This article is misleading as it implies that Australian energy retailers must provide every household with 3 hours of free electricity.
This is not the case. From 1 July 2026, Australian energy retailers with more than 1,000 customers must offer at least one energy plan which includes 3 hours of free electricity, capped at 24kWh per day, to residential customers in 3 states - NSW, SE Queensland and South Australia.
https://www.energy.gov.au/rebates/solar-sharer-offer
Not all energy plans that the retailers offer have to include 3 hours of free electricity. In practice, most energy plans currently offered don’t include 3 hours of free electricity but some retailers such as Globird are offering more than one energy plan which includes ‘free’ electricity.
The downside of these solar sharer plans which include ‘free’ electricity is that they generally have higher daily supply charges and higher usage charges outside the ‘free’ window to recoup the costs of the ‘free’ electricity.
Australian consumers can choose the retailer and energy plan their home or business is on and can change their plan at any time.
Wait, capped at 24 kWh a day? Our household consumed 8 kWh per day over the past week (gas cooking, no airco). So with a home battery that sinks 10 kWh during those 3 hours you have minimal energy costs?
Forget 3hrs free. We lived in the tropics in Australia with a ~6kW system and often had negative quarterly invoices (i.e. got paid by our retailer) ... esp. in winter months. Aircon, pool, appliances all electric. At the very least the pool pump ran free all year round.
Edit: should add, that's straight solar no battery
Just for reference our fully electric household (including cooking, water and aircon). Highest usage this month on a very hot day was 25kWh.
(Disclaimer: I am not in Australia. Already cover most of it with roof solar. No battery yet)
Yes - the regulated offer is capped at 24 kWh per day but some retailers such as Globird and CovaU are offering plans which include up to 50 kWh per day of ‘free’ electricity. With a large enough battery and inverter you could just end up paying daily supply charges of $1.65-2.20 per day.
Moreover, apartment dwelling residential customers connected to embedded networks (many new apartment blocks in NSW, Victoria and Queensland) are not eligible for the Solar Share Offer because under section 6(3)(c), a consumer supplied through an embedded network is already excluded from the Commonwealth Electricity Retail Code’s definition of a «small customer».
The government won't address this particular perverse situation with the embedded networks until the 2027–28 DMO period.
I love being ripped off because I'm renting, so instead of having a direct relationship with my service providers, they are legally allowed to sign binding contracts with the building manager who I'm sure in no shape way or form receives a kick-back.
So I'm stuck with an energy provider that is too incompetent to figure out how to bill me correctly, but puts a markup on what I'd pay as a home owner, and I don't even get the NBN despite having fibre to the premises!
No IPv6, no gigabit Internet, no free solar electricity.
These are things where policy is set by government and so could be moved by your elected representatives. If you already have a preferred flavour of representative, try to get them to want to do this. If you don't, here's an issue that could make you prefer one over another, make sure they know that.
Single customers having these issues don't really have any power to convince representatives. Historically, the only real way to enact change in this way is to have thousands of people contacting their representatives about it.
> […] they are legally allowed to sign binding contracts with the building manager […]
The embedded networks collude with the builders and offer them the installation of wiring, air-conditioning, gas, hot water, and sometimes the internet – usually for free – and that happens before the strata comes into the picture. The strata is left with no choice but to inherit a fixed-term contract (typically 3-5 years), after which it can switch to… another embedded network.
The builders accept offers from embedded networks because it reduces their overall costs.
The NSW government has enacted the first tranche of regulations for embedded networks from the 1st of July this year, with the embedded networks price caps being introduced in early 2027 (that is the promise, anyway). If you live in NSW, IPART is the government body in charge of the regulation, and it is accepting submissions until the end of this month. Prepare and make your own submission whilst you can, as I have done.
Solar generation is realitely cheap, much more storage is needed.
Storage (overnight and also for several days) is challenging - one reason being its more expensive. Then there is the new transmission lines needed.
Incentivizing usage during peak times makes total sense, but if price swings are this wild, how are grid scale batteries not highly economical? My rough ballpark math was that you need roughly 20 kilowatts of battery storage to make this issue basically nonexistent, and that would cost about 10 billion dollars, which doesn't seem that much for this.
I think it's less a question of batteries being economical, and more a question of the relative economics of batteries vs solar panels.
After all, if the highest demand is between 16:30 and 19:00 you could use batteries to store power at 12:00 and sell it at 18:00 - or in famously sunny Australia you could build enough solar panels that solar output at 18:00 matches power demand.
If batteries have a solid 9% return on investment, but solar panels have an even better 12% return on investment, panels will outpace batteries even though the batteries are a decent investment.
(Also, from a politican's perspective, making batteries highly economical is how you get batteries built. And an awful lot of pro-environment policies involve raising taxes, banning things and creating new chores; it's nice to have some green policy announcements that actually benefit voters in the short term.)
Definitely so. Unless you are on the equator, the sun is up for less than 12 hours a day from the autumnal equinox to the spring equinox. The sun will set before 18:00 local solar time. So apart from funkiness with time zones and summer time (which extends a couple of weeks past the autumnal equinox in Aus), yes, roughly half the year.
You won't get 12% return if your panels generate electricity which is only paid between 18 and 19, because there is already overcapacity between 16:30 and 18.
The more households that buy them, the less peak power generation is needed and less large scale battery deployments. If the ROI of a household battery was just 4%, you are better off economically paying higher power bills and sticking that money in an index fund. But if subsidies increase that ROI, more people buy batteries. The money the government contributes hopefully ends up less than they would need to spend on large scale battery deployments or on legacy power generation to power peak usage times. It also has the side effect of getting more citizens (literally) invested in sustainable power usage, and people get more interested in insulating their homes, buying more efficient appliances, moving away from gas etc.
> which is why there’s a subsidy required for people to buy them?
the gov't also offers interest free (but inflation indexed) loans to tertiary education.
Just because there's a subsidy, doesn't mean the tax payer is paying a price for inefficiency. The policy itself needs to be individually examined to determine whether it's an efficient use of funds, not simply that it's a subsidy (time frame needs to be taken into account too).
Is it so out of the ordinary that a government tries to help people save money or what's the question? Sounds like you've only had the American experience in life unfortunately.
If something actually saves money then it doesn't require a subsidy because people would be doing it regardless.
Meanwhile the government doesn't have any of its own money, so it can't really give you something that was yours to begin with, all it can do is take it from you and then give it back with strings attached. How is that helping you? Instead of subsidizing something you can make up your own mind about whether you want, they should just lower your taxes by the amount of the subsidy and let you use your money for that or something else at your choice.
It can work when the marginal cost of new capacity is high, compared to existing capacity.
E.g., if the marginal cost of supporting 1 kW of new capacity may be X, while the current averaged cost of 1 kW provided to existing customers may be Y, with Y < X.
The customer will calculate their ROI on a battery purchase based on the cost Y of kW to them, which may be poor (4%), while on the government level of the ROI may is closer to that implied by the cost X (say 10%). However, the government cannot easily pass on the "marginal cost" to customers as there is no specific kWh which is that marginal one across all customers.
