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The 53-year-old won’t reveal if the Queen gets a bill from EDF, which serves customers in London, the South-East and South-West, but he says: ‘I am passionate to offer my customers the best I can. They get their energy from me. I am getting my energy from my customers’ satisfaction.’

However, he may not be quite so passionate about the energy regulator Ofgem, which targeted his company in a ‘name and shame’ campaign.

EDF, along with , is the last to cut its prices despite a huge slump in the cost of wholesale gas. British Gas led the way in the New Year with huge reductions in the price of gas and last week it announced a second round of cuts.

Suddenly, EDF, so accustomed to praise for its good customer service and its competitive pricing, found itself cast as the villain in the piece.

So, encouraged by his public relations adviser Andrew Brown, brother of the Chancellor, de Rivaz spends a good ten minutes surrounded by graphs and notes explaining how EDF had been slower to put up its prices in the first place, how it has a better record of helping the fuel poor - those who spend more than 10% of their income on energy costs - and how it is still gaining customers.

He follows the explanation with an exclusive revelation for Financial Mail: ‘I can tell you that we will be cutting our prices on Monday.’ And he adds: ‘We will always remain competitive.’

But de Rivaz refuses to reveal by how much the prices will be cut and whether the reduction will be immediate or in a few months’ time, which appears to be commonplace among rivals.

There is a suspicion that the cut will not be as much as that at its main rival, British Gas, which over the past two months has slashed gas prices by 20%.

Any cut of less than 10% - amounting to about 100 a year - would be disappointing and could herald an exodus to other suppliers.

‘Don’t forget we are starting from a lower level than British Gas and we think that wholesale gas prices will be moving upwards,’ he says.

De Rivaz was also forced to refute the growing suspicion that the long delay in cutting prices was because the main board in Paris had refused to sanction it. ‘We make our decisions here and we review our prices weekly,’ he insists.

After five years of living in a rented flat in Chelsea with his wife Anne, an accountant, de Rivaz has grown to love London to the extent that he claims to have gone native.

‘Now I am a Londoner and I represent the UK to the board of our company,’ he says with pride.

This is a huge commitment for a man who was born and educated in the Alps near Grenoble. It is obvious that he has taken his adopted country to heart.

It is a compliment to Britain as he has not been short of opportunities to ‘adopt’ other countries.

After leaving university, he moved around the world as a hydro engineer building dams, including the Nam Theun hydroelectric project in Laos, before returning to EDF head office in Paris.

Then he was off to take EDF into China. After seven years it was back to France to oversee EDF’s international investments.

Then before his London posting he was corporate and finance director.

Since his move to the UK, de Rivaz has masterminded the purchase of London Electric, SWEB Energy, Eastern-Energy and Seeboard Energy. EDF Energy now has revenue of 4bn a year, making a significant profit for its state-owned master, the EDF Group, and is responsible for supplying 7.6% of the UK’s energy needs.

It was his love of building dams, which he described as the ultimate sustainable energy source, that makes de Rivaz think of himself as a green warrior.

He has insisted that all his 13,000 employees watch former US vicepresident Al Gore’s documentary, An Inconvenient Truth.

He says he lives a green lifestyle. ‘I can tell you since 2003 I have cut my electricity consumption by 30% and gas by 50%,’ he says with pride. ‘And, yes, I use our Green Energy tariff and we have energy-saving lightbulbs in the house.’

Talk of green issues brings de Rivaz to his favourite topic, a balanced energy policy and the role of nuclear power, another of his passions, though it is not clear whether this is driven by the fact that EDF in France is a major builder and supplier of nuclear energy.

The Energy White Paper looming next month is expected to indicate that the UK should replace its ageing nuclear stations with a new high-tech generation. EDF is there to fill the gap, he says.

‘The alternative is the energy crunch,’ he says. ‘Prices will soar, lights could even go out and our security of supply will be threatened by an over-reliance on gas.’

