Oil sector intensifies commitment to clean energy, DNV GL study finds

Global classification society DNV GL has proclaimed that ‘priorities are shifting’ in the oil and gas industry after a record 66% of senior professionals reported that their organisation is actively adapting to a less carbon-intensive energy mix in 2021.

In addition, some 57% of over 1,000 surveyed individuals in the oil and gas sector said they planned to increase investment in renewables, up from 44% last year, and nearly half (48%) expected to increase investment in green or decarbonised gas.

Just 21% said they will increase investment in oil projects in 2021, as the sector “increasingly comes to terms with the notion that the world’s demand for oil has peaked or will peak in the short to medium term”, said DNV GL.

“The financial markets – through the effects of the COVID-19 pandemic – have seen what peak oil demand could look like, and are increasingly factoring in changing sentiment in society towards a decarbonised future,” said Remi Eriksen, group president and CEO of DNV GL.

“Decarbonisation has moved from something on the horizon to an immediate priority, and there are signs that our sector may invest to transform rather than cut its way out of the present crisis.

“Long term, net zero policies have the potential to drive deep decarbonisation of the world’s energy system, and they are already changing the direction of the oil and gas industry,” he added.