Commercial Solar and Battery Storage

Commercial Solar and Battery Storage for Businesses That Can't Afford to Stop

It is not the average use of electricity that makes businesses lose money; it is one costly half-hour and one disruption that do so. This is because a brief period of increased electricity demand sets the price for a month's network charges, while a disruption halts all work.

Agile Energy develops, finances and installs energy systems to solve both of these issues by using commercial solar and battery storage, customised to meet the specific needs of a particular location. Instead of simply decreasing the amount of electricity used, the emphasis is put on minimizing costs and increasing reliability during unpredictable times.

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Two Numbers on Your Power Bill Nobody Ever Explained

Most companies know how much they pay per unit of electricity consumed. Very few companies know what is charged for one instance of high demand for electricity and how the cost of losing power affects them financially.

The half-hour that prices your whole month

Demand charges Australia businesses are calculated according to the maximum amount of power used during a period of time, usually half an hour, in a billing period. The measure used is kilowatts (kW), not energy consumption, and it applies even when the peak appears just once. A short period when all machines, including refrigerators, cooling systems, and pumps, are operating together will decide the whole month’s cost.

The hour of downtime that costs more than a month of power

The Australian Energy Regulator suggests that for businesses, the worth of having avoided outages is around $34.39 per kilowatt hour of electricity not supplied. For many companies, a single outage may be much more costly than an entire month’s electricity costs due to production losses and other factors.

Why “switch to LEDs” doesn’t touch either one

While energy efficiency can help cut down on usage, it has minimal effects in reducing demand charges or prevent operational interruptions. This is because peak demand cost is dependent on the reliability factor. This is why battery technologies, smart controls, and self-generation have become valuable business strategies.

Water Analogy
Total water used
Highest flow rate
Monthly usage cost
Peak pressure charge

Electricity Equivalent
kWh
kW
Usage charge
Demand charge

Bill Component

120kW Peak

220kW Peak

Usage charge (50,000kWh × $0.28)

$14,000

Supply charge

$33

Demand charge

$1,620

$2,970

Total

$15,653

$17,003

Network
SA
QLD – Energex
VIC – Jemena
NSW – Endeavour
VIC – Powercor

Monthly Demand Charge
$428
$675
$900
$1,170
$2,925

Which network are you actually on?

Your network is named on your bill or can be recognized through your NMI number. For businesses in Melbourne, they could be connected to networks such as CitiPower, Powercor, Jemena, AusNet, or United Energy. Knowing what network you belong to is usually the first step to saving money.

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Customer Type
Commercial
Industrial
Agriculture
Large Industrial
Mining

Value of Unserved Energy
$34.39/kWh
$33.49/kWh
$22.25/kWh
$12.22/kWh
$10.63/kWh

Staying Connected, Not Going Off-Grid

Most companies will not need to be off the grid. The working model is as follows:

Generate through the day

On-site power production using commercial solar systems decreases electricity consumption.

Store what the site doesn’t use

Energy storage is accomplished through commercial battery storage Australia solutions.

Shave the peak; the demand charge is pricing

Batteries facilitate load shifting/peak shaving, which helps lower high demand costs.

Hold your critical circuits through a disruption

Critical loads will be powered through a properly devised battery solution.

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What Agile Actually Does

We read your bill properly first

Agile Energy uses tariff analysis, interval data, and load profile to identify savings.

Resilience engineering, not just panels on a roof

Every system is engineered on the basis of critical circuits, backup time, motor starting, islanding controls, and scalability.

Solar, battery, and energy management as one system

By integrating solar panels for commercial buildings, energy storage, and controls, companies will be able to have enhanced monitoring and automation capabilities. This helps with broader distributed energy infrastructure solutions.

Fully funded, off the balance sheet

The options may include commercial solar no upfront cost structures, along with power purchase agreement Australia that businesses can use to avoid capital investment.

After commissioning: monitoring and peak governance

Ongoing reporting of peaks detects new peaks while maintaining performance.