In this case a subsidy directly picks out customers who can reduce their demand by buying a battery (e.g., a subsidy which raises the ROI to somewhere between 4% and 10%).
> If something actually saves money then it doesn't require a subsidy because people would be doing it regardless.
Spoken as someone who never been poor. There is definitely a ton of stuff people with money can do to save more money, that is completely out of reach for the people who would actually benefit from those savings the most. Subsidies is quite literally about reaching these folks that others tend to forget about.
> all it can do is take it from you and then give it back with strings attached. How is that helping you?
Compared to "take it from you and not give it back to you", it's definitely helping people who have less money. Not sure how this needs explaining.
> Spoken as someone who never been poor. There is definitely a ton of stuff people with money can do to save more money, that is completely out of reach for the people who would actually benefit from those savings the most. Subsidies is quite literally about reaching these folks that others tend to forget about.
Except that there is no additional money, its just your own money but now there are strings.
On top of that, that still isn't necessary for things that save a non-trivial amount of money, because that's what loans are for. If it has a $100/mo loan payment and saves $150/mo on the electric bill then you take out a loan or buy it on an installment plan and don't need to have any accumulated capital in order to do it.
> Compared to "take it from you and not give it back to you", it's definitely helping people who have less money. Not sure how this needs explaining.
Why would anybody want that either, instead of just not taking it from you to begin with?
>>> If it has a $100/mo loan payment and saves $150/mo on the electric bill then you take out a loan or buy it on an installment plan and don't need to have any accumulated capital in order to do it.
This depends on whether you'll pay back the loan. Just because paying the loan back saves you $50 / month forever starting immediately doesn't mean you'll do it. You might be the kind of person who takes out a loan, spends all your money on something else, and lets the bills go unpaid.
If you aren't that kind of person, you probably do have some accumulated capital.
But if you are, just the fact that the loan is hugely profitable and you should be able to pay it back - if you were a completely different person - doesn't mean you'll be able to get the loan. You shouldn't be able to get the loan, because you won't pay it back.
... for purchases from "approved" "accredited" suppliers[]. AKA the interest differential is regressive tax to funnel money to favored suppliers. Notice there's no option for the poor to simply install it themselves, which would save them more money than an interest free loan, but wouldn't funnel money to rich government approved install contractors.
And there's your grift. As soon as the home owner wants to allocate the "profit" of install to themselves, it is a swift kick in the ass but that will go to our buddies, and thank you very much for your taxes.
> Except that there is no additional money, its just your own money but now there are strings.
I understand what you mean, and yeah, "it's just your money", but also, it really isn't. Poor people have to pay taxes, no way around it, getting them back as subsidies is still better for them than not getting it back at all. The choice isn't "Keep the money or have subsidies", the choice is "The money goes to other stuff or get subsidies".
> On top of that, that still isn't necessary for things that save a non-trivial amount of money, because that's what loans are for. If it has a $100/mo loan payment and saves $150/mo on the electric bill then you take out a loan or buy it on an installment plan and don't need to have any accumulated capital in order to do it.
Are those interest-free or managed by for-profit entities? Because "loans" are vastly different things compared to subsidies, but I'm guessing you already knew this.
> Why would anybody want that either, instead of just not taking it from you to begin with?
Because "not taking it from you to begin with" isn't a practical and realistic alternative, that's not how the world, and especially taxes and government works...
> The choice isn't "Keep the money or have subsidies", the choice is "The money goes to other stuff or get subsidies".
That's the false dichotomy that happens in a broken government, but then why hold that out as something desirable?
> Are those interest-free or managed by for-profit entities?
Is the larger amount of mortgage or car loan debt they have to carry when they pay the extra money in tax?
> Because "not taking it from you to begin with" isn't a practical and realistic alternative, that's not how the world, and especially taxes and government works...
Your argument seems to be that lowering taxes on ordinary people is impossible?
> That's the false dichotomy that happens in a broken government, but then why hold that out as something desirable?
Personally I see it as stuff that happens in countries where the government care about the well-being of all, not just a select few (usually the ones with the most money). It's desirable that society improves, lots of that happens because of tax money. Subsidies usually means re-allocating funds, not raising taxes, although that might happen over time. Still, increasing taxes isn't inherently bad, especially when used for good. But I also know this is a somewhat controversial point of view in many hyper-capitalistic societies.
> Your argument seems to be that lowering taxes on ordinary people is impossible?
Yeah sure, I'm also clearly arguing for murdering children. Fun discussion, hope you'll enjoy the rest of your Tuesday :)
I'm honestly having trouble comprehending what your position is supposed to be here. It really seems to be that using the money to lower taxes on ordinary people rather than providing them with subsidies is a thing that could never happen. As if the prospect that their taxes could be lower than they are now, rather than only the same or higher, is something you can't even imagine.
Think about people who could not afford the initial investment. It's beneficial for society here if the government redistributes wealth for the benefit of all.
> Think about people who could not afford the initial investment.
This is what loans and installment plans are for, the payments for which come out of the savings on the utility bill.
> It's beneficial for society here if the government redistributes wealth for the benefit of all.
Which has nothing to do with batteries. If you want to do that then provide them with a refundable tax credit that allows for a negative tax rate in cases where that's deemed desirable.
And even that doesn't apply to the majority of people who are currently paying a non-negative amount of tax. Why attach strings to the money going to a middle class homeowner who should have just been allowed to keep that portion of their own salary?
But that's the point. It isn't. Electricity costs more in the evening than during the day and there is a technology that can profitably be used to arbitrage the difference. There is no coordination problem at all, people have the direct individual incentive to buy the technology, on credit if necessary, without any form of government subsidy or involvement whatsoever.
Because the individualized incentives do not take into account the community benefits.
The money saved is distributed across the community, for both those that directly benefit and those that can't (eg renters, apartments etc). The general benefit is of greater value than the individual savings.
Your attitude that somehow taxation is theft is a very silly Ayn Randian Objectivism outgrowth that has never been true, even in the most "free" US states.
> Because the individualized incentives do not take into account the community benefits.
Only if the utility company is pricing things incorrectly.
If the price of electricity is ~free during the day and expensive in the evening then the individualized incentives for installing a battery line right up.
> Your attitude that somehow taxation is theft is a very silly Ayn Randian Objectivism outgrowth that has never been true, even in the most "free" US states.
Whether it's theft or not doesn't change the arithmetic. When you're paying them the money they're paying you, it was your money to begin with.
Yes. People can't always afford super economical things when the initial cost is high and the pay-off takes a while, but is easily worth it in the end.
Yeah this is why a lot of people were thinking that the Australian opposition asking for spending $40-50 billions for nuclear that would come online in 20-30 years and to keep using coal and gas till then were being stupid.
I think the likely cost would have been hundreds of billions considering Australia does not have a nuclear energy generation industry. It currently has a very small nuclear workforce as it only has a small nuclear medical reactor on the outskirts of Sydney.
I am talking about the $30 billion that the opposition was making up. My point was that even those made up numbers for nuclear were still more expensive than installing solar and batteries.
They are, and they are being rapidly rolled out and the "post sunset" spikes are rapidly being flattened by both grid storage and "behind the meter" home batteries.
