Energy crisis continues with CNG Energy’s retail arm on the brink of collapse
CNG Energy’s retail arm is on the verge of collapse.
The embattled firm is close to falling into the infamous supplier of last resort process, according to Sky News.
The supplier provides energy only to commercial clients.
It is responsible for 45,000 customers, including schools, hairdressers, hotels and restaurants.
If it ceases trading, it will be the 14th provider to collapse in the last three months alone.
With wholesale gas prices soaring following global shortages, the price cap is requiring UK energy firms to charge less for gas than it costs them to supply it.
Four have ceased trading in the previous two weeks, including Pure Planet, Colorado Energy, Daligas and Goto Energy.
Sky News reports the retail arm’s collapse is almost inevitable after CNG failed to receive any viable bids.
CNG also remains in talks with industry stakeholders including Glencore to create an orderly outcome for its wholesale clients.
Its clients are said to include Opal, Zebra, Entice and Osso.