Community batteries are growing in popularity across Australia, with a recent funding program experiencing unprecedented demand.
Under Round 1 of the Community Batteries Funding Program, the Australian Renewable Energy Agency (ARENA) received 140 eligible applications across all states and territories with a total grant request of $1.3 billion. This represents more than 10 times the $120 million funding available under Round 1.
The Community Batteries Funding Program aims to lower energy bills, cut emissions and reduce pressure on the electricity grid through community battery projects.
ARENA has shortlisted 31 applications to be invited to submit full applications with projects covering every state and territory. These projects represent a total grant request of $231 million and total project value of $530 million.
Round 1 will support applications across a diverse range of use cases and business models. Shortlisted applicants must install a minimum of five community batteries, between 50 kW and 5 MW in size each, and be connected to the distribution network.
ARENA CEO Darren Miller said the unprecedented demand highlights the significant opportunities for shared local energy storage.
“Through these initial projects we hope to see community batteries enable cheaper, cleaner energy storage to communities and provide valuable knowledge that can be shared across Australia to fast track the implementation of these local batteries.”
As part of the 2022-23 Federal Budget, the Australian Government allocated $200 million for the Household Solar budget measure to deploy 400 community batteries across Australia.
ARENA was allocated $171 million of this funding to deliver at least 342 batteries.
The Department of Climate Change, Energy, the Environment and Water (DCCEEW) will deliver an initial 58 community batteries.
Image: United Energy
