Today, Royal Dutch Shell announced it would buy renewable energy retailer Inspire Energy Capital LLC. Particularly, this move comes as the European major looks to expand its renewable power business in the United States.
Read more of our news content, here; WEC Energy announces 90% ownership of Wind Power project in IL
Shell on the acquisition
According to Reuters, the deal advances Shell’s strategy to build and scale renewable and low-carbon businesses. Therefore, with a target to become a net-zero emissions energy business by 2050, the company’s unit Shell New Energies U.S., agreed on this acquisition.
In fact, Shell has been seeking ways to accelerate its energy transition strategy. Also, to deepen carbon emission cuts following a landmark Dutch court ruling in May.
Particularly, like other oil companies, Shell has received increasing investor pressure to slash planet-warming greenhouse gas emissions. Accordingly, it plans to expand its spending on renewables and low carbon technologies to up to 25% of its overall budget by 2025.
About Inspire Energy
On the other hand, Inspire Energy currently serves about 235,000 residential customers in Delaware, Illinois, Massachusetts, Maryland, New Jersey, New York, Ohio, Pennsylvania, and Washington DC. Thus, the company will add to Shell’s existing position as a power supplier to residential customers in the United States; alongside, for instance, MP2 Energy.
Lastly, it is worth noting that the deal could reach close in the fourth quarter of this year.
