World's Largest Oil, Gas Companies Involved in Under 1.5% Renewable Energy Projects: Study

The world's largest oil and gas producers could be involved in under 1.5 per cent of renewable energy projects globally, a new study has found.

Researchers from the Autonomous University of Barcelona, Spain, looked at 250 of the largest oil and gas producers -- accounting for 88 per cent of the world's hydrocarbon output -- and their stake in 3,166 wind, solar, hydro, and geothermal projects.

"We find that the largest 250 oil and gas companies only own about 1.42 per cent of the global renewable energy capacity in operation," the authors wrote in the study published in the journal Nature Sustainability.

Results also showed that only a fifth of the 250 companies analysed own a renewable energy project in operation, with renewable energy representing a mere 0.1 per cent of their primary energy extraction.

The study looked at the largest oil and gas producers in the 'Global Oil and Gas Exit List' of Urgewald, a Germany-based non-profit environmental and human rights organisation.

"Oil and gas companies' renewable deployment is anecdotal at best. Their contribution to the fight against the climate crisis should be judged solely by how much fossil fuel they leave in the ground," lead author Marcel Llavero-Pasquina, a researcher at the university, said.

A shift towards renewable sources of energy, including solar and wind, is said to be crucial for slashing greenhouse gas emissions -- primary driver of climate change.

The study's findings raise concerns for institutions and organisations that continue engaging with fossil fuel companies under the assumption that they are key players in the energy transition, the researchers said.

"After decades of empty words, it is time for governments, universities and public institutions to recognise that the fossil fuel industry will always be part of the problem, not the solution to the climate crisis," Llavero-Pasquina said.

"Oil and gas companies should not have a seat at the table where the future of climate and energy policy is decided," the lead author added.