The investment by Flogas is the energy suppliers second acquisition in just six months, taking over Just Energy back in November.
Customers of BE Energy in the Republic of Ireland can expect a change in the coming weeks and months as Flogas Ireland has recently announced the acquisition of its parent company, Budget Energy in Northern Ireland.
Budget Energy is one of the North’s leading electricity suppliers and has over 90,000 customers on the island of Ireland.
This latest investment from Flogas into the growth of its energy business is by far its biggest to date, following on from the purchase of Just Energy Ireland in November of last year.
So what does all this mean for consumers and the energy market?
Read on for further details.
Who is Budget Energy?
Budget Energy was founded in 2010 and has grown to become one of Northern Ireland’s leading energy companies. Headquartered in Derry/Londonderry, it offers electricity to residential and commercial consumers.
In April 2019, Budget Energy launched into the Republic of Ireland market as BE Energy Ireland.
Flogas has acquired one of Northern Ireland’s leading electricity suppliers, Budget Energy, which has over 90,000 customers on the island.
Budget Energy trades as BE Energy in the Republic and launched back in April 2019. The recent acquisition by Flogas will see the company acquire and grow its customer base of approximately 5,000 people here in the Republic.
The acquisition of Budget Energy will also naturally enable the expansion of the Flogas business into the residential and commercial electricity market in Northern Ireland, but will also help to strengthen its foothold in the market in the Republic.
Managing director, Flogas Ireland, John Rooney, said:
“The Budget Energy acquisition is a significant step forward in the growth of Flogas and accelerates our vision to be one of Ireland’s leading all-island energy suppliers.”
The recent deal done by Flogas will also see it take over Budget Energy’s strong portfolio of local renewable energy generation in the North and will be a key contributor to Flogas’ sustainability strategy in the coming years.”
What does it mean for customers?
Flogas has assured both customers of BE Energy in the Republic of Ireland and Budget Energy customers in Northern Ireland that there will be no immediate changes as a result of the acquisition. Customers in the ROI will continue to be supplied and billed by BE Energy with no interruptions to service.
Its customer service office will also continue to operate from its base in the North West, so it's business as usual.
General Manager, Flogas Energy, Paul Kenny, said:
“We are delighted to be welcoming the Budget Energy customers and team to Flogas. We are looking forward to working closely together to grow our business in the months and years ahead. I would like to acknowledge the achievements of George and Anne McEvoy in making the business into the success story that it is today and wish them the very best for the future.”
Flogas offers natural gas, electricity and LPG to residential and commercial customers in the ROI, while in NI it offers LPG for residential and commercial customers, now also offering electricity in NI following today’s announcement.
Most recently Flogas took home the prize for ‘Best Energy Price Plan for Existing Customers’ at this year’s bonkers.ie National Consumer Awards 2020.
While nothing will immediately change for customers following the acquisition, Flogas is planning to review the various brands and offerings available over time, which means customers can look forward to increased competition in the Irish energy market, which is not a bad thing.
Flogas already increased discounts on select tariffs for the second time in the space of two months back in March.
And while Budget Energy will remain as a brand in Northern Ireland for the foreseeable future, Flogas has confirmed it will seek "to integrate BE Energy into Flogas more quickly" in the Republic.
Commerical Director at Flogas Energy, Ken O'Byrne has confirmed that Flogas will look 'to recruit additional personnel for the team based in the North West' over the coming weeks and months, in line with plans to further grow the business into the future.
The recent acquisition by Flogas is, if nothing else, a strong commitment to its existing customer base, as well as another step in becoming one of the leading energy suppliers in the Irish market.
We look forward to seeing what new deals and tariffs will be made available to new and existing customers in the coming weeks and months.
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