Across Government Contract for the Supply of Electricity

⁠⁠⁠The Government of South Australia (State) invites proposals for an across government contract for 100% of its electricity supply requirements.

This open RFP is the first stage of a two stage Procurement Process. Following completion of the evaluation of RFP responses, shortlisted Respondents will be invited to respond to a selective Request for Tender (RFT).

The State is a significant user of electricity consuming in aggregate approximately 500 GWh each year. The State’s contract for electricity supply and retail services for all State sites covered by this Procurement Process has a current expiry date of 31 October 2020 with options to extend to 31 December 2021.

The State’s electricity demand is categorised as follows:

• Large sites (greater than 160 MWh p.a.) – approximately 637 NMIs consuming approximately 405 GWh p.a.
• Small sites (less than 160 MWh p.a.) – approximately 6,117 NMIs consuming approximately 66 GWh p.a.
• Unmetered lighting (street and traffic lights) – 61 NMIs consuming approximately 27 GWh p.a.

State bodies responsible for this demand include hospitals, schools, police stations, emergency services assets and general government administration buildings.

Typically, the State has contracted for its electricity supply using a bundled energy supply and retail contract for terms of between 2 and 4 years.

In 2017, the State contracted with an organisation to develop a solar thermal plant in Port Augusta to provide for the State’s electricity needs.

The 20 year contracting arrangement comprised a Generation Project Agreement (GPA) for the supply of electricity and an Electricity Retail Services Agreement (ERSA) for the provision of retail services. The contracting arrangement was due to start providing electricity from 1 November 2020 when the normal term of the current arrangement is due to end.

The solar thermal plant project did not achieve financial close and so, in April 2019, the State terminated the contract. As a result, the State is now seeking to contract for 100% of its electricity supply requirements from the end of the normal term of the current arrangement on 1 November 2020 (or potentially later subject to extending the term of the existing arrangement up to 31 December 2021).

The State has recently entered into an across government contract for the provision of, and access to, electricity metering and related services. The scope of the arrangement includes the transmission of metering data to the State’s electricity supplier for billing purposes and to AEMO for market settlement activities.