Matthews Hospitality supports renewables for long-term price certainty
Case study overview
Matthews Hospitality is saving money and supporting the renewable transition by using electricity smarter.
With 9 hotels across South Australia, it’s taking steps to protect the environment whilst leveraging smart renewable technology.
“We’re really happy with the service and engineering advice provided by Flow Power. They have helped the Matthews Group adapt to a better way of buying and managing energy.”
– Scott Matthews, Non-Executive Director
Matthews Hospitality
Family owned, Matthews Hospitality operates 9 iconic venues in South Australia
This includes 4 in Adelaide, 1 in both Clare and Whyalla, and 3 in Mount Gambier, with 7 hotels powered by Flow Power.
Like many hospitality businesses, electricity is one of the largest operational expenses. Electricity bills can be notoriously volatile and impact profitability – so finding the right energy strategy is vital for success.
Saving with a smart energy strategy
Utilising existing onsite solar PV systems and generators, Flow Power helped Matthews Hospitality implement a demand response energy strategy.
The strategy is simple but effective; using more energy during the day when there is typically higher levels of cheaper renewable energy in the grid, and reducing energy consumption to avoid price spikes when there is a shortage.
This strategy has the added benefit of supporting the stability of South Australia’s energy grid, by helping balance the supply and demand for electricity.
Supporting the renewable transition within the community
Seeking to take meaningful action with its electricity contract, Matthews Hospitality joined Flow Power in 2020 with a Power Purchase Agreement (PPA) . Choosing a PPA helped it secure long term electricity price certainty and protect against market volatility.
To support renewable projects in South Australia, Matthews Hospitality purchased 100% offtake from Flow Power’s Coonalpyn Solar Farm and Clements Gap Wind Farm in Barunga Range. Through this Power Purchase Agreement, it established a virtual link between its electricity consumption and renewable generators.
Leveraging solar and smart technology to cut costs
Utilising Matthews Hospitality’s existing solar PV assets, Flow Power was able to provide an integrated behind-the-meter solution to further improve financial outcomes and price certainty.
In South Australia, when the typical peak morning and afternoon electricity demand is high, the market price increases. During significant market price increases, the hotel’s energy source is switched to backup generation via Flow Power’s demand management strategy.
This helps reduce strain on the electricity network, whilst providing Matthews Hospitality with a better financial outcome by avoiding high market prices.
To automate the switch to backup generators during high price electricity events, Flow Power installed the intelligent kWatch controller hardware at several Matthews Hospitality hotel sites.
This smart energy technology relays a signal to the backup generators when a designated high market price is reached. Since kWatch installation, Flow Power has successfully aided Matthews Hospitality with over 40 demand events across 4 of their hotels, saving thousands of dollars.
During negative price periods, Matthews Hospitality undertakes solar ramp down at their venues, instead drawing energy from the grid to make use of the abundance of cheaper, renewable energy.
By using this energy, instead of generating additional energy on-site, Matthews Hospitality is helping support grid stability and taking advantage of negative prices.
“Flow Power helped us understand how we could leverage renewable technology to be more resilient against price volatility.”
– Scott Matthews, Non-Executive Director
Matthews Hospitality
How is Flow Power continuing to support Matthews Hospitality?
Using energy smarter isn’t always simple. That’s why Flow Power continues to support Matthews Hospitality with engineering advisory through Energy Ready. This service gives Matthews Hospitality access to live usage data and high price alerts so it can plan usage and take energy action.
Leveraging its consistent electricity usage patterns with expert energy insights and innovative technology, Flow Power is helping Matthews Hospitality achieve optimal energy outcomes and work towards ambitious sustainability targets.
Flow Power has successfully aided Matthews Hospitality with over 40 demand events across 4 of its hotels, saving thousands of dollars.
Using more energy during periods of low demand helps reduce the strain exerted on our shared electricity grid, contributing to a more sustainable and resilient energy system.
The energy available in the grid during periods of low demand is typically generated by a higher proportion of renewable sources. This means the energy is less carbon intensive on average than periods of high demand.
Supporting renewable projects in your state with a PPA allows you to pay for a proportion of clean energy which is put into the grid. Once the capacity of that generator is sold out, demand increases to build another. Building clean energy projects creates local employment opportunities – often in rural Australian communities.
From hotels and pubs to restaurants, wineries and coffee shops, we can help you find a solution to suit your business’s unique needs.
Get in touch with an energy specialist today.