South Australia's Virtual Power Plant: Frequently Asked Questions

A virtual power plant (VPP) is a network of distributed energy resources – such as homes with solar and battery systems – all working together as a single power plant. The VPP operator uses WiFi technology and sophisticated software to charge or discharge energy from the batteries and trade it on the National Energy Market (NEM).

With many systems working together, small amounts of energy stored in individual home batteries can become large amounts of energy to help support the grid in times of need. The capacity and power of a VPP can sometimes match or even exceed a traditional power station.

South Australia’s virtual power plant (SA VPP) has been developed in support of the Government of South Australia, Tesla and energy retailer, Energy Locals.

• Tesla designed and developed SA VPP, we're managing the installation of solar and Powerwall home battery systems at South Australian homes.
• Energy Locals is the electricity provider and retailer for all households participating in SA VPP. Energy Locals is the customer’s main point of contact for information about their electricity supply and energy bills.
• The Government of South Australia continues to support the expansion of the project.

This is a Tesla designed program that integrates Tesla’s leading sustainable energy storage products with an innovative retail energy plan.

Tesla is working with authorised retailer Energy Locals to keep your bills simple and transparent.

Energy Locals will provide account management and customer support. Energy Locals is an Australian energy retailer aiming to provide clean energy at a standard tariff rate to make it cheaper and fairer.

If you accept the SA VPP Offer from Energy Locals, your bills and any communication about your electricity retail contract will come from Energy Locals. You will be billed monthly or quarterly depending on the type of meter installed at your home.

You’ll be asked to set up a monthly direct debit from your bank account or credit card, or you may wish to pay through CentrePay. If you choose to accept the SA VPP Offer, you must also inform Concessions SA on 1800 307 758 about your switch to Energy Locals.

Households that have signed up to the SA Concession energy discount offer can still join SA VPP. However, by choosing to join SA VPP, you will move off the SA Concession Energy Discount Offer and move on to the SA VPP energy plan.

If you are a SA concession energy discount customer and you want to join SA VPP, you are encouraged to compare both electricity plans carefully, as joining SA VPP may reduce your electricity bills further.

Under SA VPP, you can save up to 25% off the standard electricity price (known as the Default Market Offer) in South Australia from 1 September 2023.

Without changing your energy usage, a typical tenant joining SA VPP could save up to $562, including Goods and Services Tax (GST), off their annual electricity bill, while also helping provide clean energy to the community and supporting the grid.

This estimate of savings is based on an electricity usage rate of 4011 kWh per year on an anytime tariff and depends on their previous tariff and their eligibility for energy and/or cost of living-related concessions.

The bill discount you see will depend on what kind of electricity contract you had before, how much electricity you use, and if your energy use changes after joining SA VPP.

As a SA VPP customer you may have a solar or Powerwall home battery system installed² and maintained at your home, at no cost to you. In return, you will enjoy:

• The lowest residential electricity rate in South Australia¹.
• A system installed at your home², where you may access back up protection (if a Powerwall home battery is installed) and sustainable electricity (if solar panels are installed at your home).
• If your property isn’t eligible for a solar or Powerwall home battery system, you will still be invited to join the SA VPP, where you will enjoy the lowest electricity rate in South Australia.

It’s important to remember that you will continue to pay for all the electricity you use – whether it comes from the solar, battery or the grid.

A typical customer joining SA VPP could save up to $562 (including GST) off their annual electricity bill while providing clean energy to the community and supporting the grid.

This estimate of savings is based on an electricity usage rate of 4011 kWh per year on an anytime tariff and depends on their previous tariff and their eligibility for energy and/or cost of living-related concessions.

Tesla will check whether we can install a system at your home and determine one of the following options with no charge².

Yes. Powerwall home batteries have back-up functionality for everyday household appliances.

They can detect an outage, disconnect from the grid, and restore power to your home. As long as your battery has stored electricity in it at the time, your lights and appliances can continue to operate.

You will always have 10% of the battery reserved for your use in events like power outages.

Note: If you join South Australia's virtual power plant without a solar or Powerwall home battery system installed, you will not have access to power during grid outages.

When you join the SA VPP, Energy Locals or Tesla will ask you to provide information about any life support equipment you have at your property, which will include the completion of a medical form. Ensure we are aware of this information along with any changes to your circumstances.

Depending on your current electricity contract and your electricity usage, you could save by joining SA VPP. You will also have a reserve in the Powerwall home battery to power your home in the event of an outage².

• Everyone should make their own decisions about the best electricity plan for their households. A simple way to do this is to compare your options at www.energymadeeasy.gov.au.
• You can also ask Energy Locals to provide an estimate of your savings by joining SA VPP, just by sending a copy of your recent electricity bill to them.

If you wish, you can send a copy of a recent electricity bill to the Energy Locals team at savpp@energylocals.com.au for a free comparison.

No. Since the solar and Powerwall home battery are installed² at no cost to you, the feed-in tariff isn't applicable.

Tesla, the South Australian Government and Community Housing Providers, are following a detailed process to identify all suitable homes to participate in SA VPP, including tenants who registered their interest in the trials.

