Atlassian co-founder and billionaire Mike Cannon-Brookes has labelled Australia’s largest vitality generator AGL “one of the most toxic companies on the planet”.
Speaking on the Australian Institute of Company Directors (AICD) Climate Governance Forum on Friday, Mr Cannon-Brookes stated the corporate was chargeable for producing extra emissions than Portugal, New Zealand and Sweden. But he stated the issue was “eminently fixable”.
“It as a single company… has more emissions than the entire country of Portugal, or the entire country of New Zealand,” he stated.
“Think of every single thing in New Zealand. Every car, every business, every factory, every sheep, everything,” he stated.Grok Ventures, a non-public funding group owned by Mr Cannon-Brookes, invested about $700 million to purchase an 11 per cent stake of AGL in May final 12 months.
The billionaire’s phrases comes greater than a 12 months after he led a foiled demerger of AGL Energy’s coal-assets which led to a blitzing of the vitality big’s board of administrators.
Asked in regards to the demerger on Friday, he was blunt in his response.
“You had this demerger idea which was, I’m going to get in trouble (but) not fully thought through, let’s just say it wasn’t to the benefit of the shareholders at all,” he stated.
When pressed by moderator and journalist Helen Dalley, who stated it was clear AGL board members thought it was a good suggestion “at the time,” Mr Cannon-Brookes’ gave a withering response.
“And there’s not many of them left,” he joked, drawing laughs from the gang.
“I don’t mean that lightly … It was presenting a single option to the shareholders and I would argue taking them for granted, and not presenting the opportunities of the alternate case.”
He stated initially his proposal was “kind of laughed at and then eventually taken slightly seriously,” earlier than it gained momentum.
“The vote would have been an absolute trouncing,” he stated.
In this dialog with Dalley, the renewable vitality advocate spoke broadly in regards to the potential for AGL to transition to renewables, regardless of being “one of the most toxic companies on the planet,” including the problem was “eminently fixable”.
He credited AGL for its “amazing assets” as Australia’s largest electrical energy generator, with tens of millions of consumers and “some of the best grid connections in the world”.
Mr Cannon-Brookes stated “talent transition” was one other necessary issue.
Part of this was hiring a various board. In November, AGL chairwoman Patricia McKenzie confirmed the corporate would shut its final coal-fired plant by 2035, and flagged the appointment of 4 Cannon-Brookes backed administrators: Kerry Schott, Christine Holman, John Pollaers and Mark Twidell.
”It shouldn’t be 5 individuals who all come from a deep local weather background, (or) vitality grid, they should have some variety of thought as a result of it is a broad firm with a number of totally different results on the financial system and components of it,” he stated.
“That came to obviously things like gender, but specifically diversity of experiences and industries. Age diversity is really important on boards (as well)”.
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Mr Cannon-Brookes additionally spoke in regards to the company duty for administrators to enact good environmental, social, and company governance, which included embracing the shift to renewable vitality and decarbonisation.
He stated a give attention to local weather, and emissions disclosures would implicate corporations who weren’t implementing environmental coverage.
“It’s a pretty safe bet that 10 years from now you will have much, much stronger controls on pollution and much stronger reporting to your shareholders,” he stated.
“That probably has similar risks to you as a director, and to your company as financial risks.
“I suspect … there will be pretty strong penalties for directors who are unaware or uninformed of that.”
Mr Cannon-Brookes stated administrators had been additionally chargeable for searching for out monetary alternatives so their corporations would profit from the transition to renewables.
“The simple way to think about it is we need to move everything that’s molecule -based and fossil fuel based to being electrically based,” he stated.
He added that Australia had the “largest opportunity” to reap the awards of decarbonisation. This included an abundance in bodily assets like silver, nickel, wind and solar, monetary assets to assist the transition, and a “highly educated workforce”.
“We are incredibly lucky in Australia. to have a hugely stacked up set of opportunities that I believe personally it’s up to us to go and embrace (it),” he stated.
Source: www.perthnow.com.au
