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Health Dept joins rush for cheap power
It has been revealed the Tasmanian Health Department has dumped Aurora Energy to buy cheaper power from a Queensland company in a deal worth $18 million.
The Health Department is the eighth big government department to take advantage of the competitive interstate electricity market, purchasing power from the cut price gas-fired energy company ERM.
The new deal involves all health department sites using more than 100 megawatt hours a year.
The Launceston General Hospital’s already started using the cheaper power, while the Royal Hobart Hospital changes over next January.
The Health Department’s chief financial officer, Penny Egan, says while there was not a big difference in power costs, the Queensland company offered better service than Aurora.
The Department estimates the contract is worth $18 million over three-and-a-half years, and it will save $1.5 million.