Italian gas giant Snam has advocated for a “hydrogen economy” and last year pledged to reach net-zero carbon emissions by 2040.
As the Milan-based gas transmission system operator looks to ramp up its climate commitments, the company has also now rebranded itself with the phrase “energy to inspire the world” as it claims to be playing a “leading role” in the energy transition.
But a report by the Institute for Energy Economics and Financial Analysis (IEEFA), which backs the transition from fossil fuels to renewables, has revealed that Europe’s largest gas pipeline firm is continuing to devote the vast majority of planned capital spending to unabated fossil gas infrastructure despite its net-zero ambitions.
The analysis shows that at the same time as Snam is seeking to “attract funding from sustainability-led lenders”, it has allocated just 9% of its spending plan to the energy transition over the next four years while continuing to expand its fossil gas network.
“I hate to use the word, but this is classic greenwashing,” said Arjun Flora, IEEFA director of energy finance studies for Europe and author of the report.