The 1.5 million Bulb customers have now been officially transferred to Octopus Energy.

The agreement, implemented via a new process known as the Energy Transfer Scheme (ETS), will save taxpayers millions of pounds as Bulb moves back into private ownership and the Government is no longer directly exposed to the volatility of the wholesale energy market. The taxpayer will also benefit from a profit share agreement that forms part of the deal.

The ETS was approved by the Business and Energy Secretary on the 7 November and the High Court ruled that the transfer can go ahead, setting a commencement date for the ETS to take place at 23:58 on the 20 December.

Since Bulb has been in special administration, the company did not hedge for the energy it has been supplying to its customers. The new business will start hedging for Bulb from day one and will ensure that the company is fully hedged by the end of March 2023. Until hedging is fully restored, the Government will provide financial support to the new business to buy energy for Bulb customers over the course of winter 2022. This financial support will be repaid by the new entity in accordance with an agreed repayment plan schedule.

Judicial Reviews have been received against the Business and Energy Secretary’s decision to approve the sale of Bulb Energy, with court dates for the reviews set for next year.

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