BP makes organizational changes to reach net zero by 2050

Oil major BP has set a new ambition to become a net zero company by 2050 or sooner, aiming to help the world get to net zero, in line with the global environmental goals. The company announced that its ambition is based on ten aims, five to get BP to net zero and five aims to help the world get to net zero.

Accordingly the five aims to get to a net-zero level include:

1. Net zero across BP’s operations on an absolute basis by 2050 or sooner.
2. Net zero on carbon in BP’s oil and gas production on an absolute basis by 2050 or sooner.
3. 50% cut in the carbon intensity of products BP sells by 2050 or sooner.
4. Install methane measurement at all BP’s major oil and gas processing sites by 2023 and reduce methane intensity of operations by 50%.
5. Increase the proportion of investment into non-oil and gas businesses over time.

The five aims to help the world get to a net-zero future include:

1. More active advocacy for policies that support net zero, including carbon pricing.
2. Further incentivise BP’s workforce to deliver aims and mobilise them to advocate for net zero.
3. Set new expectations for relationships with trade associations.
4. Aim to be recognised as a leader for transparency of reporting, including supporting the recommendations of the TCFD.
5. Launch a new team to help countries, cities and large companies decarbonise.

To achieve the above aims, the company noted that it will be reorganised to become more focused.

In addition, Bernard Looney commented that the whole energy system has to transform and everyone has to contribute, from producers and sellers of energy, policy makers and everyone who uses energy. So, the company will help its customers reduce their emissions by cutting in half the carbon intensity of the products it sells, again by 2050 or sooner – offering customers more and better choices of low- and no-carbon products.

We expect to invest more in low carbon businesses – and less in oil and gas – over time. The goal is to invest wisely, into businesses where we can add value, develop at scale, and deliver competitive returns

… Looney added.

The green ambitions include the “reinvention” of BP. Therefore, the oil major’s BP’s existing, largely autonomous business segments – upstream and downstream – will be dismantled and the group reorganised globally into a more focused and more integrated entity, comprising 11 teams.

See also:

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