Our commitment to a better energy future
Total is fully aware of the role the oil and gas industry plays in climate change and has been striving for a better energy future for over ten years. Patrick Pouyanné, the Group’s Chairman and CEO, is “convinced that we are a part of the solution”1. We are working alongside key players in the energy sector (experts, institutions, oil and gas companies), to discuss, share and implement practical solutions.
International participants contribute to the "Energy and Climate" Conference organized by Total University.
The eight CEOs present at the OGCI event in Paris, France on 10/16/2015: H. Lund, BG Group; B. Dudley, BP; C. Descalzi, Eni; E. Lozoya, Pemex; J. J. Imaz, Repsol; A. Nasser, Saudi Aramco; E. Sætre, Statoil and P. Pouyanné, Total.
Opening up the energy debate with renowned international experts
Total has been inviting experts in all fields to an annual event organized by Total University since 2006. The aim of this forward-looking conference is to consider together the solutions that will make the energy future better. By inviting specialists to debate key energy issues, we are fueling the collective discussion, with no taboos. Economists, scientists, entrepreneurs, academics, politicians, NGOs and students from various countries consider the energy future from societal, business, technological and economic perspectives in the context of tangible, self-evident climate challenges. “For Total University, fueling the dialog and the debate with analyses from a range of experts is a key step towards fair and effective action,” Jean-Pierre Loizeau, director of Total University2.
Supporting key institutions and initiatives
In 2016, Total fully integrated climate change into its strategy by taking the International Energy Agency’s 2°C scenario into account. Their scenario consists of three top priorities, so we aligned our focus to include them. Our focus areas are:
- Improving the intensity of carbon in our energy mix
- Developing renewable energy
- Improving our energy efficiency
Total supports the United Nations Global Compact’s call by inviting corporations to factor an internal carbon price into their investment decisions in order to promote the development of cleaner installations. In addition, Total was behind an appeal signed by six oil industry CEOs calling on the United Nations and governments to work toward the development of coordinated carbon pricing mechanisms. Regardless of existing regulations designed to limit CO₂ emissions, Total has factored this principle into its investments since 2008, estimating the price per ton at between 30 and 40 US dollars.
Furthermore, to reduce our greenhouse gas emissions, Total joined the World Bank's Zero Routine Flaring by 2030 Initiative. This was a logical next step for us. In 2000, we announced that we would no longer routinely flare associated gas in new oil developments and have reduced routine flaring in our production operations by more than 50% since 2005.
Finally, Total is also joining the United Nations Environment Program's Climate and Clean Air Coalition, which works to more effectively measure, manage and mitigate emissions of methane. At the global level, reducing methane emissions would have a significant impact on climate change. Methane is a gas whose global warming potential is much higher than carbon dioxide’s, but whose lifespan in the atmosphere is much shorter. Total has had an independent auditor verify its methane emissions since 2005 and we are thus strengthening our commitment.
Working with OGCI member companies to go further
To achieve significant global breakthroughs, we believe it is essential to work hand-in-hand with key oil and gas industry players to build a better energy future together. Total is an active member of the Oil & Gas Climate Initiative (OGCI): established following discussions at the annual World Economic Forum in Davos in January 2014, the OGCI was officially launched at the UN Climate Summit in September 2014.
On October 16, 2015, Patrick Pouyanné and the nine other CEOs of OGCI member oil and gas companies3 called for a workable agreement on the climate issue at the COP21 and signed a joint declaration in order to implement solutions aimed at keeping global warming below 2°C. They are committed to stepping up their actions and investments to reduce the proportion of carbon in the world energy mix and to working together in a number of areas such as energy efficiency, natural gas, R&D, and carbon capture and storage in order to reduce their greenhouse gas emissions. In addition, the OGCI would like to see clear, stable regulatory frameworks that will encourage players to make decisions that make an effective, lasting contribution to the fight against climate change.
This unprecedented declaration recognizes the roles and responsibilities of these corporations with regard to greenhouse gas emissions, highlights their willingness to be part of a long-term solution, and places their strategy at the heart of global climate goals. The OGCI has published its joint report, “More energy, lower emissions”, which sets out in detail the concrete measures taken by member corporations. The OGCI will report regularly on the progress made.
Patrick Pouyanné, Chairman and CEO of Total, confirmed that “Climate is a common concern and not a topic that should incite competition, hence the OGCI: Our ambition is to collaborate with the aim of going beyond the sum of our individual efforts.”
1 OGCI press conference, Paris, October 16, 2015
2 “Energy and Climate” conference organized by Total University, November 26, 2014
3 The OGCI was founded in 2014, and involves ten large oil and gas corporations: BG Group, BP, Eni, Pemex, Reliance, Repsol, Shell, Saudi Aramco, Statoil and Total. Together, these corporations supply nearly 10% of the world’s energy. See www.oilandgasclimateinitiative.com