Battery storage is here! Its new exciting and everyone should get one! How Much does it cost?
Lets bust a few myths, battery storage is not new, batteries have been used to power homes for over 100 years. We have been installing the battery back up and off-grid support systems into homes for over 8 years. What has changed is the marketing hype with every major player telling you they have the Best battery, it's dirt cheap and your power bills will just disappear. Wrong !. The cheapest retrofit system we can supply starts at $10-12,000.
If you are receiving 60 cents plus feed in, stop reading now, pat your self on the back and do nothing, do not fit batteries unless you lose power regally and want some backup power. "Battery home storage" as a term is very loose ended and the saying "how long is a piece of string" should be referenced to, every clients' lifestyle, house, solar yield and expectation from home storage differs greatly.
If the motivation for having battery storage is to save money at this point, it does not work, lets consider that your solar system has spare energy, that is over and above what the house uses and that this component of energy would have normally been sent back to the Grid, you could see this on your bill as a separate solar component, with an amount that you have received per kilowatt of power you exported. Say your system exports on an average 5 kilowatts a day, (this will be higher in summer and may not export anything in winter or cloudy days) this could be stored into a battery to use later at night or in the evening during peak demand times. If the energy is put into a battery there will be some loses going in and coming out say 5% (very conservative) in each direction, so we have 5kW of energy less 10% 4.5 kW, spare that could be used later. So, assuming that the cost of power to buy is 35 cents in the period that you will use it, you could potentially save 4.5 x.35 cents = $1.575, to be fair if you had exported this power (in Vic other states may or may not have feed-in tariffs) if the tariff is 7cents then the saving would look like 4.5 x (. 35-. 7 cents) = $1.26 per day over the year a saving of $459.90. The cheapest and I mean cheapest battery storage to retrofit to an existing system with 4.5kWh of effective storage, we have found will cost $10-$12,000 dollars and is designed to last 10 years, if we look at the potential savings over ten years 10 x $459.90 that's only $4600. 00 dollars at about the time when the unit will need to have new batteries fitted.
If saving a few dollars is not your only motivation, then it's time to do a lot of research, to determine what type of system will suit and how you want it to work, we spend a lot of our time custom making solutions, which range from grid-connected backing up systems supplying dedicated loads in the house, to full Off Grid allowing people to detach from the Grid completely. The more power you need and the more self-sufficient you wish to become, the more the cost of the system.
For more info please visit some of our other articles.
And our battery storage ROI calculator