A new start for local composite operators

We present a formalism for local composite operators. The corresponding effective potential is unique, multiplicatively renormalizable, it is the sum of 1PI diagrams and can be interpreted as an energy-density. First we apply this method to $\lambda \Phi^4$ theory where we check renormalizability up to three loops and secondly to the Coleman-Weinberg model where the gauge independence of the effective potential for the local composite operator $\phi\phi^*$ is explicitely checked up to two loops.