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                    Power Melbourne

                    Aerial image of solar panels on roof space at Library at the Dock in Docklands Melbourne
                    City of Melbourne is committed to creating energy efficient urban communities that are sustainable, affordable and reliable, attracting people around the world to visit, work, invest and make home.

                    ​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​​To do this we must ensure everyone has access to more affordable renewable energy.​

                    Power Melbourne will see a network of mid-scale batteries installed and coordinated across the city. The pilot phase will see three battery energy storage systems – with a combined capacity of 450 kW / 1MWh – installed at Library at the Dock, Boyd Community Hub and a Council House site by mid-2024. This pilot phase is an opportunity to test the Power Melbourne model and gain insights to inform the expansion of the battery network and retail offering in the future. 

                    A future retail electricity plan linked to the batteries will help renters, people living in apartments, and those running small businesses access more affordable renewable electricity. Creating a simple renewable electricity offering will provide residents and businesses an alternative energy plan and support the move towards sustainable energy technology.

                    This flagship project enables Melbourne to realise its commitment to powering the city with 100 per cent renewable energy by 2030. Accelerating the deployment of state-of-the-art technology at scale will cement Melbourne’s reputation as a global centre for clean energy innovation.​

                    Find out how you can be involved on Participate Melbourne.

                    Power Melbourne prospectus
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                    Partnerships 

                    City of Melbourne is partnering with the University of Melbourne and RMIT University to deliver Power Melbourne. Our ambition is to create a model that can be replicated across greater Melbourne and beyond.

                    Collectively, these organisations have expertise and capability spanning across energy markets, power systems engineering, smart grids and renewable energy, and have a track record of successful partnerships including on the Melbourne Renewable Energy Project.

                    We have also secured the following funding to support the project: 

                    • The Victorian Government provided funding for a feasibility study through the Department of Energy, Environment and Climate Action’s Neighbourhood Battery Initiative.
                    • The Australian Government's Community Batteries for Household Solar Program awarded the City of Melbourne a $500k grant which will support installation of a battery at Boyd Community Hub in Southbank.
                    • The Library at The Dock battery is supported by a $750k grant secured from the Victorian Government.

                    Following a rigorous tender process, Council will partner with Origin Energy to install and operate the three batteries.​

                    Fast-tracking Neighbourhood Batteries: A guide for councils and community

                    In 2022 and 2023 the Cities of Melbourne, Yarra and Port Phillip investigated potential principles for accelerating the deployment of neighbourhood batteries at scale. We explored their local community benefits in inner urban areas and their context in the broader national energy transition. The project was supported by the Victorian Government’s Metropolitan Partnerships.

                    The partnership summarised learnings in a guide to assist other councils and community groups to:

                    • understand neighbourhood batteries and their role locally
                    • decide whether neighbourhood batteries could benefit their community
                    • navigate a pathway to successful deployment.

                    ​Expressions of interest 

                    Electricity retailers and battery solution providers are invited to partner with us to help design, deliver, and scale the battery network and retail electricity offering.

                    Expressions of interest were open from 4 December 2021 to 11 February 2022.


                    ​Battery Opportunities Assessment

                    HIP V. HYPE were engaged by City of Melbourne to explore the potential role neighbourhood scale batteries can play and to understand how local governments can best support their deployment.

                    The report reviews existing research, uses interviews with several key stakeholders and analyses case studies to come up with a set of potential use cases for neighbourhood batteries in metro Melbourne. These recommendations inform the development of Council policies to guide the installation of neighbourhood batteries and the design of supporting programs.

                    Power Melbourne – FAQs

                    What is Power Melbourne?

                    We’re creating an ambitious battery storage and renewable energy initiative designed to accelerate our commitment to power Melbourne with 100 per cent renewable energy by 2030. 

                    The project will establish a network of mid-scale batteries to provide increased access to renewable energy which will support reliability and security of the electricity grid.

                    It will demonstrate new commercial models which can been replicated across greater Melbourne and beyond.

                    Why are we undertaking this project?

                    ​To become a net-zero city, all energy users within the city require access to affordable renewable energy. It’s particularly relevant for small businesses, renters, and people living in apartments who don’t have access to on-site solar. 

                    Our vision is for Melbourne to be the national hub for clean tech innovation and a leading market for innovative climate change solutions.  

                    Power Melbourne will create economic benefits through investment and job creation, and opportunities for research, education, and training. 

                    How does the project support more renewable energy in the grid?

                    By establishing a network of batteries and making it easier for households and small businesses to access affordable renewable electricity, Power Melbourne will encourage more renewables into the system.  

                    When batteries are coupled with rooftop solar or charged when there’s more renewable supply in the grid, they allow cheap renewable energy to be stored, and released when it’s most needed. 

                    Batteries respond quickly to maintain the voltage and frequency of the grid in areas where there is a lot of solar. They also provide energy during periods of high demand, like on hot days when thousands of air conditioners are running at once. 

                    In these ways, batteries help displace and replace fossil fuel generation and allow the grid to handle more distributed energy resources like solar and electric vehicles.  

                    Where will the batteries be located?

                    Following community consultation, the location of our first three batteries will be Council House, Boyd Community Hub, and Library at the Dock.

                    How large will the Power Melbourne battery network be?

                    ​The vision for Power Melbourne is a distributed network of mid-size batteries with an overall capacity of 5 MW / 10 MWh. This would be enough to meet the needs of more than 800 households for an entire day. 

                    What is the size of each battery? How many batteries will there be?

                    ​Individual batteries may range from 30 kW to 1 MW capacity. The batteries will be modular, meaning multiple small batteries can be stacked together to create bigger batteries.   

                    The physical size of each battery will depend on the choice of technology and its capacity. 

                    As a reference, a 200 kW battery is about the size of a compact 4WD car.  

                    I run a small business/am a resident in the City of Melbourne. How does Power Melbourne benefit me?

                    The average City of Melbourne resident lives in an apartment building and the Power Melbourne initiative will primarily explore models which will provide these residents, and small businesses, with access to affordable renewable energy.   

                    This group is currently ‘locked out’ of renewable energy options such as onsite renewable energy generation or collective Power Purchase Agreements due to property type or scale of energy use. ​

                    Contact us

                    Email
                    power.melbourne@melbourne.vic.gov.au
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