Murray River Council Secures Long-Term Electricity Supply Agreement

Murray River Council Secures Long-Term Electricity Supply Agreement

Published on 06 November 2024

Murray River Council is pleased to announce that it has secured an electricity supply agreement with Iberdrola Australia through to the end of 2030 as part of a buyer's group facilitating a Power Purchase Agreement (PPA) for 13 regional councils in New South Wales.

The agreement secures the supply of over 390 gigawatt hours of electricity to 163 large council sites and streetlighting across regional NSW, ensuring consistent and reliable energy for essential infrastructure.

The Powering Tomorrow: Regional Councils NSW PPA was coordinated by the Hunter Joint Organisation and Mid North Coast Joint Organisation, along with advisors Sourced Energy, Regional Procurement, Procure Group, and Baker Mackenzie, making the PPA tender process more accessible for smaller councils. By collaborating, the participating councils increased their collective buying power to secure a competitive deal and reduced the procurement costs by sharing resources and fees.

By participating in this PPA, Murray River Council will benefit in several ways:

Cost-Savings: By purchasing as a group, we have achieved a competitive electricity price until 2030, saving council an estimated $413,498 over the duration of the agreement (compared to current electricity costs).

Budget Certainty: Locking in energy prices until 2030 shields our council from volatility in the electricity market that can unexpectedly increase council's costs, ensuring long-term budget stability.

As per the agreement, a significant portion of the electricity supply will be from renewable sources.

Mayor, Cr John Harvie said the agreement marks a significant milestone for the council.

"Securing a stable and predictable electricity price through to 2030 not only strengthens our energy security but also delivers significant cost savings."

"By working together, we have unlocked better value, and we are grateful to the Hunter Joint Organisation and Mid North Coast Joint Organisation and our staff for their efforts in making this possible."

The Powering Tomorrow: Regional Councils NSW PPA exemplifies the power of collaboration and forward-thinking in addressing energy cost challenges faced by regional councils. This initiative not only benefits Murray River Council but also serves as a model for other councils seeking similar stability and savings.

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