Shell has said that it plans to sell its household energy supply business in the coming months as it decided to exit the troubling retail industry.
The oil and gas giant said that it had decided to sell the unit after a five-month review.
The business has already been put up for sale, and there are reports that Ovo and Octopus Energy have launched bids for the unit.
“As we stated at the end of January 2023, we have been conducting a strategic review of our home energy retail businesses in the UK, the Netherlands and Germany,” Shell said on Tuesday.
“That review has now concluded and as a consequence, we intend to exit those businesses.
“A sales process is already under way, with the intent to reach an agreement with a potential buyer in the coming months.
“Deal completion would be subject to the usual regulatory and other approvals.”
The business said that nothing will change for Shell’s customers during the sales process.
Shell Energy was launched in 2008 as First Utility, but bought by the oil major a decade later. It employs around 2,000 people in the UK and supplies energy to around 1.4 million homes.
In addition to that around half a million households get their broadband from Shell Energy.
Shell said: “We are committed to supporting both customers and staff and protecting customer interests during this period, and to ensuring a seamless transfer to a buyer capable of delivering on its obligations, including our intent to maximise employment.
“Neither our B2B wholesale and SME customer supply businesses under the Shell Energy brand, or our home energy retail businesses outside Europe, are in scope of this potential divestment.”