South Australia’s resources sector keep the lights on for local businesses
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[L-R] Gavin McMahon, CIT; Nicholas Mumford, MC²; Rebecca Knol, SACOME; Michael Reis, Foodland; Lachlan Wallace, Hillgrove; Paul Denton, IGA; Marc Barrington, SIMEC Energy Australia; and Simon Kibble, AdChem; celebrate lower energy prices at Pasadena Foodland . Absent – Jason Rees, Viterra
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The South Australian Chamber of Mines and Energy’s (SACOME) landmark electricity deal with SIMEC Energy Australia came into effect this month, delivering affordable renewable power to some of South Australia’s largest energy uses.
The energy consortia, masterminded by SACOME, brings together manufacturing, retail, agriculture and resources companies and is responsible for fast-tracking the 280MW Cultana Solar farm near Whyalla, which has recently received development approval.
IGA is the second food retailer to join the consortia, alongside Foodland supermarkets. The agricultural sector is already benefitting from up to 50% reduction in energy prices with storage and handling group Viterra and the Central Irrigation Trust part of the contract. Leading mining company Hillgrove Resources and chemical manufacturer Adchem complete the consortia, which signed an eight-year deal last year.
Rebecca Knol, chief executive officer, SACOME said “We are delighted to see another South Australian food retailer benefitting from this innovative approach to energy procurement. This ground-breaking deal highlights the benefits of collaboration across sectors - from paddock to plate, SACOME’s consortia is providing benefits to all South Australians.
Sanjeev Gupta, Chairman, SIMEC Energy Australia and Executive Chairman and CEO of GFG Alliance said “The SACOME Buying Group has always been - and continues to be - a very important part of the SIMEC Energy Australia family, and I’m very happy that they will now be receiving all the benefits of the globally-competitive energy that SIMEC Energy and GFG Alliance can deliver.
“This announcement also comes at a very auspicious time for us, with our Cultana Solar Farm Project recently receiving development approval and some other important announcements on that project coming very soon. As a foundation customer of SIMEC Energy Australia, the consortia’s foresight to work together and agree an eight-year term for their electricity was key in the development of this project - the first step in our $US1 billion, 1GW plan for new dispatchable renewable energy generation in South Australia.”
“The consortia provided market disruption at a time of escalating power prices and unreliability and has underpinned the development of new renewable generation that will benefit all South Australians. Like all renewable projects, Cultana Solar Farm required a foundation customer, SACOME’s consortia provided this, and enabled this project to get off the ground.
Con Sciacca, CEO, Foodland said “As the Mighty South Aussies, Foodland employing thousands of South Australian’s across the entire state, this consortia enhances the sustainability of our brand in an ever-increasing competitive landscape"
Viterra added, “Viterra is in many of South Australia’s regional communities, providing a competitive supply chain to connect our 5000 grower customers with domestic and international markets. We are pleased to welcome IGA into the buying consortia as another company that is also part of the same regional communities.”
Gavin McMahon, CEO, Central Irrigation Trust said “We pump water to 1,500 growers who irrigate 14,000 hectares of horticultural crops which provide produce for our tables. We are pleased to be able to pass on considerable reductions in electricity costs incurred through pumping over the long term, supporting our growers as they compete in both domestic and international markets with their produce.”
Mark Woodhead, CEO, Adchem said, “Electricity costs are a substantial portion of our total cost to manufacture value added copper chemicals on a large scale. This contract represents a positive long-term outcome to secure electricity supply at a competitive price. Copper chemicals are used in the agricultural sector as fertilizers and animal feed supplements and we are proud to contribute to the competitive production of food in Australia.”
Lachlan Wallace, CEO, Hillgrove Resources said “Hillgrove’s participation in this consortia has assisted us to deliver competitive copper production and provides the necessary energy price stability to consider transitioning the existing open pit to an underground mining operation. Hillgrove Resources operations are located on primary production land and we continue to work hand in hand with the agricultural sector to deliver community benefits.”
Media contact: Rebecca Knol, CEO SACOME, 0409 012 007
The energy consortia, masterminded by SACOME, brings together manufacturing, retail, agriculture and resources companies and is responsible for fast-tracking the 280MW Cultana Solar farm near Whyalla, which has recently received development approval.
IGA is the second food retailer to join the consortia, alongside Foodland supermarkets. The agricultural sector is already benefitting from up to 50% reduction in energy prices with storage and handling group Viterra and the Central Irrigation Trust part of the contract. Leading mining company Hillgrove Resources and chemical manufacturer Adchem complete the consortia, which signed an eight-year deal last year.
Rebecca Knol, chief executive officer, SACOME said “We are delighted to see another South Australian food retailer benefitting from this innovative approach to energy procurement. This ground-breaking deal highlights the benefits of collaboration across sectors - from paddock to plate, SACOME’s consortia is providing benefits to all South Australians.
Sanjeev Gupta, Chairman, SIMEC Energy Australia and Executive Chairman and CEO of GFG Alliance said “The SACOME Buying Group has always been - and continues to be - a very important part of the SIMEC Energy Australia family, and I’m very happy that they will now be receiving all the benefits of the globally-competitive energy that SIMEC Energy and GFG Alliance can deliver.
“This announcement also comes at a very auspicious time for us, with our Cultana Solar Farm Project recently receiving development approval and some other important announcements on that project coming very soon. As a foundation customer of SIMEC Energy Australia, the consortia’s foresight to work together and agree an eight-year term for their electricity was key in the development of this project - the first step in our $US1 billion, 1GW plan for new dispatchable renewable energy generation in South Australia.”
“The consortia provided market disruption at a time of escalating power prices and unreliability and has underpinned the development of new renewable generation that will benefit all South Australians. Like all renewable projects, Cultana Solar Farm required a foundation customer, SACOME’s consortia provided this, and enabled this project to get off the ground.
Con Sciacca, CEO, Foodland said “As the Mighty South Aussies, Foodland employing thousands of South Australian’s across the entire state, this consortia enhances the sustainability of our brand in an ever-increasing competitive landscape"
Viterra added, “Viterra is in many of South Australia’s regional communities, providing a competitive supply chain to connect our 5000 grower customers with domestic and international markets. We are pleased to welcome IGA into the buying consortia as another company that is also part of the same regional communities.”
Gavin McMahon, CEO, Central Irrigation Trust said “We pump water to 1,500 growers who irrigate 14,000 hectares of horticultural crops which provide produce for our tables. We are pleased to be able to pass on considerable reductions in electricity costs incurred through pumping over the long term, supporting our growers as they compete in both domestic and international markets with their produce.”
Mark Woodhead, CEO, Adchem said, “Electricity costs are a substantial portion of our total cost to manufacture value added copper chemicals on a large scale. This contract represents a positive long-term outcome to secure electricity supply at a competitive price. Copper chemicals are used in the agricultural sector as fertilizers and animal feed supplements and we are proud to contribute to the competitive production of food in Australia.”
Lachlan Wallace, CEO, Hillgrove Resources said “Hillgrove’s participation in this consortia has assisted us to deliver competitive copper production and provides the necessary energy price stability to consider transitioning the existing open pit to an underground mining operation. Hillgrove Resources operations are located on primary production land and we continue to work hand in hand with the agricultural sector to deliver community benefits.”
Media contact: Rebecca Knol, CEO SACOME, 0409 012 007