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    E.ON Sets Up Central Marketing Unit

Summary

E.ON has set up its own centralised procurement and marketing unit for the German, UK and Swedish markets as of July 1, 2017

by: Mark Smedley

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Natural Gas and LNG News, Europe, Corporate, Contracts and tenders, News By Country, Germany, Sweden, United Kingdom

E.ON Sets Up Central Marketing Unit

E.ON has set up its own centralised energy procurement and marketing unit for the German, UK and Swedish markets as of July 1, 2017. Its former energy trading business was transferred to Uniper, which was spun off in September 2016.

In each country E.ON has set up a team of about 20 experts, which will conclude deals for power, natural gas as well as green certificates directly on the markets.

“We will concentrate more on the marketing and optimisation of flexibilities created by the growing integration of our customers’ decentral[ised] generation and storage capacities,” E.ON senior vice president for energy management Sven Otten said. 

As of now, E.ON is doing business again on the key energy wholesale markets in Germany, the UK and Sweden, includng bilateral deals with other energy companies as well as transactions on energy exchanges such as EPEX Spot, PEGAS, ICE, Nord Pool and Nasdaq Nordic. E.ON entered the Hungarian and Czech markets on October 1, 2016 and January 1, 2017, respectively. In Italy, its market entry is planned for January 1, 2018.

"E.ON's announcement is fully in line with what was agreed between E.ON and Uniper during the spin off process," a Uniper spokesperson told NGW: . "E.ON had decided to build up own capabilities for energy procurement. In the meantime Uniper has supported -- and in Italy as specified will still support --  E.ON with these services until E.ON has built its own capabilities. E.ON and Uniper of course may and will continue to trade as normal independent counterparties on a case by case basis."

 

Mark Smedley