Ex-Gurkha’s energy firm Gnergy in struggle for survival as it owes £674,000 in ‘green taxes’
An energy firm founded by a former Gurkha is scrambling to pay a huge bill to avoid being stripped of its licence to supply thousands of homes.
Hampshire-based Gnergy, set up by retired Army major Tikendra Dewan, is now two months late paying £673,877 in ‘green taxes’ to regulator Ofgem.
Its renewables obligation certificates bill was due by October 31 – but last night the company confirmed it is still seeking the funds.
Hampshire-based Gnergy, set up by retired Army major Tikendra Dewan, is now two months late paying £673,877 in ‘green taxes’ to regulator Ofgem
Ofgem could start proceedings to revoke Gnergy’s energy supply licence at any time. The firm has about 10,000 customers across the UK who would be hit by a collapse.
Gnergy asked Ofgem if it could pay the charge in instalments, but its request was refused. However, the regulator has agreed to a temporary stay of execution following talks with Gnergy bosses, who have given assurances that funds are on their way.
Dewan declined to name the investor, but said the funds were likely to arrive within days.
Gnergy is expected to post a loss of between £100,000 and £200,000 in its accounts for the year to March 2019. Dewan added: ‘Gnergy is in the process of resolving its payment with Ofgem and is confident it will not have its energy licence revoked.’
Breeze Energy also missed the October 31 deadline to pay its £486,232 renewables obligation bill. The Newcastle-based supplier went bust last week leaving 18,000 domestic customers in limbo.
Nine small energy suppliers have exited the market this year.