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

About Project Edith

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 through efficient pricing
  • Allocate distribution network capacity in a decentralised manner through dynamic allocation and;
  • Incentivise network support, such as voltage support from customer's energy resources

The "Edith model" is a system in which we base network charges on the actual conditions for a particular customer at a specific time and location. This model is opt-in and can be accessed through retailers, making it easy for customers to participate. Negative export prices are used as a price signal to indicate that the network is constrained, and customers who choose to export will receive payment for providing network support. Customers will be incentivised to provide network support during these periods.

The project offers a path to providing fairer pricing for customers who modify their energy usage in ways that support network stability and electricity demand. For example, exporting their excess battery power during peak demand can help them save money. The work is providing valuable insights for the entire energy industry, from retailers to distributors and equipment manufacturers.

 

Project timeline

  1. Testing a dynamic pricing model

  2. Sharing network data

    The first phase involved sharing network data with Reposit Power, which combined this information with customer usage data. This demonstrated how 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.

  3. Onboarding partners to scale up the model

    In 2024, the project is scaling up, welcoming additional partners onboard the initiative and providing further opportunities for customers to become involved and benefit from the program.

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:

  • Enabling greater market participation for customers with Customer Energy Resources
  • Incentives customers to participate in the wholesale and ancillary service markets, promoting more customer choice
  • Smarter management of network capacity
  • Creating opportunities for customers to use the electricity network at a lower price than compared to when the network is congested
  • Stimulating competition in the energy market
  • Provides customers the opportunity to use the network without incurring significant charges when demand is low

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 onboard new retailers/aggregators and their customers onto the platform. We will discover, innovate and learn about the types of products that work for customer agents and provide value for customers. These learnings will provide the foundation for a new set of products for our next regulatory period, FY29-34.

These new products are required to support the significant increase in Customer Energy Resources (Solar, Batteries and EVs) and manage their interactions on the network. These products will expand over time as we seek to provide customers with choices and meet the expectations of our stakeholders.

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

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.