Instead of a single rate for electricity, trades are priced according to the source of the energy and executed between community members in four stages.
(Note some of these trade types may not be available on all plans):
- The first trades to be executed are called Contracted Trades and are used for our Deal Direct Plans.
- These are typically direct trades with large solar or wind farms
- When you join a particular program there may be a Contracted Trade set up on Powertracer in advance by your retailer.
- In most cases the “Deal Direct” offer is pre-accepted as a default so that if you are consuming energy and the wind or solar farm is producing enough energy, then you will get this energy first at the Deal Direct plan price.
- The next trades to be executed are called Nominated Trades.
- These are direct trades with people that you know
- An offer to buy or sell is made (proposing a price)
- This ‘offer’ is sent to the other party and they either accept or reject it.
- If it is accepted, then this trade is added to your sequence of preferred trades
- You can have up to three accepted trades for both “Buy” and “Sell”. In the case of “Sell” trades you can set the priority or order in which you sell to your three buyers. This means you can prioritise say your ‘energy gift to Grandma’ above your trade with your neighbour.
- The third stage of trades are called Community Trades. In this case the two parties don’t necessarily know each other.
- Every community member sets up their Community Trade prices on the Platform. This involves setting a “minimum sell price” and a “maximum buy price”. The default values will just match your standard retail contract prices.
- After the nominated trades are executed, we match up the highest buy prices with the lowest sell prices available. When each seller’s exported energy is fully allocated we move on to the next lowest sell price and assign buyers until all the available Community energy pool is exhausted or there are no buyers left offering a suitable price.
- The price for all community trades in a trading period (30 mins) is the same for all buyers and sellers, but will vary from period to period.
- Finally, we assign the energy not traded within the Community to a Residual Trade with your retailer at the normal rates and “Feed-in-Tariff” for energy consumed or exported respectively.
- These trades will typically happen when there is not enough energy available from renewable sources to supply the community (eg on still nights), or if your priced offers have not been matched with another community member.