2019-12-10 Services & Organisation Committee Agenda

SERVICES & ORGANISATION COMMITTEE MEETING AGENDA                             10 DECEMBER 2019


5.1.2 Anticipated behaviour change

Financial cost benefit analysis has been conservative regarding expected behaviour change
forecasting a minimum 5% reduction in electricity consumption. Experience elsewhere suggests
the decrease in electricity consumption is likely to be substantially more than Council’s
conservative financial forecasting and in the range of 30-60% (see Industry Trends below). It is
also expected customers will individually adapt to the proposed user pays system for electricity
consumption by activating caravan solar panels and battery back-up systems which is also
encouraged.

5.2   Installation of solar panels

Installation of a 50kWh solar system will occur in the 2019/20 financial year on the small
amenities and large amenities buildings. The installation of this system will reduce emissions by
up to 20% per annum.

6.    Industry Trends

The process of on-charging for electricity consumption in holiday parks for short term
accommodation is a relatively new practice but has commenced in some locations. Examples are
highlighted below:

Rivershore Resort Bli Bli
The Rivershore Resort is a relatively new facility with all power usage now charged to holiday
park customers. The impact of the user pays system for electricity consumption is explained
below:
When power was not being charged in our first month of operation we were monitoring power
and there were some patrons using up to $7 of power and most between $3-$5. Since turning on
the power charge, most are between $1-$3, at most $4. This is a dramatic reduction in power
usage across the park.
[Online] Available: https://www.rivershore.com.au/stay/power-charge/ [Accessed 18 September
2019]

Shoalhaven Council
Shoalhaven Council operate 12 holiday parks, and have now installed over 3,000 powerheads.
The Council is progressing to charging all users for electricity usage in addition to the current
practice of charging annual caravan site holders on long term occupation agreements.

7.    Financial impact for customers of user pays system for electricity consumption

The new charging system is proposed to commence 1 July 2021. As a result of the user pays for
electricity consumption system the cost per day for a powered site will likely increase by less than
$4.00 from 1 July 2021 at current average daily usage levels (8kWh). There will be no increases
to site charges in the intervening period until 1 July 2021 other than those indexed as part of
Council’s budget process and those proposed within this report.




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