Local councils join to buy oil in bulk

10 August 2008
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11 August 2008

Buyers from 30 local councils plan to purchase oil together in a bid to combat rising prices.

The group is spearheaded by Kent County Council (KCC) and includes London local authorities. They are planning an autumn meeting to create an initiative to secure oil at a guaranteed price.

It is hoped buying in bulk will save money and cut the cost of running council fleets.

A spokesman for KCC said: "We want to get the best deal because we don't want to pass costs on to the taxpayer."

It follows research by the Local Government Association that found council fuel costs have gone up £239 million in the past two years.

Richard Stokoe, spokesman for the LGA said: "We hope more councils will join the oil consortium. The greater the purchasing power we can create, the lower cost they can secure.


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