The Managing Director and CEO of one of Australia’s biggest energy companies will be moving on, effective immediately, following an unexpected announcement this morning.
AGL Energy has announced that Managing Director and CEO, Andy Vesey, will leave the company after almost four years in the role, with AGL CFO, Brett Redman, stepping into the interim role. Damien Nicks, currently AGL’s General Manager, Group Commercial Finance, has been appointed interim CFO.
The announcement comes at a time of considerable uncertainty in the energy sector, and following scrutiny from Australian media outlets over the decision to shut down the Liddell coal-fired power station in the NSW Hunter Valley in 2022.
AGL Chairman, Graeme Hunt, said that succession planning for the Managing Director and CEO is of key importance to the AGL Board.
“Over recent months, we have increased our focus on the development of internal candidates and on maintaining an active view of potential external candidates. As a result, a domestic and international search process including strong internal candidates is well progressed, and the Board has decided to take that process to the next step. That search will now enter a final phase to enable us to complete an appointment,” Mr Hunt said.
In a release from AGL, Mr Hunt thanked Mr Vesey for his considerable contribution to AGL.
“He has driven our transformation agenda to meet two key strategic imperatives: to prosper in a carbon-constrained future and build customer advocacy. He leaves the company in a robust financial position from which to continue to lead investment in our transitioning industry and in our long-term growth,” Mr Hunt said.
“Brett is a highly experienced executive who has distinguished himself as our CFO and has a deep knowledge and understanding of the business and the industry. Under his leadership, we have every confidence that it will be an orderly transition as we finalise the CEO search.”
Mr Redman, who will be taking on the role of interim CEO, said: “AGL’s priorities during the coming weeks will continue to be the safe and reliable operation of our assets, serving our customers to the best of our ability, and listening and responding to all our stakeholders. I have greatly enjoyed working alongside Andy to deliver our transformation agenda over the past four years and I look forward to continuing to implement AGL’s strategy while the Board completes the succession process.”
Following the announcement, Mr Vesey commented: “It has been an honour to lead AGL – and a privilege to have had the opportunity to engage in the complex questions of the sustainable transformation of Australia’s energy sector over recent years. I am proud of what the AGL team has achieved during those years and I am now looking forward to observing AGL’s continued success.”
Mr Vesey has stepped down from AGL’s Board but, in order to ensure a smooth transition, he will remain employed by AGL in an advisory capacity to the Board until 31 December 2018.