The ACCC has issued a final determination granting authorisation to enable Equinix (Australia) Enterprises, HSBC, Nike, Goldman Sachs and H&M (the ‘Equinix Group’) to pool their electricity demand and to jointly tender and negotiate power purchasing agreements from a new or existing solar or wind electricity generation facility, likely in NSW.
Authorisation is granted for 24 years, until 30 September 2045.
The ACCC considers that the conduct is likely to result in public benefits in the form of transaction cost savings, greater investment in and competition for the supply of electricity, and environmental benefits through a reduction in greenhouse gas emissions.
Members of the Equinix Group sought authorisation for this cooperation because they may be considered to be in competition for the purchase of electricity, and therefore the joint conduct may be at risk of breaching competition laws.
The application involves volumes of electricity which account for a relatively small proportion of electricity demand in NSW. The risk of any public detriment arising from the proposed conduct is therefore minimal.
A copy of the ACCC’s final determination is available on the ACCC’s public register at Equinix (Australia) Enterprises Pty Ltd & Ors