CEOs across Europe are adjusting ESG timescales following volatile energy markets

New research commissioned by energy solutions specialist, Aggreko, has revealed that CEOs across key European countries are adjusting timescales and investment around net zero goals in a bid to balance profitability and sustainability in a volatile energy market.

The survey of 400 CEOs in charge of companies with turnover above €200 million from across the UK, Germany, France and Italy has revealed the majority of respondents (95 per cent) have changed their net zero timescales in light of energy supply and pricing issues. As other pressures face leaders, only 12 per cent of respondents claimed that speed of decarbonisation was their top priority, with most claiming reducing energy costs and delivering commercial advantage were among the top priorities.

The research – presented in Aggreko’s latest report Rebalancing the Energy Transition – has also revealed that intention to invest in energy transitions is still present, with 80 per cent expecting to increase investment in the next 12 months. However as balancing cost and commercial viability with ESG goals continues to pose a challenge, most investment increase will only be marginal.

With access to finance being a challenge, Aggreko is raising the need for companies to lean on their supply chains to help meet the requirements of the energy transition in the timescales needed – all while balancing profitability with ESG goals. The company has launched this latest report to give leaders insights for navigating the energy transition into the future.

Robert Wells, Aggreko’s Europe President, said: “It is not surprising that our research has uncovered leaders across Europe are looking for change when it comes to their energy supply chain. In a tough economic landscape, grid instability and connection delays, price uncertainty and looming ESG targets are impacting many businesses’ energy transitions.

“With appetite for decentralisation and alternative power agreements on the rise, we have launched our report to help leaders understand the market and how it is evolving, in addition to the procurement methods at their disposal. Key to this is providing access to solutions that ensure that high energy using industries can remain profitable during their energy transition without compromising on ESG commitments.”