Sungrow provides support for Australia’s tough grid connection process
Navigating the regulatory environment and challenges in connecting large-scale generators and storage projects to the grid have been identified as major barriers for new renewable energy projects in Australia but Chinese PV inverter and energy storage technology manufacturer Sungrow said the requirements do have merit.
Sungrow, which currently has more than 10 GWh of projects going through the grid connection process in Australia, said meeting the “demanding and evolving” grid performance standard (GPS) requirements imposed by the Australian Energy Market Operator (AEMO) and network service providers (NSPs) is the primary challenge in Australia’s energy storage market.
“The Australian GPS and the all the regulations for the connection requirements for large-scale PV and BESS (battery energy storage system) projects is the most difficult in the world,” Sungrow APAC Vice President Joe Zhou said.
“AEMO and the NSPs are very careful. All the modelling requirements and testing can take more than eight to 12 months. This is not happening in the other countries.”
Energy industry leaders have voiced concern about the wait to secure the grid connection agreement in Australia, saying it is creating uncertainty for developers, which is weighing on confidence in the sector, but Zhou said while the process could be improved, the tough regulatory environment is driving improvements, particularly in the manufacturing sector.
“Yes it’s difficult, but this is a good thing,” he said, noting that Australia is ahead of the European and United States markets which are “not so strict” with their requirements.
“It means the manufacturer needs to improve their technology and their products,” he said. “And if we can do well here, or any other manufacturer can do well here, they can also succeed in other markets.”
Zhou said Sungrow has taken a proactive approach to tackling the regulatory challenges in the Australian market and that approach has reaped dividends. By the end of 2023, the company was ranked No.1 in residential and commercial PV with 30% and 45% market share respectively, and No.1 in the commercial battery segment with more than 20% market share and No.2 in residential battery with 21% market share.
“Our target in 2024 is to deliver over 1 GW PV, over 200 MWh residential battery, over 500 MWh commercial battery, and achieve No.1 market share in all segments,” Zhou said, adding that the company has more than 10 GWh of projects under grid connection applications, including both grid-following and grid-forming models.
This portfolio represents nearly half of the market pipeline for the next three to five years with Australia’s battery energy storage market poised to add up to 5 GWh in capacity during that timeframe.
“Australia’s battery energy storage market is poised for rapid growth,” Zhou said, noting that “this surge will be primarily driven by hybrid PV and BESS projects and standalone BESS installations.”
“The commercial and industrial (C&I) and residential sectors are also set to expand, driven by ARENA funding and government rebates, increasing demand for community and residential batteries.”
To fulfill the increased demand, Sungrow showcased a suite of innovations at the All Energy Australia exhibition in Melbourne last week, including the PowerTitan 2.0 energy storage system. Aimed at the utility-scale sector, the liquid-cooled energy system features a large battery cell capacity of 314 Ah, with 5 MWh batteries and 2.5 MW PCS housed in a 20-foot container.
Also on show was the PowerStack energy storage solution for the C&I market. The product features a battery capacity ranging from 500 kWh to 1 MWh, available for two-hour and four-hour applications.
Sungrow also showcased its latest residential hybrid inverters, batteries, and electric vehicle chargers.
“We are committed to delivering the most advanced and reliable solutions tailored to Australia’s unique energy needs, helping the nation achieve its ambitious sustainability goals and driving a more resilient, renewable future,” Zhou said.
From pv magazine Australia.