The oil giant’s boss, speaking at a conference yesterday, said heavy industry, heavy-duty transport, chemicals and other industries will continue to rely on fossil fuels because biomass won’t meet their energy demands, Energy Live News reports.
And while a price on carbon would reduce emissions in the short term, van Beurden warns energy costs would increase, which is why he says “[policy makers] need to design carbon pricing systems that address concerns about cost and competitiveness. This isn’t impossible.”
Shell is one of more than two dozen major companies — including Walmart, BP, ExxonMobil and General Electric — that have integrated a price on carbon emissions into their long-term business plans, according to a CDP report.
Earlier this year van Beurden said the oil industry needs to take the lead in the climate change conversation and be “less aloof.”
In calling for a global price on carbon, Shell joins BP, which in February warned CO2 emissions will increase by 1 percent each year to 2035 — or 25 percent in total — unless policy makers put a “meaningful global price on carbon.”