SSE: Vertically integrated model is ‘antithesis’ of greenwashing

Supplying power via a vertically integrated business model provides the best solution to greenwashing, an SSE executive has said.

Nikki Flanders, managing director of SSE’s customer services division, was speaking to Utility Week after the company recently announced its new business arm was supplying customers with 100 per cent “traceable” renewable power as standard for its non-domestic customers.

Flanders said the vertically integrated model used by SSE, whereby the company supplies power from its own generation assets, is the clearest way to communicate the source of green power to customers.

She said: “The vertically integrated model is the antithesis of greenwashing, it is really clearly stating where the power is coming from. An integrated energy company gives you a much better opportunity to be able to do that. In working with our sister company SSE Renewables we understand their pipeline and capacity rather than having to deal at arms’ length with the developer.

“Actually being able to link that generation to our propositions enables us to say very clearly this is UK wind and hydro and we have all the certification to be able to demonstrate that.

“Equally, to be balanced about it, for our competitors who are being very transparent with their customers about how they are offsetting – it is then down to customer choice. Where I feel aggrieved on behalf of customers is when it’s not clear.”

Flanders said while there was a case for offsetting emissions by planting trees, it was not enough in its own to reach net zero.

She added: “There’s a need for multiple actions in terms of net zero but in order for us to get there renewable generation has to be built .

“A good demonstration of this is tree planting, which is often used as a carbon offset. A needed action in itself but it won’t get us to net zero alone; research shows that in order to get to net zero we would need to plant the amount of trees covering a landmass five times the size of India.

“Let’s be completely frank, it’s important that customers understand how green tariffs and carbon offsets work and that they are clearly informed on what it is they are actually buying.”