An appropriate site for your battery is also critical to the success of your project. There are three main considerations in site selection:
- Is the site appropriate for safely connecting a battery into the distribution network and for providing network services (if applicable)?
- Is the land available for a neighbourhood battery?
- Does the site address community needs and concerns?
Each of these considerations is equally critical and site selection therefore interacts strongly with other planning stages.
Network integration
For integration into the network, you need to work with your DNSP, or with data they provide, to identify appropriate sites. This identification must take account of the battery’s effects on network stability. If the battery is to provide network support, it needs to be situated in a part of the network that is constrained. Information on constraints is also relevant to what size the battery should be, whether a pole-mounted or a ground-mounted battery is most appropriate, and how the battery should be operated. For example, in a constrained area, you must ensure the battery doesn’t exacerbate the constraint or have a negative impact on the local network. Finally, the vicinity of the battery to a network connection point will also influence the requirements and cost of network connection.
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What is a constrained network?
Network constraints are technical constraints related to the network’s ability to transport power. Constraints can include thermal, voltage, and fault-level constraints.
Our generation grid was designed and installed at a time when energy flows were only one-way, flowing from transmission to energy users. As such, it was not built to effectively accommodate two-way energy flows, coming from both transmission and from the distribution side (i.e. rooftop solar). The physical constraints of a network therefore decide how much new distributed generation can be added to it or not without negatively impacting the system.
A constrained network is therefore one that is at or close to its physical limits for transporting power (e.g. at peak times), impacting how much new generation (rooftop solar) can be added.
From a DNSP perspective, a neighbourhood-scale battery project follows a similar development pathway to other electrical connections. It is recommended that proponents engage early with the DNSP to understand land tenure and approval risks associated with the proposed work. As well as the network considerations above, other issues include:
- the landowner needs to grant licenses and access rights to the DNSP.
- this includes perpetual easement rights that are preserved after transfers of ownership.
- these perpetual land tenure rights need to be in place within the timeframes agreed under the condition of contract, and all relevant costs (e.g. stamp duties, registration fees, gifting taxes) need to be paid.
- the project will need to satisfy easement requirements:
- easement/s need to be sufficient for ongoing installation and access.
- all costs associated with easement acquisition (compensation, legal cost, survey plan etc.) need to be paid.
- the easement needs to be registered with Land use Victoria.
Land availability
Site selection also links to land availability. Depending on the size and design of your battery, it will occupy several square metres of land but will require land additional to this for safety, access, and amenity. There also needs to be appropriate access to the site (for installation and maintenance but also for safety). Finding appropriate land for a front-of-the-meter battery in a location that is appropriate for integration into the network is challenging, particularly in urban locations where land is at a premium. In places like Melbourne, this may mean reducing the physical footprint of the battery, which will influence the choice of battery and introduce cost trade-offs. For example, as most battery systems come ’pre-packaged,’ custom models may need to be considered which will incur additional costs associated with the design.
Landowner
After identifying possible locations, you will need to find out who the landowner is. There are a number of different types of landowners you may have to interact with to lease or make use of the site. These include:
- DNSP – the battery may be associated with existing infrastructure such as a substation.
- Government – the battery may be located on public land owned by a council or other government entity. Such land will generally have an existing use e.g. a park, car park, or reserve. The council will need to consider compatibility with these other land uses, leasing arrangements, and planning issues. As well as a lease agreement, you may need planning approval (see below).
- Public utility or agency – the battery may use land owned by a water utility or in a nature reserve, for example. Again, leasing arrangements and compatibility with existing land use are considerations.
- Community organisation – a school, nursing home, sporting facility, or community centre may be interested in a neighbourhood battery. It will often make more sense for them to adopt a behind-the-meter model, but they may be willing to partner with you.
- Private entities – a battery may be located on the premises of a business, industrial facility, or a private landholder. This would often be the case for a behind-the-meter battery. In general, acquiring private land won’t be economically feasible for a neighbourhood battery project. However, private entities may agree to leasing land, particularly if they can benefit from the battery and it is compatible with existing uses and priorities.
- Developers – a battery may be located in association with a greenfield development.
Planning approvals
Whether the land is owned by government or not, installation of the battery is still likely to require planning approval from your local council. Requirements will vary depending on whether the battery is installed on public or private land, and in what type of Local Government Area (LGA). In Australia, there are five main LGA categories: central business districts (CBD), metropolitan suburbs, peri-urban areas, regional cities, and rural areas. These have different zoning and planning requirements.
Council will be interested in the impact of the physical installation, and as such requires a similar process to that used for construction projects. Throughout this process you need to engage with the community to address their concerns. There are various locational, environmental, community and network issues to consider, including:
- Ownership or leasing of the land to the battery owner
- Access to install, maintain and remove the battery
- Zoning and municipal restrictions
- Noise pollution
- Flood/ inundation risk
- Environmental overlays (ecological / cultural / vegetation / heritage)
- Fire risk
- Proximity to neighbouring properties (sight lines / visual impact)
- Proximity to local electricity lines.
Recently, the Victorian Government changed the Victorian Planning Provisions and all planning schemes in Victoria to support the efficient delivery of neighbourhood batteries into the electricity distribution network. Clause 73.03 Land use terms now includes a new definition of a ‘battery’ under the existing land use term for ‘minor utility installation’. This means that a battery meeting the new definition contained in Clause 73.03 is exempt from requiring a permit for land use (under Clause 62.01) and is exempt from requiring a permit for buildings and works (under Clause 62.02). Councils are responsible for applying the relevant planning scheme and determining whether or not a permit is required for any land use and/or development. This includes establishing whether an exemption applies to a proposed neighbourhood battery. You can learn more here.
Environmental considerations
For potential sites, you should also consider environmental aspects like aspect, shading, flood, extreme weather and fire risk, and also whether there are any sensitive ecosystems or species that might be affected by the battery installation. shading/direct sunlight (which could degrade parts of the battery system) and how this might change. Also consider vulnerability to flooding, strong winds, and bushfire risk, including the risk of treefall. Finally, there may conceivably be negative environmental impacts such as disruptions or damage to nearby ecosystems (including local flora or fauna) which you should consider in selecting a site.
Community needs and concerns
Depending on your business and operating models, you will probably be seeking participation of community members in the battery project. The location of the battery must take account of the amount of rooftop solar in the vicinity (ideally also taking account of planned future installation), and the neighbourhood’s interest and willingness to participate.
More than this, as a piece of community infrastructure, you need the approval and support of the community. Opposition could easily derail your project. Some of the issues you need to consider and start consulting about early are noise and amenity. Noise could be quite a major issue to some people, so it’s worth taking this into account in developing your model, as it may influence your choice of battery and of site. Another potential issue for the community is the visual impact of the battery. Neighbourhood batteries range in size from the equivalent of a couple of fridges side-by-side to a small shipping container. The impact on amenity will depend on how close it is to houses, how prominent the site, other nearby land uses, and hoarding, screening or decoration of the battery. Note that how people feel about the visual impact of the battery will also be influenced by how engaged and positive they feel about the project as a whole.