difficult to monitor for faults, defective or degraded PV modules; a 100 per cent technical inspection is unfeasible. New technology is helping these inspections take place, and in Australia, drones play an important part in identifying underperforming power plants. Recent monitoring innovations, including rapid advances in infrared inspection with drones, makes it possible to obtain an overall picture of the status of an operational PV array, as well as identifying specific PV strings or modules for further detailed analysis using mobile PV test centres. Onsite PV inspection methods include: » Drone-mounted electroluminescence and thermal infrared inspection of PV arrays » Daylight current-voltage measurement of PV strings and PV modules » PV module characterisation with a mobile PV test centre » Dark current-voltage measurement of PV strings and PV modules » PV plant testing vehicle for PV strings

November 2021 ISSUE 16

» » » » »

Electrical impedance spectroscopy of PV strings Daylight electroluminescence imaging UV fluorescence imaging Advanced outdoor photoluminescence imaging Spectroscopic methods for polymeric materials

These onsite inspection methods allow a more targeted analysis of failure as PV modules are not blindly selected. Additionally, the quality and significance of the on-site inspection results are comparable to that of traditional laboratory tests. In the past, suspect solar modules in a PV power plant would need to be dismantled and shipped to offsite laboratories to assess, resulting in a lengthy downtime of the PV string, and risk of damage during transport. The APVI’s two contributing authors in the report are Dr David Parlevliet, senior lecturer in the Discipline of Engineering and Energy at Murdoch University, and Dr Oliver Kunz, post-doctoral researcher in the Photoluminescence Group at the UNSW School of Photovoltaics and Renewable Energy Engineering. Dr Parlevliet said, “Being able to perform accurate and timely on-site inspection is particularly important in Australia given the long distances and time required to ship modules to a test lab.” Drones have now become an important piece of the portable test equipment and as Dr Parlevliet explains, “are increasingly being used in industry to rapidly assess and monitor PV plants, sometimes autonomously”. Dr Kunz said, “The use of drones has been revolutionary in assessing the performance of PV power plants in Australia, often in remote locations and in harsh environments. Our skilled drone pilots are incredibly effective in reducing the costs and improving the accuracy of PV plant monitoring and management.”

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NEWS

AUSTRALIA’S BIGGEST ENERGY SOURCE REVEALED

he 2021 Australian Energy Statistics report details the continued growth of gas consumption and reveals that coal remains the largest source of electricity generation, accounting for more than half of the country’s power. Released by the Federal Government, the report covers all energy used, produced and traded in Australia, including to power the electricity system, fuel transport and sustain the manufacturing sector. The statistics show that gas increased the most of all energy types in 2019-20 – growing four per cent, providing 27 per cent of Australia’s energy mix in 2019-20 and was the most-used energy source by the manufacturing sector, increasing to 42 per cent of manufacturers’ energy needs. According to the latest data, coal remained the largest source of electricity generation, with 54 per cent of electricity generation from coal in 2020. Renewables continued to increase, with the share of total generation in the 2020 calendar year rising to 24 per cent – up from 21 per cent the previous year. Solar generation has increased a whopping 42 per cent, with solar PV (especially large-scale solar PV) being the fastest growing generation type in both 2019-20 and the 2020 calendar year. This rising renewable capacity is mostly a result of an increase in solar and a 15 per cent increase in wind generation, with solar and wind each contributing eight per cent of total generation.

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Approximately 16 per cent of Australia’s electricity was generated outside the electricity sector by industry and households in 2019-20. The statistics also highlight the significant impact COVID-19 had on some parts of Australia’s energy supply and use. Overall energy consumption fell by 2.9 per cent in 2019-20, compared to average growth of 0.7 per cent in the previous decade. This was largely driven by a nine per cent drop in the transport sector due to less passenger air and road travel. Energy imports also fell by seven per cent to 2,244PJ in 2019-20, most imports were of refined petroleum products and crude oil and other refinery feedstock, which fell in response to lower transport demand and the associated lower refinery output.

November 2021 ISSUE 16

NEWS

ADDITIONAL $150 MILLION

FOR REGIONAL HYDROGEN HUBS

he Federal Government is set to add $150 million for a further two locations under its $1.2 billion Clean Hydrogen Industrial Hubs program in an effort to bolster regional economies. The additional funding will enable the rollout of hydrogen hubs across seven priority regional sites. The now $464 million grant program provides up to $3 million grants for project consortia to initially progress feasibility and design work, and up to $70 million towards the roll-out of projects. Seven prospective locations across Australia have been identified and include: » Bell Bay (Tasmania) » Darwin (Northern Territory) » Eyre Peninsula (South Australia) » Gladstone (Queensland) » Latrobe Valley (Victoria) » Hunter Valley (New South Wales) » Pilbara (Western Australia) The Australian Hydrogen Council (AHC) has welcomed the investment in the future of hydrogen. AHC Chief Executive Officer, Dr Fiona Simon, said, “It’s certainly a vote of confidence in the industry and we hope there’s more to come.

November 2021 ISSUE 16

“There’s no doubt that Australia has the renewable energy resources, the technical skills and the track record with international partners to become a global hydrogen leader.” Dr Simon said the decision to increase the number of hubs from five to seven is good news for jobs and getting the industry to scale as hubs drive collaboration and shared benefit. “Globally, hubs are considered vital to establish scale in clean hydrogen. We now await broader planning and regulatory architecture being put into place to enable hydrogen to reach commercial scale,” Dr Simon said. Prime Minster Scott Morrison said these hydrogen hubs would create jobs across Australia and fast-track Australia’s push to be a global leader in the new energy economy. “We are accelerating the development of our Australian hydrogen industry and it is our ambition to produce the cheapest clean hydrogen in the world, transforming our transport, energy, resources and manufacturing sectors,” Mr Morrison said. “This is good for jobs, good for our environment and contributes to our global effort to reduce emissions through technology not taxes.”

Hydrogen hubs, as identified by the National Hydrogen Strategy as a priority measure, will create economies of scale by co-locating hydrogen producers, users and exporters in one location. The Clean Hydrogen Industrial Hub Grants program will build on the work being done by the Special Adviser on Low Emissions Technology, Dr Alan Finkel, to broker international partnerships and initiatives that will accelerate the deployment of hydrogen and other priority low emissions technologies. Cooperation on hydrogen forms part of new low emissions partnerships with Germany, Singapore, Japan and the United Kingdom announced in 2021. While the hydrogen program is open Australia-wide, the seven locations have been identified based on strong interest and activity from industry and each location’s existing capabilities, infrastructure and resources. Program guidelines are available at business.gov.au. The Hub Implementation Grants round will support Australian industry to roll-out and establish clean hydrogen industrial hub projects in regional Australia, with cofunded grants up to $70 million available.

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INDUSTRY INSIGHT

HOUSEHOLD ELECTRIFICATION:

SAVINGS, NOT SACRIFICE by Imogen Hartmann, Editor, Energy magazine

November 2021 ISSUE 16

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INDUSTRY INSIGHT

The narrative around climate change has often been one of doom and gloom, and, although it is a very serious topic, Dr Saul Griffith argues that there’s finally a “good news story”. Dr Griffith is shifting the narrative from what we have to lose, to instead what we have to save. Here, we speak to the founder of Rewiring Australia, key architect of US President Biden administration’s electrification agenda and winner of the prestigious Macarthur Fellowship, about what he dubs as the “vaccine” for climate change: electrification.

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November 2021 ISSUE 16

INDUSTRY INSIGHT

ccording to Dr Griffith, the debates around climate change solutions have been too often shrouded in fear about the potential loss of exports because of Australia’s prevalence as a major coal and gas exporter. However, he maintains that we have “a lot to win” in terms of electrification. This was the notion behind extensive modelling that was conducted for US President Joe Biden’s administration, which examined the positive aspects of the electrification transition through household economics. Last year, Dr Griffith began applying this same energy economic modelling to Australian domestic households to assess the potential savings, but factoring in one major advantage – “the Australian rooftop solar miracle”. Castles and cars The original marveller of electricity, iconic Australian film The Castle protagonist Dale Kerrigan, might just have been onto something, especially with an emphasis on the importance of homes. In early-October, Rewiring Australia, a new energy think tank, released its inaugural report, Castles and Cars: savings in the suburbs through electrifying everything, which demonstrated that Australian households could vastly reduce their energy bills through electrification, and cut domestic emissions by around one third by 2030. The modelling in the report predicted an average household saving of $5,000 on power and the cost of owning cars and appliances by 2030. This would be achieved by replacing conventional cars and appliances with electric vehicles, solar, batteries and efficient appliances such as heat pumps for hot water and heating and cooling. “The future looks like vastly cheaper energy, better homes and nicer cars,” Dr Griffith said. “It is now well understood that the vaccine for climate change is electrification. As with COVID-19, we do better by going hard and going early. Australian households will save on energy and money with this electrification vaccine.” Electrification of households would reduce domestic emissions by around 33 per cent by 2030, which would enable Australia to pledge a higher 2030 target at the Glasgow climate conference. The abundant solar advantage According to Dr Griffith, Australia is already the world leader in rooftop solar,

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with around three million solar households. This gives the country a massive head start in electrification. “No nation is better placed to seize this opportunity for cheaper energy, selfreliance, and cleaner air than Australia,” Dr Griffith said. “Australians already lead the world in harvesting solar electricity. Now we have the technology available to use it. “With modest public investment in our homes, cars, and communities, we can electrify everything without sacrificing our way of life. If we embrace this shift now, we can enjoy cheaper, cleaner, healthier energy, and win the global decarbonisation race.”

using electricity to separate out the heat and the cold from air. This allows them to use about three times less energy than water heaters or space heaters burning natural gas.

Long-term savings, upfront costs The modelling in the report uses published data that predicts dramatic cost reductions in battery, electric vehicles and efficient electric appliances. Dr Griffith and his co-authors project that the finance and running costs of a “rewired” home will soon be cheaper than one with a petrol car and conventional gas and electric appliances. Millions of households are already saving with solar, storage and electric appliances.

“It's written into our national poetry. We are a sunburnt country.” The Australian rooftop solar advantage is our ticket to winning the decarbonisation race. The electrified home at a glance In order to capitalise on Dr Griffith’s modelled savings, the electrified home would include: » Heating systems (water heating, space heating, or cooktops) swapped from natural gas to electric heat pumps and induction hotplates » Rooftop solar panels » A home battery Dr Griffith also says economics can be improved further with weatherisation, LED lighting, and other efficiencies. Perhaps the most important household electrification swap is the cars in our driveway. According to the report, cars account for 38 per cent of household emissions and average around $3,000 per household in annual fuel expenses – making them the largest contributor to household emissions and energy costs. When looking at the “average” Australian household, which the report deems as 2.6 people and 1.8 vehicles, vehicle fuels account for 69 per cent of the total household energy use. The report also maintains that electrification equals efficiency, with solar or renewable-powered electric vehicles only consuming 25-35 per cent of the primary energy of their internal combustion engine alternatives. Heat pumps (the technology that enables refrigeration and air conditioning function) can be run in a reversible or mini-split system to also heat households or water

All-electric homes, appliances and vehicles will be the cheapest option by mid-decade. Dr Griffith says that whole-home electrification of Australia’s housing stock will be an economic win for all households mid-decade. He maintains that Australia’s federal and state governments should be developing workforce capacity, industrial supply chains, and grid integration immediately to enable Australia to lead the world in decarbonising. The paper predicts that cumulative public investment would peak at $12 billion in 2025 before delivering savings of $40 billion per year by 2030. However, electrified end-use machines – cars, kitchen ranges, water heaters, and heating systems – while typically cheaper to operate, are more expensive to purchase. Electric vehicles, being around 3.5 times more efficient at converting energy into motion, have the potential to unlock significant long-term cost savings when fueled by (or charged with) cheap renewable electricity. According to the report, charging an electric vehicle, even with the existing electricity grid, would cut fueling costs in half. Despite these obvious long-term economic benefits though, the upfront costs of electric vehicles are still pricier. The increase in electric vehicle production has only occurred recently, unlike solar and wind turbines, so they haven’t yet seen the same reduction in cost. This is forecast to change, with

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INDUSTRY INSIGHT nations imposing petrol car sale deadlines, but electric vehicles aren’t expected to match the same price as their petrol counterparts until 2026 – though they’re expected to be 20 per cent cheaper by 2030.

Making electrification equitable Because of these upfront costs, Dr Griffith says that the credit of a household will very much impact a consumer’s ability to electrify, making finance a very important piece of the puzzle that needs to be considered. “For the very wealthiest households, the savings are inconsequential and they can afford the cash,” Dr Griffith said. “I think the upfront cost does matter to the other households and the access to credit to purchase these things is a very big challenge.” The good news is, the report records that major banks are now providing consumer financing for these types of goods, but the problem remains for those that rent their home instead of owning them. “How do you pass the savings through the landlord? I think these are very important questions to answer if we want this to happen equitably and not become a cultural division,” Dr Griffith said. “That's a problem that's only going to be solved with clever legislation and regulation and maybe even public-private partnerships with banks that will support it.” Grid neutralisation: inspiration from the internet When it comes to removing barriers, the report indicates the need for the swift elimination of red tape, including building

codes, permitting processes, zoning rules, grid standards and wholesale electricity market participation. The report states, “Anything that acts as a barrier to these technologies being installed needs to be removed so individuals and businesses can actively participate in the new energy market.” An essential component of this ethos is a “Grid Neutrality” policy for the National Electricity Market (NEM). Dr Griffith said years ago, the rules of the internet were designed to be completely democratic so that no data packet had any privilege over anyone – which is what needs to be applied to the NEM. According to Dr Griffith, the rules of NEM favour the utilities, the distributors, and the generators, when there’s potential for more individual participation in the grid. We need to “level the playing field”. “‘We need everything that can be a battery to be a battery that is playing demand response. We need everything that can generate to be a generator that is feeding into the grid, regardless of the size or scale,” Dr Griffith said. This will ensure that all storage and generation assets on the grid have equality in dispatch, and increase system security. “It isn’t rocket science, we need to abolish subsidies for gas appliances, stop expanding gas reticulation networks, and aggressively phase out natural gas for both new households and existing households,” the report states.

Four key players Dr Griffith says that it's now late in the climate game and we won't get where we want to “unless everyone plays nice”. This

is in reference to the collaboration and participation of the four key energy players; governments, generators and distributors, utilities and the third parties, and the households or the consumers. Dr Griffith argues that all four of those players can see the potential for positive economics with electrification, but what’s missing is a unilateral guiding principle. While he believes as much of the potential savings as possible should be passed on to the household, Dr Griffith also says that there still needs to be economic motivation for the remaining three players, and therein lies the negotiation at stake. Dr Griffith said that in order for the government, the energy industry, and the consumers to benefit from electrification, it’s going to take some give and take.

A simple solution Dr Griffith deems the electrification solution as a simple recipe. For the household consumer, it means shifting the focus from small, frequent investments and decisions, like purchasing stainless steel water bottles and using keep-cups, to instead making a finite number of infrastructure-for-your-life decisions. These are the types of decisions, like home and vehicle electrification, that only need to be made once every ten years or so, but with a significant impact. “I think Australia is ready for some good news stories around climate,” Dr Griffith said. “I think the Australian public is ready for a simple story of how they can help and how they can engage.” Dr Griffith believes that caring about the climate often trumps political alignment, and there’s an overarching hunger for an answer to: what do we do? “To be able to give a fairly simple answer that is relatable to the things in your life – your kitchen, your basement, your garage, your cars, your rooftop – is pretty reassuring,” Dr Griffith said. As for governments, Dr Griffith believes that by not asking their constituents for sacrifice, but to instead be able to put money back in their pockets without a massive lifestyle impact, is a big draw, one that gives permission to have larger ambition when it comes to climate and energy policy. According to the report, the time to act is now, and no sector of our economy is better poised to decarbonise first and faster than our own households: our castles and our cars. To read the full report, go to: https://www.rewiringaustralia.org/ castles-and-cars

Electric vehicles are still more expensive to purchase up front than their petrol counterparts, but that’s set to change.

