Utility Week

4 | 12TH - 18TH APRIL 2019 | UTILITY WEEK Seven days... Shell launches $300m carbon offset plan Royal Dutch Shell is launching a $300 million forestry programme in an attempt to reduce its emissions, at a time when an increasing num- ber of oil companies are investing in carbon offset plans to comply with climate goals. The energy company will spend $300 million over the next three years on projects to store carbon, including large forests in the Neth- erlands and Spain, and will start offering motorists the option of pur- chasing carbon offsets when they buy petrol or diesel at the pump. Financial Times, 8 April Arab states face water emergency Arab states are facing a water sup- ply emergency that they need to co-ordinate an urgent response to, with per capita resources expected to fall by 50 per cent by 2050, the UN Food and Agriculture Organisa- tion (FAO) said on Thursday. The Middle East and North Africa have suffered more than any other region from water scarcity and desertification, problems being complicated by climate change, FAO director general Jose Graziano da Silva told a meeting in Cairo. Reuters, 4 April Pesticides and antibiotics polluting streams across Europe Pesticides and antibiotics are polluting streams across Europe, a study has found. Scientists say the contamination is dangerous for wildlife and may increase the devel- opment of drug-resistant microbes. More than 100 pesticides and 21 drugs were detected in the 29 waterways analysed in ten Euro- pean nations, including the UK. A quarter of the chemicals identi- fied are banned, while half of the streams analysed had at least one pesticide above permitted levels. The Guardian, 8 April National media Centrica says another 500 UK jobs 'at risk' in tough market B ritish Gas owner Centrica has announced that around 500 jobs in the UK are at risk, with 400 looking likely to go in Scotland, because of "growing challenges", including the price cap. Sarwjit Sambhi, who took over as chief executive of Centrica Consumer from Mark Hodges, said: "This difficult decision was made because we need to respond to the growing challenges we face. "Our customers want more from us. Competition is fierce and we're operating under a price cap." As part of the proposals, Centrica has suggested two of its offices in Glasgow will be consolidated. A consultation will be held over the next 45 days, during which time the company will discuss the proposals and seek the views of employees and their representatives. The energy giant is also closing its Canal Street office in Leeds, but said no jobs there are at risk. Centrica said it expects the default price cap to affect profits for this year as it delivered "mixed" financial results for 2018. The firm reported that it shed 742,000 UK energy supply accounts in its preliminary results published in February. Iain Conn, group chief execu- tive, said: "As we enter 2019 the year is a little bit uncertain and it's a little bit different to what we imagined a year ago." He blamed the price cap in the retail sector, lower than expected volumes in the explo- ration and production sector, and nuclear outages. In February last year, Centrica announced the loss of 4,000 jobs, which it put down to competition and the energy price cap. The company's share price is languishing at 20-year lows, and has fallen nearly 35 per cent in the past year alone. AJ "It is disappointing that we have moved to an endgame without mapping the route to how to get there" Mark Horsley, chief executive of Northern Gas Networks, responds to chancellor Philip Hammond's proposed ban on fossil fuel heating systems in new homes from 2025. STORY BY NUMBERS Energy customers' loyalty is low A report by ELLO Media has indicated that 26 per cent of UK consumers do not have a sense of loyalty for their energy provider. 47% believed they gained no benefit from being loyal to a brand. 22% of customers have switched provider in the past year. 80% said price had been a factor in their decision to switch. 18% of 1,000 respondents said British Gas was the brand they felt the most loyalty for. 4% said they felt most loyal to Npower or EDF.

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