2017

BATTERY MARKET

REPORT
www.sunwiz.com.au

An Australian Solar PV
Battery Market Analysis
2017
KEY POINTS 3 AEMO MODELLING 33 GTM FORECAST 63
INTRODUCTION 4 ENERGIA MODELLING 34 AEMO FORECAST 64
REPORT OVERVIEW 5 BEST LOCATION FOR BATTERIES 35 MORGAN STANLEY’S JULY 2016 FORECAST 65
NEWSWORTHY ITEMS 6 PAYBACK IS FASTER FOR LARGE CONSUMERS 36 TOTAL MARKET SIZE 66
JANUARY – MARCH 7 BATTERY KPIS VS CONSUMPTION LEVEL 37 CHANNELS 67
BATTERY MARKET APRIL – MAY
JUNE
8 PAYBACK IS (SLIGHTLY) FASTER ON TOU TARIFFS
SAMPLE PVSELL RESULTS
38 WHICH WHOLESALERS STOCK WHOM
WHICH RETAILERS STOCK WHAT
68
9 39 69

REPORT
JULY 10 CUSTOMERS 40 TOP RANKS 70
AUGUST 11 SOLARCHOICE 41 TOP RANKS 71
SEPTEMBER 12 ENERGY CONSUMERS AUSTRALIA RESEARCH 42 INFLUENTIAL BATTERY BRANDS 72

www.sunwiz.com.au OCTOBER
NOVEMBER
13
14
SALES EXPERIENCE
TRENDS, COMMENTARY & INSIGHT
44
45
INDUSTRY AWARENESS LEVEL
INDUSTRY BELIEFS AROUND QUALITY
73
74
DECEMBER 15 TESLA 46 INDUSTRY BELIEFS AROUND VALUE FOR MONEY 75
PREVIOUS YEAR (2015) 16 CURRENT TRENDS 47 INDUSTRY BELIEFS AROUND LEVELS OF SUPPORT 76
KEY PROJECTS 17 REGULATIONS 48 AQUION ENERGY 77
A MAJOR YEAR FOR STORAGE PROJECTS 18 VOLUMES 2015 & 2016 49 ALPHA ESS 78
2016 PROJECTS 19 METHODOLOGY & 2015 50 ZEN FREEDOM POWERBANK 79
PROGRAMS & TRIALS 20 PROJECTS: # OF INSTALLATIONS 51 SONNEN 80
RETAILER & NETWORK ACTIVITIES 21 PROJECTS: kWh 52 LG CHEM 81
UTILITY-SCALE STORAGE SAMPLE PROJECTS 22 WHOLESALERS’ VOLUMES 53 ENPHASE 82
OTHER NEWSWORTHY PROJECTS 23 RETAILERS’ VOLUMES 54 FRONIUS 83
PRICES 24 MANUFACTURERS’ VOLUMES 55 ABB 84
LEARNING CURVE IN ACTION 25 SURVEYED PERCEPTIONS 56 ALL ANNOUNCED BRANDS 85
MORGAN STANLEY 27 2016 NATIONAL TALLY 57 OTHER INFLUENTIAL COMPANIES 86
WHAT DO YOU GET FOR YOUR MONEY 28 2016 BY STATE 58 SOLAR JUICE 87
PRICE POINTS 29 2016 SPLIT 59 SUPPLY PARTNERS 88
SUBSIDIES AVAILABLE 30 MANUFACTURER ANNOUNCEMENTS 60 RESOURCES 89
FINANCIALS 31 FORECAST 61 COMPARISON TABLE 90
SMALL IS BETTER, DELAYING IS BEST 32 SunWiz SURVEY 2017 EXPECTATIONS 62 USEFUL WEBSITES 91

CONTENTS
 • The battery revolution has begun: The strong end to
2017 2016 means people’s expectations for 2017 have
increased, when compared to midway through 2016.
KEY POINTS • Queensland and NSW the largest markets in 2016
• 2016 Market Size: 6750 installations totalling 52 MWh
• 2017 expected to reach 20,000 installations and over
170MWh.
• Despite ‘smaller is better’ when it comes to battery’s
financial outcome, the trend is towards larger batteries
• There are two separate markets : Retrofit and new-
build, with new-build customers commonly wealthy
customers who haven’t touched PV until now, because
of the entire solution presented by PV-storage
4
2017
• The Australian battery market is of significant interest
locally and internationally. This report intends on
providing transparency and insight into what is otherwise
INTRODUCTION a highly opaque market.
• The report is based upon hundreds of hours of research,
analysis, and interviews with key stakeholders.
• The volume of battery installations in 2016 will come as a
surprise to some. As installations were back-loaded
towards Q4-2016, expect a sizable increase in 2017
volumes.

5
2017
• Newsworthy Items
• Key Projects
• Prices
REPORT
OVERVIEW • Financials
• Customers
• Volumes
• Trends, Commentary, and Insights
• Forecast
• Channels
• Top Ranks
• Influential Battery Brands
• Other Influential Companies
• Resources

6
2017
BATTERY MARKET

REPORT
www.sunwiz.com.au
Amongst all the battery hype in 2016, there were some
significant milestones and noteworthy stories. The following
section summarises key developments in the Australian battery
market last year.

7
2017
Solahart to begin installing Tesla Powerwall in February 2016

Telstra to take on utilities with home solar & storage plan

2016 NEWS Redflow to start selling residential batteries in March

JANUARY - MARCH
AGL eyes virtual power plants in link with battery storage developer Sunverge, spends $28m on minority stake

SolarEdge's StorEdge solution is available in Australia

Enphase 1.2kWh to cost circa US$1000/kWh, expects a few thousand sales in oz in H2 2016, sees battery costs falling by half by 2020

Morgan Stanley forecast: 3million homes to have storage by 2035

LG Chem sold 600 batteries in past 9 months. Expects 3000 sales in 2016

Duracell announce ‘Powerwall Killer’ home battery

Redflow launches 10kWh “ZCell” into Australian home battery storage market
8
 Ausnet cannibalizes its network in Melbourne suburb with solar+storage minigrid

2017 SolarHub ActewAGL & ITPower win ACT battery pilot program. $900/kW subsidy on 200 systems, more to follow

2016 NEWS Aquion Energy Continues Funding Momentum With a $33M Round for New Battery Technology

APRIL - MAY
Suncrowd: First bulk-buy program launched to slash costs of battery storage in Australia

GCL Poly, world’s biggest maker of solar cells, chooses Australia for global launch of battery storage product

472 grid connected batteries installed in 2015 according to CER data

Enphase storage sales commence in Australia

ACT targets 600 homes in second round of battery storage tender, $2m available, about 2MWh of batteries.

Enphase: battery storage orders well ahead of target

9
 Enphase doubles storage production to 60,000 Australian units

2017 Transgrid pushing into storage with 1MW installations

2016 NEWS GE buys into Sonnen

JUNE
Queensland school installs solar and battery storage – an Australian first. 194kW with 250kWh

Adelaide Council reports big uptake of solar and storage from its incentive scheme as it heads to carbon neutrality

Australia's first 'green' copper produced with solar & storage energizing Sandfire Resources' DeGrussa mine in WA

NT govt offers $2,000 rebate for rooftop solar, battery storage . Participants must fund at least 50%.

Redflow partners with Redback on battery storage management technology

Morgan Stanley: Battery storage to grow four times quicker than market thinks, Australian battery storage costs may fall 40% in two years

Mercedes Benz to begin selling 2.5kWh Li-ion units in Australia in September

10
2017
First Enphase Storage system installed

2016 NEWS 2nd round ACT storage Auction attracts 17 bids

JULY

Lord Howe Island to install 450kW solar, 400kW wind and 450kWh storage
to cut back diesel

LG Chem's new storage starts from 3.3kWh, stackable, choice of colours.

