Skip to main content

Summary of review findings and actions

Summary of review findings and actions (Table 4)

For details of the individual reviews, click on the links below.

Aligned

Findings

We are aligned on climate and energy transition-related positions with these industry associations.

Actions

We will continue to engage with these industry associations and work constructively with them on climate and energy transition-related policies that support the goal of the Paris Agreement and help society to achieve net-zero emissions by 2050.

We will continue to track alignment between the associations’ climate and energy transition-related positions and our own.

Some misalignment

Findings

We have identified some misalignment on climate and energy transition-related positions with these industry associations.

Actions

We will continue to engage with these industry associations to promote climate and energy transition-related policies that support the goal of the Paris Agreement and help society to achieve net-zero emissions by 2050.

We will track alignment between the associations’ climate and energy transition-related positions and our own, and will be transparent about where we find differences.

We will also take one or more of the following actions:

  • Remain in the industry associations and increase our engagement with them in areas where we have different views;
  • Pursue our advocacy independently or through other associations or coalitions; and/or
  • Reassess our membership where we identify material misalignment, including ending activities such as board and committee participation, or ending overall membership.

Findings

We are aligned on climate and energy transition-related positions with these industry associations.

Actions

We will continue to engage with these industry associations and work constructively with them on climate and energy transition-related policies that support the goal of the Paris Agreement and help society to achieve net-zero emissions by 2050.

We will continue to track alignment between the associations’ climate and energy transition-related positions and our own.

Ai GroupAligned

Summary

Shell benefits from its membership of Ai Group, especially in relation to its work on energy market and energy efficiency policies. Ai Group is also a member of the Australian Climate Roundtable and signatory to its joint principles for climate policy.[1]

We have found Ai Group to be aligned with our climate and energy transition-related policy positions.

We will remain a member of Ai Group. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between Ai Group’s climate and energy transition-related positions and our own.

Further information: See Ai Group – Full Assessment Result.

American Chemistry Council (ACC)Aligned

Summary

Shell benefits from its membership of ACC, particularly in relation to its federal- and state-level advocacy on topics such as chemical management, product stewardship, trade policy, transport and infrastructure. We value ACC’s Responsible Care programme that helps members to enhance environmental, health, safety and security performance. We also support ACC’s Roadmap to Reuse and advanced recycling programme.

We have found ACC to be aligned with our climate and energy transition-related policy positions.

We will encourage ACC to:

  • Explicitly state support for net-zero emissions by 2050.
  • Support reducing methane emissions throughout the natural gas supply chain through direct regulations such as performance standards based on robust monitoring, reporting and verification frameworks.

We will remain a member of ACC. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between ACC’s climate and energy transition-related positions and our own.

Further information: See American Chemistry Council (ACC) – Full Assessment Result.

American Clean Power Association (ACP)Aligned

Summary

Shell benefits from its membership of ACP, in particular its role in uniting the diverse renewable energy industry behind common goals such as modernising the US power grid and facilitating key technologies such as offshore wind.

We welcome ACP’s leadership and advocacy in relation to the deployment of funding and incentives made available through the Infrastructure Investment and Jobs Act of 2021 and the Inflation Reduction Act of 2022.

We have found ACP to be aligned with our climate and energy transition-related policy positions.

We will remain a member of ACP. We will continue to engage the association on climate and energy transition-related topics. We will continue to track alignment between ACP’s climate and energy transition-related positions and our own.

Further information: See American Clean Power Association (ACP) – Full Assessment Result.

Australian Energy Council (AEC)Aligned

Summary

Shell benefits from its membership of AEC, especially in relation to AEC’s work on energy market policy and regulation.

We welcome AEC’s Statement of Strategic Intent, published in September 2022, which emphasises AEC’s commitment to the energy transition and the role it intends to play in the development of policy frameworks to support reaching net zero by 2050.

We have found AEC to be aligned with our climate and energy transition-related policy positions.

We will encourage AEC to:

  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.

We will remain a member of AEC. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between AEC’s climate and energy transition-related positions and our own.

Further information: See Australian Energy Council (AEC) – Full Assessment Result.

Australian Industry Greenhouse Network (AIGN)Aligned

Summary

Shell benefits from its membership of AIGN, especially in relation to joint industry action on climate change to promote the sustainable development of Australia’s industrial resources.

We have found AIGN to be aligned with our climate and energy transition-related policy positions.

We will encourage AIGN to:

  • Further support accelerating electrification using renewable and low-carbon power sources.

We will remain a member of AIGN. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between AIGN’s climate and energy transition-related positions and our own.

Further information: See Australian Industry Greenhouse Network (AIGN) – Full Assessment Result.

Business Council of Australia (BCA)Aligned

Summary

Shell benefits from its membership of BCA, which provides an important platform to engage with businesses in Australia on taxes, climate policy and other issues. BCA is a member of the Australian Climate Roundtable and signatory to its joint principles for climate policy.[2]

We welcome the BCA’s Achieving Net Zero paper that it published in October 2021, that underpinned much of its advocacy in 2022, and the proactive and constructive approach it has taken to advocating for Australian climate policy.

