OIL & GAS
Leading The Way In Sustainability
The Role of Oil & Gas In Greenhouse Gas Emissions
The gas and oil industry plays a significant role in carbon emissions and, consequently, climate change. These sectors are major contributors to the increased concentration of greenhouse gases in the atmosphere due to the extraction, production, and consumption of fossil fuels.
The oil and gas industries are significant contributors to greenhouse gas emissions and climate change. The burning of fossil fuels, including oil and gas, releases large amounts of carbon dioxide into the atmosphere. According to the International Energy Agency, in 2019, the energy sector (which includes oil and gas) accounted for approximately 73% of global greenhouse gas emissions.
Benefits Of Oil & Gas Companies Investing in Carbon Offsetting
Government Policies, Regulations and Carbon Goals
OPEC member countries collaborate to manage oil production levels and stabilize oil prices in the global market.
Oil & Gas Leading Embracing Sustainability
Amid growing concern over climate change, several prominent brands within the gas and oil industry have taken initiatives to lead a sustainable movement, aiming to reduce their environmental impact.
Carbon Neutral Flights
Carbon offsetting involves funding projects that either prevent or reduce greenhouse gas emissions or capture greenhouse gases from the atmosphere in return for credits. Airlines can purchase these credits to offset their own carbon emissions from flights. This allows travelers to board a plane or run a business with a reduced carbon footprint.
Shell (US)
The company has initiated the "Shell Nature-Based Solutions" program, a conscientious effort aimed at offsetting emissions. This program invests in projects rooted in nature, like reforestation and ecosystem restoration. By directing funds into these initiatives, Shell seeks not only to counterbalance their emissions but also to foster the revitalization and preservation of natural habitats and biodiversity.
TotalEnergies (FR)
This organization has made a robust commitment to achieving net-zero emissions by the year 2050. In alignment with this goal, the company is making significant investments in various environmental preservation projects and advanced technologies. These include renewable energy initiatives, which harness the power of wind, solar, and other sustainable sources, and carbon capture and storage (CCS) technologies designed to trap and store CO2 emissions. Additionally, TotalEnergies actively supports reforestation endeavors, aiding in the restoration of forests which act as crucial carbon sinks.
Through investment in eco-friendly projects and technologies, these corporations are not only working to offset their carbon emissions but are also contributing to the broader global effort to mitigate climate change and preserve the planet for future generations.
Here are some recent regulations related to greenhouse gas emissions in the Oil & Gas sector:
– In November 2021, the U.S. Environmental Protection Agency (EPA) proposed new regulations to limit methane emissions from the oil and gas industry. The proposed rule would apply to both new and existing sources in the industry, and is aimed at reducing methane emissions by up to 65% by 2025.
– In December 2020, the European Union (EU) introduced a new regulation to reduce methane emissions from the oil and gas sector. The regulation sets binding emission reduction targets for the sector and requires oil and gas companies to monitor and report their methane emissions.
– In September 2020, the Canadian government announced new regulations to reduce methane emissions from the oil and gas sector. The regulations aim to reduce methane emissions by 40-45% below 2012 levels by 2025.