Energy Magazine June 2023 Digital Edition

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ISSUE 22 · June 2023 · www.energymagazine.com.au FAREWELL, LIDDELL AGL’s renewable pledge SNOWY 2.0: THE CRITICAL STORAGE ENABLING AUSTRALIA’S RENEWABLE ENERGY FUTURE Networking energy equity for First Nations people

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EDITOR’S WELCOME W

elcome to Energy’s second edition of 2023, and the first with me as the new Editor. It is fantastic to step into the role after working as Energy’s assistant editor in recent editions and as a journalist for Energy and its sister publications over the last 12 months.

As the daughter of an electrician, growing up in Wagga Wagga, New South Wales, I know first-hand how important energy is in keeping communities connected. From the early-morning call outs to the local shopping centre or the middle-of-the-night calls due to residential power outages across the region, tradies like my father are, and will continue to be, a workforce that keeps Australia running.

Understanding the growing challenges of the energy transition, and the everyday people it affects, means I am excited to continue the legacy of sharing thoughtprovoking insights and news of my editorial predecessors in the always-evolving sector.

Part of the energy transition is balancing what is easy with what is right. I spoke with the First Nations Clean Energy Council to discuss the core challenges around, and the importance of, having First Nations people at the forefront of the energy transition and the federal strategy underway to ensure this is the case. The resulting interview on how to ensure best practice for engaging and partnering with First Nations people on clean energy projects can be seen on page 10.

This issue also features an interview with AGL Chief Operating Officer, Markus Brokhof, on the Liddell Power Station closure and the renewable focus ahead for the energy giant. We delve into the internal conversations that occurred post-demerger and what’s ahead for the industrial Energy Hubs on page 16.

We also hear from Snowy Hydro on its Snowy 2.0 project with a current

construction update. Snowy Hydro shares how the scheme and its critical and iconic infrastructure is set to bring resilience to Australia’s energy market.

The Clean Energy Regulator shares its view on the rising need for renewables investments, and the necessity of genuine engagement of stakeholders. The importance of expanding and upskilling the workforce is another issue we delve into this issue, hearing from Solar Victoria on the plethora of success it’s had over the last few years, as well as a contribution from Accenture on what it will take to retrain and upskill employees into the future.

As the sector continues to adapt to the changing needs of a sustainable future, here at Energy we are too – reflecting these changing values in our updated features schedule. On page 64, our new features better represent the renewable focus of the sector as well as being more inclusive of the broad range of technologies being utilised and developed.

As always, if you have any topics, projects, technologies or challenges you want to see in future editions, don’t hesitate to reach out. I’d love to hear from you.

www.energymagazine.com.au June 2023 ISSUE 22 1 ISSUE 22—JUNE 2023 WELCOME Monkey Media Enterprises ABN: 36 426 734 954 C/- The Commons, 36–38 Gipps St, Collingwood VIC 3066 P: (03) 9988 4950 monkeymedia.com.au info@monkeymedia.com.au energymagazine.com.au info@energymagazine.com.au ISSN: 2209-0541 Published by Editor Holly Tancredi Journalists Tayla Oates Tess Macallan Stephanie Barker Design Manager Alejandro
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Energy Magazine acknowledges Aboriginal Traditional Owners of Country throughout Australia and pays respect to their cultures and Elders past, present and emerging.
CONTENTS 2 ENERGY TRANSITION 16 Farewell, Liddell: AGL's renewable pledge 20 Unlocking better practice in social licence STORAGE AND SOLAR 24 Snowy 2.0: the critical storage enabling our renewable energy future 28 Navigating the future of renewable energy storage 30 Are we on track? On the road to 82 per cent renewables 32 The importance of storage in our transitioning power market 36 Commercial inverter solutions reducing energy costs 38 The future of your power bill INDUSTRY OUTLOOK 8 The questions shaping the energy networks of the 21st century 10 Networking energy equity for First Nations people 16 8 NEWS 4 QLD city leads state hydrogen production 5 $123M upgrade to Tasmanian hydropower icon begins 6 EnergyConnect substation completes first concrete pour 7 $1.4M to Victorian EV-specific courses CONTENTS March 2023 ISSUE 21 www.energymagazine.com.au 24 EACH ISSUE 1 EDITOR'S WELCOME 64 FEATURES SCHEDULE 64 ADVERTISERS’ INDEX

WASTE TO ENERGY

40 The missing link for the biogas boom

42 Full steam ahead for Western Australia’s waste to energy projects

ASSET MANAGEMENT

44 Virtual asset assessment: digital intelligence solving network challenges

46 Developing an asset intelligence culture in your organisation

48 Energy system cybersecurity for an uncertain world

JOBS, TRAINING AND SAFETY

50 Solar Victoria’s holistic approach to industry training

52 Workforce upskilling and reskilling will be key to powering the energy transition

CONSUMERS

54 What does putting “consumers at the centre” of the energy transition really mean?

SUSTAINABILITY

60 Leader of the pack: the Aussiefirst aluminium recycling trial

VEGETATION MANAGEMENT

62 Win-win: how solar farms can double as havens for our wildlife

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QLD CITY LEADS STATE HYDROGEN PRODUCTION

Gladstone, Queensland is set to become the state’s clean energy capital with the most hydrogen projects currently in the pipeline of any city across the state.

A cluster of global companies have chosen Gladstone as the home of major clean fuel developments with the Gladstone State Development Area (SDA) at the centre of the region’s renewables boom, cementing its status as an industrial hotspot for green giants.

Fortescue Future Industries and Alpha HPA are among the renewable energy heavyweights building on Queensland Government-developed land within the 26,934ha Gladstone SDA.

It comes as about one third of the 40-plus green hydrogenrelated projects across the state sit in Central Queensland, including several major ventures flagged for Gladstone.

Some of the hydrogen-related investment activity in the Gladstone region includes:

» Fortescue Future Industries is building a world-leading hydrogen electrolyser facility at Aldoga

» CQ-H2: Central Queensland Renewable Hydrogen Project –Stanwell is working with domestic and international partners from across the hydrogen supply chain to develop largescale renewable hydrogen production in Central Queensland

» H2-Hub™ Gladstone: Hydrogen Utility (H2U) has established a consortium of key domestic and global partners proposing to build a 3GW green hydrogen and ammonia production complex at Yarwun and associated export terminal infrastructure at Fisherman’s Landing

» Mitsubishi Gas Chemical Company and Cement Australia have teamed up to investigate the commercialisation of methanol production using green hydrogen

» Australian Gas Network will build a renewable hydrogen production facility and trial a blend of natural gas and hydrogen into Gladstone’s gas network

» Japan’s Sumitomo Corporation is planning a green hydrogen plant

» Rio Tinto is investigating the use of renewable hydrogen to partially decarbonise alumina refining

» Origin and ENEOS will explore the potential for the reliable supply of affordable hydrogen made with renewable energy

» The Pacific Solar Hydrogen Project seeks to develop battery and solar farm facilities that would supply energy to a planned hydrogen production plant

Economic Development Queensland (EDQ) General Manager, Debbie McNamara, said the Gladstone SDA was set to skyrocket as a destination for clean energy development.

“These companies could have gone anywhere in Australia, and they chose Gladstone – so that’s a strong vote of confidence in the region’s future,” Ms McNamara said.

“With access to the Port of Gladstone and other industrial infrastructure, EDQ’s Aldoga and Yarwun sites are ideal for largescale projects tapping into hydrogen export markets.

“There’s also the benefit of joining a group of established companies within a purpose-designed estate and in a region with strong manufacturing and export skills.”

Jobs at the Aldoga and Yarwun sites are expected to be more than 5,500 by June 2024. Gladstone’s leading role in the growing green energy sector is expected to bring benefits across construction, manufacturing, and a range of other local service industries.

“We’re focused on generating opportunities for growth through projects that create quality local jobs, setting Gladstone up for generations to come,” Ms McNamara said.

“We anticipate interest in industrial land within the Gladstone SDA, and other regional areas, will build as more businesses explore opportunities to invest in Queensland.”

The Hydrogen Utility (H2U) is among the companies that aim to harness the region’s potential for green hydrogen.

Having secured a strategic site in Yarwun for its planned $4.7 billion green hydrogen and ammonia H2- Hub™ Gladstone development, H2U has since secured a coordinated project declaration in April 2022 and the terms of reference for an environmental impact statement in February 2023. It is currently engaged in front-end engineering and environmental studies.

The proposed two-stage development, expected to create more than 500 jobs, will support decarbonisation of existing nearby industrial operations in Yarwun and connect to port facilities to export green hydrogen and ammonia to offshore markets including Japan and Korea.

H2U founder and CEO, Dr Attilio Pigneri, said Gladstone was the ideal location to support the scope and ambition of the project.

“Working with the team at EDQ, we have been able to secure a uniquely strategic site for our H2-Hub™ Gladstone project, with proximity to domestic offtakers, water and power infrastructure and connectivity to existing port facilities,” Dr Pigneri said.

“These elements, combined with the coordinated project approval framework that is available for projects within the SDA, and the breadth of infrastructure and operational capabilities associated with the Port of Gladstone, have been the key to our developing strategic relationships with cornerstone offtakers in the domestic and export markets, including our partnerships with Orica, the leading global manufacturer of ammonia and technical explosives, and Korea East-West Power, the operator of one of the largest portfolio of power generation assets in Korea.”

As Central Queensland’s renewables boom continues, several pumped hydro schemes are also being explored across regional Queensland as the state’s transition to clean energy ramps up.

One example is the Sunshine Hydro proposal for a $2 billion pumped hydro and green hydrogen facility that would provide enough renewable energy to power the equivalent of 600,000 homes.

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Image: EDQ’s Aldoga site; EDQ’s Yarwun estate in the Gladstone SDA. Courtesy of Queensland Government.

$123M UPGRADE TO TASMANIAN HYDROPOWER ICON BEGINS

Hydro Tasmania is redeveloping the Tarraleah hydropower scheme, with $123 million invested for upgrade works and to assess the viability of building a brand new scheme and power station.

The $123 million investment towards the upgrades included $65 million committed by the Federal Government.

Tasmanian civil construction company Hazell Bros was awarded the contracts for the first tranche of upgrade works projects.

The new intake at Lake King William and new 1km tunnel to the intake is in preparation for future replacement of the canals that feed the scheme. Upgrade works are also focused on an improved spillway at Mossy Marsh Dam and upgraded road infrastructure.

Queensland Minister for Energy and Renewables, Guy Barnett, said the Tarraleah hydropower scheme, in the Central Highlands, is an iconic part of Hydro’s 100year history in Tasmania and well positioned to play a significant role as the Australian energy market rapidly transforms.

“These upgrade works are another positive step towards making Tasmania the renewables powerhouse of Australia through the Battery of the Nation’s hydropower upgrades and pumped hydro and the Marinus Link vision agreed to in a historic partnership with the Australian Government announced in October 2022,” Mr Barnett said.

Hydro Tasmania CEO, Ian Brooksbank, said that Tarraleah is an incredible piece of engineering.

On site at Lake King William to see progress first hand, Mr Brooksbank said that it was fantastic to see work well underway for progressing the vision for Tarraleah into action.

“The network of canals that have fed water from Lake King William to the station for decades will need to be replaced in future,” Mr Brooksbank said.

“What is happening now are important upgrade works to construct a brand new water intake and connecting tunnel to meet up with a future new water conveyance. Improvements to the dam at Mossy Marsh are largely completed and upgrading the local access road is also underway.

“There’s almost 100 full-time equivalent roles working on these upgrades across our people, our specialist consulting firm Entura and our contractors – that’s great news for the region and there’s more to come as plans progress.”

Redevelopment plans

$700 million in investment is planned to help redevelop the Tarraleah hydropower scheme. Many of the scheme’s components have aged and there are physical and operational constraints, making it unsuitable for the future demand for electricity.

The redevelopment could increase the output from 110MW to 190MW from the same amount of water and is currently being assessed for commercial viability, with a final investment decision due in mid-2024.

“The vision for Tarraleah is to redevelop the scheme to deliver the benefits that the future energy market will need and generate up to 250 jobs during peak construction,” Mr Brooksbank said.

“The redevelopment would boost capacity, better support the growth of wind and solar through faster, more flexible operation and generate around 30 per cent more energy from the same water.”

Hydro Tasmania has also started environmental approvals through the Federal Government, a vital part of the

redevelopment assessment, allowing the public to comment on Tarraleah’s proposed future.

“Getting the views of the local community on Tarraleah’s future is important. We will continue to provide opportunities to talk directly with our team about what is ahead,” Mr Brooksbank said.

Hydro Tasmania’s feasibility study showed the Tarraleah scheme could be redeveloped to increase capacity and flexibility – all valuable requirements in a future electricity market. A great example of repurposing existing hydropower assets to better align to future market opportunities and to deliver more value to Tasmania from the same water resource.

“These benefits will be returned to all Tasmanians through dividends that help fund schools, hospitals, roads and other important services and infrastructure that we rely on,” Mr Barnett said.

The first 750MW Marinus Link cable will unlock flexibility in the existing hydropower system to provide the on-demand back up needed. It also opens up potential for capacity upgrades in Hydro Tasmania’s assets including the Tarraleah scheme and the West Coast stations. The second Marinus Link cable creates the opportunity to develop a new pumped hydro scheme – a 750MW, 20-hour, cost-competitive, long-duration storage opportunity at Lake Cethana.

Benefits will flow back to Tasmania through access to affordable power, economic investment, creation of much needed jobs, attraction of new business, and increased profitability for Hydro Tasmania which brings revenue to the state government to support vital infrastructure and services.

The Marinus Link opened for international tender in January 2023.

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ENERGYCONNECT SUBSTATION COMPLETES FIRST CONCRETE POUR

Transgrid has reached a major milestone in the construction of one of the biggest substations in the Southern Hemisphere, part of its massive $1.8 billion EnergyConnect interconnector project.

Crews have been working around the clock to lay the concrete foundations for some of the world’s largest and most sophisticated heavy duty electrical equipment at Buronga, near Mildura. The Buronga Substation will act as the main hub for the connection between New South Wales, Victoria, and South Australia.

The night sky at Buronga was lit up as subcontractors Nathan Contractors and Mawsons Concrete & Quarries poured 850m³ of concrete during a complex eleven hour operation.

The team effort saw 15 concrete trucks loaded at Mawsons’ plants at Buronga and Mildura, with about 50 workers involved in the pour for the foundations for two synchronous condensers which will sit at the heart of the new 16ha Buronga substation.

Transgrid Project Director, Stephen Troughton, said, “We are getting on with the job of building the critical EnergyConnect interconnector which will integrate renewables into the grid and allow energy sharing between New South Wales, Victoria and South Australia for the first time.

“The Buronga substation will be one of the largest and most sophisticated in the Southern Hemisphere and act as the main hub for the connection between the three states.

“The EnergyConnect project is providing a major boost to businesses and jobs in communities along the 700km project alignment with more than $18 million spent on local suppliers to date including Mawsons Concrete & Quarries and the Garraway Group at Mildura.”

Mawsons Western Operations Manager Concrete, Gary Harvey, said the amount of concrete involved was the equivalent of 120 truckloads.

“It is a real feather in our cap to be involved in such a big project as EnergyConnect and it is a very proud moment for us,” Mr Harvey said.

“We had to supply concrete at a certain temperature which was under 23 degrees, and with the number of trucks involved, it was always going to be a night pour.”

Based in New South Wales and Queensland, Nathan Contractors measured the amount of concrete required and managed the pour for SecureEnergy, supplying 16 concreters, some of whom were local.

Nathan Contractors Site Supervisor, Matt Jobson, said it was a time-consuming deep pour that went well.

An additional 850m³ of concrete was scheduled to be poured at the end of April 2023 to complete the foundations for the synchronous condensers.

The two 120MVA synchronous condensers are used for system stability and circuit strength to the grid, playing a key role in moving Australia to cleaner renewable energy.

Mawsons is also supplying concrete for the footings to support towers currently being erected at Buronga, providing a further boost to the local business.

The Buronga substation on Arumpo Road will comprise complex equipment including the two synchronous condensers, five phase shifting transformers, three power transformers and four shunt reactors.

In the beginning of 2023, crews at the Buronga substation also carried out foundation works for the transformers that accompany the synchronous condensers, and the first of the five phase shifting transformers.

The first phase shifting transformer will shortly arrive in Australia from South Korea. The specialised type of transformer controls the flow of active power on transmission networks.

The Buronga site also comprises an accommodation camp for 340 workers and a laydown to store equipment and materials.

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$1.4M TO VICTORIAN EV-SPECIFIC COURSES

The Victorian Government has invested $1.4 million in a new purpose-built electric vehicle (EV) laboratory at the Kangan Institute’s Automotive Centre of Excellence which will deliver a wide range of EV-specific accredited courses and skills to give those in the automotive industry the chance to upskill.