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November 2021 ISSUE 16

INDUSTRY INSIGHT

MAKING THE MOST OF STRATEGIC PARTNERSHIPS IN RENEWABLE ENERGY by Danny Touma, PwC Australia’s Integrated Infrastructure team – Environmental Transactions & Advisory

November 2021 ISSUE 16

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INDUSTRY INSIGHT

When the ground is shifting or the going is tough, joining forces can make a lot of sense. The booming Australian renewable energy market is a changing and challenging environment, but it also holds out enormous opportunity for developers and investors willing to work together for mutual benefit.

or renewable energy developers, a combination of challenges is increasing the cost and complexity of projects and making it harder to reach financial close. Connecting to the grid and securing offtakes is not as simple as it was, so the benefit of having the ultimate project owner involved in key project development items is becoming more pronounced. For developers, partnering with an investor may offer early access to capital and credit, greater financial security, and support to secure power purchase agreements. Developers may also benefit from an investor’s expertise and networks that can be leveraged in lobbying and advocacy to successfully bring projects to financial close and commercial operations. For investors, partnering with a renewable energy developer is an effective path to better carbon credentials. The world’s biggest utility giants, oil/gas majors, and financial investors are keen to capitalise on the renewables boom, with its potential to improve their ESG bottom line as well as deliver growth. The dynamic forces at play in Australia’s renewables sector are transforming the structure of deals. We expect to see continued market consolidation, with renewable developments increasingly steered by large strategic investors and infrastructure funds. The investor/developer partnership While every deal is unique, they are usually built on one of two structures. In the first model, the investor purchases all or part of the development company, gaining access to the expertise of the developer’s team, and part or all of the portfolio of projects. The investor benefits from spreading asset-specific risks across a portfolio, and the developer benefits from upfront payment and pipeline funding. They may also benefit from access to the resources of a large enterprise (e.g. governance, technical, construction, and government relations expertise). The second model involves a large strategic investor buying all or some projects in a developer’s pipeline. Set milestones are agreed upon for

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each project, and responsibilities are allocated between the investor and the developer. These arrangements can be an effective way for investors to mitigate risk, and for developers to retain a greater degree of autonomy.

Having a clear understanding from the start It is always better to identify misalignments between the two parties during due diligence, rather than rushing in and discovering fatal problems too late. Investors and developers need to enter negotiations with a realistic view of one another’s expectations, capabilities, and risk appetites. Communication, honesty, and trust are at the core of the strongest partnerships. Both parties should clarify their levels of influence, responsibility for delivering key project milestones, and the funding arrangement (process and amounts) for development capital and developer profits. It’s also important to identify nonfinancial synergies and examine how compatible each organisation is in terms of management and culture. A good cultural fit can make a tremendous difference when the pressure is on. To build an effective, mutually beneficial partnership, there are several important actions that each party should take: Developers Developers should begin with an objective look at their own organisation and portfolio. This will enable developers to articulate their strengths and capabilities, identify areas that could benefit from a large investor’s input and expertise, outline realistic project timescales and expectations for connecting to the grid, and clarify non-negotiable features of any prospective deal. Developers that can take a clearly identified product to the market will be in a good position to execute a transaction with the right investor. Developers need to be asking, are we more likely to succeed by entering into this relationship? What is unique about this potential investor? What resources, networks and expertise might we gain from being part of this group? How does this investor’s strategy, culture and governance align with our organisation?

Also, how would we fit within this investor’s portfolio and broader strategy? How can we ensure our projects remain a priority? What is our competition internally for capital? What level of governance and reporting will the investors require, and can we deliver on these requirements?

Investors Investors should enter any negotiation with respect for the developer’s expertise, skills, and methodology – and with clarity about what they can offer the developer beyond access to capital. How and when does the investor expect to be involved in decision-making, and what accountabilities, delegations, checks, and balances will they establish? Investors should also seek to validate the developer’s proposals and understand the risk profile of the transaction. Foreign investors will increase their likelihood of success if they attempt to understand the regulatory landscape and local energy market, and develop a clear strategy for government interaction and engagement. Investors should also be prepared to authentically engage with the local community. Key questions investors need to be asking include, what is the developer’s history of successful projects? What differentiates the developer from other competitors? How is the developer internally resourced and structured? How can we support the developer? Does the developer expect our assistance to reach grid connection and financial close? What are the gaps in development capabilities after considering both our capability and the developer’s capability? How can these gaps be filled? What are the developer’s expectations for price and value from its portfolio? How does this developer’s culture align with our organisation? When developers and investors work together, a complex environment can be managed, even harnessed, for mutual benefit. Taking the time to consider the steps and questions outlined here – and seeking the right advice and support – will set you on the path to successful partnerships and long-term rewards.

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FUTURE ENERGY

AUSTRALIA'S SOLAR REIGN: RECORD BIFACIAL SOLAR CELL DEVELOPMENT by April Shepherd, Journalist, Energy magazine

November 2021 ISSUE 16

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FUTURE ENERGY

Australia has become well known for its solar power, the long, hot summers and vast open spaces that provide ideal conditions for capturing the sun – with solar photovoltaics (PV) leading the way in the grid’s renewable uptake. This year, the Australian National University (ANU) revealed a new breakthrough in solar power technology; a record type of bifacial solar cell incorporating laser doping technology.

ifacial solar boasts dual-sided solar cells, which means both the front and back of the cell can generate power. Bifacial solar is gaining traction worldwide, growing in popularity due to its higher efficiency, lower cost and higher generation capacity. According to Wood Mackenzie, a global research and consultancy business that focuses on natural resources, bifacial solar capacity grew from 97MW globally in 2016, to over 2,600MW in 2018 and 7000MW in 2019 – with bifacial modules set to account for 17.2 per cent of solar market share by 2024.1 As this new technology started to grow in popularity, scientists at the Australian National University (ANU) were working on producing a highly efficient type of solar cell using laser processing. ANU Project Principal Investigator, Dr Kean Chern Fong, said the idea behind the project, which took three years to complete, started back in 2016 when bifacial solar cells were first making their way into commercial products. 1.

The project that has now led to Dr Fong, and his fellow ANU scientists, Dr Marco Ernst, Project Investigator, and Dr Wensheng Liang, a postdoctoral research scientist, developing an innovative new bifacial solar cell with record efficiency. "This is a world record for selectively laser-doped solar cells and among the highest efficiency bifacial solar cells,” Dr Fong said.

Project beginnings A team of research scientists at ANU led by Dr Fong initiated the idea of developing a bifacial device using Australian-developed technologies, this attracted the attention of several industry partners, and led to the project being funded by ARENA to execute the planned technology development. “The resulting outcome of the project was exceptional, facilitating the advancement of numerous enabling technologies, such as transparent film deposition, laser processes, and polysilicon contact technologies along the way towards the eventual demonstration of the record bifacial solar cell,” Dr Fong said.

https://www.google.com/url?q=https://www.woodmac.com/our-expertise/focus/Power--Renewables/bifacial-solar-2019/&sa=D&source=docs&ust=1634682790367000&usg=AOvVaw3EJ9shMiC2rz9OJfwRuS6q

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FUTURE ENERGY

The bifacial solar cells were developed by a team of expert Australian researchers with experience in similar technologies.

“The independently measured performance of 24.3 per cent with a bifacial factor of 96.3 per cent represents the highest power conversion efficiency of any single junction Si device incorporating laser selective doping.” The process of laser selective doping uses very short nanosecond pulses of laser to blast phosphorus dopants into the silicon material, allowing precise control of the doping depth and location. Dr Fong said this is an improvement over conventional furnace baking, which is also known as the diffusion process. “We have developed what I would call a true bifacial solar cell, as it has nearly symmetrical power generation capacity on both surfaces of the device," Dr Fong said. "When deployed on a conventional solar farm, a bifacial cell absorbs direct incoming light, while also taking advantage of ground reflection, which can contribute up to additional 30 per cent power generation. “Bifacial solar cells are becoming increasingly important in the roll out of solar farms and are expected to have a market share of over 50 per cent in the next five years. "Our work demonstrates the incredible capabilities of this technology.”

The technology development roadmap Dr Fong said that once the project had begun in 2017, they created a team of high-caliber Australian researchers who had prior knowledge and experience in various technologies in the field. The project boasted a comprehensive technology development plan from the very beginning, with the team heading into the project with a roadmap of technologies that had to be developed for the final design. Technological developments for the project included: » A new laser process was necessary to offer local selective doping, where phosphorus dopants are blasted into specific locations on the silicon with great precision – as opposed to conventional baking the silicon wafer » A metal contact scheme was necessary on the rear surface to allow light passage

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A novel film with multi-functional capabilities was needed to minimise reflective losses, maximise photon capture, and retention of electrons all at once “The extensive project planning and technology development cycle draws from previous experience in ARENA funded industry linked projects, which is a testament to the importance of continuity in research funding,” Dr Fong said. “The breadth of our collective knowledge is the key towards the projects’ success; due to the need for technology development in numerous areas that would come together as building blocks in the final envisaged design.”

How is it so efficient? Bifacial solar is highly efficient for a few reasons, the most obvious is more generation in a small area; double the panels and the capacity of generation is obviously going to increase. They are also more efficient due to ground reflection or surface reflection, referred to as albedo (ground reflected light), which, as stated by Dr Fong, can contribute up to an additional 30 per cent power generation. Dr Fong explains that the reflection off different surfaces offer differing levels of albedo. “The intensity of ground reflection is around 20 per cent on grass and most crops, 40 per cent on concrete, and is as high as 80 per cent from fresh snow. Especially relevant to the Australian climate, albedo reflection off arid desert sand offers about 30-40 per cent of albedo,” Dr Fong said. “Therefore, no special treatment is necessary in most sites to take advantage of the extra power generation from bifacial modules. “Adoption of bifacial technology accelerated at an exponential rate over the last few years, and the key reason being that it is a technology that simultaneously promises higher performance at a lower cost.” Long-term affordability Bifacial solar may come with more upfront costs initially, but it offers significant savings once fully operational.

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FUTURE ENERGY Dr Fong said this is because the most Challenges faced expensive single cost in conventional The project, no matter how well and PERC solar cells is the silver content planned, was not immune to the year of within the metal paste, which covers the unprecedented events that 2020 and entire rear surface of the device, with 2021 brought upon Australia. bifacial solar cells inherently necessitating “The period starting from the end of the use of metal fingers on the rear to 2019 right up to the end of the project enable rear light transmission. was indeed an especially challenging “While this initially requires some time where we faced numerous lengthy specialised technology development, laboratory closures due to the bush once the technology is in full production, fires, hailstorm damage, and COVID-19 it offers a significant saving in silver restrictions,” Dr Fong said. usage and therefore cost reduction,” Dr “This caused numerous delays Fong said. and financial constraints within the Bifacial solar is also becoming cheaper, project but was eventually successful as the cost was higher initially due to through the support of ANU and the the slow progression of front and rear funding agencies.” glass-glass technology. Bifacial solar has dual-sided solar cells, which can “However, with its economies of scale, The future of bifacial solar capture reflective and direct sunlight. the cost of glass-glass modules is now on The future of bifacial solar in Australia is par with plastic rear sheets. Furthermore, looking positive, with highly efficient, low glass-glass module offers better long term performance as cost and green power potentially on the horizon nation-wide. glass does not degrade, and offers better protection against the “The ANU developed laser doped bifacial cell provides a novel elements,” Dr Fong said. method of device fabrication that provides an improvement over existing products in the market,” Dr Fong said. Bifacial technology and storage capacity “With the right industry partners to commercialise this design, we A concern regarding the greater power generation capacity of can further improve module panel efficiency, while simultaneously bifacial solar, and various renewables as they enter and become pushing down the costs.” more common in the National Electricity Market (NEM), is that they Dr Fong said that the need to create high efficiency at a low may require greater storage capacity. cost is key when it concerns residential PV or home solar, and is Dr Fong explains that grid level storage capabilities are already especially crucial in Australia – where residential installations make being considered and built within Australia in the form of batteries up over half of all installed PV panels in 2020. and pumped hydro, and that is a crucial step towards having a 100 “This work has been made possible due to the unrelenting per cent renewable energy grid. support from the School of Engineering at ANU, and our funding “Building PV farms is a fairly matured exercise. Thanks to agencies ARENA and ACAP, all of which has contributed financially the advancements in meteorology and PV farm power output to the project, but more importantly have played a major role in modelling, the power generation of PV plants is predictable within nurturing forward-thinking research scientists, which are and will a reasonable range. As with all PV farms, bifacial or otherwise, the continue to be the most valuable assets in our scientific system would have been designed with specific peak, and average community,” Dr Fong said. annual power output even before the first panels are laid down,” Dr Fong said.

From left: Dr Fong, Dr Ernst and Dr Liang.

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The increasingly popular technology is set to provide significant long-term savings.

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FUTURE ENERGY

AUSTRALIA’S

BIG BATTERY BOOM

by Michelle Goldsmith, Contributing Editor, Energy Magazine Across Australia and the world, interest in big batteries is surging. In particular, large-scale grid-connected battery systems are expected to play an important role in Australia’s energy future, with a growing number of large storage projects planned or underway. Integrated into the National Electricity Market (NEM), these big batteries will help stabilise networks and pave the way for increased renewable energy generation. As Australia enters the era of the big battery, we take a look at the story so far, detailing some of the largest battery storage systems already operating or under construction.

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FUTURE ENERGY

ustralia’s energy networks are evolving, and lithium-ion battery storage is coming to the fore. The costs associated with grid-scale battery storage technologies have significantly decreased over the last decade, while battery storage capabilities continue to grow rapidly, resulting in a much improved economic case for large-scale battery projects. As a result, governments and private companies are investing in an ever-increasing number of big batteries to expand network storage capabilities. Enabling Australia’s energy future Large-scale energy storage, and battery storage in particular, offers a range of important benefits to electricity grids, especially when higher levels of intermittent renewable energy generation exist. Battery energy storage systems (BESS) help stabilise the grid against frequency disruptions and provide a source of energy to be drawn on in peak periods of demand, or during periods where intermittent renewable energy sources, such as solar or wind farms, aren’t generating. As a result, they can help mitigate costs and defer the need for additional generation infrastructure or network upgrades to meet peak demand. Battery peakers can ramp up quickly, have near-zero start-up time and provide a strong frequency response. As energy networks shift away from fossil fuels to reduce emissions and mitigate climate change, these dispatchable energy resources are a vital enabler to a clean energy future. A BESS can be used for energy market participation, load shifting, and providing various market and non-market ancillary services to the NEM. According to AEMO’s 2020 Integrated System Plan, 63 per cent of coal-fired generation is anticipated to retire by 2040, replaced by approximately 26-50GW of wind and solar generation. These renewables will require up to 19GW of ﬁrming generation, such as pumped hydro, battery storage and gas. Several big batteries are already operating in parts of Australia, and many more even larger battery systems are under construction, confirmed, in planning, or proposed.

lithium-ion battery in the world at 100MW/129 MWh. In 2020, an $82 million expansion project was completed, increasing the storage capacity by 50MW/64.5MWh to a total of 150MW/193.5MWh. The installation is based on Tesla battery technology.

Lake Bonney BESS (25MW/52MWh), South Australia The Lake Bonney Battery Energy Storage System, located with the Lake Bonney Wind Farm near Millicent in South Australia, has a capacity of 25MW/52MWh. This Tesla-based lithium-ion BESS is owned by Infigen and was energised in 2019. According to ARENA, which co-funded the project, the final construction cost totalled around $41.6 million. Gannawarra Energy Storage System (25MW/50MWh), Victoria The Gannawarra Energy Storage System (GESS) is a 25MW/50MWh grid-scale lithium-ion battery located with the Gannawarra Solar Farm in north-western Victoria. The $41.19 million project was undertaken by Edify in a consortium with Wirsol Energy, using Tesla Powerpack technology, and was completed in 2018. The GESS is operated by EnergyAustralia, under agreement with the joint owners Edify and Wirsol. Ballarat Energy Storage System (30MW/30MWh), Victoria The Ballarat Energy Storage System (BESS) has a capacity of 30MW/30MWh and utilises Fluence lithium-ion battery technology. The BESS is a standalone system, located at the AusNet Services Ballarat Terminal Station in Warrenheip, Ballarat. It is owned by AusNet Services, and operated by EnergyAustralia. The construction project was undertaken by a consortium comprising Downer Spotless, AusNet Services, EnergyAustralia and Fluence, and the BESS was integrated into the Victorian grid in 2018.

