Norway’s state energy company Equinor has launched an ambitious strategy that includes a significant commitment to renewables and a lot more offshore wind
Unveiling its new ‘climate roadmap’ for the energy transition, which it said would be a good fit for long-term value creation and was in line with the Paris Agreement, Equinor said it aims to grow renewable energy capacity tenfold by 2026, developing as a global offshore wind major.
It also wants to reduce the net carbon intensity – from initial production to final consumption – of energy it produces by at least 50% by 2050, and strengthen its position on carbon-efficient production, aiming to reach carbon neutral global operations by 2030.
Equinor president and chief executive Eldar Sætre said, “Today we are setting new short-, mid- and long-term ambitions to reduce our own greenhouse gas emissions and to shape our portfolio in line with the Paris Agreement.
“It is a good business strategy to ensure competitiveness and drive change towards a low carbon future, based on a strong commitment to value creation for our shareholders.
“We are looking 30 years into the future, and it is not possible to predict an exact shape and pace of the transition. Not for society and not for us. But we know there will have to be significant changes in energy markets, and our portfolio will change accordingly to remain competitive.
“We will produce less oil in a low carbon future, but value creation from oil and gas will still be high, and renewables give significant new opportunities to create attractive returns and growth.
“Equinor’s strategic direction is clear,” said Mr Sætre. “We are developing as a broad energy company, leveraging the strong synergies between oil, gas, renewables, CCUS and hydrogen.
“We will continue addressing our own emissions in line with the emitter pays principle. But we can and will do much more. As part of the energy industry, we must be part of the solution to combat climate change and address decarbonisation more broadly in line with changes in society.”
In 2026, Equinor expects a production capacity from renewable projects of 4-6 GW, 10 times higher than today’s capacity, implying an annual average growth rate of more than 30%.
Around 2035, Equinor expects to have increased installed renewables capacity by a further to 12 to 16 GW, dependent on availability of attractive project opportunities.