Available August

ZenEnergy to install 512kWh of storage at 3x SA Government buildings in

Adelaide, plus 1 for Adelaide City Council

11
 First Fronius storage system installed in SA

2017 World’s largest Virtual Power Plant to be built in SA. One thousand Sunverge batteries to be installed in homes and centrally
controlled by AGL

2016 NEWS
AUGUST SA targets battery storage in new renewables auction for one-quarter of SA Government's electricity needs

Conergy's 10MW/5.3MWh Lakeland $42m project (ARENA funded) signs PPA with Origin (PPA #4). BHP interested too

CSIRO-made smart solar and storage system launched by Evergen - uses weather forecast to decide when to store energy

NZ’s Vector Energy to make push into Australia battery storage market

First GCL installation

First Redflow Zcell installation

12
 ZEN's new battery offerings: 2. Sonnen from 4kWh-10kWh
2017 starting from $12k installed. 3. ZEN's own 12.8kWh $20k

2016 NEWS
SEPTEMBER
Enphase Energy says orders for its first battery storage
offering have jumped to more than 70,000 (84MWh)

ActewAGL, Energy Matters, EPC Solar, Evergen, ITP, Origin,

Power Saving Centre &Solarhub win ACT storage tender

Redflow says first ZCell batteries to be installed in homes in

October, from $17500 per 10kWh unit

13
2017
Western Power announces Onslow microgrid project

Fusion Power Systems integrates Aquion storage into Titan SmartStorage product

2016 NEWS
Sonnen has shipped 450 battery units to Australia in the past year (to Oct 7)

OCTOBER GCL increases shipments of E-KwBe batteries to Australian market by a further 1000 units

Lyon Group partners with Mitsubishi for 1GW PV + 500MWh of battery storage by 2020, plus 500MWh of non-solar storage

Redflow gets order for 48 batteries (480kWh) from Melbourne installer Standard Solar

EnergyAustralia tips $9.3m into Redback smart solar & storage technology

Demand for Powerwall jumps 30x after SA Blackouts

TrinaBest PowerCube (7.2kWh) available from MPower, retail for $7,999 installed with AC Coupled inverter

ARENA Funds Kennedy Energy Park: 19MW PV+22MW wind + 4MWh storage

Geodynamics stops drilling hot rocks, rebrands as 'ReNu', will expand into agribusiness focused PV & storage

Tesla Powerwall 2 announced, at $8k with installation estimate $1450 (ex GST). 14kWh, 7kW

14
 Tesla Selling Li-ion batteries at retail prices cheaper than
2017 average manufacturing cost at most companies

2016 NEWS
NOVEMBER
Panasonic launches 5.3kWh battery onto market through
ActewAGL & Red Energy

Institute of Sustainable Futures trial of 50 homes for renewed

grids

Sonnen’s Australian Sales set new monthly record; Aus biggest

market outside Europe

15
2017
RES, Lloyds consider 100MW storage plant in SA

VSUN installs 100kWh vanadium battery on Busselton farm

2016 NEWS
DECEMBER
GCL slash price of battery to be 2nd cheapest per warranted kWh

Genex PV + Pumped Hydro plans reach financial close

Enphase’s largest storage installation (32kWh) goes live in multi-dwelling site.

LGchem announces partnership with SMA (SB Storage-RESU)

AGL says rapid takeup of first round VPP offer has put 2nd round ahead of schedule

SAPN completes 100th battery install for northern Adelaide solar & storage trial

16
2017
Cook Town: Get set for 26MW solar farm & 5 MWh battery in late 2015, courtesy
Lyon Infrastructure Investments

NEWS
(PREVIOUS YEAR – 2015) Solar and 1.1MWh storage in WA’s Alkimos Beach... due December 2015

640kWh battery storage system to accompany a 325kW of solar on WA’s

Thevenard Island.

Power Cor to install 2MWh Kokam battery on regional grid in Buninyong

AGL made 5 sales of batteries by August 2015

17
2017
BATTERY MARKET Though most PV retailers are focussed upon residential and

REPORT small-commercial installations, some major projects and rollout

programs contribute to a sizeable portion of the historically
www.sunwiz.com.au installed capacity - indeed, there were a significant number of
major projects in recent years. This section details the major
projects and rollout programs identified in the Australian Energy
Storage Database and in major news items, for your reference.

18
2017 In 2016 there was 11MWh
Storage Projects in AESDb
A MAJOR YEAR 12000 of installations from 17
FOR STORAGE PROJECTS major projects and rollout
10000 programs totalling 292
installations – a record year.

kWh commissioned per year

8000
In all years, 20MWh across
48 projects and 400
installations.
6000 Off-Grid
Grid-Connected

4000
The largest is the 2MW
installations at Sandfire
2000
Degrussa, Nauiyu (Daly
River) Remote Community,
0
and Buninyong (Powercor).
2003 2010 2011 2012 2013 2014 2015 2016

19
2017 Project
Sandfire Degrussa Copper Mine
Nauiyu (Daly River) Remote Community
UQ Gatton PV Pilot plant
Battery Brand

Qinous
Kokam
# installations
1
1
1
kWh State
2000 WA
2000 NT
760 QLD
Off Grid
TRUE
TRUE
FALSE
Alkimos Beach 1 1100 WA FALSE
2016 PROJECTS The Cork Trust Medical Centre Dorrigo Sacred Sun 1 72 NSW FALSE

Bundaberg Christian College HID Australia 1 250 QLD FALSE

Newcastle Sportsground No 2 Kokam 1 10 NSW FALSE

Busselton Farm Property Gildemeister 1 100 WA FALSE

Ergon Retail Trial Sunverge 33 396 QLD FALSE
Ergon Network Trial Enphase 10 50 QLD FALSE
Ergon GUSS Magellan 20 100 QLD FALSE
Lord Howe ARENA project 1 400 NSW TRUE
Coober Pedy ARENA project 1 500 SA TRUE
Energex demonstrations 4 34.4 QLD FALSE
Energex trials 15 90 QLD FALSE
ACT Program 100 640 ACT FALSE
SAPN Program 100 640 SA FALSE

Many Distribution Network Operators are conducting battery trials at present.

ARENA is also a supporter of many large-scale installations and rollouts.

20
2017
• CSIRO pilot uses Evergen battery storage optimisation platform with Solar &
Storage in 10 NSW low-income households, using AlphaESS batteries.
• Institute of Sustainable Futures trial of 50 homes for renewed grids.
PROGRAMS & TRIALS
MORE INFORMATION • ActewAGL, Energy Matters, EPC Solar, Evergen, ITP, Origin, Power Saving
Centre &Solarhub win ACT storage tender
• World’s largest Virtual Power Plant to be built in SA. One thousand Sunverge
batteries to be installed in homes and centrally controlled by AGL. 150 sales
by 15/12/16 with 350 up for grabs in round two, and system expanded to
11.6kWh.
• NT govt offers $2,000 rebate for rooftop solar, battery storage. Participants
must fund at least 50%.
• SAPN completes 100 battery installs for northern Adelaide solar + storage
trial:3.2kW PV + Tesla battery
 • Panasonic launches 5.3kWh battery onto Australian residential market... only through

