The scared CxO: playing it safe is the riskiest move in energy

The UK government’s newly published vision for Great British Energy has called for bold investment in both emerging and established clean energy technologies, domestic supply chains, and community level renewables, with the aim of making the sector commercially viable by 2030.

The National Energy System Operator previously warned that the speed of UK’s energy expansion isn’t enough to meet 2035 net zero goals. Now energy sector chief experience officers face a moment of truth; is it time to whet our risk taking appetites to maximise profits and sustainability drives?

‘It is clear that 'playing safe' with traditional, low risk approaches are leading to missed opportunities in the emerging trillion-dollar markets. The government’s new announcement shows that strategic bets are now national policy – and businesses must follow suit,’ said Jon Bance, chief operating officer at leading technology consultancy Leading Resolutions.

‘Business stability has historically been equated with predictability and reinforced by structures that reward caution. Now we are seeing that net zero is not just a tech race but an operations challenge that requires a strategic risk taking approach for sustainability and increased profit rewards.’

Jon Bance continues by outlining how being too safe can be a dangerous strategy when it comes to the energy sector. 

‘Achieving net zero must be a disruptive journey that involves a system wide transformation and a portfolio approach to innovation. An overly safe strategy is an oxymoron; too cautious and you can stunt net zero ambitions, losing the first mover advantage. While not every investment will succeed, spreading bets across multiple emerging technologies can be less risky.’

With connected systems and reliable data and AI input, Jon believes businesses can create an operational foundation that enables bolder strategies.

‘Risk taking shouldn’t be guesswork or gambling but rather, a disciplined, evidence based approach. These ventures often fail because departments work in isolation, insights are fragmented, and decisions are made without the full picture. Businesses must break down data siloes for greater communication and decision making.

‘Standardising data taxonomies so emissions, production and cost data all speak the same language can create a shared source of truth that everyone can access. Combined with predictive analytics and AI on market changes, teams gain greater visibility on demand surges or carbon intensity spikes before they hit the bottom line.

‘With these data and AI pipelines, scenario planning becomes more flexible for any unexpected pivots. The result is fewer surprises and faster decision cycles based on the full operational and financial context, not outdated or partial reports. Innovations such as green hydrogen or advanced grid solutions, also have greater impact with reduced operational inefficiencies and unnecessary emissions.’

Jon continues by highlighting that leadership alignment and cultural change will help to encourage bold moves.

‘Shifting mindset isn’t just about individual leaders, it requires realignment of business governance and incentives. Strict oversights have conditioned businesses to avoid missteps and leadership teams are tunnel visioned on this year’s profit. This has led to short term, financially focused key product indicators that compound progress.

‘The C-suite must model risk taking behaviour and design target operating models to align departments around shared net zero goals. Modern organisations can create teams of engineers, data scientists, and finance professionals who rapidly assess opportunities together. Decision rights are clarified so projects don’t get trapped in bureaucracy and key product indicators are rebalanced to reward both short term profit and sustainability milestones.’

Jon concluded, ‘In a sector long governed by caution, the real risk now lies in inertia. The businesses that thrive will be willing to challenge legacy mindsets, update incentives, and take bold bets on innovation.

‘Net zero cannot be achieved with stagnancy; we need business leaders to push into unknown territory. But in order to feel secure enough to explore high risk strategies, businesses must make sure they have secure foundations, unified data, aligned operations, and modernised technology.

‘Instead of letting your business be stuck in the past, the responsibility is on chief experience officers nationwide to embrace risk and change and look for a helping hand guiding them on the road to futureproof sustainability.’