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Comment by skew-aberration | Hacker News Reader

I agree 100%, this is one of the most inequitable government policies I've ever seen in this country. The numbers are much worse than you make out. The program has spent more than 2.5bn (the projected figure) and we don't know yet how much. The subsidy was closer to 70% for a typical large battery install. The government's own gen cost report would have put grid storage 1.5x ahead on ROI.

Note that figures like $66m/GWh are projected costs based on projects starting today, not coming online today. They may not include 'balance of plant'. For better comparison you would have to look at the financials of recently commissioned storage.

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I've tried to be as charitable on both sides. As you note the real subsidy is higher, but the owner contributions are still high, and the projected cost of the program is now closer to 7.5Bn.

It's pure middle-class welfare.

For 2N government dollars, the program gets 3N home battery. Grid is 2x more efficient by their own accounting. Therefore, we could have gotten 4N grid storage. This is not comparable to the home solar programs - which I understand to 'enticed' more private investment. Simply buying votes and lying to the public. I feel for the renters who paid their taxes and never saw a cent.

>I agree 100%, this is one of the most inequitable government policies Don't forget about the EV subsidies! No fringe benefits tax, no road user charges, discounted registration.

Set aside the broader incentives (noble though they may be) and just look at the equity in the distribution of the welfare.

I was surprised there were no companies offering finance deals, such as loans to cover the out of pocket costs. An energy retailer could lock in a customer for 10 years to reasonable rates, make more money, and customer pays less. I suspect it was because the limiting factor was not cash, but the installer capacity. Solar installers have been working flatout, and even more customers would just push their prices up further.

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