The answer, he says, is a balanced energy policy, including cleaned-up coal, nuclear, wind and wave power.

He is sure that he will win the nuclear debate and he predicts that EDF will lead the charge.

‘In ten years, EDF will be running a nuclear power station in the UK,’ he forecasts.

In preparation for this, EDF Energy is talking with about jointly building power stations. But will the man who regards himself as a Londoner be there to see them or, as rumoured, will he have returned to Paris for the top job?

‘I can only focus on one thing at a time,’ he says. But wherever he goes, he will remain passionate.

Other stories:
British Gas: awful on every level
Ofgem names rip-off suppliers
Fuel bills update: Should you switch?
British Gas getting off lightly

LONDON (Thomson Financial) - The Bank of England (BoE) could have avoided the surge in the CPI annual inflation rate to above 3.0 pct by hiking interest rate earlier than it did, a leading UK think-tank argued.

National Institute of Economic and Social Research (NIESR) believes CPI inflation would now be a tenth of a percentage point lower if the BoE had acted early, in August 2005, to raise the benchmark repo rate to 5.00 pct. Instead, the central bank chose to lower the base rate by a quarter point to 4.50 pct from 4.75 pct then.

The CPI annual rate hit a record 3.1 pct in March, prompting the first explanatory letter from the governor of the BoE since the central bank was made independent in 1997. The BoE is charged with keeping the CPI rate at 2.0 pct and a letter is triggered if the rate rises above 3.0 pct or falls under 1.0 pct.

NIESR said fiscal policy was also to blame.

“Alternatively, a fiscal tightening of 1 pct of GDP in spring 2006 would also have delivered a similar downward effect,” NIESR said.

Despite falling behind, the BoE may well be able to adjust policy in order to push inflation lower, it added.

“Assuming that the base rate rises from 5.25 pct to 5.50 pct in May, we expect inflation to be close to the 2.0 pct target in a year’s time,” the think-tank said.

It sees the annual CPI rate falling to 2.3 pct by the end of the year and to be close to the 2.0 pct target in 2008 and 2009.

GDP growth, meanwhile, is seen at 2.7 pct in 2007, boosted by buoyant business investment which is predicted to rise by 8.2 pct. Consumer spending is expected to rise by 2.7 pct this year before slowing to 2.0 pct in 2008.

On the fiscal front, the UK Government is borrowing more than most others, NIESR said, adding that only Greece, Portugal, and Japan borrowing more among the major economies.

Global economic growth, meanwhile, is seen continuing apace despite some tremors in financial markets and a bounce-back in the price of oil to over 60 usd a barrel.

After expanding by 5.3 per cent in 2006, one of the fastest rates in the past 35 years, the world economy will grow almost as fast in 2007, with China’s extraordinary growth of 10 pct a year continuing to underpin the global upturn.

While the US may be slowing, the euro zone is predicted to perform better in 2007 than previously thought, NIESR said.

Global GDP will rise by 5.0 pct in 2007 and by 4.8 pct in 2008 while Chinese growth will remain around 10 pct in both years. US is seen expanding by 2.6 pct in 2007 and 2008.

The euro zone is predicted to grow by 2.5 pct in 2007 and 2.3 pct in 2008; while inflation is seen falling to 1.8 pct this year. The area’s fiscal deficit is seen narrowing to 1.2 pct of GDP in 2007, from 3.1 pct in 2003.

The world’s second biggest economy, is seen growing by 2.3 pct in 2007 and 2.4 pct in 2008.

NIESR did add that the housing market presents a risk that the forecasts may come in lower than estimated. The property markets in Spain and the US are seen as the most vulnerable, it added.

sivakumar.sithraputhran@thomson.com

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Thaksin Shinawatra, the billionaire former prime minister of Thailand, has moved into pole position in the battle to buy Manchester City after outlining a 130m takeover package to the board that could see as much as 50m available to spend on players in the summer.

