with Ed Crooks & Bjørn Otto Sverdup
We kick off our series of podcasts at Climate Week, by looking at the role of oil and gas in the energy transition. Ed is joined by Bjorn Otto Sverdup, who chairs the Oil and Gas Climate Initiative, who work with the industry to address methane emissions and invest in low-carbon technologies. The oil and gas industry’s role in the energy transition, Bjorn says, is that it plays a crucial part in providing energy, but it also has significant emissions, accounting for up to 10% of the world’s total emissions. The industry’s challenge is twofold: to use its capital and capabilities to develop new, lower-carbon energy solutions, while at the same time work to improve the existing energy system to reduce emissions. In the short term, reducing methane emissions is one of the most important actions the oil and gas sector can take to combat climate change.
Also joining the show is Gernot Wagner, a climate economist at Columbia university. He argues that while getting methane emissions down is important, there’s a need for more long-term thinking. Immediate 5-15% emissions reductions is great, but not if they distract from larger goals. Switching to a more efficient gas furnace may cut emissions now, but it locks in fossil fuel dependence for decades. Instead, transitioning to solutions like heat pumps is essential to achieve the full reduction needed.
The gang open the Climate Week discussions with a debate on this short-term thinking vs long-term goal-setting. What need is there for policy and regulation in the industry? A price on carbon? What exactly is the role of the oil and gas industry as we move to net zero? Can it really be business as usual while they reduce emissions from their operations?
Source: “What is the role that the oil and gas industry should play in the energy transition? Does it have one?” with Ed Crooks, The Energy Gang podcast (24 September 2024).