The below definitions are provided to support interpretation of the tender results and ensure consistent understanding of key terms used throughout this report.
Contract term
The duration of the existing or proposed energy agreement, expressed in months, during which the agreed terms apply.
Current spend
The total cost of energy based on your current base rates and discounts at time of comparison, typically annualised for comparison purposes.
Discount applied
The reduction applied to the retailer’s base energy rates to determine your final energy cost.
Discount types
The structure of how discounts are applied to energy rates. This may usage and/or supply discounts.
Current base rate
The underlying energy rate (before discounts) under your current contract, typically expressed in cents per kWh.
Current discount rate
The percentage discount currently applied to your base energy rate to calculate your current annual energy costs.
Usage (kWh)
The total amount of electricity consumed over a given period, measured in kilowatt-hours (kWh), and used to calculate overall energy usage.
Demand charge
The highest level of electricity usage at a point in time during a billing period, used to determine demand charges. It is typically measured in kilowatts (kW) or kilovolt-amperes (kVA), depending on the tariff.
Cost per annum
The total estimated cost of energy over a 12-month period based on usage and applicable rates.
Proposed base rate
The retailer’s energy rate under the proposed contract, before any discounts are applied.
Proposed discount rate
The percentage discount offered by the retailer on the proposed base rate to determine the final energy price.
Estimated cost per annum
The projected annual energy cost under the proposed offer, based on calculated annual usage and proposed pricing.
Sites tendered
The total number of customer sites included in the tender process.
Site coverage
The proportion or number of sites for which a retailer has provided pricing, relative to the total sites tendered.
Quote valid until
The date until which the retailer’s pricing offer remains valid and can be accepted before it is ineligible.
Annual cost forecast
An estimate of current annual energy costs based on annual usage and current pricing.
Variance vs. Current spend
The difference between your current annual energy costs and the estimated costs under the proposed offer, typically expressed as a dollar value and/or percentage.
Roll-in/Roll-out
Refers to the volume of sites and/or load that can be added in or removed from the contract over time. “Roll-in” applies to the addition of new sites and/or load volume, while “roll-out” refers to sites and/or load exiting the agreement.
Exit fees
Charges that may apply if a contract is terminated early or if sites are removed from the agreement before the end of the contract term.
Incumbent sites
Sites currently supplied by the existing (incumbent) retailer prior to tender.
% of sites saving
The percentage of sites expected to achieve a cost saving under the proposed offer compared to current pricing.
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