Tenants living in a suitable home will receive information from Tesla, the South Australian Government and Community Housing Providers to let them know their home has been shortlisted and how to join.

Homes eligible for SA VPP go through a detailed selection process:

• Step 1. A review of property information like size, type, age, condition and economic life of the building, to create a list of possible homes.
• Step 2. A discussion of the listed locations with SAPN, to identify any homes that should be prioritised so that they can help provide grid support services.
• Step 3. A review of online aerial photos for the shortlisted homes to create a list of tenants to receive an invitation for a free site assessment.
• Step 4. For tenants that accept the invitation, a site assessment will be completed to confirm the site is suitable for a system installation².

Steps 3 and 4 consider all the technical details required for a safe and well-performing solar and battery installation², including things like suitable roof space, a suitable and safe location for a battery, little to no roof shading, and electricity meters, meter boards, and switchboards that are suitable or can be easily upgraded.

A home needs to pass all four of these steps to be able to join SA VPP.

Tenants shortlisted to participate in SA VPP will receive information about how to join the program. This may include:

• A letter and or email from one of the Government of South Australia, Tesla or a Community Housing Provider
• An invitation from Tesla
• SMS text sent to their mobile phone
• Follow up phone call from one of the Government of South Australia, Tesla or a Community Housing Provider

There are several reasons why a property might not be shortlisted for SA VPP, including property type, age, or condition, the available space for solar panels or a battery, shading on the roof, and the condition and type of existing electricity meters, meterboards, and switchboards.

If you are a tenant in a home that hasn’t been shortlisted, there are still many steps you can take to lower your electricity bills:

• Check if you are eligible for South Australian government energy bill concessions
• Check if you are eligible for the SA Concession Energy Discount Offer
• Compare your electricity retail plan with energy made easy made easy
• Take some simple measures to lower your usage with some easy energy saving tips

Tenants shortlisted to participate will receive an exclusive invitation from Tesla with a special website address and phone number listed on the invitation.

Use either of these contact points to accept your invitation by either completing the sign-up form or on 08 7100 1294.

Tesla will then arrange a site assessment of your home to ensure it is suitable for the program.

Once you have confirmed your interest in the program, Tesla will arrange a day and time with you to carry out your free SA VPP site assessment.

During the site inspection, Tesla will consider all the technical details required for a safe and well-performing solar and battery installation², including things like suitable roof space, a suitable and safe location for a battery, little to no roof shading, and electricity meters, meter boards, and switchboards that are suitable or can be easily upgraded.

The site inspection will typically be carried out by two electricians and take around 2 hours to complete. All you need to do is be able to provide safe and clear access to the outdoor areas of your home and your meterboard and switchboard.

If your home successfully passes a site inspection, Tesla will install a solar or Powerwall home battery system at no cost to you². The system design, on-site work at your home, and administration of the work will all be handled by Tesla’s Installation team.

The installation will be carried out by Tesla’s Certified Installers, who meet all compliance requirements in accordance with Australian Standards.

In most cases, the installation will be carried out by two electricians, and take 1 to 2 days to complete.

Tesla will install roof-mounted solar panels, a solar inverter, a Powerwall home battery, a smart meter, and all the circuitry and switchgear needed to safely connect the system to your home². Tesla, with support of the Government of South Australia or your Community Housing Provider, will also arrange any changes that are needed to your main electricity meter so that the system can be connected to the grid.

Any changes to your main electricity meter are likely to happen in the days after your system has been installed.

The program has no exit fees and customers retain the right to choose their preferred energy retailer.

In the event a participating household chooses to leave the SA VPP Program Offer (with a system installed on their property) Tesla will reconfigure the system so the energy generated and stored will be exported to the grid to continue to provide benefits to other Program participants.

This means a household that opts out of the SA VPP will no longer be able to access any benefits offered by the system such as backup functionality in the event of an outage. It is likely the system will remain on the property, even though it will not be used by the property².

The solar system and Powerwall home battery² are designed to provide power in the event of a grid outage for everyday household appliances.

If you have life support equipment installed at your home, you will need to advise Energy Locals or Tesla when connecting to the S AVPP retail energy plan so we can notify the distributor.

When you join the SA VPP, Energy Locals or Tesla will ask you to provide information about any life support equipment you have at your property, which will include the completion of a medical form. Ensure we are aware of this information along with any changes to your circumstances.

Signals are sent to Powerwall home batteries remotely via software and home internet connections. The best way to do this quickly and reliably is through Wi-Fi or Ethernet, as they typically have stronger signals than cellular (that is, "mobile internet”) connections.

How much data will be used?
Tesla expects each system will use less than 2 GB per month.

Will Tesla pay for this internet usage?
No. By agreeing to join the SA VPP, you’re allowing Tesla to access home internet connection and provide a stronger VPP experience for you and those also in the program. Further information will be provided during the installation process.

You can call Tesla on 08 7100 1294 with any questions regarding the installation process and to schedule a site assessment.