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Shell continues to invest mainly in fossil fuels, despite stricter CO2 targets

Shell says it wants to be CO2 neutral by 2050, but that does not mean that the group is fully committed to cleaner energy sources and fuels in the coming years. From an investment budget of around USD 20 billion, by far the most goes to fossil activities such as oil, chemicals and gas.

In the coming years, 2 to 3 billion will be earmarked for renewable energy sources and ‘energy solutions’ such as hydrogen. Another 3 billion is invested in a branch of the company that includes charging points, additional filling stations, but also the sale of lubricating oils, for example.

The peak in oil sales was in 2019, says Shell. Pumping this up must continue to generate profit until the years after 2030. That money is used for investments and to steadily increase the dividend again. Oil revenues are declining by 1 to 2 percent annually, Shell expects.

Co2 storage and charging points

An important part of Shell’s strategy is large-scale capture and underground storage of CO2. The group has already been involved in three major projects, including one planned in the Netherlands. This is controversial among environmental groups.

The number of charging points must also increase significantly in the coming years. Now there are 60,000, by 2025 there should be half a million. Shell has made various acquisitions in this area in recent years.

Shell continues to invest mainly in fossil fuels, despite stricter CO2 targets
Source link Shell continues to invest mainly in fossil fuels, despite stricter CO2 targets

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