One of my co-workers (I'm Australian) has 500 kilowatt-hours of storage at home...which is wild. Much more common is the 10-20 kilowatt-hours of domestic storage for a house.
Does he have a saltwater aquarium, or any other hobby that can make use of it? If not, I can highly recommend that he get into it, if he's into that kind of overkill :)
My dad buys lead acids written off from storm damage to solar systems (The whole system gets replaced under insurance even if the batteries are just a bit worn) and then sells them to preppers in the middle of nowhere. For a while he had above 300KW/h of storage, basically completely off grid with few shutdowns. It was kind of nuts. His house did burn down, but it was arson.
That's ~8 used EV batteries. Each cost less than 10k, maybe 6-8k AUD.
If you know your way around high voltage DC, got a tractor and appropriate emulator - not exactly difficult or super expensive to pull off.
Granted it's pretty uncommon setup as grid batteries themselves are pretty cheap too and used EV battery is simply too large for home user, too much hassle, liability, etc to save like $2-3k.
They've already burned at least $15bn on that disastrous Snowy Hydro "battery" project... Could've just rolled out consumer batteries on a large scale instead.
At current battery project prices, matching Snowy 2.0’s roughly 350 GWh of energy storage capacity with Tesla Megapacks would cost around AUD $218 billion [0] and require Tesla’s entire global Megapack production capacity redirected to a single client for five years.
$15 billion is far more than Snowy 2.0 should have cost. But it remains substantially cheaper than any lithium-ion battery build for bulk storage. Storage on this scale is essential in a post-coal electricity grid, and batteries are not (yet) plausible substitutes for bulk storage.
[0] This assumes linear scaling. In reality, placing an order like this would grossly distort supply and demand on many levels. Thus the cost would ultimately be superlinear.
Snowy 2.0 has major limitations on what it can supply, the headline number is very misleading.
And the comparison shouldn't be to batteries alone, but solar/wind and batteries. The former can be used directly and fill the batteries repeatedly on a timeline that is predictable.
It provides no extra value for the electricity to be stored long term if for the same money you can generate and store it short term.
Yeah the battery storage story has to acknowledge the fact that global production capacity simply isn't actually high enough to deliver that many batteries so we need alternative solutions to the problem as well.
The cost of the Snowy 2.0 pumped-hydro project is estimated to range from \(\$12\) billion to as high as \(\$42\) billion depending on the scope of costs included (such as direct construction, interest, and broader transmission). Originally announced in 2017 with a $2 billion price tag, the project has faced massive scale and logistical blowouts. The cost of the Snowy 2.0 pumped-hydro project is estimated to range from $12 billion to as high as $42 billion depending on the scope of costs included (such as direct construction, interest, and broader transmission).
That said , hydro systems have a LONG LIFESPAN - 100 YEARS ?
Batteries need to be replaced every X years.
So the ecomiomics of the comparisoan would need to be calculated ...
That was exactly the point of the project though - it was designed by the conservative side of politics in our country to try and crowd out investment in batteries and other renewables while taking enough time to build to keep coal plants operating longer in the meantime.
It didn't work at all for that though - we had a lot of private investment in large-scale batteries anyway, because the cost came down quickly just as most people (apart from the conservatives) expected. Then the other side of Government got in and put a subsidy scheme to get hundreds of thousands of home batteries installed, which has been multiple times better bang-for-buck than the Snowy 2.0 scheme, as well as taking far shorter a time. At the same time coal plants are shutting down as expected because they are increasingly unreliable given their old ages.
Snowy 2.0 be an expensive stranded asset basically, it will work and be somewhat useful but extremely uneconomical so basically relying on the cost being written off - if it had to recoup any investment then it couldn't run because it'd never be able to sell the power for high enough.
Edited to add: Clarification required in the title that the free energy is only between 11am and 2pm
Very interested to see how this turns out. Ultimately we want the transition to benefit both consumers and producers / distributors (the industry). The problem from the rapid uptake of solar in Australia has been an over-supply during this 10/11am to 2/3pm period. If that over-supply is suitably encouraged to be soaked up then hopefully consumers can reduce their power bills whilst the industry has less effort in managing the oversupply and less stress on infrastructure.
It's also about time that those who lack the means or situation to have solar panels of their own can get some advantage, in a 'herd immunity' kind of way.
I'm in the privileged position to have had solar panels for over a decade, and now have a battery as well, and it was very obvious to me at the time that, in regards to solar, it cost money to save money, so if you couldn't afford it then the savings are inaccessible.
This change hopefully helps those who need it, at least somewhat.
The change certainly brings in some weirdness too.
For instance, I'm looking at a new hot water system. Economically speaking, I'm better off buying an oversized tank using resistive heating that I only need to heat once per day. The grid provides free power and I buy a cheaper appliance. But environmentally it sucks, as more solar needs to be rolled out to cover the additional non-peak usage (guess about 6x the power usage of a smaller tank with heatpump).
this applies to NSW, South Australia and part of Queensland.
so NSW and South Australia will be staggered in real time as they are in different time zones.
As for everybody in the same time zone .. they are all seeing the same sun angle at noon (more or less) and all sharing the same over supply of power from all the grid connected solar power rooftops and farms. It's free surplus power during that time frame.
Yeah i get that they're all seeing similar but you'd still want to align this new demand with the output curve in some form of approximated pattern. Plus also prevent the sharp spike you'd get from everyone turning on their stuff at a coordinated hour. You're gonna have a bunch of stuff on timers all hit this at the same time. That makes life hard for the people balancing the grid's supply & demand.
Bit like in the UK they had issues with everyone watching popular TV shows and then turning on the kettle after in a perfectly syncronized timing across the country
There's too much available power then (curtailment/negative prices are fairly common now on sunny days), and not enough during the evenings, so it's an incentive for those who don't have/can't get batteries (e.g. renters) to shift their habits. It also can be spun as a cost-of-living action.
I find it amusing that back when solar and wind were niche and expensive the coal + oil lobby would lobby for "let the free market decide what to build".
When solar + wind plunged in price they stopped saying it.
Now that the market has driven down the price of solar, wind and storage, market based mechanisms have become ideal for solving the problem of what to do with surplus electricity.
I am curious what interesting opportunities free power for a short time opens up.
I know crypto mining in TX can operate like this, but that's boring.
Desalination and carbon capture are both energy restricted, that sounds a lot more interesting. However, the deployed equipment has to be cheap if you only have 3hrs per day of free power, right?
I've been on a GloBird plan with 3 free hours for a while. Works out very well as I have a 20 KWH battery and solar. Costs about $15 a month to run the house inc. cooking, heating/cooling, hot water, and charging my PHEV. To make the best of these sorts of plans you need to be home during that period and/or have a decent battery/inverter.
The requirement is to accept time of use TOU variant charging and if you cannot shift enough load into 3 hours you may pay more overall for power in other times of day.
Demand shifting is good. Do not mistake this as free energy, it very much depends. Many people still don't have TOU meters and many people won't successfully move load into the window.
