Fed govt green bank invests $35m in WA solar, battery startup
The federal government’s green bank has donated $35 million to WA startup Plico Energy to expand its discounted loan scheme for rooftop solar and home battery systems.
The Clean Energy Finance Corporation injected $35 million from its $1 billion Home Energy Upgrade Fund to Plico, the retail brand of Osborne Park-based Starling Energy Group.
The funds will go towards the expansion of Plico’s discounted credits for rooftop solar and home batteries and access to its virtual power plant (VPP) subscription model, which allows households to feed excess electricity back into the grid for returns.
Assistant Secretary for Climate Change and Energy Josh Wilson said technologies such as virtual power plants are key to ensuring a responsive energy system is maintained as we move away from coal-fired power plants feeding the grid.
He said that for the first time in September, renewable energy sources produced more energy than coal on Australia’s main grid for a month.
“We need to go further than just making generation changes, both in distributed energy and large-scale solar and wind. We need more storage and more integration and coordination,” Mr Wilson said on Beeliar this morning.
“This lowers costs for households and small and medium-sized businesses and makes the system as a whole cheaper, offering these benefits to everyone who is part of the system, whether they have solar or battery at home or are part of a VPP.”
The rooftop solar and home battery market is proving to be a thriving sector in Western Australia, with subsidies at state and federal government levels being introduced to encourage the uptake of these systems.
Today, gas retailer Wesfarmers has branched out into the market with an offering of fixed-price battery and solar installations in Kleenheat, WA.
CEFC CEO Ian Learmonth said new consumer energy models such as VPPs were required during the energy transition.
“By leveraging homes’ dispatchable energy capacity, coordinated technologies such as rooftop solar, home batteries and other consumer energy sources can help stabilize the grid, reduce energy costs, improve system reliability and maximize the value of renewable energy investments,” he said in a statement.
“This investment supports long-term energy system efficiency and highlights the role of smart, flexible technology in delivering better outcomes for both consumers and the grid.”
There are 3,500 households enrolled in Plico’s membership-based financing model for weekly installment solar and battery plans.
He calculates that solar, battery and VPP could save a household $1,100 annually on energy bills, while discounted credits could cut a father $130 to $240 annually over a decade.
“Plico is committed to democratizing energy through Plico’s affordable solar and battery plans, with generous VPP rewards and active participation in grid stability using a model that delivers direct and meaningful benefits,” Plico CEO Robbie Campbell said in a statement.
