Retailers margins can be increased from the outset by offering retail customers power provided within their own boundaries from equipment supplied and owned by the retailer. The retailer benefits from having a bonded customer and achieving not only the traditional margin of approximately 8% but an additional 85% of the energy cost they bill. This in the medium term translates to a higher return on their business that could possibly be achieved by simply retailing electricity provided and distributed by third parties.
Up front capital costs remain fixed, ongoing costs are pegged and returns on a $16000 investment indicatively commence at 12% and rise to 17% in year five.
Master planned communities, comprising solar and Sun-Sink storage can offer lower head works costs and fractional grid connection fees by utilizing a cross connection distribution model, using diversity to maintain acceptable reliability outcomes with little or no regular consumption from what would be a small connection to the external network. Off peak use generally for use in the worst of weather events.