ACU LEADS WITH RENEWABLE ELECTRICITY
CASE STUDYACU switched to 100% renewable electricity – cutting emissions and securing long-term financial stability
ENERGY SUPPLY STRATEGY, RENEWABLE ELECTRICITY PROCUREMENT
Realising a sustainable future through renewable electricity
ACU (Australian Catholic University) is a national university with 7 campuses and over 100 individual electricity supply points.
After achieving the status of Australia’s most energy-efficient University, ACU set the goal to switch to renewable and cheaper energy for its’ national campus network.
ACU appointed 1Circle as it’s energy procurement manager and achieved a cost-effective transition to 100% renewable electricity.
The results demonstrated that switching to renewables can be achieved with a net cost reduction and reduced financial risk through gaining fixed price long-term agreements for a national portfolio.
ACU extended its’ leadership as the most energy efficient university in Australia to obtain 100% of its electricity from renewable sources, achieve cost reduction, and strong stakeholder feedback.
Challenge
ACU made a public commitment to protect the planet while improving the lives and prospects of all.
After achieving the status of Australia’s most energy-efficient University, they showed no sign of slowing down, having set a goal to switch to renewable and cheaper energy.
The project was challenged by:
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- Prominent goals and high student expectations
- Renewables historically seen as expensive
- Low awareness on energy use, cost and options
- National portfolio (with different cost structures by State) with over 100 supply points
Solution
1Circle achieved the project’s goals through:
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- Detailed analysis of energy usage and costs
- Diligent development of forecast requirements underpinning business plans
- Educating stakeholders on renewable and standard power options and market risks and
- Agreeing an energy sourcing strategy
- Managing a competitive multiple-round procurement process to achieve leading market pricing
- Continual support throughout the decision making and implementation process
Results
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- Achieved a net cost reduction
- Provided financial stability through fixed pricing for 3-years, protecting ACU from volatile electricity prices
- All electricity is sourced from renewable sources, eliminating 65% of ACU’s Emissions
- Extended ACU’s sector leadership by being the most efficient Australian university and using renewable electricity
- Unanimous support from all stakeholder groups for the switch to renewable energy, with stakeholders confidently educated about costs, sustainability options and broader benefits
1circle Energy Procurement Service:
1Circle is a specialist in procureing renewable and standard energy agreements
Contact us to discuss your energy needs
Purpose
We consistently exceed our clients expectations using our specialised electricity procurement service that includes:
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- Developing energy supply strategies – how to achieve cheaper energy and move to renewables
- Single site and portfolio (multi-site) procurement
- Standard power
- Renewable power including long-term Power Purchase Agreements and shorter-term Greenpower and other renewable options
- Single customer and Group buying arrangements
Options
There are multiple competitive options for the supply of electricity via the grid that include:
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- Duration/Term: 1-5 years for standard agreements, 1-15 years for renewables
- Emissions: standard power with emissions and renewable (certified renewable with no greenhouse gas emissions)
- Variability and structure: fixed price by year, fixed price for all or part of the agreement term
Renewable electricity offers are taken from a greater range of options and as a consequence, have more considerations that impact price, cost risk, perception and relative complexity. 1Circle provides the guidance through these options
Process
Our five step process consistently delivers excellent outcomes. A key feature is the care we take to inform and manage expectations of our clients
Refine target outcome including cost, contracting term, renewable outcome, use of on-site solar, risks
Define with clarity present energy use, cost and forecast changes in requirements
Manage multi-round competitive procurement process
Rigorous financial and risk analysis, and support stakeholder decision making through to agreement
Manage the implementation of the agreement including budget updates and bill validation