We have found BCA to be aligned with our climate and energy transition-related policy positions.

We will remain a member of BCA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between BCA’s climate and energy transition-related positions and our own.

Further information: See Business Council of Australia (BCA) – Full Assessment Result.

BusinessEuropeAligned

Summary

Shell benefits from being a partner company of BusinessEurope, in particular through the association’s role in the EU policy debate on the global competitiveness of European industry. Our participation provides us with a platform to interact with representatives of national business associations.

We found BusinessEurope to be aligned with our climate and energy transition-related policy positions.

We will remain a member of BusinessEurope. We will continue to track alignment between BusinessEurope’s climate and energy transition-related policy positions and our own.

Further information: See BusinessEurope – Full Assessment Result.

Canadian Fuels Association (CFA)Aligned

Summary

Shell benefits from its membership of CFA, in particular through CFA’s advocacy of policies that shape the downstream business.

In 2022, Shell welcomed CFA’s update to its Driving to 2050 vision which outlines CFA member commitment to support a strong and resilient economy as well as meaningful reductions in greenhouse gas emissions.[3]

We have found CFA to be aligned with our climate and energy transition-related policy positions.

We will encourage CFA to:

  • Publish more information on its website about its positions on key climate and energy transition topics. This includes its support for policies that enable different ways to produce decarbonised hydrogen, and its support for electrification using renewable or low-carbon power sources.

We will remain a member of CFA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between CFA’s climate and energy transition-related positions and our own.

Further information: See Canadian Fuels Association (CFA) – Full Assessment Result.

European Chemical Industry Council (Cefic)Aligned

Summary

Shell benefits from its membership of Cefic, in particular through the association’s advocacy related to issues that impact the chemical sector. These include regulations related to emissions (air, water and waste) and to chemical health and safety, energy and climate.

We have found Cefic to be aligned with our climate and energy transition-related policy positions.

We will remain a member of Cefic. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between Cefic’s climate and energy transition-related positions and our own.

Further information: See European Chemical Industry Council (Cefic) – Full Assessment Result.

Confederation of British Industry (CBI)Aligned

Summary

Shell benefits from its membership of CBI, in particular with respect to its work and engagement on climate and energy, taxation, finance and skills development.

We have found CBI to be aligned with our climate and energy transition-related policy positions.

We will remain a member of CBI. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between CBI’s climate and energy transition-related positions and our own.

Further information: See Confederation of British Industry (CBI) – Full Assessment Result.

Confederation of Netherlands Industry and Employers (VNO-NCW)Aligned

Summary

Shell benefits from its membership of VNO-NCW, which is an influential voice in the national policy debate on the competitiveness of Dutch industry. Participation provides a platform for us to engage with other companies on issues such as climate change, pension reform, gender equality and social licence to operate.

We have found VNO-NCW to be aligned with our climate and energy transition-related policy positions.

We will remain a member of VNO-NCW. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between VNO-NCW’s climate and energy transition-related positions and our own.

Further information: See Confederation of Netherlands Industry and Employers (VNO-NCW) – Full Assessment Result.

Electric Power Supply Association (EPSA)Aligned

Summary

Shell benefits from its membership of EPSA, particularly in relation to power market advocacy.

We have found EPSA to be aligned with our climate and energy transition-related policy positions.

We will encourage EPSA to:

  • State support for net-zero emissions by 2050.
  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.
  • Support ending approval of investments in new unabated coal power generation. Support phase-out of unabated coal power generation by 2040.

We will remain a member of EPSA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between EPSA’s climate and energy transition-related positions and our own.

Further information: See Electric Power Supply Association (EPSA) – Full Assessment Result.

European Round Table for Industry (ERT)Aligned

Summary

Shell benefits from its membership of ERT as an executive-level industrial network that engages with the EU on strategic issues.

We have found ERT to be aligned with our climate and energy transition-related policy positions.

We will remain a member of ERT. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between ERT’s climate and energy transition-related positions and our own.

Further information: See European Round Table for Industry (ERT) – Full Assessment Result.

EurogasAligned

Summary

Shell benefits from its membership of Eurogas, in particular from its policy advocacy supporting the role of renewable and low-carbon gases in the transition to climate neutrality.

We have found Eurogas to be aligned with our climate and energy transition-related policy positions.

We will encourage Eurogas to:

  • Support reducing methane emissions throughout the natural gas supply chain through direct regulations such as performance standards based on robust monitoring, reporting and verification frameworks.

We will remain a member of Eurogas. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between Eurogas’s climate and energy transition-related positions and our own.

Further information: See Eurogas – Full Assessment Result.

