The rise of distributed energy and the era of new value creation

The energy landscape is changing rapidly as more and more countries turn to renewable energy sources to meet their power demands. The rise of distributed energy resources (DERs) is one of the key drivers of this change, and Australia is at the forefront of this revolution. In this blog post, we will explore the rise of DERs in Australia and around the world.

What are Distributed Energy Resources?

Distributed Energy Resources (DERs) are small-scale power generation sources that are located close to the point of consumption. These can include solar panels, wind turbines, batteries, and other energy storage devices. DERs are often integrated into a microgrid, which is a localized power grid that can operate independently or in conjunction with the larger grid.

The Rise of DERs in Australia

Australia has one of the highest solar irradiation levels in the world, making it an ideal location for solar power. The country has been quick to embrace solar energy, with over 2.6 million households now generating their own electricity using rooftop solar panels. This has made Australia the world leader in rooftop solar penetration, with one in four households now having solar panels installed.

In addition to solar power, Australia is also investing in other DERs such as batteries and wind turbines. The country has set a target of generating 50% of its electricity from renewable sources by 2030, and DERs are expected to play a key role in achieving this goal.

The Benefits of DERs

The rise of DERs is driven by a number of factors, including their ability to provide a reliable and secure source of electricity, reduce greenhouse gas emissions, and save consumers money. DERs are also highly scalable, making them ideal for use in both residential and commercial settings.

One of the key benefits of DERs is their ability to provide backup power during outages. When integrated into a microgrid, DERs can continue to provide power even when the larger grid is down. This can be especially important in areas prone to extreme weather events, such as bushfires or hurricanes.

DERs also have the potential to reduce greenhouse gas emissions by displacing fossil fuel-based power generation. This can help countries meet their emissions reduction targets and combat climate change. In addition, DERs can save consumers money by reducing their reliance on the grid and providing a source of low-cost power.

The Future of DERs

The rise of DERs is expected to continue in the coming years as more countries invest in renewable energy and decentralize their power grids. This shift towards a more distributed energy system is expected to bring a number of benefits, including improved grid resilience, lower energy costs, and reduced greenhouse gas emissions.

As DERs become more prevalent, we can expect to see greater innovation in energy storage and distribution. This will likely lead to new business models and revenue streams for energy companies, as well as new opportunities for consumers to generate, store, and sell their own electricity.

The rise of distributed energy resources is a key driver of the transition towards a more sustainable and decentralized energy system. Australia is leading the way in this transition, but other countries are quickly catching up. As we continue to invest in renewable energy and DERs, we can look forward to a more resilient, cost-effective, and environmentally friendly energy system.