Ovo Energy (styled OVO Energy) is an energy supply company based in Bristol, England. It was founded by Stephen Fitzpatrick and began trading energy in September 2009, buying and selling electricity and gas to supply domestic properties throughout the UK. It is one of over 15 smaller energy companies competing with the Big Six which dominate the market. As of June 2017 they have 680,000 customers, an increase of 10,000 over the previous year, representing a 2.5% domestic market share. In November 2018, OVO Energy acquired one of its largest competitors, Spark Energy.
On 14 February 2019, Mitsubishi Corporation bought a 20 percent stake in OVO, valuing the company at £1bn.
The company sources its energy from various suppliers throughout the UK and from further afield as outlined below. Ovo Energy's headquarters are in Bristol. Ovo Energy is an independent supplier and is British-owned and privately backed.
Ovo Energy had been supplying gas and electricity to domestic customers since 2009, until April 2013, when the company also decided to enter the business energy market. This sector of the UK economy is dominated by a number of larger companies such as the Big Six Energy Suppliers (UK).
The electricity Ovo Energy sources comes from various generators. Its two tariffs include 33% green electricity, (Ovo Better Energy—previously 15% green) and 100% green electricity (Ovo Greener Energy), coming from sources including wind farms in Gloucestershire and North Wales and electricity generated from the burning of landfill gas.
Ovo Energy sources its gas from the national grid. The majority of the UK's gas is sourced from the North Sea; the rest comes from Norway, Continental Europe and some from further afield. Increasingly, gas is imported as liquefied natural gas (LNG), natural gas cooled to about −165 °C and compressed to make it easier to transport.
Energy market competition
In October 2013 Managing Director Stephen Fitzpatrick appeared at a Parliamentary Select Committee in front of the Energy and Climate Change Select Committee, when energy companies were asked to justify recent gas and electricity price rises. Fitzpatrick explained to the committee that the 'wholesale gas price had actually got cheaper', contrary to the Big Six Energy Suppliers' assertions that international global prices of gas and electricity had consistently risen.
In November 2018, OVO Energy successfully acquired one of its rivals, Spark Energy, when it was announced that the troubled supplier had ceased trading.
Following the collapse of Economy Energy in January 2019, regulator Ofgem announced that Ovo Energy will take on Economy Energy's 235,000 customers.
In 2017, Ovo Energy began sponsoring The Women's Tour and the Tour of Britain, the longest cycle stage races taking place in the UK. In March 2018, OVO announced they would begin providing equal prize money for both tours.
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