Shell Energy Operations Pty Ltd, a wholly-owned subsidiary of Shell, announced its acquisition of Powershop Australia, an online energy retailer which is serving more than 185,000 customers in Australia.
The statement elaborated that the transaction will be implemented by acquiring 100% of Meridian Energy Australia Group (“MEA”), the parent company of Powershop, through a consortium composed of Shell and Infrastructure Capital Group (ICG), an Australian infrastructure investor and manager.
According to the terms of this arrangement, Shell will acquire Powershop and ICG will acquire MEA’s portfolio of development projects and renewable generation assets.
On this occasion, Shell Australia Chairman Tony Nunan said, “This acquisition is another example of how we are continuing to grow our footprint in Australia to meet customers’ evolving needs through the energy transition. Powershop today offers innovative energy packages, and customers will benefit in the future from access to Shell’s broader suite of energy solutions linked to e-mobility and battery storage.”
The statement elaborated that Shell’s acquisition of Powershop comes in line with Shell’s Powering Progress strategy and objective to create an integrated power business. Powershop will enable Shell to have a residential power platform in Australia, extending Shell’s existing position as Australia’s largest dedicated retailer of electricity to commercial and industrial customers.
“Under the arrangement with ICG, Shell Energy will also acquire wind power purchase agreements (PPAs) and has agreed offtake arrangements with ICG associated with MEA’s hydro and wind assets,” a press statement from Shell said.
The acquisition is pending the regulatory approvals and is expected to be finalized in the H1 of 2022.