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Energy Generation and Services Provider

Deregulation of the energy market resulted in very tough conditions for NSW market participants. GPI was approached by one participant who was struggling in the new deregulated environment.

Straddled with inefficient work practices and the influx of interstate operators selling below cost energy, swift action needed to be taken to identify and address the issues that were impairing corporate value.

 

After reviewing the situation in detail with the client, a strategic plan was implemented to deal with both the competitive issues and inefficient work practices facing the business, in which the following actions were undertaken;

 

* Complete review of the business cost structure

* Identified business inefficiencies and unproductive workforce

* Instituted an innovative new selling program

* Implemented a fuel cost reduction program

 

As a result of these activities, the client achieved the following outcomes;

 

* Removed approximately $500m worth of costs from the business

* The new sales program resulted in increased revenue & profitability

* Instigated 3 new coal mines with long term contracts (20 year fixed prices)