INSIGHTS 2018 37INSIGHTS
2018Sam Staples is the Sales Manager
and Conference Program Manag-
er for the Australian Energy Stor-
age Conference and Exhibition, a
business to business trade event
focused on educating consumers
and facilitating business connec-
tions in the Australian energy
storage and renewable energy
industries. 2018 will be Sam’s
4th year managing the event.What opportunities do you predict for your
industry in 2018?
2018 looks to be an exciting year for Energy Storage. I expect the
industry to continue growing exponentially and market offerings to
become increasingly diverse in regards to the technologies available
and in use on the grid. 2017 saw significant growth in this sector
with some major milestones achieved in Australia. The largest lithium
battery in the world was recently turned on in South Australia,
paired with a wind farm. As this installation proves the value and
reliability of energy storage, particularly where paired with renew-
able generation, we will see the number of approved energy stor-
age installations increase across the country. When considering the
number of utility-scale solar and wind installations, and taking into
account the upcoming closures of certain coal-fired generators, the
potential market and value of energy storage makes this technology
increasingly valuable to Australia’s energy networks. Another growth
area for this technology is with the end consumer, for both com-
mercial and residential applications. Energy storage costs have been
falling rapidly for the past few years, making the financial case for
homeowners and commercial business much more attractive. Feed-
in tariffs for energy consumers who have invested in solar panels
have begun to expire in certain regions, with significantly reduced
rates being offered when exporting excess energy to the grid. This
will only increase the incentive for customers to consume as much
of their generated electricity as possible by utilising energy storage.
On the commercial side, peak shaving has proven to be a financially
beneficial use of energy storage technologies, even when not paired
with renewable generation.What impact will smart technology have on your
industry in 2018?
Smart technology and software solutions are a big factor in the
large-scale uptake of energy storage technologies by enabling energy
networks to effectively manage the increasing number of intermittent
generation sources and stored energy connected to the energy grid.
Distributed energy resources such as residential solar have signifi-
cantly changed the demand curve for energy, and while distributed
energy storage has the capability of levelling this demand, it also
creates unknown variables for utilities, particularly when the number,
size and location of these systems are unknown. Smart software
is beginning to enable utilities to utilise these distributed energy
resources and harness them to stabilise the electricity grid, a trend
which will increase in importance and effectiveness in 2018 as these
technologies are improved and innovative access models are being
explored. Blockchain accounting is another technology that is being
experimented with in Australia and overseas to allow for peer-to-peer
energy trading, a function that will significantly improve the financial
case for customer sited solar plus storage. While the technology is
not exactly in its infancy, its application for energy trading is in the
early stages but is quickly becoming an important tool.
On a more localised scale, smart management systems for energy
storage are becoming increasingly sophisticated, allowing owners ofthe systems to maximise the financial benefit of their energy assets.
For larger-scale sites, particularly microgrids, weather-predicting
software is being implemented to ensure that energy storage assets
are prepared for sudden reductions in solar resources due to weather
factors. As these improvements continue in 2018, they will increase
the effectiveness of the technology.How is Australia’s energy policy uncertainty
affecting your industry?
Policy uncertainty is never a good thing for investment and the
energy industry is feeling the effects of this longstanding problem
right now. Years of policy uncertainty and lagging incentives slowed
the uptake of large-scale renewable energy and particularly energy
storage, which has rebounded in recent years. Energy providers are
finding the maintenance and upkeep of ageing coal-fired generators
cost prohibitive on a purely economic basis, but replacing the gen-
eration capacity of these facilities is not something that can be done
overnight. Large-scale wind and solar for power generation is now
significantly less expensive to build and operate than a new coal power
plant, but due to the variable output from sun and wind, cannot 100%
power the electricity grid without some form of energy storage. The
variety of storage technologies, the speed at which some of them
can be deployed, and the dropping costs are making the addition of
energy storage an integral part of Australia’s energy grid. In short,
while policy has the ability to speed the uptake of energy storage,
economics is the main driver.How should Australian industry respond to global
competition?
While Australia has a number of home-grown energy storage tech-
nologies and companies, the majority of the manufacturing is done
overseas due to costs. When talking about Lithium batteries in particular,
Australia has the unique advantage of being one of the only countries
with access to all natural resources needed in the manufacture of
this particular chemistry. Investment in highly automated manufac-
turing facilities to capitalise on localised mining of the resources
has the potential to position Australia as a major global producer of
high-quality, lithium-based batteries. This would not only provide an
economic boost, but reduce the cost of the product locally.SAM STAPLES
SALES MANAGER AND CONFERENCE PROGRAM MANAGER,
AUSTRALIAN ENERGY STORAGE CONFERENCE AND EXHIBITION