IEA: Oil crisis is ‘litmus test’ for industry’s resolve on climate

(EurActiv, 12 May 2020) The April oil market crash will test the determination of majors like Shell and BP, which have recently announced goals to reach net-zero emissions by 2050, according to the International Energy Agency (IEA).

“Whether or not their position will change” in the aftermath of the oil market crash “will be a litmus test” for oil major’s commitment to clean technologies, said Fatih Birol, the IEA’s Executive Director.

Oil prices moved to negative territory for the first time in history last month because of collapsing demand caused by the COVID-19 crisis, Birol pointed out during a EURACTIV online debate on Monday (11 May).

“Oil markets are going through very unusual times,” he said. “But I’m very hopeful,” he added, saying leading European oil majors “will be part of the solution for a sustainable energy future.”

Shell and BP unveiled plans earlier this year to reach net-zero emissions by 2050, in line with EU long-term goals on climate change.

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EurActiv, 12 May 2020: IEA: Oil crisis is ‘litmus test’ for industry’s resolve on climate