‘People purchasing power’ will help communities get better energy deals (From Messenger Newspapers)

‘People purchasing power’ will help communities get better energy deals

2:26pm Thursday 27th September 2012 in News

TRAFFORD residents are set to join together to maximise their buying power and negotiate cheaper deals on their energy bills.

Trafford Council has announced that it is collaborating in a contractual arrangement with 13 local authorities across the country to create the first ever council-backed UK Collective Energy Switching Scheme.

Executive councillor Alan Mitchell said: “This scheme will encourage residents to come together to invite energy companies to bid for their business, empowering them to get better deals that can benefit the whole community. I am delighted that Trafford Council is involved in this scheme as it gives us a real opportunity to help support local people, put pressure on energy suppliers and tackle fuel poverty."

The scheme responds to the recent challenge set by Edward Davey, Energy and Climate Change Secretary, DECC, in encouraging communities to use their potential bulk buying power to get a better deal for themselves on energy prices.

The collective contracting authorities are currently seeking to appoint a service provider to run and administer the scheme. To participate in the scheme, residents will be invited to visit a website or contact the council to register their details free of charge, giving their current energy usage figures for gas and electricity. The scheme will work by means of a ‘reverse auction’ where energy suppliers will be invited to bid the lowest price to supply the energy.

Further details on the scheme and how residents and businesses can participate will be announced in due course, but the council intends to get this up and running as soon as possible so that the benefits are realised quickly. It is anticipated that the initial auction will be held later this year.