The state of play: operational big batteries

Bulgana Green Power Hub Battery Storage (20MW/34MWh), Victoria This 20MW/34MWh Tesla-based lithium-ion battery is part of the Bulgana Green Power Hub in the Wimmera region of centralwestern Victoria, along with a 194MW wind farm. The hub is owned by Neoen, which undertook a $350 million project to construct the battery and wind farm. After delays in commissioning, the battery was switched on in 2021.

Hornsdale Power Reserve (150MW/193.5MWh), South Australia With a capacity of 150MW/194MWh, Hornsdale Power Reserve is currently the largest operational battery in Australia. The battery is owned by Neoen and co-located with the Hornsdale Wind Farm in mid-north South Australia. When the original $172 million construction project was completed in 2017, it was the largest

Dalrymple BESS (30MW/8MWh), South Australia The 30MW/8MWh Dalrymple Battery Energy Storage System is located at ElectraNet’s Dalrymple substation on the Yorke Peninsula in South Australia. The $30 million project was completed in 2018 and was the first BESS in the National Electricity Market (NEM) to provide both regulated network reliability and

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FUTURE ENERGY security services alongside competitive market services. The Dalrymple BESS is owned by ElectraNet and operated by AGL. This standalone BESS uses Samsung lithium-ion battery technology. In 2021, ElectraNet returned the $12 million grant the company received to construct the BESS to the Australian Renewable Energy Agency (ARENA), due to the project’s financial success.

Newman Battery Storage (35MW/11MWh), Western Australia The Newman BESS operates on an islanded high-voltage grid supplying power to major mining operations in the Pilbara region of WA. It is owned by Alinta Energy and located adjacent to the company’s gas-fired Newman Power Station. This 35MW/11MWh battery system uses Kokam technology. Its construction cost was around $45 million and it was completed in 2018. Agnew Gold Mine BESS (13MW/4MWh), Western Australia The Agnew Gold Mine BESS is another battery system operating on a private grid in Western Australia. The BESS is part of the hybrid gas and renewable energy microgrid powering operations at the remote Agnew Gold Mine. The $111.6 million microgrid project was completed in 2020 and uses Saft lithium-ion batteries. The next big thing: big battery projects underway Victorian Big Battery (300MW/450MWh), Victoria The Victorian Big Battery is being constructed by Neoen in Geelong, Victoria. When completed in late 2021 to early 2022, the 300MW/450MWh BESS is likely to be Australia’s largest battery at the time. Owner Neoen has not disclosed the total anticipated project cost. However, the Federal-owned Clean Energy Finance Corporation (CEFC) is providing $160 million towards its construction. The Victorian Government will pay $84.8 million over 11 years for the services provided by the BESS, which should alleviate unscheduled load shedding over the peak summer months. The project experienced a setback in July 2021, when a fire occurred at two of the Tesla Megapack BESS units during testing. Works have since resumed, with the approval of the safety regulator, after measures were put in place to prevent recurrence, and the project is still expected to be completed to schedule. Wandoan South BESS (100MW/150MWh), Queensland The 100MW/150MWh Wandoan South Battery Energy Storage System (BESS) is being constructed by Vena Energy in the Darling Downs region of Queensland. The $120 million construction project is nearing completion and, once operational, the BESS will be contracted to AGL. The BESS uses lithium-ion battery technology, operated by a Doosan control and monitoring system. When

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connected to Powerlink’s Wandoan South Substation, it will be Western Australia’s first state-grid-connected big battery.

Wallgrove Grid Battery/Western Sydney BESS (50MW/75MWh), New South Wales Construction on Transgrid’s 50MW/75MWh Wallgrove Grid Battery began in early 2021, at the Wallgrove substation in Western Sydney. When commissioned, the Tesla Megapack lithium-ion battery system will be operated by Infigen, providing synthetic inertia and fast frequency response services to stabilise the grid. The project is expected to cost around $61.9 million in total. Tom Price Battery (45MW/12MWh), Western Australia The Tom Price Battery is under construction by Rio Tinto in the Pilbara region of Western Australia. The lithium-ion battery system will have a capacity of 45MW/12MWh and power Rio Tinto’s iron ore mining operations. When complete, the Tom Price Battery will be the largest battery connected to a private grid (as opposed to an interconnected national grid, such as the Australian NEM) in the world. The system is employing Hitachi ABB inverters and Kokam batteries. Lincoln Gap BESS (10MW/10MWh), South Australia The 10MW/10MWh Lincoln Gap BESS is located at the Lincoln Gap Wind Farm in South Australia. The BESS is owned by Nexif Energy and utilises LG Chem lithium-ion battery technology, supplied by Fluence. The battery was installed as part of the ongoing three-stage $770 million Lincoln Gap Wind Farm project. Construction of the battery is complete, but commissioning has been subject to significant delays, due to a supplier change resulting in regulatory issues. The second stage of the project is currently underway, and the battery capacity is likely to be expanded in the future. Wooreen Energy Storage System (350MW/1400MWh), Victoria Co-located with EnergyAustralia’s Jeeralang gas-fired power station, the Wooreen Energy Storage System will be Australia’s first four-hour utility-scale battery of 350MW capacity. It will provide cover for more than 230,000 Victorian households for four hours before needing to be recharged. EnergyAustralia is currently seeking partners to help in the delivery of this project, which is scheduled for completion by 2026. In the next edition of Energy, part two of this series will explore Australia’s battery storage future, examining the rapid expansion of projects across the country, and detailing some of the biggest upcoming grid-scale battery projects.

November 2021 ISSUE 16

FUTURE ENERGY SPONSORED EDITORIAL

SIEMENS’ STRING INVERTER TECHNOLOGY HELPING MINES REDUCE EMISSIONS With increased pressure on the mining sector to reduce its carbon footprint, the Carosue Dam Gold Mine in Western Australia is one of the latest to take a big step towards going green.

n August this year, Nomadic Energy switched on its 2.5MW (AC) solar system, which included string inverter technology from Siemens at the Northern Star-owned gold mine. It is the first installation of string inverter technology by Siemens in Australia after the global acquisition of KACO new energy, one of the world’s most reputable and established inverter manufacturers for grid-feed solar power. The solar project installation is owned and operated by Nomadic Energy, which supplies power to the miner under a six-year Power Purchase Agreement. The project is helping the mining company transition from diesel and gas to having more power from renewable sources in their power mix. The Carosue Dam project is made up of 20 units of 125kW string inverters. The KACO blueplanet 125 TL3 Series was selected for its technical fit with a high IP66 rating, good performances under

high temperatures, and low standby power consumption. The German-made Siemens string inverters are ideal for harsh climatic conditions and have high Ingress Protection (IP) ratings of 66, meeting the highest international standards against the elements such as dust, water, and pollutants, while maintaining efficient cooling control. The system was designed to have the inverters centrally located close to the transformers to reduce AC power losses by more than 2 per cent compared to typical string inverters, which need to be located closer to the PV panels and further away from transformers or grid connection point. The inverters were recently added to the Clean Energy Council’s list of compliant inverters and power conversion equipment. Carosue Dam Gold Mine is located in the South Laverton goldfield which is 120km north-east of Kalgoorlie. It is one of Australia’s 66 active gold mines, which

sees Australia as the second-largest gold producer in the world. The mine produces around 250,000 ounces of gold annually with 203,281 ounces in the 2020 financial year. Australia’s annual gold production is around 325 tonnes. The installation joins a growing number of mine sites in Australia looking to shift from diesel to onsite renewable sources such as solar energy. The mining industry accounts for up to 7 per cent of global greenhouse gas emissions, hence the industry is facing greater pressure to reduce its environmental impact. The increased accessibility and affordability of renewable energy sources are key to enabling gold miners to achieve this shift. Falling costs and developing technologies should continue to expand the solutions available for more companies to embrace the opportunity to reduce emissions.

For more information, go to siemens.com.au

November 2021 ISSUE 16

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SUSTAINABLY POWERING

SPECIALIST DISABILITY ACCOMMODATION

by Iain Wood, CEFC Associate Director – Investment Australia’s National Disability Insurance Scheme (NDIS) has identified significant demand for quality housing in the disability sector to cater for an estimated 28,000 Australians living with a disability. In building these new homes, factoring in sustainability thinking at the planning stage has the potential to deliver long-term benefits to tenants as well as our environment.

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ustralia’s built environment has a key role to play in driving down emissions, particularly given the sector accounts for almost a quarter of national greenhouse gas emissions. It’s clear that the way we build can reduce energy use and emissions. While interest in developing high-quality housing for people living with a disability has grown significantly, the sector has the scope to extend the important benefits of sustainable housing to also improve tenants’ living standards while helping drive down Australia’s carbon emissions. Clean energy for stronger sustainability standards The recent first investment by the Clean Energy Finance Corporation (CEFC) into a specialist disability accommodation (SDA) platform, created and managed by Macquarie Asset Management, was a landmark development for the emerging sector, and aims high with the platform targeting carbon neutrality on an operational basis within two years of being established. The CEFC invests to lead and accelerate Australia’s transition to a low emissions economy and create opportunities for lower-cost energy Australia-wide. One of the key reasons for entering any new sector is to encourage participants to implement strong sustainability standards and show both the environmental and social benefits associated with clean energy technologies. Energy efficiency and sustainability aspects for a nationwide project of this scale are essentially threefold – with thermal and energy efficiency, solar, and carbon-neutral targets being the major basis for energy sustainability goals. Ambitious sustainability initiatives for the SDA platform include requirements that the dwellings reach a minimum average 7.5 Nationwide House Energy Rating (NatHERS) star rating by incorporating energy-efficient technology like solar PV, ensuring dwellings are fully electrified and the adoption of energy-efficient appliances. Notwithstanding the minimum NatHERS target, the portfolio will strive to achieve a rating of eight-stars which equates to an approximate improvement of over 55 per cent when compared to a minimum six-star rated home. Ongoing data capture is another important part of understanding how we can better track residual emissions and how to continue to improve. 1

FUTURE ENERGY Passive design and energy efficiency technologies are also easy first steps towards making a sustainable home. Incorporating high-performing glass, insulated floors, walls and ceilings, window shading, energy-efficient air conditioning, ceiling fans, and solar panels are also considerations in improving energy efficiency. Energy-efficient air conditioning devices, the installation of in-home real time energy monitoring systems as well as energy-efficient appliances – like induction cooktops for example might be considered low-hanging fruit but can make a real difference in energy usage.

Costs and comfort Generally, the cost of incorporating these types of energy-efficient technologies and design into buildings accounts for around 1 per cent of capex, providing that energy efficiency is incorporated early in the design process. We are seeing preliminary results that suggest that these costs will continue to be driven down, meaning it will be more achievable to implement across all types of building developments. Having a thermally stable environment keeps the temperature at a constant, making for a more comfortable living environment and offsetting large fluctuations in energy in order to heat and cool homes. This delivers lower energy bills and, of course, improves homeowner comfort. It’s a consideration that is particularly significant for people living with a disability. A recent Australian Council of Social Services report highlighted the range of barriers that exist to improving energy efficiency and access to energy-efficient technologies around the home among financially disadvantaged Australians, including tenants1. Lower energy costs are obviously important for everyone but especially for these tenants given they are more likely to spend a significant amount of time in the home. Energy-intensive devices for medical treatment may also be in use, adding to energy costs, which is a major factor considering that for the main source of income for disability tenants may be through the national disability payments scheme or through some other form of pension payment. Australia’s solar advantage Capitalising on our natural advantages, Australia has one of the highest uptake rates of solar panels around the world, with installation at around 30 per cent of

homes2. The SDA homes are aiming to provide a minimum of 5kW of solar panels for each dwelling subject to technical feasibility. Australia’s enthusiasm for solar has yet to translate to a large-scale uptake in-home battery storage, with cost being one of the main barriers. In an interesting instance of the disability housing framework aligning with sustainability ideals, battery usage in SDA homes is not uncommon as having a backup energy supply for life-saving technology for disabled tenants and can be used in case of a grid blackout. While the life-saving batteries in SDA may not yet be sustainably powered, their presence shows that capacity can be built in from the start and that an existing level of compatibility serves as a foundation that can be strengthened.

The role of VPPs In the long term, for projects on this scale, there is scope to consider harnessing stored energy into a private virtual power plant (VPP). The use of community batteries in this type of scenario allows households that generate their own solar power to pool their excess electricity in shared storage for later use can cut energy costs and reduce carbon emissions. The CEFC has previously worked to deliver home energy systems that created one of the country’s largest VPP in South Australia – a combination of solar and battery systems allows excess energy from solar to be available for sale to the National Electricity Market, potentially providing wholesale energy and ancillary services to support a low emissions energy grid. There is scope for growth in VPPs with the Australian Energy Market Operator having forecasted that rooftop solar could provide 22 per cent of Australia’s total energy by 20403, providing as much as 30GW of energy. An increase of this scale could pave the way for VPPs to make a significant contribution to the nation in providing a lower cost and low emissions energy system. More immediately, it is hoped that when disability service providers see the benefits for their clients that come from incorporating sustainability considerations into their building design they can look to this SDA investment as evidence for what can be achieved to increase comfort around the home, lower energy costs and improve living standards.

ACOSS Deloitte, The economic impacts of the National Low-Income Energy Productivity Program, April 2021

https://www.acoss.org.au/wp-content/uploads/2021/10/DAE-ACOSS_Economic_Impacts_of_NLEPP_Final_Report_211005.pdf 2

https://www.energy.gov.au/households/solar-pv-and-batteries

AEMO, 2020 Integrated System Plan, July 2020. https://www.aemo.com.au/-/media/files/major-publications/isp/2020/final-2020-integrated-system-plan.pdf

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November 2021 ISSUE 16

FUTURE ENERGY

WINNING HEARTS AND DELIVER THE RENEWABLE ENERGY T

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FUTURE ENERGY

MINDS TO TRANSITION

by Alicia White, External Relations Manager, Energy Networks Australia

As Australia makes steps towards net zero, the knotty problem of how to deliver clean energy most efficiently to where it is needed can’t be ignored. The building of new transmission infrastructure is emerging as a crucial social licence issue for all stakeholders and is equally about hearts and hip pockets, not just the technology.

hile many Australians want renewables, we have not sufficiently advanced the conversation as a community about how we get these new sources of clean energy to where it is needed – or how the infrastructure is paid for. Just over 80 per cent of Australians live on the east coast of Australia and even more within our coastal capital cities. Most of our solar farms have been built in inland regional areas and wind farms on or in regional coastal areas. And herein lies the problem. How do we get the power from where it’s generated to where it’s needed? Energy generated by these wind and solar farms must be transported to customers along new and advanced transmission infrastructure. Unfortunately, there is consternation in affected communities about plans, routes, amenity and compensation. The energy industry and related community sector has been working to resolve these issues and build genuine stakeholder engagement processes into projects. In some states, there have been no new transmission projects for a generation or more and community expectations of stakeholder engagement have changed. Energy businesses are working with landowners and communities and responding to their concerns while striving to build a social licence to operate. In August 2021, RE-Alliance launched a report ‘Building Trust for Transmission: Earning the social licence needed to plug in Australia's Renewable Energy Zones’. The report made eleven recommendations on how to improve the social license for transmission infrastructure in Australia. The Energy Charter also recently launched the Energy Charter Better Practice Guide for landholders and

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communities to encourage better practice for energy businesses. Then there’s the sticky issue of compensation, which is constrained by the current regulatory environment. Under current arrangements, the land on which the transmission towers are built is compulsorily acquired or leased with oneoff payments. The regulatory framework provides for what it considers to be fair compensation. Anything above this adds to project costs and would have to be justified to the Australian Energy Regulator – which does not have a lot of scope within its Regulatory Investment Test for Transmission (RIT-T) process to do this. If we cast our minds back just a decade or so ago, there was similar community opposition to wind farms. In response, the wind industry developed several new compensation models, including ongoing annual payments for the affected landholder and sometimes also for affected neighbours. The advent of social media has made it easy to mobilise activists and stakeholders. So, community engagement and compensation expectations have risen but when it comes to transmission developments, the regulatory process for determining investment costs (which includes easement payments) has not changed. Landholders may not be aware of (or care about) the difference between regulated networks building transmission lines and commercial businesses erecting wind turbines. To them, it’s a new structure on their property and they want (what they perceive to be) fair compensation. There is no transition to a renewable energy future without transmission. However, we need to get the social license settings right. All customers, including the vulnerable, pay for transmission developments, so a balanced approach to community benefit and compensation issues is vital to ensure we can get on and build this essential infrastructure.

