Councils in Leicester and Leicestershire have set up a not-for-profit company to sell green energy at prices it claims will offer some of the cheapest gas and electricity on the market.
Set up by the city and county councils, Fosse Energy aims to tackle fuel poverty by offering competitively-priced energy to domestic customers and by encouraging people to switch from other suppliers.
Fosse Energy’s tariffs will be available to anyone living in the city, the county and the wider East Midlands who wants to buy green energy from a not-for-profit organisation.
Deputy city mayor Cllr Adam Clarke said: “We’re committed to tackling fuel poverty in the city and helping those least able to pay their energy bills.
“We know that around 10% of households experience fuel poverty, and we know that many people pay over the odds for their energy – especially those on pre-payment meters.
“What Fosse Energy will do is to give people the option of buying their gas and electricity from a publicly-owned company that has no shareholders to please – which means its tariffs will always be among the cheapest on the market and will offer a very competitive alternative to the big six energy companies.
“By teaming up with an established energy supplier, we will be able to provide a tried and tested service that’s backed up by a dedicated customer service team – so anyone thinking of switching will be able to do so with confidence.”
The two councils have appointed Robin Hood Energy as Fosse Energy’s gas and electricity supply partner.
Wholly-owned by Nottingham City Council and consistently one of the cheapest suppliers in the East Midlands, Robin Hood Energy will provide both the infrastructure and the full range of customer services to Fosse Energy.
Customers will be able to choose from four tariff options – with 100% renewable electricity provided in each case.
Deputy leader of Leicestershire County Council Cllr Byron Rhodes said: “One of our top priorities is to improve the quality of life for people living in Leicester and Leicestershire. Fosse Energy will contribute to that by offering low-cost tariffs.
“We want to ensure people in our communities can easily heat their homes using a sustainable source that’s affordable. That’s why we’ve ensured Fosse Energy offers renewable electricity across the board.
“We are very excited to be launching Fosse Energy which we hope will make a big cost saving to households.”