Genex is joining forces with Tesla for its Bouldercombe Battery Project in Queensland, where Tesla will be supplying 40 megapacks for energy storage, a platform for energy trading and a world-first eight year revenue deal.
Under the agreement, Tesla will operate the project using its algorithm-based bidding system, Autobidder, which is designed to maximise the project’s revenue.
The Bouldercombe Battery Project (BPP) is Genex’s first battery investment.
Genex Chief Executive, James Harding, said, ‘We think this particular arrangement is unique in Australia; it’s the first one and even possibly the first worldwide.
“Tesla is very experienced in the Australian market.
“They have been providing their automated market bidding system, but this is the first time they have provided a long-term revenue support arrangement such as this, and sharing the revenue from the project.
“It shows their real confidence in the economics of this project.”
The Bouldercombe battery project is located 23km south of Rockhampton.
Land has been secured for the project and the grid connection is underway.
Genex said the project will power 4,167 homes, offset 22,655 tonnes of carbon emissions annually and could be one of the first standalone large-scale battery energy storage systems in Queensland.
Mr Harding said the Tesla battery would be located inside the boundary fence at its Bouldercombe site, with the 40 large receptacles, which look similar to shipping containers.
The battery will have two hours of power storage capacity.
“The battery will be able to charge itself from the network when prices on the electricity market are low. For example, when there’s lots of solar generation during the day from rooftop solar,” Mr Harding said.
“Then it will be able to generate for up to two hours in the peak times – in the evenings when people switch on their air conditioning.
“So, charging when the electricity prices are low and even sometimes where electricity prices go negative and then generating into the market when prices are high.”
The Tesla megapack lithium-ion battery system will be fully assembled, tested and shipped from its factory in Nevada in the United States.
Mr Harding says Genex chose Bouldercombe for the site as it is a “strategic part of the network”.
Mr Harding noted that it was ideally positioned, near several renewable energy generation sources and close to load centres in Gladstone and south to Brisbane.
The company expects the battery to be fully operational by 2023.