Energy Transition Outlook 2019

TR & NSITION ENERGY

Energy Transition Outlook 2019

Foreword

M uch has changed since the launch of our first Energy Transition Outlook in December 2018 and has already been reflected in our work in developing the ‘Roadmap 2035, a blueprint for net zero’. In line with the Roadmap, this 2019 report goes beyond merely assessing the impact on our sector of the Energy Transition but sets out a clear description of how our members will be an integral part of the net-zero future. A key development in 2019 was the publication of the Climate Change Committee (CCC) report on achieving net-zero which concluded that an Energy Transition to net-zero in the UK by 2050 is affordable, achievable but challenging . As an industry, we support its recommendations. The passing of legislation by the UK and Scottish governments to set legally binding targets for net-zero carbon emissions is an enormous milestone for energy policy, although similar actions by other governments will be needed to achieve the Paris Agreement objectives. The UK is the first major nation to commit to ending its contribution to anthropogenic

climate change and the pace at which the economy needs to deliver solutions is set to increase. New policies to deliver these objectives are now needed. We stand ready to work with both governments to inform policy development. The oil and gas sector will have to earn its position in this new energy world . With the launch of ‘Roadmap 2035, a blueprint for net zero’ we were one of the first industrial sectors to formally support the 2050 net-zero emissions timeline. This work sets out how our industry will contribute progressively to achieving this goal during the crucial stages of the transition and underlines the support required for driving solutions across the economy. It is also clear from the CCC report that the transition will not mean immediate reductions in the need for UK produced oil and gas. Many energy users will still need liquid and gaseous fuels for the foreseeable future, for both energy and feedstock, including beyond 2050. New technologies and new sources of energy

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