Supporting transparency on climate-related risks
Statoil welcomes initiatives towards increased disclosure on carbon performance and climate risk. Statoil’s ambition is to further develop our business in support of the ambitions of the Paris Climate Agreement. Our business strategy and associated climate roadmap describe our ambitions and concrete actions to address climate-related business risks and opportunities emerging from the transition to a lower carbon economy. Statoil strives to develop a low carbon business advantage.
Statoil is already an industry leader in carbon intensity, and we have taken significant steps to mature our reporting on climate-related risk. We disclose our governance, risk management, strategy and metrics related to climate change. Since 2015 we have stress-tested our project portfolio against the International Energy Agency 450 scenario and reported about the results in our annual reporting. We have received recognition for our performance and disclosures from the CDP and the Institutional Investors Group on Climate Change, among others.*
We welcome new initiatives to improve and drive convergence of standards and practices related to business-related climate risk disclosures, such as the Financial Stability Board’s Task Force on Climate-related Financial Disclosure (TCFD). We believe that the disclosures made in our Annual Report and Sustainability Report are already well aligned with the main principles outlined in the recommendations of the TCFD.
We will continue to engage with investors and other stakeholders in order to further improve our disclosures of material climate-related risks and opportunities. We will also take into consideration the recommendations of the TCFD and other relevant developments.
Our climate roadmap
We believe a low carbon footprint will make us more competitive in the future. We also believe there are attractive business opportunities in the transition to a low carbon economy. Statoil wants to be a part of this transformation in order to fulfil our purpose of turning natural resources into energy for people and progress for society.
Meeting demand responsibly
Putting sustainability at the heart of everything we do is helping to ensure that Statoil will remain a competitive company with a great future.
In the decades ahead, scientific consensus suggests that global energy systems will need to be transformed to become more sustainable—even as demand for energy continues to grow. Around the world, government policies are already changing in response. As a major provider of oil and gas, we are responding to the prospect of higher carbon costs and stricter climate regulations. We see our investments in lower carbon technologies and renewables as vital steps towards a lower carbon society.
Supporting a cost for carbon
We’re working with governments, businesses and organisations to set an effective price for carbon around the world.
An effective price for carbon emissions would incentivize the supply and use of lower carbon options, enabling the world to move faster to sustainable energy while meeting growing demand along the way. In Norway, Statoil already operates successfully with the highest carbon tax in the world—around USD 65 per tonne of CO2. We have shown that it’s possible for oil and gas production to prosper in a world of carbon pricing.
Carbon savings with natural gas
As a large-scale producer of natural gas, we’re providing a way for the world to swiftly and substantially reduce emissions by moving from coal to gas for power generation.
Coal has historically played an essential role in helping countries to develop economically, but concern for the climate means the world must now move on. Moving from coal to gas can cut emissions by 50% while helping to meet growing energy demand. Over time the world must also move on from natural gas, but it will remain essential for decades—our goal is to produce and use it in the most efficient and effective way.
Partnering for innovation
We’re partnering to develop innovative low carbon and renewable options that make a real difference to the future energy supply.
By working closely with governments, industry and other partners, we believe we can speed up the pace of innovation in important areas—to help meet growing energy demand and pressing climate targets. Combining our skills with other organisations in this way means we can tackle tough challenges with greater impact. For example, our offshore wind partnerships mix our partners’ wind energy expertise with our own extensive knowledge of offshore environments as an oil and gas company. Together, we’re developing new offshore wind farms capable of powering hundreds of thousands of homes.
Frequently asked questions (FAQs)
What is Statoil's position on global warming?
Our starting point for this discussion is that we accept the findings of the IPCC Fifth assessment report. There is overwhelming evidence for human-induced climate change. Climate change is happening. We believe fighting climate change to limit the temperature increase to below 2°C is crucial, and we want to be part of the solution.
Can an oil company actually do anything to help?
Fossil fuels will be needed to satisfy the bulk of energy demand across the globe for many decades to come, so we are rising to the challenge of producing more energy in the most carbon efficient manner. It also means that we should focus on being be a reliable and stable provider of natural gas, which helps low-carbon gas replace high-carbon coal in the industry and power sectors. And finally, we’re making use of the experience we’ve gained from the offshore industry to capture new opportunities in renewables, such as offshore wind.