Shell has completed its acquisition of online energy retailer Powershop Australia, which will operate as a wholly owned subsidiary of Shell under the Powershop brand, serving 185,000 customers.
The transaction has taken place through the 100 per cent acquisition of Meridian Energy Australia Group (MEA), the parent company of Powershop, by a consortium of Shell and Infrastructure Capital Group (ICG), an Australian infrastructure investor and manager.
The Powershop acquisition complements Shell’s existing Australian investments in zero and low-carbon assets and technologies.
It will form the basis to offer innovative products and services to meet evolving customer needs for low-carbon and smarter energy solutions, such as e-mobility and battery storage.
Under the terms of the deal, Shell has acquired Powershop and ICG has acquired MEA’s portfolio of renewable generation assets and development projects.
Shell Energy also acquired Powershop’s existing wind power purchase agreements (PPAs) as part of the transaction and has agreed offtake arrangements with ICG associated with MEA’s hydro and wind assets, totalling 300MW of capacity.
The acquisition of Powershop is in line with Shell’s Powering Progress strategy and ambition to create an integrated power business.
Powershop will form Shell’s residential power platform in Australia, extending Shell’s existing position as Australia’s largest dedicated supplier of electricity to commercial and industrial customers, comprising wholesale trading operations and energy solutions, supported by solar and gas-peaking generation assets.
Shell aims to sell around 560TW hours a year globally by 2030 as part of its Integrated Power business, twice as much electricity as it sells today, and expects to serve more than 15 million retail and business customers worldwide as a leading provider of clean power-as-a service.
Shell has not disclosed financial details of its acquisition of Powershop.