March 2007 Newsletter
EEO Program Registration due March 31 2007 | Energetics works on EEO Reporting Streamlining Project | Sydney Water Investing $45 Million in Renewable Energy | Full Retail Contestability Arrives in Queensland | National Electricity Market Update | REC Market Update | Energetics Makes Submission to Federal Government on Emissions Trading | Earth Hour - Sydney, 31 March 2007, 7.30pm | Energetics Finalists in BRW - St. George Client Choice Awards | Linda Funnell-Milner joins Energetics | GRI's 'G3' Guidelines Released - Melbourne, 5 March 2007 | Energetics Purchases 100% Accredited GreenPower | Energetics' Raises $9,508 for Leukaemia Foundation
- EEO Program Registration due March 31 2007
- Energetics works on EEO Reporting Streamlining Project
- Sydney Water Investing $45 Million in Renewable Energy
- Full Retail Contestability Arrives in Queensland
- National Electricity Market Update
- REC Market Update
- Energetics Makes Submission to Federal Government on Emissions Trading
- Earth Hour - Sydney, 31 March 2007, 7.30pm
- Energetics Finalists in BRW - St. George Client Choice Awards
- Linda Funnell-Milner joins Energetics
- GRI's 'G3' Guidelines Released - Melbourne, 5 March 2007
- Energetics Purchases 100% Accredited GreenPower
- Energetics' Raises $9,508 for Leukaemia Foundation
EEO Program Registration due March 31 2007
Released in July 2006, the Energy Efficiency Opportunities (EEO) Program is a mandatory energy reporting program for all companies that use more than 0.5 PJ of energy. This corresponds approximately to annual spending of $5-$10 million on electricity or $1.5-$2.5 million on natural gas or $13 million on diesel. If your organisation falls into these parameters of energy use then you need to register with the DITR for the EEO Program by 31 March 2007.
Though the legislation does not allow for extensions, the Department of Industry, Tourism and Resources (DITR) has released the following notification: "If you are currently preparing your corporation's application to register but are concerned that you may not have it finalised and submitted by March 31st 2007, you should send an email to energyefficiencyopportunities@industry.gov.au telling the DITR of your intention to apply to register. You should then submit your application to the DITR as soon as possible".
If you are unsure if your company needs to participate in the Program, please contact your Energetics' Account Manager or visit the Energetics' website for further information on the EEO Program and Energetics' services.
Energetics works on EEO Reporting Streamlining Project
Energetics recently worked with Representatives of the Department of Industry, Tourism and Resources (DITR), the Department of Energy Utilities and Sustainability (DEUS), Greenhouse Challenge Plus, and mining contractors to prepare a report on streamlining of Energy Efficiency Opportunities’ obligations with Greenhouse Challenge Plus and DEUS reporting to provide corporations with recommended approaches and case examples. The findings of the report are intended also to contribute to development of the proposed national Energy and Greenhouse Reporting system. Download the file below for further information.
 | DITR EEO Newsletter | PDF, 371Kb |
Sydney Water Investing $45 Million in Renewable Energy
In 2002, Sydney Water engaged Energy Partners Energetics and WorleyParsons to assist in the delivery of its corporate energy management objectives. Within the partnership, Energetics combines energy efficiency and energy commodities market expertise in its role as an Energy Partner, providing technical advice and conducting feasibility studies. The Energy Partnership has since identified and implemented a number of key energy projects.
Sydney Water recently announced a $45 million program to cut its greenhouse gas emissions by more than 50,000 tonnes of carbon dioxide each year. This new project is equivalent to taking 12,000 cars off the road. As part of the project Sydney Water will construct new biogas cogeneration facilities at five Sewage Treatment Plants. Four hydro-generation facilities will also be installed.
To find out more about the renewable energy project, please view Sydney Water’s media release.
Full Retail Contestability Arrives in Queensland
Full retail contestability is due to commence on 1 July 2007 for both the electricity and natural gas markets in Queensland. This means that all customers in Queensland are now able to enter into an energy supply agreement with their retailer of choice.
Most of the major retailers are intending to make offers for small sites, especially if they are linked to larger businesses. Some suppliers are offering pre-sales now, however as the regulations are yet to be released they are non-binding.
If the experience of the southern states is repeated in Queensland, organisations with large numbers (typically >100) of small accounts in South East Queensland stand to make good savings on their energy costs by entering into a negotiated agreement.
For further information on what these changes may mean for your electricity accounts, please contact your Energetics' Account Manager.
National Electricity Market Update
Since the beginning of 2007, NEM spot prices have experienced higher than usual levels of volatility. The high prices have been mainly due to hot temperatures, high summer demand and loss of generation. A comparison of the monthly average spot prices so far this year to the average spot price in financial year 2005/2006 is provided in the table below.
| State | Average Spot Jan 07 | Average Spot Feb 07 | Average Spot March 07 (to 26 March) | Average Spot 05/06 |
| NSW | $55.91/MWh | $44.76/MWh | $53.11/MWh | $32.74/MWh |
| Qld | $73.68/MWh | $37.58/MWh | $49.20/MWh | $28.12/MWh |
| SA | $66.49/MWh | $52.77/MWh | $49.79/MWh | $37.76/MWh |
| Vic | $91.46/MWh | $47.44/MWh | $55.36/MWh | $32.47/MWh |
| Tas | $44.30/MWh | $52.95/MWh | $50.56/MWh | $56.76/MWh |
Future electricity contract prices have generally increased over the last year. The increase in contract prices in the last two to three months has been especially steep due to the volatility in the spot price and supply constraints caused by the ongoing drought. Since January 2007, the 2008 Calendar year futures base price has increased significantly in Queensland, NSW and Victoria and to a lesser extent in SA. The table below shows the financial impact of the increase in the 2008 futures prices on electricity costs if you contracted for a 10GWh supply now rather than at the start of the year. For further information, download the file below or contact your Energetics' Account Manager.
