Renewable energy specialist makes “vital” acquisition following over £868m investment

London based Octopus Energy Group has announced it is taking on Bulb Energy’s 1.5 million customers, bringing an end to taxpayer losses and uncertainty for Bulb customers and employees.

Octopus is paying the government to take on Bulb’s customer base as it is believed that this will represent a higher amount per customer than suppliers typically paid to take on any of the 29 suppliers who have failed since September 2021. Taxpayers will also benefit from a profit share agreement for a period of up to four years.

The move comes after an almost year-long process run by Bulb’s administrators to find the best solution for the company, its employees and taxpayers. Bulb customers are being advised to “sit tight”, as their credit balances will automatically get transferred to their new account with Octopus together with their existing direct debits.

Octopus has a strong track record in large scale customer migrations. Earlier this year, Octopus successfully completed the migration of over 580,000 customers of Avro Energy to its systems, the largest customer migration ever conducted under the supplier of last resort (SOLR) process.

Octopus operates in 14 countries, with significant businesses in energy retail, generation, technology and electric vehicles. It has received well over $1bn (approx. £869m) in investment from global giants, including investment funds and large energy companies.

Bulb, still the 7th largest energy supplier in the UK, is also one of the newcomers in energy retail. Launched in 2015, its aim was to provide “fair and transparent pricing” and use tech to help its customers manage and reduce their energy usage.

Business and energy secretary Grant Shapps commented: “This Government’s overriding priority is to protect consumers and today’s sale will bring vital reassurance and energy security to consumers across the country at a time when they need it most.”

“This is a fresh start and means Bulb’s 1.5 million customers can rest easy, knowing they have a new energy home in Octopus. Moving forward, I intend to do everything in my power to ensure our energy system provides secure and affordable energy for all.”

Greg Jackson, CEO and founder of Octopus Energy Group, added: “We started off as rivals but shared the same mission – driving a greener, cheaper energy system with people at the heart. We know how important this is to Bulb’s loyal customers and dedicated staff, and are determined that Octopus can provide them with a stable home for the future.”

By Matthew Neville – Correspondent, Bdaily

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