Shell’s carbon compliance costs to double next decade
Oil major projects annual cost of $1.5bn in 2032 as governments develop emissions regulations
Shell expects the amount it pays annually to comply with emissions trading schemes and other carbon regulations around the word to nearly double, to around $1.5bn, in 2032 from a forecast of $0.8bn this year. “Shell’s annual carbon cost exposure is expected to increase over the next decade because of evolving carbon regulations,” the oil major says in its 2022 annual report, released this week. The compliance cost estimates are based on Shell’s forecast equity share of emissions from operated and non-operated assets, including joint ventures and associates. $493mn – Shell’s spend on EU ETS compliance in 2022 The projections also rely on Shell’s internal carbon cost forecasts. In Euro
Also in this section
23 April 2024
Europe must unlock cross-border CO₂ trade if it wants to build a viable CCS sector for the long term
16 April 2024
US and European oil majors snap up smaller players and look to accelerate development in a region deemed to possess all the key elements for successful CCUS deployment
15 April 2024
Demand for credits seen rising 20% this year despite issues around integrity and standardisation
11 April 2024
Volatile allowance prices and small size of voluntary market undermine ability to drive investment, says Oxford Institute for Energy Studies