The Oil and Gas Climate Initiative (OGCI), in collaboration with FEV Consulting, has released a new report outlining pathways to decarbonize the transport sector, which accounts for nearly 25% of global CO₂ emissions.
The report, Net Zero 2050: Energy Demand Dynamics across the Transportation Sector, shows that changes in transport energy use are expected to be gradual until 2030, but a significant shift is anticipated by 2040. This transition will be driven by advancements in electrification, the adoption of alternative fuels and stronger climate policies.
Drawing on insights from key markets – the EU, US, China, and Brazil, which together represent 60% of global transport energy demand – the report explores how regional policies and market dynamics are shaping unique approaches to reducing emissions.
The findings provide practical guidance to governments, businesses and other stakeholders on navigating the challenges of transitioning to low-carbon transportation.
To read the full report, click here.
Background:
- OGCI has worked with other organizations to help the industry broaden its approach to include the build out of large interconnected regional CCUS hubs that can store emissions from multiple different high-emitting industries using shared transport and storage infrastructure.
- OGCI’s member companies are now actively involved in developing over 40 large-scale CCUS hubs around the world. The hubs OGCI members are involved in have the potential to capture over 300 million tonnes of CO2 a year by 2030.
- The International Energy Agency’s Clean Energy Tracker sees a need for 1.2 gigatonnes a year of CCUS capacity to keep the world on track to net zero.
OGCI
- OGCI is a CEO-led initiative comprised of 12 of the world’s leading oil and gas companies.
- It aims to lead the oil and gas industry’s response to climate change and accelerate action toward a net zero emissions future consistent with the Paris Agreement.
- Over the past decade OGCI members have demonstrated the essential role that oil and gas companies can play in delivering a net zero future.
- Since 2017, our members have collectively halved methane emissions and cut flaring by 45%, invested $65bn in low-carbon technologies and shared best practices across our industry and other sectors to accelerate decarbonization.
- OGCI’s members are Aramco, bp, Chevron, CNPC, Eni, Equinor, ExxonMobil, Oxy, Petrobras, Repsol, Shell, TotalEnergies.