FuelsEuropeAligned

Summary

Shell benefits from FuelsEurope’s advocacy on issues that impact the refining sector. This includes energy and climate regulations, transport fuels and emissions to air, water and waste. Both FuelsEurope and Concawe provide best practice on managing risks to the environment from the production and use of oil products.

We found FuelsEurope to be aligned with our climate and energy transition-related policy positions.

We will remain a member of FuelsEurope. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between FuelsEurope’s climate and energy transition-related positions and our own.

Further information: See FuelsEurope – Full Assessment Result.

Hydrogen CouncilAligned

Summary

Shell benefits from its membership of the Hydrogen Council, particularly in relation to its work and engagement to enable hydrogen and hydrogen policy. It also publishes hydrogen-related studies and provides a platform for government and companies to connect on hydrogen issues.

We have found the Hydrogen Council to be aligned with our climate and energy transition-related policy positions.

We will remain a member of the Hydrogen Council. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between the Hydrogen Council’s climate and energy transition-related positions and our own.

Further information: See Hydrogen Council – Full Assessment Result.

Hydrogen EuropeAligned

Summary

Shell benefits from its membership of Hydrogen Europe, in particular from its advocacy of policy levers to establish an EU hydrogen economy. Hydrogen Europe is the only EU trade association representing the full hydrogen value chain.

We have found Hydrogen Europe to be aligned with our climate and energy transition-related policy positions.

We will remain a member of Hydrogen Europe. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between Hydrogen Europe’s climate and energy transition-related positions and our own.

Further information: See Hydrogen Europe – Full Assessment Result.

International Air Transport Association (IATA)Aligned

Summary

Shell benefits from its strategic partnership with IATA, as the relationship allows us to connect with other companies and organisations in the aviation industry. Participation in IATA’s technical fuels forum allows us to engage on issues such as fuel management, compliance standards, and health, safety, security and the environment. We also benefit from IATA’s alternative fuels symposium.

We have found IATA to be aligned with our climate and energy transition-related policy positions.

We will remain a member of IATA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between IATA’s climate and energy transition-related positions and our own.

Further information: See International Air Transport Association (IATA) – Full Assessment Result.

International Emissions Trading Association (IETA)Aligned

Summary

Shell benefits from its membership of IETA through IETA’s role as a worldwide advocacy platform and source of information and expertise on carbon pricing and trading, a key area of advocacy for Shell. IETA is also a recognised observer to the UNFCCC.

We welcomed IETA’s 2022 discussion paper on Article 6 of the Paris Agreement that focused on how governments can implement Nationally Determined Contributions (NDCs) cooperatively and encourage private sector investment.[4] We believe that this paper can help advance the use of Article 6 among key stakeholders.

We have found IETA to be aligned with our climate and energy transition-related policy positions.

We will encourage IETA to:

  • Support policies to ensure that nature-based solutions complement, and do not displace, efforts to avoid and reduce greenhouse gas emissions.
  • Further support sectoral decarbonisation in aviation and marine by elaborating how carbon markets can help those sectors to decarbonise.

We will remain a member of IETA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between IETA’s climate and energy transition-related positions and our own.

Further information: See International Emissions Trading Association (IETA) – Full Assessment Result.

International Association of Oil & Gas Producers (IOGP)Aligned

Summary

Shell benefits from its membership of IOGP, in particular through the association’s engagement with regulators in many jurisdictions. We value the forum that IOGP presents to share knowledge and good practices with industry peers, and to achieve improvements in areas such as safety, the environment, security and social responsibility.

We welcome the establishment of IOGP’s Energy Transition Directorate in 2021, which has three committees: low carbon operating efficiency, carbon capture transportation and storage, and workforce energy.

We have found IOGP to be aligned with our climate and energy transition-related policy positions.

We will encourage IOGP to:

  • Support ending routine flaring sooner than 2030. IOGP already supports ending routine flaring by 2030, but we encourage efforts to bring that date forward.
  • Explicitly support policies to ensure that nature-based solutions complement and do not displace efforts to avoid and reduce greenhouse gas emissions.

We will remain a member of IOGP. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between IOGP’s climate and energy transition-related positions and our own.

Further information: See International Association of Oil & Gas Producers (IOGP) – Full Assessment Result.

IpiecaAligned

Summary

Shell benefits from its membership of Ipieca, which provides an effective platform to exchange experience and good practice across a wide range of themes. Ipieca has non-lobby status and is the oil and gas industry’s principal channel of engagement with the United Nations.[5]

We found Ipieca to be aligned with our climate and energy transition-related policy positions.

We will encourage Ipieca to:

  • Explicitly state support for net-zero emissions by 2050.
  • Support policies to ensure that nature-based solutions complement and do not displace efforts to avoid and reduce greenhouse gas emissions.
  • Support ending routine flaring sooner than 2030. Ipieca already supports ending routine flaring by 2030, but we encourage efforts to bring that date forward.
  • State support for the acceleration of electrification using renewable and low-carbon power sources.

