The first quarter of 2024 has heralded significant changes in the renewable energy sector, as the Ministry of Energy announced a new bill restricting Net Metering to few consumer categories, excluding households, businesses, and Energy Communities.
In this new era for renewable energy, individuals and businesses are encouraged to adopt Net Billing to maximize benefits, as it represents the future of the green transition.
Benefits for Individual and Business Prosumers
Net Billing, especially when paired with the integration of storage systems, emerges as the optimal solution for the future of energy. This synergy empowers self-consumers to attain grid independence.
Net metering allowed excess energy to be “stored” in the grid and offset later consumption, when the photovoltaic system was not generating power. Under the new Net Billing scheme, excess energy that is not consumed will be sold to the grid for compensation. However, excess energy will be sold at a lower price than the one that consumers pay to buy power from the grid when the PV system is not producing. Consequently, the return on investment in photovoltaic systems largely depends on the degree of self-consumption of the energy produced, which reduces grid demand. Installing storage systems maximizes self-consumption while maintaining the option to sell excess energy, thereby transforming self-consumers into independent energy entities.
The Crucial Role of Storage in the Energy Future
Energy storage, particularly in the form of battery systems, is crucial for a smooth energy transition, ensuring a reliable and sustainable energy future.
With proper planning and installation, both small and large-scale storage systems offer the following benefits:
Maximum Utilization of Renewable Energy
Storage can harness renewable energy when it is abundant and provide it during periods of low or no generation. This optimizes the use of renewable resources, making energy consumption more efficient throughout the year.
Power Reservation
Battery energy storage systems serve as reliable backup power sources during severe weather or extended power outages. For businesses, this ensures uninterrupted operation, while for individuals it offers security and convenience.
Reduced Dependence on the Grid
As climate uncertainties increase, reducing reliance on the grid becomes essential for sustainable energy access. Battery storage systems contribute to grid independence by supporting areas with unstable infrastructure or frequent outages.
Frequency Control and Peak Savings
Storage enhances grid stability by regulating frequency and providing rapid response. Additionally, storing energy during low demand and releasing it during peak periods reduces grid load and contributes to peak savings.
Reduced Carbon Footprint
Storing excess energy ensures no energy is wasted, supporting global efforts to achieve net-zero emissions and combat climate change.
Long-term Cost Savings
Although the initial cost of battery storage systems can be significant, long-term savings on electricity bills and added value to properties make it an economically sound investment. The flexibility of energy use also contributes to cost savings over time.
Asset Co-location
Co-locating energy storage systems with various power generation technologies maximizes land use, improves efficiency, and shares infrastructure costs, enhancing overall energy production efficiency.
To achieve maximum utilization of these systems, their design and installation must be conducted by experienced and reliable professionals. With over 13 years in the renewable energy sector, MGD Energy possesses the expertise and experience to ensure the best value for money for its customers.
