BP buys US electric vehicle charging provider Amply Power

BP announced Wednesday it acquired US electric vehicle charging provider Amply Power in the company’s first major push in the US to establish an electric charging network.

The British oil and gas company plans to double the $5 million in earnings it made in 2019 from its global convenience and mobility businesses by 2030 and deliver returns of 15 per cent to 20 per cent as it plans to grow its global network of EV charging points to more than 70,000 from 11,000 today.

The acquisition of the California-based Amply Power, for an undisclosed sum, will allow the American electric vehicle company to continue to operate independently as part of BP’s global portfolio of businesses.

Richard Bartlett, senior vice president, future mobility and solutions at BP, said the company is aiming to speed up electrification in the fast-growing fleet segment, “which is key to lowering emissions from the transport sector – the largest contributor to greenhouse gas emissions in the US”.

“As we continue to invest in new forms of infrastructure and technology to serve our global fleet customers, Amply Power provides an ideal opportunity to build our EV business in the US,” he said.

Electrification is at the centre of energy-transition plans for Europe’s oil majors, BP and Royal Dutch Shell, which are are under increasing pressure from investors and consumers to stay abreast with the global shift to low-carbon energy.

Both companies have now focused on a growing adoption of electric vehicles by investing in charging networks in the UK and Germany.

British new car registrations for battery electric vehicles, for example, doubled in November to 18.8 per cent of all car registrations in November, from 9.1 per cent a year ago, according to the Society of Motor Manufacturers and Traders.

Founded in 2018, Amply Power has raised about $14 million in funding and provides commercial vehicle operators with charging infrastructure, software and services to charge fleets that operate lorries, transit and school buses, vans and light-duty vehicles.

Vic Shao, founder and chief executive of the electric charging firm, said it aims to accelerate the transition to electric-powered fleets by offering easy and cost-effective for operators to use EVs.

“Now, with support and backing from BP, we can scale our approach to reach new markets while bringing our unique expertise to BP’s broader electric fleet initiatives,” Mr Shao said.

While BP already operates car charging points in the US, the acquisition is a first step into EV fleet charging in the country.

Last week, BP said it plans to set up a large-scale green hydrogen production plant in Teeside in north-east England, generated with wind, water and solar energy to boost Britain's transition from fossil fuels.