We will remain a member of Ipieca. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between Ipieca’s climate and energy transition-related positions and our own.

Further information: See Ipieca – Full Assessment Result.

Offshore Energies UK (OEUK, formerly OGUK)Aligned

Summary

Shell benefits from its membership of OEUK, especially in relation to energy and fiscal policy, environment, decommissioning, gas market regulation and health and safety.

We welcome the 2022 rebranding of Oil and Gas UK (OGUK) to OEUK, which reflects the energy transition journey of its members.

We have found OEUK to be aligned with our climate and energy transition-related policy positions.

We will encourage OEUK to:

  • Support ending routine flaring sooner than 2030. OEUK already supports ending routine flaring by 2030, but we encourage efforts to bring that date forward.
  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.

We will remain a member of OEUK. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between OEUK’s climate and energy transition-related positions and our own.

Further information: See Offshore Energies UK (OEUK, formerly OGUK) – Full Assessment Result.

Oil and Gas Climate Initiative (OGCI)Aligned

Summary

Shell benefits from its membership of OGCI, especially in relation to its work on methane and carbon capture, utilisation and storage (CCUS).

We particularly welcomed the launch of OGCI’s industry-wide Aiming for Zero Methane Initiative in 2022, and its work to help accelerate the deployment of CCUS in key countries.[6] [7] [8] [9]

We have found OGCI to be aligned with our climate and energy transition-related policy positions.

We will remain a member of OGCI. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between OGCI’s climate and energy transition-related positions and our own.

Further information: See Oil and Gas Climate Initiative (OGCI) – Full Assessment Result.

Natural Gas Supply Association (NGSA)Aligned

Summary

Shell benefits from its membership of NGSA, in particular from its expertise in natural gas market and supply issues.

We have found NGSA to be aligned with our climate and energy transition-related policy positions.

We will encourage NGSA to:

  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.

We will remain a member of NGSA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between NGSA’s climate and energy transition-related positions and our own.

Further information: See Natural Gas Supply Association (NGSA) – Full Assessment Result.

Solar Energy Industries Association (SEIA)Aligned

Summary

Shell benefits from its membership of SEIA, in particular from SEIA’s expertise and advocacy of energy storage, electric vehicle and power transmission solutions, including the need for greater coordination of interregional power transmission planning.[10]

We have found SEIA to be aligned with our climate and energy transition-related policy positions.

We will encourage SEIA to:

  • Explicitly state support for net-zero emissions by 2050.
  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.

We will remain a member of SEIA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between SEIA’s climate and energy transition-related positions and our own.

Further information: See Solar Energy Industries Association (SEIA) – Full Assessment Result.

United Kingdom Petroleum Industry Association (UKPIA)Aligned

Summary

Shell benefits from its membership of UKPIA, which provides a platform to engage government on common issues impacting the downstream sector in the UK, for example the impacts of fuel protests, refining sector issues and implementation of regulatory changes.

We found UKPIA to be aligned with our climate and energy transition-related policy positions.

We will remain a member of UKPIA. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between UKPIA’s climate and energy transition-related positions and our own.

Further information: See United Kingdom Petroleum Industry Association (UKPIA) – Full Assessment Result.

Vereniging Energie voor Mobiliteit en Industrie (VEMOBIN, formerly VNPI)Aligned

Summary

Shell benefits from its membership of VEMOBIN, especially in relation to industry and transport public policy.

Shell welcomes the rebranding of Vereniging Nederlandse Petroleum Industrie (VNPI) to VEMOBIN in 2022, which reflects the energy transition journey of its members.

We have found VEMOBIN to be aligned with our climate and energy transition-related policy positions.

We will remain a member of VEMOBIN. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between VEMOBIN’s climate and energy transition-related positions and our own.

Further information: See Vereniging Energie voor Mobiliteit en Industrie (VEMOBIN, formerly VNPI) – Full Assessment Result.

WindEuropeAligned

Summary

Shell benefits from its membership of WindEurope, in particular from its work on offshore wind policy and the reform of electricity market design.

We have found WindEurope to be aligned with our climate and energy transition-related policy positions.

We will remain a member of WindEurope. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between WindEurope’s climate and energy transition-related positions and our own.

Further information: See WindEurope – Full Assessment Result.

World Business Council for Sustainable Development (WBCSD)Aligned

Summary

Shell benefits from its membership of WBCSD, which provides an important platform for Shell to exchange information with businesses around the world on issues relating to sustainability. WBCSD also brings the voice of business to the UN climate and biodiversity negotiations and will serve as the secretariat for the Energy Transition Alliance at COP28.

We particularly welcome WBCSD’s work in 2022 to drive transparency in Scope 3 emissions reporting, piloting the Task Force for Nature Related Financial Disclosures framework and driving harmonisation in other non-financial disclosure frameworks.

