WARRINGTON Borough Council is to press ahead with proposals to link-up with neighbouring councils to provide cut price gas and electricity for residents.
The scheme will depend on reaching agreement with Cheshire East Council and Cheshire West and Chester Council, but initial talks have gone well.
It is believed annual savings of £150 to £200 could be achieved for individual householders – and that the council could generate additional income for itself to reinvest in other energy projects.
Local social housing providers would also be invited to join in the scheme – known as “collective switching.”
The idea is that a group of consumers band together to negotiate a better deal with electricity and gas suppliers through economies of scale.
The Government is encouraging councils to introduce such schemes.
The councils would have to engage a switching partner who would co-ordinate the collecting and processing of household energy data to enable energy suppliers to submit prices for “blocks” of energy via an electronic auction.
Households would have to register and enter their energy usage data into a system provided by the switching partner. This would not have to be done online, as many households may not have access to the internet.
After the electronic auction, the council would contact each household either confirming they were already getting the best deal possible or offering them a suitable alternative.
But households would not be obliged to accept the offer of an alternative.
The council does not pay the switching partner and, in fact, is paid a “finders fee”.
The council says the main purpose of the collective switching scheme is to reduce energy bills for all Warrington households through economies of scale.
It will help off-set energy costs at a time of rising prices, help households suffering fuel poverty and will be available to vulnerable people such as the elderly, families on low incomes, etc.
But the opportunity to switch energy supplier will be available to all Warrington residents.
WARRINGTON Borough Council is to press ahead with proposals to link-up
with neighbouring councils to provide cut price gas and electricity for
residents.
Council aims to provide cut price energy
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