The owner of British Gas, Centrica PLC (LSE:CNA), is reportedly mulling an offer for the customer list of bust gas and electricity supplier Bulb, easing the burden currently being borne by taxpayers.
According to the Telegraph, Centrica has made an offer to buy Bulb’s customers but not its brand, offices and staff following its collapse in November, which prompted a £1.7bn government bail-out, although further funding is expected to be provided due to the impact of war in Ukraine.
Masdar, the Abu Dhabi clean energy company has also put in a bid for the whole business according to the Sunday Times.
Centrica and Masdar were the only two of six companies who expressed enough of an interest to put forward non-binding bids when the sale process began in April.
However, Centrica’s offer faces some potentially significant barriers after the Telegraph said it had asked for government support to assist in buying Bulb.
Currently, Bulb’s 1.7mln customers are being run under a taxpayer-funded special administration.
News over the weekend also suggested Bulb, the UK’s seventh-largest energy supplier, has been using government support to pay millions in bonuses to stop key members of staff from leaving.
Hayden Wood, founder and chief executive, last week also revealed that he was still receiving his £250,000 salary.
He told MPs he has been kept on to support the government's efforts to offload the energy company, though was asked if his salary was “morally justifiable” by Labour member Andy McDonald.