02 Jul 2016
AFR Weekend, Australia
Author: Ben Potter • Section: General News • Article type : News Item
Classification : National • Audience : 62,345 • Page: 3 • Printed Size: 375.00cm²
Market: National • Country: Australia • ASR: AUD 3,321 • Words: 528
Item ID: 620781646
Licensed by Copyright Agency. You may only copy or communicate this work with a licence.
Power firms compete
'behind the meter'
Electric cars Rival
companies are
competing for drivers.
Ben Potter
After Jo Hume completes the 90 kilometres from Palm Beach to Sydney and
back in her BMW i3, she parks next to
the retaining wall that holds back her
garden and plugs in.
The car doesn't start charging until
the 9.7 cents a kilowatt hour off-peak
rate comes on at 10pm, and the small
electric car is ready for another commute in the morning.
"We just pull into the parking reserve
and plug it in, and the software allows
you to set the charging time," Ms
Hume, a partner with South Cross Ventures, told The Australian Financial
Review.
She and her husband will drive
about 18,000 kilometres and pay about
$260 to charge it in a year. That
includes $226 for power at 12.9 kilowatt
hours per 100 kilometres and $35 for
2.2 tonnes of carbon offsets. They've
also put about $6 of petrol into the tank
of the range extender, which adds 100
kilometres to the 150 kilometre range.
This is a lot less than AGL Energy's
"all you can e a r offer to charge electric
vehicles for a dollar a day, or $365 a
year - fully carbon offset - unveiled by
chief executive Andy Vesey last week.
Power companies are competing
aggressively to provide so-called
"behind the meter" services to electric
vehicle owners and other lucrative
groups as average grid power usage
flatlines.
Ms Hume buys her power from Mojo
Power, after becoming a customer as
part of her "due diligence" for an investment by Southern Cross Ventures in
the upstart company.
Powershop, another relatively new
competitor, offers new customers
green power for their electric vehicle
for a year after signing up at the same
price as regular power. Origin offers
owners of Porsche and Audi electric
cars Green Power for their first 10,000
kilometres.
Powershop's chief executive, Ed
McManus, said green power was
important for electric vehicle owners
"given the carbon intensity" of the coal
heavy grid, but the AGL deal did not
look fair.
Average drivers, who only cover
about 14,000 kilometres a year, and
below average drivers would be paying
too much at $1 a day, Mr McManus
said.
They would be subsidising heavy
drivers - or drivers of luxury electric
vehicles like Tesla's Model S, which
consume more power.
Vehicle owners need a smart meter
to take advantage of such deals, which
can cost $20O-$30O, and a car charger costing about $1000. Mojo rolls up the
cost of the smart meter into its $35 a
month standing charge.
An AGL spokeswoman said that the
average driver wouldbebetteroffonits
dollar-a-day offer assuming 100 per
cent electric usage, 30 per cent anytime
charging and 70 per cent off-peak charging, while enjoying the peace of mind
of "fixed price driving".
Drivers able to charge off peak might
be better off staying on using an offr peak tariff, but this would not suit all
households or vehicle owners. The
company would offer advice and leave
customers "to choose the best option
for them and their household".
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02 Jul 2016
AFR Weekend, Australia
Author: Ben Potter • Section: General News • Article type : News Item
Classification : National • Audience : 62,345 • Page: 3 • Printed Size: 375.00cm²
Market: National • Country: Australia • ASR: AUD 3,321 • Words: 528
Item ID: 620781646
Licensed by Copyright Agency. You may only copy or communicate this work with a licence.
Jo Hume "fills up", or rather, "plugs in" her electric car in Sydney. PHOTO: JANIE BARRETT
Page 2 of 2