Oil Companies' Green Transition Plans Dubious, Prioritizing Fossil Fuel Exploration Over Renewables: AP Analysis

Billion-dollar investments in oil exploration and development overshadow minimalist green energy efforts; companies sidestep "Scope 3" emissions issue, raising concerns about genuine commitment to transition to renewables.

• Despite attending climate summits like COP27 and COP28, major oil and gas companies such as Brazil's Petrobras and Algeria's Sonatrach continue to prioritize fossil fuel exploration and development, with billions of dollars being spent on new oil reserves.
• Companies largely sidestep the issue of 'Scope 3' emissions, which result from customers using their products and represent a substantial portion of a company's total emissions. Many argue these emissions are beyond their control.
• The AP analysis highlights minimal investment in established green technologies like solar and wind power. Instead, 'sustainable' or 'green' sections of company reports often include biofuels, hydrogen development, and carbon capture, with some advocating for natural gas, which still emits significant amounts of methane.
• Brazil's Petrobras, for example, has over 10 times more investment in crude oil exploration and production than in low-carbon projects for the period 2023-27. The company's strategy expects oil and gas production to 'guarantee the energy security of Brazil and the world in the coming decades'.
• Norwegian company Equinor, however, plans to attain net zero emissions by 2050, addressing 'Scope 3' emissions and focusing on renewable energy investments. The company also admits the need to continue producing oil and gas 'for the foreseeable future' to avoid global shocks.

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