Cheaper power on the way for hard pressed residents
Published Thursday, 14 February 2013
Enfield Council has adopted a scheme aimed at giving thousands of residents lower gas and electricity prices.
The Council has signed up to deliver the Big London Energy Switch along with 17 other councils in an effort to reduce bills for vulnerable residents and people living in deprived areas.
The scheme works by encouraging people to sign up to a scheme where a middle man company negotiates with energy companies on their behalf to secure cheaper gas and electricity prices through bulk buying.
The company that offers the cheapest price wins the contract and the more people who sign up to the collective switching scheme the more money they are likely to save individually.
Enfield Council’s Cabinet Member for Environment, Cllr Chris Bond, said: “We estimate collective energy switching will save between £150 and £200 for residents at a time when energy bills keep on rising.
“This fantastic scheme will help us tackle fuel poverty, improve the health of residents and go some way towards ending the sad circumstances where families have to choose between heating their houses in winter or buying food.
“I’d urge residents to sign up to this excellent scheme and reap the benefits of cheaper gas and electricity.”
Following the period of sign-up a ‘reverse auction’ takes place where energy companies bid against each other to offer the lowest tariffs in the hope of winning tens of thousands of new customers.
Final prices are then set and information is sent to everyone who had registered, with consumers having the chance to accept the price or decline it. There is no obligation to take up the offer to switch
Enfield Council will help to deliver London Council's collective switching project as a pilot scheme on 31 March 2013.
The project covers around 1.8 million households in London , of which it is estimated that 360,000 are in fuel poverty.
The energy auction will take place on Tuesday 9th April 2013 with offer letters sent to residents the following week. Residents will then be able to decide whether they want to switch under the terms of the agreement.
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