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FUTURE ENERGY SPONSORED EDITORIAL

MAKING WIND TURBINE ROTOR BRAKE MAINTENANCE A BREEZE For owners and operators of wind turbines, maintaining the integrity of these giant pieces of machinery is a considerable challenge. Fortunately, there are a few key tricks of the trade that can make the challenge one that can be easily managed.

he primary function of wind turbine rotor brakes is to prevent the rotor from turning while the turbine is in idle mode or during an emergency. It is important to keep these brakes well maintained to help prevent damage to expensive drivetrain components, as well as providing a level of safety for maintenance and service teams. As a general rule, brakes should be inspected at least once every year. However, if turbines have demanding operating schedules, the maintenance interval may need to be shortened, as brake parts tend to wear out based on frequency of use. Visual inspection A careful visual inspection of the brake pads is important, since minimum required thickness of the friction material and a consistent pad wear pattern allow the brake to provide and apply full torque, without slipping on the brake disc. The brake caliper and hydraulic system should also be checked for any damaged hoses or oil leaks. Sliding rods (if on brake) should move freely and pad retracting springs should be functioning properly. While inspecting the rotor brake system, the same attention should be given to the yaw brake system. If caliper-based, the process of replacing yaw brake pads has been made considerably easier with the introduction of a new lifting tool. This time-saving device can be used by a single service technician to lower the brake caliper to the floor for easy inspection and brake pad replacement, and then for lifting the caliper in place. Product and services selection Svendborg Brakes, Stromag, Twiflex, Ameridrives and Warner Electric are the five brands that sit within the Altra Renewable Energy family. Between these five brands, Altra Motion Australia is able to provide a wide range of products, services and solutions to support the global renewable energy market. As industry leaders in power transmission and motion control products, Altra Motion offers critical wind turbine drivetrain solutions, including rotor and yaw braking systems. Importantly, all Altra Motion products are backed by a genuine spare parts guarantee. In addition to this, many parts manufactured by Svendborg Brakes can be instantly and easily authenticated thanks to their unique Holographic Fingerprint label. When the label is scanned in the Svendborg Brakes app, users can confirm that the components of the part in question are genuine. Experience and expertise The company also offers training, technical support, scheduled maintenance, 24/7 global service support and upgrades as well as manufacturing long-lasting genuine spare parts, including calipers, brake pads, seal kits and sensors for all their brake brands. Utilising genuine replacement parts optimises brake performance and extends component life.

November 2021 ISSUE 16

The Svendborg Brakes Holographic Fingerprint label.

For more information about wind turbine brake maintenance, and Altra Motion Australia’s commitment to genuine spare parts, head to www.altramotionrenewables.com.au

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GENUINE OEM SPARE PARTS AND SERVICE As leading multinational designers and manufacturers of innovative power transmission products, the brands of Altra Motion offer many critical drivetrain solutions for a wide range of renewable energy applications.

 Service Support by Trained Technicians  Specialist Tooling for Maintenance  Genuine OEM Spare Parts  Local Spares Stocking Program

Svendborg Brakes | Twiflex Ameridrives | Warner Electric Matrix | Stromag

1300 ALTRAMOTION www.altramotionaustralia.com

GRID INTEGRATION AND STABILISATON

WHY NEW TRANSMISSION IS ESSENTIAL TO AUSTRALIA’S CLEAN ENERGY FUTURE by Brian Salter, Acting CEO, TransGrid

As the NSW/SA Project EnergyConnect ramps up, TransGrid Acting CEO, Brian Salter, explains why transmission interconnection projects like this are so critical to enable a smooth transition to renewables.

November 2021 ISSUE 16

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GRID INTEGRATION AND STABILISATON

ater this year, TransGrid and its South Australian partner, ElectraNet, will begin construction on one of the nation’s largest energy infrastructure projects. EnergyConnect is a new 900km electricity transmission line linking New South Wales, South Australia and Victoria, running from Wagga Wagga in New South Wales to Robertstown in South Australia, with a connection to Red Cliffs, in Victoria. The economic benefits of the project are well documented. Construction will create about 1,400 jobs. The project will also provide new opportunities for a wide range of businesses, and deliver around $4 billion in economic benefits to New South Wales, much of it to regional communities. In New South Wales, we estimate EnergyConnect will save customers $180 million a year – cutting the average household bill by $64 per year. But, arguably, the project’s biggest benefit is its central role in supporting Australia’s transition to a clean energy future. Renewables need a different type of grid According to modelling and analysis by the CSIRO and ClimateWorks, the transition from a fossil fuel to a renewableenergy-based power system is unstoppable. The Australian energy landscape is transitioning to a greater mix of low-emission renewable energy sources. At the same time, consumers are demanding lower power bills and a more secure and reliable service. At TransGrid, we can already see Australia’s energy transition is happening faster than anticipated, with new renewable generation coming online at significant speed and a huge amount of potential solar, wind and hydro projects in the pipeline. But moving to a clean energy future poses significant technical challenges for the grid. Renewables are very different from traditional energy sources. Renewable plants are in different geographical areas than coal or gasfired power stations. Their generation is intermittent and often unpredictable. As more renewables are added to the grid, this will create congestion on the transmission network – a problem that will become widespread over the next two years. Congestion will be further exacerbated as electricity consumers increasingly become producers, and networks of homes combine to form virtual power plants. Equally, as consumers begin to trade their own energy, other new business models and types of market participants are expected to emerge, requiring an agile, flexible transmission system to accommodate them. A modern transmission network for a decarbonised future To make the transition to zero carbon, we need a different type of transmission network. One that can deal with: » Increased capacity – Our future transmission network will have to deal with three times the existing generation capacity. » Increased generation sources – We need to expand transmission to the areas where wind and solar energy are being generated. » Increased interconnection – To use renewable energy efficiently, the states need to be able to import and export energy. For example, the time difference between New

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South Wales and South Australia means we can leverage the time shift in hours of sunlight as energy flows east and west. But, right now, the National Electricity Market (NEM) on the east coast is only lightly interconnected. This is why EnergyConnect is so important. By reinforcing the connection between New South Wales, South Australia and Victoria, we will dramatically improve the system and double the existing transfer capacity between those states. As a result, for example, South Australia will be able to easily export energy when producing more than the state is using, allowing interstate consumers to benefit from solar or wind generators that might otherwise go unused. EnergyConnect will not only help to accelerate Australia’s energy transition by connecting customers with more renewable generation, the project will also help to abate an estimated one million tonnes of carbon emissions each year, contributing to the nation’s ability to meet its climate change targets.

Connecting Renewable Energy Zones Interconnector projects like EnergyConnect will also help to connect Renewable Energy Zones (REZ) with capital city markets. REZs combine renewable energy generation, grid-scale batteries and high-voltage poles and wires. By connecting multiple generators and storage in the same location, REZs capitalise on economies of scale to deliver cheap, reliable and clean electricity for homes and businesses. Importantly, they will play a vital role in delivering affordable, reliable energy generation to help replace existing power stations as they come to their scheduled end of operational life. Right now, TransGrid is working with the New South Wales Government to fast track Australia’s first coordinated REZ in the State’s Central-West Orana region – one of five NSW REZs planned by the State Government. This project is expected to be shovel-ready by the end of 2022, unlocking up to 3,000MW of new electricity capacity by the mid ‘20s – enough new capacity to power around 1.4 million homes. The importance of the Central-West Orana REZ was recognised in the Australian Energy Market Operator’s 2020 Integrated System Plan as an ‘actionable’ transmission project. This means it is deemed a critical project to address cost, security and reliability issues across the entire NEM. Investing in new infrastructure to support the green transition Over the next five to ten years, TransGrid plans to invest more than $11 billion to build new transmission infrastructure so the network has the strength, capacity and stability to cope with large-scale renewable energy. In the process, we will create around 7,000 jobs in regional New South Wales and $25 billion in economic activity. Our new transmission infrastructure will play a central role in achieving economy-wide decarbonisation, ensuring Australia can access the renewable generation needed for transport electrification and new ‘green’ industries. As we lead the way towards a more resilient future, we’re working closely with our customers and communities to make sure no one is left behind. Wherever you are in New South Wales or the ACT, you can be confident in the reliable, affordable and sustainable electricity we transmit as we build a better power system for generations of Australians to come.

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GRID INTEGRATION AND STABILISATON

OFFSHORE FRAMEWORK

TO BRING

by Carl Kitchen, Australian Energy Council The unveiling of the Federal Government’s new legislation to clarify offshore energy developments was greeted with suggestions it would prompt a rush of offshore wind farms around our coastline.

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GRID INTEGRATION AND STABILISATON

n cue, the day after the Offshore Electricity Infrastructure Bill 2021 was introduced, Australis Energy went public with plans for a 600MW wind farm with up to 75 turbines about 10km off the South Australian coast near Kingston. Project developers have lodged a development application with the SA State Planning Commission and it joins a list of more than a dozen possible projects highlighted in a recent report on the potential of offshore wind in Australia (shown in Table 1). Offshore wind farms typically take six to ten years to develop and build. Currently, many of these projects are in the pre-feasibility stage. The 2.2GW Star of the South project proposed off the Gippsland coast is the most advanced. It is still in the feasibility phase, undertaking site investigations and monitoring of conditions. The project has the backing of local investors and the Copenhagen Infrastructure Partners (CIP) and expects that if the project is feasible and gains the necessary approvals, construction work could begin in the middle of this decade and the first electricity delivered at the end of the decade. Federal Bill The Federal Government’s Bill puts a regulatory framework in place for the construction, installation, commissioning, operation, maintenance and decommissioning of projects in the Commonwealth offshore area. The Commonwealth offshore area is the waters three nautical miles (around 5.5km) offshore to the outer edge of Australia’s Exclusive Economic Zone (roughly 200 nautical miles). According to the Offshore Wind Energy in Australia report, the “technically-accessible resource” is estimated to be 2233GW. Technically accessible refers to areas less than 100km offshore in water depths less than 1,000m and within 100km of substations and onshore transmission lines and excluding environmentally restricted areas. That report also pointed to the lack of a federal regulatory framework for offshore renewables hindering development, so the recently released Bill helps address that. Under this framework, offshore infrastructure activities must be done in a way that does not adversely impinge on existing marine users. This Bill ensures co-users are consulted ahead of any construction. Projects will only proceed if impacts can be appropriately managed.

Table 1: Proposed offshore wind farm projects. Source: Offshore Wind Energy in Australia report by Blue Economy CRC.

Specifically, this Bill: Empowers the Minister to declare specified areas suitable for offshore infrastructure activities » Empowers the Minister to grant licences for proponents to undertake offshore infrastructure activities in specified areas » Provides for protection of offshore electricity infrastructure in the Commonwealth offshore area » Establishes the statutory authorities to administer and regulate the framework » Outlines compliance and enforcement of the regulatory framework » Provides worker safety through the Work Health and Safety Act 2011 »

Why go offshore? Offshore wind has tended to be developed in countries and regions where there is less opportunity onshore – either because of the wind resource, availability of land, or factors like population density. Key regions for offshore wind have been the UK

and Europe (with The Netherlands leading the way), as well as South Korea and Japan. Offshore wind farms are also more efficient with more wind resources, although this is countered by their increased cost to develop and maintain them. Offshore wind gross capacity factors greater than 80 per cent (excluding losses) are claimed for waters south of Tasmania, although these are in deeper waters, likely to be more challenging and are a long way from demand centres. In more accessible areas, such as Bass Strait, Western Australia’s coast and north Queensland, “theoretical” offshore capacity factors of more than 55 per cent are widespread, according to Blue Economy Co-operative Research Centre. South Australia and New South Wales have capacity factors of more than 45 per cent. The capacity factors for offshore wind farm sites in Australia are claimed to be 10-15 per cent higher than for onshore wind and by more than 25 per cent in some areas (see Figure 1).

Figure 1: Capacity factors for onshore and offshore wind 100m hub height. Source: Offshore Wind Energy in Australia report by Blue Economy CRC.

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November 2021 ISSUE 16

GRID INTEGRATION AND STABILISATON The capacity factors for offshore wind farm sites studied in the Offshore Wind Energy in Australia report (which were those close to substations at 25, 50 and 100km offshore and in waters less than 1,000m deep) are shown in Table 2.

released in 2020 estimated the capital cost for an onshore wind farm using 4MW turbines at $1.7 million per MW compared to $5.4 million per MW for an offshore wind farming employing 9.5MW turbines, the CSIRO’s GenCost final report estimated

Table 2: Gross capacity factors at selected sites. Source: Offshore Wind Energy in Australia report by Blue Economy CRC.

Offshore wind farms can also have larger turbines – it’s easier to install when they won’t impact neighbouring land use. Offshore turbines average 7.5MW compared to an onshore average of 3MW. The biggest offshore turbine currently available is the massive 12-14MW Haliade-X which has a 220m rotor. It’s argued that offshore wind farms could help diversify supply to the grid by being available at times when solar and onshore wind are not. The Blue Economy study looked at offshore wind resources hourly against grid load in Western Australia, South Australia, Victoria, Tasmania, New South Wales and Queensland and against other renewable generation onshore. Most sites showed strong diversification from onshore renewable generation. But there is a big caveat to this assessment because the offshore and onshore wind resource data was not based on in-situ observations but taken from “coarse resolution global scale meteorological reanalysis”. The correlation of offshore wind with onshore wind sites estimated in the study is shown in Table 3.

Show me the money While more efficient, offshore wind farms are unsurprisingly more expensive to build and maintain. The International Renewable Energy Agency estimates the average levelised cost for onshore wind at US$39/ MWh (AUD$53/MWh) compared to US$84/ MWh (AUD$115/MWh) for offshore wind. An assessment of technology costs for the Australian Energy Market Operator

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the costs to be $1.9 million per MW for onshore wind and $5.6 million for offshore wind farms. In shallower waters, wind turbines can be fixed to the seabed and internationally commercial wind farms are almost exclusively fixed foundations. The capacity of offshore wind farms with foundations in the seabed has nearly doubled in the past four years (19GW to 35GW), and amortised costs have dropped from $120/MWh to $80/MWh. They are best suited to waters no deeper than 60m, while an estimated 80 per cent of offshore wind blows over deeper waters. For deeper waters, they can be put on floating platforms, which have been commercialised over the past decade. Four systems have emerged – semisubmersible, sparbuoy, tension leg platform, and barge.

In July, Shell and Scottish Power, which is part of Iberdrola, submitted proposals to build a large-scale floating wind farm off the Scottish coast. One challenge highlighted by the Floating Wind Joint Industry Project (FWJIP) for floating wind farms with larger turbines is maintenance and servicing which can not only be technically challenging but can come with a price tag. Approaches being looked at include climbing cranes, and vessels that can counter the effect of swell with motioncompensation software, but the ships are estimated to cost $250 million. In a recent FWJIP report, key findings included: » Heavy lift maintenance: the relative motion of the turbine versus the maintenance vessel is a key risk and current heavy lift vessels, originally designed for the oil and gas industry, are not able to lift to the height of a 15MW turbine » Tow-to-port: better solutions to safely disconnect and store all the connections when bringing the turbine back to port were researched, providing recommendations depending on the turbine platform design and the distance to port » Mooring in challenging environments: both very deep and very shallow waters come with inherent challenges for anchoring floating offshore wind platforms, from selecting the most cost-efficient mooring system, to mitigating the strong dynamic motions of waves experienced in shallow waters So, work is underway on the best way to manage offshore floating wind farms and larger turbines. Note: This article was originally published on the Australian Energy Council website.

