Shell Paris Climate Agreement

In December 2015, the world witnessed an unprecedented effort by global leaders to address the issue of climate change. The United Nations Framework Convention on Climate Change (UNFCCC) Conference of Parties (COP21) was held in Paris, and it culminated in the adoption of the Paris Climate Agreement.

The Paris Climate Agreement is a pledge by nearly 200 countries to limit global warming to well below 2 degrees Celsius above pre-industrial levels, with a goal of limiting warming to 1.5 degrees Celsius. The agreement also sets out a framework for countries to regularly report on their progress towards achieving these targets.

However, five years on from the adoption of the Paris Climate Agreement, there are concerns that progress has not been fast enough. A report published by the United Nations Environment Programme (UNEP) in December 2020 showed that despite the agreement, the world is on track to warm by more than 3 degrees Celsius by the end of this century.

This is where the Shell Paris Climate Agreement comes in. Shell, one of the world`s largest oil and gas companies, announced in April 2021 that it had reached an agreement with environmental group Follow This on a joint resolution for Shell`s energy transition strategy. The resolution is designed to ensure that Shell aligns its investments and actions with the goals of the Paris Climate Agreement.

Under the terms of the agreement, Shell will set and publish targets for its greenhouse gas emissions, establish a plan to reduce the carbon intensity of its energy products, and link executive pay to the company`s progress towards meeting these targets. The agreement also calls for Shell to include emissions from the use of its products in its emissions reduction targets.

While some environmental groups have welcomed the agreement, others have criticized it as insufficient. The resolution does not specify a target date for achieving net-zero emissions, and it does not call for any immediate reduction in Shell`s oil and gas production.

Despite these criticisms, the Shell Paris Climate Agreement is a significant step towards achieving the goals of the Paris Climate Agreement. It shows that even the biggest players in the oil and gas industry are starting to take climate change seriously and are willing to take concrete action to address it. However, much more work needs to be done, and it will take a collective effort from governments, businesses, and individuals to build a sustainable future for our planet.