Yemisi Izuora
Anglo-Dutch energy giant Royal Dutch Shell plc (Shell) has made a commitment to become a net-zero emissions energy business by 2050 or sooner, Chief Executive Ben van Beurden said in a statement.
The revision to the company’s climate action plan follows engagement with investors as part of Climate Action 100+, led by the Church of England Pension Board and Robeco, which lobbies oil and other fossil fuel majors to take climate-change reforms and transition to decarbonised, sustainable operations.
Plans include an ambition to achieve net-zero emissions by 2050 “at the latest” from what the company terms scope 1 and 2 emissions, those resulting from company operations and energy consumption, which amounted to the equivalent of 70 million tonnes of CO2 in 2019.
Scope 3 emissions however, those generated from the burning of oil, and the company’s supply chain, make up the majority of Shell’s harmful emissions.
In terms of product focus though, Shell plans to accelerate its Net Carbon Footprint ambition in step with the Paris Agreement goal to limit the average temperature rise to 1.5 degrees Celsius, reducing the carbon footprint of energy products by approximately 65 per cent by 2050, and by around 30 per cent by 2035.
The company also announced intentions to pivot towards serving businesses and sectors that share similar goals.