Powershop – an online energy retailer serving more than 185,000 customers – will operate as a wholly owned subsidiary of Shell within the energy business in Australia.
Powershop is currently a subsidiary of Meridian Energy Group, and the transaction will take place through the acquisition of Meridian by a consortium of Shell and Infrastructure Capital Group.
The acquisition complements Shell’s existing Australian investment in zero and low-carbon assets and technologies.
Shell said Powershop will form the basis to offer innovative products and services to meet evolving customer needs for smarter energy solutions.
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.
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.
The company said it aims to sell around 560 terawatt hours a year globally by 2030 as part of its integrated power business – twice as much electricity as it sells today.
Shell has not disclosed financial details of its acquisition of Powershop.
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