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Renewable Energy News

THURSDAY 01 NOVEMBER, 2012 |

Solar Driving Down South Australia's Mains Electricity Consumption

by Energy Matters

A report from the Australian Energy Market Operator (AEMO) shows a substantial drop in demand for mains grid supplied electricity in South Australia.

According to the AEMO, South Australia's annual energy consumption decreased by approximately five per cent in 2011-12 compared with 2010-11 and is about 10 per cent lower than forecast. The reduction represents around 700 gigawatt hours of electricity - the equivalent of the power usage of 107,000 average Australian households.

The AEMO lists the main factors influencing the reductions being lower than expected demand from industry and manufacturing, increased rooftop solar panel installations, consumer response to increasing electricity costs and energy efficiency measures and moderation in gross state product (GSP) growth projections.

Electricity prices increases in South Australia have placed an increasing burden on many households, with an 18% jump on July 1 being the final straw for many, who have since installed home solar power systems.

According to solar provider Energy Matters, assuming good quality components are used and installation by competent installers, a 4kW solar energy system installed in Adelaide can slash a household's electricity bill by approximately $1,500 a year.

Thanks in part to the state's solar feed in tariffs, currently at nearly 26c per kilowatt hour for new participants for any surplus electricity exported to the mains grid; South Australia has the highest penetration of rooftop PV of all the National Electricity Market (NEM) states.

The AEMO has also increased its determination of the proportion of installed wind generation capacity that can be considered to be firmly available to meet maximum demand in South Australia from 5.0 per cent to 8.3 per cent for summer and from 3.5 per cent to 7.5 per cent for winter.

The AEMO manages Australia's national electricity and gas markets.