Shell aims to reduce carbon footprint from oil and gas operations

15 March 2019 (Last Updated March 15th, 2019 11:16)

Royal Dutch Shell has unveiled plans to reduce carbon footprint of its energy product and services in its portfolio.

Shell aims to reduce carbon footprint from oil and gas operations
Shell plans to reduce carbon emissions from its oil and gas operations. Credit: Can Pac Swire.

Royal Dutch Shell has unveiled plans to reduce carbon footprint of its energy product and services in its portfolio.

In its 2018 annual report, the company said that it decided to set a net carbon footprint target for 2021 of 2-3% lower than its 2016 net carbon footprint of 79g of CO2 equivalent per megajoule.

As an interim step, the company aims for a reduction of around 20% by 2035 compared with its 2016 level.

According to the company the scope includes emissions covered directly from Shell operations such as extraction, transportation and processing of raw materials and transportation of products.

Also included are emissions from biofuels, oil and gas processed by Shell as well as oil products and electricity marketed by Shell.

“Shell aims for a reduction of around 20% by 2035 compared with its 2016 level.”

The targets are also linked with the remunerations of around 150 company executives, a plan that was first announced in December last year.

In 2020 the move is expected to be expanded to 16,000 employees.

The decision comes at a time when oil and gas companies are facing increasing shareholder pressure to address carbon emissions.

Other oil and gas majors such as BP and Total have also revealed short-term plans to reduce carbon dioxide emissions. However the plans encompass individual operations and exclude Scope 3 emissions, reported Reuters.

In February Shell partnered with Makani, a pioneering start-up in offshore power-generating kites, to boost clean energy usage.

The move will help the company to provide renewable electricity to their charging stations, reducing fossil fuels consumption.