Since COP27 and now COP28, the industry has been central in driving business models and innovative agendas to decarbonise oil and gas value and supply chains. The critical steps being taken today are moving climate commitments to actions, highlighting the many opportunities that a responsible and just energy transition will unlock. Without doubt, the industry can, will and must do more to shift the dial and accelerate the delivery of future energy systems.

It’s widely acknowledged future energy ecosystems will be in the form of multiple energy sources and that continued investment in hydrocarbons is a must to ensure a smooth energy transition. In particular, projects that bring oil and gas to market quickly or those that deliver low-carbon, CCUS, GHG, methane reduction and carbon abatement solutions to critical legacy assets and infrastructure. Industry wide, innovative fossil fuel R&D and access to funding must remain a global priority.

Global economies and populations continue to struggle with geopolitical constraints, inflation, currency devaluation, recession, rising energy poverty and costs in tandem with increasing extreme weather conditions including wildfires, storms, floods, droughts and heatwaves. With multiple coinciding crises affecting all countries, rich and poor, it is now more important than ever to adopt climate resilience and sustainable economic development strategies, led by bold, articulate government leaders alongside innovators and drivers of cross-industry solutions.

Globally industries, especially energy, are increasingly shifting from resource-led to consumer-led, requiring much needed transformation to both business and operating models across the industry. Critical decisions on longevity of legacy businesses are a must, forward-centric adjustments to business portfolios are needed now to enable tough choices on the how, where and what strategies, in combination with building new businesses around green products.

Clear enabling policies and frameworks are vitally important, however the reality of achieving net zero targets vs delivering energy security and affordability is complex on all sides of the coin, with opinions, beliefs and points of view ranging considerably on achieving the 1.5°C pathway by mid-century. At the same time, ongoing geopolitical constraints, sanctions and fast approaching winter months are ramping up pressure on countries to lock-in energy supplies from new markets resulting in the continued redrawing of the energy map. Globally, efforts require greater multi-stakeholder collaboration to create a sustainable and secure energy future.

Green, clean and renewable energies across industry and mobility are coming, aided by investments in transformative technologies, the potential is big. Advances in electrification are enabling the replacement of fossil-based technologies supporting deployment of hydrogen and fortifying battery storage options. Likewise, increased industry use of wind and solar is reducing emissions and freeing up valuable gas resources. Scaling up investment in R&D to unlock capability and capacity build out for all forms of energy is a must to deliver upon the potential to mitigate the impacts of climate change and reduce future reliance on hydrocarbons.