How corporate climate targets become real-world actions

Climate targets are increasingly popular in the corporate world, but what are companies actually doing to meet those targets? I thought I’d take a moment to highlight just one example of what we’re doing at Shell.

First, some background: One of our climate targets is to reduce operational emissions by half by 2030. That is an absolute target, not a carbon intensity target - meaning this covers all emissions in Scope 1, which come directly from our operations; as well as Scope 2, from the energy we buy to run our operations.

Of course, every business within Shell has a role to play in meeting those climate targets. Shell has been a pioneer in the Gulf of Mexico over the last four decades, and access to offshore resources has long been critical to meeting US demand for energy.

Ultimately, that was a risk we were willing to take, because we’re serious about meeting our climate targets.

One of our oldest production platforms in the Gulf is called “Enchilada,” about 105 miles from the Louisiana coast.

Enchilada was commissioned in 1997, relying on two natural gas turbine generators, each of which produces carbon emissions, to power operations.

But in recent years, as Shell has strengthened its climate targets and our engineers have been digging deeper for ways to reduce emissions. They began exploring whether it would be possible to shut down one of those generators while continuing to safely produce oil with only one.

We found that this would not pose a significant risk to worker safety or to the environment. Rather, the primary risk was financial: If the generator tripped, it would knock production offline.

Ultimately, that was a risk (albeit calculated) we were willing to take, because we’re serious about meeting our climate targets.

So in May, after analyzing data extensively and studying a range of operational scenarios, our team shut down one of two the generators at Enchilada.

So far, the engineers were correct. Production at the facility has continued. Only now, Enchilada’s emissions will have decreased by a third – amounting to a savings of some 11 kilotons of carbon dioxide per year. That’s like taking nearly 2,500 gasoline-powered cars off the road.

Of course, this is a tiny fraction of the carbon reductions that Shell will need to make over the next eight years to make good on its 2030 target. Still, it captures how every asset team within our global portfolio is looking across their operations, across their supply chains, and considering what kinds of tools and technology they can bring to cut down on emissions.

And the achievements go well beyond Enchilada. For years, Shell’s assets in the Gulf have been producing some of the most carbon -advantaged barrels of oil in the world. And yet thanks to Enchilada and strides made at other assets this year, we have already achieved a reduction in carbon emissions across the portfolio, meaning they’re even more advantaged today.

Reducing greenhouse gases is very complex, and it comes with a need to manage associated safety, operational, and financial risks. But by making climate targets a priority, we gave ourselves a strong incentive to successfully mitigate those risks – and that’s exactly what we did. So I’m proud of our staff at Enchilada and our workers across the Gulf.

This is the spirit of Powering Progress in action. And it’s another demonstration of how Shell’s climate targets are backed by meaningful, real-world actions.

Through our engineering expertise and our zeal for innovation, we will continue to reduce emissions in the Gulf of Mexico, while still delivering the energy Americans need today.