AGL has acquired full ownership of South Australia’s Virtual Power Plant (SAVPP) from Tesla.
The deal adds around 7,000 Powerwall batteries to SAVPP’s portfolio as it launches a new community energy initiative.
The SAVPP, initiated in 2018 with support from the South Australian Government and ARENA, comprises distributed solar PV and residential battery systems installed across social and community housing.
The solar and battery assets, now owned and operated by AGL, will continue to deliver significantly discounted energy to participating households while providing grid-stabilising services.
The acquisition coincides with AGL’s launch of ‘AGL Community Power’, a program aimed at extending renewable energy benefits to households unable to access rooftop solar or batteries due to financial or ownership barriers.
“SA social and community housing residents participating in this program will continue to receive significantly discounted energy prices,” said Jo Egan, AGL’s Chief Customer Officer.
“This innovative model of a virtual power plant means we can extend the benefits of the energy transition to more customers, in a really smart and simple way.”
Egan confirmed AGL is looking to scale the model nationally, particularly targeting social and community housing. Additional batteries are slated for installation this year, positioning SAVPP as the country’s largest VPP of its kind.
The systems will be centrally coordinated to function as a distributed energy resource, contributing to grid reliability and supporting AGL’s strategy to grow its decentralised energy network. The company is targeting 1.6GW of flexible, orchestrated load by FY27.
“We are focused on growing our flexible load under management and virtual power plant to support the energy transition,” said Egan.
“AGL is a leader in virtual power plant technology, and now proudly have one of the largest residential battery virtual power plant in Australia.”
The SAVPP purchase forms part of AGL’s $90 million Customer Support Package, which addresses rising energy costs through hardship support and community-focused energy solutions.