No bid will become formal until the completion of due diligence. City granted permission for that last night. Sources close to negotiations said yesterday that Thaksin’s approach is a “proper offer” that puts him “way ahead of other parties at this stage”. Crucially, it is understood that Thaksin has proved that he has the cash ready and waiting to do a deal.

Insiders insist that if Thaksin does take control, it is unlikely that Sam Allardyce, who has just parted company with Bolton Wanderers, will be installed as the new manager. Stuart Pearce might be given the chance to argue his case to remain in charge. Even if he failed, Thaksin would probably prefer to hire an experienced European coach but Sven Goran Eriksson is not on his radar, sources say.

The Thai approach does not come without baggage. In 2004, Thaksin, 57, was involved in unsuccessful talks to buy Liverpool. He said at the time that he was a Liverpool fan but there were doubts about his motives and funding. It was suggested that he primarily wanted to take control at Anfield as an electioneering tool as the Premiership is very popular in Thailand.

It was also unclear how his Liverpool buyout would work at that time, and whether he would use private money or state funds. Human rights campaigners also accused Thaksin’s administration of various offences, especially in relation to a hard-line anti-drugs campaign. Human Rights Watch said this led to more than 2,000 extra-judicial killings in 2003.

Before entering politics, Thaksin had a successful career in the Thai police and thrived as an entrepreneur. He established a communications firm, the Shin Corporation, which he sold last year for 1bn. His personal fortune is estimated to be worth double that.

Since being overthrown by a military junta in a bloodless coup last September, he has lived abroad in exile. He has recently bought a house near London but travels extensively.

Any deal will rest on whether Thaksin can convince City’s chairman, John Wardle, that he is a serious, long-term investor. Wardle and his business partner, David Makin, own 29.75 per cent of the club between them. They are also owed around 21m in private loans to the club, which any buyer would need to repay.

Buying all the club’s shares - if a formal bid is made, recommended and accepted - would cost up to 25m. External debts in the form of long-term bonds (effectively mortgages against future income) amount to around 40m. Thaksin might choose to clear this, but would not be obliged to. Thaksin is apparently prepared to spend a further 50m on players to help City push for a European place.

City have been courting bidders for six months. The only other named group to have made any progress in talks is a consortium led by former City defender, Ray Ranson. But despite Ranson making a variety of “indicative offers”, City’s board has made it clear that nothing he has offered so far has been remotely attractive. Particular concerns include the amount of money available for a transfer kitty, and the potential levels of debt and risk involved in a Ranson takeover, which would be funded by Sisu Capital, a hedge fund whose priority would making a profit.

Sources say Thaksin, a genuine fan of football, if not City, is motivated by the Premiership’s huge earning potential in Asia, especially in Thailand. City are hoping his offer becomes the real deal because he has shown more urgency in recent days than anyone, including an American group who have been weighing up a lesser bid for months.

From burgers to billions: rise of a Thai kingpin

Thaksin Shinawatra was born in 1949 in Chiang Mai and, after graduating from the Thai Police cadet academy, earned a scholarship to take a Master’s degree in criminal justice at Eastern Kentucky University in the United States. He also received a doctorate from a Texas university and returned home to pursue a career first in the police (where he rose to a senior position before resigning in 1987) and then business.

He founded and grew a huge communications firm, Shin, sold last year for almost 1bn. He founded his Thai Rak Thai political party in 1998 and swept to power in 2001. Populist but controversial, he became the first elected prime minister in Thai history to complete a full term in office and was re-elected in 2005. It was during the run-up to the later election campaign that he tried to buy Liverpool in a bid that failed over doubts on funding and what day-to-day control he wanted.

There are no doubts he is a genuine football fan and Premiership follower (as are many millions of Thais), and he has been known to play in exhibitions. Ousted in a coup last year, he lives in exile. He is married and has one son and two daughters.

While he has much experience as a powerful politician, past jobs as a coffee vendor (as a child) and at Burger King (while a student) show a humbler side.