NewMotion operates over 50,000 public EV charging points
On Thursday, Royal Dutch Shell announced it will buy NewMotion, one of Europe’s largest electric vehicle charging networks.
NewMotion provides access to a network of public and private charge points in 25 European countries.
Sytse Zuidema, NewMotion’s chief executive said in a news release that “We are excited that our ongoing mission and belief in a transition towards less-polluting transport source has been endorsed so strongly by Shell, one of the world’s leading energy companies.”
The sale is a significant shift by a big oil company into the EV recharging market, which is expected to mushroom in the coming years. Shell has provided charging points for EVs at some of its retail locations and the NewMotion purchase will add to its array of products.
Matthew Tipper, Shell vice president for new fuels said “We recognize that one of the themes of the energy transition is going to be electrification.” He added “As our heritage is fuel supply, the obvious place to start is battery electric vehicles . . . and that technology is accelerating.”
The NewMotion sale will allow Shell to supply EV charging services to customers at their public charging stations and in their homes and workplaces.
Zuidema said “at least 80 per cent” of EV charging is expected to occur at customers’ homes and offices.
“Our core business is turning parking spaces into fuel stations,” said Zuidema.
Shell declined to comment on the size of the deal. Matthew Tipper, however, said it was “not large in the context of (Shell’s) overall capital spend”. According to the Financial Post, Shell’s capital budget is more than $25 billion annually.
Shell has forecast that the demand for oil could peak in the coming decade which will be a massive challenge for the industry. Shell’s shift into EV charging points will allow the company to pivot away from fossil fuels and provide cleaner energy alternatives to its customers.
“Today’s announcement is an early step towards ensuring customers can access a range of refuelling choices over the coming decades,” said Tipper.
Shell is also developing other alternative fuels, including hydrogen and liquified petroleum gas and is positioning itself as a large producer and trader of natural gas.
NewMotion services will continue to operate under its own branding.