We have found WBCSD to be aligned with our climate and energy transition-related policy positions.

We will encourage WBCSD to:

  • Support ending routine flaring by 2030 or sooner.

We will remain a member of WBCSD. We will continue to engage the association on climate and energy transition topics. We will continue to track alignment between WBCSD’s climate and energy transition-related positions and our own.

Further information: See World Business Council for Sustainable Development (WBCSD) – Full Assessment Result.

Findings

We have identified some misalignment on climate and energy transition-related positions with these industry associations.

Actions

We will continue to engage with these industry associations to promote climate and energy transition-related policies that support the goal of the Paris Agreement and help society to achieve net-zero emissions by 2050.

We will track alignment between the associations’ climate and energy transition-related positions and our own, and will be transparent about where we find differences.

We will also take one or more of the following actions:

  • Remain in the industry associations and increase our engagement with them in areas where we have different views;
  • Pursue our advocacy independently or through other associations or coalitions; and/or
  • Reassess our membership where we identify material misalignment, including ending activities such as board and committee participation, or ending overall membership.

American Petroleum Institute (API)Some misalignment

Summary

Shell benefits from its membership of API, including API’s representation of the industry with regulatory agencies and in legal proceedings. We welcome API’s advocacy on a range of state and federal issues, including trade, transport, taxes and the environment.

API sets safety, environmental and technical standards for oil and natural gas companies. It creates certification programmes for people working in the industry and for products, allowing us to bring them to market. API is also a leading voice on key issues that impact our customers, including standards for biofuels. We recognise API’s leading role in creating the Environmental Partnership.

We have found API to have some misalignment with our climate and energy transition-related policy positions.

We believe that API is advocating more constructively on climate than previously, especially on carbon pricing and methane regulation. We note that API opposed the Inflation Reduction Act of 2022.[11] API opposed the legislation mainly on the basis of tax increases, rather than its climate and clean energy provisions. API stated support for the extension of CCUS tax credits in the legislation.[12] Shell supported the legislation, which has been described as the “largest climate investment in American history”.[13]

We will urge API to:

  • State support for net-zero emissions by 2050 and engage in sustained and constructive advocacy in support of the US target to achieve net-zero emissions by 2050.
  • State support for ending routine flaring by 2030 or sooner.

We will encourage API to:

  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.
  • Further advance policies to make meaningful reductions in road transport carbon emissions.

We will remain a member of API at the current time. We will continue to track alignment between API’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views, including through our positions on API’s climate committee, board and executive committee.

Further information: See American Petroleum Institute (API) – Full Assessment Result.

Australian Petroleum Production & Exploration Association (APPEA)Some misalignment

Summary

Shell benefits from its membership of APPEA, especially in relation to its advocacy on gas, and supporting emissions reductions through advocating new technologies such as carbon capture and storage (CCS).

We welcome APPEA’s efforts in 2022 to raise industry awareness of the need to reduce methane emissions and its public support for the Australian government’s decision to sign the Global Methane Pledge.[14]

We have found APPEA to have some misalignment with our climate and energy transition-related policy positions.

We will urge APPEA to:

  • Continue to support reducing methane emissions throughout the natural gas supply chain. Support direct regulations for reducing methane emissions such as performance standards based on robust monitoring, reporting and verification frameworks. Support ending routine flaring by 2030 or sooner to help achieve such standards.

We will encourage APPEA to:

  • Provide information on its website about its work with Net Zero Australia.
  • Support common standards and benchmarks to allow comparison of environmental, social and governance (ESG) reporting.

We will remain a member of APPEA at the current time. We will continue to track alignment between APPEA’s climate and energy transition-related positions and our own, and will be transparent about where we find differences. We will continue to engage the association, including through our positions on APPEA’s board and committees, in areas where we have different views.

Further information: See Australian Petroleum Production & Exploration Association (APPEA) – Full Assessment Result.

Canadian Association of Petroleum Producers (CAPP)Some misalignment

Summary

Shell benefits from its membership of CAPP, especially through CAPP’s role as a platform for presenting a unified voice to government and the public on upstream policies and topics, such as climate, carbon leakage, health and safety, and engagement with Indigenous Peoples and other stakeholders.

We have found CAPP to have some misalignment with our climate and energy transition-related policy positions.

We will urge CAPP to:

  • State a position in support of ending routine flaring by 2030 or sooner.

We will encourage CAPP to:

  • Explicitly support decarbonised hydrogen and policies that enable different ways to produce decarbonised hydrogen, including hydrogen produced by electrolysis and natural gas reforming with carbon capture and storage (CCS), and hydrogen-based fuels, based on life-cycle analysis greenhouse gas (GHG) intensity measures. We encourage CAPP to publish more information on its website about its advocacy in relation to decarbonised hydrogen.
  • State a position to ensure that nature-based solutions complement, and do not displace, efforts to avoid and reduce GHG emissions.
  • Build upon its reports on the sector’s environmental social and governance (ESG) performance to advocate in support of common standards and benchmarks to allow comparison of ESG reporting.
  • Provide information on its website about its support for accelerating electrification with renewable and low-carbon power sources.