Fixed line costs are rising massively. Electricity should be significantly cheaper but the economics here favour incumbents and people like John Quiggin arguing for renationalisation are drowned out.
Yes, that's also being done. A critique I have seen is that this is empowering the rich to get richer. Renters are less likely to be able to adopt these strategies.
With 3 hours of free power, a 15kW inverter and a 42kWh battery, I could almost do away with my solar panels and just survive of free grid power. I do have a 15kW solar panel set up, but I get very little from selling anything back to the grid.
I have a 12 kW inverter (single phase) and 48 kWh battery. In Australia, 9 months of the year my 16 kW of solar fills the battery and covers all needs including cooking, heating and charging the EV.
In winter, I’ve been using Ovo’s 3 hours free for about a year now and that ensures the battery is filled up daily. My electricity bill returns a credit every month since I got the battery a year ago.
I was trying to understand how to do this, and I formed the opinion that most of the battery providers don’t really allow the degree of ‘on/off’ or ‘charge/discharge’ customisation as might be necessary to make this work? Or was I fooled by the packaged products that are aiming to turn me and my battery and panels into a residential power plant at the whim of the energy company?
We already get free power between 0am and 6am, so with free power between 11am and 2pm we’ll have a whopping 9 hours of free power to charge our car and heat our water storage.
You might check the rates on Tibber as well. A lot of companies that offer a "free" usage period tend to just move the cost around. If you're comfortable taking the risks associated with a wholesale supplier, then you can likely save a ton of money without even changing your consumption habits.
During this past month with the heatwave, my electricity bill was only about €50 despite running airco all day most days. I have 6 solar panels on my roof for reference (was 3k installed I believe). If I was willing to turn off the A/C at night, I could have easily cut the bill in half since most of the billed usage was between 18-21:00.
From the article; this applies to NSW, South Australia and part of Queensland.
So yeah, not universal yet. But the precedent means it's moving in that direction. If WA homes end up producing lots of solar at midday then this opens the door there as well.
Dynamic pricing and deployment of digital smart meters should by mandatory in all electric grids dominated by renewables. Large electric consumers are already buying electricity at dynamic prices, small consumers should have the same incentives to shift the demand to day hours.
I'm so on board for this. It would be kind of fun to wire all my appliances in to home assistant to have the dishwasher / dryer / etc all run during the free hours.
I imagine eventually we might end up with some thermal storage where during peak renewable production you heat/freeze a large tank of water and then utilize it to heat/cool your house for the rest of the day. A large tank of water is much cheaper than battery storage.
I don't have smart washers, but I did build a smart ESP32-based [0] zigbee numerical display. Then I use Home Assistant to send the current electricity price to that display when the price changes, and send a notification to all users' phones when electricity is cheap (< 0.05€/kWh) or expensive (> 0.15€/kWh). This helps me plan my laundry and dish washing, which are the only energy intensive appliances I have. I also try to avoid cooking complex meals in the stove+oven.
Storing energy in hot water is common is sunny regions, for example Turkey.
Some large cold storage facilities in Germany are trying to optimize electric demand to use cheap peak day electricity. But they have to observe limitations in range of temperatures and capacity of cooling devices.
Many of us with solar already do this manually, we run the appliances once the sun is up. Even the hotwater heater is programmed to only heat during the middle of the game.
I've been daydreaming about the tank of water idea as well, but the amount of panels you would need on the roof would be crazy.
Batteries are massively more expensive. Thats why the utility companies are just giving consumers free power over building their own grid scale batteries.
A tank of water is cheap, it’s just not possible to distribute hot water over the grid. But it’s very realistic to store it locally and use for heating and cooling. Which is the bulk of power usage anyway.
There are never designs coming into the market that support only, say, the fridge, and have the software to be time of day use metering aware, that won't totally break the bank.
Ideally, they should pay the EV owners because electricity price goes negative. The EV owners are spending their own money to create a scalable on-demand storage infrastructure. This saves CapEx/OpEx of BESS and also eliminates peaker natural gas plants. EV owners should be paid once for allowing storage, and paid again for using the power to supply back to the grid (V2G).
It’s very cool to see what happens where there are simply so many residential solar installs. Power price goes negative during peak sunshine hours so they just give it away.
Solar installs benefitting everyone, even those who never got solar.
As an Australian, the lack of anxiety and guilt you get when you're using 10-12 hours of air conditioning in the middle of summer and not paying for a cent of it because your solar panels are covering is worth more than anything
Yeah totally, nice to be able to put the AC/heater on "for free". I even got a negative power bill once!
In my specific case, I barely use much power so home solar covers basically all of the usage, my bill is dominated by the daily charge, so the usage component is practically irrelevant to me.
Why shouldn't that be true practically every consumer home in the world?
Yes, grid scale deployments are cheaper, but I'm generally guessing a lot of the grid scale solar deployments do not price in the grid infrastructure adaptation costs, and I'm not even talking about grid storage.
Consumer rooftop solar is fundamentally democratic: it reduces reliance on centralized institutions for power delivery, Make society a lot more resilient in bad weather and other emergency situations, insulates everyday people from wild variations and petroleum and other consumable energy availability.
Combined with plug-in hybrid electric vehicles, it would enable electrification of 80 and 90% of daily driving without grid infrastructure costs.
> Why shouldn't that be true practically every consumer home in the world?
Here in Sweden nearly all of the electricity bill you pay is concentrated on the winter months when there is literally zero sunshine. Even then solar is popular here. I calculated that installing solar would take around 10 years or more to pay for itself, but I have very little hope to stay in the same house all that time so for me it seemed like a bad investment.
That said, if you live in places where it’s sunny most of the time even in winter, like Australia, then solar is absolutely great, just don’t assume most places are like that.
Wow your current electricity must be really expensive... or your solar setup is?? Also the calculation was done by the company selling it, I'm pretty sure that was far too optimistic.
Sure if building density is low in your area and you have no nearby neighbours it probably doesn’t matter, you’d just be heating your surroundings a little.
If you’re using rooftop solar then presumably the net heat generated by your aircon is the same as the amount your roof is no longer absorbing. Otherwise you just described a perpetual motion machine?
I imagine that absorption by the roof or panels is around the same - however the aircon moves heat from inside to outside, so you are moving heat outside for other people to deal with. In an isolated house it makes little difference. If every building has aircon in a city it does impact outside temperatures and adds to the heat island effect.
Right, but energy that would have heated the roof goes towards powering the aircon (which likely is on the roof itself), which then emits the same amount of heat, no?
Say a roof is absorbing 10000 watts. You install solar panels that absorb 2000 watts, used to power an airco. You now have your roof absorbing 8000 watts (released as heat) and ann airco absorbing (using) 2000 watts (also released as heat). Am I wrong? Seems like a conservation of energy problem. And you get a cooler roof so less airco demand too!
Or, we could lobby politicians to actually improve the lives of their constituents by making climate control appliances so affordable and ubiquitous that it's no longer an issue and we can stop accidental deaths attributed to heat. More green spaces can also help mitigate the impact.
The reality is that a lot of old western europe was built for a climate that no longer exists. Houses are built to prioritize holding on to heat and rebuilding entire cities is definitely not possible if we're already bickering so much about adding heat pumps.
