British Gas owner Centrica to cap profit to cut energy bills

London: Britain’s largest energy supplier Centrica is planning to voluntarily cap profits in an effort to cut household bills, the Guardian newspaper reported on Saturday, citing CEO Chris O’Shea.

O’Shea said he is keen for British Gas owner Centrica to become the first company to sign up to new, renegotiated contracts with the government on its electricity generation, the newspaper reported. Britain’s new Prime Minister Liz Truss has pledged to cap soaring consumer energy bills for two years, a move she said would protect consumers and businesses.

O’Shea also said that Centrica is willing to switch its five nuclear plants to the new-style contracts. It owns a 20 per cent interest in Britain’s operational nuclear power fleet.

“We are obviously in this business to create value for all of our stakeholders, customers, country colleagues. But it’s not about maximising this year’s profits; it’s about having a long-term sustainable business,” O’Shea was quoted as saying.

Centrica posted a huge rise in first-half profit, boosted by asset sales and soaring energy prices. Its adjusted operating profit for the first six months of 2022 rose to 1.34 billion pounds