Administrators appointed to CNG Energy Limited, CNG Electricity Limited and CNG Central Services Co Limited

Administrators appointed to CNG Energy Limited, CNG Electricity Limited and CNG Central Services Co Limited

Andrew Stone and Will Wright from Interpath Advisory were appointed joint administrators of CNG Energy Limited, CNG Electricity Limited and CNG Central Services Co Limited (‘the companies’) on 30 November 2021.

Based in Harrogate, Yorkshire, the companies supplied electricity and gas to approximately 41,000 non-domestic customers across the UK. Combined, the companies employed 137 people.

As a direct result of well-publicised challenging trading conditions, including recent surges in the wholesale prices of gas and electricity, the board of CNG  undertook a strategic review of both its wholesale shipping and retail divisions. With no viable offers for the retail division forthcoming, and following consultation with key stakeholders, the directors opted to initiate a Supplier of Last Resort (‘SOLR‘) process for CNG Energy Limited and CNG Electricity Limited, respectively.

Ofgem appointed Pozitive Energy as the SOLR on 7 November 2021 and all customers have been transferred as of this date.

Regrettably, following the appointment of the joint administrators, 98 members of staff have been made redundant.  A further 39 employees have been retained by the joint administrators to assist with ensuring an orderly transition of customers to Pozitive Energy and the completion of the final billing process.

Andrew Stone, Joint Administrator and Managing Director at Interpath Advisory, said: “These are tumultuous times for the energy sector, with CNG’s retail division following a large number of other retail suppliers into a SOLR process.”

“Our priority over the coming days is to assist those members of staff who have been affected by redundancy, as well as working closely with Pozitive Energy to facilitate a smooth transition for CNG customers.”

CNG’s wholesale shipping business continues to operate with the support of its stakeholders as it concludes a managed wind-down and seeks to exit the market.

 


Contact us

For more information, contact Katy Broomhead at katy.broomhead@interpathadvisory.com