Table 3: Correlation of offshore wind with onshore wind at selected sites. Source: Offshore Wind Energy in Australia report by Blue Economy CRC.

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SPONSORED EDITORIAL GRID INTEGRATION AND STABILISATON

HOW SIEMENS IS HELPING TAHITI REDUCE ITS ENVIRONMENTAL FOOTPRINT Siemens is helping the French Polynesian island of Tahiti reduce its reliance on diesel fuel as part of a wider plan to help decarbonise the island.

urrently, around 36 per cent of Tahiti’s electricity supply comes from renewables – 30 per cent from hydro-electric stations, and 6 per cent from solar PV. The rest remains heavily dependent on diesel, which is not only carbon-intensive, but can be highly vulnerable to price volatility and supply disruptions. Tahiti’s aim is to have 75 per cent of its energy provided by renewable energy by 2030. The project was commissioned by French company Engie subsidiary Electricite de Tahiti (EDT), which operates Tahiti’s public energy service for the main island as well as 19 other islands in French Polynesia. The project will see a 15MW/10.4MWh lithium-ion battery energy storage system (BESS) offered by Kokam, a global provider of innovative lithium-ion battery solutions and a subsidiary of SolarEdge Technologies, integrate with Siemens’ SINAMICS S120 virtual synchronous generator (VSG) liquid cooled inverter with marine grade protection. It is specifically designed for the island and its tropical environment. Importantly, the grid forming VSG functionality together with specifically designed Static VAR Compensation (STATCOM) 16 Mvar of the SINAMICS S120 enables the inverter to provide grid support functionality. This is equivalent to the synchronous services and reactive power capabilities traditionally provided by a synchronous generator. The SINAMICS S120 inverter system provides grid support functionality not only for active power and frequency stability, but also provides dynamic power support to the Tahiti network for voltage stability. The Siemens inverter system is critical to the success of the project, as putting more renewable energy into the grid means it becomes more unstable. The project will offset EDT’s existing

spinning reserve diesel generators and is expected to reduce diesel usage by around $2.2 million annually. Additionally, the introduction of VSG will strengthen the stability of the local grid and increase energy savings through reduced generator maintenance costs and an increase in the generator’s lifespan. The importance of inverters is that they are able to convert the direct current (DC) or variable frequency electricity produced by renewable energy and store it in batteries into the nominally 60Hz alternating current (AC) form of electricity used by the power grid. A key challenge is that whilst the grid’s frequency is nominally 60Hz, in reality, it constantly varies due to the mismatch between demand and supply balance in the power system. It is therefore necessary to have mechanisms in place to stay synchronised with the grid. This is particularly challenging during system disturbances when the local grid’s voltage waveform can become significantly distorted. By injecting reactive current during a grid fault condition, the STATCOM functionality of the SINAMICS S120 will help the generators ride through the system fault events as required for grid stability. As per the requirement of EDTs specifications, the inverter needs to provide reactive power as a function of AC voltage. In voltage regulation mode, the SINAMICS S120 unit is fed with an external set point of the measured voltage at the point where voltage regulation is required. Voltage regulation mode only requires measurement of voltage by either VTs or by external source such as a power meter. The Inverter provides the required reactive power to maintain the supply voltage within limits. Manufacturing and testing of the system are currently underway, with the project expected to go live in late 2022.

For more information, go to siemens.com.au

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November 2021 ISSUE 16

GRID INTEGRATION AND STABILISATON

BATTERIES –

POWERING THE CLEAN ENERGY TRANSITION

Aerial image of the Jeeralang Power Station, which the Wooreen Energy Storage System will sit alongside when completed.

As the need to tackle climate change becomes more urgent, the surge in renewable energy offers hope. But the variable nature of wind and solar power means that storing energy has become the next big challenge. This is where large-scale batteries come in, like EnergyAustralia’s Wooreen Energy Storage System to be built in Victoria’s Latrobe Valley, helping to keep the grid stable through the energy transition.

aking sure its customers With Wooreen able to power more than 230,000 continue to have low-cost households for four hours, it marks a big step up energy when they need it from the other batteries EnergyAustralia operates most was front of mind for in Victoria – Ballarat, which can provide energy EnergyAustralia when it for just over 20,000 homes for an hour, and announced in March its firm Gannawarra, supplying around 16,000 homes commitment to build Australia’s first four-hour for two hours. utility-scale battery of 350 MW capacity by 2026. “Our Ballarat battery began operating in Chief Operating Officer, Liz Westcott, said “CoDecember 2018 and Gannawarra soon after in located with EnergyAustralia’s Jeeralang gas-fired March 2019. The fact that Wooreen is over twenty power station, the Wooreen Energy Storage times bigger really shows how much technology System will provide cover for more than 230,000 has progressed over just a couple of years. Victorian households for four hours before being “Battery cells are improving in duration as well recharged. Its rapid dispatchability during periods Liz Westcott. as coming down in price through economies of of high demand will provide immense value in scale, which means we can install more of them maintaining supply and keeping costs down for customers.” and they’re better. It’s a bit like buying a TV. Your new TV will be Wooreen will be the biggest battery operating in Australia today bigger, cost less and be more feature packed than your old one. It’s – and one of the largest in the world. This battery, and other big exciting how far batteries have come and what their future potential energy storage projects, are critical to the clean energy transition could be in helping us provide customers with reliable, affordable as baseload coal-fired power stations retire and are replaced by and cleaner energy.” variable renewable energy. EnergyAustralia believes its battery Ms Westcott says that the need for batteries is only getting can reduce price volatility in times of low renewable generation by greater, as more and more renewables enter the market. boosting capacity in long-duration, grid-scale storage.

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GRID INTEGRATION AND STABILISATON Currently, more than 25 per cent of the National Electricity Market’s energy comes from renewable sources, with a record 7GW of new renewable capacity installed last year. To put this in perspective, this is more than twice the maximum demand of South Australia built in just one year. And there is no greater symbol of Australia’s energy transition than the popularity of rooftop solar. Solar systems are now fitted to over 2.5 million Aussie homes, the fastest growing part of the generation mix. And there’s no signs of this slowing down. “Having Wooreen with its much longer fourhour duration will be valuable as we move to a net zero future. It will enable more renewables to enter the system and provide frequency Image showing how the Wooreen Energy Storage control and stability. The battery will work by System will operate. charging up when renewables are generating, and then discharge to provide households with power when they need it – at night for example,” Ms Westcott said. their blessing to officially name our battery project Wooreen, which “We’re also exploring opportunities to make Wooreen smart is Gunaikurnai for the word light. enough to provide this critical role at the optimal time to meet “We are now embarking on a more comprehensive program of customers’ needs and ensure they don’t pay any more than they talking and hearing from members of the local community about have to.” Wooreen, and recently wrote to residents to explain the project and The battery will be built alongside EnergyAustralia’s gas-fired invite local feedback and ideas. We understand that any project we Jeeralang power station, in Victoria’s Latrobe Valley. The location’s pursue must be good for the community and the environment,” Ms optimal connection to the grid was a key factor in its selection. Westcott said. It’s hoped that this project, alongside others planned for the EnergyAustralia recently reaffirmed its commitment to the clean region, will provide new opportunities for workers displaced by the energy transition with an updated climate change statement. This closure of power stations. This includes the Yallourn power station, set targets including reaching net zero greenhouse gas emissions which EnergyAustralia advised would close in 2028 – providing by 2050, reducing its direct emissions by 60 per cent by 2028/29 workers with seven years’ notice as well as a multi-million-dollar relative to this year, and transitioning out of coal by 2040. It sees support program. the Wooreen battery project as part of this commitment – but it’s “The placement of Wooreen ensures the Latrobe Valley’s proud not the only action it’s taking. history of powering Victoria continues. It’s exciting that several Through long-term renewable energy agreements, worth almost other renewable energy projects are also planned for the region, $3 billion, EnergyAustralia currently underpins around 6.5 per including in offshore wind and hydrogen,” Ms Westcott said. cent of the large-scale wind and solar projects in the National The Wooreen battery will be operational by 2026, with Electricity Market. construction taking around 18 months. And while it’s not intended to It’s also underpinning the 250MW Kidston pumped hydro facility take the place of Yallourn, the Latrobe Valley will benefit with more in Queensland, which has the potential to power up to 100,000 than 80 people employed on the build. EnergyAustralia has already homes during periods of peak demand from 2025. sought expressions of interest from businesses that are able to It has committed to the 300+MW Tallawarra B power station in engineer, procure and construct the new facility. New South Wales, which will be Australia’s first net zero emissions “Our preferred contractor will help to maximise local hydrogen and gas capable power plant. The new power station participation within the Latrobe Valley and broader Gippsland will deliver reliable power to around 150,000 homes in time for the region by drawing on the expertise of neighbouring suppliers and summer of 2023-24, and help kick off the green hydrogen industry. construction personnel,” Ms Westcott said. EnergyAustralia are also developing the Lake Lyell pumped “Australia is a world leader in energy storage. We’ve received hydro energy storage project – an exciting opportunity for the several high-quality applications, reflecting the capability and skills Lithgow region on the existing Mt Piper power plant site near Australia has in this area. We’re currently evaluating all submissions Lithgow in New South Wales. and look forward to progressing our competitive procurement Ms Westcott said it’s a great example of repurposing existing process throughout 2022, with an announcement of a contractor transmission assets and providing opportunities in the energy expected in early 2023.” transition for communities with a history in powering the country. EnergyAustralia has a history of working closely with the “So far, we’re exploring two great opportunities that draw communities in which it operates, and the Wooreen battery on existing assets. With Wooreen and Lake Lyell, we’re taking project is no different. Ms Westcott said that since the project’s these communities on the energy transition as they’ve been the announcement in March, EnergyAustralia has been undertaking backbone of energy generation for decades. We hope it’s also feasibility studies that look at technical requirements and potential a strong display of our commitment to investing in a variety of environmental impacts. It’s also talking with the local community, technologies, each with their own benefits, in building a modern including Latrobe City Council and the Gunaikurnai Land and energy system. Waters Aboriginal Corporation (GLaWAC). “We’re excited by the possibilities of technologies like batteries, “EnergyAustralia operates on Aboriginal land, so it’s important and how they contribute to our goal of delivering reliable, that we work with GLaWAC to ensure we have Traditional Owner affordable, low emissions energy for our 2.4 million customers,” Ms input into how we respect Country and culture. We are extremely Westcott said. grateful to Aunty Doris Paton, and with the help of GLAWAC, for

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November 2021 ISSUE 16

DISRUPTION

BLACK SYSTEM OR BLACK SWAN: LEARNINGS FROM SOUTH AUSTRALIA’S INFAMOUS 2016 BLACKOUT – PART 2 by Imogen Hartmann, Editor, Energy magazine The 2016 South Australian blackout was estimated to cost businesses $360 million, but perhaps the highest cost was the broad shadow of doubt it cast over the reliability of the state’s power system and, by extension, power systems with heavy levels of renewable penetration. In the first part of this series, we learned that twin tornadoes tore through the state’s electricity infrastructure, plunging residents into darkness and leaving some without power for days. In the second installment, we’ll look at how the industry responded to the event in the years that followed, and where we stand today as a result.

November 2021 ISSUE 16

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DISRUPTION

nergy consumers were impacted by the catastrophic weather event for days (weeks in some cases), but the larger impact of the state’s energy disaster would be felt for years to come, with governments, industry and the public anxious to get to the root of the problem. Almost immediately after the blackout, the fingerpointing began with much of the blame landing on the newly coalfree state’s power system – particularly its reliance on renewables. Although then South Australian Premier, Jay Weatherill, rejected the notion that the state’s renewable-heavy energy mix was to blame, it was a possible cause that needed to be further investigated, one which triggered a series of enquiries into the events that unfolded. Overly sensitive protection mechanisms In the first part of this article series, we learned that as the extreme weather system tore through the state, damaging transmission lines which then tripped as a result, a sequence of faults occurred in quick succession causing six voltage dips on the South Australian grid over a two-minute period. As a result, nine wind farms located in the state’s mid-north showed a sustained reduction in power (456MW in less than seven seconds), which was the activation of an inbuilt protection feature. The Australian Energy Market Operator (AEMO)’s fourth and final report into the blackout, Black System South Australia 28 September 2016, which was published in March 2017, found that it was these overly sensitive protection mechanisms in the state’s wind farms that were to blame. The report said the unexpected operation of the control settings resulted in the sudden loss of generation from the wind farms. "Had the generation deficit not occurred, AEMO's modelling indicates SA would have remained connected to Victoria and the black system would have been avoided," the report said. In addition, after previously finding that the state’s change in its electricity generation mix played no part in the blackout, AEMO’s report later contradicted that advice. Instead, the report indicated the inclusion of more non-synchronous inverterconnected generators – i.e. wind and solar – had left the system more vulnerable. "This generation has different characteristics to a conventional plant, and uses active control systems, or complex software, to ride through disturbances," the report said. "With less synchronous generation online, the system is experiencing more periods with low inertia and low available fault levels, so AEMO is working with industry on ways to use the capability of these new types of power generation to build resilience to extreme events." Wind farm owners penalised In the years that followed the blackout, the Australian Energy Regulator (AER) took four wind farm operators to court over the overly sensitive protection mechanisms. In December 2020, the owner of the Snowtown 2 Wind Farm, Tilt Renewables, was ordered to pay $1 million for failing to obtain written approval for critical systems settings in their wind farms. In July 2021, the Federal Court ordered Pacific Hydro, owner of the Clements Gap Wind Farm, to pay $1.1 million for breaching the same rules, and HWF 1, the owner of the Hornsdale Wind Farm, was ordered to pay $550,000. In the court proceedings, both Pacific Hydro and Hornsdale admitted that they hadn’t gained prior written approval from AEMO and ElectraNet before applying their repeat low voltage ride through system settings to their generating units. AER agreed to a settlement outcome which included the withdrawal of formal allegations that the application of the settings was a "contributing cause" of the blackout.

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However, Justice Richard White said the wind farms' "use of non-approved settings in the present case compromised AEMO's ability to discharge its responsibility, because it meant that it was making important decisions concerning the secure operating limits of the power system on the basis of incomplete information". In August 2021, AGL Energy and the AER agreed to a settlement of $3.5 million as a result of using low-voltage protection settings on its Hallett Wind Farm without prior written approval. The terms of the settlement included a review of AGL’s compliance program and minor changes to AGL’s generator performance standards.

Learnings from overseas In 2016, Mr Weatherhill told reporters, “This would happen to any system anywhere in the world if they had a similar circumstance”. To test this theory, we looked at a recent blackout event from overseas. Texas, February 2021 On 13 February 2021, a winter storm blew through Texas, bringing with it some of the coldest weather the state had experienced since 1989, and the normally capable grid was overloaded with demand as residents blasted their heaters. As well as the grid struggling with the record-high demand, energy providers also grappled with equipment malfunctions caused by the elements. In particular, many of the state’s wind turbines froze and stopped spinning, leading many to the assumption that they were to blame for what followed. A freak weather incident, a state copping blackouts, and fingers pointed at wind turbines – sound familiar? The Texas blackouts certainly had similarities to the 2016 South Australian event, chief among them that renewables weren’t really at fault.

After the rolling blackouts hit Texas, it was determined that frozen oil and gas pipelines were largely to blame.

The event The grid was overwhelmed with demand and the state’s wind turbines stopped spinning, but the industry and the public would soon learn that, although this certainly didn’t help, it wasn’t the main cause for the majority of the power loss. This is because wind farm generation in Texas only makes up about 7 per cent of the state’s mix of power generation at that time of year. Instead, according to regulators, the problem lay largely with the state’s primary energy source, natural gas. As pipelines froze, power plants struggled to obtain the fuel they needed, while production from coal and nuclear plants dropped as well. The state’s generators, unable to keep up with demand, overloaded and automatically went offline as a precautionary measure. Some other generators attempted to make up for it, but they were also overloaded and went offline – which would have manifested in a statewide blackout had it continued.

