ACT GOVERNMENT

Energy Innovation in the ACT

Stephen BygraveExecutive Director, Climate Change and Sustainability

Overview• Policy context

• Delivering 100% renewables

• Leveraging for innovation

• Project snapshot

• Supporting future innovators

Policy Context

• We are early adopters

• We support action on climate change

• We have a vibrant start-up business community

• We are leading Australia in energy innovation

Canberra

ACT Climate Change Targets2020• 40% reduction in greenhouse

gas emissions on 1990 levels• 100% Renewable Electricity2050• Zero net emissions

Securing 100% Renewable Electricity

Renewables investment program

20MW Solar Auction 200MW

Wind Auction

1MW Community

Solar

2012 2013 2014 2015 2016 2017 2018 2019 2020

20MW Solar Auction

Next Gen Solar EOI

200MW Wind

Auction II

200MWNext Gen

Renewables Auction

Auctions deliver 75%

of 100% renewables

target

Leveraging for innovation

Renewable energy policy objectives

Reduce greenhouse gas emissions

Invest in large-scale renewables

Reduce barriers to solar &

storage

CBR as a national energy innovation hub

New research collaborations

Start-up andbusiness

innovation

Trades training

development

Demonstrate emerging

technology

Key capability areas

Renewable asset management and development

Wind, solar and pumped-hydro resource analysis

Innovative policy and program delivery solutions

Energy storage testing and integration

Project snapshot

Next Gen Energy Storage Grants$25 million in industry funding

• 5000+ homes & businesses to 2020

• 36MW

• Focus on ‘sustained peak output’

• Capacity to respond to price signals

• Data capture for R&D

Power flows

Network freq.

Network voltage

New battery storage integration program• Partnership with Australian National

University

• $8M over 5 years to establish global research leadership capability

• Applied research partnerships with ACT business and corporate community

• Linking Australian and global storage research capability

Power system and market design

Materials chemistry

Device diagnostics and marketing

Device controls

Hydrogen pilot

• 1.2MW electrolyser producing hydrogen from renewable electricity:• Transport• R&D on energy storage and injection to gas network

• Working with distribution network on integrated gas and electricity

• $180M industry funding & in-kind

• Hyundai and Siemens key partners

2 x Funding Schemes Demonstration and scale-up of new technologies and ventures• REIF Direct Grants: >$30,000

• Innovation Connect: <$30,000

• Launched in November 2016• 1,100m2 collaborative working space• 15 x member organisations so far (start-ups,

SMEs, consultants, researchers, industry groups)• Networking opportunities • Events (e.g. national hydrogen workshop)• Support services for businesses• Easy access to Australian Government and

Universities

Energy productivity through efficiency and renewables

90% renewable energy

100% renewable electricity

Energy Efficiency

Energy Efficiency Improvement Scheme Established under the Energy Efficiency (Cost of Living) Improvement Act 2012

Energy savings in over 76,000 Canberra households and businesses

Over 19,000 of these were priority households

Over 1.2 million energy savings items installed

685,000 tCO2-e saved

Savings of around $3.20 p/week on average across all ACT households in 2020 ($5.00 p/week for participating households)

Extension to 2020, harmonisation, broaden participation and expand eligible activities

5

Carbon Neutral ACT Government Program • ACT Government is leading by example - achieving zero net

emissions from its own operations by 2020• Carbon Neutral Government loan fund = $12.1m across 21

projects:– Saves 7,335 tonnes CO2-e per year– Saves $1.9m per year– New project = $3.3m at Canberra Hospital

– LED lighting and solar PV • LED retrofits – saving up to 80% of lighting electricity usage

Supporting ACT energy consumers

Despite some of the lowest energy prices in Australia, the ACT Government offers a range of support programs:

– Utility concessions– ActSmart household and small business programs– 20 per cent Priority Household Target for EEIS– Maintaining retail electricity price regulation– $250,000 contribution to ActewAGL Energy Support Fund– Solar for Low Income Program– Energy Consumer Advocacy

Energy Consumer Advocacy• ACT Energised Consumers Project• A dedicated voice for ACT energy consumers in policy and

regulatory processes• A partnership of:

– ACT Council of Social Service, – Care Financial Counselling Service,– Conservation Council ACT Region, – SEE-Change and– Small Business Taskforce of the Canberra Business Chamber

• Jointly funded by ECA and the ACT Government

Thank you

Contract for difference paymentsExample: FiT payments in Victoria (1/7/2016)

FiT price

Spot price

Payments by generators

Payments to generators

$/M

Wh

Team Canberra

$2,970

$4,125

3.6

5

Average Sustained PeakOutput claimed (Jan-May)

Average Sustained PeakOutput during May-August

SPO of battery and Next Gen rebate (average)

Next Gen Rebate (average)

Battery SPO (kW's)

Behind the meter storage has more value and therefore requires less subsidisation

Denman Prospect – first solar suburb Denman Prospect is the first Australian suburb to have a minimum requirement for solar power on every dwelling

Partnership between Capital Estate Developments (CED) and ActewAGL Retail

4,000 homes 3kW solar systems

The emission reductions will be equivalent to taking 4,000 cars off the road

Each home $500 a year power saving.

Electric vehicle’s powered by 100% renewable electricity

• Supporting the community to take up EVs by enabling public charging infrastructure.

• Car share and car lease companies ideal first fleets of electric vehicles.

• Securing charging options for multi-unit dwellings is nextchallenge.