All set for the smart electricity revolution
Tempus was originally awarded for their innovative work as both a technology developer and energy supplier, aiming to change the way the world buys and uses electricity. Using advanced technology to connect customers with the cheapest available energy prices, it used smart equipment to automatically shift non-time critical electricity consumption out of expensive peak periods and into off-peak periods when prices are lower, often when renewable generation is plentiful.
In October it closed its UK electricity supply business as the combination of market interest in its technology and cost reduction in battery storage meant the high cost of running a supply company was no longer the best business approach. Markets with fewer fossil fuel subsidies create a more accurate price for wholesale electricity meaning the difference between low demand and high demand pricing is steeper, increasing the reward for flexibility. The Australian market is one such market and is proving very exciting for Tempus. The company is in the process of establishing a subsidiary in South Australia to manage large customers’ flexible load and will be installing battery storage without the need for the investment required to be an electricity supplier.
While Tempus is still working in the UK and will be managing the charge/discharge cycling for battery storage for a solar developer commencing in 2017, the company has been disappointed by the continued willingness of the government to allow out-of-market subsidies for fossil fuel that take away value for innovation. Tempus hopes that rapid success in Australia and later the US will encourage the UK government to place greater faith in the power of markets to create the necessary investment case for flexibility.