Swedish utility Vattenfall Independent Network Operator (IDNO) is to enter the electricity distribution business in the UK, following its move into both business and consumer energy retail.
Ofgem alerted market participants to the move earlier this week when publishing its decision to grant Vattenfall a distribution licence, but the firm remained tight-lipped on its plans until this morning.
Vattenfall already runs significant distribution operations in Sweden and Germany. Its new UK unit, Vattenfall IDNO – an Independent Distribution Network Operator, will build and operate new connections to the existing network in new residential, retail or industrial areas.
It is unbundled from, and independent of, Vattenfall’s existing UK sales and generation business and will be headed by managing director, Stewart Dawson.
“This is an another important step for Vattenfall IDNO in the UK which is an interesting market where we see good opportunities to further grow with our climate smart energy solutions. This is in line with our overall strategy to become fossil free in a generation and supporting our customers in reducing their carbon footprint”, said Magnus Hall, Vattenfall’s president and CEO.
“Vattenfall IDNO has extensive experience in operating electricity networks, including smart meters, and we are now also investing in micro grids and smart street lighting. We will use our expertise to develop the British networks business. Vattenfall will offer integrated and climate smart energy solutions to future customers in Great Britain”, said Annika Viklund, Vattenfall’s head of distribution.
Vattenfall enters domestic energy retail with iSupply buy
Vattenfall to compete aggressively on price to woo large corporates
Swedish giant Vattenfall enters UK business energy market
Vattenfall plans 22MW battery storage facility at south Wales wind farm
Vattenfall’s £400m south Wales wind farm hits full power
Click here to see if you qualify for a free subscription to the print edition or to renew.
Follow us at @EnergystMedia. For regular bulletins, sign up for the free newsletter.