A licence to generate energy for the people
BRITAIN’S newest energy company, customer-focused People’s Energy, has received its Ofgem licence.
It is a significant milestone for the ethically minded energy firm that promises to give customers 75% of its profits.
The licence means People’s Energy is now legally able to enter the market and start registering customers to be supplied with gas and electricity.
Co-founders David Pike and Karin Sode were so fed-up with the Big Six energy firms and never-ending price hikes that they decided to offer British consumers something different, replacing poor customer service and a lack of transparency with the chance to be part of an energy company with a difference.
The Edinburgh-based firm will provide free shares to those who remain with the company. Consumers will also have a voice in shaping the company with representation on the board, while salaries, decisions, accounts and prices will all be shared with customers.
The initiative is being backed by a number of senior businesspeople, including Peter Lederer, former chair of Gleneagles Hotel, and John Wright, former CEO of the Clydesdale and Yorkshire Banks.
Mr Pike said: “The vision for People’s Energy is to have over one million customers, all of whom are in control of their gas and electricity and getting a percentage of the company’s profits back.
“Our company is about putting trust back into the market – currently there is very little. We want our customers to know that we have their best interests at heart and that with us they will have a say in how the company is run.”
Ms Sode added: “Energy comes from natural resources that should belong to us all, not private entities. We are absolutely passionate about returning ownership of this natural resource to consumers.”
So far the duo have raised over £450,000 on Crowdfunder from the pledges of 2,000 supporters. People’s Energy will start providing energy from the beginning of August.