Energy storage reduces electricity costs for Perth manufacturer

A Perth manufacturing business has installed PV and battery storage from Magellan Power and, in the process, has cut its electricity bills by 68%.

The equipment installed at the 1546 m² office and warehouse premises consisted of a 27 kW solar array, facing 3° east of north and 32° inclination; a 30/24 kWh Australian-made Magellan battery storage system with lithium batteries; and a Magellan Solar Gate zero export control device.

Magellan Power said the main function of the Solar Gate is to ensure all excess solar energy is diverted into the load, as well as ensure no power is exported into the grid. Before installation, the Solar Gate was used to log the total consumption of the office and warehouse. The solar panels were installed on the roof of the factory and the energy storage system, comprising a maximum power point tracker (MPPT) and a grid-connected bidirectional inverter, was installed inside the building (though in this application, the MPPT was not used). The total PV power installed was 27 kW, consisting of 135 solar panels at 200 W. Magellan Power said lithium batteries were chosen due their high life cycle and high depth of discharge capability, in addition to their high performance under a wide temperature range. 

How it works

The DC power generated by the solar panels is fed into the bidirectional inverter via the MPPT, where it is converted into a pure sine wave which then feeds the loads. All excess solar energy is measured by the Solar Gate and diverted into the battery. The Solar Gate also ensures that no power is fed back into the grid. The bidirectional inverter is also used to import low-cost grid power at night for storage into the battery for use during the day, when the cost is at its highest. The equipment also has a UPS function that can keep the business running in the case of total grid failure.

Energy savings

The business reportedly spent $86,000 on the installation and had the choice of considering two tariff options under WA electricity retailer Synergy: Tariff L1, a constant tariff, which would see a payback in 10 years; and R1, a variable tariff, which would see a payback in six years.

Magellan Power said overall, the operational results show that installing solar power and energy storage equipment in a commercial building is an effective way of reducing the cost of electricity and provides an excellent return on investment (not including plant depreciation). The Australian-made Magellan Commercial Scale Energy Storage System is also an uninterruptible power supply (UPS) and, due to its four-quadrant capabilities, can also improve power quality by correcting the load power factor — which can also reduce electricity costs. 

Images courtesy of Magellan Power