We will remain a member of CAPP at the current time. We will continue to track alignment between CAPP’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views, including through our involvement in CAPP’s climate policy committees and board.

Further information: See Canadian Association of Petroleum Producers (CAPP) – Full Assessment Result.

Chamber of Minerals and Energy of Western Australia (CME)Some misalignment

Summary

Shell benefits from its membership of CME, including its advocacy on issues relating to environment, climate, economic competitiveness, skills development, health and safety, infrastructure and land access.

We have found CME to have some misalignment with our climate and energy transition-related policy positions.

We will urge CME to:

  • Support reducing methane emissions throughout the natural gas supply chain through direct regulations such as performance standards based on robust monitoring, reporting and verification frameworks. Support ending routine flaring by 2030 or sooner to help achieve such standards.

We will encourage CME to:

  • Explicitly state support for putting a direct price on carbon emissions as part of a broader policy framework to achieve net-zero emissions.
  • Support ending approval of investments in new unabated coal power generation. Support phase-out of unabated coal power generation by 2040, where feasible.
  • Support accelerating electrification using renewable and low-carbon power sources.

We will remain a member of CME at the current time. We will continue to track alignment between CME’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views.

Further information: See Chamber of Minerals and Energy of Western Australia (CME) – Full Assessment Result.

International Gas Union (IGU)Some misalignment

Summary

Shell benefits from its membership of IGU, in particular from IGU’s advocacy of the benefits of gas and its role in the energy transition. IGU also participates in international forums, such as the UNFCCC Conference of the Parties.

We have found IGU to have some misalignment with our climate and energy transition-related policy positions.

We will urge IGU to:

  • Support reducing methane emissions throughout the natural gas supply chain through direct regulations such as performance standards based on robust monitoring, reporting and verification frameworks. Explicitly state support for ending routine flaring by 2030 or sooner to help achieve such standards.

We will encourage IGU to:

  • Explicitly state support for net-zero emissions by 2050.
  • Support policies to facilitate the decarbonisation of heavy industry, including those that create demand and encourage supply of low-carbon energy in industry.
  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.

We will remain a member of IGU at the current time. We will continue to track alignment between IGU’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views.

Further information: See International Gas Union (IGU) – Full Assessment Result.

National Association of Manufacturers (NAM)Some misalignment

Summary

Shell benefits from its membership of NAM, in particular from its expertise in trade, environmental regulation, the role of natural gas and tax.

We have found NAM to have some misalignment with our climate and energy transition-related policy positions.

We note that NAM opposed the 2022 US Inflation Reduction Act due to concerns about tax increases.[15] Shell supported the legislation, which has been described as the “largest climate investment in American history”.[16]

We will urge NAM to:

  • Explicitly state support for net-zero emissions by 2050 and engage in sustained and constructive advocacy in support of the US target to achieve net-zero emissions by 2050.
  • Explicitly state support for putting a direct price on carbon emissions as part of a broader policy framework to achieve net-zero emissions.
  • Support the phase-out of unabated coal power generation by 2040.

We will encourage NAM to:

  • Support reducing methane emissions throughout the natural gas supply chain through direct regulations such as performance standards based on robust monitoring, reporting and verification frameworks. We also encourage NAM to state support for ending routine flaring by 2030 or sooner.

We will remain a member of NAM at the current time. We will continue to track alignment between NAM’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views, including through our position on NAM’s board.

Further information: See National Association of Manufacturers (NAM) – Full Assessment Result.

Queensland Resources Council (QRC)Some misalignment

Summary

Shell benefits from its relationship with QRC, in particular from QRC’s advocacy and expertise in environmental and regulatory issues, indigenous participation, and women in mining and resources initiatives. QRC is also a key advocate for the gas sector in Queensland.

We note that in late 2022, QRC launched its Keep Queensland Competitive campaign.[17] The focus of the campaign is on the Queensland government’s decision to increase coal royalty taxes to the highest level in the world, and the consequences for future investment in all resources projects, including clean energy projects. Given the campaign’s focus on coal royalty taxes, and Shell’s position in support of the phase-out of unabated coal power generation by 2040 (where feasible), we have decided not to participate in or contribute financially to the campaign. However, we recognise the concerns about how the decision to increase royalty taxes could affect investment confidence in other major energy and mining projects.

We have found QRC to have some misalignment with our climate and energy transition-related policy positions.

We will urge QRC to:

  • Support reducing methane emissions throughout the natural gas supply chain through direct regulations such as performance standards based on robust monitoring, reporting and verification frameworks. We also urge QRC to support ending routine flaring by 2030 or sooner to help achieve such standards.

