Actions will speak louder than government words on energy transition - ​​Sophie Randles

Foreign Secretary David Lammy recently described climate change as a greater threat to UK foreign policy than terrorism or Vladimir Putin. On home soil, the rhetoric is equally strong from the UK Government as it outlines a blueprint for energy transition.

Prime Minister Sir Keir Starmer’s confirmation that Aberdeen will be home to GB Energy makes the North East central to its plans to make the UK a green energy superpower. However, the real focus will be on how the new government delivers that change, rather than what it says about it.

In partnership with SCF Partners, we hosted key senior figures from across the UK’s energy industry, representing different parts of the energy transition – energy companies, engineering, legal, professional services, and more – at a roundtable event in Aberdeen this month. The overwhelming consensus at the Livingston James Energy Transition Dinner was that the energy transition – whether driven by GB Energy or otherwise – must be guided by those with the experience and expertise to manage change at this scale.

Sophie Randles is a director at executive search company Livingston James (Picture: Nick Mailer)

While there was plenty of optimism around the transition in the North East, attendees at the event emphasised that a huge amount of effort and change is still required to set it up for success.

A quick spot check asked attendees to rate the progress of the energy transition out of ten. Most answered around seven, but that score was stress tested when the roundtable chair Professor Paul de Leeuw, from Robert Gordon University, outlined the scale of the opportunities and challenges ahead. For instance, net zero by 2030 should no longer be considered an achievable target.

Another issue is the uncertainty surrounding nuclear power, considered essential by the industry for the transition, but viewed as problematic by campaigners.

At one point in the conversation, we looked at the National Grid app, which shows how much of the UK is powered by different sources at any given time. At 7pm on that evening, 76 per cent of the UK’s energy was supplied by nuclear. The question was raised – what happens if we turn that off, and what will happen to Scotland?

​The next five years will be pivotal in the UK’s energy transition (Picture: Ian Forsyth/Getty Images)

Whether ideologically opposed to or politically wary of nuclear energy, it remains crucial for a successful energy transition.

Putting these challenges under the microscope highlights that – through the frustration – shines the opportunity and necessity to innovate and do things differently.

The next five years will be pivotal in the UK’s energy transition. To make it successful, GB Energy and all companies involved must be innovative, agile, and strategic. New skills will be required both within and outside the industry, and strong leadership will be necessary to unite these efforts and navigate the challenging years ahead.

Aberdeen and the North East of Scotland have traditionally been a hub for top executive talent, a place where, driven by a thriving oil and gas industry, emerging leaders across the UK and internationally aimed to fast-track their careers.

Now, as the energy landscape in Aberdeen, the North East, and across Scotland evolves and higher taxation becomes a genuine issue, companies must seek modern leaders and find new ways to attract talent beyond financial compensation alone.

Purpose-driven leaders who prioritise the future of the energy industry and the nation over personal financial gain will be key targets in top executive roles and as NED, as will those with extensive experience in evolving industries.

ESG reporting and the expanding role of CFOs will be essential in an age where accountability and transparency are critical – especially as the European Commission introduces its European Sustainability Reporting Standards (ESRS) for all companies subject to the Corporate Sustainability Reporting Directive (CSRD).

Most importantly, there needs to be close collaboration between the energy industry and the government to create the conditions for the energy transition to progress. If we can strike that balance, then there is every reason to be optimistic. We can then add substance and action to the powerful words we’ve heard.

Sophie Randles is a director at Livingston James, an executive search company that works with organisations across Aberdeen and the North East to find the best talent to lead