Gas firm invests in 1,500 recruits
Feb 27 2009 by Iain Laing, The Journal
ENERGY group Centrica has unveiled plans to create about 1,500 engineering and “green” jobs at British Gas this year as part of a £15bn investment plan.
The company said the figure included roles such as energy efficiency advisers and wind farm jobs as well as 1,000 service engineers.
But it said a big rise in the cost of wholesale gas had sent profits at its British Gas residential arm down 34% to £379m last year from £571m a year earlier. Estimated market share also slid from 46.4% in 2007 to 43.5% last year for the gas business.
Centrica said it had made a total operating profit of £1.94bn in the year to December 31 across its businesses, but a tax rise meant it had paid out about £1bn. Profits were down partly because it had passed on only part of rising energy costs to customers.
British Gas customers paid on average more than £400 extra for gas and electricity last year after two rounds of price rises, but the division cut its standard gas tariffs by 10% this year in the wake of falling energy costs. The company, which expects gradual decline over time in the use of gas in the UK, plans to invest £15bn in offshore wind, nuclear generation, gas production and gas storage by 2020.
It said: “These investments, coupled with an increasing demand for energy efficiency products and services among our residential and business customers, will lead to the creation of around 1,500 new skilled, mainly ‘green collar’ jobs in the next year.”
The group said the engineering jobs would be in the residential servicing division, which installs and maintains boilers and advises on electrical appliances. A spokesman said: “We have seen quite a big demand for fuel-efficient boilers as people become more conscious to reduce their energy usage.”
The remaining 500 roles will include energy efficiency advisers as well as staff connected with its work in offshore wind farms and gas production.
It said it planned to combine its British Gas residential, business and services divisions into a single organisation to increase efficiency.
The company also announced a £1.2bn investment to convert the Baird gas field in the southern North Sea into the UK’s second-largest gas store.
GMB national secretary Gary Smith said: “GMB is really positive that a British company is going to champion the creation of green collar jobs.”
