LAS Profile

Local Authority Services Ltd. (LAS) was created in 1992 by the Association of Municipalities of Ontario (AMO) and is a wholly-owned subsidiary company of AMO. LAS is mandated to work with municipalities, their agencies, boards and commissions, as well as other organizations of Ontario’s broader public sector, to assist them in reducing expenditures and increasing revenues through strategies of co-operative procurement.

A New Business Challenge

LAS was seeking an organization to provide natural gas procurement solutions that would allow for budgeting, provide competitive market prices, and that would leverage its large buying power. After soliciting procurement solutions from prospective organizations, LAS awarded the contract to Energy Advantage.

A Collaborative Solution

Energy Advantage developed a comprehensive natural gas purchasing strategy that allows LAS to secure supply up to three years in advance. With this built-in hedging strategy, the natural gas program provides members with some long-term price predictability. The program offers a blended price that reflects the cost of natural gas for a one-year period, and maximizes purchasing power by hedging 80-90% of required gas through aggregated purchases. To assist members with annual budgeting and conservation planning, Energy Advantage provides annual natural gas consumption reports.

Measurable & Tangible Results

Since the implementation of the program, 162 municipalities and 12 organizations from the broader public sector have joined LAS’s natural gas program. With over 3,200 end-use accounts with daily requirements in excess of 263,000m3 of natural gas, the program has resulted in $3.6 million dollars in combined savings for its members. For further information about LAS natural gas procurement program click here