The Victorian Government has announced an expansion of its Neighbourhood Batteries Program, aiming to improve energy resilience and reduce electricity bills for local communities.
Energy and Resources Minister Lily D’Ambrosio opened applications for the second round of the $42 million initiative on August 30.
This latest phase of the 100 Neighbourhood Batteries Program introduces a new energy resilience category, designed to provide communities with independent power sources during emergencies such as severe storms.
These systems will enable residents to cook meals, charge devices, and access critical information during power outages.
Neighbourhood batteries, which are larger than household batteries but smaller than grid-scale installations, are designed to capture excess renewable energy when it’s abundant and distribute it during peak demand periods.
This approach puts power management directly into the hands of local communities.
The second round of funding will prioritise projects that benefit diverse, low-income, and vulnerable households, as well as those in outer suburbs and regional areas. This focus aims to reduce energy costs for those most in need of financial relief.
Building on the success of the first round, which funded 25 batteries across Victoria, the government has increased the maximum funding available per project to $400,000.
The program is open to a wide range of applicants, including councils, community groups, businesses, developers, and non-profit organisations.
To assist potential applicants, the government has introduced a Project Readiness Assessment Tool, helping communities determine if a neighbourhood battery is suitable for their needs.
The program now accommodates a broader range of battery sizes, from a minimum of 20kW/40kWh (kilowatts/kilowatts-hour) to a maximum of 5MW/20MWh (megawatts/megawatts-hour).
This initiative complements other government programs, such as the Energy Resilience Solutions Program, which has funded 26 community hubs with energy back-up systems. These hubs provide essential services during prolonged power outages caused by extreme weather events.
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