Cost of Living Pressure

The economic outlook for most of the world looks challenging for 2023.

  • High Energy Costs – This February/March homeowners will receive the largest energy bills they have seen for many years, when they get their Summer Energy bill. Then it will only get worse from July 1st with the future cost of energy predicted to increase by 55%. This increase in Energy will raise the average electricity tariff by at least 30%. the absolute “bang” will come when homeowners receive their Summer power bill in 2024.
  • Inflation – inflation will unfortunately remain high due to continued supply chain issues for at least the first 6 months of 2023.
  • Interest rates – indicators see interest rates remaining steady for the first half of 2023, however, several consecutive months of rises has put a lot of pressure on homeowners.
Business, investment or financial report review, hand holding pen

Energy Independence 

  • The Cost of Energy – exploded in 2022 and 2023 looks to go to a whole new level!
  • Taking Control – homeowners and businesses will continue to install solar and batteries on their buildings to insulate against the largest electricity increases in over a decade.
  • Electrification – whilst the cost of electricity has gone up, it is still a fraction of the cost compared to the huge increase in gas. All around Australia, people are changing from gas to electric. The cost to fill up an electric vehicle compared to paying $2/L to fuel your car is just a non-comparison!

Electric Vehicles (EVs)

  • New EV sales – 2022 showed Australians are purchasing electric vehicles in droves. It was only supply chain issues that slowed it down. EVs are clean, fast, cheap to run and look incredible. 2023 will see Australian’s enter the new world of EV’s. In 2025 every third home will have at least one Electric Car in the garage on current projections.
  • Vehicle to Load – EV’s have serious battery storage. Taking your EV camping will enable you to power the camp site or provide back up power for your home or construction site.
  • Vehicle to Grid – This is the game changer for the electrical industry. Smart home integrations will enable your electric vehicle to run your home and stabilize the grid when needed.
Woman and boy pick up the groceries while electric car is charging at home inside the garage

Sustainability

  • “The world is increasingly waking up to the fact that the climate disaster will pose a much bigger challenge than anything we have experienced in recent decades and will dwarf the challenges faced by the Covid pandemic.” MBA News.
  • If you went to a Conference in 2022, companies are making their environmental, social, and governance (ESG) processes the centre of their strategy. 
  • Supply Chains – Your company’s entire supply chains will come under serious scrutiny. Every business needs a plan with clear goals and timeframes of how they are reducing their negative impacts to climate change. Your business will easily be left behind.

Accelerated Digital Transformation

In 2023, we see the continuation of innovations and developments in transformation technologies. We see this as a very good opportunity for our customers to get even better returns on their assets around the home.

  • Virtual Power Plants – Smart technology that joins hundreds of home batteries and then Electric Vehicles to be called on during events to stabilize the grid. This creates extra revenue streams for your assets during peak demand or black out events.
  • Dynamic Load Controls – Gives homeowners and business owners the ability to maximize their savings with solar, batteries and electric vehicle chargers. Automatic load controls that use more of your solar. For example, running pool pumps, hot water systems, charging your EV’s, cooling or heating when it is the cheapest to do so. Furthermore, this creates extra revenue streams for your assets during peak demand or black out events.
  • Peer to Peer trading – Blockchain technology has enabled customers with the same energy retailer in the same state to share and trade their excess solar. However, the network charges and costs of using the poles and wires infrastructure has made it difficult. In 2023 we are hoping for the introduction of “Local Use of System” (LOUS) tariffs which is being trailed by networks around Australia such as CitiPower in Victoria. LUOSwill enable customers connected in the same neighborhoods, to pay a fraction of those network charges.
 
 

If you have any questions or would like to find out more on anything above contact us.

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