The Victorian Government is investing in a series of commercial ready, smart, microgrid demonstration projects across Victoria. These commercial demonstrations will include battery storage and new technology solutions with the potential to boost renewable energy dispatching using smart systems.

These demonstration projects will showcase the use of energy storage in different settings and in combination with other complementary technologies. The demonstration of smart microgrids will help Victorians attract international interest and provide education, skills, investment and job creation opportunities.

Microgrid Demonstration Initiative

The $10 million Microgrid Demonstration Initiative (MDI) was announced in December 2017, to support the development and implementation of microgrid demonstration projects that address key microgrid sector challenges and contribute to the unlocking of the sector in Victoria.

The MDI grant program funding is supporting state-wide microgrid projects totalling over $27 million in value.

Map of Victoria with projects funded under the MDI and LVMP identified by Region

Latest News

  • SwitchDin have successfully completed their Birchip Cropping Group microgrid project. This is the first completed project under the Microgrid Demonstration Initiative and now that it’s operational, it’s providing a working example of microgrid technologies and their benefits in the Loddon Mallee region. Read more about this exciting project here
  • Monash University have produced a White Paper that presents a Victorian Market Assessment for Microgrid Electricity Market Operators, as part of their project. This White Paper can be accessed here.

Funded Projects

Euroa Environment Group has been awarded $680,000 towards a $1.6 million project. The project will demonstrate the economic opportunities for shared renewable energy and battery assets in communities. It will reduce the local demand for electricity from the grid and reduce the need for seasonal diesel generators. In doing so, the community of Euroa will demonstrate an economic alternative for local renewable generation for network operators.

Click here for the media release.

Monash University has been awarded $441,450 towards a $981,000 project. The project aims to demonstrate the market potential for a third-party entity responsible for microgrids. The project will demonstrate how this microgrid operator can manage customers’ (campus buildings) energy use and bills and explore opportunities to develop economic value from microgrid operations.

Origin Energy has been awarded $4.5 million to develop a $20 million cloud-based project that will distribute power from up to 650 customers with solar PV and batteries during peak periods. The VPP will boost grid stability by discharging power from solar PV and batteries located at homes and commercial and industrial sites to reduce their power bills.

Click here for the media release.

Ovida has been awarded $980,000 in grant funding for its $2 million project. The project aims to install shared solar PV and battery systems at 3 multi-tenanted buildings in Melbourne to demonstrate how residential and commercial tenants can access and share renewable energy resources to reduce household energy costs. The scheme will allow interested tenants to opt-in and reduce the amount of electricity purchased from the electricity grid.

Click here for the media release.

SwitchDin was awarded $210,000 towards a $330,742 project, completed in September 2019. The project delivered a microgrid at Birchip Cropping Group's local facility with 51kW of solar PV and 137kW of battery storage and includes a smart control solution that coordinates the inverter, battery bank and other equipment to ensure the microgrid can operate within the electricity network. The project is providing a working demonstration of microgrid technology and its ability to lower energy costs and improve energy reliability for the region's farmers. 

Click here for the media release.

TRY have been awarded $380,389 towards a $767,014 project. The project will establish a microgrid in Yackandandah to reduce energy bills for local residents and help the community achieve their target of 100 per cent renewable energy by 2022. The project will increase the number of houses with solar PV and batteries on a Single Wire Earth Return powerline and include control technology to manage network security.

Click here for the media release.

Solar Partnering Around Regional Communities

The $15.5 million Solar Partnering Around Regional Communities (SPARC) microgrid project is to be delivered by Ovida Pty Ltd. This project is supported by the $3 million Latrobe Valley Microgrid Program (LVMP), announced in August 2018.

The project, due for completion in June 2022, will see the roll out of behind-the-meter microgrids, based on solar and batteries, to reduce energy costs for business and support the transition of the Latrobe Valley to a low-emission economy.

Click here for the media release.


Further information

Any enquiries should be directed to microgrid@delwp.vic.gov.au

Page last updated: 14/11/19