Yes, heat pumps may create a rise in temperatures in cities, but there are other things we can do as a society to also lower temperatures as to create a net-neutral impact.
No, air conditioning units generate heat (that is how they cool!) and do contribute to local warming. Without AC the house reaches equilibrium with outside. With AC the house is cooled and that heat has to go somewhere.
Yeah, it's been great to see the uptake of rooftop solar in Australia.
One downside is that large scale solar projects aren't profitable any more. It kind of sucks for the investors that adopted green tech, that they aren't getting a good payoff.
The good news is that co-located solar and battery projects are still profitable, but capital costs are higher and payback period of batteries aren't as good.
Co-located PV/BESS or Wind/BESS is the best grid solution anyway. The REZs with transmission infrastructure (subsidized by government) will also add to the return.
The good thing is that even with over a decade of conservative government trying to kill it, renewables are now commercially the only choice for Australia and we will benefit from the rapid advances in storage as well.
Grid level plants are starting to also incorporate synthetic condensers and other FCAS services to make our grid more resilient and reliable, even as our clapped out coal plants move closer to shut down.
The fundamental costs and margin requirements in the system haven't changed.
This is a government-mandated electricity plan (a default market offer) that competitive electricity retailers are now required to offer. Those retailers still have network costs, environmental costs, energy costs, and administration costs to recover, and so prices at other times of day necessarily go up.
Some consumers may be better off on this plan (generally at the expense of other consumers), and some will be worse off.
The payback time was already well in excess of 10 years, but now that power is free during the day, you can't count those hours as helping pay down your investment. Payback time will be 30 + years at least. You are much better just enjoying your neighbors solar rather than paying for your own.
(Feed-in is about 3c now I think. Was 12c when many people bought their panels.)
Note: My state 100% renewable energy so reduction of carbon footprint has not bearing on my solar decisions.
This also feels like a fairly heavy handed way to encourage investments in batteries. But in the famous words of George W, "can't fool me again". As soon as there are too many batteries and the grid companies are not making enough money, they will introduce fees to have the batteries, or increase connection fees.
You need a battery to take advantage: then you may as well use a direct to market option like Amber. Which benefits grid stability too. 3 hrs without a battery is useless in Australia. As you generally use electricity for heating/cooling and need it longer than that esp. cooling.
To be fair, in a modern Maslow’s Aussie Hierarchy of Needs energy is a foundational Physiological Need, whereas energy for crypto mining is a luxury item best placed out past the outhouse of the main pyramid.
My home is in London UK and is relatively small and efficient, but 8kWh may be higher than our peak demand ever over more than 20 years in this house...
UK appliances cap out at 13A, or 3.1kW. Electric cookers may be on higher current wiring, but seem to be rated at 3kW max anyway.
I think the only way most people could get to 8kW continuous without an EV would be to turn on their electric oven, grill, and all spots on their electric hob. And the kettle.
Victoria has had smart meters rolled out for over a decade.
The rest of the states in the NEM are aiming for 2030 to complete their rollouts.
Aside from the supposed "contentious" nature of smart meters, which is mostly the RW cookers thinking it's some nefarious plot, along with vaccines and 5G.
The utilities don't really want to sell you the cheap solar. They'd rather write op-eds about how too much solar is flooding the grid and beg for more money to invest in the grid elements they can make money from.
The government is having to force them to reflect the abundance of cheap, clean energy at these times in at least one of their tariff offerings.
They can bend the rules slightly by adding other daily charges or limitations and upping the price at other times to reduce uptake and move us all slightly further from the global optimum but maximize their profits.
It's still worth it if you have a lot of load you can shift to the middle of the day (like a pool heater or battery), but for most 9-5 workers you just end up paying more at the times you're actually home.
Smart meters are free, most people already have one.
I thought most Australians had different pricing for peak/off-peak. I'm paying 39c/kWh for peak (3pm to 9pm) and 20c/kWh for off-peak (9pm to 3pm the next day).
Sure, a battery isn't available to everyone. But I is available for many.
One would have to do the math, cost of battery versus 24kw free daily. But clearly for lots of people the math will work.
A side effect of policies like this is effectively getting people to invest capital to time-shift elec usage. That's good policy. Reducing the peaks in consumption solves other problems.
I miss having Griddy in Texas. Direct access to the wholesale market is probably not good for the lower end of the consumer segment, but for people with some functional marbles it can make a big difference on the demand side of the grid.
I feel like they had to kill griddy before all the powerwall solutions started showing up. We simply cannot empower the peasants with both things at once. The ability to store energy makes access to wholesale prices substantially more effective.
I'll never forget the days where we would get push notifications about negative prices. I'd throw the dryer and oven on every time to try and unwind the meter a bit.
This is not the case. From 1 July 2026, Australian energy retailers with more than 1,000 customers must offer at least one energy plan which includes 3 hours of free electricity, capped at 24kWh per day, to residential customers in 3 states - NSW, SE Queensland and South Australia. https://www.energy.gov.au/rebates/solar-sharer-offer
Not all energy plans that the retailers offer have to include 3 hours of free electricity. In practice, most energy plans currently offered don’t include 3 hours of free electricity but some retailers such as Globird are offering more than one energy plan which includes ‘free’ electricity.
The downside of these solar sharer plans which include ‘free’ electricity is that they generally have higher daily supply charges and higher usage charges outside the ‘free’ window to recoup the costs of the ‘free’ electricity.
Australian consumers can choose the retailer and energy plan their home or business is on and can change their plan at any time.
This page on the Energy Consumers Australia website has more details about the Solar Sharer Offer and a similar Victorian Government scheme which starts on 1 October. https://energyconsumersaustralia.com.au/news/solar-sharer-of...
Edit: should add, that's straight solar no battery
The government won't address this particular perverse situation with the embedded networks until the 2027–28 DMO period.
So I'm stuck with an energy provider that is too incompetent to figure out how to bill me correctly, but puts a markup on what I'd pay as a home owner, and I don't even get the NBN despite having fibre to the premises!
No IPv6, no gigabit Internet, no free solar electricity.
The embedded networks collude with the builders and offer them the installation of wiring, air-conditioning, gas, hot water, and sometimes the internet – usually for free – and that happens before the strata comes into the picture. The strata is left with no choice but to inherit a fixed-term contract (typically 3-5 years), after which it can switch to… another embedded network.
The builders accept offers from embedded networks because it reduces their overall costs.
The NSW government has enacted the first tranche of regulations for embedded networks from the 1st of July this year, with the embedded networks price caps being introduced in early 2027 (that is the promise, anyway). If you live in NSW, IPART is the government body in charge of the regulation, and it is accepting submissions until the end of this month. Prepare and make your own submission whilst you can, as I have done.
Solar generation is realitely cheap, much more storage is needed. Storage (overnight and also for several days) is challenging - one reason being its more expensive. Then there is the new transmission lines needed.
Clarke and Dawe - The Energy Market Explained
https://www.youtube.com/watch?v=ELaBzj7cn14
I can only imagine the comment warnings on that segment considering that, sadly, John Clarke passed away nine years ago.