The new apprenticeship program specialising in EVs will give all Australians the opportunity to train and work in an emerging industry.

This investment, delivered through the $12 million TAFE Equipment and Facilities Fund, will help Victoria achieve its target for EVs to make up 50 per cent of all new light-vehicle sales by 2030.

Victorian Minister for Training and Skills and Higher Education, Gayle Tierney, opened the new laboratory at the Kangan Institute’s Automotive Centre of Excellence, located in Docklands, Melbourne.

“This investment will support auto industry workers to become fully trained EV technicians – getting them skilled and ready for the jobs of the future,” Ms Tierney said.

“With more electric vehicles on roads, it’s critical that Victorians have the specialist training they need to service them safely.”

The advanced automotive and electrical lab is home to the latest technology in electronic training boards and simulators, new computers and software programs and sophisticated teaching aids. This equipment can simulate almost all variants of EVs, making it flexible and adaptable to current and future markets.

These facilities will improve the learning opportunities of new students and apprentices as well as upskill existing industry technicians to make sure Victorians thrive as soon as they enter the workforce.

Victorian Minister for Climate Action, Lily D’Ambrosio, said, “We know EV technology is becoming more popular and accessible – and it’s a vital component in our plan to reach net zero emissions by 2045 – which is why we’re investing in this centre for excellence.”

Member for Northern Metropolitan Region Sheena Watt said, “This investment benefits our whole community –creating more jobs, skills and a more sustainable future.”

The Fund is part of the Victorian Government’s $3.5 billion investment to rebuild TAFE and support universities and higher education to ensure Victorians have access to high-quality education and rewarding career pathways.

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7 NEWS Long Battery Life over 20,000 cycles* Safe Design High Input & Output Current Rapid Charging Large State-ofCharge (SOC) Capacity Wide Temperature Range

THE QUESTIONS SHAPING THE ENERGY NETWORKS OF THE 21 CENTURY

Energy Networks Australia

is delighted to be hosting its biennial event, Energy Networks Conference and Exhibition 2024 in Adelaide. Spanning three days from March 19-21 2024, EN2024 will bring together the energy sector's best and brightest to share expertise and insights on navigating the energy transformation.

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This event is a chance for energy networks, key stakeholders and industry partners to discuss the transformation of Australia’s 20th century grid so it can deliver energy and provide services and value the way consumers of the 21st century demand. It is designed to connect people from across the industry, providing opportunities to strengthen existing relationships and create new ones. This is the only conference and exhibition on the energy network event run by industry, for industry. This event provides unparalleled opportunities to create strong and enduring business relationships, network, collaborate, share ideas, be inspired and learn from one another.

Building on the work undertaken by ENA in its report, Energy Vision Networks delivering net zero, this event will showcase how energy networks will work together to deliver an affordable, secure, reliable and equitable net zero emissions energy system for the benefit of customers and community.

EN2024’s program will explore four key themes throughout the three-day conference and attempt to answer some of industry’s toughest questions.

Enabling the energy transformation

What is the critical role networks play in the decarbonisation of the economy, helping facilitate customer ambitions for a net zero economy? How are networks integrating renewable energy zones, customer energy resources and distributed

generation in their networks while ensuring customers receive the best possible value? In what ways are networks keeping the system affordable, secure and reliable through this transformation? What is gas’ role in this shift? How does hydrogen factor towards net zero?What is the role of digitalisation and AI to bring this about? What organisations do networks need to work with to help consumers manage changing risks?

Resilience

How do networks remain resilient in the face of extreme weather events, cyberattacks, supply chain, price shock and other external factors? What are and should sustainability outcomes for energy businesses be? What investments should networks be making to build a resilient

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INDUSTRY OUTLOOK

network? How do we recognise and strike the balance between the technical, social, environmental and economic needs to build a resilient network? Whilst networks grapple with building resilient networks, what is their role in supporting broader community resilience beyond simply keeping the power on?

Community and customers to enable the change

How are customers participating in and driving the energy transformation? How can networks help this process? Do networks engage and listen? What does best practice customer engagement look like for networks today? What does self-determination mean for all customers, including culturally and linguistically diverse and First Nations communities? What steps are networks taking to ensure equity in access to and impacts of new infrastructure and technologies? How are networks implementing cost-of-living mitigation and affordability initiatives for their customers?

The future of energy

Will energy networks as we know them today exist in future? How will an energy sector with many new players doing different things be governed? Who or what will own the energy network of the future? What can Australian networks learn from other industries going through disruption? What does the future energy system workforce in 2070 look like? What is the role of regulation in enabling the future? With all these questions ahead, the Energy Networks Conference and Exhibition 2024 will certainly be full of important and industry discussions, so make sure you’re part of the conversation.

Learn more here: www.en2024.com.au

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Sponsorship and exhibition opportunities are still available but selling fast.
Registrations are also open, with generous discounts available for group bookings.
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NETWORKING ENERGY EQUITY FOR FIRST NATIONS PEOPLE

It is an exciting time in the energy sector with new technologies, ways to decarbonise, and innovations to make the day-to-day lives of many Australians easier – with abundant reliable, clean energy on the horizon. However, as technology advances, many First Nation communities in remote and rural Australia are struggling with challenges many in metropolitan areas take for granted, such as basic access to stable, affordable, clean energy. Overcoming these challenges requires reform of existing policies and regulatory schemes, and creates an exciting opportunity for Australia to create new energy systems that ensure everyone, in every region, is supported in the clean energy transition.

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Terry Collins and Edi Donald installing solar on the Marlinja community centre Image credit: First Nations Clean Energy Network

As the world grapples with the urgent need to transition our energy systems away from fossil fuels, the adoption of renewables is accelerating, essential to our country's ongoing sustainability. For many consumers this transition brings with it new decisions and choices around which new energy technologies should be purchased with the aim of electrifying everything – like with rooftop solar or a battery, and even an electric vehicle.

For many First Nation communities however, these choices are largely irrelevant as basic energy needs – access to reliable, affordable power – simply aren’t being met.

Reliable power allows us to meet essential human needs, so we can easily cook meals and keep our medicines cold. It also allows us to engage in cultural activities, access employment, and educate our children through powering our computers, phones, heating and air conditioning, keeping our homes safe and comfortable.

Many First Nations residents in remote and regional communities are not having these basic needs met due to unreliable power. Instead, they experience frequent and prolonged electrical disconnections, due to the anomalies of typically diesel-generated, prepaid energy credit systems that power many regional and remote locations across Queensland, Western Australia and the Northern Territory.

First Nations consumers on these prepayment systems are highly susceptible to disconnections. Recent ANU research showed, in contrast to the rest of the country, energy insecurity in the form of disconnections remained unrelentingly high or worsened for more than 10,000 prepay remote-living Indigenous households during the COVID-19 pandemic.

Battling these systemic problems is the First Nations Clean Energy Network, a multifaceted First Nations member-based organisation focused on ensuring First Nations people are front and centre of the energy transition.

Launched in November 2021, following 18 months of consultation with First Nations communities and groups around Australia, the First Nations Clean Energy Network works to ensure First Nations participate in and benefit from Australia’s transition to renewable energy and is based on three pillars: community, industry partnerships and policy reform. Spanning issues from localised energy access to facilitating First Nations’ ownership of utilityscale projects, the Network has a goal to ensure reliable, clean energy is available for First Nations people, and that First Nations’ participation, informed consent, and benefit-sharing in the energy transition is assured.

The First Nations Clean Energy Network is led by a Steering Group of First Nations leaders from around the country who have backgrounds from a multitude of sectors to help inform, educate, and create lasting change.

Energy Magazine spoke with First Nations Clean Energy Network’s Director of Policy and Engagement, Jonathan Kneebone, about what the Network is doing, including its recent work with federal and state and territory governments attempting to re-dress the ways the energy industry and governments engage with First Nations people, groups and communities.

The growing pains of an evolving industry

The First Nations Clean Energy Network’s ambition for a fair, renewable future is grounded in a general principle, shared by Mr Kneebone:

“Regardless of tenure, regardless of what rights there are, our starting point is that all Country is First Nations' owned and managed.

“People have the right to free, prior and informed consent; meaning the right to decide what projects can happen on their land, and also whether a project should be vetoed if the financial, social or environmental risk is too high.”

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First Nations Clean Energy Symposium, 2022 Image credit: First Nations Clean Energy Network

Although not mandated under Australian law, Mr Kneebone explained that free prior and informed consent is an essential ingredient for new project development on First Nations land, and one the Federal Government is taking more seriously in its ambition to ensure First Nations people are equal partners in the energy transition.

“First Nations people must be involved in and equipped to participate in decision making and processes as genuine partners – not just another set of stakeholders."

Getting clean, affordable, reliable energy

One of the first concerns being tackled by the First Nations Clean Energy Network is access to power.

“People need access to affordable, clean, reliable electricity,” Mr Kneebone said.

“If you can't keep your food refrigerated and put the lights on for the kids' homework, then it’s harder to pursue jobs, training, finance and business opportunities.”

Following the push to secure household energy, Mr Kneebone pressed the Network’s drive to support First Nations’ knowledge, power, and capacity, so that “people have the skills, knowledge and ability to be able to access and partner in the project and investment opportunities coming at them”.

“We want to ensure benefit-sharing around renewable energy projects can be implemented for First Nation communities in an appropriate, manageable way,” Mr Kneebone said.

“Each community and First Nations group is different, with different needs, wants and approaches. There’s not a one-size-fitsall approach.

“There is also an immediate need to support capacity to engage. The energy transition is happening remarkably quickly, and there are many groups needing support and funding to develop the capacity to engage.”

Energy needs to be equitable

Understanding complex differences in how energy is perceived across Australia is important to ensure everyone is brought along in the transition.

Accessible energy in the Pilbara region or remote locations of the Northern Territory means something different to what it means in metro areas.

Rather than paying a bill for reliable energy after-the-fact, many remote-living First Nations residents rely on pre-payment systems where power automatically disconnects when there are no remaining funds.

“Remote parts of the Northern Territory, for example, don't have the consumer protections that consumers in the rest of Australia benefit from,” Mr Kneebone said.

“On prepaid metering systems, as soon as you don't have credit, the power cuts out.”

Energy disconnections occur with astonishing regularity and have enormous, detrimental impacts. A recent ANU study highlighted 91 per cent of remote houses experienced at least one disconnection across 2018-2019, with over 70 per cent experiencing ten or more. Other research has averaged these numbers to a disconnection every four days.

These disconnections are exacerbated by hazardous weather conditions such as extreme heat, and thus are set to continue with the changing climate.

Exclusionary barriers

Skills shortages in the energy transition are a known industry problem, and promises of projects creating local opportunities are not always reflective of reality for First Nations communities.

Mr Kneebone said communities may think – or be told by developers – that they will benefit from large-scale projects, but the benefits are often not applicable or followed through with inclusionary behaviours.

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Darren Kidd with stack of used power cards at Wandangula Outstation as part of Original Power Energy Survey Image credit: First Nations Clean Energy Network

“While a new project may promise local employment, the positions may require knowledge, skills or experience currently lacking in remote areas,” Mr Kneebone said.

“In remote locations, additional thought and effort needs to be given to ensure that work experience and industry-standard qualifications can be gained.”

For the sheer number of jobs set to be part of the energy transition, there is a broad gap between industry expectations and the reality for First Nations inclusion and equity.

As a nation, there’s an enormous task ahead to find and skill the workforce required to support the transition to renewable energy. For First Nations, the Network considers there is a real need to develop a system that allows First Nations people to access opportunities and benefit in the transition.

Practical solutions on a federal scale

Mr Kneebone said the Network recognised early on that new policy, regulatory and market-based approaches and systems would need to be designed to ensure First Nations benefit from and participate in the renewable energy transition.

In August 2022, all Australian Energy Ministers committed to the co-design of a First Nations Clean Energy Strategy as a priority action under the Federal Government’s National Energy Transformation Partnership.

An initiative which the Network had asked for prior to the last Federal election, the strategy is an opportunity for First Nations people, groups, communities, and government and industry to work collectively to ensure First Nations drive the energy transition.

Mr Kneebone said the Strategy is an opportunity to review laws, regulation and policy, to lift barriers and implement regulatory

reform, and to stoke government investment in innovation, technology and infrastructure, so that First Nations people can share in and benefit from the renewable energy revolution.

“The Federal Government has been clear in its intention that the strategy won’t be just another glossy document that sits on people’s shelves,” Mr Kneebone said.

“It needs to be practical, it needs to build on what’s available. It needs to offer new opportunities and changes, and it needs to be implemented. It’s necessary because we've got such a short time frame. The energy transition is accelerating globally and First Nations people are being left behind. This can't be something that just lingers and doesn't deliver.”

The Network is assisting in its development through the facilitation of roundtables around the country, bringing together First Nations people with state and territory governments and industry representatives, all working together to reimagine an energy system that benefits, not hinders, First Nations energy participation.

While the strategy will certainly have wide-spread national impact and support long-term developments, the Network is just as eager to see collaborative relationships built, and shorter-term and faster implementations of equitable change throughout the process.

At the time of its conversation with Energy Magazine, the First Nations Clean Energy Network was holding its first of many community roundtable discussions.

“We're holding roundtables around the country, across jurisdictions in various locations with First Nations groups and communities and landowners to really hear what people want to get out of renewable energy,” Mr Kneebone said.

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Marlinja Solar Installation Phase 1, Image credit: First Nations Clean Energy Network

“Our role is to create a space for people to identify the opportunities, barriers and risks affecting active participation in the clean energy transition, and for that to be fed back to the Federal Government in their design of the strategy.”

The Federal Government has said it will have a first draft of the strategy by the end of 2023, with the intention to begin implementation in 2024.

“We are hoping for big ideas and a new way of engagement with First Nations communities,” Mr Kneebone said.

“This is an opportunity that can’t be missed, to ensure First Nations people benefit equitably from – and participate in – this remarkable global energy transition.”

FIRST NATIONS CLEAN ENERGY NETWORK: BEST PRACTICE PRINCIPLES FOR CLEAN ENERGY PROJECTS

1. Engage respectfully

2. Prioritise clear, accessible and accurate information

3. Ensure cultural heritage is preserved and protected

4. Protect country and environment

5. Be a good neighbour

6. Ensure economic benefits are shared

7. Provide social benefits for community

8. Embed land stewardship

9. Ensure cultural competency

10. Implement, monitor and report back

A guiding light for industry

In addition to facilitating roundtables in the development of the First Nations Clean Energy Strategy, the First Nations Clean Energy Network is also maintaining its efforts to serve as an innovation hub, providing industry and community education and resources.

The Network has worked with its experts, communities, and stakeholders to create new industry guidelines.

The content includes Best Practice Principles for Clean Energy Projects, designed for proponents, retailers and gentailers on how to best ensure informed consent and active participation with First Nations people.

Mr Kneebone said the ten principles are a guiding light for the industry and can be used when projects are being developed and implemented, and include measures and trackability for how the sector is improving in these areas.

“Although these Principles have been framed to help First Nations communities negotiate with new investors, they should also be followed by clean energy companies themselves and the governments that regulate projects,” Mr Kneebone said.

Mr Kneebone said he has seen great ambition from state and federal governments for engagement with First Nations communities.

“I think Australian Governments and industry are realising in 2023, you can't ignore the rights and interests and the voices of First Nations people – they're critical and essential if we’re going to achieve the necessary transition to renewable energy as a nation,” Mr Kneebone said.

“There’s significant areas of land and waters across Australia that are held under Native Title rights and interests, land rights, cultural heritage and other schemes. First Nations people must be at the centre of the energy transition going forward if we are to increase our clean energy ambition in Australia.”

To read more about the First Nations Clean Energy Network visit www.firstnationscleanenergy.org.au

Best Practice Principles for Clean Energy Projects and Best Practice Guidelines: Clean Energy Agreement Making on First Nations Land are available via www.firstnationscleanenergy.org.au/tool_kit

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FAREWELL, LIDDELL: AGL'S RENEWABLE PLEDGE

ENERGY TRANSITION 16

When AGL Energy's Liddell Power Station was first switched on in 1971, it made history as Australia's most powerful generating station at the time. Now, more than 50 years later, the world is changing and so is AGL as Australia transitions to a lower carbon future. AGL’s Chief Operating Officer, Markus Brokhof, spoke with Energy Magazine about Liddell’s closure and the company’s plan for a renewable future.

You’re not supposed to talk about a lady’s age, but “Lady Liddell'' has been around for more than 50 years – longer than most power stations. But despite its icon status in Australia’s energy infrastructure, in recent years the Liddell Power Station hasn’t operated at its 2,000MW generation capacity, with 23 station restarts in 2022. Its closure has been seven years in the making, with one of its four units already decommissioned in 2022.

