A future downstream oil sector that delivers lower lifecycle
emissions from its processes and products can play a major role in
helping the UK realise its net-zero climate ambitions, according to
a new report released today (Tuesday).
The report from the UK Petroleum Industry Association (UKPIA)
outlines the opportunities across the sector – from the refinery
to the forecourt – that can help companies decarbonise their
operations, provide a new generation of low-carbon liquid fuels
to consumers and ensure that the industry continues to be a major
contributor to the UK economy.
Conclusions from the report include:
- · By
2050 demand for liquid fuels will change, but they will still be
needed.
- · The
fuels we use today could be made low-carbon on a lifecycle basis,
efficiently using existing distribution infrastructure and
without having to wait for a new car fleet.
- · Many
opportunities exist for the downstream oil sector to work with
other industries – particularly in industrial clusters – to
achieve at-scale decarbonisation, especially thanks to energy
efficiency improvements and new technologies such as carbon
capture.
-
· Refineries
of the Future can be vanguard R&D hubs for low-carbon liquid
fuels, which can help society realise its climate change
ambitions as well as offering opportunity to increase exports of
low-carbon products and expertise.
With the sector currently making an annual contribution to UK GDP
of £21.2 billion and supporting around 300,000 jobs, the UKPIA
‘Future Vision’ report calls for a technology neutral investment
climate that will further incentivise the downstream oil industry
to make the changes to operate in a low-carbon world.
UKPIA Director-General Stephen Marcos Jones, said, “Achieving the
enormously challenging targets of reducing emissions to net-zero
by 2050, recently put into law by the UK Government, will require
a complete transformation of the UK energy system. The downstream
oil sector has a major opportunity to be an enabler for this
transition to a low-carbon economy. However, it will require
pragmatic and supportive policymaking to encourage companies to
make the investments of time, personnel, capital and business
leadership necessary to achieve these goals.”
### Ends ###
Notes to Editors:
- The UK Petroleum
Industry Association (UKPIA) represents eight oil refining
and marketing companies that operate the six major oil refineries
in the UK and source over 85% of the transport fuels used. UKPIA
members also own around 1,250 of the UK's 8,476 filling stations
in the UK.
-
The UKPIA Future Vision: The Downstream Oil Sector in a
Low-Carbon World report is available at http://www.ukpia.com/publications
