Electrical utility and distribution system operator Scottish Power, a subsidiary of Spain’s Iberdrola, says it’s considering withdrawing investments from the UK if the British government applies windfall taxation to the energy sector, reports The Times.
As one of the largest power companies in the country, Scottish Power diverting investment to other countries would impact green transition efforts in Britain, where the government is now trying to raise money to aid residents struggling with soaring energy costs.
Scottish Power Chief Executive Keith Anderson tells the media about reconsidering company investments in response to rumors that HM Treasury might extend planned windfall taxation on North Sea oil and gas extractors to renewable energy generators.
”It will make us reconsider. What do we invest in the UK? How quickly do we invest it in the UK? And are there other markets that are more attractive than the UK?” The Times cites Anderson rhetorically asking.
Scottish Power has otherwise announced plans to invest GBP 6.7bn in the UK between 2023 and 2025.
The British government has not yet disclosed information on whether windfall taxation will also apply to renewable power.