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Since the introduction of electricity to Australia more than a century ago, utilities have been provided in the same way. Customers would choose a centralised network to deliver their electricity - and sometimes gas, and other utilities - and the choices ended there. There were limited options for customisation or control and typically customers wouldn’t change unless something was wrong with their service. Embedded networks are relatively new to the Australian market and whilst they’re not widespread yet, they are growing in popularity.
Offering privatised power in the form of micro-grids, embedded networks are an alternative approach to traditional utility services that gives customers control over which provider they purchase from, allowing for more sustainable choices.
We’ll be exploring the differences between an embedded electricity network and traditional utilities, comparing their pros and cons and helping you to decide which is best for you.
Traditional electricity utilities dominate the market, however the growing popularity of embedded networks is supporting the growing demand for sustainable power. Here’s everything you need to know about both electricity types.
Traditional utilities are the most common means of providing electricity, utilising a vast infrastructure network that includes power plants, transmission lines and distribution grids. As it’s a centralised system, it offers reliability with a proven track record and thanks to extensive infrastructure and redundancy built-in, outages are infrequent and addressed quickly. Thanks to a large customer base and the deregulation of energy in Australia, traditional utility providers are highly competitive and offer customers better prices.
Additionally, as they are subject to government oversight and regulations, they ensure a baseline level of consumer protection regarding pricing and service standards.
Although traditional utilities have several benefits, they do have drawbacks, particularly limited control. As they offer little control over energy sourcing, those who are looking to choose a sustainable energy provider are restricted to their sole offering.
Embedded networks are essentially private microgrids that provide electricity to apartment buildings, small communities and commercial buildings. Unlike traditional utilities, embedded networks work by purchasing electricity in bulk from the grid and distributing it to end users within their network. As this allows for electricity to be bought in bulk for the entire community, embedded networks can offer lower costs, whilst giving customers control over where they source their energy from and how it is consumed. For communities that value sustainability, this allows for sustainable practices to be incorporated into energy consumption and conservation.
However, unlike traditional utilities, an embedded electricity network utilises a micro-grid, which means it is only available to communities that are built with the forethought in mind or are able to convert. Despite limited availability for the time being, embedded networks are growing across the country and are allowing small communities to solely utilise renewable energy.
At Altogether Group, we partner with developers and building owners to design, build and operate embedded networks in small communities, apartment buildings, shopping centres, and other multi-tenanted properties. Through the implementation of an embedded electricity network, we can reduce costs thanks to bulk negotiation, which can lower energy costs for residents and tenants. For those looking to reduce their environmental footprint, the integration of renewable energy sources like solar panels and wind turbines can reduce reliance on electricity supplied through fossil fuels. Additionally, through the use of advanced metering and data analysis tools, residents and tenants can identify and address energy inefficiencies to not only prevent unnecessary costs but to also prevent energy from being wasted.
Traditional electricity utilities remain a good choice for many, however the development of embedded electricity networks is giving communities and property owners control over their power needs and allowing for greater sustainability. If you would like to learn more about how you can connect an embedded electricity network or how Altogether can help your community, get in touch with us today.
At Altogether, we deliver reliable, localised essential services to over 500 communities across Australia. From world-leading recycled water systems to efficient embedded energy networks in high-rise communities and smart grids in small communities, we're determined to do the right thing by our customers and by the planet. As a multi-utility service provider, it’s our mission to make the world a brighter place and we do that by offering sustainable power, water and data services.