Australia is the third largest market in the world for grid scale batteries, and has the highest per-capita capacity in the world; https://www.pv-magazine.com/2025/10/21/australia-becomes-wor...
Not to mention more than 200k new household batteries installed in 2025 (out of roughly 10 million households).
After all, if the highest demand is between 16:30 and 19:00 you could use batteries to store power at 12:00 and sell it at 18:00 - or in famously sunny Australia you could build enough solar panels that solar output at 18:00 matches power demand.
If batteries have a solid 9% return on investment, but solar panels have an even better 12% return on investment, panels will outpace batteries even though the batteries are a decent investment.
(Also, from a politican's perspective, making batteries highly economical is how you get batteries built. And an awful lot of pro-environment policies involve raising taxes, banning things and creating new chores; it's nice to have some green policy announcements that actually benefit voters in the short term.)
No you could not. For half the year the sun has set by 18:00.
They are super economical in Australia and the government even offers discounts and interest free loan of 15k to buy them.
the gov't also offers interest free (but inflation indexed) loans to tertiary education.
Just because there's a subsidy, doesn't mean the tax payer is paying a price for inefficiency. The policy itself needs to be individually examined to determine whether it's an efficient use of funds, not simply that it's a subsidy (time frame needs to be taken into account too).
Meanwhile the government doesn't have any of its own money, so it can't really give you something that was yours to begin with, all it can do is take it from you and then give it back with strings attached. How is that helping you? Instead of subsidizing something you can make up your own mind about whether you want, they should just lower your taxes by the amount of the subsidy and let you use your money for that or something else at your choice.
E.g., if the marginal cost of supporting 1 kW of new capacity may be X, while the current averaged cost of 1 kW provided to existing customers may be Y, with Y < X.
The customer will calculate their ROI on a battery purchase based on the cost Y of kW to them, which may be poor (4%), while on the government level of the ROI may is closer to that implied by the cost X (say 10%). However, the government cannot easily pass on the "marginal cost" to customers as there is no specific kWh which is that marginal one across all customers.
In this case a subsidy directly picks out customers who can reduce their demand by buying a battery (e.g., a subsidy which raises the ROI to somewhere between 4% and 10%).
Spoken as someone who never been poor. There is definitely a ton of stuff people with money can do to save more money, that is completely out of reach for the people who would actually benefit from those savings the most. Subsidies is quite literally about reaching these folks that others tend to forget about.
> all it can do is take it from you and then give it back with strings attached. How is that helping you?
Compared to "take it from you and not give it back to you", it's definitely helping people who have less money. Not sure how this needs explaining.
Except that there is no additional money, its just your own money but now there are strings.
On top of that, that still isn't necessary for things that save a non-trivial amount of money, because that's what loans are for. If it has a $100/mo loan payment and saves $150/mo on the electric bill then you take out a loan or buy it on an installment plan and don't need to have any accumulated capital in order to do it.
> Compared to "take it from you and not give it back to you", it's definitely helping people who have less money. Not sure how this needs explaining.
Why would anybody want that either, instead of just not taking it from you to begin with?
Upthread: "interest free loan of 15k" https://news.ycombinator.com/item?id=48904009
>>> If it has a $100/mo loan payment and saves $150/mo on the electric bill then you take out a loan or buy it on an installment plan and don't need to have any accumulated capital in order to do it.
This depends on whether you'll pay back the loan. Just because paying the loan back saves you $50 / month forever starting immediately doesn't mean you'll do it. You might be the kind of person who takes out a loan, spends all your money on something else, and lets the bills go unpaid.
If you aren't that kind of person, you probably do have some accumulated capital.
But if you are, just the fact that the loan is hugely profitable and you should be able to pay it back - if you were a completely different person - doesn't mean you'll be able to get the loan. You shouldn't be able to get the loan, because you won't pay it back.
And there's your grift. As soon as the home owner wants to allocate the "profit" of install to themselves, it is a swift kick in the ass but that will go to our buddies, and thank you very much for your taxes.
[] https://www.energy.nsw.gov.au/households/grants-rebates/home...
I understand what you mean, and yeah, "it's just your money", but also, it really isn't. Poor people have to pay taxes, no way around it, getting them back as subsidies is still better for them than not getting it back at all. The choice isn't "Keep the money or have subsidies", the choice is "The money goes to other stuff or get subsidies".
> On top of that, that still isn't necessary for things that save a non-trivial amount of money, because that's what loans are for. If it has a $100/mo loan payment and saves $150/mo on the electric bill then you take out a loan or buy it on an installment plan and don't need to have any accumulated capital in order to do it.
Are those interest-free or managed by for-profit entities? Because "loans" are vastly different things compared to subsidies, but I'm guessing you already knew this.
> Why would anybody want that either, instead of just not taking it from you to begin with?
Because "not taking it from you to begin with" isn't a practical and realistic alternative, that's not how the world, and especially taxes and government works...
That's the false dichotomy that happens in a broken government, but then why hold that out as something desirable?
> Are those interest-free or managed by for-profit entities?
Is the larger amount of mortgage or car loan debt they have to carry when they pay the extra money in tax?
> Because "not taking it from you to begin with" isn't a practical and realistic alternative, that's not how the world, and especially taxes and government works...
Your argument seems to be that lowering taxes on ordinary people is impossible?
Personally I see it as stuff that happens in countries where the government care about the well-being of all, not just a select few (usually the ones with the most money). It's desirable that society improves, lots of that happens because of tax money. Subsidies usually means re-allocating funds, not raising taxes, although that might happen over time. Still, increasing taxes isn't inherently bad, especially when used for good. But I also know this is a somewhat controversial point of view in many hyper-capitalistic societies.
> Your argument seems to be that lowering taxes on ordinary people is impossible?
Yeah sure, I'm also clearly arguing for murdering children. Fun discussion, hope you'll enjoy the rest of your Tuesday :)
Yet people frequently don't. Your assertion and reality disagree.
This is what loans and installment plans are for, the payments for which come out of the savings on the utility bill.
> It's beneficial for society here if the government redistributes wealth for the benefit of all.
Which has nothing to do with batteries. If you want to do that then provide them with a refundable tax credit that allows for a negative tax rate in cases where that's deemed desirable.
And even that doesn't apply to the majority of people who are currently paying a non-negative amount of tax. Why attach strings to the money going to a middle class homeowner who should have just been allowed to keep that portion of their own salary?
Neither loans nor subsidies are dirty words IMHO.
But that's the point. It isn't. Electricity costs more in the evening than during the day and there is a technology that can profitably be used to arbitrage the difference. There is no coordination problem at all, people have the direct individual incentive to buy the technology, on credit if necessary, without any form of government subsidy or involvement whatsoever.
So the thing everyone correctly maligns because it's generally some form of corruption or inefficiency?
The money saved is distributed across the community, for both those that directly benefit and those that can't (eg renters, apartments etc). The general benefit is of greater value than the individual savings.
Your attitude that somehow taxation is theft is a very silly Ayn Randian Objectivism outgrowth that has never been true, even in the most "free" US states.
