Economic news

Centrica has seen higher demand for energy during the Beast from the east colds

Centrica that owns British Gas has reported its profits go to plan, as the Beast from the east that brought colds to the country caused rise in demand but increased callout costs for reparatory works.

Britain’s largest energy provider was swamped with work for boiler repairs and registered the busiest week in that regard at the time of unusually cold weather in February and March, which resulted in callout costs that are going to decrease the first 6 months profits of its services unit year-on-year.

Though Centrica has to a large degree left oil and gas extraction, as well as massive power production, it’s worth mentioning that Morecambe Bay gas field that belongs to the company experienced outages. It also owns 20% in the British nuclear power fleet that is going to face difficulties in the current year too as one reactor was taken offline for a period of time in connection to some cracks found in it.

The company though said this year’s objectives will likely be reached, among which paying out dividends of 12p for a share. It also said that the £1.25 bln-a-year cost reduction plan is going well and they’ve made good progress. Out of 4,000 jobs to be shed, around 1,000 will be cut in 2018.

To leave a comment you must or Join us

More news

Back to economic news list

By visiting our website and services, you agree to the conditions of use of cookies. Learn more
I agree