2017 ActewAGL & RedEnergy

• EnergyAustralia tips $9.3m into Redback smart solar & storage technology
ELECTRICITY RETAILER & • By mid 2015, AGL had only installed 35 batteries for its 2000 signups for batteries
NETWORK OPERATOR
ACTIVITY • Networks will eat themselves...Ausnet cannibalizes its network in Melbourne suburb with
solar+storage minigrid

• United Energy Distribution partnership with Greensync uses Victorian government funds to
install PV & storage at community centres, and 250 DRED units

• AGL’s virtual power plant in SA will comprise 1000 storage systems from Sunverge with
combined total 7MWh capacity, $20m in cost. Rapid uptake of its first round offer puts its
2nd round offer ahead of schedule. Round 2: 350x 11.6kWh Sunverge batteries at $3489

• SAPN completes 100 battery installs for northern Adelaide solar + storage trial:3.2kW PV +
Tesla battery

• CitiPower residential storage trial installs 20 Tesla Powerwall batteries

• Powercor to add 2MWh Li-ion battery (Kokam) to be installed in Buninyong, south of

ballarat

22
 • Australia’s largest battery added to solar powered astronomy hub: 2.5MWh on 1.6MW PV

2017 •

•
Kennedy Energy Park by Windlab – 30MW Wind, 20MW PV, 4MWh (ARENA Funded), operational 2018

Lyon Group partners with Mitsubishi for 1GW PV + 500MWh of battery storage by 2020, plus 500MWh of non-solar storage

Lyon missed ARENA funding, will still proceed with 100MW/100MWh PV+storage in Roxby Downs & 80MW/20MWh
Lakeland2
UTILITY SCALE STORAGE
SAMPLE PROJECTS • Conergy's 10MW/5.3MWh Lakeland $42m project (ARENA funded, bought from Lyon) signs PPA with Origin (PPA #4). BHP
interested too. Construction to begin in September 2016 and complete April 2017. Germany’s Norddeutsche Landesbank
Girozentrale (Nord/LB) provided a 15-year non-recourse financing facility for the project, and Norton Rose Fulbright provided
legal counsel to Conergy.

• Lyon Group's next project: "Kingfisher" Roxby Downs first 20MW PV + 2MW storage (of 100MW-40MW total) – (ARENA
outcome pending)…

• Australia's first 'green' copper produced with solar & storage energizing Sandfire Resources' DeGrussa mine in WA.

• Transgrid pushing into storage with 1MW installations

• RES, Llyods consider 100MW storage plant in SA

• Western Power’s Onslow microgrid project (complete 2018)

• Alinta Mulls 36MW Lithium-ion storage project in Pilbara to displace gas generation

• 10.6MW PV + 6MW Samsung Li-ion storage at Degrussa copper & gold mine developed by Neoen signs PPA with Origin

• EDL to install 2MW PV, 3MW wind, and 2MW/0.75MWh battery in Coober Pedy, likely to be completed in 2017

• Rio Tinto Weipa Bauxite Mine to deploy 6.7MW PV + storage (off grid) – stage one is 1.7MW

• Powercor to add 2MWh Li-ion battery (Kokam) to be installed in Buninyong, south of ballarat

23
 • Adelaide City has announced plans for another solar PV and
2017 battery storage project, this time to be installed at the
Council’s London Road Depot
OTHER NEWSWORTHY
• Conservation SA installs 10kWh redflow battery
PROJECTS
• ZEN Energy wins $1m battery storage tender for SA govt
buildings
• Sydney student housing co-op to get 30kW solar, 43kWh
Enphase battery storage

24
2017
BATTERY MARKET Battery prices are following a classical learning curve at present.

REPORT Tesla’s announcements have forced others to slash their prices.

While declining prices will ultimately unlock a mass-market, they
www.sunwiz.com.au also constrain sales to eager early-adopters impatient to wait for
prices to fall.

25
2017
LEARNING CURVE
IN ACTION

This slide, extracted from BNEF’s New Energy Outlook demonstrates the price
decrease in Lithium-ion battery packs for the years 2010-15, and where prices
could head in the coming years. You can see prices could halve again by 2020.

26
2017
LEARNING CURVE
IN ACTION

Here’s another look at BNEF’s price trajectory for batteries in the coming years.
https://onestepoffthegrid.com.au/tesla-effect-means-australian-battery-storage-
prices

27
2017
MORGAN
STANLEY

Analysts Morgan Stanley also foresee major price reductions, particularly in Lithium-ion technologies.
Of course the sales price is made up of more than just the battery, and this chart illustrates that a
residential battery system with a $4200 battery can easily be priced at $10000 when an inverter and
installation is included. By mid 2018, Morgan Stanley believe the system price may have fallen by
42% - driven by battery price reductions, with savings also to be had in the inverter.
reference
28
2017
WHAT DO YOU GET
FOR YOUR MONEY?

Energy may be a commodity but batteries are anything but a commodity. If $/W is a poor indicator of financial
outcome from a PV system (system yield and lifetime should be accounted for), then $/kWh is an even worse proxy
for batteries. Initial storage capacity will degrade over time, and the battery’s ability to respond to tariffs, weather,
and loads will determine how much money it saves.
This chart from SolarQuotes provides a better KPI, by dividing the system price by the battery’s lifetime warranted
number of kWh. It shows that Tesla’s leads the way with its latest pricing – which has forced GCL to slash its own
pricing to keep up. Still with most batteries offering power at over 40c/kWh over their lifetime, its hard to make a
buck from solar storage, unless you can cycle multiple times per day.
http://reneweconomy.com.au/gcl-slash-price-of-battery-to-be-2nd-cheapest-per-warranted-kwh-20557
29
2016
PRICE POINTS

Some retail price points are shown in the chart on the right, which depicts the $/kWh versus the capacity.
• The main trend is that larger batteries cost less per-kWh (economies of scale).
• Fronius, Samsung, and Sonnen batteries tend to be more expensive. GCL, LG, and Tesla batteries tend to be
less expensive
• There is already a wide range of possible pricing that is also influenced by the inverter and panel brand.
30
 • Adelaide City Council – up to $5k for batteries that
2016 are connected to PV
• ACT Government: 36MW of storage across 5000
SUBSIDIES homes.
AVAILABLE • The subsidy paid an initial $900 per sustained kW of peak
output, which has since decreased to $825/kW.
• SolarHub, ActewAGL and IT Power were the winners of
the first round. ActewAGL, Energy Matters, EPC Solar,
Evergen, ITP, Origin, Power Saving Centre & Solarhub won
the second round
• Most installations have included Reposit technology.
• NT Government: $2,000 rebate for rooftop solar,
battery storage. Participants must fund at least 50%.
• ARENA: has funded AGL’s SA VPP, Ergon’s residential
battery trial, Alkimos Beach development, SAPN’s
trial.
• The CEFC concessional loan to Origin was also
intended to be used for batteries.

31
2017
BATTERY MARKET Thankfully financial return isn’t the primary motivator for early

REPORT adopters. However in order to have mass market appeal, storage

prices will need to dive. This section investigates the financial
www.sunwiz.com.au outcome possible from a PV-storage system at present and in
future. We also present some PVsell dashboards and analysis to
help you identify the best customers for batteries.

