Octopus Energy announces Bulb takeover: Everything you need to know about collapsed green energy rival buyout
Octopus Energy has announced it will be acquiring rival energy provider, Bulb after it fell into special administration last year. Bulb became insolvent in November 2021 after falling victim to the UK’s energy crisis causing high wholesale energy prices.
Octopus will acquire Bulb subject to the deal receiving final approval from the government and Ofgem, and the court confirming the timing for the “Energy Transfer Scheme” to take place. However, Bulb customers have been assured that they do not need to make any changes to their account and their credit balance will be protected.
Greg Jackson, CEO and founder of Octopus Energy said: “We take our responsibilities very seriously. We will work unbelievably hard to deliver value for taxpayers and to look after Bulb’s staff and customers.
“We started off as rivals but have always 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 a stable home for all.”
The government has said it will work closely with Ofgem and Bulb’s special administrators to ensure the exit from special administration and transfer of customers to Octopus achieves "the best outcome practicable for Bulb customers, taxpayers, and the industry".
Business and Energy Secretary Grant Shapps said: "This government’s overriding priority is to protect consumers and last night’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."
Domestic energy prices for Bulb customers will still be protected by the government’s Energy Price Guarantee, and Ofgem’s energy price cap and Government support schemes such as the Warm Home Discount and Energy Bills Support Scheme will continue as normal. Meanwhile, Business prices will continue to be protected by the government’s Energy Bill Relief Scheme.
Matthew Cowlishaw, Senior Managing Director at Teneo and Special Administrator to Bulb Energy Ltd, said: "When the energy administrators were appointed in November 2021, our primary objectives were to enable Bulb to trade as usual while minimising the cost to the taxpayer. Following a thorough and extensive process over the course of almost a year, we examined all options and in conjunction with BEIS came to the conclusion that this transaction would provide the most value to the taxpayer.
"We are pleased that we have achieved the objectives of the special administration, especially against the backdrop of wider energy market disruption, and that the transition of employees and customers will provide certainty for both going forward."
The Octopus website states customers will be contacted by the Bulb team in due course, but assure customers that there will be no change to the service, customers will be looked after by the same dedicated Bulb teams and will pay and manage their accounts the same way as usual.
What does Octopus takeover mean for Bulb customers?
Will my energy supply be affected?
Your energy supply won’t be interrupted or affected in any way. You will not be cut off.
Will my Bulb account be affected?
You can continue to top up your balance in the Bulb account.
Any money Bulb owes you is safe and will be moved to your new Octopus account as soon as possible.
If you pay by Direct Debit, there’s no need to cancel it. This will continue as usual.
How do I submit my energy meter readings?
You should submit meter readings as normal. Meter installations and replacements will continue as planned.
Will I still receive support from Government energy schemes?
Government support schemes such as the Warm Home Discount and Energy Bills Support Scheme will continue as normal
Up until your account moves over to Octopus, you’ll still be a Bulb customer, so should contact Bulb in the usual way.