We will encourage QRC to:

  • Support improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.
  • Provide more information on its website about its advocacy in support of carbon capture and storage (CCS) and decarbonised hydrogen.

We will remain a member of QRC at the current time. We will continue to track alignment between QRC’s climate and energy transition-related positions and our own, and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views.

Further information: See Queensland Resources Council (QRC) – Full Assessment Result.

Texas Oil & Gas Association (TXOGA)Some misalignment

Summary

Shell benefits from its membership of TXOGA, particularly in relation to its role advising the Texas state government on development of legislation and regulation to better enable growth in business opportunities in carbon capture, utilisation and storage (CCUS) and hydrogen. TXOGA also supports the reduction of methane emissions and flaring across the oil and gas industry in Texas, including through their work with the oil and gas industry to establish and staff the Texas Methane & Flaring Coalition.[18]

We have found TXOGA to have some misalignment with our climate and energy transition-related policy positions. TXOGA has not stated support for the goal of the Paris Agreement or net-zero emissions by 2050. TXOGA has advised us that as a state-level organisation it is not organised or funded to routinely address such issues, which it considers to be federal, not state-level, issues. We also note that TXOGA has not stated positions on a number of related climate and energy transition topics on which we would expect it to state positions.

We have conducted a more detailed review of our membership of TXOGA, and have decided to remain in the association at the current time. We believe that its positions are changing, and that we can have more impact within the association than outside of it. We also recognise the value that TXOGA brings to us in relation to its advocacy on CCUS and hydrogen. Supportive CCUS and hydrogen regulations are crucial enablers for our business strategy in the region to develop industrial decarbonisation hubs. TXOGA has been advancing CCUS with the Texas state government during 2022, resulting in the association authoring a draft CCUS bill for the 2023 Texas State Legislative Session. TXOGA has also provided input into additional bills being drafted in support of hydrogen production projects within the state and associated pipelines for distribution of hydrogen across the state once projects become operational.

We will keep our membership of TXOGA under review during the next 12 months. We will use this period to continue to engage TXOGA, including through our position on TXOGA’s board and our membership of its work groups on carbon management and climate policy.

We will urge TXOGA to update its climate statement to:

  • State support for net-zero emissions by 2050 and to publicly advocate for reducing carbon emissions.

We will encourage TXOGA to publish information on its website about:

  • Its advocacy on CCUS legislation and regulation.
  • Its advocacy in support of decarbonised hydrogen.
  • Its support of policies that encourage public and private investment to protect and expand natural ecosystems that store carbon, including policies to ensure that nature-based solutions complement, and do not displace, efforts to avoid and reduce greenhouse gas emissions.
  • Its support for improving energy efficiency through standards and regulatory instruments covering key sectors of the economy.

We also encourage TXOGA to:

  • Support policies that recognise natural gas and other low-carbon gases as partners for renewable sources.
  • Support ending routine flaring by 2030 or sooner. TXOGA, through the Texas Methane & Flaring Coalition, already supports ending routine flaring by 2030, but we encourage efforts to bring that date forward.
  • Support accelerating electrification using renewable and low-carbon power sources, and their connection to Texas transmission lines.
  • Advocate constructively in support of a carbon price if such policy discussions arise at state level.
  • State a position in support of policies to decarbonise road transport.

We will continue to track alignment between TXOGA’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views. We will provide an update in our next report.

Further information: See Texas Oil & Gas Association (TXOGA) – Full Assessment Result.

U.S. Chamber of Commerce (USCC)Some misalignment

Summary

Shell benefits from its membership of USCC, especially on broader policy issues that affect Shell as a major contributor to the US economy such as energy policy, tax reform, international trade and investment, and innovation.

We note that USCC opposed the 2022 US Inflation Reduction Act due to concerns primarily around tax increases.[19] However, USCC noted there were parts of the bill that would advance progress on climate and energy security.[20] Shell supported the legislation, which has been described as the “largest climate investment in American history”.[21]

We have found USCC to have some misalignment with our climate and energy transition-related policy positions.

We will urge USCC to:

  • State support for net-zero emissions by 2050 and engage in sustained and constructive advocacy in support of the US target to achieve net-zero emissions by 2050.
  • State support for putting a direct price on carbon emissions as part of a broader policy framework to achieve net-zero emissions.

We will encourage USCC to:

  • Support ending routine flaring by 2030 or sooner.
  • Support policies to ensure that nature-based solutions complement and do not displace efforts to avoid and reduce greenhouse gas (GHG) emissions.

We will remain a member of USCC at the current time. We will continue to track alignment between USCC’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views, including through our positions on USCC’s board and task force on climate actions.

Further information: See U.S. Chamber of Commerce (USCC) – Full Assessment Result.

Western States Petroleum Association (WSPA)Some misalignment

Summary

Shell benefits from its membership of WSPA, in particular from its supply of accurate information on the oil industry to different audiences. We welcome WSPA’s advocacy on a wide range of issues, such as the California Cap-and-Trade Program, carbon capture and storage, plastics policy, industrial safety, taxes, permitting, workforce development and energy markets.

