Are we creating an energy company
that could go bust?
We aren’t creating an energy company that sells to consumers, which is subject to the price cap mechanism that has caused a lot of energy companies to go bust over the last couple of years.
Any selling of energy to the community would be via a partner energy company, the main one involved in the Energy Local model is Octopus Energy which is very financially sound.
There is a small risk our community energy social enterprise company could go bust if it was unable to generate enough profit from selling its energy to service its debt and running costs. However, this is unlikely as in order to get funding in the first place it will need to demonstrate a sound business case and the financial models for community energy generation are very mature. In the worst case that the business went bust the risk would be with the investors, not the community itself.