Aussies are bracing themselves for a shock this spring, with power price increases having come into effect from July 1. Some customers are even looking at increases of up to 20 per cent.
When taxes are excluded, the four Australian NEM states have the highest electricity prices in the World. The dubious crown of most expensive prices in the World goes to South Australia, where households are paying 47.13¢ after the huge increases on July 1, Carbon + Energy Markets’ MarkIntell data service says. You can read the full report by clicking this link.
NSW households typically pay 39.1¢/KWh, while Queensland and Victoria’s typical retail charges reach 34 to 37c and 35.7c/KWh, respectively.
New South Wales peak business organisation, the NSW Business Chamber, says agreement on urgent actions to meaningfully address the impact of energy costs on business is still missing.
In a statement, NSW Business Chamber Chief Executive Stephen Cartwright called for urgent action on this matter:
“Small businesses in NSW have seen a 20% increase in electricity prices since July this year and manufacturers have seen their electricity bills double, so businesses of all sizes need urgent relief on their rapidly rising electricity and gas bills. Few would have factored such increases into their business plans, which means that increased energy costs will directly impact new investment and new jobs.”
While State and Federal governments grapple with the politics of the problem, there are several actions that businesses can take now to minimise their energy costs. While we always advocate for our business customers to shop around for the best retail energy prices, there are steps that should be taken now to reduce energy consumption. There is substantial scope for different types of ‘smart’ power demand management and power factor correction to help reduce power costs.
Some state governments offer incentives to acquire new equipment that reduces consumption, including energy efficient LED lighting systems. One such scheme is the Energy Savings Scheme (ESS) in NSW. The ESS reduces energy consumption in NSW by creating financial incentives for businesses to invest in energy savings by installing, improving or replacing energy savings equipment like LED lighting.
The cost of lighting upgrades can be more than halved and payback, given electrical savings, can be measured in single-digit months!
About the Energy Savings Scheme
The Energy Savings Scheme works by placing an obligation on NSW energy retailers and other liable parties to purchase energy savings in the form of Energy Savings Certificates (ESCs) each year. These certificates are created by an Accredited Certificate Provider when an energy user (your business) undertakes an eligible energy savings activity, like an upgrade to LED lighting systems.
The ESS has been highly successful to date. Since its inception in 2009, the Energy Savings Scheme has supported projects that will deliver more than 19,000 gigawatt hours of energy savings over their lifetimes. These savings are estimated to deliver around $2.9 billion in energy bill savings for NSW households and businesses over the next decade or more.
Our business customers are rewarded for undertaking projects that either reduce electricity consumption or improve the efficiency of energy use. Â Projects that replace old lighting with energy efficient LED lighting qualify for the Scheme.
Under the Scheme’s Commercial Lighting upgrade process, it is important to not only consider product price and installation, but also other factors such as colour temperature, illumination (lux) levels, colour rendering index, reflectance, and so on.
Subject to the Energy Savings Scheme conditions being met, Matrix LED will project manage the creation of ESCs on behalf of your business when your energy efficient lighting upgrade has been implemented. Our “enersave” online tool makes the process easy. Electrical contractors are increasingly using our “enersave” tool to quote, order and project manage the ESCs process to significantly reduce the cost of lighting upgrades.
MatrixLED and LED Lighting Solutions
If you need an installation for a commercial or retail establishment, you can consult us at MatrixLED, one of the leading companies of LED lighting in Australia. We’re committed to bringing the future of lighting to every business in the country.
If you are an electrical contractor and want to know more about cash incentives available under energy savings schemes, to make lighting upgrades an easier choice for your customers, and more about how our “enersave” quoting, ordering and project management tool can make it easier for you, give us a call or get in touch with us through our Contact Us page.
Our products are manufactured with innovation in mind, taking into account the needs of our customers today and into the future. Well-researched and designed for the market, our LEDs are everything lights should be: safe, efficient and lasting for a long, long, time. To view our products, visit the MatrixLED website.
Learn how much you can save with our lights by using our Savings Calculator!