The purpose of this paper is to help community groups, local authorities and housing associations understand what options they have for local supply of energy (with a focus on electricity) by setting out how the electricity supply market currently works, the local supply options that are available in the current regulatory and commercial context and potential future models of local supply.

This paper was initially published in June 2015. Since then we have seen a considerable increase in local supply activity. For example, in the last seven months there have been over 100 new supply licenses granted by Ofgem. Furthermore, a number of perceived barriers have been overcome and consequently the traffic light system on page 19 has been updated. This second edition reflects the changes we have seen in this fast pace industry.


Published: March 2016