With its extensive history, and more recently, its postponed closure to support Australia through the energy crisis over 2022, Liddell’s fire has now been put out. Liddell’s last unit closed on Friday 28 April 2023 marking the power plant’s closure.

The ageing infrastructure is not the only reason Liddell’s closure is important. Its location is now set to make way for the Hunter Energy Hub, with a 500MW/2GWh grid-scale battery for the site already receiving planning approval. AGL plans to redevelop all its remaining power station sites into industrial energy hubs, home to renewable energy and storage technologies.

AGL Energy, Chief Operating Officer, Mr Brokhof said the Liddell closure will bring “challenges for everyone in the electricity system as the closure plays out” but that any concerns could be solved. This has been reinforced by the Australian Energy Market Operator, which said it did not expect any reliability issues in the National Electricity Market because of the closure.

Another important part of the closure will be the site's demolition. Under its sustainability goals, AGL wants to ensure 90 per cent of the Liddell station materials are recycled. This, Mr Brokhof said, was an exciting challenge.

The 70,000 tonnes of steel, kilometres of copper wiring, and even the transformer oil are all planned to be recycled or sold to further the site’s circular economy impacts and continue its life. Plans are in motion to account for steel that will need to be cleaned, the need for dust suppression, and the sheer volume of trucks that will head in and out, filled to the brim with materials and more.

There will be additional hurdles, from the safe handling and removal of asbestos as well as navigating community consultations. The demolition is set to take two years.

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Controversy to confidence

It would be remiss to not mention the headlines AGL has been part of in recent years. There was the political pressure from former prime minister Malcolm Turnbull to sell Liddell to Hong Kong’s Alinta in 2018, the cancelled Demerger Proposal of 2022, and – as the country’s largest electricity generator – AGL also holds the unfortunate title as Australia’s biggest carbon emitter.

With an updated company strategy of no coal by 2035, Mr Brokhof was open about the challenges in navigating the company’s transition away from coal generation to renewable energy, and the impact the demerger had on the company’s future.

“We needed to change our way of thinking,” Mr Brokhof said.

“Community expectations had shifted and there was a demand for faster action on climate change and with that an accelerated pathway out of coal and out of heavy carbon-emitting generation plants. It was clear that we needed to respond to that.”

Mr Brokhof said the first challenge post the failed demerger was bringing shareholders, other external stakeholders and company employees together to redefine what AGL’s future would look like. Mr Brokhof called this a balancing act, ensuring all the criteria of environmental, social, and governance (ESG) and shareholder returns were managed effectively as well as financially viable.

“It was clear that in order to ensure the future of the company, we needed to invest heavily in renewable generation.”

“This is a jigsaw puzzle, where we have to make the right decisions; investment and refinancing decisions, in order to get AGL fit for the future.”

The Hub with tomorrow’s workforce

As Liddell is pulled apart and makes way for billion dollar investments in renewable energy, the way AGL is managing and supporting their workforce has evolved. Some Liddell employees, such as those with decades-long histories with AGL, have retired, with others transferred to other stations or, in attempts to create an adaptive continuous workforce, taking on new roles across the company.

“We want to create redeployment opportunities for people,” Mr Brokhof said.

“Most electricians and mechanical engineers are always needed, independent of what kind of assets you have. But a boiler fitter; the job which they have today may not be a job of tomorrow.”

Mr Brokhof is clear about creating a stable and engaged workforce. This includes retraining or re-educating employees so they, and the company, can benefit from the opportunities ahead in the renewable future.

Closing the gap as part of the loop

As part of the closure, Mr Brokhof discussed how AGL’s Reconciliation Action Plan has ensured full transparency and ensured First Nations people are supported as the site and company transitions.

“If you build something new, you also have a unique opportunity to do something new,” Mr Brokhof said.

Mr Brokhof said there was a “clear wish to close the gap” and “treat First Nations people as an embedded stakeholder” in its sites.

Mr Brokhof also stated that in repurposing sites, AGL has an accountability to acquire the buy-in of First Nations groups.

“If you build on the land and do something, people should understand what is happening there.”

AGL Energy released its Climate Energy Action Plan in September 2022 outlining its plan to:

» Reduce annual greenhouse gas emissions by at least 17 per cent by FY24, following Liddell’s closure

» Be net zero for operated Scope 1 and 2 greenhouse gas emissions following the closure of all AGL's coalfired power stations

» Develop a decarbonisation pathway to net zero for Scope 3 greenhouse gas emissions by 2050

» Target 5GW of new renewable and firming capacity in place by 2030, with 12GW by 2036

Putting the pieces together

Mr Brokhof said AGL, following the release of its Climate Energy Action Plan (CTAP), and a review of the company’s strategic direction, needed to transition not only to renewable generation, but investment into firming capacity to ensure energy supply for their customers.

“The successful transition of a CO²-exposed company to a lowcarbon generation fleet is probably one of the most challenging jobs AGL needs to do, but also one of the most exciting jobs,” Mr Brokhof said.

Part of a trial within AGL’s procurement department is the scaling and building of Indigenous supplier capabilities.

“We are willing to take the step and build up capabilities of Indigenous suppliers in order to make this happen,” Mr Brokhof said.

“All our wishes for Indigenous content and Indigenous suppliers, we also put into the contractor tenders. This means if somebody provides a service to AGL, they have an indirect commitment – if they don't have one already – to also employ Indigenous people.

“So there becomes a chain of Indigenous employment and closing the gap in our contextual relationship.”

Restructuring industry

Alongside its Energy Hub plans, AGL already has a few fingers in renewable energy pies; it owns wind and solar farms, batteries, and is studying the feasibility of green hydrogen hubs. Mr Brokhof was firm in his belief that the move to renewable energy in the regions will require a structural change and that industry and governments need to work together to ensure the transition creates new opportunities for the regions.

“In order to make this happen and make it an area without high unemployment, you need all the parties to have a structural plan, how you want to transition the entire region.

“It is not only AGL who must be part of this structural change. It needs all the parties involved, industries, communities and the support of the state and federal governments.”

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“It was clear that in order to give a future to the company, we need to invest heavily in renewable generation.”

Mr Brokhof said it was important for AGL to have a vision for the changing sites, and how they will look in the future to ensure people will follow and want to be part of the journey. Creating these new opportunities for the community and workforce was something Mr Brokhof spoke of passionately.

“I'm accountable for the people overall … so I think the successful workforce transition of society will be another fantastic thing.”

Mr Brokhof is eager to see AGL transition, be part of the changing narrative, and the growth of the company’s circular economies, both as a workforce, and as an energy generator and retailer, with the renewable energy sector as a partner.

In another 50 years, it will have been more than two centuries since AGL lit the first gas lamp in Sydney, and if AGL is firm on its renewable energy and climate commitments, it can secure its place in net zero Australia.

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UNLOCKING BETTER PRACTICE IN SOCIAL LICENCE

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ENERGY TRANSITION

Love it or loathe it, the term ‘social licence’ is being discussed in the boardrooms of energy businesses across Australia. It’s also a hot topic on the lips of government, energy regulators and industry bodies as ‘once in a generation’ transmission development projects progress across our regions. For many, the question being asked is simple: what does co-existence and shared value for transmission and agricultural landholders look like in practice?

Through the Energy Charter – a unique coalition of like-minded energy organisations with a shared purpose and passion for customers and communities – transmission businesses Transgrid, Powerlink Queensland, TasNetworks, AusNet and ElectraNet have collaborated with the agricultural sector to unlock better practice in social licence.

Energy Charter Executive Director, Sabiene Heindl, and Director Innovation, Amy Abraham, who led the collaboration, offer their insights below.

What we heard

Working closely with a Community Outcomes Group (COG) of landholder and community representatives, and research partner KPMG Australia, the Energy Charter’s social licence research included a survey and deep-dive interviews with agricultural landholders across Queensland, New South Wales, Victoria, South Australia and Tasmania, who all shared their experiences of how transmission infrastructure has, or is expected to, impact them.

Significantly, the research validated 33 individual impacts, with visual impacts, financial loss and biosecurity risks most significantly felt by landholders. In particular:

» 58 per cent of surveyed landholders said that transmission infrastructure will result in a direct loss of farmable land or disruption to their land productivity

» 60 per cent also believe that transmission infrastructure will impact their use of machinery or equipment

Overall, landholders also expressed disappointment and frustration with the methods and quality of engagement they had participated in.

However, it’s not all bad news. From this research, the Energy Charter’s Better Practice Social Licence Guideline was born. By validating impacts and identifying opportunities to improve outcomes for agricultural landholders, the Better Practice Guideline will support transmission businesses to better understand and act on the factors that contribute to building trust and maintaining social licence with agricultural landholders and their communities. The evidence-based Better Practice Guideline reflects a genuine and shared commitment from industry collaborators to ensure that the lived experiences of agricultural landholders remain front and centre in informing the industries’ collective understanding of both impact and opportunity.

The Better Practice Guideline provides a checklist of practical actions and activities required to minimise impact and meet landholders’ expectations, along with a range of better practice opportunities, detailing the actions and activities transmission businesses should look to progress, align to and build on, to deliver shared value and build social licence.

In many cases, these actions align to the existing commitments or aspirations of the transmission businesses involved, with the ‘lighthouse’ examples featured showcasing where innovative practice is already underway to better manage impact and provide benefit to landholders and their communities.

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The social licence connection

The Better Practice Guideline was developed through the frame of social licence.

By applying a social licence lens, we were able to see how individual impacts, actions and relationships add up and affect the building of trust and acceptance.

Importantly, through this unique collaboration we were also able to bring consistency to the energy industry’s understanding of how social licence is built and maintained.

The concept of a social licence to operate emerged in the late 1990s, as affected communities and governments required the mining industry to increase its focus on social obligations and corporate social responsibility programs. It is now considered a key condition for many other industries, including in the energy sector.

The Better Practice Social Licence Guideline defines social licence to operate as a concept that reflects community acceptance or approval around the operations of an organisation and its developments. Community acceptance comes from prioritising trust, delivering overall positive impact and is granted and denied by the community in line with their social, political and economic conditions. However, establishing social licence to operate is not simple due to it being based on the diverse values, interests and concerns that contribute to community expectations and as such requires the consideration of relational aspects between the industry and communities, industry affects, community understanding and confidence in a particular project.

Informed by research and discussions with landholders, four key principles have been identified as fundamental to transmission businesses building and maintaining social licence with affected landholders and their communities:

1. Procedural fairness: giving affected landholders and communities reasonable opportunity to engage with decision making that can, or will, impact their lives and livelihoods

2. Distributional fairness: considering equity across tangible and intangible outcomes for affected landholders and communities

3. Stewardship: acting as stewards of land and communities through the planning and development of transmission infrastructure

4. Partnership: working with landholders and their communities in partnership to deliver positive outcomes for people and land

Key findings

As Australia moves rapidly towards our renewable energy future, a growing number of agricultural landholders are being approached to host electricity transmission and other energy infrastructure, on their land.

Energy Charter signatories recognise that these transmission development projects, as well as the maintenance of existing infrastructure, can impact agricultural operations and lives and livelihoods of agricultural landholders. They also understand that they have a responsibility to recognise and minimise these impacts and work towards shared value outcomes for everyone.

In simple terms, this means applying a genuine and consistent commitment to mitigating significant impacts, providing meaningful benefits and meeting the engagement needs of landholders and their communities.

However, social licence exists on a spectrum and is dynamic. It can be weakened and strengthened by the actions of businesses and communities at any point within a project lifecycle. For long, linear transmission projects that can run for hundreds of kilometres, impacting on dozens, if not hundreds of unique communities, acceptance, understanding, trust and confidence in an organisation and its developments can vary significantly. Social licence lost in one community often influences how the organisation and its developments are viewed in their entirety.

Critically, landholders’ experience of transmission infrastructure developments and their impacts is significantly influenced by the way they are engaged. Landholders strongly believe that transmission businesses need to spend time getting to know the land, the people and their needs, to facilitate better outcomes for all parties. It’s also critical to acknowledge transmission investigations, construction and maintenance activities can have serious impacts on land condition, productivity and livestock if potential disturbances are not proactively and diligently managed.

A final note on collaboration

There is absolutely no doubt that transitioning to a lowemissions future needs collaboration with customers and across the energy sector. We must be willing to come together to share knowledge and insight from all sides and, importantly, to proactively co-design customer-led solutions.

At the Energy Charter our role is to encourage the difficult conversations and to amplify customer and community needs. To bridge the gap between ‘hard-to-do’ and ‘can-do’; to go beyond what any one of us could achieve alone. For us, the opportunity is to keep humans at the centre of the design and delivery of energy solutions; to navigate the changing needs of customers and communities as we transform to a cleaner energy future.

The Better Practice Social Licence Guideline is just one example of what can be achieved when businesses come together and work across sectors to unlock better practice. We encourage others to take the lead from this collaboration; to take a whole-of-sector view; to collaborate, innovate and strive for better.

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The Better Practice Social Licence Guideline is available at theenergycharter.com.au.
ENERGY TRANSITION 23 www.energymagazine.com.au June 2023 ISSUE 22

SNOWY 2.0: THE CRITICAL STORAGE ENABLING OUR RENEWABLE ENERGY FUTURE

Sometimes you have to move mountains to achieve big ideas. In the case of Australia's Snowy Mountains Scheme, that was true when the visionary project was first being delivered. It’s just as true in 2023, as Australia stands at the precipice of enormous changes to our energy market.

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The original scheme, described as one of the engineering wonders of the modern world, involved tunnelling through rock to create 145km of interconnected tunnels and 80km of aqueducts. It was an awesome feat of engineering that unlocked wealth, along with regional and economic development in Australia.

In 1949, on the heels of WWII, local crowds and government officials gathered in the mountain town of Adaminaby to celebrate the Scheme’s first blast. As rain and light snow cleared, Australia’s prime minister Ben Chifley proclaimed that Australia was “on the threshold of a new era of great industrial and rural development”.

Australia was being reshaped, and post-war reconstruction required new thinking and ambitious projects. European migration, the introduction of unemployment programs and a renewed focus on economic diversification kicked off a period of urbanisation and industrialisation. Our growing cities needed power, our inland cropping and grazing country needed reliable irrigation and the Snowy Scheme became a nation-building initiative.

The new era

Fast forward to today, as we embark on another great era of transformation and innovation, this national icon, through Snowy 2.0, is again at centre stage.

Some of the challenges are new, like decarbonising our economy and reaching net zero, while maintaining reliable baseload power, but all require similar levels of ambition and ingenuity. Australia is poised to change the way we generate energy, the minerals we mine and the goods we manufacture as well as the vehicles we drive.

Key to future success is our electricity supply. We must have enough to meet growing demand and ensure its reliability.

The Australian Energy Market Operator (AEMO) has made the challenge clear. It anticipates in its 2022 Integrated System Plan that we will add nine times the amount of wind and solar to the National Electricity Market (NEM) by 2050, and we will need an additional 45GW of storage of all types to keep the lights on.

This means that the NEM is rapidly undergoing a fundamental transformation, from a centralised grid, underpinned by a relatively small number of larger and older fossil-fuel driven generators, to a more complex, decentralised system of many smaller wind, solar, storage and peaking gas units.

STORAGE AND SOLAR 25
Image credit: Snowy Hydro Ltd.

As the NEM evolves to include far more renewable generation, Snowy 2.0 will act as an enormous battery, storing excess renewable energy and then filling a critical need by generating power to smooth out the peaks and troughs of volatile, intermittent renewable generation. Snowy 2.0, which will link the existing Tantangara and Talbingo reservoirs through 27km of tunnels and a new underground power station, will unlock the ability to run for seven days continuously before recharging. It’s proven technology, using reversible pump turbines to generate when demand is high and then pump the water back to the upper reservoir (Tantangara) when there is an excess supply of renewables in the system. This ‘deep storage’ capability is critical to providing reliable, clean, renewable power to approximately 500,000 Australian homes simultaneously, as well as businesses and industry. It will help provide energy security, especially in periods of wind droughts or extended overcast conditions that impact solar generation.

Unlike conventional batteries, Snowy 2.0 will provide this storage for at least 100 years using existing dam infrastructure, and without requiring a substantial new footprint, creating hazardous waste or unnecessary environmental pollutants.

The project is also doing its share of the heavy lifting to achieve Australia’s emissions reduction targets. As the largest committed renewable energy project in Australia, Snowy 2.0’s 2,000MW of fast-start generation and 350,000MW/H of energy storage will significantly reduce Australia's dependence on fossil fuels. Further, it will have a multiplier effect as visionary storage assets like Snowy 2.0 are required to unlock investment in more renewable projects.