1. Send 12 months of bills and interval data

Provide your latest electricity bills, along with any interval data available in 15- or 30-minute intervals. This will provide us with a complete picture of your consumption patterns, billing scheme, seasonal trends and previous peaks.

Typical timeframe: 1–2 business days to compile and analyse the data.

2. We model your peaks, your tariff and your downtime exposure

Identification of peak times and reasons for that demand, the cost of those peaks, and the impact of an outage on your business is determined. This is done before we design a system for you.

Typical timeframe: Approximately 1 week, depending on site complexity and data availability.

3. Design, resilience spec and funding proposal

We design the solar, battery, and energy management system based on your actual load. If backup power is needed, then we define the critical loads, runtime, transfer requirements, and generator needs before providing you with the financial packages.

‍Typical timeframe: 1–2 weeks for the initial design and proposal.

4. Install, grid approval and commissioning

After approval, the process will continue with the purchasing, installation, electrical works, grid approvals and commissioning. This time period is dependent on the size of the system, as well as other factors.

‍Typical timeframe: Usually 4–12 weeks from project approval to commissioning.

5. Monitoring, tuning and quarterly reporting

The switch-on is not the final step of the procedure. System performance monitoring will be conducted, new peaks detected, control settings optimized, and reports provided in order for the system to continue performing as your business needs change.

‍Ongoing: Performance monitoring commences post-commissioning and is conducted on a quarterly basis.

Book a 20-minute bill review

You will know your maximum demand, network configuration, and how much two hours of downtime is costing you, even if you don’t decide to do business with us.

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Where This Pays Off Fastest

Want to supeThe greatest potential exists within companies that have direct linkages between electrical energy use and manufacturing processes or products, safety, or service. Here, energy savings can play an important role alongside energy reliability.rcharge your revenue with mindful energy resources? Here's how you can try our Solar PPA.

Cold Storage and Food Processing

Refrigeration systems, freezers, compressors, conveyors, and process machinery are sources of peak loads. Failure may result in temperature deviation, loss of goods, and food safety issues.

Manufacturing

Most manufacturing plants usually run more than one motor, compressor, refrigeration unit, machine, or process simultaneously. Effective management of these loads helps minimize peak load demands, while the backup power ensures that there is no long interruption in controlling processes.

Healthcare and Aged Care

Electricity plays a crucial role in healthcare and aged care facilities, as these require a power supply to ensure that equipment functions properly. It is possible to use backups that will prioritize critical circuits during an outage.

Agriculture and Irrigation

The operation of pumps, irrigation facilities, refrigerators, ventilation and processing facilities can result in significant electricity consumption, especially at peak periods of their operation. Energy management can assist in managing such peaks, while backup facilities will safeguard sensitive agricultural processes.

Warehousing and Logistics

Automation, refrigeration, conveyor belts, security, communications, and many other electrical installations are what modern-day warehouses depend upon. The lack of electricity can cause all of these activities to be stopped, causing delays.

Retail and Hospitality

Refrigeration, cooking devices, heating, ventilation, and air conditioning, lighting, point-of-sale terminals, and digitization all rely on electricity. Any outage will impact trade and spoil stock, thereby providing added value to the strategy aimed at ensuring resilience.

Water and Essential Infrastructure

Water and essential utility services would not be possible without pumps, treatment facilities, telemetry systems, monitoring systems, and control systems. An optimally designed energy system can facilitate continued services and better operation in case of any disturbances.

What Simple Payback Leaves Out

While the payback formula typically takes into account only the reduction in energy costs, an analysis of its complete version needs to consider not only the cost per hour of downtime but also losses due to spoilage, safety considerations, costs related to restarting operations, and the effect of poor customer service.

The future electricity demand also needs to be taken into account since as a company expands its range of operations by incorporating EV charging, electric heating, refrigeration, or machinery, it becomes increasingly dependent on electricity from the utility.

