The Australian Hotels Association (South Australia) represents and protects the commercial interests of more than 630 hoteliers throughout South Australia and is an integral part of South Australia’s hospitality and tourism industry. AHA SA members range from small country pubs to five-star hotels and resorts.
With the cost of energy increasing exponentially across the country AHA SA was interested in exploring how they could help their member hotels to reduce their energy costs.
Choice Energy partnered with AHA SA to secure a collective energy procurement tender (the first of its kind for Choice) comprising of 47 hotels. The tender comprised 29,000,000 kWh of annual consumption and over $8.4m of energy spend.
As a result of the group tender, AHA SA saved more than $2m when compared with their previous contract.
The deal was $377,000 cheaper than a competing offer from a rival energy consultancy and 15% cheaper than it would have been outside of a group buying arrangement.
Choice was also able to align all contracts to reflect their preferred start date with the winning retailer price locked in for two years.
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