Of course, Snowy Hydro is already underpinning industrial-scale clean energy initiatives, by purchasing more than 5.4 terawatt hours annually (more than 1,650MW of installed capacity) of renewable energy from wind and solar projects through long-term offtake contracts. Combining cost-effective solar and wind energy with Snowy Hydro’s on-demand hydro-electricity allows us to offer our customers firmed, affordable, reliable and clean energy.

Snowy 2.0 will also help manage the baton hand-off from the grid’s aging thermal workhorses to the flexible resources of Australia’s energy future.

However, delivering this vision and addressing the major challenges of the energy transition do not come with a simple snap of the fingers.

Snowy 2.0’s resilient future

As was the case with the original Scheme and with every other major piece of infrastructure, delivering ambitious projects like Snowy 2.0 require determination and resilience. There have been challenges to overcome, including some – like devastating bushfires, along with the COVID-19 pandemic and its associated resourcing and supply chain impacts – that could never have been anticipated.

Fortunately, the project’s complexities are being actively managed by an expert and experienced team. As 2,200 workers across multiple active worksites navigate sensitive mountainous terrain, we are drawing on world-leading engineering design and construction expertise, along with the deep knowledge embedded in Snowy’s DNA, curated over decades by operating the Snowy Scheme responsibly in Kosciuszko National Park.

Snowy 2.0 is making solid progress across key work fronts, despite the complexities of this renewable energy mega project. Tunnel boring machine (TBM) Lady Eileen Hudson has completed the 2.85km main access tunnel down to the site of the underground power station and is now being prepared to excavate the 6km tailrace tunnel to feed into Talbingo Reservoir. TBM Kirsten has almost completed the adjacent 2.9km emergency, cable and ventilation tunnel, where it has also reached the location of the power station cavern. We are also excavating a series of cross

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Image credit: Snowy Hydro Ltd.

tunnels and passages and will shortly commence the drill and blast excavation of the power station cavern complex – a major milestone. TBM Kirsten will soon be modified to begin excavating the very steep inclined pressure shaft. This process will set a new global tunnelling standard, with the TBM progressively installing a lining of special concrete segments designed to withstand enormous water pressures.

Excavation of water intakes at Talbingo and Tantangara is progressing well.

Meanwhile, in the headrace tunnel at Tantangara, TBM Florence hit soft and unstable ground, conditions exacerbated by persistent wet weather in 2022. The TBM has been temporarily halted approximately 150m from the tunnel entrance, as the project team works on stabilising approximately 15m of weak material ahead. Drilled cores show the TBM will move forward into harder rock, after which we expect normal tunnelling can resume. Importantly, the integrity of the tunnel, which is supported by a concrete lining and steel ribs, has not been compromised, and nor has the capacity of the TBM.

Our team of world-class engineers, construction, technical and supporting services workers are firmly focused on delivering this project safely and effectively, while minimising its impact on the surrounding environment.

As Snowy 2.0 progresses through major milestones and continues to make an enormous contribution to the Snowy Mountains regional economy, we look forward to writing a new chapter in the Snowy’s rich history. From an early dream to move water from east to west and to harness the power of Australia’s mighty rivers, the deep storage capability being built now as part of our integrated energy business will reduce volatility in the market, support reliability and bring down power prices for Australian families and businesses.

Just as the original Scheme changed our nation for the better, Snowy 2.0 will power Australia’s future, keeping the lights on and providing for the energy needs of generations to come.

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Image credit: Snowy Hydro Ltd.

NAVIGATING THE FUTURE OF RENEWABLE ENERGY STORAGE

Australia has unmatched renewable energy sources and is well placed to meet the growing demand for secure and affordable energy. But as the generation mix continues to evolve over the coming decades, significant investment in a range of storage options will be required. CSIRO recently released the Renewable Energy Storage Roadmap, which represents a milestone in identifying the diverse portfolio of storage solutions needed to support Australia’s energy transition.

The comprehensive report examines the role of storage for seven Australian sectors, highlighting specific challenges, technology options, and scaleup recommendations.

Bolstering Australia’s net zero ambitions

As Australia moves towards a net zero emissions future, the energy sector is evolving rapidly. The share of variable renewable energy (VRE) in the grid is increasing – mainly in the form of wind and solar photovoltaic.

At the same time, demand for electricity is growing rapidly, as transport and building sectors become electrified. Roadmap modelling indicates that we could require ten to 14 times more energy storage capacity in the National Electricity Market by 2050. The challenge we face is how to navigate the transition and move to a decarbonised society, while maintaining an energy supply that is affordable and reliable.

CSIRO Chief Executive, Dr Larry Marshall, noted new technologies would be needed to increase penetration of renewables and stabilise the grid while we build utility scale storage capacity.

“Over the long term, storage will accelerate the integration of renewables, enhancing grid stability and reliability, and supporting decarbonisation of industries,” Dr Marshall said.

“All pathways to net zero share one thing in common: a massive increase in storage capacity.”

CSIRO’s Renewable Energy Storage Roadmap builds on prior publications and scenarios to examine the role of traditional storage technologies, such as batteries and pumped hydro.

Meeting Australia’s future energy needs is a complex challenge that cannot be solved with a single storage technology. All forms of energy storage must be on the table for consideration, including mature technologies such as batteries and pumped hydro and emerging technologies such as hydrogen and thermal energy storage.

Tackling sector-specific challenges

CSIRO’s approach to research is a collaborative one, and the Renewable Energy Storage Roadmap was developed in consultation with more than 50 government, industry and research organisations.

Australian Renewable Energy Agency (ARENA), CEO, Darren Miller, welcomed the Roadmap, highlighting the critical need to

increase the level of energy storage across the system.

“ARENA has invested more than $500 million across batteries and storage technologies, playing a major role in increasing the options available to meet Australia's medium and long term storage needs by supporting a range of emerging technologies," Mr Miller said.

BHP, Head of Sustainability Innovation, Ingrid Oyarzun, said BHP was proud to be part of CSIRO’s Renewable Energy Storage Roadmap.

“We recognise our role in collaborating with researchers and governments to achieve progress in managing the challenges of climate change,” Ms Oyarzun said.

GHD Future Energy Leader – Australia, Malcolm Rushin, said GHD was pleased to support the Roadmap as they had long recognised the pivotal role of energy storage in accelerating Australia’s energy transition and the scale of investment required.

“The Renewable Energy Storage Roadmap outlines some emerging technologies which offer the potential for lower cost storage, which is the missing piece in the reliable power supply puzzle,” Mr Rushin said.

The Roadmap reveals a range of significant sector-specific complexities that need to be addressed.

Despite widespread consensus that increased storage can support the decarbonisation of a range of industrial processes, sectors face diverse challenges in integrating renewable storage technologies.

These challenges are compounded by a lack of commercially mature storage options, uncertainties around future infrastructure and rising technology costs.

Sectors that are explored within the Roadmap include:

» Major grids

» Large-scale, isolated grids: remote mining

» Isolated microgrids: remote communities

» Mid-temperature industrial processes: manufacturing

» High-temperature industrial processes: alumina refining

» New energy exports: hydrogen

» Transport: heavy-duty hydrogen vehicles

The report analyses technology selection and deployment considerations for each sector and examines technology options for specific applications. Analysis is supported by case studies and levelised cost of storage (LCOS) calculations where possible.

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STORAGE AND SOLAR SPONSORED EDITORIAL

Supporting complex decision making Australia is a world leader in solar energy, and we benefit from a wide range of existing storage technology options. Each of these has different strengths and weaknesses, and levels of maturity. We’re now in the exciting position where many developing technologies are on the cusp of commercial viability.

However, the range of end use applications for storage technologies in Australia is enormously varied: not just at sector level, but regionally and even across individual sites.

CSIRO Energy Director, Dr Dietmar Tourbier, said the Roadmap is a major step towards pinpointing fit-for-purpose solutions for energy storage.

“For example, batteries may be the best option for local and short duration storage of electricity. While thermal or heat energy (like steam) might be technology better suited for heat intensive industries,” Dr Tourbier said.

“Co-investment is required across the system to accelerate technology commercialisation and scale up across a diverse portfolio of energy storage technologies.”

That means the decisions about how and where to invest are enormously complex. Site and regional factors can affect the requirements, costs, risks and integration considerations for any given storage system.

Investing in a pipeline of projects

The urgent message that can be drawn from the Roadmap is the pressing need for investment of scale across a wide range of renewable energy storage technologies.

To accelerate commercialisation and scale up technologies at the required pace, it’s essential that we see collaboration and co-investment from government, industry and research institutions.

“There is no silver bullet for reaching net zero so we need multiple shots on goal, like from renewables, batteries, hydrogen, thermal storage, sustainable aviation fuels, and a host of new science-driven technologies,” Dr Marshall said.

“Reaching net zero is a wicked challenge, we need a robust pipeline of projects that use diverse technologies supported by industry, government and community stakeholders.”

As Australia’s national science agency, CSIRO is ideally placed to support those efforts with reliable, actionable, energy storage research. We’ve been at the forefront of energy storage research for more than 20 years, making strides in battery technology, ultracapacitors, hydrogen and renewable liquid fuels.

CSIRO’s Renewable Energy Storage Roadmap is a robust, evidence-based examination of both the current situation with energy storage in Australia and potential pathways forward. Released ahead of the launch of CSIRO’s Renewable Energy Powerhouse Mission, it provides an important focus point for shared understanding and informed discussion, and will equip Government and industry stakeholders with the tools and knowledge to target investments, implement policies and adopt new technologies.

For more information visit: https://www.csiro.au/en/work-with-us/services/consultancy-strategic-advice-services/ csiro-futures/energy-and-resources/renewable-energy-storage-roadmap

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SPONSORED EDITORIAL STORAGE AND SOLAR
Providing sustainable, reliable, and affordable energy into the future requires a diverse range of renewable storage solutions, which will be used by Australian sectors in different ways.

ARE WE ON TRACK? ON THE ROAD TO 82 PER CENT RENEWABLES

Australia is charging ahead to reach 82 per cent renewable energy supply by 2030 and reduce carbon emissions by 43 per cent below 2005 levels. Dominated by variable wind and solar, these targets require an increase in renewables of more than double the Clean Energy Regulator’s (CER) current output within seven years. Here, we discuss the surge in renewable investments, and the need for genuine engagement from industry and stakeholders to the community.

Federal Energy Minister, Chris Bowen, said the Australian Government’s $20 billion Rewiring the Nation commitment and sound policy settings are fast tracking the historic transition.

"In our first ten months, we have signed big multi-billion-dollar transmission deals with Victoria, Tasmania and New South Wales to connect huge hydro-electric resources and renewable energy zones to the National Electricity Market,” Minister Bowen said.

“Our state and territory-backed Capacity Investment Scheme will unlock around $10 billion of investment in clean, dispatchable power to support the energy grid changes, while industrial decarbonisation will finally begin in earnest thanks to our Safeguard Mechanism reforms.”

Australia has been a world leader in terms of new wind and solar capacity additions per person. We’ve had wins, but there are also challenges we’ll need to tackle to reach this goal. To achieve the nation’s plan, there is an opportunity for the renewables industry to do more to engage

with all stakeholders and boost investment in large-scale wind and solar projects.

Turn around in investment

The Clean Energy Regulator’s (CER) December Quarterly Carbon Market Report (QCMR) highlighted a surge in large scale renewable energy investment and a recovery in rooftop solar installations.

4.3GW capacity of large-scale wind and solar projects reached final investment decision (FID) in 2022, a 50 per cent increase on 2021 with most in the second half of the year (H2).

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STORAGE AND SOLAR

Final investment decision for large-scale renewable generation 2009 to 2022

around 18 to 24-months after construction commences, but reaching full generation will take longer. The step up in large-scale investment needs to happen between now and 2027 to be generating by 2030.

With a proposed large build of transmission in the Australian Energy Market Operator's Integrated System Plan, there will be competition for engineering, procurement, and construction (EPC) contractors and skills/labour. Key component availability and prices for wind and solar power stations are dependent on international supply chains rebounding from pandemic-related constraints. To support domestic industry, the government has allocated up to $3 billion from the National Reconstruction Fund to pursue commercial opportunities for renewables and low emissions technology development and manufacturing.

Fortunately, there are many large international renewables developers in Australia who have proven intent to invest here, supported by the favourable investment environment.

Genuine engagement

A new large-scale investment boom cycle may be forming, similar to that observed in 2016-2018 when the industry delivered a significant increase in investment to meet the 2020 Large-scale Renewable Energy Target, see [Figure 1.0].

There are promising signs for the rooftop solar industry as well, which rebounded strongly across the second half of 2022 resulting in 2.8GW installed capacity. Australian households are increasingly embracing renewable energy solutions. Rooftop solar is an attractive investment for consumers combating rising energy costs. Zero interest loans may entice new purchases as interest rates increase.

The increase in total renewables investment in H2 2022 was a good start to Australia’s journey to 82 per cent renewables.

The need to step up

To enable a further sustainable increase in large-scale wind and solar, further investment is needed in the grid and big batteries.

The New South Wales Eastern-section of Project EnergyConnect – the 900km long interconnector between Wagga Wagga in New South Wales and Robertstown in South Australia – is under construction. On track for delivery by 2025, it’s received Australian and New South Wales Government

approval and will facilitate energy sharing between New South Wales and South Australia for the first time.

The Australian Renewable Energy Agency (ARENA) has announced $176 million in funding for eight grid-scale battery projects across Australia. These batteries will be equipped with grid-forming inverter technology that provides essential system stability services. ARENA and the Department of Climate Change, Energy, the Environment and Water are also delivering 400 smaller community batteries to help lower electricity bills, drive down emissions and ease pressure on power grids.

All the signals are there for an increase in investment. Government targets, early exit announcements of coal fired generation and high wholesale electricity and large-scale generation certificate prices are positive signals. Key enablers will be ARENA investment in large scale batteries and proposed major grid upgrades.

The challenges

Large scale generation – from concept to first generation – takes time. There are many steps to go through including design, consultation, gaining development and connection approvals, obtaining financing and construction. As projects get larger, for example the New England Solar Farm, they may reach some level of first generation

A critical success factor to boost investment in large-scale wind and solar projects is early and genuine engagement with all stakeholders. At the New England Solar Farm, east of Uralla on the lands of the Anaiwan and Gumbaynggirr people, which opened in March this year, Minister Bowen said, “Renewable energy and agriculture can not only coexist, they are inevitably intertwined partners in the future decades of our country.”

CER Executive General Manager, Mark Williamson, said genuine early engagement with First Nations peoples is critical.

“Australia’s transition to renewables requires genuine consultation with First Nations peoples and ensuring they have adequate input in the planning process by integrating their skills and knowledge,” Mr Williamson said.

“This is critical in understanding and respecting the landscape, identifying cultural heritage sites, and providing improved access to such sites.”

Other key stakeholders include landholders, councils, community groups and local politicians.

There’s much to be excited about in Australia’s renewable energy industries. CER will continue to report on investment trends and outcomes in our QCMRs.

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31 STORAGE AND SOLAR
Prior to the setting of the RET 2009 – 2015 6 5 4 3 2 1 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Consolidation period 2019 – 2020 Boom period 2016 – 2018 Renewed growth? C a p a c t y ( G W )
Figure 1.0: FID graph for EM 329DPI.

THE IMPORTANCE OF STORAGE IN OUR TRANSITIONING POWER MARKET

32 STORAGE AND SOLAR
Alex Cocks, Energy Team Associate, PwC

By 2050, the Australian Energy Market Operator (AEMO) currently forecasts a requirement for more than 30 times the current amount of storage in the National Electricity Market (NEM) or at least 46GW of dispatchable storage (16GW expected to be utility-scale chemical battery and pumped hydro).1 At the utility-scale level, this represents in excess of $35 billion of investment.2 What is critical in this deployment is an appropriate mix of long-duration (‘deep’ storage, over 12 hours), mediumduration (between four and 12 hours (inclusive) and short-duration storage (‘shallow’ storage, less than four hours, with one to two hours currently most economic). This 46GW represents an enormous investment opportunity for infrastructure investors. Whilst energy storage systems can provide a diverse array of power market services over and above mere electron dispatch, a flexible, reliable, diverse and sufficiently deep NEM storage fleet which reinforces system stability is key as the retirement of ageing baseload thermal (coal and gas) generation continues to accelerate.

