The Australian Renewable Energy Agency (ARENA) is set to allocate $20.8 million in funding to Western Power, aimed at creating a comprehensive solution for integrating distributed energy resources (DER) into the South West Interconnected System (SWIS).
This initiative, named Project Jupiter, builds upon the recently concluded Project Symphony and will unfold over three years in collaboration with several key partners, including Western Power, Synergy, Energy Policy WA (EPWA), and the Australian Energy Market Operator (AEMO).
Importance of Project Jupiter
Darren Miller, the CEO of ARENA, emphasised the significance of Project Jupiter for the large-scale incorporation of DER into SWIS while ensuring the reliability and security of Western Australia’s primary electricity network.
DER refers to small-scale devices that can generate, use, or store electricity, playing a crucial role in the local distribution framework to serve both homes and businesses. These resources include renewable generation systems such as rooftop solar panels, energy storage solutions, electric vehicles (EVs), and various technologies that enable consumers to manage their energy consumption effectively.
He added, “Project Jupiter will introduce Australia’s first operating DER marketplace that is integrated with the wholesale market, marking a significant step in the nation’s renewable energy transition.”
Benefits for Consumers
Participants in the program with DER capabilities will gain access to innovative retail products designed to maximise returns on their investments in DER. Additionally, by coordinating a large group of customers within the energy exchange, the initiative aims to improve energy and grid management, potentially reducing household energy costs for all consumers.
Currently, about 40 per cent of homes in the SWIS have rooftop solar installations, with approximately 30,000 new systems being added each year. There is also a growing adoption of household battery systems, which allow for the storage of clean energy for later use.
Leveraging insights from Project Symphony, ARENA stated that Project Jupiter will not only provide the necessary technical solutions for coordinating DER in the SWIS and facilitating market participation through virtual power plants (VPPs) but will also develop new consumer products, tariffs, and educational programmes to encourage customer involvement and optimise their investments in DER.
Revolutionising Energy Participation
Western Power’s Head of Distribution Energy Transition, Andrew Blaver, expressed that Project Jupiter will expedite the opportunity for Western Australian households to engage in VPPs and derive benefits from their energy assets.
“This initiative will enable a greater number of consumers to become part of VPPs using their solar panels and batteries, fundamentally changing how our energy system operates,” he remarked.
By 2028, it is anticipated that all newly connected DER to Western Australia’s network will be enabled to join a VPP, empowering households to extract greater value from their energy investments.
Moreover, ARENA has previously supported over $200 million worth of DER projects and initiated the Distributed Energy Integration Program (DEIP), a collaborative effort involving governmental bodies, market regulators, the industry, and consumer organisations, all focused on maximising the benefits of customer DER for all energy users.