Energy transition and oil majors: the protagonism of the european companies in the entry to the renewable sector
DOI:
https://doi.org/10.5380/cg.v11i3.86583Abstract
The present article proposes a discussion about the energy transition at a global level, besides presenting the strategies adopted by the European companies compared to the U.S. and Chinese ones, and showing how the oil and gas (O&G) businesses have participated in this process. To this end, it was carried out a characterization of the current situation of the energy transition in these three groups and how the majors have positioned themselves in this regard. Furthermore, the practices adopted specifically by BP, Equinor and TotalEnergies to make their O&G exploration and production activities less polluting were mapped. Based on a qualitative methodological approach, data made available by the oil companies were used. Results show the more aggressive entry of European companies in the renewable market and a trend to adapt refineries with high performance potential to bioenergy production activities by the oil companies, besides incorporating new processes to increase energy integration.
Keywords: Energy transition; Oil majors; Strategies; Renewables.
References
BESERRA, S. Transição Energética no Brasil: Estratégias e Modelos de Negócio na Indústria de Petróleo e Gás. Dissertação (Mestrado em Administração de Empresas) - Programa de Pós-graduação em Administração de Empresas, Pontifícia Universidade Católica do Rio de Janeiro. Rio de Janeiro, p. 147. 2021.
BRECHA, R.; GANTI, G.; LAMBOLL, R.; NICHOLLS, Z.; HARE, B.; LEWIS, J.; MEINSHAUSEN, M.; SCHAEFFER, M.; SMITH, C.; GIDDEN, M.; Institutional decarbonization scenarios evaluated against the Paris Agreement 1.5 °C goal. Nature Communications, 12 de agosto de 2022. Disponível em: https://climateanalytics.org/media/institutional_decarbonization_scenarios_evaluated_against_the_paris_agreement_1-5_c_goal.pdf. Acesso em: 22/10/2022.
BP. Bernard Looney announces new ambition for bp. Press Releases. News and Insights. 2020a. Disponível em: https://www.bp.com/en/global/corporate/news-and-insights/press-releases/bernard-looney-announces-new-ambition-for-bp.html. Acesso em: 10/06/2022.
BP. bp update on strategic progress. Press Releases. News and Insights. 2022. Disponível em: https://www.bp.com/en/global/corporate/news-and-insights/press-releases/bp-update-on-strategic-progress.html#definitions. Acesso em: 10/06/2022.
BP. Construyendo el futuro de una refinería sin emisiones. c2022. Disponível em: https://www.bp.com/es_es/spain/home/donde-estamos/refineria-de-castellon/construyendo-el-futuro-de-una-refineria-sin-emisiones.html. Acesso em: 11/06/2022.
BP. En la Refinería de Castellón contamos con más de 50 años de historia. c2022. Disponível em: https://www.bp.com/es_es/spain/home/donde-estamos/refineria-de-castellon/historia-refineria-castellon.html. Acesso em: 11/06/2022.
BP. From International Oil Company to Integrated Energy Company: bp sets out strategy for decade of delivery towards net zero ambition. 04 Aug. 2020. 2020b. Disponível em: https://www.bp.com/en/global/corporate/news-and-insights/press-releases/from-international-oil-company-to-integrated-energy-company-bp-sets-out-strategy-for-decade-of-delivery-towards-net-zero-ambition.html. Acesso em: 08/06/2022.
BP. Statiscal Review of World Energy 2021, 70th Edition, 2021.
BP. Operatividad e inversiones. c2022. Disponível em: https://www.bp.com/es_es/spain/home/donde-estamos/refineria-de-castellon/operatividad-inversiones.html. Acesso em: 12/06/2022.
BP. Worldwide. 2022. Disponível em: https://www.bp.com/. Acesso em: 05/06/2022.
CEDRE. Donges Refinery. 2014. Disponível em: http://wwz.cedre.fr/en/Resources/Spills/Spills/Donges-Refinery. Acesso: 28/06/2022.
COUTINHO, I. Autonomia e segurança energética impulsionam transição para fontes renováveis na Europa. In NOZAKI, W.; COUTINHO, I.; COSTA, R. (org). A economia política dos hidrocarbonetos entre a pandemia e a transição energética. Brasília: FLACSO, 2021.
COUTINHO, I.; COSTA, R. Reação das petrolíferas europeias diante da crise do crise do petróleo provocada pela Covid-19. Ineep, Texto para Discussão, ano 4, vol. 29, 2021.
COUTINHO, I.; MONTENEGRO, J. Estratégia das grandes petrolíferas está conectada ao país de origem. In NOZAKI, W.; COUTINHO, I.; COSTA, R. (org). A economia política dos hidrocarbonetos entre a pandemia e a transição energética. Brasília: FLACSO, 2021.
