Australian commercial and industrial (C&I) energy users in South Australia could see significant reductions in their electricity bills and improved energy efficiency following the deployment of a new, innovative battery energy storage system (BESS). Melbourne-headquartered battery technology company Relectrify has installed its first 250 kVA / 1,089 kWh usable AC1 battery energy storage system in Renmark, South Australia, marking a pivotal step towards commercialisation of the “inverterless” technology.
The installation, completed in collaboration with SA-based YES Energy and supported by a $25 million fund from the Australian Renewable Energy Agency (ARENA) through the More Energy Project, aims to address the “missing middle” of C&I energy users in Australia’s energy transition. The system became operational in early August 2026, with the announcement of its successful deployment made this week.
How ‘Inverterless’ Technology Delivers Greater Value
The Relectrify AC1 BESS distinguishes itself from conventional battery systems by eliminating the need for a separate inverter. Instead, it leverages Relectrify’s proprietary CellSwitch technology, where a sophisticated battery management system (BMS) directly controls each of the nearly 4,000 individual battery cells to produce AC power.
This innovative design offers several operational and economic advantages:
- Increased Energy Output: By reducing the number of complex components and optimising cell management, the AC1 system is engineered to deliver up to 20% more energy over its lifetime compared to traditional BESS setups.
- Reduced Degradation: The individual cell control minimises battery degradation, extending the system’s operational lifespan and enhancing its long-term value.
- Lower Overall Costs: The simplified architecture and improved efficiency contribute to lower energy storage costs for businesses.
Relectrify Chief Executive Officer Jeff Renaud highlighted the system’s potential impact for businesses. “It gives large energy users the ability to take control of their energy use and reduce costs, all while supporting Australia’s transition to renewables,” Mr Renaud stated. “ARENA’s support enables Relectrify to bring the game-changing AC1 BESS to market at scale and we’re thrilled that it is now available to Australian businesses.”
The Relectrify AC1 BESS is designed to deliver 20% more energy over its lifetime, directly translating to lower energy storage costs for commercial and industrial users.
Addressing Australia’s Commercial Energy Needs
The Renmark installation represents a significant step for Relectrify, which previously scaled to offer the AC1 in Taiwan. The focus on the C&I sector is critical for Australia, as businesses often face substantial and unpredictable energy costs. Integrating advanced battery storage solutions allows these entities to store excess renewable energy – such as that generated from rooftop solar – and discharge it during peak demand periods, thereby reducing reliance on grid electricity at its most expensive.
This strategic deployment supports the broader national goal of achieving higher renewable energy penetration and enhancing grid stability. As Australia’s energy landscape continues to evolve, effective energy management systems become increasingly vital for both individual businesses and the overall network. Businesses seeking to better manage their energy consumption and costs may also consider exploring options such as Best Home Energy Management Systems in Australia 2026: Slash Bills by $1,000+ Annually to understand how integrated solutions can deliver substantial savings.
The Role of Government Support and Future Outlook
ARENA’s $25 million funding under the More Energy Project underscores the government’s commitment to fostering innovative energy storage solutions that can accelerate Australia’s clean energy transition. This support is crucial for bringing novel technologies like Relectrify’s AC1 to market at scale, ensuring they contribute to a more resilient and cost-effective energy system.
The successful deployment in Renmark sets a precedent for wider adoption across Australia, offering a blueprint for how C&I businesses can significantly improve their energy independence and financial bottom line. As more businesses look to optimise their energy usage, understanding the intricacies of battery storage and its integration with renewable sources will be paramount. For many, joining a Virtual Power Plant (VPP) could further enhance these benefits, allowing them to earn revenue by providing grid services. More information on such opportunities can be found in our guide on Maximise Your Home Battery Savings: Earn $1,000+ Annually with a VPP in 2026.
This development highlights a growing trend in the Australian energy market: a move towards more intelligent, efficient, and cost-effective battery storage solutions that empower businesses to actively participate in and benefit from the clean energy transition. The AC1’s unique approach offers a tangible pathway for commercial operators to achieve substantial energy savings and contribute to a more sustainable future.