Only if the utility company is pricing things incorrectly.
If the price of electricity is ~free during the day and expensive in the evening then the individualized incentives for installing a battery line right up.
> Your attitude that somehow taxation is theft is a very silly Ayn Randian Objectivism outgrowth that has never been true, even in the most "free" US states.
Whether it's theft or not doesn't change the arithmetic. When you're paying them the money they're paying you, it was your money to begin with.
Here are two of SA's (which has the most renewable generation): https://en.wikipedia.org/wiki/Hornsdale_Power_Reserve https://web.archive.org/web/20220523164905/https://www.elect...
I think the likely cost would have been hundreds of billions considering Australia does not have a nuclear energy generation industry. It currently has a very small nuclear workforce as it only has a small nuclear medical reactor on the outskirts of Sydney.
It's just a treasonous level of corruption.
Voters opting to be extorted like this would have been stupid.
Are they a hoarder of old car batteries and the like?
Fire control in Australia is first and foremost about limiting spread - the bush in Australia goes off if it catches hard.
"Mini" pumped hydro is a thing here (in places): https://www.abc.net.au/news/2024-12-01/australian-first-mini...
If you know your way around high voltage DC, got a tractor and appropriate emulator - not exactly difficult or super expensive to pull off.
Granted it's pretty uncommon setup as grid batteries themselves are pretty cheap too and used EV battery is simply too large for home user, too much hassle, liability, etc to save like $2-3k.
(did you mean 20kwh per user, or 20GW overall?)
$15 billion is far more than Snowy 2.0 should have cost. But it remains substantially cheaper than any lithium-ion battery build for bulk storage. Storage on this scale is essential in a post-coal electricity grid, and batteries are not (yet) plausible substitutes for bulk storage.
[0] This assumes linear scaling. In reality, placing an order like this would grossly distort supply and demand on many levels. Thus the cost would ultimately be superlinear.
And the comparison shouldn't be to batteries alone, but solar/wind and batteries. The former can be used directly and fill the batteries repeatedly on a timeline that is predictable.
It provides no extra value for the electricity to be stored long term if for the same money you can generate and store it short term.
Article on the various restrictions on Snowy 2.0:
https://theconversation.com/snowy-2-0-cost-blowouts-might-be...
The cost of the Snowy 2.0 pumped-hydro project is estimated to range from \(\$12\) billion to as high as \(\$42\) billion depending on the scope of costs included (such as direct construction, interest, and broader transmission). Originally announced in 2017 with a $2 billion price tag, the project has faced massive scale and logistical blowouts. The cost of the Snowy 2.0 pumped-hydro project is estimated to range from $12 billion to as high as $42 billion depending on the scope of costs included (such as direct construction, interest, and broader transmission).
That said , hydro systems have a LONG LIFESPAN - 100 YEARS ?
Batteries need to be replaced every X years.
So the ecomiomics of the comparisoan would need to be calculated ...
[1] https://en.wikipedia.org/wiki/Dinorwig_Power_Station
[2] https://www.waterpowermagazine.com/analysis/re-planting-the-...
It didn't work at all for that though - we had a lot of private investment in large-scale batteries anyway, because the cost came down quickly just as most people (apart from the conservatives) expected. Then the other side of Government got in and put a subsidy scheme to get hundreds of thousands of home batteries installed, which has been multiple times better bang-for-buck than the Snowy 2.0 scheme, as well as taking far shorter a time. At the same time coal plants are shutting down as expected because they are increasingly unreliable given their old ages.
Snowy 2.0 be an expensive stranded asset basically, it will work and be somewhat useful but extremely uneconomical so basically relying on the cost being written off - if it had to recoup any investment then it couldn't run because it'd never be able to sell the power for high enough.
And you can get out every drop. And it’s always ready to go. Do need to cycle your inventory.
Fire departments probably wouldn’t be happy about it.
Very interested to see how this turns out. Ultimately we want the transition to benefit both consumers and producers / distributors (the industry). The problem from the rapid uptake of solar in Australia has been an over-supply during this 10/11am to 2/3pm period. If that over-supply is suitably encouraged to be soaked up then hopefully consumers can reduce their power bills whilst the industry has less effort in managing the oversupply and less stress on infrastructure.
It's also about time that those who lack the means or situation to have solar panels of their own can get some advantage, in a 'herd immunity' kind of way.
I'm in the privileged position to have had solar panels for over a decade, and now have a battery as well, and it was very obvious to me at the time that, in regards to solar, it cost money to save money, so if you couldn't afford it then the savings are inaccessible.
This change hopefully helps those who need it, at least somewhat.
For instance, I'm looking at a new hot water system. Economically speaking, I'm better off buying an oversized tank using resistive heating that I only need to heat once per day. The grid provides free power and I buy a cheaper appliance. But environmentally it sucks, as more solar needs to be rolled out to cover the additional non-peak usage (guess about 6x the power usage of a smaller tank with heatpump).
As for everybody in the same time zone .. they are all seeing the same sun angle at noon (more or less) and all sharing the same over supply of power from all the grid connected solar power rooftops and farms. It's free surplus power during that time frame.
Bit like in the UK they had issues with everyone watching popular TV shows and then turning on the kettle after in a perfectly syncronized timing across the country
When solar + wind plunged in price they stopped saying it.
Now that the market has driven down the price of solar, wind and storage, market based mechanisms have become ideal for solving the problem of what to do with surplus electricity.
I know crypto mining in TX can operate like this, but that's boring.
Desalination and carbon capture are both energy restricted, that sounds a lot more interesting. However, the deployed equipment has to be cheap if you only have 3hrs per day of free power, right?
Demand shifting is good. Do not mistake this as free energy, it very much depends. Many people still don't have TOU meters and many people won't successfully move load into the window.
Fixed line costs are rising massively. Electricity should be significantly cheaper but the economics here favour incumbents and people like John Quiggin arguing for renationalisation are drowned out.
In winter, I’ve been using Ovo’s 3 hours free for about a year now and that ensures the battery is filled up daily. My electricity bill returns a credit every month since I got the battery a year ago.
https://solarsharercalculator.com.au/
During this past month with the heatwave, my electricity bill was only about €50 despite running airco all day most days. I have 6 solar panels on my roof for reference (was 3k installed I believe). If I was willing to turn off the A/C at night, I could have easily cut the bill in half since most of the billed usage was between 18-21:00.
So yeah, not universal yet. But the precedent means it's moving in that direction. If WA homes end up producing lots of solar at midday then this opens the door there as well.
Victoria deregulated its market before NSW/SA/Qld.
All of the eastern states (SA/QLD/NSW/VIC/Tas) are part of a single market, with interconnects and wholesale prices set every 5 minutes.
Victoria has its own "default offer" and regulator of the retail market, which is also offering similar "free power" hours.
WA could be part of the NEM with some HVDC across the Nullabor, not sure if it would be economically worthwhile though.
But it will still have the desired effect of shifting usage patterns, especially for people with rooftop solar and/or batteries and/or EVs.
We have a very large penetration of rooftop solar (due to government subsidies) and now home batteries as well.