32
2017
SMALL IS BETTER
DELAYING IS BEST

• This BNEF chart illustrates that larger storage systems result in much longer payback than
systems with small amounts of storage (or none at all).
• It also illustrates the benefits of delaying investment – while battery prices continue to fall at this
rapid rate it makes more financial sense to wait a few years.
• There are circumstances where payback can be better than this – Queensland tariff structures
aren’t battery-optimal

http://reneweconomy.com.au/2015/tesla-already-forcing-down-battery-storage-prices-in-australia-
57681
33
2017
AEMO:
CONSUMPTION LEVELS
IMPACT PAYBACK

• Payback is shorter for consumers with higher levels of consumption

• Payback is fastest in SA and longest in Tasmania.
[Reference]
34
 Most households currently have flat-

2017
rate or time-of-use pricing, but
DNSPs are pushing for peak demand
charges (indeed these will be
gradually introduced in Victoria from
2017).
ENERGIA MODELLING:
The lower energy rate that
DEMAND TARIFFS accompanies demand tariffs will be a
ACCELERATE BATTERY significant set-back for PV ROI.
ECONOMICS However, these charts show that
demand charges can be favourable
for batteries. The research shows:
PV-Battery payback under a demand
tariff has a median of 9 years at
April’s prices and 7 years when
batteries fall below $600/kWh.
No households on a flat-rate tariff
are financially better off with
batteries alone, until they fall below
$150/kWh (which is a long-time off)
But with demand charges, at today’s
battery prices a 1kWh battery has
significant value proposition.
When battery prices fall to
$500/kWh then a 5-6kWh system will
be optimal under a demand tariff

http://energeia.com.au/wp-content/uploads/2014/02/Solar-Storage-Analysis-Part-2-The-Prize1.pdf

35
2017
This analysis shows the results of
PVsell modelling 5kW of PV with a
PowerWall 2 on standard tariffs
across the country, against a
customer with a (very high)
25kWh/day consumption level.
BEST LOCATION
Though you can’t convince your
FOR BATTERIES customers to move states just to
get a better battery deal, national
PV/storage retailers can target their
efforts to the best location
Customers in Adelaide are
fortunate to have the quickest
payback on a PV-storage system –
driven by high electricity prices and
plenty of sunshine.
Customers in Brisbane are least
well-off, because of low electricity
prices.
Much of the rest of the country has
a 10 year payback if the
Of course, the solar power does the
heavy lifting when it comes to the
revenue creation.

36
2017
PVsell analysis also shows
that payback is quickest for
customers with higher
energy usage. (That’s not an
excuse to increase your
PAYBACK IS FASTER usage).
FOR LARGE CONSUMERS
Payback is faster primarily
because customers with
higher levels of usage have
greater levels of self-
consumption from their solar.
Customers with higher levels
of consumption can also
make greater utilisation of
the battery – in part because
they spill less energy, and
because the battery has
greater opportunity to drain
each day.

37
2017
Unpacking this more, we can
see that customers who
consume more energy (from left
to right)
BATTERY KPIS • Have greater utilisation of
the battery (more kWh/day
VS drawn from the battery)
CONSUMPTION LEVEL • Have a greater % reduction
in solar export (because
there is less solar export in
the first place due to higher
levels of self-consumption)
• Have fewer % of days
where the battery isn’t fully
discharged at the end of
the day
• Those with 15kWh of
consumption only have a
fully-drained battery
25% of days, because
solar energy plus 13kWh
battery more than meets
their needs most of the
time)

• Have fewer % of days when • Have fewer % of days where there is

no power drawn from the grid
the battery spills energy • The PV-battery system provides
due to being charged to 100% of the users needs 75% of
full capacity by the solar days for those with 15kWh/day
consumption levels, but only 7% of
energy (as the battery is days for those with 25kWh/day
drained more often and consumption
there is less excess solar to
soak up) 38
2017
Payback is slightly faster on TOU tariffs than on
Block Tariffs
Payback on a block tariff was 10.4 years, compared to
a TOU tariff where the best payback was 8.9 years

PAYBACK This applies at least to the Ausgrid area, though it

really depends upon the comparative values of the
IS (SLIGHTLY) FASTER
alternative tariff in the customer’s location.
ON TOU TARIFFS
It also depends upon your discharge strategy – it
maximises revenue to discharge during Peak
Shoulder and Off-peak periods, and though it
does increase the cycle count from 199 to 273 per
year – this is still within warranty.

Discharging during Peak, Shoulder, and Off-Peak (left) compared to discharging during Peak &
Sholder only (right)
39
2017
Sample PVsell Results for Sydney, 25kWh/day consumption,
PowerWall2, Peak-Shoulder-Offpeak discharge

SAMPLE
PVsell Results

40
2017
BATTERY MARKET Its early days for battery sales, and understanding customers is

REPORT key. Here is some interesting research into the minds of battery
customers.
www.sunwiz.com.au

41
2017
SOLARCHOICE:
WHAT THEY’LL PAY,
AND WHAT FOR

SolarChoice surveyed visitors in 2015, and found that:

Energy self-sufficiency isn’t necessary for people to want batteries
Theoretically they would pay $10,000 for energy self-sufficiency
Over the course of 2015, it was Tesla that led the brand recognition stakes.

http://www.solarchoice.net.au/blog/news/survey-provides-snapshot-australian-understanding-energy-storage-110815

42
2017
ENERGY CONSUMERS
AUSTRALIA RESEARCH

ECA surveyed energy consumers about sentiments towards solar and storage, amongst other things

The research found that 1-2% of consumers and businesses already had storage

The key findings are summarised beside

More information at http://www.energyconsumersaustralia.com.au/research/energy-consumer-

sentiment-survey-findings

43
2017
ENERGY CONSUMERS
AUSTRALIA RESEARCH

ECA commissioned research on usage of solar electricity in the NEM, part of which was about batteries.
There’s some great research on solar motivations in here:
http://www.energyconsumersaustralia.com.au/documents/UMR-Usage-of-solar-electricity-in-the-
national-energy-market.pdf
The chart to the right shows the motivations for considering batteries – with the leading answers
Energy Independence
Reducing Bills
Making better use of solar panels

44
2017
SALES EXPERIENCE

What proportion of PV sales enquiries ask about batteries?

The median is 70%, with most PV companies experiencing more than 50% of their sales enquiring about batteries.

What proportion of installations actually include batteries?

There’s a wide range of answers, but the median is 10%, and most companies have a success rate of less than 22%.
The outlier is a battery-specialist.

45
2017
BATTERY MARKET

REPORT
www.sunwiz.com.au

While speaking with dozens of leading companies in Australia’s

nascent battery market, we were fortunate to receive learned
opinions on trends that are emerging.

46
 Tesla has kick-started (and stopped) the
2017 market
TESLA • Tesla’s PowerWall 1 announcement drove sales
enquiries, though the delay until arrival onshore
created a gap that was filled by the likes of LG
Chem.
• Tesla’s PowerWall 2 announcement meant that
companies who had successfully sold a PW1
suffered another pause in their sales and
installation process, and people opted to wait
for the larger product at the same price.

47
 Current trends are about to shift
2017 •
•
Trends that occurred in 2016 are likely to be very different in 2017 as new product comes online.
For example, there will be many more retrofit sales in 2017 now that the Feed-in Tariff market is open.

CURRENT • The vast majority of sales by companies like LG Chem were 48V batteries in 2016. This is likely to change
with the arrival of the 400V units in 2017
TRENDS • 3-phase is fast becoming a requirement, especially as 50% of houses in Perth are 3-phase.
• More and more people will clue onto the impact Power and C Ratings have upon bill reduction and
product life
• Standards will start to dictate which batteries must be installed outside
• Just like the Australian solar industry has experienced floods of cheap panels and inverters that have since
withdrawn from the country, broken down, or gone belly up, the same is likely to play out for batteries in
the years ahead.
• Innovative models will appear – for example AlphaESS you can have a pay-by-the-month service
agreement, rather than owning the battery itself.
• Saving installation time by pre-engineering components is a common trend.
• The market needs to build its capability in sales and installations. Batteries are 4-5 times harder than PV in
terms of complexity of sale.
• Software and availability issues with a number of batteries have held back rollouts.

