Queensland Energy Alliance (“QEA”) is a locally owned and operated business in North Queensland which provides energy advice; solutions; management and procurement to commercial and industrial customers.
OVERVIEW ON CONTESTABLE ENERGY MARKET
Deregulation of energy markets in Australia began in the mid 1990's and is still underway with all states excluding NT and WA utilising the national energy market for contestable energy.
Ergon Energy is split into Ergon Energy Corporation “Poles and Wires” and Ergon Energy Queensland “Retailer”. All customers utilise the Ergon “Poles and Wire” network and Ergon “Retail” as the default Retailer for energy.
The contestable energy market allows large and small energy users to replace Ergon Retail with any energy retailer to obtain the best “buy price”.
The rise in electricity demand is expected to continue. With electricity prices determined by supply and demand, prices are extremely volatile.
Queensland Energy Alliance provides a total energy market management solution to ensure customers achieve the following outcomes:-
- Reduced operating cost through lower electricity rates
- Continual support and understanding of contract conditions.
- Options for amending contract conditions to match operational function (i.e. payment terms).
- Network connection contracts and agreements.
- We achieve the lowest possible operation cost for businesses by negotiating your rates by investigating other operational advantages that can achieve further price savings. Short buy “energy market auctioning” or spot pricing on the energy market is not QEA’s preferred methodology of tendering which is becoming standard with other consultancy companies. Generally the conditions of the contract are not disclosed and the energy buy price is generic.
HOW TO PROCEED
We recommend a two stage approach to enter the market with the first stage “evaluation” providing an accurate assessment of the savings and a workshop to explain the market and future predictions. The next stage, stage 2 is entering the market through a structured tender process. The process is below:-
- Engage QEA to provide a contestable market evaluation. QEA will review potential savings in the market place and report on the findings with a presentation on the market.
- QEA will require you to sign a network authority form to enable us access to your historic data on the sites energy and demand consumption.
- If the findings are attractive, QEA can formally take your site to the contestable market through the tender process. Once the process is completed, the site can enter the contestable market or retain the current tariff structure with Ergon Retail.
VALUE ADD AND GENERATION OPPORTUNITIES
Once a site enters the contestable energy market, the embedded generation on the site can be used as security for high pricing electricity events through QEA’s generation aggregation program. Under the program, the customer can receive a passive income for each generator available.
This passive income can make a significant difference to the outgoings of sites
Through innovative energy management techniques, such as energy audits; demand management, QEA can harness hidden potential for value adding to either your contract or operational bottom line costs.