I was at an event earlier this week where a UK energy company CEO gave a very engaging speech and answered a wide range of questions. This led me to try to understand the role of an energy company CEO and what’s on their plate. It’s a tough job, and higher profile than it’s ever been.
The level of public scrutiny is extreme, salary details are published, there have been protests outside their homes, and they must withstand brutal questioning by politicians and the media.
A very wide selection of stakeholders each has very specific needs and ways that they want to be engaged with – governments, regulators, customers, employees, suppliers, shareholders, and competitors. Protesters are another group to be treated carefully, and sometimes they become shareholders.
Responsibility for delivering the Energy Transition is at the top of the to-do list. Balancing old and new energy technologies, getting investment, and moderating the pace of change is critical to remaining solvent.
CEOs don’t stay in role long in unprofitable businesses, they must pass on rising energy costs to consumers, whilst retaining a level of profits that keeps shareholders happy and the public accepting.
If they can balance all of this then the rewards can be significant, CEOs can earn tens of times more than their typical employees. In the UK the average pay is £35k, meaning salaries over £1m.
But not everyone that has taken one of these roles has been a saint, has told the truth, or even capable of the scope of this role. There have been many high-profile failures both personally and at a business level. There are understandable reasons for a low level of trust in the community of energy CEOs.