48
 Regulations will increase (DNSPs are under-aware of
2017 batteries on their network)
• A range of Distribution Network Service Providers (DNSPs) were also interviewed as part of
this study.

REGULATIONS • None of the DNSPs were confident that they had captured all the batteries connected to
their network, indeed most felt fewer than half would have submitted a network connection
application.
• Most DNSPs did not yet have systems whereby they could easily extract data on the
number of connections made per month or by location.
• The data reported by DNSPs of battery installations with connection agreements indicates
they had only captured 30% of installations (on average).
• The lack of incentive for battery installations (e.g. STCs) and the slow progress in standards
means that:
• A national register of battery installations will be required, in order to provide battery information to
support network management, market operation, emergency services, and battery recycling.
• DNSPs will inevitably be required to implement regulations (connection requirements) to ensure
grid quality and stability is met
• Product and installation standards for grid-connect batteries will need to be accelerated, and will
continuously evolve.

49
2017
BATTERY MARKET

REPORT
www.sunwiz.com.au
Here we pull together all the figures we’ve been privy to, and
provide our opinion on the market size in recent years. Note that
this assessment primarily applies to grid-connect batteries,
though some (non Lead-Acid) off-grid installations are included
in the data.

50
 • Its very very (very) difficult to come to a conclusive answer on the market size. We

2017
have taken a multi-pronged approach and attempted to thread together a cohesive
answer by building up data from the following channels:
• Public announcements

METHODOLOGY & • Databases of installations and projects

2015 • Interviews with key manufacturers
• Interviews with key wholesalers
• Interviews with many retailers

• The key difficulty with reporting what was installed in 2016 is that manufacturers know
their sales figures to wholesalers, yet don’t know how much stock wholesalers are
holding. As retailers don’t hold much (if any) battery stock, wholesalers’ sales figures
are the best proxy for 2016 installation volume. However it is difficult to get a
complete dataset from the large number of wholesalers. So we have performed cross-
checks and apply appropriate factors to manufacturers numbers.

• Based on our research, we believe the size of the grid-connect battery market in 2015
was ~500 units. This was supported by a Clean Energy Regulator report.

• We also believe the #1 retailer of 2015 was 360 Energy, based upon sales data which
was provided to us.

51
2017
2016 Installations by Major Projects
350 UQ Gatton PV Pilot plant
The Cork Trust Medical Centre Dorrigo
SAPN Program
300 Sandfire Degrussa Copper Mine

PROJECTS: Newtown Housing

Newcastle Sportsground No 2

# OF INSTALLATIONS 250 Nauiyu (Daly River) Remote Community

Ergon Retail Trial
Ergon Network Trial

# installations
200 Ergon GUSS
Ergon Community-Scale Trial
Energex trials
150 Energex demonstrations
Citipower residential trial
Busselton Farm Property
100 Buninyong PowerCor
Bundaberg Christian College
Ausnet Mooroolbark trial
50 Alkimos Beach
ACT Program

• In Major projects, we see a total of 325 installations occurring in 2016; the majority of
which were made up of the SAPN program, Ergon Retail Trial, and the ACT program

52
2017
2016 kWh Batteries by Major Projects
12000
UQ Gatton PV Pilot plant
The Cork Trust Medical Centre Dorrigo
SAPN Program
10000

PROJECTS:
Sandfire Degrussa Copper Mine
Newtown Housing
Newcastle Sportsground No 2
kWh 8000 Nauiyu (Daly River) Remote Community
Ergon Retail Trial

kWh installed
Ergon Network Trial
Ergon GUSS
6000
Ergon Community-Scale Trial
Energex trials
Energex demonstrations
4000 Citipower residential trial
Busselton Farm Property
Buninyong PowerCor
Bundaberg Christian College
2000
Ausnet Mooroolbark trial
Alkimos Beach
ACT Program
0

• These projects installed a total of 11MWh in 2016 – with strong contributions from
the single large batteries at Sandfire, Nauiyu Remote Community, Powercor’s
Buninyong, and the UQ Gatton pilot project

53
2017
• From the figures reported by a handful of key
wholesalers, we can be confident that the total number
of residential battery sales in 2016 exceeds 3400.
WHOLESALERS’
VOLUMES • Sales reported by three wholesalers account for 79% of
the sales reported by a key battery manufacturer, which
indicates a high degree of confidence in these figures.
• We believe that SolarJuice is the leading wholesaler.
From figures supplied, One Stop Warehouse and Supply
Partners are also in the top ranks, as are AC Solar
Warehouse. RFI

54
2017
• We were provided with 2016 installation Note this chart of manufacture
volumes from 44 PV-storage retailers
that we interviewed. Their total number market share is based on the
of 2016 installs was 770. survey of PV retailers only and
• Leading retailers willing to be named therefore is not representative of
included Go Solar Newcastle on 115, the entire market
SolarHub on 112, Origin on 100 installs.
RETAILERS’
360storage (81), Planet Power, and
Springers Solar (43) rounded out the top
ranks that were happy to be publish
VOLUMES figures. These figures are based on their
claims only and have not been
independently verified.
• However there was a wide variety of
experience. The median value in the 44
companies was 14 installations, the 75th
percentile was 37 installations.
• In short, the experience of most
companies was a very small number of
sales in 2016.
• Amongst the group surveyed, Tesla had
the highest share of installation, followed
by Enphase then LG
• Other leading Retailers include Energy
Matters, Suncrowd, Solarray, CSR
Bradford, Rheem, and Natural Solar.
• Note that the chart on the right is based
upon interviews of a selection of
companies, and is therefore not
representative of the market as a whole.
Specifically, based upon market data
provided to us an independently verified,
we believe that LG Chem is the #1
manufacturer for Australian battery
installations in 2016

55
 • Though many manufacturers shared their
2017 volumes with us, it was typically on the
condition of anonymity.
MANUFACTURERS’
VOLUMES • Alpha-ESS was an exception, with 850
installations in 2016
• Overall there were at least 7400 sales by
battery manufacturers to wholesalers.
• Some of these would be held in stock by
wholesalers, and others would have had multiple
batteries installed on a single site.
• This only accounts for the manufacturers we
interviewed – so the figure could also be higher.
• We therefore believe the upper limit on
installations in 2016 is 10,000

56
2017
• Our survey of manufacturers asked
their best guess as to market size. The
median value of guesses for 2015 was
1500 installations, in 2016 was 6500
SURVEYED units, and for 2017 is 20,000.
PERCEPTIONS • However, there is a very wide range
of guesstimates, the maximum of
which for 2016 was 7500 units.
• People feel that the battery
revolution has arrived earlier than
expected: When we surveyed people
mid 2016, people’s expectations was
far lower – with 750 the median
expectation of #installations in 2016,
and 6250 the median for 2017.

57
2017 INTERVIEWS SAY:
2016 • Manufacturers: at least 7400 sales to
wholesalers, though this figure doesn’t
NATIONAL TALLY include sales from all manufacturers, based
on data from ~10 manufacturers Residential
•6500
• Wholesalers: at least 3400 installations (from installations
4 wholesalers) 42 MWh
• Retailers: at least 726 installs (from 44
interviews) Total Market
• Projects: 325 installs • 6750
• Survey: a median of 6500 installations installations
• Forecasters: GTM 6700, Morgan Stanley 100k 52 MWh
SunWiz’s RECKONING: DNSP/Utility
• Residential volumes (outside of DNSP • 250
programs): 6500 installations totalling 42 installations
MWh 10 MWh
• DNSP/Commercial: 250 additional
installations totalling 10MWh
• Total market for 2016: 6750 installations
totalling 52MWh
58
2017
• Based upon estimates
2016 provided by key battery
BY STATE manufacturers, we
calculate that NSW was
the leading state for
battery installations in
2016, though
Queensland wasn’t far
behind.
• Victoria was third, SA
fourth, and WA fifth.

