Shell Singapore unveils decarbonization strategy. What does it mean for the nation’s energy industry and workforce?
Shell Singapore is aiming to cut its CO2 emissions by around a third over the next 10 days – but the strategy will also reportedly come at the expense of 500 jobs.
Shell Singapore has outlined a 10-year plan which builds on the company’s overarching ambition to be a net-zero emissions energy business by 2050 or sooner.
Commenting, Aw Kah Peng, Chairman of Shell Companies in Singapore, said: ‘Today, our extensive presence in Singapore’s energy sector carries with it a carbon footprint. Our businesses in Singapore must evolve and transform, and we must act now if we are to achieve our ambition to thrive through the energy transition. Our decisive action today will help Shell in Singapore stay resilient and build a cleaner, more sustainable future for all of us.’
The company plans to accelerate the transition through three pillars, one of which involves providing low-carbon solutions for customers in sectors which are also important pillars of Singapore’s economy – including shipping.
Shell Singapore said that its Pulau Bukom Manufacturing Site ‘will pivot from a crude-oil, fuels-based product slate towards new, low-carbon value chains.’
Shell Singapore said: ‘We will reduce our crude processing capacity by about half and aim to deliver a significant reduction in CO2 emissions. Repurposing Bukom will not only involve significant changes in our refinery configuration, but also increased investments in our assets, and critically, in our people.’
However, these changes, said Shell Singapore, ‘will have a corresponding effect on our staff numbers.’
The company noted that as the Pulau Bukom Manufacturing Site transforms and becomes smaller and smarter, the resizing of operations ‘will result in fewer jobs but more highly skilled jobs as digitalisation and automation progress’.
Shell Singapore currently employs 1,300 staff, however, according to media reports, this number looks set to fall to around 800 after a spokesperson for the company confirmed that the company would be cutting 500 jobs by 2023.
Source Bunker Spot