Chevron triples investment to reduce carbon emissions to $10 billion
By Shubhangi on Sep 15, 2021 | 04:35 AM IST
Chevron Corp on Tuesday committed to triple its investments to reduce carbon emissions
footprint through 2028 to $10 billion.
The oil
company, though, said that it was yet not ready to commit to net-zero emissions
target by 2050.
Chevron said
a total of $3 billion will be used for carbon capture and offsets, $2 billion
for greenhouse gas reduction, $3 billion for renewable fuels and $2 billion for
hydrogen energy.
Governments
around the world have been putting pressure on oil producers to sharply cut
greenhouse gas emissions by 2050 to fight against climate change.
The company
said it is not ready to commit to net-zero targets as Chief Executive
Michael Wirth told investors on Tuesday that the company does not want to
"be in a position in which we lay out ambitions that we don't believe are
realistic and deliverable."
"The board is looking to see, how do you deliver a
strategy that meets the needs of shareholders today and the expectations of
shareholders for the future?" the CEO said.
He added that not many investors support the strategy used
by European oil companies to invest in less-profitable solar and wind power.
European
oil companies have decided to avoid fossil fuels and invest highly in renewable
to implement 2050 emission targets.
Wirth said
the net-zero goal will be reassessed later this year with the company’s climate
report.
U.S. oil producers including Chevron, Exxon Mobil Corp and Occidental Petroleum aim to reduce carbon emissions per unit of
output.
Chevron
kept unchanged its plan of reducing greenhouse gas intension by 35% through
2028 from 2016 levels from its oil and gas output.
(With
inputs from Reuters)
Picture
Credits: Reuters