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Demand response

Ausgrid Power2U Project

  • $1.00m

    ARENA Funding

  • $4.10m

    Total Project Value

Project Basics

ARENA Program

Advancing renewables

Lead Organisation

Ausgrid

Start Date

Nov 2018

Project Partners

City of Sydney

Location

New South Wales

Status

Current

Summary

The Ausgrid Power2U project involves the establishment a $4.1 million fund to help selected customers to permanently reduce their electricity use on Ausgrid’s network. By permanently reducing customer demand for grid supplied electricity, Ausgrid can delay, or avoid, network investment and, over time, lower the cost of electricity for all customers.

How the project works

The two year project offers incentives to customers to permanently reduce their electricity use on Ausgrid’s network. The incentives will initially be offered in four select areas encompassing 17 suburbs in the Sydney area and will focus on encouraging customers to implement new solar power systems and efficient lighting retrofits. This project seeks to demonstrate that demand management can delay or avoid replacement of aged network assets.

Area of innovation

Network demand management is the practice of reducing or modifying customer demand for electricity to avoid or delay investment in poles and wires, which can, over time, lower the cost of electricity for all customers. Traditionally, demand management has focused on network investments to respond to increasing electricity demand.

Currently, more than 80% of Ausgrid and the majority of Australian network investment is related to replacement of aged assets. The development of a viable cost effective non-network alternative for these types of investments can extend demand management to a much greater volume of network expenditure.

Benefit

The project offers Ausgrid and other electricity networks a possible cost effective alternative to replacing aged network assets.

The permanent reduction in customer demand for grid supplied electricity also offers Ausgrid greater flexibility in managing unplanned outages, leading to improved reliability for customers.

The project offers participating customers a way to save money, reduce their emissions and ultimately share their energy via the grid. Further, the program offers ARENA and the City of Sydney an alternative pathway to increasing renewable electricity supply on the grid.

Contact information

Craig Tupper, Demand Management and Forecasting Manager

power2u@ausgrid.com.au