More power to electricity users

ELECTRICITY retailers will be increasingly called on to come up with their most competitive rates as more consumers enter the contestable electricity market and put their power supply out to tender.

After entering the contestable electricity market in January 2000, landmark office building QV1 last week became the first commercial CBD building to tender and negotiate a new supply contract.

Western Power won the three-year contract, promising to implement energy management diagnostic tools to improve energy efficiency in the building.

“Competition for major electricity users among retailers has certainly increased over the past 18 months and we are extremely pleased to have won this contract,” Western Power’s retail general manager John Lillywhite said.

Midland Gate Shopping Centre is another site which has recently awarded a power supply contract to Western Power.

The contestable electricity market opened in 1997 and sites wanting to enter it had to consume a minimum of 10 megawatts of power.

But the minimum requirement has steadily fallen and sites consuming at least one megawatt can now enter the contestable market

The levels are set to tumble to 0.23 megawatts in July and competition between Western Power and the four other elect-ricity retailers is set to tighten.

While CBD buildings have stuck with Western Power, about 10 smaller industries have changed providers.

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