Electricity in VictoriaThe electricity market in Australia is fully contestable; with numerous retailers providing low cost electricity to consumers and businesses in Victoria. Depending on the location in Victoria one of five distributors will service the area: Citi Power; SP Ausnet; PowerCor; Jemena; and United Energy.

Based on current market pricing, Victoria’s electricity prices, depending on consumption levels, are on average between 8 and 33 percent lower than NSW and QLD.

The table below gives examples of businesses that could fit into each load profile. Consumption at a site level can vary significantly depending on the exact activities and equipment that is installed at the site. Therefore the examples below should only be treated as a guide. In regards to electricity, the difference in the consumption splits between peak and off peak can primarily be attributed to the hours of operation at the site. In general a 50/50 peak/off peak split would be considered 24/7 operation and 75/25 peak/off peak a 1 shift 7 days a week operation.

Annual Consumption Indicative Business Types

160MWh

Service StationCorner StoreIndustrial - SmallOffice - Small to MediumRestaurant

1,000MWh

CinemaDepartment Store - LargeSupermarketFood Processing Plant - MediumIndustrial Plant - MediumResidential Building/Hotel

10,000MWhShopping CentreFood Processing Plant - LargeIndustrial Plant - Large

100,000MWh Industrial Plant - Very LargeMine

Graph 1: Total Delivered Costs ($/MWh excl. GST) for Calendar Year 2016 (Profile – Peak 50%; Off Peak 50%)

160 MWh

1,000 MWh

10,000 MWh

100,000 MWh

$0

$50

$100

$150

$200

$250

Profile - Peak 50%; Off Peak 50%

Victoria NSW QLD

$AU

D / M

Wh

Source: EnergyAdvice, 2015

State on State variation: Profile – Peak 50%; Off Peak 50%VIC Avg. compared with:

160MWh Site

1,000MWh Site

10,000MWhSite

100,000MWhSite

NSW -11.4% -28.6% -29.8% -26.5%

QLD -15.1% -29.6% -23.0% -30.8%

Table explanation: The table above shows that for 160MWh Site Profile-Peak 50%, Off Peak 50% total delivered costs, the VIC average is 11.4% and 15.1% cheaper than NSW & QLD respectively.

EnergyAdvice Pty Ltd (EnergyAdvice) was engaged by Invest Victoria to prepare information on indicative electricity and natural gas pricing for a variety of consumers across Victoria, New South Wales and Queensland.Authorised by the Victorian Government, Melbourne, Australia. © Copyright State of Victoria 2015.

@InvestVictoria The Victorian Connection

Graph 2: Total Delivered Costs ($/MWh excl. GST) for Calendar Year 2016 (Profile – Peak 75; Off Peak 25%)

160 MWh

1,000 MWh

10,000 MWh

100,000 MWh

$0

$50

$100

$150

$200

$250

$300

Profile - Peak 75%; Off Peak 25%

Victoria NSW QLD

$AU

D / M

Wh

Source: EnergyAdvice, 2015

State on State variation: Profile – Peak 75%; Off Peak 25%VIC Avg. compared with:

160MWh Site

1,000MWh Site

10,000MWhSite

100,000MWhSite

NSW -11.9% -31.9% -33.4% -26.8%

QLD -8.4% -27.4% -20.9% -28.0%

Table explanation: The table above shows that for 160MWh Site Profile-Peak 75%, Off Peak 25% total delivered costs, the VIC average is 11.9% and 8.4% cheaper than NSW & QLD respectively.

For more detailed costings and State comparisons that are split out by composition (metering costs, network costs, green energy, etc.) and local Victorian retailers & distributors, please speak to your Investment Manager.

Final pricing is subject to contract negotiations with the electricity supplier chosen.

About Invest Victoria Invest Victoria is your single point of entry for investment in Melbourne and Victoria. We welcome the opportunity to discuss your business needs and provide services that will allow your company to build a business future in Victoria.

For more information on Invest Victoria, visit www.investvictoria.com

EnergyAdvice Pty Ltd (EnergyAdvice) was engaged by Invest Victoria to prepare information on indicative electricity and natural gas pricing for a variety of consumers across Victoria, New South Wales and Queensland.Authorised by the Victorian Government, Melbourne, Australia. © Copyright State of Victoria 2015.

@InvestVictoria The Victorian Connection