Frequently Asked Questions
We already have a local buying group in our village, so why do we need yours?
Why do we have to pay a membership fee?
Why do you need local co-ordinators?
How does this scheme help those in on low or fixed incomes?
What are the sorts of prices we can expect to pay?
How is the oil paid for?
What are the delivery arrangements?
Benefits of Suffolk ACRE Community Buying – why should I join?
We already have a local buying group in our village, so why do we need yours?
The short answer is that you don’t. Suffolk ACRE has no intention of interfering in any way with some of the excellent schemes already operating in the county. Indeed looking to the future we may well be able to join forces to lobby government for a much better deal for rural communities solely dependent on oil for heating their homes and businesses.
Our scheme is part of a national initiative started by our colleagues in Oxfordshire and is now operational in about 20 counties, purchasing is done centrally as we expect to see significant price improvements with purchases of over 200,000 litres each time, because we are part of bigger scheme, we should be able to get better prices for everyone. Nevertheless, there is no guarantee that this will be the case and we appreciate the existing groups who are sharing their knowledge and experience for the benefit of all.
If existing schemes want to encourage their members to join the Suffolk ACRE Community Buying scheme they are free to do so, as many smaller schemes may appreciate not having the hassle involved with negotiating, and buying in greater volumes should get better discounts. Unlike some other commercial schemes, members get the same unit price whether they buy 500 or 1000 litres or more, and by becoming a member of the scheme, you are supporting Suffolk ACRE’s charitable work in the communities of Suffolk.
Why do we have to pay a membership fee?
The membership fee will be more than covered by the potential savings on price. This fee covers the administration costs of the scheme and allows us to ensure people who don’t have access to the internet can also become members and we therefore have staff and other costs to cover. All surpluses will be re-invested in our charity in order to continue our general charitable work in support of communities.
There are already many fantastic schemes around the county run by volunteers on a purely voluntary basis, and there are also scheme run more commercially, which, though they may not charge a membership fee, will add a commission per litre of oil purchased.
As you may be aware, the voluntary sector is being expected to play an even bigger part in the support of our communities but without necessarily the financial support from national or local government. We do, therefore, have to look at ways in which we can generate some income to pay for our charitable activities in communities throughout Suffolk and we are trying to do this whilst also helping people to get a better deal on their heating oil.
Membership
Individual household membership costs £20, Community Buildings (village halls) £30 and Businesses £100 all payable annually directly to Suffolk ACRE Community Buying Ltd. For more information please click on our oil buying leaflet below.
Why do you need local co-ordinators?
Whilst the majority of people have access to the internet and are comfortable with e-commerce, there are still many people who either do not have access to the internet or simply do not want access to the internet. Suffolk ACRE strongly believes that people who don’t have access to the internet and those that can least afford these high oil prices must be able to become members if they want to.
There is no reason why these people should not be able to benefit from the savings of bulk buying. We are therefore asking for volunteers to come forward in each village to act as a co-ordinator for the local community’s oil orders. They will be asked to promote the scheme in their villages, and collect oil orders on a monthly basis from scheme members. No money needs to change hands, it is simply the provision of a local person to co-ordinate local orders. The scheme normally works through a volunteer local co-ordinator but Suffolk ACRE will act as your local co-ordinator until one is appointed in areas that don’t yet have a co-ordinator. Local co-ordinators have FREE membership of the scheme.
To view our co-ordinators oil buying leaflet click here
How does this scheme help those in on low or fixed incomes?
We are hoping to establish a budget payment scheme that will be of benefit to members who may be on fixed or low incomes to help stagger the cost of oil buying. More details will be available in the coming months. Through the Suffolk ACRE Community Buying scheme members who purchase the smallest amount of 500 litres get same price as those ordering 1000 litres or more.
What are the sorts of prices we can expect to pay?
This is hard to say because the price of oil changes daily, so prices one day can be different to prices paid on the day before and the day after. Suffolk ACRE Community Buying cannot guarantee to be the cheapest, but we will do our very best to ensure that our oil buyer gets the very best price he can on that day for our members. We also hope to be able to drive the price down once the order size goes up. As at 30th April, our negotiator found a highest price of 71p per litre, an average of 62p per litre, and bought at 56.8p per litre (all prices +5% VAT). That’s a saving of £54.60 on a 1,000 litre order on the average prices quoted and would easily cover our £20 membership fee. Those of you that look to commercial brokers or price comparison websites may wish to note that the best price offered on the 30th April was 60.99p per litre. We will be publishing the prices we buy oil at on the website each month, so watch this space!
Please also see the indicative graph on the home page, which shows the prices that the scheme bought oil at last year.
Negotiations take account of the international price of a barrel of oil as well as other factors such as bad weather, Christmas as well as the gross volume being ordered so ensuring the price you pay is the best possible price at the time.
What is the area covered by this project?
Membership is open to anyone living in Suffolk.
What is the minimum amount of oil that can be ordered?
The minimum quantity that can be ordered is 500 litres.
VAT - The price quoted is exclusive of VAT which is currently 5%
The Order Form
When you complete and submit your order form it becomes a firm order and not just an expression of interest. Thus the price obtained is based on everyone’s orders, so unless there are exceptional circumstances the order is definite as soon as it’s placed with the local co-ordinator or Suffolk ACRE Community Buying if your area does not have a local co-ordinator.
All payments for oil go directly from the customer to the supplier in the normal way as per the suppliers terms or otherwise agreed by the customer.
What are the delivery arrangements?
Suffolk ACRE Community Buying Ltd can only give an approximate delivery date to your village because the oil supplier will be attempting to meet the needs of all their customers.
Benefits of Suffolk ACRE Community Buying – why should I join?
Many local schemes are run entirely by volunteers which of course is absolutely fantastic and local community action is at the core of Suffolk ACRE’s ethos. However, smaller schemes may not be able to get competitive prices and can involve a lot of work. Some community schemes are able to negotiate a commission from the oil supplier to cover costs and /or be reinvested in the community. The Suffolk ACRE scheme is not a commission based model, as this can work against us when trying to negotiate the best price. Some buying syndicates are run as commercial operations and whilst these schemes can deliver good prices, there is no other community involvement or benefit.
Finally – The Oil buying group that we are developing is NOT a pence per litre price comparison site, it works with on the ground community groups that people join, feel good about being a part of something that is benefitting them, their neighbours and the rest of their community by them being in it together. They are groups that will help each other out when the snows come back and they are groups that will be able to buy other necessities together. We have a developing model that has true social, environmental and financial benefits, and as such, this is the only model that fits the Suffolk ACRE’s remit.