November 3, 2020 Read More →

Shell plans shift in business at largest oil refinery on planet

Eco-Business:

Royal Dutch Shell will cut its crude processing capacity in Singapore by half and expand its portfolio of lower-carbon energy solutions, the company announced on Tuesday (10 November).

The move is in line with the company’s target of net-zero emissions by 2050, announced in April this year, and comes amid a drop in global oil demand due to the Covid-19 pandemic.

Sara Ahmed, an energy analyst at the Institute for Energy Economics and Financial Analysis (IEEFA), an energy think tank, said the pandemic has revealed weaknesses in the existing economic system, accelerating trends such as the switch to green energy and environmental, social and governance (ESG) investing.

Shifting to low-carbon alternatives, she told Eco-Business, is a way to diversify out of risks of stranded assets and stranded labour as the economics of fossil fuels continue to deteriorate.

Although some workers will lose their jobs during the transition, “it allows for the workforce to be well positioned for jobs of the future that will ensure greater stability, such as in renewable energy, energy efficiency, grid modernisation and storage, and electric vehicles”, she noted. 

[Tim Ha]

More: Shell Singapore unveils decarbonisation plan—what does it mean for the nation’s energy industry and workforce?

Posted in: IEEFA In the News

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