Gas is the cleanest burning fossil fuel and can be used as a reliable back-up energy source for solar and wind. Shell currently supplies gas to more countries in the world than any other energy company.
Technology innovations, such as CCS, can also play a critical role in combating climate change. CCS is an important technology as it has the potential to help reduce cumulative CO2 emissions from power generation. In 2015, Shell’s first CCS project is scheduled to start operating in Alberta, Canada. It will capture up to 1 million tonnes of CO2 a year and store it underground. (See “Carbon capture and storage”).
Shell is one of the largest producers of biofuels in the world through our joint venture Raízen in Brazil. (See “Raízen”). We are also developing advanced biofuels that convert plant waste into low-carbon fuels. These advanced biofuels could have lower CO2 emissions than the biofuels available today.
Since 2009, we have invested more than $1 billion annually in research and development – a part of this includes investments in renewable energies such as solar, wind power and hydrogen storage as well as new, cleaner transport solutions such as hydrogen fuels and infrastructure for electric vehicles. (See “Future technologies”). Technology also helps us to improve energy and water efficiency within our own operations. For example, we are reducing our use of fresh water by finding new ways to reuse and recycle waste water. (See “Water”).
Collaborating for a lower-carbon future
Technological developments will help the energy transition but effective energy policy in countries will be essential. Policies need to be created that recognise both economic development and environmental objectives by encouraging renewables as well as cleaner hydrocarbons.
Meaningful carbon pricing can promote energy efficiency, stimulate the development and deployment of lower-carbon technologies and create change in the energy mix. Shell publicly advocates for the introduction of effective carbon pricing on CO2 emissions to drive investment in this area. (See “Energy and climate change”).
We are also collaborating with governments and civil society to develop and implement cleaner energy solutions. Shell encourages an informed debate towards making real progress to reduce CO2 emissions.
