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The Markets
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Energy

ScottishPower results show customers have slashed gas usage

ScottishPower reported customers slashed gas usage as prices rose last year, hitting its retail business

A slump in gas usage was reported by ScottishPower for the past year, sparking it to suggested the only way out of the energy crisis is to invest in clean energy.

The retail wing of the energy company, which is owned by Spain's Iberdrola, noted an 18.3% fall in gas consumption in 2022.

ScottishPower’s underlying profits rose 3.6% to £1.6bn, although its retail business recorded an £18mln loss as customers reeled in spending after the Ukraine war led to a spike in gas prices.

Wholesale gas prices rose over 110% between February and August last year, following the start of the war, particularly hitting the UK, which heavily relies on the fuel to provide around 40% of its electricity and heat 85% of its homes.

ScottishPower boss Keith Anderson called on the sector to shift towards cleaner renewables, commenting: “The extreme volatility in the energy market has reinforced the urgent need to decarbonise.”

He suggested the only way out of the energy crisis was to invest in “clean energy and green grids”.

Iberdrola has plans to ramp up renewable electricity production by installing 2.3GW (per hour) of solar power in the UK by 2026, compared to 7GW from this source in the past year, out of a wider group total 7,823GW from renewables.

Iberdrola invested £1.3bn into its UK operations last year, out of €10.73bn of total spending.

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