| Electricity Market Prices March 2007 | PDF, 24Kb |
| State | Futures Price at 2nd Jan 07 | Futures Price at 26th Mar 07 | Cost Increase for 10GWh Supply |
| NSW | $39.07/MWh | $46.97/MWh | $79,000 |
| QLD | $32.91/MWh | $45.84/MWh | $129,300 |
| SA | $43.55/MWh | $45.77/MWh | $22,200 |
| VIC | $38.58/MWh | $46.80/MWh | $82,200 |
The REC market has had a pricing recovery in the past three weeks. RECs are now trading at around $27.50, up $10 from January prices. This means that GreenPower prices are likely to increase and $30/MWh is likely to be the new minimum level. The price recovery is due to a general market consensus that:
- Government policy is heading in a greener direction and driving up demand;
- The large hydros are not expected to supply as much as they have previously due to the extended drought; and
- State based REC targets will absorb supply from new generation.
Even at $30/MWh, the cost of GreenPower is still much lower than it has been in the past, so if you are considering purchasing GreenPower it is still a good time to do so.
Energetics Makes Submission to Federal Government on Emissions Trading
On 10 December 2006, the Prime Minister announced the establishment of a joint government-business Task Group on Emissions Trading. The Terms of Reference of the Task Group are to examine "what form an emissions trading scheme, both here in Australia and globally, might take to make a lasting contribution to a response to the greenhouse gas challenge, but in a way that does not do disproportionate or unfair damage to the Australian economy…." (Prime Minister's speech to the Business Council of Australia 13 November 2006).
In February 2007 the Task Group released an Issues Paper calling for public comment on Australia's contribution to reducing greenhouse gas emissions. The Prime Minister has asked the Task Group to report by 31 May 2007.
Energetics submitted a paper in response to the Task Group's Issues Paper. Read Energetics' submission on the website for the Prime Ministerial Task Group on Emissions Trading.
Energetics made a similar submission to the National Emissions Trading Taskforce which is available at http://www.emissionstrading.net.au.
Earth Hour - Sydney, 31 March 2007, 7.30pm
At 7.30pm on 31 March 2007, WWF Australia, Fairfax and City of Sydney invite all Sydney households and businesses to turn off their lights for one hour - Earth Hour. The event is organised to show that it's possible to take action on global warming.
If Australia's commercial sector turned off lights when buildings weren't in use and combined this action with other cost effective technology they could reduce lighting emissions by 70%, this would save 2-4 million tonnes of greenhouse gas emissions. Earth Hour aims to show these companies how easy and cost efficient these changes can be through case studies of companies that have already achieved massive reductions in their emissions. Earth Hour is working with 3CBDs, a City of Sydney initiative of which Energetics is proud to be a signatory. Please visit the Earth Hour website for further information.
Energetics Finalists in BRW - St. George Client Choice Awards
Energetics recently took the decision to participate in this year's BRW St George Client Choice Awards. The Awards have been developed to give the clients of Australia's professional services firms the opportunity to provide objective feedback on the service levels of their supplier's. As participants in the Awards, Energetics has provided a list of 200 client contacts for Beaton Consulting, a research firm acting on behalf of BRW, to survey.
Energetics is pleased to announce that it has been ranked as a finalist in the 2007 BRW St. George Client Choice Awards. Now in their third year, the BRW - St. George Client Choice Awards has established itself as Australia's leading measure of outstanding service provided by professional services firm.
Linda Funnell-Milner joins Energetics
Energetics is pleased to welcome Linda Funnell-Milner to the team. She brings to the Energetics' team extensive senior managerial experience in developing strategic sustainability programs with many of Australia's ASX listed corporations.
With a strong technical background in legislative drivers, organisational culture, social sustainability, risk assessment processes, sound operational, management and corporate advisory expertise, Linda continues to provide a strong leadership role in the development of reporting frameworks, Corporate Governance and stakeholder relations globally.
GRI's 'G3' Guidelines Released - Melbourne, 5 March 2007
On the 5th March 2007, the Global Reporting Initiative presented the G3 conference in Melbourne. Energetics' Linda Funnell-Milner spoke at the event along with other industry leaders about the new GRI guidelines and how they will affect the future of sustainability. For further details on G3 and GRI reporting guidelines, please contact your Energetics' Account Manager or visit the GRI website.
Energetics Purchases 100% Accredited GreenPower
Through the use of Energetics' internal Strategic Energy Procurement services, Energetics has negotiated a contract to purchase 100% accredited Green Power for its offices. Energetics' Sydney and Melbourne offices are now powered by 100% accredited GreenPower. This means that 100% of the electricity purchased directly by Energetics' Australian offices is GreenPower.
Energetics has committed to purchasing 101 megawatt hours of renewable GreenPower, which will result in a cut to Australia's greenhouse gas emissions by 108 tonnes per annum - equivalent to taking about 24 cars off our roads. Energetics is also looking into helping staff to buy accredited GreenPower for their residential electricity consumption. Read more about Energetics' GreenPower purchase.
Energetics' Raises $9,508 for Leukaemia Foundation
Twenty-four employees from Energetics committed to either shave or colour their hair and raised $9,508 for the Leukaemia Foundation.
To help raise money for the Leukaemia Foundation's annual World's Greatest Shave, twenty-four employees from Energetics committed to either shave or colour their hair. Five staff members were brave enough to shave their hair for this worthy cause, with nineteen others opting to colour their hair.
Energetics is pleased to announce that its staff raised $4,754 and the company has committed to match the money collected $ for $ to achieve a total amount raised of $9,508.