Overview

• Chris O’Shea, CEO of Centrica, stated that the expansion of renewable energy under the Contracts for Difference (CfD) scheme will not reduce electricity bills from current levels.
• O’Shea emphasized that renewables may stabilize prices and protect against fossil fuel volatility but will not lead to cost reductions for households.
• The CfD mechanism guarantees renewable energy developers a fixed strike price, with shortfalls covered through consumer bills, limiting potential savings.
• Labour’s 2024 manifesto pledged £300 annual household savings by 2030 through a zero-carbon grid, a claim now challenged by O’Shea’s analysis.
• Opposition figures from Reform UK and the Conservatives criticized net zero policies as ideologically driven, while the government defended renewables as vital for energy security.