Economy & Politics

The current no longer passes between Enovos and the craftsmen

It looks like David versus Goliath. But at the Federation of Craftsmen we intend to fight against the main electricity supplier which is gradually undermining the activity of electricians, heating engineers and integrators



It sounds like David versus Goliath. But at the Federation of Craftsmen we intend to fight against the main electricity supplier who is gradually undermining the activity of electricians, heating engineers and integrators

“No company in the country has such a dominant position.” Before leaving the head of the Federation of Craftsmen to take the chair of head of the Union des entreprises du Luxembourg (on January 1), Michel Reckinger still has a fight to wage. And his opponent is a heavyweight: Enovos, and his holding company Encevo. For several years now, the supplier of gas and electricity has gradually encroached on the activity of SMEs in the energy sector. To the point today of making the heads of the Technical Engineering Federation which oversees its professionals go wild.

Thus, Enovos Services continues to grow. In 2018, it acquired the engineering company Paul Wagner et fils. Then, it got its hands on the most important Luxembourg supplier of control system distribution panels, Powerpanels. And recently, Minusines has fallen into its purse. Either the leading distributor in the market from which many engineering companies source their materials. “In short, this company controls everything from start to finish. And we risk having nothing more than crumbs, ”worries Marc Thein, president of the FGT.

The parent company of energy supplier Enovos ended the year with a net profit of 67.9 million euros, it said on Wednesday. This should not be the case in 2020 since the group expects to have a difficult year following the negative impact of the covid-19 pandemic on the economy.

The situation is all the more critical as Enovos has a perfect knowledge of customers. Their consumption and therefore the solutions to offer them to achieve some savings. “As the company also has BCEE in its shareholding, it can even offer financing solutions at unbeatable rates for work that it will carry out itself, equipment that it will provide, according to plans that it will have carried out . ” A voracity that makes you tremble artisans, more than it inspires respect.

Already two years ago, the Federation of Craftsmen had denounced this situation to the Competition Council. Complaint rejected because, in Luxembourg, there is no legal basis to oppose possible industrial concentration. “Today, recent acquisitions have further exacerbated Enovos’ dominant position in the market, with the considerable risk ofa new market distortion», Argues Marc Thein.

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But for several weeks, the boss of SOCOM (and therefore spokesperson for several hundred medium-sized companies active in the energy sector) has struggled to be heard by the authorities. Starting with the State, the main shareholder of Enovos. “We are thrown from ministry to ministry. Turmes (Energy) told me to go see Fayot (Economy). His services referred me to Delles (Middle class) but I think it will end at Kersch (Work) … “

A confusing double game

Of course, Enovos needs the money. To develop its network, ensure the energy transition but also pay its private shareholders. But, according to the Federation of Craftsmen, the public authorities should review its strategy which undermines part of the country’s economic activity. “The government itself regularly stresses the central importance of a diverse and dynamic craftsmanship in the implementation of energy recovery. Why is the government playing this double game with Enovos, which, instead of acting as a partner, is in competition with small and medium-sized enterprises? ”Question the FDA and FGT.

And Michel Reckinger to call for an urgent review of the competition rules in force in the country. “The survival of dozens of electricians, photovoltaic installers, heat pumps, low-current integrators, but also proposals for apprenticeship positions is at stake,” concludes excitedly Marc Thein.

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