Councils group together for energy move

2nd November 2012 | Posted by: Sarah Cooper | Consumer News

Residents in the Greater Manchester area could benefit from lower gas and electricity prices after ten local councils have grouped together to ‘bulk buy’ energy, The Telegraph reports. These types of deals are being encouraged by the government, as they can help homeowners save money on their domestic energy costs. The idea behind ‘bulk-buying’ energy schemes is that a large number of people get together and tender their bills to the large energy companies - with the company offering the lowest price winning the contract for that area. Local councils believe that this type of scheme could cut household energy bills by around £200 per household, per year. Councilor Arooj Shah of Oldham council said: “Together, we now have around 1.2 million households who can come on board with this, and we are still speaking to other interested local authorities up and down the country. “This should significantly swell the size and purchasing power of the collective group - and that means even bigger potential savings for residents.”

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