SACOME Initiatives

Joint Electricity Purchasing Group

In response to rising energy costs and increasing volatility in the National Energy Market (NEM), The South Australian Chamber of Mines & Energy (SACOME) established the first Joint Electricity Purchasing Group (JEPG) in 2016.

Leading the Response

In June 2018, SACOME successfully led negotiation of an eight-year electricity supply agreement on behalf of the participating members, with supply commencing in July 2019.

This JEPG agreement has provided sustainable and predictable pricing for participating members of the group, avoiding exposure to the volatile retail market and delivering an average cost of electricity lower than the wholesale market over the term. The long-term contract also enabled the energy retailer to invest in renewable power generation in South Australia, increasing competition in the NEM and supporting the transition to a sustainable future.

With electricity prices continuing to increase and an uncertain market, securing competitive and predictable energy pricing over the long-term is essential for businesses operating in domestic and global markets.

Building on Success with JEPG 2.0

As the original contract arrangement nears the end of its term SACOME is proud to build on this success and lead JEPG 2.0 on behalf of members. The expanded group includes all original JEPG members and additional large electricity users operating across a diverse range of sectors throughout South Australia, including food and grocery supply, advanced manufacturing and resource extraction.

SACOME lodged the application for authorisation AA1000701 with the ACCC on 15 July 2025, seeking authorisation to formally establish JEPG 2.0 to jointly tender and negotiate electricity supply agreements on behalf of the group. 

ACCC Final Determination and Authorisation

Recognising the public benefits of collective tendering, including transaction cost savings and enhanced competition in the energy market, the ACCC issued a draft determination and interim authorisation on 24 September 2025. This was followed by a final determination on 22 October 2025, granting authorisation for 12 years.

In its final determination, the ACCC stated:
“The ACCC has decided to grant authorisation to enable the South Australian Chamber of Mines & Energy Inc (SACOME) and participating members to engage in certain conduct related to forming a joint electricity buying group in which the participating members of the group pool their electricity demand, conduct a joint tender process, and individually enter into an electricity supply agreement with the chosen electricity supplier(s).

The ACCC considers that the collective nature of the proposed tender processes is likely to result in public benefits in the form of transaction cost savings for both members of the group and potential electricity suppliers.”

The full ACCC decision can be accessed here.

Further Information Additional information on the ACCC process and copies of the original submission, interim authorisation and final determination can be found on the ACCC website.