Some of the world’s biggest oil and gas companies are putting money where their mouths are when it comes to climate change. Seven oil majors will be establishing an investment fund for the purpose of developing technologies to advance renewable energy, Reuters reported Wednesday in an exclusive story. The announcement of the fund and other climate change initiatives will take place in London on Friday and coincide with the formal enforcement of the 2015 UN Paris Climate accord. (Read our analysis about that here.)
The seven companies are Eni, BP, Statoil, Total, Repsol, Shell and Saudi Aramco.
The initiatives are an outgrowth of the Oil and Gas Climate Initiative (OGCI), which was created in 2014 ahead of the UN Climate Conference in December 2015. It includes 11 companies that account for 20 percent of global oil and gas production.
Anonymous sources told Reuters that the CEOs of the seven companies are expected to outline plans to establish an investment fund aimed at developing technologies to lower greenhouse gas emissions and increase fuel and car engine efficiency. The fund will also reportedly focus on methods to cut costs of carbon capture and storage (CCS) technology.
From the Reuters report:
“The CEOs are also expected to announce the next phase of their plan to reduce the oil sector’s emissions, primarily by reducing flaring of excess gas at fields, increasing the use of CCS and limiting the release of methane, a highly polluting gas often emitted through pipe leaks.”