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Centrica’s chief executive, Chris O’Shea, has expressed his worries about the future of energy sector employment in Scotland, despite having lived away from the region for many years. His main concern centers on the rapid decline of jobs linked to North Sea oil and gas extraction, alongside the transition towards greener energy sources. O’Shea fears that new opportunities in renewables may not emerge swiftly enough to compensate for the workforce reductions in traditional fossil fuel industries.
During an extensive interview, O’Shea reflected on the turbulent recent history of the energy sector. Periods of soaring wholesale energy prices led to sharp increases in household bills, alongside record dividends for shareholders and substantial compensation for executives, including himself. British Gas also faced criticism over the force-installation of prepayment meters for vulnerable customers struggling with payments—a practice the company has since ceased. The CEO highlighted alarming job cuts in key industry players such as Harbour Energy and the Port of Aberdeen, both responding to a steep downturn in North Sea activity.
O’Shea emphasized the necessity of the transition to green energy but questioned the speed at which it is proceeding. Drawing from his childhood experience growing up in a Scottish mining town, he recounted the long-lasting negative impact when coal mines closed, leaving well-paid workers unemployed and entire communities affected for generations. He expressed a strong desire to avoid repeating such economic and social hardship during the current energy shift. Despite leading Centrica through workforce reductions in 2020 amid the pandemic, he points to recent efforts including the recruitment of 1,700 apprentices, with plans to continue adding one apprentice every day throughout the decade.
The CEO also weighed in on regulatory challenges faced by the energy market. The collapse of many small suppliers during periods of volatile prices was, in his view, a failure of regulation, with Ofgem criticized for not enforcing financial safeguards more rigorously. O’Shea argued against a system that privatizes profits while socializing losses. Regarding his own earnings and shareholder dividends amid high consumer bills, he explained that returns to investors stem largely from parts of Centrica’s business outside British Gas’s retail operations, which are subject to strict profit caps. Addressing the controversial issue of debt recovery tactics, he reiterated that British Gas no longer engages in force-fitting prepayment meters and called for clearer regulatory guidance on distinguishing between customers unable to pay and those who choose not to.
Finally, O’Shea voiced tentative support for potential government measures to ease energy costs, such as cutting VAT on energy bills. He welcomed any relief for consumers but cautioned that the costs ultimately must be met somehow, reflecting the complex balance between affordability, business sustainability, and the ongoing demands of the energy transition
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