Orimattilan Lämpö has agreed to sell its natural gas business to Suomen Kaasuenergia. Natural gas distribution and sales operations will transfer to the Suomen Kaasuenergia Group at the beginning of July.
The transaction supports both companies’ long-term objectives. Suomen Kaasuenergia is Finland’s largest gas distribution company, with a strategy focused on natural gas and biogas distribution and sales. When the natural gas market opens to competition at the start of 2020, it will be able to offer customers a wide range of products at competitive prices. Orimattilan Lämpö’s core business is district heating and heating solutions for individual properties in the Orimattila area. Selling the natural gas business will allow it to focus its resources more closely on its core expertise.
“Natural gas will remain part of Orimattila’s district heat production, but our small volumes would have made operating in the new natural gas market very challenging. We believe Suomen Kaasuenergia is better placed to meet these challenges and serve our current customers efficiently with a wide range of services,” explains Orimattilan Lämpö CEO Mikko Paajanen.
The sale has no immediate effect on Orimattilan Lämpö’s natural gas customers. The new operator will be responsible for deliveries and related obligations under the existing agreements.
“We warmly welcome Orimattilan Lämpö’s gas customers to Suomen Kaasuenergia. Every gas customer is important to us—and, if possible, even more so as the market changes,” says Suomen Kaasuenergia CEO Mika Paloranta.
Orimattilan Lämpö will continue customer service and billing until the end of September at the latest. Billing will then transfer automatically to the new owner without any action by customers. Changes to contact details will be announced later. Contact details for disruptions, including the district heating and natural gas emergency number 044 781 3628, will remain unchanged until the end of August.
Orimattilan Lämpö was founded in 1983 and specialises in district heat-only production and local natural gas distribution. Alongside its core operations, the company offers renewable heating solutions outside its own networks. In 2018, its revenue was approximately €3.8 million. www.orimattilanlampo.fi
Suomen Kaasuenergia is a Finnish energy group that sells and supplies clean natural gas and biogas to industry, heating plants, properties, developers, housing companies, restaurants and consumers. It believes in the competitiveness of natural gas and biogas as clean fuels that are superior for many applications. Retail and distribution operations are divided between three companies: Suomen Kaasuenergia handles gas sales, Auris Kaasunjakelu gas distribution and Auris Energiaratkaisut heating solutions for industry and properties. The companies operate in 18 locations in southern Finland and together are Finland’s largest gas retailer and distributor. Their combined revenue in 2018 was approximately €49 million. www.suomenkaasuenergia.fi
Further information:
Suomen Kaasuenergia:
Mika Paloranta, CEO, tel. 050 452 4138
Orimattilan Lämpö:
Mikko Paajanen, CEO, tel. 044 781 3611