British Gas has just signed a deal worth £12million with ‘smart metering’ firm Bglobal. The deal has given the Lancashire based company a much needed boost, increasing its share price by over 3%.
The deal starts this year, where Bglobal will begin its supply and installation of smart meters to British Gas Business. Bglobal is set to receive £1million each year, from the on-going data services it provides the UK’s leading energy supplier.
Bglobal also signed a contract with Dual Energy Direct – an electricity supply business – to manage its smart metering programme from this April.
Both deals could not have come at a better time for Bglobal, who recently announced how its profits had plummeted because of the cold snap. The company, now valued at £41million, said it had installed 10,500 smart meters over the third quarter of its financial year, ending March 31st.
Freezing weather conditions over December and January were detrimental to its installation programme, because many schools and other local authority buildings due to have them fitted were closed down or hard to access.
Tony Barnes, Bglobal’s chief executive expects installation rates to be back on track this year, he said ‘Looking forward, our new contracts and the move to a fixed programme of meter installations in the year ahead with British Gas Business underpins our forward order book for the year to March 31 2011, which is currently more than 75 per cent covered’.
The deal with British Gas confirms their commitment to smart meters, and the significant role they play in improving energy efficiency. Barnes added, ‘The contract also signals British Gas Business’ clear intent to bring on the smart energy revolution and accelerate the benefits of smart metering for UK businesses.’
British Gas currently has around 50,000 smart meters in use, and plans to add a further 100,000 by 2011. To find out more about smart meters, and how they can benefit your business, read our article ‘Smart Meters For Businesses’.
Sources:
http://www.reuters.com/article/idUSLDE6120AF20100203
http://www.makeitcheaper.com/business-energy-news/business-electricity-news/19595923-business-energy-to-benefit-from-smart-meter-roll-out
http://www.thebusinessdesk.com/northwest/news/20848-bglobal-wins-12m-contract-but-warns-on-profits.html?news_section=4148
http://www.rttnews.com/ArticleView.aspx?Id=1198942&SMap=1
