Mike Coffin, oil and gas analyst at Carbon Tracker and author of the report, said: “If companies and governments try to develop all their oil and gas reserves, either the world will miss its climate targets, or assets will be “blocked” in the energy transition, or both. The industry is trying to get its cake and eat it — to reassure shareholders and support Paris while producing even more fossil fuels. This analysis shows that companies that really want to reduce financial risks and be part of the climate solution need to reduce their production. Investors and civil society groups are urging companies to be much more transparent in their spending plans and to drop projects that are not climate-friendly. The company`s carbon budgets in this report can be used to help investors and companies using fossil fuels set targets. We believe that the principle of integrating energy transition into annual accounts and audit processes is a positive development. We hope that in the years to come, climate constraints will be more widespread and more integrated into business practices. European companies are largely at the forefront of the United States – none of ExxonMobil, Chevron or ConocoPhillips discloses price assumptions for impairments, let alone an attempt to align with international climate commitments. None of the U.S.-based accountants of these U.S.-based companies indicate in their reports that they have considered the energy transition to evaluate price assumptions (PWC for Exxon and Chevron, Ernst and Young for ConocoPhillips). LONDON (Reuters) – Major oil companies have approved $50 billion worth of projects since last year that will not be economically profitable if governments implement the Paris climate change agreement, the Carbon Tracker think tank said in a report released on Friday. Comment: The first global energy outlook still leads us to catastrophic climate change The gap between the approach of European oil and gas companies on climate change and the rest of the world is being felt, said TPI.
Petroleos Brasileiro SA, Brazil, is the only non-European company of the 42 companies rated by TPI to have a Division 3 emissions target. The largest U.S. companies have not set emission targets. The ICT is aimed at strengthening climate commitments and also promotes a greater role in carbon capture and storage. There are still uncertainties about how this technology can be modulated, it was said. Read also: Climate policy | | Climate Science fossil fuel subsidies | Fossil fuels | UN climate talks | In 2019, World Climate Politics BP`s accountants, Deloitte, explicitly stated that current depreciation prices did not meet the Paris targets, based on a comparison with third-party scenarios. Although BP considered its strategy to be “in line with the objectives of the Paris Agreement.”