Currently, economically-viable energy storage comes in two forms; chemical batteries which dominate the broader market in shallow utility-scale and residential storage systems and pumped hydro which currently leads long-duration applications. Recent years have seen significant reductions to the capital costs for chemical Battery Energy Storage Systems (BESS) and resulted in widespread deployment at greater capacity sizes (from 50MW to 400MW), some with design flexibility to scale to four hours (when it becomes economically viable). There are a number BESS3 chemistries available with Lithium Iron Phosphate (known as ‘LFP’) currently the most deployed for utility-scale, stationary storage.4

In the NEM, BESS currently generate revenue through two distinct markets: energy arbitrage and Frequency Control Ancillary Services (FCAS). The former leverages a battery’s ability to ‘shift’ dispatch through time to take advantage of intra-day patterns in the electricity spot price and effectively mimic a traditional merchant generator by dispatching during periods with favourable/ higher pricing (and charging the BESS during periods of lower pricing, thus making a spread). FCAS utilises a battery’s powerelectronic ability to rapidly respond to network dispatch signals to correct frequency imbalances and support system security. Historically, FCAS has been the dominant revenue source for BESS, accounting for around 80 per cent of total battery revenues. More recently however, the first three quarters5 of last year showed a reversal in this trend with energy comprising 60 per cent of BESS revenues, consistent with significant appreciation in wholesale electricity spot prices and volatility in the market. Electricity rule makers are expected to continue to incentivise the deployment of technologies capable of providing these services by creating new ancillary service revenue streams such as Fast Frequency Response6 that will further enhance BESS revenue stacks and improve the bankability of battery projects. That being said, there is a finite requirement in the power market for these services, for example with the current total NEM requirement being relatively small and varying by service, from as little as 215MW for regulation FCAS to over 650MW for some contingency services.

The benefit of BESS

Batteries are highly flexible and can be tailored to suit the operations of different market players and their various revenue models and risk profiles. Differing revenue strategies produce diverse systems that vary in both size (i.e. power) and depth (i.e. storage duration); however, BESS can be split into two broad categories based on whether the system is coupled with generation.

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Australia’s path to achieving net zero emissions by 2050 is one paved with both opportunities and challenges for investors. The increasing penetration of variable renewable energy generation is calling for unprecedented levels of dispatchable storage across all generation technologies to ensure reliable delivery of power. Whereas with spinning fleet we can store energy in a coal stockpile, gas linepack, or a hydro reservoir, technology has now advanced to store generated electrons at scale for wind and solar plants.

Transmission and distribution businesses – Network Service

Providers (NSPs) – typically prefer standalone BESS (that is, BESS directly connected to the grid) at strategic points in their network. Substation connected standalone BESS are also favourable for investors where the BESS is providing firming within the regional reference node. For NSPs, standalone BESS can create some redundancy in their network availability/performance and NSPs can use the BESS to provide important power-electronic, ancillary system services to keep the network stable. By contrast, proponents of existing large-scale renewable plants (e.g. solar and wind farms) are increasingly integrating utility-scale BESS behind an existing grid connection point – or ‘behind-the-meter’ (BTM). In doing so, proponents can ‘firm’ (up) their intermittent renewable supply by dispatching the electrons stored in the BESS when the sun isn’t shining or wind isn’t blowing and/or ‘time shift’ the shoulder peaks of the day, while taking advantage of daily variations in the spot price, optimising the revenue of hybrid renewable plants.

The advantages of this BTM approach are the ability to leverage existing plant components (predominantly switchgear), and to seek to optimise network tariff charges through BTM charging (for projects connected to distribution networks).7 Most prominent however, is the (apparent) avoidance of a timely and costly new grid connection process required to establish a new connection point (a BTM connection can be made under clause 5.3.9 of the National Electricity Rules (NER) (5.3.9).8 Although within the spirit of the NER and promising in theory, the time and cost saving merit of a 5.3.9 approach is yet to be seen in the market, with NSPs and AEMO typically undertaking an extensive re-assessment and commissioning of the entire hybrid facility. This is particularly challenging when in the intervening period extensive changes have occurred with respect to technical requirements in the NER, PSSE or PSCAD models and/or the configuration of, or connections to, the network in proximity to the existing connection point. With this in mind, some Engineering, Procurement & Construction (EPC) contractors are tending to disagree with proponents on mutually, commercially-acceptable, risk allocations.

Understanding the utility-scale generation market

The last five years of NEM activity have highlighted grid connection risk as the most prominent cause of delays and overruns. The grid connection process is a well-known hurdle to new generators achieving full commercial operation. Among other things, the process defines the Generator Performance Standards (GPS), a set of technical specifications/requirements of how the plant will run, which the generator must uphold once in operation, else receive non-conformance notices. These standards are negotiated with AEMO and the relevant NSP for the purposes of ensuring the connecting equipment does not adversely affect the network. Depending on the location, new PSCAD and PSSE modelling and other costs associated with a new connection application can cost in the order of $350,000-$500,000 in the period to connection offer.

It comes as no surprise that proponents try to avoid a new connection process wherever possible; however, procuring a BTM BESS still requires modifying the connection point and compliance with 5.3.9. As above, with proponents and EPC contractors at risk of NSPs and AEMO taking a broad interpretation of 5.3.9 and its requirements, mutually acceptable risk allocations can sometimes be difficult. Proponents are typically subject to risk requirements from existing financiers that govern the permissibility of any variation to the existing plant. Likewise, EPC contractors often act as intermediaries between Original Equipment Manufacturers (OEM) and proponents and lack full control over the equipment (and performance of the existing equipment (e.g. solar or wind components) previously installed behind the connection point) as well as the technical capacity required to manage risk of this nature. Consequently, EPC contractors will often limit their exposure by only passing-through the underlying warranties and performance standards of the BESS OEM. As above, we have observed EPC contractors being generally adverse toward bearing risk relating to the compliance testing and commissioning of the existing wind/solar plant, both on a standalone basis and as a hybrid facility. More specifically, responsibility for the replacement of the Power Plant Controller and hold point testing are common sticking points that slow or prevent progress. While proponents want EPC contractors to be accountable for adverse outcomes where EPC contractors are necessarily disturbing the existing equipment behind the connection point, EPC contractors do not want to absorb any latent risks intrinsic to the existing plant.

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34 STORAGE AND SOLAR

Currently, the elevated state of the BESS procurement market further exacerbates this risk-tolerance gap with a few EPC contractors currently inundated with BESS contracting opportunities and OEMs at manufacturing supply capacity. This situation coupled with restricted human resources to assess contracting opportunities can lead to EPC contractors favouring ‘easier’ jobs, choosing to not participate in equipment tenders, seeking sole-sourced work with proponents with whom they have previously worked and favouring entirely greenfield hybrid and standalone BESS developments with less complex risk allocations (rather than BTM hybrid retrofits). Notwithstanding a ‘tight’ contracting market, the sustained stream of development announcements suggests substantial value remains for those that can effectively navigate the environment through various means.

Managing the risk

When it comes to procurement, it is important to recognise the magnitude of any hurdles early on to save on costs and time in negotiating with potential EPC contractors. In doing so, proponents can focus efforts on more suitable parties and identify what options exist to promote reaching a mutually, commercially acceptable position. More complex projects will experience a more narrowed pool of suitable parties that may reduce the competitive pressure necessary to achieve efficient outcomes in delivery. As such, proponents can benefit by engaging with certain market players that feature favourable structures that promote flexibility. Those OEMs who also operate in the EPC market boast greater confidence in their technical assessments and solutions, in particular, those who have manufactured the existing components (i.e. the existing wind/solar system) and may be more likely to take on the risk.

Early Contractor Involvement (ECI) packages are another way of de-risking and/or quantifying the risk. A benefit of ECI works is that it can be tailored to address EPC contractor-specific issues and may be carried out before a long-form EPC contract is finalised. Certain EPC contractors will negotiate ECI packages towards different focuses and to varying extents but generally aim to de-risk obligations relating to GPS acceptance, system strength requirements, reactive compensation and harmonic filter requirements, interface risks and hold point testing. In doing so, proponents may improve cost certainty; however, achieving a commercially viable position may still be inhibited by other factors such as the existing switchgear.

The connection equipment at existing solar/wind farms is not always sufficient to accommodate a BESS of commercially viable size without significant augmentation. In some cases, the benefit of sharing existing switchgear is not outweighed by the cost of potential delays from modifying the existing connection point and it remains to be fully tested whether BTM hybrid BESS installations provide a material cost and time benefit compared

References:

to the onerousness of a new grid connection process. Due to the relatively low cost of grid interface and connection assets for batteries, some proponents may prefer to establish a new and separate connection point via a side-by-side to the existing wind/solar farm approach. Notwithstanding uncertainty with 5.3.9, this method may yield less complex risk allocations and greater flexibility in operation; however, the impact on timelines remains unproven. Proponents should therefore exercise caution in determining the connection approach and engage with relevant experts as needed to ensure timely delivery and reduce the likelihood of unforeseen costs.

The opportunity

Australia’s transition to 100 per cent renewable energy by 2050 cannot be achieved without widespread deployment of diverse energy storage systems to ‘firm’ intermittent renewables and provide critical system services in the absence of thermal coal and gas generators. With this need comes opportunity, with BESS currently representing one of the most accessible ways for market players to take advantage of intraday price movements and tap into evolving markets that protect sovereign energy security. Proponents of solar/wind farms (both existing and developing) are well positioned to benefit from battery systems if they can effectively navigate the various aspects of procurement to fully realise their promise.

The connection approach requires deliberate planning to understand the complexity of the hybrid system and identify any constraints early in procurement. Proponents can then engage with the parties best suited to manage risks and utilise ECI packages to facilitate greater risk transfer and support a timely project delivery. In doing so, proponents can capitalise on a 46GW in excess of $35 billion opportunity that complements existing assets, offers diverse revenue stacks and promises long-term returns as renewables contribute a greater amount to Australia’s energy needs.

Katie Barnett is a partner in PwC Australia's Energy Transition Deals and M&A team providing commercial, financial, transactional and power market advisory services to PwC's clients. Having completed $18 billion worth of deals and more than 50 transactions, Katie has deep utility-scale, renewable energy, power markets and M&A experience across development, construction and operations in all economically feasible renewable technologies.

Alex Cocks provides commercial and financial advisory services to the clean energy sector.

1. AEMO, 2022 Integrated System Plan, Figure 23 Forecast of MW storage capacity and energy storage capacity, Step Change, p. 54.

2. In 2022 dollars, assuming a mix of chemical batteries (75 per cent) and pumped hydro (25 per cent) with 4-8 hour duration, based on $/kW costs from Graham, P, Hayward, J, Foster J and Havas, L 2022, GenCost2022-23: Consultation draft, CSIRO, Australia.

3. Lithium Iron Phosphate (or LFP), Lithium Nickel Cobalt Aluminium Oxide (or NCA), Lithium Nickel Manganese Cobalt Oxide (or NMC) and others in development including ‘flow’ battery chemistries such as Vanadium Redox and Zinc-Bromine.

4. International Energy Agency, 2022 Grid-Scale Storage Tracking Report.

5. South Australia experienced an islanding event in Q4 2022 following a transmission tower failure, leading to extremely volatile FCAS prices without the support of imports.

6. The Fast Frequency Response market ancillary service arrangements are expected to commence operation in October 2023.

7. At the transmission network level, proponents of energy storage projects are able to request negotiated transmission services and bilaterally negotiated charges with the TNSP.

8. Another potential benefit of the BTM approach which will become available with the implementation of the new Integrated Resource Provider participant category is aggregate dispatch conformance.

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35 STORAGE AND SOLAR

COMMERCIAL INVERTER SOLUTIONS REDUCING ENERGY COSTS

In Australia, energy prices have been consistently rising, which continues to drive homeowners and businesses to look at ways of reducing their energy consumption and investing in solar systems.

Afamily-owned business, Allprint Graphics, in Sydney has been providing innovative printing and graphic communications services for over 60 years. Looking to reduce their rising energy bills and reduce their carbon footprint, they approached Solahart Sydney to analyse their energy usage and design a solar system to manage their energy costs.

Solahart Sydney is part of the Solahart/ Rheem family and has provided families and businesses with solar products for over 70 years.

The Solahart team designed a 99.9kW roof-top mounted solar system incorporating over 200 450W Solahart SunCell Plus panels, a FIMER PVS-100 string inverter, and a smart Solahart Energy Management solution to monitor solar energy production and energy usage.

Maximising return on investment

FIMER’s PVS-100 is an Italian-designed and manufactured all-in-one high-power string inverter. It is the best solution for businesses needing to maximise their investment return for large, decentralised roof-top installations. The PVS-100 inverter installed at Allprint Graphics has six MPPTs enabling greater design flexibility and energy yield. The system can also be ordered with two MPPTs for applications where the inverter is located far from the solar panel array.

Nathan Vale, Sales Manager at Solahart Sydney, said, “Solahart and FIMER have had a strong partnership delivering quality solar solutions to homeowners for many years.

“We are proud to continue this partnership with FIMER by delivering premium solutions to our commercial customers.”

To find out more visit www.fimer.com/anz

Jason Venning, FIMER Country Manager – Australia and New Zealand, said, “FIMER’s PVS-100 has been a popular choice for installers in Australia for the past five years, with a large installed base around the country and globally.

“The solution allows customers to choose a proven, reliable and flexible inverter, regardless of whether you need to install only one unit for a 99.9kW solution (to fall within the STC threshold) or combine multiple PVS-100s for a larger solar system.”

Since the installation and commissioning in October 2022, Allprint Graphics’ solar system has generated over 65MWh of energy. The system is estimated to reduce their annual electricity consumption by 42 per cent saving them more than $17,000 annually, offsetting approximately 128.5 tonnes of CO2 annually.

June 2023 ISSUE 22 www.energymagazine.com.au 36 STORAGE AND SOLAR SPONSORED EDITORIAL
FIMER is one of the world’s largest renewable energy equipment suppliers, with a presence in over 20 countries and over 1,000 employees worldwide. FIMER specialises in solar inverters and electric mobility systems for any application, its string inverter and electric vehicle charger portfolio is designed and manufactured in Italy, and its central inverters are manufactured in India. In Australia, FIMER employs over 20 staff with offices, a repair centre and a technical support team in Melbourne, Sydney and Brisbane.

Leading the way to a new energy future.

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We are a leading global manufacturer of solar inverters and electric vehicle charging infrastructure for all size applications. Our products and services are based on decades of experience coupled with the dedication and expertise of our specialist teams around the world.

Investing and working in the solar and e-mobility sectors is the right choice to ensure we build a better world to leave to future generations.

Learn more: fimer.com/anz

THE FUTURE OF YOUR POWER BILL

Prices for power are going up rapidly. The price of wholesale power has quadrupled in the last 12 months with gas, coal and oil prices all rising. Liddell is now off and further closures are likely to push prices higher. The Federal Government says renewable power must come online sooner to fill in the shortfall in Australia’s current energy needs. Not only that but we need a great deal more of it to reach the net zero target both sides of politics have committed to. The problem remains however that just how we get to this admirable target is not clear and at this point, it simply is impossible with technologies currently in use.

Firstly, there must be more investment in renewables. The grid needs substantial upgrading over coming years to meet the enormous challenges it will face in getting power to where it is needed. Solar and wind farms need to be built to harness the renewable energy and most importantly, huge storage capability needs to be put in place to cater for both night time power when there is no sun and to back up wind power when there is little breeze to power the turbines. In order to bring truly large-scale solar meeting base load demand to market this expenditure is essential.

Costing consumers

Today, most homeowners are paying around 20 - 25 cents per kWh. The cost of moving away from cheap coal and gas power must be met and no doubt, this cost will be passed to consumers in the form of higher power prices. Twice the cost is unreasonable and would have a major impact on the economy with lost jobs and lower living standards.

Renewable power and storage are seen as today's great saviour but they have their own problems. These include longevity, costs, maintenance and most importantly, the intermittent nature of most forms of renewables and the resultant issues of supplying base load power.

The cost of storage is possibly the most significant problem with renewable energy. Most storage installed today, cycled once per day, would last up to ten years before it would need replacing. This means the actual cost of energy stored and retrieved is something above 20 cents per kWh.

Given the actual cost of supplying the energy has to be taken into account, the transmission of this energy, billing maintenance and profit, it is hard to see the costs of energy to most users being under 40 cents per kWh or about double what it is today.

Sustainable solutions

Solar, with long-lasting batteries, is the best long-term solution for Australian homes and businesses. It is not only viable but advisable to minimise the impact of both current electricity prices along with future rises in this cost. It was a great investment over the last few years, but now the technology is imperative otherwise consumers remain at the mercy of the power providers who, themselves, face enormous challenges in the future.

Sustainable and long-lasting energy storage systems by Zenaji are a suitable option for customers concerned about the rising energy costs. Zenaji manufactures high-quality Lithium Titanate batteries for residential commercial and industrial purposes with the lowest cost per warranted kWh.

June 2023 ISSUE 22 www.energymagazine.com.au 38
STORAGE AND SOLAR SPONSORED EDITORIAL R&J Batteries is a distribution partner of Zenaji and has a nationwide presence with over 24 branches in Australia. For more information about the Zenaji Aeon Battery or the Zenaji Eternity Battery, please visit rjbatt.com.au or call 1300 769 282.
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THE MISSING LINK FOR THE BIOGAS BOOM

Filling the gap between new wave technology coming out of Europe’s thriving biogas market and local energy users looking to harness the power of waste gas is Brisbane-based waste gas to energy specialists, Eneraque.

