Oil firms are making solely small investments in wind farms
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Main oil and gasoline firms personal lower than 1.5 per cent of the world’s renewable energy capability – elevating questions on how dedicated they’re to the inexperienced vitality transition, regardless of their public claims.
Marcel Llavero Pasquina and Antonio Bontempi on the Autonomous College of Barcelona checked out possession information of greater than 53,000 wind, photo voltaic, hydroelectric and geothermal tasks worldwide, as tracked by International Vitality Monitor, a non-governmental organisation. They then cross-checked these to see what quantity of them have been owned by the world’s 250 greatest oil and gasoline firms, that are collectively accountable for 88 per cent of world hydrocarbon output.
Many fossil gas corporations have pledged to put money into renewable vitality sources because the world makes an attempt to transition away from oil and gasoline, however the researchers discovered that the highest corporations personal simply 1.42 per cent of the overall working renewable capability globally. Greater than half of that – some 54 per cent – was owned through acquisitions, quite than firms creating their very own tasks. By calculating the overall vitality output of the 250 corporations, the pair discovered that renewable energy accounts for simply 0.13 per cent of the vitality produced by these firms.
“The outcomes have been stunning, even for me,” says Llavero Pasquina. “I knew they have been taking part in a little or no function within the vitality transition. I knew it was just for present. It was just for dressing their narrative. However I didn’t anticipate this low quantity.”
Llavero Pasquina and Bontempi are each a part of a gaggle referred to as Environmental Justice, which goals to supply analysis to “examine and contribute to the worldwide environmental justice motion”. Llavero Pasquina says his campaigning place strengthens his analysis. “You may have the largest curiosity in being as rigorous as doable, as a result of it’s a must to persuade and it’s a must to present what’s true.”
The truth that massive vitality corporations, which have made their identify and fortunes by oil and gasoline exploitation, aren’t huge gamers in renewables is unsurprising, says Thierry Bros at Sciences Po in Paris. “On the finish of the day, [the energy transition] must be one thing disruptive, and it’s not going to be within the arms of these firms.”
Nonetheless, Bros does imagine the large vitality corporations are unduly selling their work on the vitality transition. “They’re portraying themselves [as] doing one thing, however I feel in the event that they have been to do one thing, it might be extra the carbon seize and sequestration,” he says, which includes capturing carbon as it’s emitted, for example when burning fossil fuels. “They don’t seem to be doing a lot as a result of I feel it’s utterly outdoors their area of experience.”
Offshore Energies UK, an business physique that represents the UK’s offshore vitality business, together with oil, gasoline, wind, carbon seize and hydrogen, declined to remark instantly on the examine’s findings. Nonetheless, it pointed to a earlier assertion from its chief govt, David Whitehouse. “Removed from being in battle, oil and gasoline, wind, and rising low-carbon applied sciences are a part of one built-in system. It’s the expertise of our individuals, the identical individuals who constructed the North Sea that may ship this transition,” he mentioned.
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