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IKEA Adelaide

Adelaide Airport SA
Retail

Planet Ark Power has helped transform the IKEA Adelaide retail store into an unconstrained, grid-connected microgrid that incorporates a 1.2 MW rooftop commercial solar, on-site 3 MW / 3.3 MWh battery controlled by the eleXsys Energy Management System.

eleXsys is an advanced power electronics device integrating a suite of artificial intelligence (Ai) proprietary software for grid stability and voltage regulation services.

Challenge

A unique project and partnership between IKEA Australia, Planet Ark Power and Epic Energy, and with support from SA Power Networks and the South Australian Government, it was necessary to implement best practice project management for a successful rollout.

Key challenges of this project were to maximise solar generation and to guarantee the financial viability of the project.

Due to network constraints, SA Power Networks (SAPN) initially approved a 640 kW solar PV system. However, this was inadequate for financial viability and the energy needs of a busy retail site. To accommodate more solar, SAPN required dedicated amounts of VARs to be injected into the grid and the eleXsys Energy Management System was central to solving the issue.

The eleXsys units operate as VAR compensators to generate reactive power which assists with grid voltage regulation and reduces the need for expensive capacitor banks. eleXsys units operate in the absence of active input power and can provide grid services under low light or night-time conditions.

With the eleXsys Energy Management System it was possible to increase the solar system to 1.2 MW, and to utilise all available roof space, whilst improving the financial return for the investors. A secondary benefit was that eleXsys units eliminated grid-imposed curtailment of solar generation, maximising solar generation output, and earning an income stream from selling surplus energy to the grid.

Solution

The $6.6m, 1.2 MW rooftop solar installation and on-site 3 MW / 3.3 MWh battery, controlled by the eleXsys Energy Management System optimises energy generation, circumvents solar curtailment and expensive network upgrades.

Investors in the IKEA eleXsys microgrid achieve an attractive return on investment by being able to participate in the Frequency Control Ancillary Services (FCAS) and spot market trading. The site also benefits the South Australian community by providing grid forming services to the electricity network.

Results

890 Tonnes

CO2e Savings p.a.
Environmental Impact

Solar PV Installations
4.2 MW

SYSTEM CAPACITY

more than 10 million dollars of energy savings with commercial solar
70%

Annual Savings
Reduction in power cost

The IKEA eleXsys microgrid was designed as an investment vehicle by the project investor with an attractive return on investment, the business owner benefits by lower energy costs and increased access to renewable energy, whilst the network operator avoided expensive network upgrades.

Design work commenced in October 2020, the solar was energised in January, with the Battery energised January 2023. The electrical infrastructure now complete with the 3MW/3.3MWh battery storage and @eleXsys controllers housed in 4 x 40ft containers being the final jig saw piece with the Official launch on May 24th 2023.

This is a key project and represents a significant step forward for IKEA in meeting its goal to be a circular and climate positive business by 2030, and alongside other projects, IKEA Adelaide is progressing towards achieving 100% renewable energy consumption by 2025.

“ - Outline@2x
“We are thrilled to host the largest grid-connected commercial microgrid in the country at IKEA Adelaide, supporting our goal of 100% renewable energy use by 2025.“ “IKEA is committed to becoming a circular and climate-positive business, but we can’t do it alone. This microgrid project is the perfect example of collaboration between the business community, industry, and government to help shift the dial on clean energy production in Australia.”

Peter Richmond, Sustainability Lead, IKEA Australia.

To learn more about IKEA’s sustainability commitment visit their website at https://www.ikea.com/au/en/this-is-ikea/climate-environment/the-ikea-sustainability-strategy-pubfea4c210

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