Eneraque’s state-of-the-art manufacturing hub is bursting with Australian manufactured waste gas to energy technology, propelling the sector to new heights.

Eneraque Director, Jeremy Pringle, said the APAC region is perfectly positioned to take advantage of the ‘biogas boom’, but not without critical consideration of the local climate and conditions, as well as relevant standards and regulatory requirements.

“Companies who have purchased off-the-shelf waste gas to energy technology overseas will usually find it needs to be reengineered and re-built to deliver results and be compliant locally,”

“Our custom approach also allows us to integrate waste gas technologies into existing infrastructure.”

Eneraque's waste gas to energy track record extends more than 40 years, with dozens of successful projects in the APAC region and multiple ‘region-first’ projects, including upgrading biogas to biomethane at Sydney Water’s Malabar Wastewater Resource Recovery Plant for injection into the Sydney gas grid.

This industry leadership allows Eneraque to deliver biogas technologies to an international standard, with the results of recent projects on par with Europe’s most successful biogas plants.

“Our portfolio includes a list of waste gas-to-energy projects for commercial applications including agriculture, food and beverage, landfill sites and wastewater management,” Jeremy said.

Eneraque’s end-to-end service includes consultation, design, engineering, manufacturing, installation, commissioning, operation and maintenance of a site – meaning the client can work with one local provider for the entire project.

Find out more about Eneraque’s end-to-end service at eneraque.com

June 2023 ISSUE 22 www.energymagazine.com.au
40 WASTE TO ENERGY SPONSORED EDITORIAL

FULL STEAM AHEAD FOR WESTERN AUSTRALIA’S WASTE TO ENERGY PROJECTS

Australia has a waste management problem. We produce a lot of it – around 23 million tonnes a year – and our landfills are filling up. As a country, creating a circular economy around waste and energy will be pivotal to maintain sustainable practices into the future. As such, waste to energy facilities are underway to help not only divert waste from landfills and help power Australia, but reduce the impact waste and its carbon emissions have on the environment. One state is leading the way, with two significant projects set to support the capital’s waste management goals and work to support Australia’s transition to net zero.

The 2018 National Waste Report stated Australia’s generation of 23 million tonnes of waste was greater than the average Western economy. Since this report, and the announcement that China is banning imports of solid waste, the Federal Government has worked to create a circular economy paradigm regarding waste with the implementation of its National Waste Policy. With solid investments planned to help improve recycling outcomes compounded by critical infrastructure gaps, waste management facilities will play a large part in reducing the impact of Australia’s waste, and ensure a more sustainable future.

The Australia Bioenergy Roadmap Report, published by the Australian Renewable Energy Agency (ARENA) in late 2021, projected that bioenergy could play a significant part in Australia’s energy production. Under its Targeted Deployment scenario, ARENA modelled that bioenergy consumption could hit 20 per cent by 2050, compared to the 2019-2020 figure of only three per cent.

Across Australia, waste to energy facilities are in various stages of planning and completion, but two major sites in Western Australia are set to show what bioenergy can do.

Kwinana Waste to Energy

Australia’s largest waste to energy project, the $696 million Kwinana Waste to Energy facility (WtE), is located in Perth. Once operational, the site will process 400,000 tonnes of residual waste every year. It was the first Australian waste to energy facility to use thermal moving grate technology.

The Kwinana WtE project partners are Acciona, Veolia and Keppel Seghers.

The moving grate technology, which is more common internationally across Europe and the US, thermally treats the waste, converting recovered energy into steam to produce electricity. There will be two integrated moved grate furnace lines in the facility, that can each process 600 tonnes of waste per day.

The thermal process will create ash by-products, which are used internationally in construction materials such as utilising bottom ash in concrete.

Since its construction commencement in 2018, Avertas Energy, a co-development between lead project organisations Macquarie Capital and DIF, have shared several construction milestones. Since 2023, these include completing the Boiler House’s northern

face, pipes laid in the Cooling Water Pipe Bridge, Electrical Rooms installed, and nearing completion of the Economiser roof and more.

Thanks to the powerful technology, ARENA estimates that Kwinana WtE’s export potential is 36MW of electricity to the grid – equivalent to powering around 50,000 households per year. The waste it will convert to energy means around around 25 per cent of Perth’s post-recycling rubbish is diverted from landfill. The subsequent reduction of 400,000 tonnes of CO2 emissions a year is equivalent to removing more than 85,000 cars off the road.

The Kwinana WtE plant forms a key part in diversifying Australia’s energy supply and reducing the harmful effects of municipal solid waste.

East Rockingham Waste to Energy

The $511 million East Rockingham Waste to Energy facility is a ten hectare site located in Kwinana, in southern metropolitan Perth. Its project partners are Suez and, similar to Kwinana WtE, Acciona. Under construction from 2020, the facility can process 300,000 tonnes of waste and generate just under 29MW of energy per year; the equivalent to powering 36,000 homes.

The large-scale reduction in waste to landfill will help displace more than 300,000 tonnes of CO2 emissions a year.

The facility reached its 90 per cent construction milestone in January 2023, with operation now right around the corner for the last quarter of 2023. Part of the completed works include the grid connection construction to the South West Interconnected System, super heaters, turbine hall, waste cranes and more. The facility will work to divert 96 per cent of Perth’s residual waste from landfill.

Pivotal to East Rockingham’s design; the facility also includes a Bottom Ash Treatment Plant in order to recycle the ash that the site creates and continue the facility’s sustainability and reach its landfill diversion targets.

The East Rockingham WtE will also use moving grate combustion technology to produce energy.

The future of bioenergy

Creating a circular economy around waste is years in the making, with more work ahead. Waste to energy projects will be an important part of the energy transition puzzle, and provide not only a way to reduce emissions and manage waste more efficiently but also pivotal diverse and stable energy generation opportunities as well.

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WASTE TO ENERGY
February construction progress on the Kwinana Waste to Energy facility. Image credit: Avertas Energy

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VIRTUAL ASSET ASSESSMENT: DIGITAL INTELLIGENCE SOLVING NETWORK CHALLENGES

Utilities across Australia and the globe are increasingly turning to the potential of digital data and digital intelligence to assess the condition of assets. The use of digital technologies and data analytics is disrupting traditional business models, changing the way linear assets are designed, built, inspected, and operated.

The COVID-19 pandemic, technological advancements, regulatory changes, as well as the shift towards renewables, and a declining workforce, have created a state of upheaval across industries. The utility sector was slow to adopt automation in the past. However, the recent retirement of experienced workers who are not being replaced has sparked a change in this trend. As the number of industrial assets and the data they generate grows at an exponential rate, utilities are looking for ways to inspect assets with fewer staff.

Rapid assessment processing

When a New South Wales based power utility turned to Altavec’s AIMS Virtual Asset Assessment (VAA) tool, it knew the cloud-based platform could streamline the process of capturing and analysing images of assets. AIMS VAA uses images taken by helicopters, drones, or field inspectors, and automatically associates them with the appropriate assets based on the image metadata. Rapid and streamlined processing takes less than 24 hours with images captured on one day and uploaded and ready to review by the next. This eliminates the need for manual association and makes the process more efficient.

But the technology application goes further, it now accelerates the utility inspection department workflows, optimising asset performance and ensuring networks stay compliant and reliable. The use of Artificial Intelligence (AI), and Machine Learning (ML) algorithms now automated asset inspection within the Altavec AIMS VAA platform. Virtual asset inspections and defect identification are now performed automatically, thus filling the gap created by the shortage of skilled workers.

Insights to recommendations

AI pulls actionable insights from complex data sets and delivers recommendations to inspection teams. For example, AI can estimate an asset's current state based on prevailing environmental and usage conditions without requiring a physical inspection.

Predictive maintenance is now possible, improving asset reliability by identifying risks and providing the information needed to fix critical assets before they fail. The use of ML algorithms for data intelligence is rapidly advancing - consider that ML is like having a team of experts working around the clock to analyse data sets and pull the most valuable insights. The larger the data set, the more accurate the predictions, as machine learning is not biased towards one sample, in fact the more data accessible by the ML algorithm the more accurate the predictions and insights become. Technologies such as ML and AI provide deeper insights into each asset's condition. With this information, maintenance strategies are optimised to increase the assets' lifespan, minimise the need for replacement parts or equipment, and focus the efforts of skilled asset workers.

Real results

Our customer, a New South Wales energy utility, saw its asset inspection program successfully transformed using AIMS VAA. A 40 per cent increase in the number of asset inspections and a 30 per cent savings on current asset maintenance programs was realised. This resulted in measurable operational time and cost savings, improved safety outcomes, and enhanced network accuracy. Better asset management and decision-making was enabled, helping the utility to operate more efficiently and effectively.

An extension of the program is now underway - asset inspections via AIMS VAA now cover an expanded part of network operations, further streamlining maintenance and repair processes, improving customer satisfaction whilst optimising the overall management of network assets.

Network problems solved; that’s the purpose of Tech Mahindra Altavec.

To learn more, please visit www.altavec.com or email solutions@altavec.com.

June 2023 ISSUE 22 www.energymagazine.com.au
44 ASSET MANAGEMENT SPONSORED EDITORIAL

DEVELOPING AN ASSET INTELLIGENCE CULTURE IN YOUR ORGANISATION

Asset management is becoming increasingly complicated. Organisations are faced with ageing infrastructure, rapidly expanding networks, environmental concerns and ever-evolving regulatory requirements. In this landscape, leveraging digital solutions to develop an asset intelligence culture is integral to good asset management. Moreover, businesses that make asset intelligence a cornerstone of their organisation stand to gain a competitive advantage.

Maintaining a properly functioning asset management program is vital to ensuring an organisation maximises the value of its assets and minimises risk.

Poor asset management can lead to a breach of regulatory requirements, create significant safety risks, damage an organisation’s reputation and put a strain on financial resources. This can result in long-term consequences for a business’ profitability. Effective asset management allows businesses to optimise the performance of infrastructure, extend the life of assets, and reduce maintenance costs.

With a strong asset management practice in place, businesses can then direct attention towards identifying and investing in new infrastructure that will meet future demand and improve efficiency of operations.

Increasing populations result in the continued expansion of critical infrastructure networks. Urbanisation and extreme weather events put compounding pressures on ageing infrastructure assets. Meanwhile, all organisations must continuously adapt to changes in safety and environmental regulations.

As businesses evolve, becoming increasingly digitised and data-driven, developing asset intelligence is crucial to a properly functioning asset management program.

The asset intelligence advantage

Through asset intelligence, companies can collect, analyse and utilise data about their assets in order to improve their management. Organisations that foster an asset intelligence culture will have a more comprehensive understanding of the condition and performance of assets, leading to better decision-making concerning repairs, replacements, and upgrades.

Maintaining high-quality location data is critical for assetintensive industries. For instance, the utility industry involves the maintenance of large, complex assets that are geographically widespread. Utility assets are essential to modern society and their reliability and efficiency are critical to the economy and public safety. It is critical that utilities can visualise and track the location of infrastructure assets to ensure fast replacement once they have reached end of life.

Harnessing data on asset performance and utilisation allows organisations to predict when maintenance is required, which is particularly useful for managing widespread network assets. For instance, data can be used to understand when critical infrastructure assets such as roads are experiencing damage and deterioration. Organisations can then carry out maintenance more efficiently, making predictive repairs and reducing the costs associated with checking and accessing sites.

Asset intelligence can also be used to monitor assets in realtime, allowing organisations to detect potential safety hazards, respond quickly to issues and prevent downtime. Periods of downtime not only lead to financial costs and service interruptions, they can also pose safety risks to workers and the public.

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ASSET MANAGEMENT SPONSORED EDITORIAL

Through improved monitoring and auditing of equipment and systems, asset intelligence supports the provision of a reliable and efficient service to customers. This leads to improved customer satisfaction and trust and helps maintain an organisation’s reputation.

An asset intelligence culture also supports organisations in regulatory compliance. In industries such as food and beverage and electricity transmission and distribution, breaches in compliance are very serious and can result in significant fines and reputational damage. Asset intelligence can mitigate risks of compliance breaches by streamlining compliance checks, improving traceability and accountability, assisting with compiling reports and preventing the risk of oversights. Providing a single authoritative source of data that can be updated in real-time also ensures all relevant parties have access to the most up-to-date, accurate and complete compliance information.

Asset intelligence can create a competitive advantage by enabling businesses to make better decisions, reduce costs, and improve operational efficiency overall.

Finding the right solution

Xugo work management software (WMS) can provide the tools required to develop an asset intelligence culture in your organisation. As a software as service (SaaS) and cloud-based solution, Xugo is easily integrated into existing processes and tailorable for your particular business needs.

By providing a single authoritative system/database for all information and communication, Xugo streamlines workflows and improves efficiency overall. Using Xugo, your organisation can gain a comprehensive and holistic view of assets and access to real-time data on assets through your workforce and customers.

Xugo can support asset intelligence through the completion and performance of asset and equipment inspections, audits, investigations, assessments, safety and compliance checklists and forms. Through the Xugo app, companies can use worker checklists such as a job safety analysis (JSA) checklist to track activities and ensure no step is missed.

Businesses can use Xugo to undertake minor maintenance including corrective or preventive works while on-site at assets, saving costs of returning later. All work can then be recorded and transferred back to enterprise asset management/resource planner (EAM/ERP) systems.

Xugo Maps allows users to access location data on both desktop and mobile, providing tracking and identification of locations where tasks are required to be completed or the location of an incident. Assets can be displayed on the map as pins and be selected and edited within the map, with the ability to update incorrect asset location information.

With Xugo, businesses can use data whether that be inspection data or asset conditional information, maintenance records, technical or customer information via the application or the mobile app, making it accessible wherever you are.

Users can report faults, create orders, issue parts and complete work. Importantly, Xugo makes it easy to gather inspection data including measurement points, notes, photos, geographical location, attributes and readings.

In today’s digitised landscape, organisations must take advantage of data to drive decisions and optimise performance. Implementing WMS can support the gathering of data and helps attain visibility over your assets. Xugo’s intuitive digital solution fits seamlessly into your business, providing a flexible environment for your asset intelligence culture to grow.

For more information about how Xugo can help your business intelligently manage its assets, head to www.xugo.com.au

www.energymagazine.com.au June 2023 ISSUE 22
47 SPONSORED EDITORIAL ASSET MANAGEMENT
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ENERGY SYSTEM CYBERSECURITY FOR AN UNCERTAIN WORLD

As the world increasingly turns towards renewable energy sources, the uptake of customer-owned distributed energy resources (DERs) such as solar panels, electric vehicles (EVs), and energy storage will become more common.

While these systems offer many benefits, they also present a new and unique cybersecurity challenge as the amount of DER rises and makes up a greater proportion of our generation. By becoming more interconnected with each other and the grid, they in turn become more vulnerable to cyberattacks.

In this article, we will explore the importance of cybersecurity for DER and discuss some of the efforts being undertaken to ensure the safety and security of our grid.

Cyber threats are on the rise

Australia has recently seen a wave of cybersecurity breaches which have hit some of our biggest corporates, affecting millions of consumers. Whether by state-actors, criminal organisations or bored kids, the estimated cost of global cybercrime is measured in the trillions of dollars and growing.

As illustrated in the movie Live Free or Die Hard, attacks on the electricity grid are not a new idea. In fact, back in 2016 we saw this play out in real life as the Ukrainian power grid fell victim to a sophisticated cyberattack that left 225,000 people without power.

What’s being done to protect the Australian grid?

This then begs the question; what should we do in Australia to ensure we don’t end up in the same situation?

Firstly, and perhaps most importantly, the government has really stepped-up activity in this space, by introducing the Security of Critical Infrastructure Act 2018 (SOCI Act).

This new legislation applies to a broad range of sectors, everything from hospitals to food distribution, to payment systems, which the Federal Government has deemed to be

“critical infrastructure”. It places practical obligations on identified organisations, such as reporting incidents to the Federal Government and adhering to different security and resilience standards for assets and personnel.

Secondly, electricity utilities have had a lot of experience making sure their internal systems are protected from the malicious actors on a day-to-day basis. There are literally hundreds of thousands of attempts to access their systems (via email phishing, bot attacks etc.), but the industry has so far been very lucky (luck being a combination of preparation and fate) and we’ve not experienced a huge disruption to our power system.

But what about securing customer-owned DER?

However the future is changing, with a larger proportion of the power system being supplied by local, wi-fi-connected DER, such as solar PV, batteries and even EVs this dramatically increases the “threat surface area” and likelihood of system-level disruptions.