There's definitely been a shift in the market "after sunset" when the coal "baseload" and gas peakers used to make their money.
The batteries are flattening out those spikes dramatically.
I imagine eventually we might end up with some thermal storage where during peak renewable production you heat/freeze a large tank of water and then utilize it to heat/cool your house for the rest of the day. A large tank of water is much cheaper than battery storage.
[0] https://www.aliexpress.com/item/1005010546076391.html
Some large cold storage facilities in Germany are trying to optimize electric demand to use cheap peak day electricity. But they have to observe limitations in range of temperatures and capacity of cooling devices.
https://www.cleanenergywire.org/news/cold-storage-facilities...
" Compared to conventional cold storage systems, renewable energy-driven cold storage demonstrates a 10–35 % reduction in energy losses"
https://www.sciencedirect.com/science/article/abs/pii/S23521...
I've been daydreaming about the tank of water idea as well, but the amount of panels you would need on the roof would be crazy.
A tank of water is cheap, it’s just not possible to distribute hot water over the grid. But it’s very realistic to store it locally and use for heating and cooling. Which is the bulk of power usage anyway.
The other states are aiming for a 100% rollout by 2030.
Solar installs benefitting everyone, even those who never got solar.
In my specific case, I barely use much power so home solar covers basically all of the usage, my bill is dominated by the daily charge, so the usage component is practically irrelevant to me.
Yes, grid scale deployments are cheaper, but I'm generally guessing a lot of the grid scale solar deployments do not price in the grid infrastructure adaptation costs, and I'm not even talking about grid storage.
Consumer rooftop solar is fundamentally democratic: it reduces reliance on centralized institutions for power delivery, Make society a lot more resilient in bad weather and other emergency situations, insulates everyday people from wild variations and petroleum and other consumable energy availability.
Combined with plug-in hybrid electric vehicles, it would enable electrification of 80 and 90% of daily driving without grid infrastructure costs.
Here in Sweden nearly all of the electricity bill you pay is concentrated on the winter months when there is literally zero sunshine. Even then solar is popular here. I calculated that installing solar would take around 10 years or more to pay for itself, but I have very little hope to stay in the same house all that time so for me it seemed like a bad investment.
That said, if you live in places where it’s sunny most of the time even in winter, like Australia, then solar is absolutely great, just don’t assume most places are like that.
- Expensive electricity
- Government subsidy for solar and battery
- Much sunshine
- 3 hours free charging daily
Nearly $5000 yearly bill gone. $14000 installation cost post rebate.
There is some impact on others, particularly those without ac.
Say a roof is absorbing 10000 watts. You install solar panels that absorb 2000 watts, used to power an airco. You now have your roof absorbing 8000 watts (released as heat) and ann airco absorbing (using) 2000 watts (also released as heat). Am I wrong? Seems like a conservation of energy problem. And you get a cooler roof so less airco demand too!
The reality is that a lot of old western europe was built for a climate that no longer exists. Houses are built to prioritize holding on to heat and rebuilding entire cities is definitely not possible if we're already bickering so much about adding heat pumps.
Yes, heat pumps may create a rise in temperatures in cities, but there are other things we can do as a society to also lower temperatures as to create a net-neutral impact.
And sure yes combined with other measures AC can be a net good.
One downside is that large scale solar projects aren't profitable any more. It kind of sucks for the investors that adopted green tech, that they aren't getting a good payoff.
The good news is that co-located solar and battery projects are still profitable, but capital costs are higher and payback period of batteries aren't as good.
The good thing is that even with over a decade of conservative government trying to kill it, renewables are now commercially the only choice for Australia and we will benefit from the rapid advances in storage as well.
Grid level plants are starting to also incorporate synthetic condensers and other FCAS services to make our grid more resilient and reliable, even as our clapped out coal plants move closer to shut down.
Coinciding with this, suppliers put daily connection charges up.
The fundamental costs and margin requirements in the system haven't changed.
This is a government-mandated electricity plan (a default market offer) that competitive electricity retailers are now required to offer. Those retailers still have network costs, environmental costs, energy costs, and administration costs to recover, and so prices at other times of day necessarily go up.
Some consumers may be better off on this plan (generally at the expense of other consumers), and some will be worse off.
It's good politics and only so-so policy.
The payback time was already well in excess of 10 years, but now that power is free during the day, you can't count those hours as helping pay down your investment. Payback time will be 30 + years at least. You are much better just enjoying your neighbors solar rather than paying for your own.
(Feed-in is about 3c now I think. Was 12c when many people bought their panels.)
Note: My state 100% renewable energy so reduction of carbon footprint has not bearing on my solar decisions.
This also feels like a fairly heavy handed way to encourage investments in batteries. But in the famous words of George W, "can't fool me again". As soon as there are too many batteries and the grid companies are not making enough money, they will introduce fees to have the batteries, or increase connection fees.
Not Victoria which has bankrupted itself building roads and railways it cannot afford.
Victoria's default offer will include the same offer from October [1].
Victoria has a separate regulator because it deregulated its electricity grid before the other states.
[1] https://www.energy.vic.gov.au/households/save-energy-and-mon...
Sadly probably wont be any good for selective crypto mining, alas.
I think the only way most people could get to 8kW continuous without an EV would be to turn on their electric oven, grill, and all spots on their electric hob. And the kettle.
The rest of the states in the NEM are aiming for 2030 to complete their rollouts.
Aside from the supposed "contentious" nature of smart meters, which is mostly the RW cookers thinking it's some nefarious plot, along with vaccines and 5G.
I imagine that this is not the target audience.
basically a free IQ test.
The government is having to force them to reflect the abundance of cheap, clean energy at these times in at least one of their tariff offerings.
They can bend the rules slightly by adding other daily charges or limitations and upping the price at other times to reduce uptake and move us all slightly further from the global optimum but maximize their profits.
After: 30c/kwh most of the day, 0c from 11-2
It's still worth it if you have a lot of load you can shift to the middle of the day (like a pool heater or battery), but for most 9-5 workers you just end up paying more at the times you're actually home.
Smart meters are free, most people already have one.
Even if you're not home I'm thinking there are a number of ways to make use of the free elec. Hot water geyser seems like the obvious first candidate.
I'd also think heating (in winter), cooling in summer. Even if you're not there in those times, the effects will be evident for many hours after.
For those who have programmable washer/dryers or dishwashers it's also good. Even ovens on occasion.
I get that not everyone is best placed to take advantage of this, but equally improvements don't have to be an "everyone or no one" option.
One would have to do the math, cost of battery versus 24kw free daily. But clearly for lots of people the math will work.
A side effect of policies like this is effectively getting people to invest capital to time-shift elec usage. That's good policy. Reducing the peaks in consumption solves other problems.
I feel like they had to kill griddy before all the powerwall solutions started showing up. We simply cannot empower the peasants with both things at once. The ability to store energy makes access to wholesale prices substantially more effective.
I'll never forget the days where we would get push notifications about negative prices. I'd throw the dryer and oven on every time to try and unwind the meter a bit.
https://www.amber.com.au/
Not everything is for everyone. At no point did I feel like I was getting scammed as a customer. I was using them during the winter event.