Solar Powered Trams in Melbourne / VRETs

Victoria has been working on a plan for solar powered trams over the past year and it looks like the Andrews government has moved one step closer with the project – announcing plans to build two new Victorian solar farms to power Melbourne’s tram networks. If that phrase conjured up the image of a bunch of trams with solar panels on top, unfortunately not yet – but using renewable energy to power public transport is a great step forwards. We already have projects like the Valdora solar farm run by the Sunshine Coast Council to power all their energy needs so it’s very encouraging to see the public sector moving in (some semblance of) lockstep with private innovation and investment. 

Melbourne’s Solar Powered Trams

Premier Daniel Andrews Solar Powered Trams
Victorian Premier Daniel Andrews announces Solar Powered Trams.

Premier Daniel Andrews announced that Bannerton Solar Park and the Numurkah Solar farm have won tenders to provide renewable energy to power Melbourne’s trams, offering 100MW and 38MW respectively for the network. The $100m Bannerton project will consist of 95,000 solar panels and is expected to reach full completion by July 2018. The Numurkah Solar Farm will output 100MW via 300,000 solar panels on 500 hectares, but only 38MW of this will be going to the government. French solar plant developer Neoen (who will partner with Tesla to create the world’s largest lithium-ion battery in South Australia) will commence construction in early 2018.

In January Energy, Environment and Climate Change Minister Lily D’Ambrosio advised that they would use one solar plant with 75MW of power – and that half of this would go to the tram network as 35MW was sufficient to cover the energy needs of 410 Melbourne trams. Despite opposition energy minister David Southwick decrying it at the time as a ‘media stunt’ and said Andrews’ government should be ‘fighting for the most affordable power deal for Victorians’, the government has forged ahead and have doubled down on their renewable energy plans – announcing Victoria’s Renewable Energy Targets for 2020 and 2025. 

Victorian Renewable Energy Target

Legislation introduced to Parliament (the first time RETs have been enshrined in state legislation in Australia) last week has set Victoria’s RETs (Renewable Energy Targets) to 25% at 2020 and 40% by 2025. According to the Herald Sun, they haven’t released any modelling showing what the figures are based on, but the RET will mean a cut to energy prices of $30 p.a. for an average family. 

According to Andrews, “The VRET will cut the average cost of power for Victorians by around $30 a year for households, $2,500 a year for medium businesses and $140,000 a year for large companies, while driving a 16 per cent reduction in Victoria’s electricity sector greenhouse gas emissions by 2034-35.”

The VRET legislation allows for a competitive reverse auction (i.e. the lowest bidder wins) for up to 650MW of power (enough to power Geelong, Ballarat, Bendigo and the Latrobe Valley combined) , which Clean Energy Council chief exec Kane Thornton says will ‘turbocharge’ the renewable energy industry in Victoria, calling it a ‘major step forward for communities, businesses and the state’s renewable energy industry’. 

Political grandstanding or a massive step forward for renewable energy in Victoria? Is it necessarily a zero-sum game? We’ll know very soon – watch this space and we’ll keep you updated on how things are going! With the first legally binding state RETs Victoria are certainly putting their money where their mouth is and doing their bit to reduce emissions and move towards a renewable energy future. 

Read More Solar News:

Solar Battery growth rises in 2017.

Solar battery growth continues to rise exponentially – the huge rises in the price of electricity over the past 36 months have led to a record uptake in the number of Australian households opting to install solar batteries for energy storage. Although still in its relative infancy, the technology is being adopted at a rapid rate and there’s no doubt it’s only a matter of time before every house with solar power has some sort of solar battery installed. 

Solar Battery Growth

According to a solar energy report quoted in the Herald Sun, around 7,000 solar battery system were sold and installed across Australia in the first six months of the year, compared to 6,500 last year. Queensland leads the charge, with New South Wales and Victoria close behind. In a market that has already doubled in two years, there is still a way to go before we see solar batteries as ubiquitous in Aussie households, but things are heading in the right direction, and a lot faster than you may think!

Tesla Powerwall 2 Solar Battery Growth
Tesla Powerwall 2 – a catalyst for solar battery growth.

Volkswagen just announced they will spend $50b on energy storage battery technology for its new line of EV cars – there are whispers about the Tesla Powerwall 3 – what’s next for solar battery growth?

Solar Battery Comparisons

There are a lot of different options on the market right now – a bunch of people are still waiting until the technology ‘catches up’ but solar storage can already be quite affordable – with average costs between $4,000 and $13,000, depending on the size/brand you choose. The Herald Sun estimates that it will take approximately eight years for a solar panel + storage system to pay for itself – i.e. it’s not economically viable for everybody right now but depending on your individual circumstances it’s far from a pipe dream. With that said, prices are expected to drop by up to 30% over the next few years as production ramps up and advances in the technology are factored in. 

If you’re interested in doing some research about energy storage, we have a page about the Tesla Powerwall 2 and its alternatives and competitors – there are many options to choose from such as Fronius, BYD B-Box, Redflow, LG Chem, sonnenBatterie, Enphase, Eaton Nissan xStorage, and so on. Make sure you figure out exactly what you need (e.g. grid or off grid? If you’re on-grid do you want power in a blackout? How much power do you need)   and do your due diligence before committing to a system – and if you already have solar panels make sure the storage system and inverter will pair correctly – not all solar systems are created equal! If you have any questions feel free to give us an email or sound off in the comments below – we’d be happy to help.  

 

Read More Solar News: