Australia's biggest carbon emitter AGL abruptly announced on Monday the departure of its chairman, CEO and a string of board members, while scrapping a long-planned move to spin off its lucrative coal business.

In a statement to investors, the company said Peter Botten would resign as chairman and Graeme Hunt would step down as CEO when a replacement is found.

Operations at AGL -- Australia's largest energy company -- have been under fierce scrutiny since billionaire green activist Mike Cannon-Brookes tried to buy the firm for about US$6 billion.

AGL rejected the bid in March, saying the offer was "well below the fair value of the company".

Cannon-Brookes, a 42-year-old tech mogul, launched his audacious bid to acquire the company in order to shutter its highly-polluting coal-fired power plants and repurpose the network to focus on renewables.

He had opposed a "demerger" of AGL's coal and retail business, saying if it was allowed to be spun off his takeover would no longer make sense.

Australia is one of the world's largest producers of coal and gas, and during a decade of conservative rule backed the building of new fossil fuel projects.

But Australians -- hit by a series of intense droughts, floods and bushfires -- overwhelmingly support more action to tackle climate change and recently voted in a centre-left government to do just that.

Cannon-Brookes described the news as a "huge day for Australia" and said there was a "better, greener path ahead".

It was also welcomed by environmental group Greenpeace, who said AGL's outgoing leadership had "failed to understand the shifting political landscape towards climate action."

Monash University Energy Institute Director Ariel Liebman said preserving the company whole could help Australia pivot away from fossil fuels.

"The abandonment of the demerger is a great outcome not only for AGL shareholders, as it will preserve shareholder value, but also for energy consumers and Australia's transition to renewable energy," he said.

A split company would have had less clout to raise financing for renewable projects and more incentive to keep coal and gas generators.

"AGL Energy, in its current state, can manage an accelerated retirement of its coal and gas fleet in a much more orderly manner," he added.

arb/lb

AGL RESOURCES

Related Links

Tweet

Thanks for being here; We need your help. The Space Media Network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceMediaNetwork Contributor $5 Billed Once credit card or paypal		SpaceMediaNetwork Monthly Supporter $5 Billed Monthly paypal only

Spain limits air conditioning to save energy
Madrid (AFP) May 26, 2022
Air conditioning in public buildings in Spain must be turned down in the summer under new rules published on Thursday as part of measures to reduce Europe's reliance on Russian energy. Office air conditioning should be set no lower than 27 Celsius (80.6 Fahrenheit) during the warmest months of the year, according to a government decree on energy efficiency. Temperatures often rise above 40 Celsius in the summer across Spain. During the winter offices, will not be heated beyond a maximum of 1 ... read more