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DISRUPTION

South Australia is planning to develop the world’s largest VPP, made up of 500,000 home solar panels.

With minutes to spare, the Electric Reliability Council of Texas (ERCOT), issued rolling blackouts to different parts of the state to keep the demand under capacity. Although a large proportion of Texans only experienced shortterm blackouts, many suffered a loss of power for several days. It was reported that this was because of three likely scenarios: » Residents were in areas where equipment was damaged » Residents were living in places that were taken offline and needed manual reactivation » Consumers were receiving their power from large industrial facilities that may have voluntarily gone offline to conserve energy

Findings Texas has a unique energy structure in that it sits independently from the US’ two predominant, highly-connected grids: the Eastern Interconnection and the Western Interconnection. While many Texan politicians claim their “energy independence” as a point of pride, it means the state can duck regulations on trading electricity across states, which some experts say could have contributed to the Texas grid not being properly maintained. Since the blackouts, Texan lawmakers have approved a sweeping package of measures aimed to target specific problems threatening electricity reliability. These measures include new “winterisation” mandates, specifically aimed at power plants, as well as oil and gas infrastructure. However, as these mandates allow regulators to determine which parts of the natural gas supply chain are critical to electricity production (thus requiring protection from the cold), some have argued that this ignores the interconnectedness of the gas infrastructure. Another new piece of legislation includes the establishment of an energy alert system to warn Texans of an impending grid emergency. It also includes a crack-down on retail plans that latch customer prices to the spot market price of electricity, after it was revealed many customers with such plans received electric bills for thousands of dollars because of price spikes during the blackout crisis. Although many agree that the new legislative measures are a step in the right direction to weatherising Texas’ grid, other analysts have said it’s not enough, with the state’s grid still at risk of further blackouts. It begs the question at the crux of the black swan conundrum: can more be done to avoid another disaster in Texas, or South Australia, or any other grid in the world – or is it too costly and impractical to try and prepare for unpredictable events? Big batteries and VPPs Since 2016, South Australia's reliance on renewables has only increased, with the state reaching the significant milestone of powering 100 per cent of its energy demand for an hour in October 2020. www.energymagazine.com.au

One power supply solution that the state has pursued in the years since the 2016 blackout is big batteries – the biggest lithiumion battery in the world, in fact. Development of the 100MW/129MWh Hornsdale Power Reserve battery began in early-2017, with it becoming operational in December of the same year. It is currently undergoing a 50 per cent (50MW/ 64.5MWh) expansion. Co-located with the Hornsdale Wind Farm, approximately 15km north of Jamestown, the Tesla battery was designed to stabilise the network at all times and provide back-up power in case of a shortfall. It’s credited with saving South Australia consumers over $150 million within its first two years of operation. South Australia also has several virtual power plant (VPP) schemes underway, key to which is an ongoing development of the world’s largest VPP, comprising 50,000 home solar panels and batteries.

Where do we go from here? Since the publication of the 2019 review into the black system event in South Australia, the AEMC has announced a new rule that will work to better identify emerging risks to power system security. The AEMC’s aim is to change the way market operators and network service providers assess the kind of risks that can lead to cascading outages or major supply disruptions in the power system. The rule introduces a new, more holistic, general power system risk review (GPSRR). This annual review will replace the existing power system frequency risk review (PSFRR) which currently occurs about once every two years. “This new rule will increase the transparency of emerging system security risks that may need to be managed, helping AEMO, network service providers and other market participants better understand the nature of new risks and monitor them over time,” AEMC Chair, Anna Collyer said. The new approach is not intended to be a detailed assessment of all potential risks, instead, AEMO and network service providers will collaborate on a high-level view of risk arrangements over time. “A key element of the new review is the requirement for providers to collaborate with AEMO and ensure the operator has the information it needs to conduct these risk reviews,” Ms Collyer said. “As well as monitoring risks over time, the new approach will help AEMO and network service providers improve their capacity to identify, understand and consider ways to mitigate against those risks. Working together more often raises the profile of risk identification across an already highly-aware industry.” One more power system frequency risk review will be completed in this transition period, with the first of the new reviews to be delivered by mid-2023.

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DISRUPTION SPONSORED EDITORIAL

WHY THERMAL RUNAWAY

IS THE REAL KILLER IN BATTERY FIRES by Dawson Johns, Managing Director, Zenaji

We have all heard of and seen the fires caused in Lithium-based batteries. The recent Tesla fire in Geelong, the fires in Griffith University, the Tesla car fires, the recall by LG of its Lithium batteries and the list goes on and on in Australia and worldwide.

From left to right, Zenaji's CTO, Charlie van Dongen, and Managing Director, Dawson Johns. Photo credit: Sarah Longshot – Longshot Images

n 2019 the Government introduced new rules around safety and the installation of lithium batteries in the home, but did nothing to examine what was causing the fires and the risk posed to human health. Instead, it looked to regulate the control systems of batteries and their installation. They simply lumped all lithium batteries together as if they were all dangerous and all suffered from the same problems. They were wrong. What is really happening and what consumers should be very wary of is that fires are almost exclusively caused by what is known as thermal runaway. Thermal runaway describes a process that is accelerated by increased temperature in turn releasing energy that further increases temperature. Thermal runaway can be initiated from mechanical or thermal failures. Electro-chemical abuse from overcharging or over-discharging the cell can also start thermal runaway. Also,

there’s the possibility of an internal short circuit within the cell which leads to thermal runaway. Thermal runaway produces uncontrolled heat which leads to fire and or explosions of cells. Once one cell suffers from thermal runaway it can, and usually does, very quickly spread to other cells around the initiating cell so the whole battery bank is engulfed in fire very quickly. Certain chemistries such as Lithium Iron Phosphate (LFP) and Nickel, Manganese, Cobalt (NMC) batteries and variants of these chemistries are prone to spontaneous internal shorts that result in thermal runaway. Despite the inherent dangers they are very energy dense, light weight and in high demand so battery manufacturers continue to produce them particularly for cars and mobile devices. However, there is a lithium chemistry which is highly practical for stationary devices and does not suffer from thermal runaway unless massively overcharged. This is commonly known as LTO chemistry

or Lithium Titanate batteries. With proper management controlling their charge, these cells never suffer from thermal runaway. Where safety is a consideration, such as in-home and business/commercial installations, this is the only Lithium chemistry that offers the level of safety needed now and into the future. Interestingly, LTO cells provide storage and retrieval of power over their very long life at a much lower cost than other lithium batteries. They can be charged and discharged many times more than their counterparts and will outlast all other current lithium chemistries by multiple times. Market penetration of LTO technology is growing. Home storage systems using these cells is rapidly beginning to replace older less safe chemistries and it is expected that Government regulations will catch up with the technology advances and begin to limit the use in homes and business of LFP and NMC based batteries.

Zenaji LTO Batteries are available through R&J Batteries Australia-wide. To learn more, visit the website rjbatt.com.au or call 1300 769 282 to chat to the battery experts.

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BIOFUELS

AUSTRALIA’S HYDROGEN FUTURE:

HOW WASTEWATER IS CHANGING THE GAME By Lauren DeLorenzo, Journalist, Energy magazine

As we transition to more sustainable energy sources, it’s clear that hydrogen production will play a major role in powering the future, with the Federal Government aiming to position Australia’s hydrogen industry as a major global player by 2030. Monash University researchers, together with national water utilities, are now looking at ways to produce hydrogen energy more sustainably through repurposing wastewater, putting Australia one step closer to its hydrogen targets.

ydrogen is a clean energy source that can be used in a number of ways, either as fuel for transport or heating, a way to store electricity, or as a raw material in industrial processes. However, the production of hydrogen requires abundant renewable energy and a consistent water supply to produce scalable and sustainable energy for commercial use. As a result, at least 5.5 billion litres of water is needed annually to achieve the hydrogen production target proposed in Australia's National Hydrogen Strategy for the estimated 2030 export market, which is equivalent to the annual water consumption of 1.6 million people. Monash University’s Sustainable Hydrogen Production from Used Water project aims to address the challenge of water scarcity in the process of hydrogen production. The project aims to develop an innovative approach that repurposes

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wastewater as the feed for hydrogen production through water electrolysis – the process of using electricity to split water into hydrogen and oxygen. The three-year research project began when Water Research Australia started to explore the role of water utilities in the hydrogen industry, but soon more partners joined the project. The project received an ARC Linkage grant, which was funded by the Australian Research Council and aims to encourage the joint effort of Monash, WaterRA, and GrapheneX to provide innovative solutions. The group of researchers, Professor Xiwang Zhang, Professor Huanting Wang, and Dr Yinlong Zhu, from the Department of Chemical Engineering at Monash University, will look to advance the practical applications of water electrolysis for scalable and sustainable hydrogen production, and help Australia secure a leading position in the global emerging hydrogen economy. Chemical Engineering Professor and Director of the ARC Research Hub for

Energy-efficient Separation, Xiwang Zhang, explained the process of water electrolysis for hydrogen production. “PEM electrolysers adopt polymerelectrolyte membranes as solid electrolytes, transporting proteins and separating gaseous reaction products,” Professor Zhang said. “Cathode and anode electrocatalysts are deposited on the two sides of the membranes, for the two half-reactions of water electrolysis, hydrogen evolution reaction (HER), and oxygen evolution reaction (OER), respectively.” With the broader goal of advancing applications of wastewater in hydrogen production, the research will focus on three targeted objectives. Professor Zhang explained that the first objective was to gain an in-depth understanding of how electrocatalysts and membranes perform in the presence of different concentrations of key impurities, and develop guidelines for designing water electrolysers with a high tolerance of water impurities.

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BIOFUELS

The second objective aimed to identify the water quality gap between the treated water from existing wastewater treatment plants (WWTPs) and the required feed water for water electrolysis, and provide recommendations for WWTPs operation and potential upgrading. Finally, Professor Zhang said they would also evaluate the feasibility of utilising the co-products from water electrolysis in wastewater treatment, and develop frameworks for the integration between wastewater treatment and water electrolysis. Professor Zhang said this project presents an opportunity to minimise freshwater consumption and use the large amounts of wastewater generated in Australia’s major capital cities. “The amount of wastewater currently available for use is far more than the amount of water required in water electrolysis for hydrogen production,” Professor Zhang said. “Most of the treated water throughout Australia is currently discharged to

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surrounding water bodies or recycled for irrigation after being treated in centralised municipal wastewater treatment plants. “Given the volume of the treated water from these plants is highly consistent, it is a promising water source for water electrolysis.” Australian Laureate Fellow and Director of Monash Centre for Membrane Innovation, Professor Wang, said, “With our expertise in water electrolysis, membranes, and water treatment, we are pleased to have this opportunity to work with our industry partners to contribute to the development of renewable hydrogen technology using recycled water.” The project will work closely with water utilities South East Water, Melbourne Water, Yarra Valley Water and Water Corporation, through Water Research Australia (WaterRA). WaterRA Research Manager, Dr Arash Zamyadi, is the Partner Investigator, and said although the majority of pollutants in wastewater have been effectively removed in the current wastewater treatment

processes, small amounts of impurities (residual organics and ions) remain. “There still remains a knowledge gap in how the impurities affect water electrolyser design and process operation,” Dr Zamyadi said. “Through this research, we hope to develop an in-depth understanding of the impacts of water impurities in used water on the performance and durability of water electrolysers, and subsequently develop guidelines for the design of highly durable water electrolysers and the operation and upgrade of existing wastewater treatment plants.” The findings from this project have the capability to contribute to the global hydrogen export market, with demand for hydrogen exported from Australia alone tipped to be over three million tonnes each year by 2040. If found to be feasible, researchers estimate that wastewater could be used in commercial-scale hydrogen production in the next three to five years.

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BIOFUELS SPONSORED EDITORIAL

WASTE-TO-ENERGY: TAPPING INTO NEW TECHNOLOGIES

The Asia-Pacific waste-to-energy market (WTE) is predicted to grow at an annual rate of over 15 per cent and reach a value of US$13.66 billion by 2023.

apping into this exciting growth phase for the WTE sector, is Australian business ResourceCo Energy, which is ramping up its presence to support the manufacturing industry and high energy users with long-term, low-cost renewable energy solutions. The company also remains focused on continuing its work over the past 30 years in assisting companies to achieve carbon-neutral status through the provision of carbon abatement credits. CEO of ResourceCo Energy, Henry Anning, says there is a significant opportunity for businesses to reduce long-term energy costs, risk and emissions, by turning to alternative fuels or by adding value through carbon abatement credits. “The time to act is now, as the resource recovery industry is critical to assisting companies to achieve net zero targets and progress the circular economy. Investors now more than ever are demanding clearer and credible transition plans on committing to reducing emissions,” Mr Anning said. Momentum is building around the shift to a decarbonised economy, with the staging of COP26 in Glasgow, where governments must strengthen their contributions to the Paris Agreement to send a resounding signal that businesses, cities, regions, and investors are united in achieving the set goals. “While we are seeing some local manufacturers progressing with their own energy-from-waste (EfW) projects including Opal Maryvale and Opal Botany – the majority are needing further encouragement to make the switch to a viable, cost-effective and more environmentally sound option such as heat or electricity from Processed Engineered Fuel (PEF),” Mr Anning. “ResourceCo Energy plays a significant role by partnering with these businesses and helping manufacturers set up the infrastructure and technology to utilise heat as well as electricity from recovered fuel from waste. “It’s about establishing long-term agreements and providing unique options to the requirement for heat in manufacturing. We are providing businesses with an over 90 per cent renewable heat source as an alternative to gas, coal, or electricity.

“ResourceCo Energy manufactures process engineered fuel (PEF) from commercial and industrial (C&I), and certain construction and demolition (C&D) materials. These are primarily waste timber materials and also include non-recyclable plastics, cardboard, paper and textiles.” The latest Australian Energy Statistics show fossil fuels including coal, oil, and natural gas, account for 93 per cent of Australia’s primary energy mix in 2019-20, with natural gas continuing to be the largest source of energy for the manufacturing sector. “It’s the right time for manufacturers to add WTE to their business plans,” Mr Anning said. “With high gas and coal prices predicted to continue and businesses still experiencing price rises of up to 300 per cent, we need to encourage change which includes a low-risk approach and short payback time. “The material ResourceCo Energy produces can be used in boilers to make steam that can then be used for process heat, but it can also provide for power generation. “High energy users with existing boilers using between 100,000GJ and a petajoule of natural gas can convert to renewable energy by installing between a 5MW and 40MW recovered fuel boiler. “ResourceCo Energy is committed to adding value to produce energy with a much lower carbon output than those powered by fossil fuels. “Proudly to date and under the carbon abatement process, two million tonnes of emissions have been avoided which is equivalent to us taking 450,000 petrol vehicles off our roads.” It’s estimated by 2025, there will be up to $7.8 billion in new investments Australia-wide in resource recovery, bioenergy, and WTE, providing nearly 13,000 construction, indirect, direct, and ongoing jobs. A Clean Energy Finance Corporation report has also indicated these categories have the potential to reduce landfill emissions by up to 60 per cent. ResourceCo Energy is set to roll out new resource recovery plants in Melbourne and Brisbane which produce PEF, with more sites planned across Australia.

To learn more about ResourceCo’s waste-to-energy solutions, go to: https://resourceco.com.au/

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A A P P II O ON NE EE ER R II N N C CA AR RB BO ON N A AB B AT AT E EM ME EN NT T

D DR R II V V II N NG G S SU US S TA TA II N NA AB B II L L II T TY Y T TR RA AN NS S FO FO R RM M AT AT II O ON N

ResourceCo is a global leader in waste recycling ResourceCo is a global leader in waste recycling and a pioneer in delivering carbon abatement. and a pioneer in delivering carbon abatement. We are committed to supporting Net Zero We are committed to supporting Net Zero aspirations of organisations across Australia aspirations of organisations across Australia and continue to work with them on shared goals and continue to work with them on shared goals for greener supply chains by decarbonising for greener supply chains by decarbonising through credible carbon transition plans. through credible carbon transition plans. With over 30 years of experience and 60 million With over 30 years of experience and 60 million tonnes of materials repurposed, we are leading tonnes of materials repurposed, we are leading the sustainability transformation – progressing the sustainability transformation – progressing a circular economy. a circular economy.

