Kleenheat Gas completed the sale of its east coast liquefied petroleum gas (LPG) business to Elgas Limited (Elgas) on Friday, 20 February 2015; while Kleenheat will continue to operate its LPG business in Western Australia and the Northern Territory, its national LNG operations, and its natural gas and electricity retailing businesses in WA.
The sale of the east coast business was cleared by the Australian Competition and Consumer Commission (ACCC) on Thursday, 18 December after accepting undertakings from Elgas and Kleenheat.
Kleenheat Gas announced its agreement to sell its LPG distribution business in Victoria, South Australia, Queensland, New South Wales, ACT, and Tasmania to Elgas in April 2014.
The sale agreement included Kleenheat Gas’ depots and associated assets, customer contracts and customer assets, and contractual agreements held between Kleenheat and dealers, commission agents, contractors, and suppliers in these states.
To address the ACCC’s competition concerns, Elgas provided the ACCC with divestment undertakings that required Elgas to divest assets in specific regional areas of Victoria, New South Wales, and in the ACT to Origin Energy and Renegade Gas trading as Supagas NSW and Supagas QLD (Supagas).
Specifically, the divestment undertaking required that Elgas on-sell Kleenheat’s LPG business:
in and around areas of Swan Hill, Maryborough, and Warrnambool in Victoria to Origin Energy;
- in and around areas of Tamworth, Griffith, Dubbo, Nowra, Stroud, Moama, and Kempsey in NSW to Supagas; and,
- in Canberra in the ACT to Supagas.
The divestments occurred at the same time Kleenheat completed the transaction with Elgas on 20 February.
We thank all Kleenheat Gas customers for their support.
For all enquiries related to Kleenheat Gas please contact the customer service team on 13 21 80, or visit www.kleenheat.com.au.