“Decisive policy measures”, such as increasing carbon prices, are needed to further encourage a shift towards renewables, according to a new report by BP.
Renewable energy consumption is growing rapidly in response to consumer demands and forcing competition between fuels, but big changes are necessary to make lasting reductions in emissions, the energy giant said.
The company’s ‘2020 Energy Outlook’, launched today, looks ahead to 2050 when BP aims to be carbon zero.
The report considers three possible scenarios: rapid transition; net zero; and business-as-usual.
In all scenarios, “the structure of energy demand fundamentally shifts, with a declining role for fossil fuels offset by an increasing share for renewable energy and a growing role for electricity,” BP said.
BP chief executive Bernard Looney (pictured) said the Energy Outlook helped the company develop its new strategy.
“Even as the pandemic has dramatically reduced global carbon emissions, the world remains on an unsustainable path,” Looney said.
“However, the analysis in the Outlook shows that, with decisive policy measures and more low carbon choices from both companies and consumers, the energy transition still can be delivered.
”It is one of the reasons I remain optimistic about the future and I hope readers will find the report helpful as we all try to make a difference.”