TOMORROW’S SOLUTIONS. TODAY TOMORROW’S SOLUTIONS. TODAY

IOT & CLOUD COMMUNICATION SPONSORED EDITORIAL

CONSUMERS AT THE HEART OF ENERGY DIGITAL TRANSFORMATION

As the energy industry continues to undergo a transformation period like never before, the relationship between utilities and the consumer is also seeing a change. Instead of the traditional one-way relationship between centralised, assetintensive utilities and the consumer, we are instead entering a new energy paradigm – one with the emerging prosumer at the heart.

he shift will include a new, consumer-centric, decentralised and bidirectional energy system and an increasingly electrified economy. To thrive in this new world, a successful future utility will need to build compelling, integrated value-added services, overcoming complexity to present a personalised and seamless user experience to the customer. Build: establish a cloud platform fit-for-purpose This is the time to create cloud-native engagement and collaboration platforms that are flexible and scalable enough to keep up with transforming energy markets, able to integrate disparate data sources, provide deep analytical insight, and exceed increasing customer and stakeholder expectations. Truly agile utilities require a cloud platform that’s built specifically with energy and utility business models in mind. Six questions to ask yourself when selecting a platform 1. Organisational agility Can you quickly adapt to rapidly changing market conditions, regulations, and new forms of competition? 2. Speed to market Can you easily configure integrated, multi-product offerings and promptly launch them in the market? 3. Software interoperability Can you easily integrate internal applications, third-party applications, and future acquisitions? 4. Lower operating cost Can you minimise the software, hardware, and human resources needed to manage business processes? 5. Frictionless experiences Can you create personalised and seamless experiences for customers, communities, employees, contractors, partners and regulators? 6. Business transparency Can you access real-time, predictive analytics to provide deep, actionable insight into business performance?

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About Salesforce Industries Salesforce Industries delivers industry-specific cloud and mobile software that embeds digital, omnichannel processes for customer-centric industries. It enables companies to achieve faster business agility and time-to-value from the cloud, across digital and traditional channels. Learn more at salesforce.com/au/utilities.

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COUNCIL MAGAZINE

your leading source of news for the local government sector Council has been developed to keep you up-to-date with all of the latest news, discussions, innovation and projects in the local government sector.

Council is fully integrated across print and online, featuring a website updated daily with the latest industry news, a weekly e-newsletter delivered direct to your inbox, and a quarterly magazine that can be read in print and online. Published by industry publishing experts Monkey Media, Council will arm community decision-makers with the critical information they need to deliver a better future for cities, towns and suburbs all over Australia.

HE HEAD TO T DAY O WEBSITuEpTfor the to sign

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DEMAND MANAGEMENT

INTEGRITY OF THE ROOFTOP SOLAR PV SECTOR UNDER REVIEW

By Annabelle Powell, Journalist, Energy magazine The rooftop solar photovoltaic (PV) sector has seen unprecedented growth since 2016 with the total capacity of rooftop solar PV, now almost 13GW, representing one of the biggest generators in the electricity grid. However, this rapid growth brings about regulatory challenges that pose a potential risk for consumers. The Clean Energy Regulator (CER) was tasked with conducting a review of the sector in order to provide a streamlined regulatory framework to both improve integrity and provide better consumer protection.

n August 2020, Federal Minister for Energy and Emissions Reduction, Angus Taylor, requested the CER to conduct a review into the rooftop solar PV sector, following reports of consumer issues, defective installations, misuse of installer accreditation details, and safety and quality concerns. In the rooftop solar PV sector, the retailer sells the system and the accredited installer and the registered agent create the small-scale technology certificate (STC). The retailer is in control of both the sale of the system to the consumer and arranging for the installation to be carried out, either by contracting a party to do so or using its own employees. However, the retailer is the one key party not held accountable in the current Small-scale Renewable Energy Scheme (SRES) regulatory framework. When the SRES phases out at the end of 2030, the additional integrity requirements imposed on rooftop solar PV systems claiming STCs will no longer apply. This has created the need for a fit-for-purpose regulatory framework that streamlines the roles of numerous bodies involved in regulation, including federal and state agencies covering consumer protection, electrical safety, retail practices and economic regulation. The Integrity Review of the Rooftop Solar PV sector outlines issues within the sector, and makes recommendations for improvement within the SRES. Consumer concerns The CER has identified two significant integrity issues in the SRES over the past year: » A material number of Clean Energy Council (CEC) accredited installers have signed written statements for eligibility of systems for STCs when they had not been onsite during installation, leading to compliance action. The CER also found

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evidence that some installations may have been undertaken by persons undertaking electrical work without a relevant electrical licence The integrity and accuracy of serial number data supplied by a manufacturer to the voluntary solar panel validation (SPV) system, and questions over whether some panels met the eligibility requirements set by the CEC

The review includes a submission from the Australian Competition and Consumer Commission’s (ACCC) outlining 30 areas of concern, including: » Retailers and salespeople making false and misleading claims on panel origin, quality, output and price » Consumers experiencing faults are referred to multiple different parties, who all dispute liability in the warranty process » Use of high-pressure sales tactics and unconscionable conduct targeting vulnerable consumers » Failure to connect the system in a timely manner resulting in financial loss through missed tariffs and paying for a system that is not operating » Solar retailers phoenixing to avoid obligations under the Australian Consumer Law (ACL)

Key proposed changes The review recommends that the Australian Government set all scheme eligibility requirements in regulations and through the CER, and that all enforcement be undertaken by the CER, including in relation to accredited installers, retailers and component manufacturers. This would replace the current co-regulation arrangement with the CEC.

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DEMAND MANAGEMENT The review states the Australian Government should be in control of setting all scheme eligibility criteria and enforcing compliance. The review finds the CEC has undertaken its regulatory roles diligently over a long period. However, it is difficult for the CEC to undertake enforcement against accredited installers and component manufacturers when it doesn’t have the statutory investigation powers of a Commonwealth regulator. Therefore, the review recommends a single regulator with the typical statutory powers and capability of a Commonwealth regulator to be a stronger deterrent to non-compliant behaviour and enable more effective enforcement. Additional proposals include holding to account poor-performing retailers, requiring accredited installers to prove they have been onsite to make the written statement of STC eligibility and increasing component quality checks and stronger accountability for component manufacturers.

Recommendations Some of the key recommendations made by the CER include: » The CER is given responsibility for setting the rules and framework for an installer accreditation scheme » The CER is given the power to approve eligible installer accreditation schemes » The CER require additional training for accredited installers on their legal obligations in making a written statement of eligibility for STCs » The CER is given responsibility for setting the rules for listing key solar PV components (solar panels and inverters) as eligible for Commonwealth entitlements in the form of STCs Protecting a world-class solar sector The Federal Government has committed $19.2 million to implement reforms in the sector, and has announced its support for the review’s recommendations, including: » Giving the CER the power to set the eligibility requirements for, and oversee the operation of, installer accreditation schemes and the listing of approved solar components » Implementing new streamlined reporting requirements for installers, solar retailers and manufacturers

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Giving the CER more effective powers to monitor and enforce compliance with respect to installers, retailers and manufacturers Mr Taylor said, “Protecting the integrity of a system that has such a wide-ranging impact on Australian households and businesses is a top priority for the Government. “These reforms will ensure that those solar retailers, installers and manufacturers who are found to be doing the wrong thing are held to account. “Improving the regulatory framework will help put an end to the safety and quality risks plaguing the sector and help ensure the safe and successful rollout of solar PV in Australian homes and businesses into the future.”

Refined regulations welcomed The Clean Energy Council welcomed the review and the measures outlined to improve regulation and compliance of the rooftop solar PV sector. Clean Energy Council Chief Executive, Kane Thornton, said that it is appropriate to continually reflect and improve the regulatory framework to ensure industry integrity and proper oversight. "We welcome the greater role for the CER to leverage the compliance and enforcement tools of a Commonwealth agency to crack down on the worst behaviours in the industry,” Mr Thornton said. "The solar industry has already begun acting on a number of these recommendations, including the requirement for installers to be on-site during installations, increased training and awareness about the expectations on installers.” Australia’s renewable future Australia currently has the highest uptake of solar in the world; and with solar being our largest source of renewable energy, it’s vital the sector is able to continue its roll out effectively in order to achieve Australia’s 2050 net zero target. Implementing the recommendations of the review is expected to ensure safety and integrity are not lost in the fast-paced growth of the rooftop solar PV sector, and that consumers are protected.

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DEMAND MANAGEMENT SPONSORED EDITORIAL

WHY STORAGE IS THE PERFECT PARTNER FOR PV

by Scott Poulter, Chairman & Chief Executive at Pacific Green Technologies

The price of PV generation is forecast to continue to drop, but smart storage solutions will be needed in order to hold on to power when the sun isn’t shining.

Cheaper than oil. Cheaper than natural gas. Even cheaper than coal. PV solar’s dizzying price drop is continuing into the third decade of the 21st century, after declining by 90 per cent from 2010 to 2020, according to Bloomberg1.

s the tech gets cheaper, so does the electricity it generates. As an example of the trend, a study in Germany2 priced PV at €0.03 to €0.06 per kWh (USD$0.035 to $0.07 per kWh) for electricity generated by ground-mounted solar. That compares favorably with even the newest conventional gas and coal power stations in the country. According to the researchers, these legacy technologies would be unable to generate electricity any cheaper than €0.075 per kWh ($0.088 per kWh). Small wonder then that the global installed base of PV is expected to grow from 140GW in 2020 to 153.8GW in 20213. But PV has one clear disadvantage over conventional, planet-killing forms of electricity generation. Simply put, the source of its energy is not available 24/7. If the sun doesn’t shine, the electrons don’t flow, however cheap they may potentially be. Anyone who has tried to make a case for the technology knows this argument all too well. But the solution has been well known for a long time and now it is coming into its own thanks to more vertiginous falls in cost. Lithium-ion batteries are great for mopping up excess electrons for use on a rainy day, or even a rainy night.

Their costs have reduced considerably and continue to fall on an almost monthly basis. The combination of solar and storage means you can dispatch electricity as and when it’s needed. And lithiumion battery storage works with PV at almost any scale. Large-scale battery storage can also offer the grid several useful ancillary features, such as frequency regulation, flexible ramping and black-start services. Like PV, the technology has been around for decades. And also like PV, it’s becoming increasingly affordable. The price of lithium-ion battery cells has declined by 97 per cent in the last three decades4. To put this into perspective, a battery with a capacity of 1kWh that cost $7,500 in 1991 was just $181 in 2018. And prices are still plummeting, with the costs halving between 2014 and 2018 alone. This year, BloombergNEF reported that “the levelised cost of energy from lithium-ion battery storage systems is competitive with many peak-demand generators"5. The partnering of PV and lithium-ion energy storage seems like a marriage made in renewable heaven, and one that can only get stronger through the years. It’s also a partnership we’re playing a key role in nurturing. Pacific Green has deep knowledge of solar and energy storage technologies and wide experience in project development, with a 1.1GWh pipeline of energy storage now in progress.

Pacific Green’s battery technologies may be the latest cutting-edge designs, but they stand on the shoulders of more than 12 years of reliable and safe performance, delivered from advanced factories able to manufacture on a global scale. To find out more, go to: www.pacificgreen-energystorage.com or email info@pacificgreen.tv.

¹ https://www.bloomberg.com/news/articles/2021-07-05/solar-power-is-dirt-cheap-and-about-to-get-even-more-powerful ² https://www.pv-magazine.com/2021/06/22/new-solar-will-be-cheaper-than-existing-conventional-power-stations-in-germany-this-year/ ³ https://www.pv-magazine.com/2021/02/16/global-pv-installations-to-surpass-150-gw-in-2021/

https://ourworldindata.org/battery-price-decline

https://assets.bbhub.io/professional/sites/24/BNEF-2021-Executive-Factbook.pdf

November 2021 ISSUE 16

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DECARBONISATION

AUSTRALIA’S NET ZERO BY 2050 PLAN: WHAT DOES IT MEAN FOR OUR ENERGY FUTURE? by Lauren DeLorenzo, Journalist, Energy magazine Australia has been criticised for dragging its feet on climate change initiatives compared to other wealthy countries, and the Federal Government has faced increasingly urgent calls to commit to net zero emissions targets by 2050. The Federal Government’s long-awaited strategy, which pledges net zero emissions by 2050, has received mixed responses from industry bodies and experts.

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DECARBONISATION

s world leaders prepared for the 2021 United Nations Climate Change Conference (COP26) in Glasgow in late-October to November, the Federal Government faced pressure to join its states and territories in backing a net zero by 2050 target. Days ahead of the COP26, and amid international pressure to set targets which align with the majority of nations, the Government has agreed to a net zero by 2050 goal, unveiling its new Long Term Emissions Reduction Plan, which outlines the strategies to meet the emissions reduction goal. The plan relies on advances in technology to cut emissions, rather than taxation or regulation of existing industries. Its strategies focus on driving down technology costs and accelerating their deployment at scale across the economy, unlocking investment in hydrogen, carbon capture and storage and large-scale energy storage. Five-yearly reviews of the plan will track progress and enable it to adapt to new advances in technology. Objectives in the plan include reducing steel and aluminum industries’ emissions reduction costs, reducing soil carbon measurement costs so that land managers can store carbon in soil, and developing a Future Fuels Strategy to support zero emissions vehicles. The plan also identifies the potential for ultra low-cost solar, and an annual update to the Technology Investment Roadmap has set a stretch goal of solar electricity generation at $15MWh.

The Government says shutting down coal and gas production is not a part of the plan.

reduction, and high-integrity offsets are expected to achieve a further ten per cent reduction. The plan rules out taxes or a legislated mechanism. Federal Minister for Industry, Energy and Emissions Reduction, Angus Taylor, said, “Our plan continues the policies and initiatives that we have already put in place and that have proven to be successful, while preserving existing industries and jobs, and supporting regional Australia. “It will not shut down coal or gas production, or require displacement of productive agricultural land.”

Hydrogen, gas the way forward? Australian Petroleum Production and Exploration Society (APPEA) Chief Executive, Andrew McConville, said the oil and gas industry would be an important part of meeting net zero emissions targets through natural gas. “Multi-billion dollar technology is already up and running across the country helping to reduce emissions, including

Government sticks with technology over taxes Prime Minister Scott Morrison said, “The plan will deliver results through technology, not taxes. It respects people’s choice, and will not force mandates on what people can do or buy. “It guarantees that we keep downward pressure on energy prices and secure reliable power. It will ensure that Australia continues to serve traditional markets, while taking advantage of new economic opportunities.” Updates to the plan are expected to reduce emissions by around 40 per cent, global technology trends will account The Federal Government released its net zero emissions targets by 2050 plan just for a 15 per cent emissions days before COP26.

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carbon capture and storage, offshore batteries on platforms and installation of renewables to help power our sites,” Mr McConville said. “Investments are also being made as recently as this week that will also see hydrogen produced through steam methane reforming – the lowest cost, most rapid way to commercialise this important new fuel.” Monash University professor in Geomechanics Engineering, Ranjith Pathegama Gamage, said that while he sees a place for gas in Australia’s energy mix, it should not be the sole option. “While we rapidly transition from one energy source (coal) to a better option (gas), we also need to be developing cleaner, sustainable, renewable energy sources, such as wind and solar,” Professor Gamage said. “But it’s not an ‘either/or’ proposition as is often debated in research and media circles – it's possible to do both. "Australia needs to find ways to turn waste into products. My recommendations for Australia to reduce the resource industry’s carbon footprint are to develop rock-breaking technologies that use less energy, create a circular economy that turns resource industry waste into wealth and develop renewable energy sources, such as “renewable deep-earth energy batteries” (geothermal)."

