Electricity Providers Strata/Body Corporate

Hi all,
Am after suggestions/recommendations from those with experience.

We have been notified via Strata manager that the developer is now handing over responsibility for the electricity for common area's (some 8 months late)

Does anyone have recommendations for a supplier and negotiating a decent supply price ?
(No, not happy with the current strata manager!)

Property is in an Ausgrid supply area of NSW, a large property, my annual estimate is for a bill between $20-30k per annum.

Thanks in advance

 

They're all about the same, gouge, gouge, gouge.

 

Sorry unable to recommend outside of QLD.
But did you mean you will not accept their recommendation? Not a very good start of a relationship .

 

Am not liking the prospect of sorting thru the BS of kwh, time of use rates and discounts to work out an actual rate......

 

Thanks @Pumpkin
No, not good, not from a financial standpoint.
I wouldn't let them run a chook raffle at a pub
They aren't likely to see the end of their term

Example, for works we approved months ago they recently paid the invoice, that was 3 weeks ago and the works are still not done
They pay for all services (cleaning and such) monthly IN ADVANCE
(No it is not in the agreement we signed for the dodgy cleaners either)
.
I have been trying to get my head around their accounting and answers (lack of) for months, am now trying to get financial control.
Am finally getting the committee on board, they are all new to BC workings, but are learning and starting to take ownership and interest

 

I have a similar question about electricity/gas providors

Anyone have any recommendations on the cheapest connection fee setup? Gas should be no connection fee but electricity there will be a charge for set up cost

I am building in a new estate for an investment property

 

Gee, this sounds bad! Do you really want to keep them?
Anyway, it's good that you and your Committee are taking interest and taking control of your own investment. All the best!

 

After making several calls, and getting only one quote, in hieroglyphics.....

Google to the rescue

Filled out the contact form for two Energy Brokers

First one to reply gets the job, it is that simple

As it is a large complex our estimated use is 180MWh, that is a lot and pushed us into the large commercial category

 

not sure if it is any help, but a small business I am connected to which has an annual electricity bill of around 250K, has just used an "Energy Broker" - yes they exist - and they will save 80K a year over the next 3 years.

Energy brokers are more for businesses - but maybe they could help you also. If you google Energy Brokers you can see a few come up... Good luck

 

I agree with some others that you can get a good result with a broker. Does your body corporate/strata buy ALL the power in bulk and then retail it to the residents?

Or are you just talking about the supply to the common property only.

The more power you buy, the better the negotiating power.

 

Thanks @Matthew Savage

I learnt about the idea of Power sharing today.
As the complex is 8 months old it is likely that many unit holders already have agreements with other providers in place already.
But I have already floated the idea to the committee though.

I'd love the idea of paying wholesale commercial rates for my domestic electricity

 

@Stoffo, assuming you have the role of Strata Secretary (and maybe Treasurer), then you might ask the strata manager, who has just informed you electricity is now the OC's responsibility, to get three quotes, so the Committee can consider what they want to do.

It sounds like you are doing more than necessary.

 

If you want @Stoffo, I could ask the infrastructure manager in that business I know of, for the name of the broker they found recently that saved them a lot of money, when their previous one "couldn't do anything else". Let me know and I will ask.

 

Thanks @Ted Varrick
But the strata manager is in the developers pocket.
We were provided a "quote" by our strata manager, it detailed all the rates and charges and looked genuine, until noticing the contract date being from the 27/11/2017 !
They are trying to effectively get us to take over the builders construction agreement

 

I was looking at these guys for an OC because I was a bit fed up with paying these retailers that deliver no value add. We are too small but perhaps you are not.

What is would like to be able to do is pay for power at the spot price and have the ability to hedge but I think I am ahead of the market nor do I even have a smart meter

 

Hi Stoffo,

In your OP you said "...We have been notified via Strata manager that the developer is now handing over responsibility for the electricity for common area's (some 8 months late)..."

The quote you have been provided by the strata manager is from Nov last year, as per your post above.

You might consider asking the strata manager for an updated quote as the current quote is 9 months old, and a further 2 quotes, so the Committee can make a decision and then provide an "instruction" to the strata manager of what the strata manager is requested to do.

Whilst you are at it, you might also consider asking for a current copy of the Strata Management Agreement. And it's not necessary to give a reason why, and the Committee might find some benefit as being up to speed on the T & C's.

I'm not sure what you mean by "...They are trying to effectively get us to take over the builders construction agreement..." Care to elaborate?

 

Just checking whether you found anyone yet? Hope you can share.

 

Thanks @Ted Varrick and @Pumpkin
Yes, E4B were very proficient.
I have a copy of the current strata agreement, have been questioning many items and getting refunds !
The quote is backdated so that the body corporate then becomes liable for all usage charges from Nov 17 to date, rather than the developer trying to chase us for it, it was the developers responsibility to organize all the various aspects of handover, so who is liable for $25k usage to date is anyone's guess, @Terry_w may have some tips (and I am tempted to engage legal advise on the matter yet). Makes the strata managers life easier also !
The developer signed a min term supply agreement, the default/termination costs would be far higher than letting it expire in Nov 18, or even better for the builder if the BC took over the balance of the contract term.......
Keeping in mind the BC is near broke ($8k) as the developer (partners, wives, kids, sub companies) hold 20% of the units and havent paid any levies to date, $50k owed !
Decisions and frustrations
Time for a EAGM and special levies

 

Hi all,
Well it has been an interesting few weeks.

The Electricity & Gas accounts were never set up by the Strata managers when establishing the new complex

The result is we are looking at $60-70k of backdated billing

Add to this that we own the two hot water plants, so anyone who has been living in the building has been getting free hot water for 8 months as not billing system was set up either

Energy 4 Business have been great to date, and we hope to have all of this resolved in the coming weeks (after an Extraordinary meeting with a special levy )

Even the developer has been helpful (yes, couldn't believe it at first)
Many other items still ongoing, but it would be nice to have these finalized
An update for @Pumpkin @Ted Varrick

 

Wow wow wow! What do I say? Thumbs-up for following this through.
Good review of Energy 4 Business. Will keep them in mind.
Which Energy Providers you have shortlisted?