Meridian to take over Flick and Z Energy electricity customers

Meridian Energy’s agreement with Z Energy (100% Ampol owned) will see Flick and Z Energy electricity customer contracts and the related hedge book move to Meridian.

Ampol’s divestment of Flick is about strategic fit as Z Energy evolves its strategy to focus on public, business and home EV charging solutions to scale and deliver a strong customer value proposition to support the energy transition, says Meridian, adding the transaction price is NZ$70 million.

“Meridian and Ampol are also working to explore deeper strategic opportunities for customer offers across public charging, business solutions and the management of Z Energy’s growing energy demand.”

The agreement follows Meridian being selected as the preferred party in an open expression of interest process run as part of Ampol’s evolving strategic focus on EV charging solutions.

Flick will also provide transitional services (including customer care, billing, collections, platform management, and migration/transition support) for a NZ$825,000 monthly fee to Meridian for four months with an option to extend to six months.

Flick has a 1.81% market share based on ICPs. The acquisition of Flick will increase Meridian’s market share to 18%, maintaining the company’s position as the fourth largest electricity retailer by ICP, says Meridian.

“We continue to welcome new customers as we grow our retail business,” says Meridian chief customer officer Lisa Hannifin, adding the announcement builds on recent months where the Meridian and Powershop brands have led industry rankings for net growth of connections.

“It’s also significant that this deal comes with a well-constructed hedge book and a commitment to a strategic partnership between Meridian and Ampol where the companies will explore deeper opportunities for customer offers,” she says.

“A key part of this is likely to be helping Z Energy with its EV charging and decarbonisation journey, as well as working together to deliver future offerings to both sets of customers.”