- – Aurora could generate higher revenues by combining thermal (TESS) and battery (BESS) storage
- – Modelling shows TESS can earn substantial revenues from FCAS while charging from the grid
1414 Degrees (ASX:14D) is pleased to report first results from the modelling of a TESS-GRID in the context of the Aurora Solar Energy Project. A partial set of revenue stacks modelled by ITP Renewables (ITP) using historical data shows a positive revenue outlook for 14D’s TESS at the site. Charging the TESS from the grid can earn substantial revenues from FCAS services which in turn reduces the levelised cost of storage (LCOS). Importantly, the modelling shows that a combination of TESS and BESS storage increases potential revenue generation from the site through more flexibility of frequency response.
This extends encouraging modelling of revenues from a hybrid PV-BESS power plant on the site, as reported previously. ITP has been optimising and refining models of revenues from a variety of plant scenarios (see chart) incorporating TESS and BESS. 14D will commission specialist modelling using projections to 2050 for the Aurora business case and project financing.
1414 Degrees Executive Chairman, Dr Kevin Moriarty commented, “There are other revenue sources that cannot be predicted for inclusion in the stacks, and more are expected to be created as the regulatory market adjusts, driving down the LCOS to support TESS deployment in our proposed hybrid Silicon Power Plant at Aurora.”
He added, “A BESS and TESS can complement each other to provide short and long duration storage capabilities as described in AEMO’s recent Integrated System Plan. Our Aurora Solar Energy Project will demonstrate this to provide a model for the entire NEM.”
Notes on the modelling:
- – The TESS and BESS are charging from the grid in these scenarios
- – A TESS and BESS combination at existing solar and wind farms could maximise their revenue by making use of curtailed electricity for charging, and this would be an option as Aurora expands its PV generation
- – The model aims to maximise revenues by capturing the full potential of spot energy prices and FCAS in each time segment
- – TESS opens a significant opportunity in the FCAS market and, potentially, the AEMO demand response scheme, Reliability and Emergency Reserve Trader (RERT) because a TESS can charge and discharge independently, unlike batteries.