Here's the big problem facing Australia's power companies

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It won’t be the the blow that brings down the traditional energy sector, but new research shows that energy providers should be very worried of solar batteries.

A new survey on solar energy showed that nearly 80% of its 2,897 respondents would turn to a combination of solar and battery power if it would get them off the grid. Granted, this survey was commissioned by solar energy company Solar Market, but even if we halve that amount, it’s still a huge problem for power companies.

Similarly, with companies such as Tesla producing the Powerwall, bringing the entry cost into energy storage is lower than ever resulting in the payback period shrinking majorly. Investment bank UBS predicts that the technology will be so cheap that by 2020, battery storage for solar will pay itself back in 5-6 years.

The same survey also showed that 26% of people with solar installed would jump onto battery storage technology if it would pay itself back in 5 years or less, while 20% would do so if it would take 3 years or less.

Interestingly, it could be the energy companies themselves could be giving more incentive for people to jump of the grid by dramatically lowering their feed-in tariffs since 2010. The survey showed that nearly 60% of solar owners are interested in investing in battery technology as a result of not making enough from feeding their solar power back into the grid.

You can find the survey here.

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