“Šiaulių energija” will survive without the board – this is the decision of the city administration

The management structure of “Šiaulių energija” is undergoing a reorganization, a change reportedly initiated by the Mayor of Šiauliai, A. Visockas. The mayor publicly advocated for this restructuring during the company’s shareholders’ meeting.

According to the mayor, the primary motivation behind the proposed changes is the streamlining of operational overhead. Specifically, the reorganization eliminates the necessity for a formal board or supervisory council, thereby removing associated compensation costs for those roles. The accompanying explanatory note further clarifies that the core objective of the restructuring is twofold: to simplify the overall management framework and to achieve significant cost reductions for the entity.

Following the approval of the proposal at the 28th meeting of the Šiauliai City Council, the operational responsibilities are set to shift. The general director and the designated shareholder representative will assume the functions previously managed by the management board. This transition marks a notable departure from the previous governance model of the company.

The decision to alter the corporate governance of Šiaulių energija was reached after a formal vote in favor of the restructuring plan. These changes reflect a move toward a more streamlined corporate architecture, consolidating oversight and executive functions to improve efficiency within the organization.

Topics: #energija #board #according