Oil and gas major Royal Dutch Shell is planning to reduce carbon emissions across its business divisions by around half by 2050.
The decision is in line with the global energy emission cuts under the Paris Agreement goals.
The company’s aim to cut net carbon footprint covers all of its energy products, in addition to emissions from its own operations.
As part of a short-term goal, the company intends to reduce its net carbon footprint by around 20% by 2035.
Royal Dutch Shell CEO Ben van Beurden said: “We will do this in step with society’s drive to align with the Paris goals, and we will do it by reducing the net carbon footprint of the full range of Shell emissions, from our operations and from the consumption of our products.”
As an indicator of its progress made in achieving the emissions goal, the company will disclose the net carbon footprint not just from its operations and energy use, but also from the use of its energy products.
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By GlobalDataThe progress will be reviewed every five years to ensure Shell is making strides towards the carbon footprint reduction required to meet the Paris goals.
Additionally, the company will expedite the development of new energies as a future growth platform, with an increased outlay of $2bn per year until 2020.
Shell also enhanced its annual organic free cash flow outlook to $25-$30bn by 2020.
It is proceeding with its plan to deliver one million barrels of oil equivalent per day.
Meanwhile, the company’s $30bn divestment programme between 2016 and 2018 is nearing completion.
The divestments are anticipated to be at an average rate of more than $5bn until at least 2020, as the company aims to reduce its net debt.