Tesco beats rival with Norweb deal to plug into the gas market
Saturday 14 February 1998
The UK's largest supermarket group has signed a deal with Energi, the domestic fuel brand launched last year by Norweb, United Utilities' electricity arm. Tesco Clubcard customers who register for the scheme before 1 May will received 1000 bonus points, worth pounds 10, if they sign up to switch from British Gas to Energi.
Mike Brindle, marketing director for Energi, said the scheme would also apply to electricity customers when the domestic market finally opens to competition from the Autumn. The roll-out of domestic gas competition, which began in 1996, will be completed by 23 May under a controversial accelerated timetable from Ofgas, the industry watchdog.
Energi said Clubcard customers would get savings of up to 20 per cent on their gas bills, worth around pounds 60 off an average pounds 300 household bill. Details of the deal were confidential, although Norweb is funding customers' extra Clubcard points earned for every extra pound of their bills.
Several independent gas suppliers are thought to have courted Tesco and the other supermarkets to use their loyalty card databases. Tesco last year looked closely at forming its own gas business, but is believed to have lost interest after adverse publicity about dubious doorstep sales tactics from other gas suppliers.
Tesco will send out the first Energi offers later this month to Clubcard holders, though under data protection rules they have to get in touch with the supplier directly to sign up.
Its choice of Norweb as its partner surprised industry experts yesterday, because Norweb has been slower than ScottishPower or Eastern Group to move into the gas market. However, Norweb said more than 120,000 of its existing electricity customers had signed up to take gas supplies when the market opens to competition on 27 February.
- 1 Planes go hybrid-electric in important step to greener flight
- 4 Hip hop is both racial and political, and for Iggy Azalea to suggest otherwise is insulting
- 5 Man hospitalised with pneumonia after downing eggnog at office Christmas party
British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
Rozanne Duncan: Ukip expels councillor for 'jaw-dropping' comments made in BBC TV interview
Germany anti-Islam protests: 17,000 march on Dresden against 'Islamification of the West'
Ukip member gets into Christmas spirit with Union Flag plea to Santa 'for our country back'
BBC director Danny Cohen: Rising UK antisemitism makes me feel more uncomfortable than ever
Alex Salmond has 'broken his word to the Scottish people' says Scottish Lib Dem leader
iJobs Money & Business
Highly Competitive: Selby Jennings: Our client, a leading European Oil trading...
£43500 per annum + pension + holidays: The Jenrick Group: Night Shift Operatio...
£20000 - £25000 per annum + OTE £40,000 + Car + Pension: SThree: SThree are a ...
£20000 - £25000 per annum + OTE £35K: SThree: We consistently strive to be the...