Alistair Phillips-Davies has insisted the Labour Party’s nationalisation plans should treat energy networks differently to water because of the “huge difference” on performance issues.
Speaking in an interview with the Financial Times, the SSE boss said Labour’s plans to take the networks back into state ownership would “significantly delay” changes needed to meet the UK’s 2050 net zero target.
Earlier this year Labour published details on its proposals for publicly owned energy networks in a document entitled Bringing Energy Home.
Phillips-Davies said: “I think the bit about state control would be a huge, huge mistake, it would significantly delay what people want to (sic) so ultimately I don’t think people will go there and I think we will persuade them that’s absolutely the wrong thing to do.”
He added there was “absolutely no doubt” energy networks were different from other industries that are also in Labour’s sights, in particular the water industry.
The energy chief added: “Some of the owners in the water industry have obviously stripped those companies of dividends.
“There’s a huge difference between the performance of some — not all — water companies . . . and what I think the bulk of the electricity industry has done.”
Labour’s plans have also been criticised by the Liberal Democrats.
The party’s election manifesto, which was launched today (20 November), slammed Labour’s plans to renationalise utilities as “disruptive’, “costly” and “pointless”.
Utility Week’s own manifesto, set out earlier this week, calls on the next government to end any further discussion on nationalising parts of the sector and instead encourage public and private companies to work towards shared goals.