LONDON– BP has established a $100-million fund for projects that will deliver new greenhouse gas (GHG) emissions reductions in its Upstream oil and gas operations.
The new Upstream Carbon Fund will provide further support to BP’s work generating sustainable greenhouse gas emissions reductions in its operations.
In April 2018, the company set clear, near-term and specific targets aimed at reducing its emissions and advancing the energy transition, including achieving 3.5 million metric tons of sustainable GHG emissions reductions across the BP Group from 2016 to 2025 and targeting a methane intensity of 0.2%.
In the year since, its total direct GHG emissions fell by 1.7 million metric tons CO2 equivalent, despite a 3% growth in Upstream oil and gas production on the same basis. By the end of 2018, BP had generated 2.5 million metric tons of sustainable GHG emissions reductions throughout its businesses since 2016. Its methane intensity for 2018 was 0.2% – in line with the target.
Upstream chief executive Bernard Looney said: “A year ago we challenged everyone at BP to reduce emissions in our operations and they have responded overwhelmingly. This $100-million investment is designed to build on that momentum. It will fund ideas both big and small because everything counts in our transition to a lower carbon future and everyone at BP has a role to play.”
Under the new initiative, funding up to $100 million will be made available over the next three years to support new projects in the upstream that will generate additional GHG emission reductions. Businesses and employees throughout the company’s Upstream operating businesses are being invited to come up with ideas and propose projects for this funding.
The company said its targets for reductions in operational emissions are part of its ‘reduce-improve-create’, or RIC, approach to the energy transition, which also aims to improve its products to allow customers to reduce their emissions and to create and grow new low carbon businesses. The projects that are awarded funding will help to deliver the further emissions reductions necessary to achieve the RIC targets.