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Batteries in homes and businesses may seem individually small, but they could have a significant impact on the security and resilience of New Zealand’s power system. For example, 120,000 homes (or 5% of households in New Zealand) with a medium-sized battery could potentially reduce the peak electricity load by as much as our largest hydro power station, Manapouri. That’s why we’re asking the powers that be for something called symmetrical export tariffs so that customers with solar and batteries are paid fairly for their contribution, the payback time will be reduced and more people will have the confidence to invest in these technologies so the price of electricity can be reduced and we can keep the lights on in the event of an emergency.
Batteries in homes and businesses may seem individually small, but they could have a significant impact on the security and resilience of New Zealand’s power system.
As an example, 120,000 homes (or 5% of households in New Zealand) with a medium-sized battery could potentially reduce the peak electricity load by as much as our largest hydro power station, Manapouri.
While these batteries would not hold as much energy as Manapouri, they could output the same amount of power for an hour or two when the system really needs it.
That’s why we’re asking the powers that be for something called symmetrical export tariffs so that customers with solar and batteries are paid fairly for their contribution, the payback time will be reduced and more of them will have the confidence to invest in these technologies.
Many of us will be on what industry people call a ‘time of use’ electricity tariff. That means we probably pay more for our power during ‘peak periods’ - usually breakfast time and dinner time - than we do over the rest of the day. This reflects the underlying costs of providing electricity. However, if we have solar and a battery, and produce more energy than we consume (known as ‘export’), we don’t get paid for this export at anywhere near the same rate.
If a customer pays a higher price to consume power at peak times, they should get paid that higher price if they export power and help a neighbour reduce their use.
That’s not happening in New Zealand at the moment, and we think it should be made mandatory.
If that changed, homes, farms and businesses with solar and batteries could be paid around twice what they’re currently being paid for export at peak times, while lowering the price of energy for all New Zealanders and providing a more secure and resilient electricity system overall.
It’s time to level the playing field for New Zealand energy customers.
When many of the poles and wires went down in Southland after the recent storms, a number of homes, farms and businesses with solar and batteries were able to keep running. And TVNZ's Jared McCulloch spoke to the owners of Fairbank Farms about their experience.
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