E.ON waives retirement age to keep chief

Chairman asked to remain in post to oversee the restructuring of the £9bn energy company

Paul Golby, the long-serving chief executive and chairman of E.ON UK, has been asked to stay beyond the company's retirement age to complete a major restructuring of the £9bn-turnover business.

Energy industry insiders said that Dr Golby had said late last year that he would retire on his 60th birthday this year. However, Dusseldorf-based E.ON has waived its retirement cut-off and asked Dr Golby to continue to lead the 15,000-employee British division.

The major part of the restructuring is the sell-off of UK power distribution networks in a move expected to raise £3.5bn. Hong Kong businessman Li Ka-shing is trying to buy the assets through his Cheung Kong Infrastructure vehicle, although there is at least one more bidder. JP Morgan is handling the sale and Deutsche is acting for Mr Li.

The slimmed-down company would remain a big player in the UK through its power generation, which includes 21 wind farms, and £6.6bn-turnover retail divisions.

Coventry-based E.ON UK was bought by the German giant in July 2002 when it was known as Powergen. Dr Golby became its chief executive that year and is well-respected in the industry.

A boss of a leading energy company said that Dr Golby's "name has been mentioned" in relation to prominent non-executive roles should he retire.

Dr Golby is also chairman at EngineeringUK, the not-for-profit body that promotes the contribution of engineers and technology to the country. He was in the news last October when he took the decision to withdraw E.ON from the government's Carbon Capture & Storage (CCS) demonstration competition. CCS traps and then buries carbon dioxide to cut greenhouse gas emissions.

The Government is relying on CCS as one of the main methods of meeting stringent carbon-reduction targets. However, CCS has not been proven to be commercially viable and ministers intended that the competition would prove the private sector could establish an industry in the UK.

E.ON withdrew as completion of work on its Kingsnorth Power station in Kent, where CCS was to be piloted, was delayed to 2016, at least one year beyond the competition deadline.

Dr Golby said at the time: "Having postponed Kingsnorth last year, it has become clear that the economic conditions are still not right for us to progress the project and so, simply put, we have no power station on which to build a CCS demonstration."

This left Scottish Power, owned by Spanish utility Iberdrola, as the only candidate in the process.

Listed on the Frankfurt Stock Exchange, E.ON is one of the world's biggest investor-owned power and gas companies with nearly 90,000 employees worldwide. In 2009 it made €82bn of sales and served 26 million customers in more than 30 countries.

PROMOTED VIDEO
News
A 1930 image of the Karl Albrecht Spiritousen and Lebensmittel shop, Essen. The shop was opened by Karl and Theo Albrecht’s mother; the brothers later founded Aldi
people
News
Lane Del Rey performing on the Pyramid Stage at Glastonbury 2014
people... but none of them helped me get a record deal, insists Lana Del Rey
Life and Style
fashion Designs are part of feminist art project by a British student
Arts and Entertainment
Dwayne 'The Rock' Johnson stars in Hercules
filmReview: The Rock is a muscular Davy Crockett in this preposterous film, says Geoffrey Macnab
News
i100
Arts and Entertainment
British author Howard Jacobson has been long-listed for the Man Booker Prize
books
News
ebookA unique anthology of reporting and analysis of a crucial period of history
Life and Style
tech
Arts and Entertainment
Standing the test of time: Michael J Fox and Christopher Lloyd in 'Back to the Future'
filmA cult movie event aims to immerse audiences of 80,000 in ‘Back to the Future’. But has it lost its magic?
Sport
Louis van Gaal watches over Nani
transfers
Arts and Entertainment
Flora Spencer-Longhurst as Lavinia, William Houston as Titus Andronicus and Dyfan Dwyfor as Lucius
theatreThe Shakespeare play that proved too much for more than 100 people
News
exclusivePunk icon Viv Albertine on Sid Vicious, complacent white men, and why free love led to rape
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Insight Analyst – Permanent – Up to £40k – North London

£35000 - £40000 Per Annum plus 23 days holiday and pension scheme: Clearwater ...

Test Lead - London - Investment Banking

£475 - £525 per day: Orgtel: Test Lead, London, Investment Banking, Technical ...

Business Analyst - Banking - Scotland - £380-£480

£380 - £480 per day: Orgtel: Business Analyst - Banking - Edinburgh - £380 - ...

Risk Analyst - (Multi Asset class) £70k - £80k

£70000 - £80000 per annum: Harrington Starr: My client is a leading financial ...

Day In a Page

Noel Fielding's 'Luxury Comedy': A land of the outright bizarre

Noel Fielding's 'Luxury Comedy'

A land of the outright bizarre
What are the worst 'Word Crimes'?

What are the worst 'Word Crimes'?

‘Weird Al’ Yankovic's latest video is an ode to good grammar. But what do The Independent’s experts think he’s missed out?
Can Secret Cinema sell 80,000 'Back to the Future' tickets?

The worst kept secret in cinema

A cult movie event aims to immerse audiences of 80,000 in ‘Back to the Future’. But has it lost its magic?
Facebook: The new hatched, matched and dispatched

The new hatched, matched and dispatched

Family events used to be marked in the personal columns. But now Facebook has usurped the ‘Births, Deaths and Marriages’ announcements
Why do we have blood types?

Are you my type?

All of us have one but probably never wondered why. Yet even now, a century after blood types were discovered, it’s a matter of debate what they’re for
Honesty box hotels: You decide how much you pay

Honesty box hotels

Five hotels in Paris now allow guests to pay only what they think their stay was worth. It seems fraught with financial risk, but the honesty policy has its benefit
Commonwealth Games 2014: Why weight of pressure rests easy on Michael Jamieson’s shoulders

Michael Jamieson: Why weight of pressure rests easy on his shoulders

The Scottish swimmer is ready for ‘the biggest race of my life’ at the Commonwealth Games
Some are reformed drug addicts. Some are single mums. All are on benefits. But now these so-called 'scroungers’ are fighting back

The 'scroungers’ fight back

The welfare claimants battling to alter stereotypes
Amazing video shows Nasa 'flame extinguishment experiment' in action

Fireballs in space

Amazing video shows Nasa's 'flame extinguishment experiment' in action
A Bible for billionaires

A Bible for billionaires

Find out why America's richest men are reading John Brookes
Paranoid parenting is on the rise - and our children are suffering because of it

Paranoid parenting is on the rise

And our children are suffering because of it
For sale: Island where the Magna Carta was sealed

Magna Carta Island goes on sale

Yours for a cool £4m
Phone hacking scandal special report: The slide into crime at the 'News of the World'

The hacker's tale: the slide into crime at the 'News of the World'

Glenn Mulcaire was jailed for six months for intercepting phone messages. James Hanning tells his story in a new book. This is an extract
We flinch, but there are degrees of paedophilia

We flinch, but there are degrees of paedophilia

Child abusers are not all the same, yet the idea of treating them differently in relation to the severity of their crimes has somehow become controversial
The truth about conspiracy theories is that some require considering

The truth about conspiracy theories is that some require considering

For instance, did Isis kill the Israeli teenagers to trigger a war, asks Patrick Cockburn