Doubling down on emissions abatement
IT is growingly crucial for energy firms to focus on green initiatives as the world is transitioning to a low-carbon future.
The industry must ensure it is prepared for this transition so that it may not only participate, but also be able to compete on a global scale.
By doing this, the sector can remain an important driver of Malaysia’s economic growth and contribute to national sustainable development priorities.
This will require the OGSE sector to adapt, innovate and collaborate so that it can grow sustainably.
On that note, Petronas will continue to uphold prudent financial management and discipline, as the group doubles down on emissions abatement in its core business and pursue cleaner energy solutions.
“We remain committed to executing our Energy Transition Strategy even as we strive to ensure operational excellence,” said Tengku Muhammad Taufik. “Delivering on both fronts will be crucial in order to continue growing the value of our integrated business portfolio.”
He said Petronas has developed a clear strategy for the energy transition. This strategy aims to ensure a balanced approach in offering emissions-abated solutions while it lays the foundation for a new energy system.
“Across the Group, we are making progress in meeting our near-term target of capping emissions at 49.5 million tCO2e (tonnes of CO2 equivalent) by 2024 in our domestic operations.
“As we look ahead, Petronas remains determined to continue improving our delivery as a progressive energy and solutions partner,” he said.
At the same time, the energy industry is experiencing a shift towards cleaner solutions.
“Petronas remains steadfast in upholding capital discipline by striking the right balance between strengthening its Core Business and capturing opportunities in New Business, including clean energy solutions, while responsibly managing carbon emissions in line with its Energy Transition Strategy.
“Petronas would also focus on advancing its maiden carbon capture and storage project in Kasawari, continue to progress towards commissioning its liquefied natural gas plant in Canada, and intensify value-accretive renewables and hydrogen projects,” he said.
Petronas’s capex has been typically stable between RM50 billion and RM60 billion per year and 20 per cent of the total capex would be set aside for decarbonisation and new businesses, he added.