The Power of Community-Scale Batteries - A Game-Changer for Neighbourhoods and the Environment
In 2024, entire communities are transforming the way they use and store electricity, thanks to community-scale batteries. Also known as neighbourhood batteries or Battery Energy Storage Systems (BESS), these shared energy storage solutions offer a sustainable way to power homes while reducing energy costs and improving grid stability. With energy bills on the rise and climate change a growing concern, the widespread adoption of community batteries represents a significant step toward achieving more energy-efficient and eco-friendly neighborhoods.
How Community-Scale Batteries Work
Community-scale batteries act as local energy banks for neighborhoods, storing surplus energy—usually generated by rooftop solar panels—during the day. This stored energy is then used during peak demand periods, typically in the evening when solar generation is low but energy consumption is high. In a typical setup, households with solar panels can store their excess solar energy in the community battery. Later, they can draw on this stored energy, saving money and reducing reliance on the main electricity grid. Even homes without solar panels benefit, as the stored energy in the BESS can be shared across the community at reduced rates, enhancing access to clean energy for everyone. In Canberra, initiatives such as the Big Canberra Battery project and the ACT Government’s new community batteries project are leading the way in integrating community-scale energy storage . These efforts are aimed at enhancing grid stability and supporting a large-scale shift toward renewable energy.
Benefits for the Neighborhood
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Lower Energy Costs:
With community batteries, neighborhoods can store energy when electricity prices are low (during high solar generation) and use it when prices are higher (during peak demand). This significantly reduces energy bills for participating homes, whether they have solar panels or not.
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Peak Demand Reduction:
A community-scale battery helps reduce peak demand by providing stored energy during times of high consumption. This alleviates stress on the local grid, especially during evening hours when energy use spikes. Reducing peak demand is vital for preventing blackouts and ensuring a stable energy supply .
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Grid Stability and Support:
One of the major challenges with rooftop solar installations is managing the two-way flow of electricity. Excess energy fed back into the grid can cause voltage fluctuations and instability. Neighbourhood batteries help absorb this excess energy, balancing the grid and supporting more efficient use of renewable energy.
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Enhanced Access to Renewable Energy:
Home electrification is becoming more popular, but not everyone has the ability to install solar panels. Community batteries make renewable energy accessible to all, ensuring that even homes without solar installations can benefit from cleaner, cheaper energy .
Environmental Impact
Maximizing Solar Energy Use:
By capturing and storing excess solar energy that would otherwise be lost, community batteries maximize the use of renewable energy resources, reducing the need for fossil fuel-generated power.
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Reducing Greenhouse Gas Emissions:
Since the battery allows solar energy to be stored and used later, communities rely less on electricity from coal or gas power plants. This leads to a significant reduction in greenhouse gas emissions, making neighborhoods greener and more sustainable.
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Facilitating the Transition to a Clean Energy Future:
Community-scale batteries pave the way for more widespread adoption of solar energy. As more households invest in solar panels and energy storage, reliance on traditional, polluting energy sources will decrease, accelerating the transition to a cleaner, more sustainable energy grid .
Curious about the technology behind neighborhood batteries? Click here to learn more!
Financial and Community Benefits
Research from the Australian National University highlights the financial viability of community battery models, especially when paired with revenue-generating services like energy arbitrage and network support . For instance, households with solar panels can feed their excess power into the community battery, effectively “banking” their energy for later use. This creates a cost-saving cycle for both individual households and the community as a whole.
In addition to cost savings, some community battery programs even generate revenue by selling surplus energy back to the grid during periods of high electricity prices. This not only benefits residents but also contributes to the financial sustainability of the battery system.
Find out how you can integrate your solar energy with neighborhood batteries for collective benefit. To know more click here
Future Outlook for Community Batteries
The success of projects like the Big Canberra Battery and PowerBank in Western Australia show that community-scale batteries are more than just a trend—they are the future of energy management. As Australia continues to lead in rooftop solar installations, with over 2.2 million households now generating solar power, Battery Energy Storage Systems (BESS) will play a crucial role in enabling sustainable energy practices .
Moreover, community batteries allow for greater integration of electric vehicles (EVs) into the grid, supporting home electrification and future-proofing neighborhoods as energy demands shift .
Community-scale batteries offer a win-win solution for neighborhoods and the environment. By reducing energy costs, stabilizing the grid, and maximizing the use of renewable energy, they create more resilient, sustainable, and connected communities. As energy storage technology continues to evolve, community batteries will undoubtedly become a cornerstone of modern energy systems, empowering people to take control of their energy future.
Explore the benefits of a neighbourhood battery and how it can transform your community’s energy usage. Contact us on 0469 779 990 or info@polygonenergy.com.au to see how you can get involved in this sustainable energy revolution.