We note that although WSPA recognised the California target of net-zero emissions by 2045, it opposes some of the proposed plans for how to achieve it. We support California’s 2045 target but share many of WSPA’s concerns about the feasibility of the plan to achieve it. We also note that WSPA opposed the California Advanced Clean Cars II regulation that requires all new passenger vehicles sold in California to be zero-emissions by 2035. Shell supports the target, but shares WSPA’s concerns about the feasibility of the plan to achieve it and some of the associated proposals. We believe there needs to be a more comprehensive clean infrastructure plan that accompanies such a regulation. In both cases, Shell and WSPA are working with policymakers to support a well-designed and feasible pathway to achieve the target, which we believe should also be sensitive to low-income and under-represented communities.

We have found WSPA to have some misalignment with our climate and energy transition-related policy positions.

We will urge WSPA to:

  • Explicitly state support for net-zero emissions by 2050.
  • Continue to work constructively with policymakers towards a robust and feasible plan that is sensitive to low-income and under-represented communities while helping achieve California’s target of net-zero emissions by 2045.
  • Continue to work constructively with policymakers towards a robust and feasible plan to help achieve California’s target that all passenger vehicles sold in the state be zero-emissions by 2035, delivering a plan that is also sensitive to low-income and under-represented communities.
  • Publish more information about the work it is doing to help reduce methane emissions throughout the natural gas supply chain, including in relation to direct methane regulations and flaring. While we recognise we no longer operate upstream assets in states covered by WSPA, we encourage the association to support ending routine flaring by 2030 or sooner to help achieve such standards.

We will encourage WSPA to:

  • Be more supportive of clean infrastructure investments that will be necessary to support the energy transition, including infrastructure for electrification using renewable and low-carbon power sources.
  • Support policies that encourage public and private investment to protect and expand natural ecosystems that store carbon. Support policies to ensure that nature-based solutions complement, and do not displace, efforts to avoid and reduce greenhouse gas emissions.

We will remain a member of WSPA at the current time. We will continue to track alignment between WSPA’s climate and energy transition-related positions and our own and will be transparent about where we find differences. We will continue to engage the association in areas where we have different views, including through our positions on WSPA’s climate committee, government affairs committee and board of directors.

Further information: See Western States Petroleum Association (WSPA) – Full Assessment Result.

[1] https://www.australianclimateroundtable.org.au/wp-content/uploads/2020/11/Climate_roundtable_joint_principles-Updated_November_2020.pdf

[2] https://www.australianclimateroundtable.org.au/wp-content/uploads/2020/11/Climate_roundtable_joint_principles-Updated_November_2020.pdf

[3] https://www.canadianfuels.ca/wp-content/uploads/2022/11/Moving-Forward-Together_2022-Update-to-CFA-Driving-to-2050-Vision.pdf

[4] https://www.ieta.org/resources/Resources/Position_Papers/June%202022%20IETA%20Article%206%20Discussion%20Paper.pdf

[5] https://www.ipieca.org/about-us/

[6] https://aimingforzero.ogci.com/

[7] https://www.ogci.com/white-paper-study-shows-that-ccus-deployment-in-gcc-countries-could-unlock-significant-economic-potential-in-the-region/

[8] https://www.ogci.com/new-ogci-report-on-ccus-in-china/

[9] https://www.ogci.com/new-ogci-report-on-ccus-in-saudi-arabia/

[10] https://www.seia.org/about

[11] https://www.api.org/~/media/files/news/2022/08/11/joint-trades-letter-pelosi-mccarthy-ira-081122?source=email

[12] https://www.api.org/news-policy-and-issues/news/2022/08/07/api-statement-on-inflation-reduction-act

[13] https://www.ceres.org/news-center/press-releases/corporate-leaders-call-congress-promptly-pass-inflation-reduction-act

[14] https://www.appea.com.au/all_news/media-release-oil-and-gas-industry-says-australias-methane-pledge-is-a-positive-step-for-net-zero/

[15] https://www.nam.org/manufacturers-remain-staunchly-opposed-to-the-inflation-reduction-act-18530/?stream=series-press-releases

[16] https://www.ceres.org/news-center/press-releases/corporate-leaders-call-congress-promptly-pass-inflation-reduction-act

[17] https://www.keepqldcompetitive.com.au/

[18] https://www.txoga.org/texas-methane-flaring-coalition-releases-new-methane-and-emissions-report/

[19] https://www.uschamber.com/economy/coalition-letter-on-the-inflation-reduction-act

[20] https://www.uschamber.com/energy/breaking-down-energy-and-climate-provisions-in-the-reconciliation-bill

[21] https://www.ceres.org/news-center/press-releases/corporate-leaders-call-congress-promptly-pass-inflation-reduction-act