Agreement marks Shell Energy Europe’s first Shell branded collaboration in Germany with a retail energy provider
Residential customers able to switch to First Utility starting in October 2015
First Utility Ltd. (First Utility), one of the UK’s largest and fastest growing independent energy providers, and Shell Energy Europe Ltd. (Shell Energy Europe), a major integrated energy marketing and trading company in Europe, have reached an agreement to supply electricity and gas to households in Germany.
First Utility will operate in the German market through its subsidiary First Utility GmbH, headquartered in Hamburg, and under the Shell brand. Building on the success of First Utility’s customer proposition in the UK, the German business will extend the ethos of greater customer engagement and pricing transparency to the German market, increasing choices for consumers and offering a range of competitive energy tariffs.
Under the terms of the agreement, First Utility will apply its retail market expertise and cutting-edge technology to provide all product management, marketing activities and customer support. Shell Energy Europe will utilise its unique trading competences, scale and reach to competitively source electricity and gas that will be provided by First Utility to German household customers. All product and service offerings will be Shell branded.
This launch underlines Shell Energy Europe’s confidence in First Utility’s business model and customer value proposition. The collaboration builds on the existing energy trading agreement between First Utility and Shell Energy Europe in the UK.
Ian McCaig, CEO of First Utility, said: “Our customers in the UK have experienced a very real and positive difference in joining First Utility. We have shown that greater engagement and transparency from an energy supplier as well as great prices can really benefit customers and we believe the same fundamentals will appeal in Germany as well.
First Utility has helped to change the face of the energy industry in the UK and our first move overseas is another exciting opportunity for us. We have built a very positive collaboration with Shell in the UK, and we are now able to bring our proven expertise to this new venture.”
Jonathan McCloy, General Manager North West Europe for Shell Energy Europe, said: “Shell Energy Europe has an established and strong presence in the German market offering advanced energy solutions to wholesalers and large industries. This agreement allows us to access the household market in Germany through a trusted relationship with First Utility.”
The marketing activity of First Utility in Germany will offer customers three tariff options and will launch in October. It will aim at capitalising on Shell’s brand and extensive nationwide presence, comprising 2,200 retail fuel filling stations, 7 million loyalty card customers and a strong online presence.