Expansion within offshore wind power makes DONG Energy one of the largest foreign investors in the UK energy sector. And now the company is also rapidly advancing in the power market.
DONG Energy has secured its largest contract so far in the B2B market in the UK. The customer, Welsh Power, left their previous supplier in favour of DONG Energy, which is a relatively new player in the UK power market. With delivery to more than 4,000 points of consumption, Welsh Power is the largest multi-site customer in DONG Energy’s history, and the contract means a doubling of the number of UK sites receiving power from DONG Energy.
Competing from door to door
«We’re competing from door to door for the major business customers in the UK, and winning such an important customer sends a clear message that we’re here to stay,» says Mikkel Sjølin Kiil, Vice President and responsible for DONG Energy’s B2B activities in Northern Europe. He adds that the new customer fits perfectly into his strategy for DONG Energy’s expansion, not only among business customers in the UK, but also in Germany and Denmark:
Building a bridge between customers and the green conversion
«We want to be the energy company to build the bridge between the customers and the green conversion. The expansion in renewable energy makes it more expensive to run a business in Europe, and here we have something to offer that only very few suppliers are able to compete with. We produce vast amounts of green energy, offer new solutions to reduce the customers’ consumption, and we offer to take care of all aspects of energy trading, risk management, etc. We’re also working on solutions where we offer to help customers produce their own energy, and we’re currently negotiating with a world-leading company about an entirely new type of long-term partnership.»
That DONG Energy is gradually transforming its role in the UK market can also be seen in other new agreements. As such, the company recently won the long-term power purchase agreement (PPA) from three future onshore wind farms currently being constructed by the energy and property developing company Banks Group. And in March, DONG Energy entered into an agreement with Ashford Power Ltd, whose gas turbines can now be activated and deactivated remotely from Denmark. The purpose of this agreement is also to establish a balance between consumption and demand.
In the gas business market, DONG Energy is among the three major suppliers in terms of market share.