AGL Energy Limited has announced significant changes regarding its Board and management renewal.
In a statement, AGL said the overhaul comes as the company prepares to announce the findings of its review of strategic direction and verify guidance later this month.
With immediate effect, current board member Patricia McKenzie will take over as chair in place of departing chairman Peter Botten AC. Currently, McKenzie serves as chair of the Sydney Desalination Plant group of companies and NSW Ports.
McKenzie has held previous positions, including CEO of the Gas Market Company, Chair of Essential Energy, Director of APA Group, AEMO, Macquarie Generation, and Transgrid, and an essential participant in the Council of Australian Government’s National Energy Reform. McKenzie also served as AGL Australia’s Chair-elect.
Additionally, Miles George, a former leader of the Clean Energy Council and a consultant to the AEMC and AEMO on the energy transition, will join the board as an independent non-executive director. According to AGL, the appointment comes after an externally-facilitated search for a director with project delivery experience for renewable energy.
George joins veteran international energy executive Graham Cockroft and ESG and energy transition specialist Vanessa Sullivan as the third new Director hired in the past year.
In line with the outlined changes, Non-Executive Director Diane Smith-Gander AO has moved her resignation date to 19 September 2022.
Meanwhile, Managing and Chief Executive Officer Graeme Hunt is set to step down from his position on 30 September 2022. Chief Financial Officer Damien Nicks will assume the interim Chief Executive Officer position, and finance and energy executive Gary Brown will act as Interim Chief Financial Officer.
“I would like to acknowledge and thank Peter Botten for his significant contribution as a member of the AGL Board over the past six years, including as Chairman over a challenging 18 months. I would also like to acknowledge Diane Smith-Gander for her outstanding contribution to the Board over the past six years, including as Chair of the People & Performance Committee,” McKenzie said.
Additionally, McKenzie thanked outgoing CEO Hunt for his substantial service and support to AGL since 2012 as an executive, non-executive director, and chairman.
“Graeme will leave the company at the end of the month having led with deep commitment and professionalism through an extraordinary time of change,” McKenzie added.
McKenzie said, “Mr. George’s appointment as Non-Executive Director will enhance AGL’s renewable energy credentials and leadership to help drive further the deployment of renewable and firming technologies required for the decarbonisation of AGL’s energy portfolio. We are delighted to welcome Miles to the Board and look forward to working with him.”
The search for a new CEO is proceeding as planned, and currently, there is a short list of Australian and international candidates.
“The company has been through a period of significant change and uncertainty, and I am stepping into the Chair role to provide clear direction and stable experienced leadership as we redesign our energy portfolio and deliver the outcomes of the review of strategic direction,” McKenzie said.
McKenzie added that Damien Nicks has been with AGL for nine years and is well-versed in the company’s operations and the challenges and opportunities that lie ahead.
“We are confident that he, together with the management team, can deliver on the findings of the review of strategic direction that frames the future of AGL and determines the best way to deliver long-term shareholder value for all shareholders in the context of the company’s new direction and Australia’s energy transition,” she stated.