DJUNISIC, S. Bp teams up with Iberdrola, Enagas on green H2 project at Spanish refinery. Renewables Now. 2021. Disponível em: https://renewablesnow.com/news/bp-teams-up-with-iberdrola-enagas-on-green-h2-project-at-spanish-refinery-739409/. Acesso em: 12/06/2022.
DOGGER BANK WIND FARM. c2022. Disponível em: https://doggerbank.com/. Acesso em: 12/06/2022.
DUDGEON OFFSHORE WIND FARM. S.d. Disponível em: https://dudgeonoffshorewind.co.uk/. Acesso em: 12/06/2022.
ENEL. Transição energética e áreas geográficas: o que está acontecendo na Europa e na América Latina?. Learning HUB. Debates. S.d. Disponível em: https://www.enelgreenpower.com/pt/learning-hub/debates/transicao-energetica-europa-america-latina. Acesso em: 12/06/2022.
EPBR. Equinor licencia parques eólicos offshore com 4 GW no Rio e Espírito Santo. 2020. Disponível em: https://epbr.com.br/equinor-licencia-parques-eolicos-offshore-com-4-gw-no-rio-e-espirito-santo/. Acesso em: 11/06/2022.
EQUINOR. Our climate ambitions. 2022b. Disponível em: https://www.equinor.com/sustainability/climate-ambitions. Acesso em: 12/06/2022.
EQUINOR. Energias Renováveis. c2022a. Disponível em: https://www.equinor.com.br/energias-renovaveis. Acesso em: 12/06/2022.
EQUINOR. Equinor sets ambition to reach net-zero emissions by 2050. 2020. Disponível em: https://www.equinor.com/news/archive/20201102-emissions. Acesso em: 10/06/2022.
EQUINOR. Hywind Scotland. c2022b. Disponível em: https://www.equinor.com/energy/hywind-scotland. Acesso em: 12/06/2022.
EQUINOR. Where we are. 2022a. Disponível em: https://www.equinor.com/. Acesso em: 18/06/2022.
EUROPEAN UNION COMISSION. Energy Climate change. Environment, Climate Action. 2022.
FITCH RATINGS. European Oil Majors Maintain Lead in Energy Transition Plans. 2021. Disponível em: https://www.fitchratings.com/research/corporate-finance/european-oil-majors-maintain-lead-in-energy-transition-plans-08-11-2021. Acesso em: 12/06/2022.
GABRIELLI, J. S.; LEÃO, R. Economia política da transição energética: um olhar sobre os atores não convencionais. Ineep, Texto para Discussão, ano 3, vol. 17, 2020.
IBERDROLA. BP, Iberdrola e Enagás analisam o desenvolvimento do maior projeto de hidrogênio verde da região de Valência. 2021. Disponível em: https://www.iberdrola.com/sala-comunicacao/noticia/detalhe/iberdrola-enagas-analisam-desenvolvimento-maior-projeto-hidrogenio-verde-regiao-valencia. Acesso em: 11/06/2022.
AIE. Executive Summary. World Energy Investment 2021. 2021. Disponível em: https://www.iea.org/reports/world-energy-investment-2021/executive-summary. Acesso em: 08/06/2022.
INEEP. Energy transition, national strategies, and oil companies: what are the impacts for workers?. IndustriALL Global Union Special Report, November 2020. Disponível em: https://www.industriall-union.org/sites/default/files/uploads/documents/2021/Energy/
sr_energy_transition_en_v13.pdf. Acesso em: 05/06/2022.
KLARE, M. The New Geopolitics of Energy. New York: The Nation, 2008.
KRASNER, S. Defending the National Interest: Raw Materials Investiments and U.S. Foreign Policy. Princeton (NJ): Princeton University Press, 1978.
LEÃO, R.; JARDIM, T. Breve panorama das empresas petrolíferas na transição energética, no Brasil e no mundo. Bip Brasil, 2021. Disponível em: https://bipbrasil.com.br/panorama-transicao-energetica/. Acesso em: 10/06/2022.
PICKL, M. The renewable energy strategies of oil majors – From oil to energy? Energy Strategy Reviews, vol. 26, p. 1-8, 2019.
PODOBNIK, B. Global Energy Shifts. Philadelphia: Temple University Press, 2006.
RADOWITZ, B. BP and Iberdrola eye solar for record-sized Spanish green hydrogen project. Recharge News. 2021. Disponível em: https://www.rechargenews.com/energy-transition/bp-and-iberdrola-eye-solar-for-record-sized-spanish-green-hydrogen-project/2-1-1002277. Acesso em: 12/06/2022.
