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Project Edith

Project Edith

Ausgrid is trialling a pricing model to provide fairer pricing for customers who modify their energy usage in ways that support network stability and electricity demand.
solar panels

Overview

Project Edith, named after the pioneering electrical engineer Edith Clarke, began as a ground-breaking demonstration project between Ausgrid and Reposit Power in late 2021. After the initial success, more partners joined the project to explore new ways for customers with batteries to participate in energy markets via Virtual Power Plants. The project showcased how dynamic pricing can help facilitate the participation of clean energy solutions such as solar, battery, and EV in the energy market while remaining within distribution network capacity limits.

Project Edith has demonstrated that creating an end-to-end dynamic network pricing service based on existing systems is possible.

Edith tested ways in which dynamic network pricing can be used to:

  • Remove barriers to the participation of customers' energy resources in energy markets
  • Smooth out the customer’s load and exports
  • Manage network constraints with a pricing-first approach

The ‘Edith model‘ changes the way we calculate network charges by assessing the actual conditions for a particular customer at a specific time and location. This dynamic network pricing is opt-in and can be accessed through retailers, making it easy for customers to participate. When the electricity network is constrained, negative export/import prices signal an opportunity for customers to help. Those who choose to export or import electricity during these periods receive payment for supporting the network.

The project enables equitable pricing for customers who help stabilise the network by adjusting their energy usage. For example, customers can earn money by exporting excess battery power during peak demand periods. When the network runs smoothly, prices remain low, making it easier for customers to participate in the wholesale market. This work provides valuable insights for the entire energy industry—including retailers, distributors, and equipment manufacturers.

Project phases 

  1. Stage 1: Rapid demonstration

    Focus on demonstrating the capability to develop, send and respond to dynamic prices in collaboration with Reposit Power.

    Reposit could receive and respond to dynamic price signals from Ausgrid and the broader energy market while offering customers a simple offer that provides certainty in their energy costs.

  2. Stage 2: Expansion

    Scaling up by welcoming additional partners including Origin Energy, Energy Australia and Shinehub, onboard the trial and refining the capability of developing prices for customers based on available local capacity based on a simulated feeder.

  3. Stage 3: Enhancement

    Refinement of the pricing model to be more transparent and justifiable.

    Additional simulated feeders are introduced based on key weather zones with customers allocated to their closest feeder to receive location-aware pricing.

    We are here.

  4. Stage 4: Subthreshold tariff

    Opt-in dynamic tariff is offered to eligible customers.

    Implementation of on-market network billing.

    More granular prices linked to local network assets are introduced as constraints emerge.

  5. Stage 5: Listed tariff

    Limits on uptake of the tariff are removed.

    Dynamic prices become more granular over time as more emerging constraints are managed using flexible CER.

    Customers can reduce their energy costs by using their flexible assets in ways that support the grid. 

Reposit Power LogoShineHub logoOrigin LogoEnergyAustralia logo

Benefits of a dynamic pricing model

Project Edith demonstrates dynamic network pricing, in which the network price can change in five-minute increments and reflects the actual conditions at a particular time and place. Typically, customers get "static" network tariffs and connection limits, meaning they are the same seasonally or year-round. With the rise of rooftop solar, home batteries, and soon-to-come electric vehicles, we can develop more active tools and services to get more value from our electricity network.

Potential customer benefits from the project:

  • Enables customers with batteries, solar, or EVs to actively participate in energy markets
  • Removes network tariff barriers for customers participating in energy markets
  • Encourages smarter use of the electricity grid
  • Customers can use the network at little or no cost when the network is not congested
  • Facilitates a more dynamic and competitive energy market

The current network pricing, known as "postage stamp pricing," is averaged across regions and does not account for variations in time, location, and network conditions. The graphic below shows the current and proposed future state.

Benefits of Dynamic Pricing - Current network Pricing vs Dynamic. Shows inputs of weather, location price, market being considered to set the dynamic price.

Future phases

Ausgrid will continue to add new retailers, aggregators, and their customers to the platform. Through this process, we'll discover which products work best for customer agents and deliver real value to customers. These insights will shape our product offerings for the next regulatory period (FY29-34).

These new products are essential for accommodating the rapid growth in Customer Energy Resources, including solar panels, batteries, and electric vehicles, and for managing their interaction with the network. Our product suite will evolve to provide customers with greater choice and meet the expectations of our stakeholders.

For Media Enquiries and further information please contact news@ausgrid.com.au.

 

Knowledge shares

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Project Edith Knowledge Sharing Report

Comparison of current and emerging tools (July 2023)
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ARENA DEIP Market Integration Trials

Summary Report 2.0

Who is Edith Clarke?

Edith Clarke (1883-1959) was the first woman to graduate in the US with an engineering degree (MIT). From a young age, she had wanted to be an engineer at a time when there were no female engineers. Even after obtaining her qualifications, she was not employed as an engineer by GE, but rather as a supervisor of human computers.

Edith Clarke - Engineer

During this time, Edith Clarke invented the Clarke Calculator, a graphic calculator that aids in circuit analysis. This invention led to GE hiring her as the first professionally employed female engineer in the United States in 1922 at age 39.

Clarke set many firsts, including becoming the first female professor in engineering and the first woman to present a paper at the American Institute of Electrical Engineers conference. Her research on circuit analysis laid new industry foundations, and her authored texts became essential in engineering education. Clarke is remembered as a pioneering figure in modern science.