With Oil prices across the globe drastically hit by the COVID-19 pandemic, BP has set out its ambition to reach a net-zero Carbon footprint by 2050 as it looks to break away from its traditional position as one of the world’s leading Oil companies to rebrand as an “integrated energy company”.
The question is whether this aim to transition away from BP’s traditional oil stream is a realistic and attainable target. It’s been noted that this announcement means we will have to see substantial focus and investment placed on renewable and green energy alternatives with wind, solar and hydrogen some of the main forms of clean energy.
This is not the first time in recent years that BP has pledged to be more environmentally conscious so there may well be scepticism over how realistic an ambition this is.
In what has been a torrid year for oil companies globally, surprisingly BP’s shareprice increased by 6% following the announcement and will doubtless buoy shareholders. It will be intriguing to see if fellow oil giants follow suit and drive to be more environmentally aware and move away from traditional energy sources.