The Northern Territory-owned electricity company, Territory Generation, has announced a new 5MW Battery Energy Storage System (BESS) for Alice Springs, providing be one of the largest grid-connected storage solutions in Australia.
The $8.3 million Alice Springs Battery Energy Storage System Project is anticipated, on a simple payment basis, be recoup the investment within 4-5 years due to the efficiencies and savings realised.
The BESS will help reduce the cost of producing electricity and support a transition to renewable energy. It will be used to provide improved power generation reliability for the region, by assisting in smoothing the output of Territory Generation’s solar power during cloud cover events.
Territory Generation CEO Tim Duignan has announced Vector Energy as its preferred supplier to install the 5MW BESS, which is timed to coincide with the shift from the ageing Ron Goodin Power Station to the upgraded Owen Springs Power Station at the end of 2017.
“There is significant expectation from industry, business and the community in Alice Springs to increase solar penetration on the grid, however without storage to smooth the solar output, there is limited opportunity to integrate further solar without impacting on grid stability,” Mr Duignan said.
“Reliability of base-load power is a major issue in Australia at the moment and these new technologies are an important step to ensuring reliability in a controlled transition to renewables. Vector Energy’s comprehensive solution will integrate into our existing system and is one of the reasons we have chosen them. Ultimately it will assist in supporting the system to be able to increase the solar profile in Alice Springs.”
“The system to be installed has the ability to augment the storage capacity with further batteries in the future, which is a game changer for the energy generation industry in the NT,” Mr Duignan said.
The Energy Storage System is expected to be complete by late 2017.