SA virtual solar power plant scheme with Tesla to deliver 500 jobs, Jay Weatherill says

THE Government’s plan to install solar panels on 50,000 homes with Tesla will create more than 500 SA jobs, Premier Jay Weatherill says.

• 50,000 homes to get free solar panels, link to virtual power plant
• Bulk-buy deal to benefit up to 168,000 households

THE Government’s latest renewable energy scheme will create more than 500 South Australian jobs, Premier Jay Weatherill says.

Mr Weatherill said 250 jobs would be created over the next four years as Tesla Powerwalls are installed in 50,000 South Australian homes, creating a 250MW “virtual power plant”.

About 260 jobs are also expected to be created across the supply chain.

Those figures are set to be boosted if SA’s only solar panel manufacturer — Tindo — wins a tender to construct solar panels for the project.

It comes as South Australians rushed to express interest in having solar panels installed on their homes.

Treasurer Tom Koutsantonis said 10,700 had signed up by Monday night.

The Government has pledged $1.25 million to help companies like Tindo secure contracts on major renewable energy projects.

Tindo is not assured of winning the tender, but Mr Weatherill said it was extremely well placed.

Solar panels are installed on a roof. The SA Government has announced a solar panel scheme for 50,000 SA homes, which will link up to create a virtual power plant. Picture: AFP

“We can’t confine (the project’s local content requirement) to South Australia because we have certain obligations to not exclude interstate trade, but the happy coincidence is Tindo is the only Australian manufacturer, so they’ll get a headstart,” he said.

Tindo owner Glenn Morelli said winning the contract would double the business’ manufacturing capacity at its Mawson Lakes factory — and its staff numbers.

Mr Weatherill provided further clarity about the funding of the $800 million scheme, saying $768 million would be stumped up by “investors”, to be sourced by Tesla.

The Government is providing a $2 million grant and $30 million loan.

“The value in the system is so profound that they’ll have no trouble at all in finding investors to build these projects,” Mr Weatherill said.

“What Tesla will do is supply the technology and the equipment, they’ll sell into that process, and the retailer will create a vehicle which will go out and provide all of this new generation.”

Frontier Economics modelling suggests the 50,000 participating households could slash their energy bills by 30 per cent, and Mr Weatherill said he’d seen “no cogent commentator” suggesting the scheme would not work as intended.

It comes as Government data shows 26,000 households have opted into the Government’s low-income bulk buy power deal with Origin Energy.

The deal is open to 168,000 low-income South Australians and provides an annual saving of between $133 and $531.

Social Inclusion Minister Zoe Bettison said about 1500 offer letters had been returned each day since they were issued in January.

The Origin deal does not penalise people for paying their bills after the due date, and allows them to accept another offer at any time without paying an exit fee.