Eight O&G majors agree energy transition principles

In December 2020, bp, Eni, Equinor, Galp, Occidental, Repsol, Royal Dutch Shell and Total announced that they had agreed on six principles to apply to their energy transition strategies. The aim is to create more consistency and transparency on the metrics used to report on climate-related performance.

• Public support for Paris Agreement goals – including international cooperation as a vehicle to ensure that those goals can be achieved at the lowest overall cost to the economy.
• Industry decarbonisation – reduce emissions from their own operations and strive to reduce emissions from the use of energy, together with customers and society. Measure firms’ contributions using carbon intensity and / or absolute metrics at different points in the value chain.
• Energy system collaboration – collaborate with stakeholders, including energy users, investors and governments, to develop and promote approaches to reduce emissions from the use of energy in support of countries delivering their Nationally Determined Contributions towards achieving the goals of the Paris Agreement.
• Development of carbon sinks – continue to support and promote the development of emissions sinks such as CCUS technology and natural sinks Transparency – provide disclosure related to climate change risks and opportunities consistent with the aims of the recommendations of the Taskforce on Climate-related Financial Disclosures (TCFD).
• Industry and trade associations – report information about their memberships of main industry and trade associations and their alignment with the companies’ key climate advocacy and policy positions.