59
2017 2016: residential/commercial/utility split
Residential/commercial/industrial: Every
2016
•
retailer surveyed reported above 99% of
their installations were to residential
SPLIT customers. There are occasional exceptions
– e.g. GEM Energy, and of course the major
projects.
• Grid Connect: projects were most
commonly grid connect, though some
installers also won some off-grid work –
understandable due to the low numbers of
total installs reported by individual
companies.
• Retrofit: some companies had higher rates
of retrofitting to existing PV systems; others
found greater success selling PV & batteries
to customers new to solar, and some
companies had a mix of both.
• AC Coupled: The majority of respondents
reported a >90% rate of AC coupling
• 400V ‘High Voltage’ batteries: there was a
wide range of responses to whether
batteries were high voltage or 48V.

60
2017 Manufacturer public announcements of volume
• Sonnen announced they had shipped 450 units to October 2016.
MANUFACTURER
ANNOUNCEMENTS • Redflow announced an order for 48 units from one Melbourne installer
• VSUN installed a 100kWh vanadium battery on Busselton farm
• Enphase says orders for its first battery storage offering have jumped
to more than 70,000 (84MWh) (September 2016) – note that this is
forward orders for the financial year Oct 2016 – Sep 2017.
• LG Chem sold 600 batteries in past 9 months to March 2016. Expects
3000 sales in 2016
• AGL’s Virtual Power Plant sold out 350 sales of phase one – note that
we expect none of those have been installed in 2016.
• Alpha ESS has allowed us to publish their claim to 100 sales in 2015
and 850 sales (912 pieces) in 2016

61
2017
BATTERY MARKET What does the future hold? These forecasts provide a range of

REPORT possible outcomes to plan for (and track against).

www.sunwiz.com.au

62
2017 •
SunWiz Survey 2017 expectations
The baseline forecast for the 2017 market is 20,000 or
160MWh of residential, a 3-fold increase on the 2016 Comparison of Forecasts
SunWiz SURVEY sales and 4-fold increase in (non-utility) MWh.
700
2017 EXPECTATIONS • This is understandable, in light of 2016’s figures being 600
back-loaded into the second half of the year, and the 500 529

MWH/YEAR
pauses owing to Tesla’s announcements. A 3x increase
400
really represents zero growth on Q4 figures, so a 5x
increase is entirely plausible – this would bring the 300
tally to 33000 (or one in four new PV installations). 200

• On top of residential sales, also expect Murchison Radio 100

Observatory, Kingfisher, and Conergy’s Lakeland project 0
to add at least 10MWh of utility-scale storage to the mix. 2015 2016 2017

• Lets see how this compares with other analysts, and what SunWiz GTM AEMO Morgan Stanley
the future holds beyond 2017
• You’ll see that GTM looks a bit low at 108MWh
• AEMO’s 529MWh in 2017-18 just within the NEM SunWiz Forecast Range
would require massive rollout of commercial storage
70000
• Morgan Stanley’s prediction of 150,000 new
installations in 2017 looks ludicrous, given there are 60000
fewer PV installations than that each year.

# INSTALLATIONS
50000
• Out to 2018 we see room for further growth, 40000
albeit curtailed by the number of new solar 30000
installations happening each year – for this
20000
reason we don’t expect exponential growth to
occur just yet, at least not until battery prices 10000
fall to the point where retrofitting makes 0
financial sense to the mass market. 2015 2016 2017 2018

Baseline Mid High 63

2017
• Residential Storage levels of 1.9MW in 2015 will explode in 2016 to
44MW
• Overall (including Residential, Commercial, and Utility-scale):
GTM • 6.6MW in 2015
FORECAST • 75MW in 2016
(Nov, 2015) [reference]
• 108MW in 2017
• 161MW in 2018
• 206 MW in 2019
• 244MW in 2020.

64
2017
AEMO
FORECAST

• AEMO’s forecast covers Queensland, NSW, Victoria, SA, and Tasmania only.

• Their 2017-18 figure was 529MWh (which would be an upper limit of 53000x 10kWh
systems). [Reference]. NSW represents 38% of this, VIC 26%, QLD 24%, and the rest 2%.
Obviously this was written before the SA blackout!

• However, they believe that initial takeup will mostly come from businesses, with a
significant volume of residential storage not seen until 2020, at least in terms of MWh.

65
2017
• Morgan Stanley estimated there would
be 300MWh of new installs in 2016;
600MWh in 2017, 900MWh in 2018,
1.8GWh in 2019, and 2.4GWh in 2020.
MORGAN • They estimated there would be 150k
STANLEY’S JULY new installations in 2017 (base case),
growing to 300k in 2018, 600k in 2019,
2016 FORECAST and 1000k in 2020.
• The High case represents a doubling
on these figures
• Considering there were 130k new PV
installations in 2016, we believe MS’s
numbers are optimistic.
• Morgan Stanley believes 40% of
households may take-up battery
storage by 2035 - 3 million households

reference

66
2017
• Morgan Stanley estimate that the
total market size for residential
storage in the NEM is 523,000 new
PV & storage households, plus
TOTAL MARKET SIZE:
MORGAN STANLEY (JUNE, 2016) another 500,000 retrofit storage
households.
• They believe there is ~100k
households that will pay >$10k for
batteries.
• They believe that despite the
economics of retrofit PV, the post-FiT
opportunity to increase PV system
capacity shifts the economics towards
that of a new PV&storage system.

reference

67
2017
BATTERY MARKET An insight into the major players of the industry

REPORT
www.sunwiz.com.au

68
2017 Whick Wholesalers Stock Whom?
Tesla LGchem Aquion Sonnen Enphase Fronius Others
WHICH WHOLESALER
STOCK WHOM? Solar Juice Yes Yes

One Stop Warehouse Yes Yes

Sol Distribution Yes
RFI Yes Yes Samsung
Energy Matters/ Appollo Yes Yes Yes Yes Yes
(Flex)
Supply Partners Yes Yes
Solarcart Yes
DPA Solar SimpliPhi
360 Storage Yes Yes
AC Warehouse Yes

69
 BIG BRANDS OTHER BRANDS
Enphase (Premium Battery Company Selling
Tesla Dealers) LG Chem Alpha ESS Fronius GCL Brand Battery

