Shell Energy is preparing for a global fundamental shift in energy supplies towards lower-carbon sources. Their goal is to become the largest electricity company by the 2030s. They are beginning by rebranding First Utility – the UK’s seventh largest energy supplier – as Shell Energy in a move that will see its 700,000 customers switched to renewable electricity overnight. Shell says 100% of its electricity is sourced from renewable sources such as wind, solar and biomass.
Shell Energy will have one of the cheaper deals on the market at around £970 a year for an average household usage of gas and electricity. That’s only £78 more than the cheapest available. Customers will also get discounts at Shell service stations across the UK, as well as offers for a range of household ‘smart technologies’ over the coming year.
These include:
- A 3% discount on fuel at Shell petrol stations via its Shell Go+ rewards programme – up to 60 litres a month per household.
- Customers that pick a three-year fixed-price contract, will get a free Nest E smart thermostat.
- A discount on an electric vehicle charger. The NewMotion Home Fast charge point will be sold for £349, a discount of £60. This price includes standard installation, six months of free access to smart services and the OLEV government grant.
- Broadband packages to customers.
Almost 60 percent of UK households wanted to power their homes with renewable electricity, according to a survey by the company.
Colin Crooks, chief executive of Shell Energy Retail said:
“We are building on the disruptive nature of First Utility to give customers something better. We know that renewable electricity is important to them and we are delivering that, while ensuring good value and rewarding loyalty.
We want to attract customers with fair pricing, strong customer service and innovative offers that set us apart from anything available today. Later this year, we’ll be announcing a string of exciting services that offer greater convenience to householders and help make homes more efficient.”
Mark Gainsborough, Shell’s executive vice president of new energies, added:
“This is a good example of our approach to building a significant electricity business, in line with customer needs. Shell recognizes the world needs more energy with lower emissions and this will give customers more flexibility, greater control and cleaner energy.”
There is definitely a revolution taking hold in the way electricity is supplied and used in our homes, and Shell’s is determined to get ahead of the game. It is smart of Shell (and convenient for their customers) to focus on electric vehicles and smart home technology now as the transition to renewable power begins. This proposition they have unveiled is clearly attractive from a consumer point of view but is also designed to help the company meet their various obligations.
