Shell’s $15 Billion Commitment to Low-Carbon Energy and Emission Reductions

Shell has announced a robust investment of $10-15 billion in low-carbon energy solutions from 2023 to the end of 2025. This investment is part of Shell’s ambitious strategy to halve emissions from its operations by 2030, aligning with its goal to achieve net-zero emissions by 2050 across all its operations and the energy products it provides.

By the end of 2023, Shell reported over 60% progress towards its emission reduction target from its operations compared to 2016 levels. Additionally, it has successfully reduced the net carbon intensity of the energy products it sells by 6.3% relative to 2016. To further its commitment to decarbonization, especially within the transport sector, Shell aims to reduce customer emissions from the use of its oil products by 15-20% by 2030 compared with 2021.

Shell’s Powering Progress strategy, launched in 2021, underscores its commitment to delivering more value with fewer emissions. As part of this strategy, Shell emphasizes the importance of LNG as a critical fuel in the energy transition, maintaining stable oil production while escalating the sale of low-carbon energy solutions.

In addition to operational achievements, Shell has made significant strides in methane emission reductions, achieving a 0.05% methane emissions intensity in 2023, which is well below its 0.2% target. The company also supports global initiatives, such as the World Bank’s Global Flaring and Methane Reduction Fund, to encourage industry-wide efforts to reduce methane emissions and flaring.

Shell is aligning its energy transition plans with areas where it has competitive strengths, strong customer demand, and clear regulatory support. This includes a strategic pivot in its integrated power business to concentrate on markets with high growth potential for renewable power, like Australia, Europe, India, and the USA.