Martin Lewis warning to 1.4 million Shell Energy customers moving to Octopus - Nottinghamshire Live
Martin Lewis warning to 1.4 million Shell Energy customers moving to Octopus - Nottinghamshire Live
Martin Lewis has warned Shell Energy customers who are set to move to Octopus Energy after its takeover announcement last week. This deal will see Octopus gain 1.4 million new energy customers and the half a million homes who get their broadband from Shell in Great Britain and Germany.
After the transition is complete, Octopus will serve around 6.5 million customers in Britain, making it the second largest supplier after British Gas. As reported by the Daily Record, the companies have told customers of Shell Energy to "sit tight" as they will become Octopus Energy customers in time and remain on the same deals as they are currently on.
Ofgem and the Competition and Markets Authority (CMA) still need to approve the deal, but in his latest Martin Lewis Podcast, the personal finance guru said the move should go ahead between October and December this year. However, he warned customers on a variable energy contract may see prices change.
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Martin explained: “There shouldn’t be any disruption to your service when you’re transferred over and I shouldn’t think there would be any change to your contract if you’re on a fixed tight deal - whether it’s broadband or energy.
“If you’re on a variable contract there is a possibility the price will change though having said that, Octopus has generally been known as one of the best customer service providers out there and I suspect what it will want to do is try to keep your business once you move across.
“So, if it’s anything like previous transitions I’ve seen in the energy market, most people who were with another firm and then moved to Octopus tend to be happier about it.”
Commenting last week shortly after the deal announcement, Octopus chief executive Greg Jackson said: "We are pleased to be acquiring Shell Energy Retail in the UK and Germany. Octopus has proven that it delivers game-changing service whilst innovating and investing relentlessly towards a cheaper, cleaner energy system.
"Our commitment to customers is paramount and we will do whatever it takes to deliver the Octopus promise when we welcome these new customers too."
Steve Hill, executive vice-president at Shell Energy, said: "This agreement follows the announcement during our Capital Markets Day to divest our home energy retail business in Europe. To drive performance, discipline and simplification, we are prioritising countries, projects, and routes to market where we can deliver the most value."
He added: "We will work closely with Octopus to ensure a seamless transition and continued high standards of customer service."
Related Knowledge Center: Liquefied natural gas
Driven by plentiful natural gas produced from shale plays, the United States began exporting liquefied natural gas in 2016 when the Sabine Pass terminal in Louisiana opened and shipped its first cargo. Since then, additional capacity, or trains, have been added to Sabine Pass, and terminals have become operational in Cameron Parish, La.; Hackberry, La.; Cove Point, Md.; and Corpus Christi, Texas. The Energy Information Administration projects that U.S. LNG export capacity will reach 8.9 billion cubic feet per day (Bcf/d) by the end of 2019, making it the third largest in the world, behind Australia and Qatar. The tariff war with China has the potential to impact some final investment decisions for additional terminals in the coming months.