SHELL. Responsible investment annual briefing updates. News and media releases. 2020. Disponível em: https://www.shell.com/media/news-and-media-releases/2020/responsible-investment-annual-briefing-updates.html. Acesso em: 08/06/2022.
SHELL. Shell Energy Transition Strategy 2021. 2021. Disponível em: https://www.shell.com/promos/energy-and-innovation/shell-energy-transition-strategy/_jcr_content.stream/1618407326759/7c3d5b317351891d2383b3e9f1e511997e516639/shell-energy-transition-strategy-2021.pdf. Acesso em: 12/06/2022.
SHELL. Shell Global. 2022. Disponível em: https://www.shell.com/. Acesso em: 05/06/2022.
SHERINGHAM SHOAL OFFSHORE WIND FARM. S.d. Disponível em: http://sheringhamshoal.co.uk/. Acesso em: 12/06/2022.
SHOJAEDDINI, B. A.; NAIMOLI, S.; LADISLAW, S.; BAZILIAN, M. Oil and gas company strategies regarding the energy transition. Progress in Energy, vol. 1, n. 1, p. 1-19, 2019.
TOTALENERGIES. Donges refinery: 100 years of history. c2022. Disponível em: https://wiki.totalenergies.com/en/theme/donges-refinery-100-years-history. Acesso em: 12/06/2022.
TOTALENERGIES. La Mède: A Multipurpose Facility for the Energies of Tomorrow. 2021. Disponível em: https://totalenergies.com/energy-expertise/projects/bioenergies/la-mede-a-forward-looking-facility. Acesso em: 12/06/2022.
TOTALENERGIES. Our worldwide presence. 2022b. Disponível em: https://totalenergies.com/group/worldwide-presence. Acesso em: 05/06/2022.
TOTALENERGIES. Total adopts new climate ambition to get net zero by 2050. News. 2020. Disponível em: https://totalenergies.com/media/news/total-adopts-new-climate-ambition-get-net-zero-2050. Acesso em: 05/06/2022.
TOTALENERGIES. Total’s French Refining Roadmap: Upgrade Donges and Transform La Mède. 2015. Disponível em: https://totalenergies.com/media/news/press-releases/totals-french-refining-roadmap-upgrade-donges-and-transform-la-mede. Acesso em: 12/06/2022.
TOTALENERGIES. Total Starts Up the La Mède Biorefinery. 2019. Disponível em: https://totalenergies.com/media/news/press-releases/total-starts-la-mede-biorefinery. Acesso em: 12/06/2022.
TOTALENERGIES. Universal Registration Document 2021 including the Annual Financial Report. 2022a. Disponível em: https://totalenergies.com/system/files/documents/2022-03/DEU_21_VA.pdf. Acesso em: 20/06/2022.
TRANSITION PATHWAY INITIATIVE (TPI). ENERGY SECTOR “FINALLY MOVING OUT OF FIRST GEAR” ON CLIMATE AS FIRST THREE OIL & GAS FIRMS ALIGN WITH 1.5°C PATHWAY. 2021. Disponível em: https://www.transitionpathwayinitiative.org/publications/92.pdf?type=Publication. Acesso em: 22/10/2022.
VARIN, C. Total to stop Donges refinery until economics improve. Argus Media. 2020. Disponível em: https://www.argusmedia.com/en/news/2162744-total-to-stop-donges-refinery-until-economics-improve. Acesso em: 12/06/2022.
XU, M.; ALZHU, C. PetroChina plans to boost renewables output, posts biggest profit in 7 years. Reuters, 2022. Disponível em: https://www.reuters.com/business/energy/petrochina-posts-largest-profit-7-years-2022-03-31/. Acesso em: 18/06/2022.
ZHONG, M.; BAZILIAN, M. D. Contours of the energy transition: investment by International oil and gas companies in renewable energy. The Electricity Journal, vol. 31, n. 1, p. 82-91, 2018.
Downloads
Published
How to Cite
Issue
Section
License
Conjuntura Global (ISSN 2317 - 6563) editors reserve the right to adapt the submissions to the journal's editorial standard format. The articles and reviews are under the responsibility of their authors and do not express the opinion of Conjuntura Global's editors.
Authors who publish in this journal agree with the following terms:
- Authors retain copyright and grant the journal the right of first publication, with the work simultaneously licensed under the Creative Commons Attribution License (CC BY 4.0), that allows the work to be shared with recognition of authorship and initial publication in this journal;
- Authors are allowed to assume additional contracts separately, for the non-exclusive distribution of the version of the work published in this journal (e.g., to publish in an institutional repository or as a book chapter), with recognition of authorship and initial publication in this journal;
- The approval of the submission automatically implies the authorization to Conjuntura Global to forward the relevant information to the scientific journals' indexing databases.