The future of electricity generation The Australian Energy Council’s (AEC) Chief Executive, Sarah McNamara, welcomed the emissions reduction target as a starting point for further progress. “We have always argued the first and most critical step to reducing our emissions is agreement on a long-term target, which acts as the starting point for constructive consensus,” Ms McNamara said.

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DECARBONISATION “Electricity generators, as major carbon emitters, have long recognised their pivotal role in assisting Australia to reduce its emissions. “As a result, we have seen greenhouse gas emissions in the National Electricity Market fall by around 20 per cent by 2030 from the 2005 baseline. Further reductions are expected beyond 2030, which will help get to the 2050 target. “However, whilst electricity continues to make great progress in emissions reduction, other sectors will need to step up and play their part. “Australia cannot rely entirely on one sector whilst deferring action elsewhere. Whilst some sectors will need new technology, economic options already exist to electrify heating and light transport. We call for action in these sectors this decade.”

Technology and carbon capture solutions The Federal Government plans to invest $20 billion in low emissions technology in the next decade, expecting to unlock both public and private investment. Monash University Associate Professor, Akshat Tanksale, from the Department of Chemical and Biological Engineering, said, “Carbon capture and storage (CCS) was once considered a possible method for reducing the impact of the emissions, however, it has since proven to be economically unviable in many parts of the world, as it is highly site dependent and there are no economic benefits in the absence of a carbon price.

The plan also identifies the potential for ultra low cost solar generation.

“A better alternative is carbon capture, utilisation and storage (CCUS), in which C02 is converted into value added chemicals and fuels using renewable energy in addition to excess carbon storage, where applicable.”

Calls for more ambitious targets The Smart Energy Council, the peak independent body for Australia’s solar, energy storage and smart energy industry, has called the plan ‘an extraordinary lost economic opportunity.’ Smart Energy Council Chief Executive, John Grimes, said, “Trillions of dollars of investment is ready to land in Australia, just waiting for clear policy direction. “Fantasy investments in gas, carbon capture and storage and fossil fuel hydrogen is not a plan. “The Smart Energy Council calls on the Morrison Government to join our major export and security partners in committing to at least 50 per cent reductions in emissions by 2030.” The Clean Energy Council called for more ambitious targets, and said in a statement that, “A refusal to take on greater ambition over the next decade will likely leave Australia isolated and unable to make the most of the economic benefits that come with rapid decarbonisation. “Without a stronger 2030 target, there remains a lack of clarity and positive investment signals to accelerate the decarbonisation of Australia and take advantage of the enormous economic opportunity in play.”

Expected COP26 outcomes COP26 is considered the most significant global climate event since the 2015 Paris Agreement. It is seen as essential in keeping the global average temperature below 2 degrees celsius and avoiding the most catastrophic effects of climate change. Pressure is growing for countries to step up climate initiatives as experts report the acceleration of planetary warming, and warn that keeping temperatures below 1.5 degrees celsius will require drastic cuts to bring emissions down to zero in the next 30 years. Pledges on ending coal and petrol cars are also expected to be encouraged. Professor Graham Currie, from Monash University’s Department of Civil Engineering, said that transport was Australia’s single biggest area of greenhouse emission growth. “Electric car uptake is critical to Australia achieving a 2050 net zero target. Yet Australia has amongst the world worst uptake of electric vehicles; 0.78 per cent of new car sales are electric compared to a 4.2 per cent global average,” Mr Currie said. “COP26 needs to give Australia a gigantic kick in the pants when it comes to electric vehicle uptake.” It is expected that the conference will aim to have all countries support net zero emissions by 2050, with ambitious targets for 2030.

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November 2021 ISSUE 16

ELECTRIC VEHICLES

ELECTRIC VEHICLES AND AUSTRALIA’S FAST-CHARGING NETWORK: WHICH STATES ARE ON THE RIGHT TRACK?

by Christopher Allan, Journalist, Energy magazine Australia’s states and territories are delivering new programs for electric vehicles to make EVs more accessible for the average Australian income and entice a new range of electric models into our vehicle market. Here, we break down the latest state packages and promises for electric vehicles – including networks of fast-charging stations, long-term targets, and purchase incentives – all pursued to keep significant emissions out of Australia’s transport sector.

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ELECTRIC VEHICLES

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November 2021 ISSUE 16

ELECTRIC VEHICLES

hile consumer research consistently finds that most Australians would consider going electric for their next vehicle purchase, Australia’s EV market is being outperformed by the higher purchase rates of EVs among our OECD counterparts. Norway is already on-track to only sell electric vehicles by the year 2025 and New Zealand is already achieving an EV sales rate of 9 per cent, outpacing our national rate of 2 per cent. California, the largest state economy in the United States, has recently declared that all its new passenger vehicles must be zero-emission by 2035, a fitting response given that the transport sector makes up half of that state’s carbon pollution. Around the world, it appears that electric vehicles are here to stay – even manufacturers like Volkswagen openly acknowledge that EVs should reach price parity with internal combustion cars within the new two or three years. Why go electric? Arguably, there has never been a better time for Australia’s states and territories to transition road vehicles to electric. Before the COVID-19 pandemic, Australia’s transport sector contributed a significant 18.9 per cent of national emissions in the year 2019, second only to emissions from the energy sector. Over half of these transport sector emissions are attributed to road vehicles, putting pressure on state governments to transition to more and more electric vehicles. One widely adopted strategy to promote electric vehicle uptake is the construction of fast-charging stations across the continent. Depending on the EV model and the charger type, these fast-charging stations can fully charge a vehicle in as quickly as 15 minutes: the perfect answer to any ongoing reservations about the range performance of electric vehicles. While most electric vehicles are sold with an alternating current (AC) charger, which might be used to power a vehicle at night, most of these fast-charging stations leverage the rapid charging times of direct current (DC) chargers. Waiving stamp duty and road user fees, offering purchase rebates, and procuring EVs for government fleets are all tactics being leveraged by different states and territories to speed up the electric vehicle transition.

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Electrics vehicle policies and funding: state by state New South Wales In perhaps the most promising state government electric vehicle package, the New South Wales Government has announced a half-a-billion-dollar Electric Vehicle Strategy in the 2021-22 New South Wales Budget, actioning both infrastructural and policy incentives for going electric. It’s no surprise that an investment of this size was recently recognised in an EV policy scorecard, published by the Electric Vehicle Council (EVC), where New South Wales was graded as our top-performing state. The ambitious Electric Vehicle Strategy aims to boost EV sales to 52 per cent by 2030-31 – no small feat given that battery EVs made up just 0.68 per cent of new car sales in the state at time of announcement. Several EV policies coming out of New South Wales directly incentivise non-luxury vehicle purchases: stamp duty will be waived on all EVs sold below the $78,000 price tag, and a $3,000 rebate is available for the first 25,000 EVs sold after the first of September that retail below $68,750. An online interactive map, called the Electric Vehicle Charging Masterplan, will reflect NSW’s progress by mapping a growing network of fast-charging stations around the state, empowering investors to find the best locations for new fast-charging infrastructure as well as optimising charging station grant assessment. New South Wales Minister for Transport and Roads, Andrew Constance, announced that the map “highlights our plans to boost our existing charging network by over 300 per cent – providing more EV charging stations than all the other Australian states and territories combined”. The NSW government will co-fund at least 1,000 charging bays along major travel routes, working with major partners such as Ausgrid and JOLT as well as emerging investors. A substantial import target – to electrify NSW’s entire government fleet by 2030 – should also boost the supply of more EV models in the state. The Electric Vehicle Strategy also promises fleet incentives to councils, businesses, and car-share companies, adding to the running total of planned EV fleet vehicles. Australian Capital Territory With the transport sector responsible for more than 60 per cent of the territory’s emissions, the ACT Government has engaged seriously with both infrastructural support and purchase incentives for electric vehicles.

The ACT ZEV Public Charging Masterplan will see a roll-out of 50 publicly accessible charging stations in 2021-22. Financial incentives on offer include a full stamp duty exemption on Zero Emissions Vehicles (ZEVs) purchased for the first time, as well as two years of free registration for both new and used ZEVs. More broadly, the Sustainable Households Scheme will continue to provide zerointerest loans of up to $15,000 for eligible ACT households, to help with energy efficient home upgrades. The ACT’s ambitious policies to promote electric vehicles also include ensuring newly leased fleet vehicles are ZEVs and trialling transit lane privileges for electric vehicles.

Tasmania In Tasmania, key actions taken to promote electric vehicles include ongoing funding for fast-charging infrastructure, state-wide electric vehicle targets, and EV purchase incentives. The Electric Vehicle ChargeSmart Grants Program has already delivered 12 Direct Current (DC) fast charging stations across Tasmania in the 2018-19 period, and a second wave of the program was announced in August this year by Tasmanian Premier and Minister for Climate Change, Peter Gutwein. “The previous program supported the installation of 14 fast chargers and 23 destination and workplace chargers across the state, and this new program will aim to fill in some of the gaps in between,” Mr Gutwein said. Another landmark of Tasmania’s fastcharging infrastructure is the Tesla V3 Supercharger in Devonport, strategically located at the Spirit of Tasmania terminal to service EV tourists and commuters arriving from mainland Australia. Alongside fast-charging infrastructure, the Tasmanian Government has also set an ambitious target of transitioning the entire Government fleet to electric vehicles by the year 2030. A purchase-focused initiative in Tasmania’s well-rounded EV policy is the waiving of stamp duty for EVs purchased in Tasmania for the next two years, which can reduce the initial purchase costs of a mid-range EV by around $2,000. Northern Territory In the Northern Territory, the Electric Vehicle Strategy and Implementation Plan will support greater uptake of EVs over the next five years. NT Minister for Infrastructure, Planning and Logistics and Renewables and Energy, Eva Lawler, said, “Actions in the Implementation Plan have been directly influenced by feedback from the community, including 79 www.energymagazine.com.au

ELECTRIC VEHICLES per cent of respondents supporting the NT Government encouraging EV use and 77 per cent agreeing that now is the right time to encourage EV use. “Feedback indicated there is significant support for the NT Government installing EV chargers, as well as setting targets for the NT Government Fleet,” Ms Lawler said. The Electric Vehicle Strategy and Implementation Plan will provide training and up-skilling for local workers to roll-out new charging stations and to conduct ongoing servicing. Key purchase incentives adopted in NT’s Electric Vehicle Strategy and Implementation Plan include reduced registration and stamp duty fees for EVs from mid-2022.

Queensland A leading electric vehicle project in Queensland is the development of the Electric Super Highway, a long chain of fast-charging stations that connects Queenslanders from Coolangatta to Port Douglas, and from Brisbane to Toowoomba. The first two phases of the Electric Super Highway have already delivered 31 fastcharging stations in the state. Phase 3 of the Electric Super Highway will deliver even more regional, rural, and interstate connections, with 18 fast-charging stations at sites such as Goondiwindi, Emerald, Longreach and Cairns. Queensland Energy, Renewables and Hydrogen Minister, Mick de Brenni, said that the Electric Super Highway is just one example of the Palaszczuk Government’s ongoing commitment towards a 50 per cent renewable energy target by 2030. “Growing the Electric Super Highway means we can look towards accelerating the transition of the government fleet from petrol to electric, building on our commitment to double the number of EVs in QFleet year on year,” Mr de Brenni said. In June, the Queensland Government announced a new Zero Emission Vehicle (ZEV) Strategy, which will likely deliver substantial EV policies and targets to match the state’s ambitious scale of investment in fast-charging infrastructure. Victoria In Victoria, the $100 million Zero Emissions Vehicle Roadmap will help the state move towards its target that half of all light vehicle sales be zero emissions vehicles (ZEVs) by 2030. To help early adopters access non-luxury electric vehicles, the Victorian Government is providing a $3,000 subsidy for up to 20,000 new ZEVs priced under $68,740. In terms of charging infrastructure, $19 million of the Zero Emissions Vehicle Roadmap will be put towards charging infrastructure across regional Victoria. www.energymagazine.com.au

The Victorian Government’s Zero Emissions Vehicle Roadmap has received some criticism – the package is made possible by a road user charge administered to zero and low-emissions vehicle owners. Part of the rationale for the Road User Charge is that zero emissions vehicles do not pay a fuel excise to support road funding; however, low-emission plug-in hybrid vehicles may even find themselves paying both the Road User Charge and fuel excise. Indeed, the Electric Vehicle Council (EVC) gave Victoria’s EV policies a scorecard rating of just 6/10, pointing to a “lack of confidence” among stakeholders regarding the Road User Charge. However, the EVC also concedes that Victoria’s goal, that half of all new light vehicles are EVs by 2030, could signal greater support for electric vehicles in the near future.

South Australia In South Australia, an $18 million Electric Vehicle Action Plan will help fast-track the state’s electric vehicle stock, with a target for all new passenger vehicles to be electric by the year 2035. Given that 30 per cent of South Australia’s emissions between 2018-19 came from the transport sector, a transition to electric vehicles will be ideal for the state to meet its target of at least a 50 per cent reduction in state-wide emissions by 2030. The Action Plan also outlines key electric highways of charging stations, which will encourage state-wide uptake of electric vehicles. These electric highways include: 1. SA/WA Border Village to Bordertown SA – 1,525km 2. Mount Gambier to Ceduna – 1,210km 3. Victor Harbor to Coober Pedy – 927km 4. Adelaide to Port Lincoln – 778km Purchase incentives offered under SA’s Action Plan include a $3,000 subsidy available for the first 6,000 new electric vehicles, subject to the passing of the Motor Vehicles Amendment Bill 2021. In response to vocal feedback from a variety of interest groups, the SA Government also recently postponed the introduction of its Electric Vehicle Road User Charge, which will now begin from July 2027. South Australia is also exploring how vehicle-to-grid (V2G) chargers will empower EVs to serve as movable energy storage for existing state renewable supply, with electric vehicles charging and discharging electricity from a connected power supply just as a home or community battery would. Western Australia In Western Australia, a $21 million Electric Vehicle Fund and State Electric Vehicle Strategy will support Australia’s longest electric highway of charging stations.

The project will deliver up to 90 fastcharging stations and backup chargers at 45 different locations, servicing both Perth and regional Western Australia. The electric highway will stretch north to Kununurra, south to Esperance and east to Kalgoorlie, with an average distance of 160km between charging stations. With a tender scheduled to go out to market by the end of 2021, WA’s charging network is expected to be fully operational by early 2024, and the locations of the stations have already been determined by energy providers Synergy and Horizon Power in consultation with WA’s Department of Water and Environmental Regulation. In terms of new vehicle targets, WA has committed to a minimum of 25 per cent electric vehicle targets for new light and small passenger vehicle sales by 2025/26, as well as a 25 per cent target for state fleets. While Western Australia’s EV package may seem more focused on charging infrastructure when compared to other states, the State Electric Vehicle Strategy does importantly highlight that Western Australia only stands to benefit from demand for EV battery materials. The Strategy claims that Western Australia is “the world’s largest producer of lithium”, with a lithium sector valued at $1.55 billion in 2018-9, as well as being a leading producer of other battery materials like nickel, cobalt, manganese, vanadium, and alumina. Collaborations such as WA’s Future Battery Industry Strategy and the Future Battery Industries Cooperative Research Centre reflect the long-term potential for Western Australia to throw even greater support behind electric vehicles.

A national perspective While many states and territories have delivered comprehensive plans for electric vehicles, the role of other levels of governments cannot be overlooked. Many local governments around the country have shown leadership on electric vehicles, particularly when it comes to EV fast-charging infrastructure and the transition of government fleets. Yet questions remain about future action on electric vehicles by the Federal Government. A scorecard prepared by the Electric Vehicle Council (EVC) graded the Federal Government with a lower score than all states and territories, pointing to a lack of federal leadership on electric vehicles and a failure to deliver a national policy framework. Indeed, binding national policies and targets might be the fastest way for Australia to signal to global manufacturers that our market is ready for a new wave of affordable EV models.

November 2021 ISSUE 16

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