Shell decreased spending on “renewables and energy solutions” last year, while bp’s spending on “low carbon energy” has flatlined, finds an Energy Monitor analysis of fourth-quarter results.
On Tuesday, UK oil major BP reported that in 2023 it raked in $13.8bn (£10.93bn) in profits. This represented its second-highest annual profit in a decade – despite it being nearly half the record-breaking $27.7bn bp amassed in 2022 after oil prices spiked following Russia’s invasion of Ukraine. Days earlier, Shell also reported better-than-expected profits of more than $28bn, following a record-breaking $40bn in 2022. Yet both oil majors’ spending on renewables has flatlined, finds Energy Monitor‘s analysis of the companies’ filings.
Shell’s annual results show that investment in “renewables and energy solutions” fell from $3.5bn in 2022 to just $2.7bn last year. The company spent just 11.7% of its total capital expenditure (capex) on renewables in 2023 compared with 15.3% in 2022.
By contrast, bp slightly increased its spending on “low carbon energy” from $1.02bn in 2022 to $1.26bn in 2023, although as the chart below shows, spending on renewables by both companies has flatlined over the past five years.
…
