The Daily Telegraph - Business
Renewables growing faster than any fuel in history, says BP
OIL titan BP has said that renewable power is growing faster than any other fuel in history, ahead of a crunch investor meeting today.
The company made the striking admission in its 2020 edition of the BP Energy Outlook, which explores the possible paths for how big oil companies might reduce their emissions.
This week, BP will host investors from around the world at its capital markets days in an attempt to convince some of the largest funds in the world that it is committed to going green. In February, the company vowed to slash its carbon emissions from oil and gas production to “net zero” by 2050.
The £96bn oil titan is launching a huge restructuring operation under new boss Bernard Looney but many shareholders remain unconvinced by the plan, waiting for the details that have been promised for this week.
In its new report, BP has outlined the three most likely scenarios for the next 30 years in oil and gas. In the main scenarios it considers, global energy demand continues to grow for at least part of the period to 2050, with a declining role for fossil fuels offset by an increasing share for renewable energy and a growing role for electricity.
One of the key themes is the waning demand for oil. All three of the company’s forecasts see oil demand fall over the next 30 years: 10pc lower by 2050 in its business as usual projection, around 55pc lower in its rapid change outlook, and 80pc lower in its most aggressive scenario. In “business as usual”, demand plateaus in the early 2020s and in both “rapid” and “net zero” oil demand never fully recovers from the fall caused by Covid-19.
Last month, as BP cut its dividend and posted a historic quarterly loss, it set out an ambitious plan to slash fossil fuel production by 40pc over the next decade and increase its investment in renewables to $5bn (£4bn) a year.