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What the papers say - FINANCIAL TIMES

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Local councils may be merged under new 'local area agreements', creating fewer, larger authorities. The agreements would give the new super authorities greater autonomy and the power to negotiate financial deals with central government. The agreements are at consultation stage, with a White Paper planned for next year.

Bulgaria has offered to supply extra power to Greece to reduce the risk of power cuts during the Olympic Games in August. The Greek state-controlled electricity utility, PPC, and the Bulgarian transmission company NETC are negotiating a one-off agreement to raise the available supply from 100MW to 300MW a day.

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