Elsalg

- Many private and business customers came under great pressure in 2022 due to soaring electricity prices, especially in the second half of the year when the energy crisis was at its worst. Even though Verdo saw good growth in the number of new electricity customers in 2022 (both private and business customers), losses on debtors and changes in customer behaviour led to Elsalg ending with a loss in 2022 of DKK 11 million after tax.

- Changes in customer behaviour ended up being expensive for Elsalg. Many customers reacted to the high electricity prices by switching from fixed-price to variable-price products, where they could use power when it was cheapest. Elsalg also experienced a significant gap between attained prices and spot prices for a quarter, and a significant drop in consumption of electricity by customers during the autumn. Overall, this meant that too much electricity had been purchased, and at prices that were too high.

- A re-organisation was undertaken in Verdo in 2022, with the establishment of a Sales and Customer Centre, where sales and product development for electricity sales and charging stations were separated from Energi & Forsyning. Instead, a new unit was created where both large and small private and business electricity customers will be serviced. This provides a better framework for a range of integrated solutions, and will help ensure a strong foundation for development of the electricity customer business in the years ahead, and the possibility to later add new products and services, with electricity consumption as the core.

- Verdo’s charging station concept underwent a complete redesign in 2022. From Q1 2023, Verdo can now enter the market with a much more customer-oriented and competitive concept.

- There has also been a focus on developing a new partner strategy during the past year, so that Elsalg can offer additional and more relevant value-creating products to customers in the future.

Number of calls to the customer centre per day during the busiest weeks of 2022 (weeks 43 and 44): 6,200-6,800 calls/week – i.e. an average of 1,300 calls/day

A ‘normal’ week before the energy crisis: 200 calls/day (300 calls/day during busy weeks)

Number of customers in the queue at its worst: · over 100 customers (140-150)

Normal day: 2-8 customers in the queue

Response time for phone calls: Average waiting time: 55-75 min. (3-6 min. on a normal day)

During autumn 2022: Doubled the number of customer service staff

RATIOS: Elsalg

- Midtjysk Elhandel A/S was finally merged into Verdo Go Green A/S (Elsalg) in May 2022. All private and business electricity trading customers were thereby gathered in one place.

- The customer centre came under extreme pressure from customer enquiries due to the high electricity prices, especially in the second half of 2022. The customer centre had long response times on all channels, and also faced system challenges, for example with the self-service My Verdo app, for which the number of logins had markedly increased from a total of 177,000 in 2021 to 875,000 in 2022.

- Yet the customer centre managed to service a large number of customers by phone, email and chat, as well as via physical customer meetings throughout the year. At no time was the facility for customers to contact Verdo

The table covers: Verdo Go Green A/S (incl. Midtjysk Elhandel A/S, which was merged into Verdo Go Green A/S on 1 January 2022) closed. The level of customer enquiries stabilised after the autumn and winter, but we are seeing new customer behaviour. The number of enquiries is generally higher than before the energy crisis, because customers have become more interested in their energy consumption and bills and are asking more questions. We need to be able to continue to handle this behaviour in the future. We are therefore looking to optimise our solutions in 2023, so we can provide the best possible advice to our customers and meet our goal of making it easy to be a customer at Verdo.

- The goal for 2023 is continued growth in sales to current customers and in the number of new customers. We also aim to introduce at least one new product to customers. The first new product will be the new concept for charging systems, to be launched in Q1 2023.

Summary of the Corporate Social Responsibility (CSR) Report