BP to abandon green energy target and ramp up oil

illuminem summarizes for you the essential news of the day. Read the full piece on The Telegraph or enjoy below:

🗞️ Driving the news: BP (see sustainability performance) is set to abandon its ambitious green energy targets and ramp up oil production
• The company will scrap its plan to increase renewable energy capacity 20-fold by 2030
• CEO Murray Auchincloss is implementing a “fundamental reset,” shifting focus back to fossil fuels

🔭 The context: Former CEO Bernard Looney had pledged to grow BP’s renewable capacity to 50 GW, but the company has only reached 8.2 GW
• Under investor pressure, BP has halted all renewable investments, sold US wind farms, and scaled back oil and gas reduction targets
• Activist investor Elliott Management’s 5% stake is influencing BP’s shift toward cost-cutting and asset sales

🌍 Why it matters for the planet: BP’s retreat from green energy signals a setback for the transition to renewables
• Other energy giants like Shell and Equinor have also scaled back climate commitments due to financial pressures
• The shift comes amid political uncertainty, with Donald Trump’s potential return further threatening global net-zero efforts

⏭️ What's next: BP will announce its revised strategy at an investor meeting on Wednesday
• The company is expected to cut staff by 5% and introduce a new annual profit growth target
• More asset sales and a continued focus on fossil fuels are likely

💬 One quote: “Fundamental reset” — Murray Auchincloss, BP CEO

📈 One stat: BP’s profits fell from $13.4 billion in 2023 to $8.2 billion in 2024

See here detailed sustainability performance of BP

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