Before you panic from all the doomsaying, some of the easiest solutions could be simply securing your wi-fi network and setting strong passwords. Some of the more sophisticated solutions include Public Key Infrastructure (PKI), Two-factor Authentication (2FA) or other forms of Zero Trust Architecture.

If we don’t start seriously thinking about these issues now the onus of security gets passed down to the many households that will own these devices who, unlike large organisations, don’t have the benefit of a corporate cybersecurity team and are ill-equipped to make these types of decisions for themselves or for the wider system.

How this distributed threat to a whole range of customer (and privately owned) devices is safeguarded, who is best placed to act and other questions still remain unclear, but it is critical that governments and industry (networks, original equipment manufacturers and others) work together to relieve the burden from consumers.

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A string of customer data breaches has brought cybersecurity and data privacy back into the spotlight in recent months. In an increasingly connected world of distributed energy resources, such as integrated home energy systems, what is being done to protect the future of the Australian grid?

SOLAR VICTORIA’S HOLISTIC APPROACH TO INDUSTRY TRAINING

Solar Victoria has an important job to do – forming a key part of implementing the Victorian Government’s ambitious agenda to reduce the state’s carbon emissions. But, incentivising homeowners to invest in renewable technologies would not be successful without the trained and qualified workforce to get the job done.

Solar Victoria supports the government goal of reducing emissions by providing financial incentives for households and businesses for the installation of solar panels, storage batteries and energy efficient heating and hot water equipment which could utilise the power generated at home. That aim has been embraced by Victorians, and they have helped make Solar Homes the largest sustainability program in the country.

Since August 2018, 250,000 households have installed solar or hot water or a battery under the program, and over 300,000 rebates have now been approved.

But from the outset it was clear we needed the professional tradespeople, with the right qualifications and training, to install, maintain and repair the installations safely and correctly.

When we were created in 2018 with a $1.3 billion budget over ten years, $9 million was earmarked for training. That has now been expanded to $11 million.

We took the view that training programs were necessary to build new jobs and skills and ensure the program was designed to be implemented safely, while creating lasting solar industries.

An industry whose professionals are trained, properly inducted and are safe while they are performing installations. We also wanted to ensure that there would be enough trained and qualified workers for a future in all parts of the solar industry.

As part of this, our aim is to create 5,500 jobs under our programs.

For example, plumbers for hot water installations, and qualified electricians focused on solar panels, batteries, and other installations. We need enough of them with the right skills and accreditation, who will develop professionally and hopefully, eventually, form the businesses of the future.

If we look back to 2018 when Solar Victoria came into being, our training aims were to help those already in the electrical industry to get the training needed to meet the standards we had set. So if they were already a Class A electrician, they were then accredited for solar. We also made sure that accreditation training was available wherever electricians were in the state.

We then mandated health and safety training for all workers and so far 4,500 workers have undertaken the solar safety training as a condition of participating in the program. I cannot express strongly enough how important that is, and what it means to have a workforce that is safer and better informed about the risks of doing the job and how to prevent these. That training will continue, and in some ways it is at the core of what we provide.

But a special priority for Solar Victoria when it comes to training is also to get people onboard at the ground level. We are encouraging new apprentices to be part of this growing industry, one of the fastest growing in Victoria. We are also making sure women are part of this uptake, and that they will see that becoming a qualified solar electrician or plumber has a promising future. As well, we are looking at how we can partner with First Peoples and

Traditional Owners' corporations to support and encourage Indigenous Australians to be a part of this growing sector.

We recognise there is a much bigger picture with the whole supply chain, including supporting growth in necessary qualifications like licensed electrical inspectors. So we have training that supports them, mentoring programs, and have trained supervisors who we provide support to.

Integrated approach to renewables

Every year since 2018 we have seen the growth in businesses and households taking a holistic approach to solar. They aren’t just installing panels on the roof or solar hot water, but are also increasingly being asked about heat pumps, efficient cooling, storage batteries and, in line with the expansion of electric vehicles, the installation of fast chargers, which draw that power from the equipment installed as well. After all, using power generated from your rooftop is the best way to maximise the investment.

They are taking an integrated view of electrical management systems and energy management systems, and many of the applications we received are now for new builds, where solar power and energy efficient appliances and infrastructure are in place from day one.

That means the installers and retailers need the skills and experience to provide expert advice to householders, which recognises that solar energy is not just an addition, but the centre of the energy source for the homes and businesses of the future.

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JOBS, TRAINING AND SAFETY

We have worked closely with industry and its representative bodies on the design of our training programs and many of them are involved in the delivery of our training programs. For example, our Upskilling for Plumbers Program began as a pilot last year and this year 200 qualified plumbers and fourth year apprentices from across the state are taking part in the free training which Solar Victoria has funded.

The program is being run by the Plumbing Industry Climate Action Centre, with the support of the Master Plumbers Association, and the representative unions.

That cooperation is being supported by the relevant peak bodies and unions who have members working in the renewable energy sector who will need the skills to work in the energy of the future.

We have also worked with the representatives of the National Electrical Contractors Association on the design of our health and safety program, and also with WorkSafe Victoria which has focused compliance and enforcement activities to support better safety standards in the solar industry.

We work with the TAFE sector, and 12 Registered Training Organisations across the state who have helped deliver the health and safety program. The Master Builders Association designed and delivered our supervisor training, which is all about educating and informing supervisors around health and safety obligations to the workers that they're responsible for.

We've also worked with Australian Apprenticeships and with the Australian Industry Group on the delivery of our apprenticeships program which is supporting 15 female electrical apprentices.

It must be said that in the early days we did have some push back around mandating health and safety training. My view is that it was not because people disagreed with the need or the value of it, it was really just the timeframes for implementing this new requirement and the availability of training, particularly in regional Victoria.

But we took a pragmatic approach to give people more time where that was warranted and particularly during the various COVID challenges, and we extended the time for compliance, and overwhelmingly the industry has responded positively to that.

Between 2020 and 2021, together with our industry partners we recognised that mental health was a real challenge the industry faced. In response, we funded the development and implementation of a mental health program for workers and supervisors.

To the future

As we progress, we will continue to develop our training programs, particularly in the areas where the solar industry needs support for developing, working with our industry and consumer reference group, and all other stakeholders, on the design and the delivery of our training programs.

That includes providing a business mentoring program, which supports businesses to develop their resilience and help make sure they continue to be part of this industry, developing and expanding, while improving their standards and the quality of what they do.

I am also excited about improving participation in solar from underrepresented cohorts in the program and giving them an opening into this growth industry. They must be given the opportunity to participate fully and we are working to make sure they get it.

In addition to our existing Women in Apprenticeships program, round two will start soon and we are also developing programs which will engage with Indigenous business and employment networks.

One group we are working to engage with are the long-term unemployed, especially in regional Victoria. Solar uptake is happening across the state and we see this as an opportunity for young job seekers to get the opportunity for a head start into the industry.

We also see huge opportunities for business growth and new innovations in the electrification of households. Customers are looking for holistic solutions to their energy needs that are easy and affordable.

The possibilities are endless, and it would give me great joy to one day see one of our trainees, backed and supported by the support we helped provide, creating their own businesses and carving out their own part of the solar future.

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51 JOBS, TRAINING AND SAFETY
Photo credit: James Braund

WORKFORCE UPSKILLING KEY TO POWERING THE

With mounting pressure to accelerate the energy transition, the spotlight is on energy and resources companies globally. As the key players responsible for leading the transition, these companies also have the critical task of continuing to power our communities. They are faced with a dual challenge: to create more sustainable business models and also to prepare their workforce for this change.

52 JOBS, TRAINING AND SAFETY

AND RESKILLING WILL BE ENERGY TRANSITION

The process of transforming an entire workforce is proving to be one of the more significant hurdles of the energy transition, as both organisations and individual workers grapple with the competing societal, personal and financial challenges.

The latest United Nations Global Compact-Accenture CEO Study on Sustainability shows that CEOs in the energy and resources industries consider skills development a priority for achieving this transition. For energy companies in particular, the shift in workforce skills will see a more significant change, as workers take on a whole new toolbox of skills to make the switch from fossil fuels to renewable energy generation.

Right now, 75 per cent of energy CEOs are upskilling or reskilling their workforce to meet future labor needs. This can benefit companies by helping current employees stay competitive and valuable, attracting high-quality employees looking to continue to build their own skill sets, and educating the future generation of the workforce to ensure they have the skills needed for the future.

Business transformation cannot succeed without talent transformation

For energy and resources companies to maintain relevance and viability during and after the energy transition, an organisation-wide reinvention must take place. This kind of reinvention requires an investment in high quality training programs to increase digital skill knowledge for greater innovation and efficiency. As these companies move away from legacy technology and embrace the cloud-enabled digital infrastructures needed to remain competitive, they require a workforce that is digitally capable across all aspects of their operations.

While innovative technology is necessary to achieve rapid change, it's only part of the solution. The most successful companies elevate people and put them at the centre of change.

Change is not necessarily for everyone

The reskilling required to power the energy transition, while ensuring the lights stay on for homes and businesses, is significant. However, for many workers who have spent their entire careers in the energy and resources industries, the adjustment required is deeply challenging. For these workers, the future may seem uncertain as they face significant changes to a career path they may have been following since entering the workforce. This may generate a variety of emotions and lead to resistance to reskilling and attrition.

Companies need to recognise that some of their employees may be reluctant to participate in reskilling programs and may need significant support to adjust to workplace changes. There may also be a part of the workforce that does not require a significant change in skills at all. There is no “one size fits all” model to this transformation.

The opportunity is to build a workforce that is part of the solution

Building a supply chain of talent by attracting and retaining the best people will be critical as the industry is seeing a reduction in young professionals entering careers in energy.

Research shows that people are looking for work with environmental purpose, with more than eight in ten women and seven in ten men saying they want to play a role in tackling climate change1. The creation of new roles along with investment in learning are both critical, particularly in the context of the energy transition and the evolving change in the labor market. Finally, responsible leadership that acts with curiosity, compassion and courage will play a crucial role supporting the workforce during this transition.

The length of the energy transition provides organisations with the time needed to analyse their strategies and assess what skills are needed now and into the future. Ensuring their workforce grows at the same trajectory as the market is a common challenge amongst organisations and requires focus on both growing and acquiring talent.

Research by Accenture has shown that many workers across the energy industry are eager to further their careers using their existing expertise. With the goal to retain and reskill employees, energy and resources companies can use applied intelligence – a combination of artificial intelligence, data and analytics – to map out new roles and the skills required. Further, as an organisation continues to go through changes over time, applied intelligence can enable real-time updates to skill and role repositories as well as identifying declining or emerging roles through skills proximity analysis.

Diversity matters more than ever

While there may be new roles and career paths on the horizon, this isn’t to say that the current workforce will become redundant. Instead they should be considered a much needed part of the future workforce and be valued for the richness of experience they offer. A robust talent strategy should focus on inclusion, diversity and equity as drivers of growth, brand and community impact. ID&E creates value for the entire workforce, for customers, shareholders and communities. Diverse teams can foster innovation and new market opportunities, as well as open new pathways for attracting, engaging and retaining talent.

With new talent strategies, energy and resources companies can ensure a supply chain of talent that is equipped to manage the current market and evolve with future market changes. To understand the skills of tomorrow, energy and resources leaders should begin collaborating with their workforces today. With tools like applied intelligence, organisations can maximise the value from their existing workforce data and utilise this to consider existing skills, abilities and interests. This data is critical in building a resilient workforce capable of both proceeding through the energy transition and progressing into the future.

References: 1. National Grid Press Release – “Research reveals 400,000 job opportunities for a ‘Net Zero Energy Workforce’,” January 28, 2020 https://www.nationalgrid.com/hundreds-thousands-people-needed-power-uksnet-zero-energy-commitment
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WHAT DOES PUTTING “CONSUMERS AT THE CENTRE” OF THE ENERGY TRANSITION REALLY MEAN?

54
Fareed Kaviani, Yolande Strengers, Rex Martin, Hannah Korsmeyer, Kari Dahlgren, and Sarah Pink, Monash University
CONSUMERS

There is widespread recognition that the energy transition requires putting consumers at the centre of sector planning, investment and reforms. But what does that mean in practice? Is it only a matter of people accepting new energy technologies, changing their behaviours, and engaging with market offers and incentives?

55 CONSUMERS

The Digital Energy Futures (DEF) project at Monash University’s Emerging Technologies Research Lab started on the premise that focusing on consumers involves a better understanding of their everyday lives – both as lived today, and as they expect and want to live in the future. The DEF project was specifically concerned with how people anticipate they will live in 2030 and 2050, and what these anticipated futures will mean for energy planning and forecasting in Australia. Our approach is grounded in design ethnography, which involves inviting people to creatively engage with possible futures through interactive activities and conversations in order to develop foresights for energy planning.

As part of this Australian Research Council Industry Linkage project, the research team developed four scenarios (Figure 1) that constructively engage with existing industry scenarios. The DEF scenarios represent the project’s sixth stage and draw on the extensive evidence base developed over four years (Figure 2). The scenarios are speculations about how people will live in the future with climate change and emerging digital and energy technologies. The innovative approach positions routines and future expectations of everyday people at the heart of energy visions and forecasts.

Where are the consumers?

Current industry scenarios increasingly identify people and their energy technologies as a key uncertainty impacting the system. However, current industry scenarios include limited data about how people are likely to respond to the energy transition or live in the future. Many assumptions are made about consumer technology uptake, use, and tariff response behaviours. These assumptions are critical to realising future grid stability across industry scenarios.

In DEF’s sixth stage, we analysed 46 energy scenarios across 14 industry reports and found that many consumer-led scenarios are still heavily technology-driven and focus on people’s consumption

Analysis of 64 digital technology and energy industry reports identifying visions, trends and scenarios for near and medium-far futures

Ethnographic research with 72 households in NSW and Victoria identifying 45 digital energy future trends across seven domains of everyday life in the home

Targeted futures questions in ECA's Energy Consumer Behaviour Survey (ECBS) to qualify practice trends nationally and track them over time

Analysis of project evidence identifying key foundations for demand management and opportunities for demand response

Future-focused workshops across 10 local areas to identify key foresights about everyday life and energy use in 2030-2050. Development of 14 reframed foresighting concepts for industry

Analysis of project evidence to develop scenarios for future living placing people's values and practices at the core. Accompanying resources to support forecasting, modelling, and planning

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Figure 1. Illustrations of the four Digital Energy Futures scenarios Figure 2. Six stages of the Digital Energy Futures project
Digital
Digital
Digital
Digital
Digital
Energy Futures: Review of Industry Trends, Visions and scenarios for the Home (June 2020) Energy Futures: Future Home Life report (July 2021) Energy Futures: Demand Management Opportunities report (December 2021)
Energy Futures: Foresights for Future Living (November 2022)
Energy Futures: Scenarios for Future Living (February 2023) Energy Consumers Australia's Energy Consumer Behaviour Survey (ECBS 2021, 2022)

of energy or their role as market participants. By framing people as consumers, energy scenarios overlook important emerging trends, such as the role of air conditioning and purification in providing safe and healthy air (as well as comfort).

We identified three dominant types of industry scenarios that are distinguishable by their outcomes and core assumptions about people (Figure 3).

By focusing on the role and impact of Consumer Energy Resources (CER) and automation on the energy system, industry scenarios miss opportunities to account for the diversity of people’s everyday practices and forms of energy engagement. This results in a single path towards a reliable and stable future grid: with assumptions about consumer adoption, acceptance and efficient use of CER at its core.

Scenarios for future living

The DEF evidence base includes emerging megatrends (Stage 1), household trends (Stages 2 and 3), demand management opportunities (Stage 4) foresights (Stage 5), and climate change science (Stage 6).

The scenarios are also grounded in the everyday realities of three diverse households, developed using evidence-based

foresight from research with real people. In 2030, the Johnson’s are a high income and tech-savvy family living in the suburbs, Xinyi is a low-income city apartment renter who lives with a pet, and Ruth and Robert are an older couple living in a rural farming area. Their stories shift, allowing us to experience what it could be like to live in each possible future from different perspectives.

The first two scenarios are set in 2030. In Creature Comforts (Figure 4) (responding to Disruptive Energy Technology industry scenarios), people seek a reliable grid to meet their daily household needs. As living expenses rise, more time is spent at home. Household priorities such as comfort and safety are aligned with uptake of consumer electronics. There is an expansion of habitable spaces for household activities, but sheds and other converted areas are poorly insulated and inefficient. Heating and cooling systems, hot tubs, saunas, and pools are all installed more frequently. The grid's energy demand increases throughout the day on hot, polluted days, in contrast to the expected "death spiral" in disruptive technology scenarios.

