Oil industry ready to strike grand bargain at COP28

Illuminem summarizes for you the essential news of the day. Read the full piece on Forbes or enjoy below:

🗞️ Driving the news: The oil and gas industry is set to deliver a key message at COP28 in Abu Dhabi: focus on reducing emissions rather than cutting fossil fuel production  
• This stance, influenced by the host country UAE and the role of the CEO of Adnoc as COP28 president, emphasizes the continued reliance on oil and gas in the global economy

🔭 The context: The industry's argument hinges on the prolonged demand for fossil fuels, supported by both OPEC and IEA projections  
• They advocate for emission reduction through technologies like carbon capture and storage (CCS) and direct air capture (DAC), spearheaded by major energy companies

🌍 Why it matters for the planet: The industry's approach promotes operational emission reductions and nature-based solutions, targeting sectors like aviation and heavy industries  
•  However, it sidesteps Scope 3 emissions, passing the responsibility of altering consumer habits to policymakers

⏭️ What's next: The industry's proposal is expected to face opposition, especially from climate activists and some government factions  
•  The debate will center on the balance between reducing emissions and the ongoing use of fossil fuels, reflecting the complexity of global energy transition policies

💬 One quote: "It's not the oil and gas industry's job to change consumer habits – that's on policymakers," reflects the industry's position on its role in the energy transition

📈 One stat: Oil demand is projected to remain at about 102.1 million barrels per day in 2050 under the IEA's State Policies scenario, mirroring current levels

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