Responding to climate change
Reducing greenhouse gas emissions is a global issue that requires global engagement and action.
Our industry absolutely recognises the profound challenges that exist with climate change, and the need to reduce our emissions through greater energy efficiency and lower carbon intensity, investigation of carbon capture and storage, and managing methane emissions.
At the same time, the demand for energy is growing as the world’s population increases, economies develop, and we become more urbanised.
The world will continue to require access to affordable and reliable energy to power industry, heat homes, light cities and transport people and goods.
While there is no doubt the world’s energy mix will change significantly over the coming decades, to meet the world’s energy demand we will need to use more of everything – including oil and gas.
In fact, the International Energy Agency forecasts that oil and gas will still continue to make up over half of the word’s energy consumption in 2040.
Natural gas will be an important transition fuel as the world tackles climate change. Natural gas generates the least CO2 of the fossil fuels, but retains all the advantages.
Natural gas is instantly available, offsetting the intermittency of supply by solar and wind power – the sun does not always shine and the wind does not always blow. Gas is also relatively affordable.
Around the world, significant amounts of electricity are still generated by coal fuelled power stations. The substitution of coal with natural gas is one of the fastest, lowest cost and most secure ways to reduce emissions for many countries.