2017
Australia Wide Solar Energy Matters 247Energy Australia Wide Solar Batteries and Solar 247Energy Akasol Offgrid Batteries
Off-grid Energy
Aztech Solar EnergyAustralia AHE Group Electricity Solutions Enerklean Access Energy Alpha Storion Australia
Bright Earth Electrical Envirogroup Ausgreen Solar Energy Options Off-grid Energy Adelaide Solar Safe Aquion Batteries and Solar
Clean NRG GoSolar Newcastle Aussie Hybrid Solar MV Solar SAE Group Aussie Hybrid Solar Aquion Solarman
Off-grid Energy
Cola Solar Harrison's Energy Solutions Australis Solar Australia SolarE Aztech Solar Bosch Australis Solar
Energy Wise Group Hubands Energy Aztech Solar Seed Power SolarGain Enerklean Ecoult Solarman
Envirogroup Hush Energy Batteries and Solar Skyline Energy Solarman Just Energy Magellan Enerklean
WHICH RETAILERS Gold Coast Energy
RK Solar & Consulting
Services
Super Green
Battery Energy Storage Systems Solutions The Sun Works MC Electrical NESS Access Energy
STOCK WHAT? Green Engineering RoofJuice Australia Blue Mountains Solar GreenPower Co SAE Group Phono Cube SIV Corp Solar
HEG Energy Solar Australia Pty Ltd Bright Earth Electrical SIV Corp Solar Pylon Access Energy
(NON-EXHAUSTIVE) Solar City New Zealand
Infinite Energy Limited EcoElectric Sky Solar Energy Redflow SSE Systems
Just Energy Solaray Energy - AB Energy Storage Direct SolairEconnect Redflow Riverina Complet Solar
Light Touch Electrical Solargain PV Pty Ltd EnergyBank Solar Link Australia Redflow Country Solar
Apex Communication
Local Power Space Solar Service PTY LTD Enerklean SolarE Redflow Technologies
MC Electrical Springers Solar Envirogroup SolaRestore Redflow Sustainable Works
Specialised Solar
Mode Electrical Tindo Solar Pty Ltd Green Engineering Solutions Redflow Veida
Natural Solar Y Solar Systems Pty Ltd Offgrid Batteries Sunny Sky Solar Redflow Green Gateway
NC Electrical Rainbow Power Company Sure Solar Redflow Solar Depot
Off Grid Power
Solutions SB Solar Battery Services Redflow Standard Solar
Off-grid Energy SIV Corp Solar Redflow WES Group
Planet Power Solar Link Australia Redflow Safety Smart Electrical
Off-grid Energy
Simmark Solar Powered Homes Redflow Australia
SolaRestore SolaRestore Redflow Suntrix
SolarGain SolarGain Redflow SolaRestore
SolarHub SolarHub Samsung Batteries and Solar
Solarman Solarman Samsung Solarwise Wagga
Solgen Solarwise Wagga Samsung Australis Solar
Super Green Solutions Sungods Solar Samsung Enerklean
Tailored Energy
Solutions Sunny Sky Solar Schneider Adelaide Solar Safe
The Sun Works Sure Solar SimpliPhi Batteries and Solar
West Australian SB Solar Battery
Alternative Energy The Sun Works SimpliPhi Services
SimpliPhi SolaRestore
SolarEdge Green Engineering
SolarEdge Bright Earth Electrical
SolaX SolarE
SolaX Energy Options
Sonnen Green Engineering
Sonnen Australis Solar
Sonnen The Sun70Works
Sonnen SolaRestore
Zcell The Sun Works
2017
BATTERY MARKET

REPORT
www.sunwiz.com.au

71
2017 Top Battery Manufacturers, Wholesalers,
and Retailers
TOP RANKS • Based upon information provided to us, and (where gaps
exist) our best estimates, SunWiz believes the top ranks in
the battery supply chain are:
• Manufacturers: Top is LG Chem. Tesla, GCL and Alpha-ESS ranked
highly
• Wholesalers: Top is Solar Juice. One Stop Warehouse and Supply
Partners ranked highly
• Retailers: Origin, Energy Matters, CSR Bradford, Rheem, Natural
Solar, Solar ray, Suncrowd, 360 Storage, Solar Hub, Planet Power,
Springers Solar are all in the top ranks of installers. Though we
cannot confirm it, we believe the #1 retailer of 2016 was Natural
Solar, with CSR Bradford highly likely to be in the top 3.

72
2017
BATTERY MARKET

REPORT
www.sunwiz.com.au
This section presents the results of a survey of 30 industry leaders in mid-
2016. It then summarises the battery offerings from manufacturing
respondents

73
2017
Industry Brand Awareness, mid-2016
25

20

INDUSTRY 15
AWARENESS LEVELS
10

Actively using Familiar with Aware of Unheard of

• Amongst the industry, Tesla had the greatest levels of awareness, though
LG had more companies using it. Allgrid was the least known company,
and despite being the longest-established lithium battery manufacturer
in the sample (and the supplier to Tesla).
74
2017
Quality
100%

90%

80%

INDUSTRY 70%

BELIEFS AROUND 60%

QUALITY 50%

40%

30%

20%

10%

0%

Pathetic Poor Reasonable Good High

• LG chem was viewed as the best quality battery amongst the respondents,
with Enphase also seen as a good quality product.
• Companies are ordered from most respondents to least respondents.
Therefore Manufacturers shown to the right of the chart are more influenced
by single respondents.
75
2017
Value for Money
100%

90%

80%

INDUSTRY 70%

BELIEFS AROUND VALUE 60%

FOR MONEY 50%

40%

30%

20%

10%

0%

Terrible Poor Reasonable Good Excellent

• LG Chem was viewed as being the best value for money , though
360storage fared very well (from a smaller number of respondents).
Samsung was considered to be poor value.

76
2017
Levels of Support
100%

90%

80%

INDUSTRY 70%

BELIEFS AROUND 60%

LEVELS OF SUPPORT 50%

40%

30%

20%

10%

0%

Hopeless Poor Fair Good Excellent

• Tesla was seen as having comparably poor levels of support in mid 2016;
by contrast LG Chem was seen to provide high levels of support. The
outstanding leader in providing support was Enphase.

77
2017 AQUION ENERGY
KEY DIFFERENTIATORS:
KEY DETAILS:
AQUION ENERGY • Chemistry: Aqueous Hybrid Ion (AHI) • Safety: inherently non-toxic, non-corrosive, pH
neutral
(electrochemical)
• Suitability for off-grid: modular nature,
• Capacities: Nominal 2.2kW – batteries can be
compatibility with 48V inverters, longevity
stacked (in parallel) to any size.
• More robust than lead-acid for extended periods at
• Since: 2011 partial SoC
• Contact: Adam Champion • Sustainable
• Key distributors: Fusion Power systems,
Ampetus Energy, Blitzability, Unlimited Energy
• Key retailers: Ampetus Energy, Blitzability,
Unlimited Energy

KEY PREDICTION:
“Aquion’s advantages of safety will come to the fore as regulators implement standards. The draft version of the
battery standard will soon impact upon where systems can safely be installed – so Aquion’s safety and inert
materials will make it favoured for residential & commercial”

78
2017 ALPHA ESS
KEY DIFFERENTIATORS:
KEY DETAILS:

ALPHA ESS • Chemistry: Lithium Iron Phosphate • All-in-one design, while flexible in size.

• Capacities: Uses 3kWh or 4.8kWh module, coupled • Time saving on installation

with Alpha or Goodwe or SMA inverter. • Features including UPS, genset control
• Since: 2012 • Price

• Contact: Dong Lin. dong.lin@alpha-ess.com • Safe chemistry

• Key distributors: Sells direct • 10 or 20 year risk-free service agreement, rather

than paying outright
• Key retailers: Off-grid Energy Australia, The
GreenPower Company, Skyline Energy, Seed Power,
Electricity Solutions, Energy Options, MV Solar,
Australia Wide Solar, Super Green Solutions

KEY PREDICTION:
“I don’t think the retrofit market will grow as fast as some people estimate, at least not until battery
prices decrease to the point where payback on a battery-only system falls beneath 7 years”

79
2017 ZEN FREEDOM POWERBANK
KEY DIFFERENTIATORS:
KEY DETAILS:
ZEN FREEDOM • Chemistry: Lithium Ion Polymer (LG) • Backup power
POWERBANK • Capacities: 12.8, 16, 19.2 kWh • Suited for off-grid or grid connect
• Since: 2004 • First company to launch their own Home
Energy Systems.
• Key distributors: Sells direct
• Cheaper price per kWh than most small units.
• Key retailers: Zen Energy
• Zen also retails Sonnen and LG Chem units for
smaller grid-connect customers

KEY INSIGHT:
“Whereas PV was a mortgage belt product, those buying storage now are from a whole new market.
Wealthy customers, who just didn’t bother with solar on its own, are now flocking to home energy
storage.”