Developing a better understanding of the diverse ways consumers use automation to meet their lifestyle expectations is essential to planning and preparing for this scenario.

www.energymagazine.com.au June 2023 ISSUE 22 57 CONSUMERS
Figure 3. Three dominant types of industry scenarios Figure 4. Creature Comforts Scenario
June 2023 ISSUE 22 www.energymagazine.com.au 58 CONSUMERS
Figure 5. Sharing the Load Scenario Figure 7: Sunrises and Siestas Scenario Figure 6: Hunkering Down Scenario

In Sharing the Load (Figure 5) (responding to Prosumer Participation industry scenarios), people embrace opportunities to use CER in ways that make sense for their own lives, everyday priorities and values. Some people shift their daily activities to make use of abundant clean and cheap energy and households with solar PV maximise solar self-consumption to maximise financial returns. Other households respond to the opportunity to use ‘spare’ renewable energy when solar and wind generation is high, sharing their energy in resourceful and generous ways by participating in community-oriented services and initiatives. However, tariff complexity around generation, storage, and export with battery storage leads to conflicts between networks and customers. Those who place a higher priority on simplicity than efficiency participate less in mainstream energy markets.

The energy transition needs to offer people opportunities to participate in more ways than through their technologies or market tariffs and trading opportunities in order to realise the potential energy system benefits of this scenario.

In response to industry’s Automated Futures scenarios, the DEF team generated two further scenarios set in 2050, when climate science projections of more extreme weather events and hotter temperatures are expected to have a significant impact on everyday life.

In Hunkering Down (Figure 6), people largely realise industry visions for embracing automated technologies in their homes, with some important exceptions. While advanced automated energy systems and smart devices may improve energy efficiency, households override the grid's ability to control their systems, especially during extreme weather events. Potential outages caused by extreme weather events motivate people to charge their vehicles and batteries, causing unpredictable peaks in demand. As people “hunker down” during extreme weather, living spaces are expanded and need retrofitting while home gyms and other creature comforts increase in popularity. With rising air quality concerns, automated energy management services face an additional challenge from non-discretionary technologies with integrated cooling, purification and (de)humidification, increasing their uptake and use.

As the energy system evolves, industry needs to rethink how CER are automated and engage people in ways that match their priorities and concerns.

In Sunrises and Siestas (Figure 7), home is no longer the primary refuge from extreme weather, with climate-controlled public places for work and leisure becoming ubiquitous. Investment in community services and infrastructure improve resilience to extreme weather events such as prolonged heat waves, floods, and droughts, and help protect those who are most vulnerable from uncertain futures. Institutional routines shift to support work, schooling and leisure activities during the cooler parts of the day, with hybrid arrangements in place.

Ultimately, Sunrises and Siestas emphasises the importance of societal transformation in achieving sustainable and resilient energy futures.

Putting people at the centre into practice

Creating scenarios that centre people’s everyday lives and future expectations reveals new opportunities for household participation and collaboration with the energy system. These opportunities include supporting people’s interest in non-market based participation in the energy transition, including energy sharing and community-based initiatives. They also include engaging with and supporting consumers in achieving their priorities in ways that align with energy system objectives, such as providing healthy air for their family, creating plans and contingencies for extreme events, investing in new entertaining and leisure spaces and technologies, or running a business from home. Engaging with these priorities will ensure the industry can more accurately forecast future demand and seek new ways to align the needs of the future grid with those of households.

The Scenarios for Future Living report also provides an extensive list of databases and datasets that are available for forecasters and other interested parties to track the emerging trends identified in our research and featured in the scenarios. The datasets cover demographic, health, and social trends; consumer electronics and technology adoption, and environmental and climate change forecasts.

We hope that the DEF scenarios and resources provide the industry with a new way of thinking about what it means to put consumers – or people – at the centre of the energy transition, and enable robust consideration of people’s future everyday lives in energy planning.

59 www.energymagazine.com.au June 2023 ISSUE 22 CONSUMERS
The
authors of this article acknowledge the contributions of Dr Larissa Nicholls as a member of the research team. This research is supported by the Australian Government through the Australian Research Council’s Linkage Projects funding Scheme (‘Digital Energy Futures’ project number LP180100203) in partnership with Monash University, Ausgrid, AusNet Services and Energy Consumers Australia.
Digital Energy Futures Project: https://www.monash.edu/digital-energy-futures
We extend our gratitude to all of the research participants who took part in the Digital Energy Futures project.
Scenario illustrations by Stephen Elliget (https://epicsteve.com/)

LEADER OF THE PACK: THE AUSSIE-FIRST ALUMINIUM RECYCLING TRIAL

Energy sustainability is a balancing act of ensuring not only that future infrastructure impacts the environment less, but also ensuring that aged infrastructure and supplies are disposed of in a conscious manner.

As Transgrid keeps sustainability top-of-mind, it is constantly looking for innovative ways to support its green goals, and in late 2022, saw an employee pitch a new aluminium recycling technology. The technology trial reduced emissions, saved time, and is continuing Transgrid’s aim to support the energy transition – as efficiently and sustainably as possible.

It was Newcastle Field Coordinator Mitch Coppock who heard a presentation about German manufacturing firm ZECK. Mr Coppock knew the ZECK Al/Steel Separator (ZAS) had potential.

The ZECK Al/Steel Separator (ZAS) was released in 2020 and was described as a game changer in the recycling of transmission lines.

“It started with a simple idea after I heard the ZECK pitch and to receive the support from across the business to make it happen was really rewarding,” Mr Coppock said.

“Something like this hadn’t been done in Australia before and being part of this initiative has been exciting.”

Mr Coppock’s proposal turned into an Australian-first, with Transgrid being the first network to trial the machine in Australia. With major benefits both environmentally, and financially, the ZAS machine fits right in with Transgrid’s sustainability goals and initiatives.

High speed sustainability

By utilising the ZAS machine on site in Sydney, Transgrid is saving time, reducing its emissions, and is creating an opportunity to support local businesses with aluminium.

The 2.5 tonne ZECK ZAS machine can work at high speed –more than 6km/h – and allows the full separation of steel cores of conductors from the outer aluminium layer.

Conductors are fed into the ZAS machine under tension and the outer aluminium layer is removed and cut into 30-70mm pieces, which are collected into large bags ready to be smelted into new products. The undamaged steel core is then wound onto a cable drum at the other end, ready for recycling.

Prior to the trial, used conductors would have to be shipped overseas to have their outer aluminium layer removed to be recycled but the ZAS system allows it to be done onsite.

By eliminating the cost of offshore shipping, Transgrid expects to achieve a return of three times on scrap metal rates of up to three dollars a kilogram. Over the next three to five years, it is forecast to deliver two to three million dollars in extra revenue.

Keeping in regular contact leading up to the machine arriving in Sydney, ZECK even arranged for a technician from Germany to come out for the machine set up as well as to provide invaluable insights on machine use.

June 2023 ISSUE 22 www.energymagazine.com.au
60 SUSTAINABILITY
Mitch Coppock and recycled aluminium ready for smelting

Transgrid said having on-site support for the initial set up was key to the success of the trial because it allowed the team to iron out teething issues.

Transgrid Executive General Manager for Delivery, Craig Stallan, said the project is achieving impressive results.

“By removing the need to ship metal overseas we not only reduce emissions but can also guarantee the quality of labour that is used to process it, making it a far more transparent and ethical process,” Mr Stallan said.

“Everyone wins from this solution. Transgrid gets a much higher return on the conductor, the environment wins with reduced emissions and local businesses benefit with access to readily available and processed aluminium.

“We are proud of Mitch and our logistics team that created this great outcome for Transgrid.”

Leading the sustainable future

Transgrid is on the frontline of sustainable development, leading the nation’s transition to clean energy.

“As a business, we are committed to embedding sustainability in all our activities and this project is just one of the ways we are working to identify and reduce our own environmental impact,” Mr Stallan said.

“We want to be a recognised leader in sustainability and part of that is listening and responding when our people present ideas on innovations that will help us achieve that goal together.”

For Mr Coppock, having the support of the business was a highlight of seeing the project become a reality.

“The logistics team and management were very supportive as they saw the potential benefits and it goes to show that Transgrid is always open to innovation and new ideas that will benefit how we operate,” Mr Coppock said.

Transgrid said sustainability was at the heart of the network’s role in achieving the biggest energy transformation of our lifetime – as efficiently as possible without sacrificing grid security and reliability.

The network is embedding sustainability as a key priority in project planning and delivery and in December released its inaugural Sustainability Report which will be updated each year.

In June 2022 Australia’s largest electricity project, the $1.8 billion EnergyConnect interconnector which will link South Australia, Victoria, and New South Wales, became the first in Australia to reach an agreement with the International Sustainability Council.

The project set specific sustainability targets focused on reducing its carbon footprint by 20 per cent by minimising the use of energy and water, protecting biodiversity, decreasing waste, and building resilience against forecast climate impacts.

For EnergyConnect, Transgrid and its construction partner SecureEnergy committed to diverting a minimum of 50 per cent of construction waste from landfill and conserving and beneficially reusing 80 per cent of spoil.

At the time Transgrid’s Executive General Manager of Major Projects, Gordon Taylor, said the agreement represented a genuine commitment to “deliver real sustainability outcomes” which will be independently measured to show performance in a clear, fair way.

“When it is finished, EnergyConnect will contribute to the decarbonisation of our economy by enabling the integration of clean, renewable generation but it is critical that our sustainability efforts begin now, during the design and construction phases,” Mr Taylor said.

Net zero by 2040

Outside of major projects Transgrid is also looking in house for ways to cut its own emissions as part of a commitment to reach net zero by 2040 (Scope 1 and 2 emissions).

The target includes elimination of all emissions from the network’s pool and commercial vehicles by 2030.

Each year Transgrid’s fleet collectively travels more than 14 million kilometres. So far more than half of Transgrid’s passenger fleet has transitioned to fully electric or hybrid vehicles.

In February 2023 Transgrid CEO, Brett Redman, and Federal Minister for Climate Change and Energy, Chris Bowen, launched the network giant’s trial of an electric ute for field staff.

Transgrid’s first 2023 LDV eT60 electric ute is now being put through its paces for in-depth field testing around New South Wales.

Speaking at the launch Mr Redman said it was another example of how Transgrid is embracing sustainability through innovation and it highlighted a great opportunity to find alternative solutions thanks to emerging technologies.

“Just like how we use aerial drone technology to inspect towers, reducing the need of our people to use heavy elevated work platforms, shifting to electric vehicles will benefit the community, our customers, and the environment,” Mr Redman said.

Transgrid has also committed to using 100 per cent renewable electricity to power offices and depots by 2025.

Transgrid plans to continue building upon the progress made in 2022 this year with a focus on increasing the amount of waste that can be diverted from landfill.

The aluminium recycling trial is just the latest of a range of initiatives Transgrid has embraced to become more environmentally sustainable.

June 2023 ISSUE 22
61 SUSTAINABILITY
Transgrid CEO, Brett Redman (L) and Federal Minister for Climate Change and Energy, Chris Bowen (R) at Transgrid’s launch of its electric ute trial for field staff.

WIN-WIN: HOW SOLAR FARMS CAN DOUBLE AS HAVENS FOR OUR WILDLIFE

Australia’s renewable energy transition has prompted the construction of dozens of large-scale solar

VEGETATION MANAGEMENT 62

Solar farms are mostly built in rural areas. This has raised concerns about a potential decline in both agricultural production – as arable land is used for solar energy production – and wildlife habitat.

But there are ways to expand solar infrastructure so both nature and people win. We’ve already seen this in so called “agrivoltaics”, where land under and around solar panels is used to grow crops and graze livestock. But what about “conservoltaics”, combining conservation and solar energy?

My new research examines whether solar farms could also be used to help conserve native species. I found solar panels can provide valuable habitat for wildlife – and potentially benefit both the land and farmers.

A new place to call home

Our wild landscapes are diminishing and protected areas, such as national parks, cover only about nine per cent of Australia.

Many agricultural landscapes have been cleared of trees to provide pasture for livestock. It means wildlife that rely on trees have lost vast tracts of habitat.

So we must find new places for wildlife to forage, rest, shelter and breed.

My work examines how solar parks on agricultural land can double as wildlife habitat. It involves surveys and trapping to identify what plants and animals occupy solar farms, how long they take to recolonise, and how we can promote even more biodiversity.

My new paper coins a new term for this dual land-use: conservoltaics. I highlight research from overseas into how solar parks can bring conservation benefits, and describe the research still needed.

Solar panels add three-dimensional structure and complexity to an environment. They can provide animals shelter from predators and the elements, much like artificial reefs in lakes and oceans. They can also act as perch or nesting structures.

Solar infrastructure also creates a mosaic of sun and shade patches – and so provide many “micro-habitats” for plants and animals.

Research from Europe has shown large solar farms can enhance the diversity and abundance of plants, grasses, butterflies, bees and birds.

What’s more, vegetation between solar panel rows can also provide travel corridors, nesting sites and shelter for wildlife.

Management is key

Research suggests several management strategies that can maximise the benefits of solar farms for wildlife.

Land managers should provide a diverse mix of flowering plant species to encourage pollinators. And grass between solar panels should not be mowed too short or too often. Pollinators prefer tall vegetation where they can forage – though vegetation should not be so tall that it shades the solar panels.

The use of herbicides and other chemicals should be avoided where possible. And solar farms should be connected to other vegetated areas, using features such as hedgerows and wildflower strips, so wildlife can move between the solar farm and other habitats.

Landholders who combine solar farms with wildlife habitat may reap several benefits.

They could receive financial returns by earning environmental credits through schemes that reward carbon sequestration and biodiversity improvements.

They may also improve the health of their land by, for example, increasing pollination or providing habitat for predators such as raptor perches or nest boxes – which in turn could help control pests.

Much work remains, however, to understand these opportunities.

Looking ahead

The benefit of renewable energy in reducing carbon emissions is well known. But more work is needed to understand how solar farms can benefit wildlife.

Research is also lacking on how to locate, configure and manage solar farms to best enhance biodiversity. Collaboration between industry, land managers and researchers is needed so clean energy production and conservation can go hand-in-hand.

This article originally appeared on The Conversation and can be accessed at https://theconversation.com/tapping-mineral-wealth-in-mining-wastecould-offset-damage-from-new-green-economy-mines-183232.

VEGETATION MANAGEMENT 63 www.energymagazine.com.au June 2023 ISSUE 22

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Articles inside

WIN-WIN: HOW SOLAR FARMS CAN DOUBLE AS HAVENS FOR OUR WILDLIFE

2min
pages 64-67

LEADER OF THE PACK: THE AUSSIE-FIRST ALUMINIUM RECYCLING TRIAL

5min
pages 62-63

WHAT DOES PUTTING “CONSUMERS AT THE CENTRE” OF THE ENERGY TRANSITION REALLY MEAN?

6min
pages 56-61

AND RESKILLING WILL BE ENERGY TRANSITION

3min
page 55

SOLAR VICTORIA’S HOLISTIC APPROACH TO INDUSTRY TRAINING

6min
pages 52-53

ENERGY SYSTEM CYBERSECURITY FOR AN UNCERTAIN WORLD

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page 51

DEVELOPING AN ASSET INTELLIGENCE CULTURE IN YOUR ORGANISATION

4min
pages 48-50

VIRTUAL ASSET ASSESSMENT: DIGITAL INTELLIGENCE SOLVING NETWORK CHALLENGES

2min
pages 46-47

FULL STEAM AHEAD FOR WESTERN AUSTRALIA’S WASTE TO ENERGY PROJECTS

3min
page 44

THE MISSING LINK FOR THE BIOGAS BOOM

1min
pages 42-43

THE FUTURE OF YOUR POWER BILL

2min
pages 40-41

COMMERCIAL INVERTER SOLUTIONS REDUCING ENERGY COSTS

1min
page 38

THE IMPORTANCE OF STORAGE IN OUR TRANSITIONING POWER MARKET

9min
pages 34-37

ARE WE ON TRACK? ON THE ROAD TO 82 PER CENT RENEWABLES

4min
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NAVIGATING THE FUTURE OF RENEWABLE ENERGY STORAGE

4min
pages 30-31

SNOWY 2.0: THE CRITICAL STORAGE ENABLING OUR RENEWABLE ENERGY FUTURE

5min
pages 26-29

UNLOCKING BETTER PRACTICE IN SOCIAL LICENCE

5min
pages 22-25

FAREWELL, LIDDELL: AGL'S RENEWABLE PLEDGE

6min
pages 18-21

NETWORKING ENERGY EQUITY FOR FIRST NATIONS PEOPLE

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ENERGYCONNECT SUBSTATION COMPLETES FIRST CONCRETE POUR

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$123M UPGRADE TO TASMANIAN HYDROPOWER ICON BEGINS

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QLD CITY LEADS STATE HYDROGEN PRODUCTION

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EDITOR’S WELCOME W

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