What are the challenges?
Our goal is to develop a profitable business that leads to sustainable energy production and increased use of clean energy carriers. The development of renewable energy is important to us, and in this context our main focus will be on offshore wind, sustainable biofuels and carbon dioxide management.
We believe that fossil fuels will remain the dominant source of energy for decades to come, but remaining hydrocarbon resources are becoming harder to find, and we are therefore entering new energy-intensive and environmentally challenging areas of production. Heavy oil production from Venezuela, oil sands in Alberta and production of LNG all lead to higher greenhouse gas (GHG) emissions per unit of output. We have entered into these activities with the aim of providing leadership in finding solutions to the challenges involved. This requires close collaboration between the authorities and industry.
We welcome policies that stimulate more stringent requirements for energy efficiency, incentives for greenhouse gas emission reductions, the production of renewable energy and carbon dioxide capture and long-term storage. We call for a global climate regime, and seek to work with governments, businesses and other stakeholders to facilitate viable global policies and regulatory frameworks encouraging cost-efficient renewable and low carbon energy solutions.
What are we doing?
Our ambition is to maintain our position as industry leader in terms of low climate impact from our activities. While producing energy, we stay committed to addressing climate issues. For us this represents both a challenge and an opportunity for technological innovation and value creation. Our ambition is to provide energy to meet the growing demand that is required for economic and social development, while at the same time caring for the environment and actively combating global climate change.
StatoilHydro has been among the industry leaders in terms of high efficiency and emissions per unit of produced oil. We have a long-established record of endeavouring to curb GHG emissions from our activities.
StatoilHydro's corporate executive committee approved a climate change policy for the group which sets out the principles for addressing the challenge of global warming and our ambition of maintaining our position as industry leader in relation to sustainable development. The policy covers:
1. Operations
We endeavour to implement the best available technologies and practices and to operate our facilities with a high degree of energy efficiency, and to reduce greenhouse gas emissions.
2. Products
We promote energy efficiency in the use of our products and track the greenhouse gas intensity of our energy product portfolio.
3. Renewable energy
We are developing a business portfolio in non-fossil energy and clean energy technologies and carriers.
4. Carbon capture and storage (CCS)
We are working actively to establish CCS as a business opportunity, and we are evaluating CCS solutions as part of carbon dioxide-intensive projects.
5. Climate market mechanisms
As part of our portfolio of mitigation options, we are actively engaged in emission trading and project-based mechanisms, and contribute to the development of carbon markets.
6. Involvement
We engage in activities to increase awareness and understanding of global climate change and the role of business as a provider of solutions. We encourage and work with our suppliers, customers and employees to reduce their carbon footprint.
7. Leadership
We seek low-carbon and energy-efficient solutions in all areas of our business.
The climate policy will be implemented in all business planning and strategy development.
We aim to continue to work actively together with governments, businesses and other stakeholders to facilitate viable global policies and regulatory frameworks that encourage cost-efficient, renewable and low-carbon energy solutions and the implementation of carbon capture and storage (CCS), thereby contributing to the mitigation of climate change worldwide.
What have we achieved?
StatoilHydro is actively promoting CCS as a key technology to reduce global greenhouse gas emissions. We have helped to put CCS at the top of the political agenda in the EU and elsewhere, influencing the EU's view of this technology and making progress in gaining public acceptance for the technology as a climate change mitigation measure.
In 2008, the Sleipner West field reached an important milestone, with a total storage of CO2 amounting to 10 million tonnes since storage began in 1996. The Sleipner project demonstrates that CO2 can be stored safely. The successful storage of CO2 at Sleipner has been followed up this year by another pioneer carbon storage project - in 2008 the Snøhvit field started injecting and storing CO2 from LNG-production at Melkøya into a geological formation. The cooperation between StatoilHydro, the Norwegian Government and other business partners on the European CO2 Test Centre Mongstad for carbon capture technology is moving forward, with the aim of taking an investment decision during first quarter of 2009.
StatoilHydro is continuously focusing on energy efficiency on our installations. Requirements for energy efficiency are incorporated into governing documents. (ref TR1009 pkt 2.2)