80
2017 SONNEN
KEY DIFFERENTIATORS:
KEY DETAILS:

SONNEN • Chemistry: Lithium Iron Phosphate • Intelligent self-managing product that learns
customers consumption habits and
• Capacities: 4, 6, 8, 10, 12, 14, 16kWh incorporates weather forecast
• Since: 2008 • Multiple cycles per day
• Contact: j.sturch@sonnen.com.au • Rapid charge and discharge
• Key distributors: Flex • Very safe and well supported
• Key retailers: Flex, Zen, TVS
• Future proofed

KEY INSIGHT:
“Because of the way people use and store energy, traditional utilities will haemmorage sales volume.”

81
2017 LG CHEM
KEY DIFFERENTIATORS:
KEY DETAILS:
LG CHEM • Chemistry: Li-NMC
• LG is a well known brand name with over 70 years
in business, which customers will be supported and
• Capacities: warranty will be honoured
• RESU 48V: 3.3, 6.5, 9.8kWh (up to 18kWh) • Products are flexible in capacity, can be located
• 400V: 7kWh & 10kWh indoor or outdoor, and have high power ratings.
• Rack mounted 48V residential off grid : 3.3-65kWh • LGs batteries power electric vehicles too
• Rack mounted 800V: 3.3, 6.5, 9.8kWh
• Utility: 45kWh up to GWh • Compatible with many inverters

• Compatible Inverters:
• RESU: SolaX, Goodwe, SMA, Redback, Ingeteam,
Selectronics; Grid: Simens, ABB, SMA, Ideal Power
and others

• Since: over 70 years

• Key distributors: SolarJuice, Supply Partners,
Sonnepar, Krannich, BayWa
• Key retailers: Hundreds

KEY INSIGHT:
“Just like panels and inverter brands over the past 5 years, the smaller battery brands will come and go
over the coming 5 years.”
82
2017 ENPHASE
KEY DIFFERENTIATORS:
KEY DETAILS:

ENPHASE • Chemistry: Lithium Iron Phosphate • Battery life, due to chemistry and slower
charge/discharge rates
• Capacities: 1.2kWh
• Modular: most flexible
• Since: 2016 (for storage)
• Easy to install
• Key distributors: RFI, AC Solar Warehouse, One Stop
• Lowest cost ‘battery entry’
Warehouse, L&H, Flex
• Everything is in the box
• Key retailers: Envirogroup, SolarGain, AHE Group, The Sun
Works, SB Solar Battery Services, Off-grid Energy Australia, • Software
Enerklean, Just Energy, Solaray Energy - AB, Solargain PV
Pty Ltd, Solar City New Zealand Limited, EnergyAustralia, Y • Consistent channel strategy
Solar Systems Pty Ltd, Space Solar Service PTY LTD, Solar
Australia Pty Ltd, Springers Solar, Energy Matters a
SunEdison Company, Harrison's Energy Solutions, RoofJuice
Australia, Hubands Whangarei Ltd t/a Hubands Energy,
GoSolar Newcastle, Envirogroup, RK Solar & Consulting
Services, Tindo Solar Pty Ltd, Hush Energy

KEY PREDICTION:
“Once the market matures and people start to understand true implications of storage – Enphase will be
the best option”
83
2017 FRONIUS
KEY DIFFERENTIATORS:
KEY DETAILS:

FRONIUS • Chemistry: Lithium Iron Phosphate • 3phase DC Coupling Hybrid Inverter that can
do AC & DC coupling
• Capacities: 4.5kWh – 12kWh in 1.5kWh steps
• Battery is really high quality
• Since: 2016 (for storage)
• Key distributors: SolarPlus Solutions, Krannich,
SolarJuice, BayWa
• Key retailers: SolarGain, Infinite Energy, Origin, AGL

KEY PREDICTION:
“In 2 years, 75% of PV systems sold will include batteries”
84
2017 ABB
KEY DIFFERENTIATORS:
KEY DETAILS:

ABB • Chemistry: Li NMC • Ease of installation

• Capacities: 2/4/6 kWh • Safety (cells used are inherently safer than
many others)
• Since: 2016 (for storage)
• Key distributors: SolarJuice, Supply Partners, One
Stop Warehouse
• Key retailers:

KEY PREDICTION:
“Large Scale Solar & Storage is also about to take off – witness the Sandfire site”
85
2017 ABB Leclanche
ALL ANNOUNCED Akasol LG Chem
BRANDS Alpha-Ess Magellan
Ampteus Mercedes-Benz
Aquion Panasonic
BMZ PowerOak
BYD Pylontech
DCS Redflow
Delta Samsung
ELMOFO SENEC
Enphase SimpliPhi
Fronius SolaX
GCL Sonnen
GridEdge Sunverge
Hybrid Tesla
ZEN

86
2017
BATTERY MARKET

REPORT
www.sunwiz.com.au

87
 • Role: wholesaler
2017 • Sales Volume: 2015=200, 2016= more than
1200
SOLAR JUICE
• Key Differentiators:
• Aligned ourselves with ‘the best battery in the
market (LG chem)’
• Whatever we stock, we stock in volume
• Competes well on price
• Brands:
• LGchem, Fronius

Key Insight:
“In two years, every second new PV system will include storage”

88
 • Role: wholesaler
2017 • Sales Volume: 550 units (of lithium-ion)
SUPPLY
PARTNERS • Key Differentiators:
• Technical Support, not just a box-mover
• Brands:
• LGchem, GMB, sonnenschein, absolyte

Key Insight:
“At the moment, its still about education. People within the industry and the end
user need to be educated – both the packaging and what its going to do. A lot of
people are still trying to get their head around they sell and how they install it.
Makes Grid-connect PV look really simple.”

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 • Role: wholesaler
2017 • Sales Volume:
AC Solar • Key Differentiators:
Warehouse • Experts in AC Solar
• Exclusively the AC Solar Battery – with inherent safety,
performance, and reliability
• Lots of technical support, including label kits,
documentation (safe work and handling)
• Brands:
• Enphase

Key Insight:
“Enphase is going to continue to be the simplest and most flexible energy storage
technology going forward, and we expect to see continued rapid growth in the market.”

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2017
BATTERY MARKET

REPORT
www.sunwiz.com.au

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2017
COMPARISON
TABLE

https://www.solarquotes.com.au/battery-storage/comparison-table/
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2017 • http://reneweconomy.com.au/2015/hybrid-solar-costs-and-battery-
storage-13851
• http://www.solarchoice.net.au/blog/energy-storage-options-are-growing-
USEFUL part-2-what-products-are-out-there/
WEBSITES
• http://www.solarchoice.net.au/blog/solar-choice-battery-storage-
product-lifespan-comparison-tool
• http://www.solarchoice.net.au/blog/hybrid-inverters-battery-inverters-
home-energy-storage
• http://onestepoffthegrid.com.au/battery-storage-whats-on-offer-and-by-
whom/
• http://www.climatecouncil.org.au/batterystoragereport2015
• http://www.climatecouncil.org.au/uploads/b5719aa238223c1b2acb126f73
4fc1fe.pdf

• http://energystoragealliance.com.au/australian-energy-storage-database/

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