Chris O’Shea, the CEO of Centrica, which owns British Gas, expressed concerns regarding the future of the energy industry in Scotland, noting that he has not lived in the region for decades. He highlighted the potential job losses stemming from the decline of gas and oil drilling in the North Sea and emphasized that the transition to green energy may not generate jobs quickly enough to replace those lost.
O’Shea’s comments follow recent struggles in the energy sector, marked by rising energy prices that have led to increased household bills, substantial dividends for shareholders, and high compensation for executives, including himself. British Gas has also faced scrutiny over allegations of forcibly installing prepayment meters in homes of vulnerable individuals—a practice he claims the company no longer engages in.
O’Shea articulated his primary concern about the decline in employment opportunities within the North Sea oil and gas sector. He referenced job cuts announced by Harbour Energy and significant layoffs at the Port of Aberdeen due to reduced activity in the industry. While he acknowledges the necessity of the energy transition, he questions the speed at which it needs to occur, drawing from personal experiences in Fife during the coal mine closures.
He recounted difficulties finding employment after university, reflecting on the transformative impact of securing a job that suited him. O’Shea is not unfamiliar with workforce reductions, having overseen the elimination of nearly 5,000 positions during the COVID-19 pandemic to ensure the company’s survival.
Centrica has since pledged to hire apprentices consistently throughout the decade. The CEO criticized the regulatory framework that allowed many smaller energy suppliers to collapse amidst rising wholesale prices, arguing for improved oversight by the energy regulator, Ofgem. He contended that profits and losses should be distributed more equitably.
In light of rising energy bills, O’Shea defended substantial payouts to shareholders, asserting that they stem from various segments of Centrica’s diversified operations rather than directly from British Gas, which is limited in profitability. He expressed support for initiatives aimed at reducing energy costs for consumers, although he cautioned that such measures would require funding.
Source: https://www.bbc.com/news/articles/cr437w9nr96o?at_medium=RSS&at_campaign=rss