E.ON UK – GC Powerlist
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United Kingdom Teams 2022

Energy and utilities

E.ON UK

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United Kingdom Teams 2022

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Team size: 34

How has the increasing consciousness of climate change and sustainability affected your company and the team’s priorities?

E.ON is committed to the transition of the energy industry, which will be fundamental to the UK reaching its net zero targets. Sustainability is at the heart of our strategy. As in-house lawyers we advise according to our legal knowledge on the business, which our internal stakeholders value in, but now has extended to ESG issues, which adds a new topical angle to the advice we give in line with our overall strategy.

As a team we promote sustainability, as demonstrated not only by our work carried out but by being a founding member of the launch of lawyers for net zero, a not-for-profit organisation focused on how in-house lawyers can drive climate and ESG change. We have embraced sustainability by participating in our UK-wide sustainability working group. We have recently finalised our team’s climate plan, setting out our sustainability values, objectives, and measurable actions. Additionally, we have encouraged all team members to make a personal pledge and share their successes dedicated to sustainability at home. As an in-house legal team, the ESG advice that we give is extremely broad, ranging from supporting energy efficiency work and drafting climate clauses, to making green claims, to diversity and inclusion, to anti-corruption and everything in between.

The unusual business environment created by the pandemic has been swiftly followed by the Ukraine crisis, and attendant supply chain costs rising and increasing inflation. Are you now putting more emphasis on preparing for the unforeseen and, if so, what does this entail?

Definitely. We have found that over the last 12 months, scenarios which were considered minimal risk or unlikely have materialised, so no risk is considered unrealistic now. This has resulted in an increased focus on aspects of contracts and not just longer-term contractual relationships. Firstly, we have looked at force majeure clauses, their meanings and how these could apply in practice. We found that when applied to current geopolitical scenarios, it can result in unpredicted and unintended consequences, making us more aware of these clauses and their effects on contracts. Secondly, following Brexit and new legislation to deal with the energy crisis, changes in law clauses have become crucially important to review. Thirdly, we have supported our partners during shortages, seeking alternatives and ensuring shortages can be managed. Fourthly, we are more aware of legislation in other jurisdictions which may impact contracts in the UK. Lastly, as sanctions clauses are under more scrutiny than before, we now must deal with some unreasonable requests from other parties.

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