Work Out Your Own Downtime Number

You can make the starting calculation surprisingly simple:

‍Average load (kW) × outage duration (hours) × sector value of unserved electricity ($/kWh) = estimated outage impact

‍For instance, a 500 kW commercial load that is impacted by an outage of 2 hours results in 1,000 kWh of lost electricity. This translates to $34,390 at the AER commercial value of $34.39/kWh.

However, using a downtime calculator allows the business to go a step further by trying out various parameters.

Funded vs Capex: How the Two Actually Compare

Capex ownership would be prudent for companies that have excess cash to invest, are willing to commit to staying at the same site for the long term, and are interested in owning the asset. It provides better control over the system and helps with long-term financial returns.

‍Fully funded models can work well for those businesses that wish to conserve their money and not have to make an initial investment. The model is completely financed by a third party, where the energy setup is financed through operational costs and not through the company financing the whole system itself.

Neither of these systems is better than the other. It all comes down to how much money you have, how taxes will be treated, and your lease period.

Signs It’s Worth Modelling Now

Demand charges are more than about 10% of your bill.
You run refrigeration, compressors, pumps or process loads.
Your load profile is peaky rather than flat.
You have a usable roof or ground space.
An outage has already cost you money.
You are planning electrification.
You operate on a Victorian network.

When It’s Probably Not Yet

Short remaining lease with no landlord agreement.
Site relocation planned.
Very flat, very low consumption profile.
Roof structural or age issues.
Grid connection constraints.

Frequently Asked Questions

What is a demand charge on a business electricity bill?

Demand charge refers to a fee based on your peak demand for electricity recorded in kW in the billing cycle. It should be noted that demand charges are different from usage charges since they are based on the peak demand for electricity in kW.

How is a demand charge calculated?

Demand charges are calculated based on your peak demand in kW multiplied by the respective demand rate and billing days. The precise calculation relies on your network and tariff.

Will my solar keep working if the grid goes down?

Typically not. Standard grid-connected solar systems will turn off during a power failure as a precaution. In order to keep specific circuits alive, battery backup and proper control systems need to be in place.

Can a battery genuinely reduce my demand charge, or just my usage rate?

Yes, a properly managed battery can discharge during times of peak demand, thereby lowering the amount of power that you draw from the grid. It also reduces the demand charges.

How do I find out which electricity network my business is on?

The electricity bill will provide information about the distribution or network company that you have. The NMI number will assist in finding the network of your premises.

Why are Victorian demand charges so much higher than other states?

Demand charges differ depending on the network and tariff. There are a number of Victorian networks that have especially high published rates, although the demand charge will depend on your plan.

How long can a commercial battery run my site during an outage?

The answer depends on the battery size, site demand, and circuits that require backup. The system can be sized for the essential load and not the whole site in order to increase the backup time.

Does the whole site stay on during a blackout, or only part of it?

Normally, certain critical circuits are preferred. The system may operate critical loads while temporarily isolating other loads.

What does a fully funded solar and battery system actually cost us?

This depends upon the system size, site criteria, and financing terms. A well-funded system avoids large capital investment, and the commercial structure is agreed based on the energy requirements.

Do we need to go off-grid to get this benefit?

No. Most companies are still grid-connected but employ solar power, battery storage, and energy management to lower costs and keep key loads operational during grid failure.

How long does installation take, and how much disruption is there?

Most installations typically last anywhere from 4 to 12 weeks from start to completion of installation. Installations are carried out in a way that limits interruptions where possible.

What happens if our energy use grows after installation?

Future requirements could be incorporated into the initial design. Future considerations like charging stations for electric vehicles, machinery, and refrigeration could be incorporated to ensure the system is sized not just for current requirements.

Can this work alongside a diesel generator we already have?

Yes. The solar panels, batteries, and generators can be integrated into a cohesive backup plan, assuming the electrical system is designed properly.

What size roof or land area do we need?

This will depend on your power needs, the capacity of your system, and the amount of space available. The roof, parking area, and land can be explored depending on various factors.

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Commercial Solar and Battery Storage