bp：2024年凈零目標進展更新報告（英文版）（39頁）.pdf

《bp：2024年凈零目標進展更新報告（英文版）（39頁）.pdf》由會員分享，可在線閱讀，更多相關《bp：2024年凈零目標進展更新報告（英文版）（39頁）.pdf（39頁珍藏版）》請在三個皮匠報告上搜索。

1、March 2024Progress UpdateNet Zero Ambition Introduction from our chief executiveofficer1Our net zero ambition 2The scenarios which inform our net zero ambition 3Our net zero ambition and aims 5Consistency of our ambition and aims with the Paris goals 6How to navigate this reportAnother page of this

2、reportAn online referenceDefinitions in the glossary,pages 33-35Links to other information 4Q 2023 results(script and slides)bp Annual Report 2023 All of our reports and data are available at: bp to net zero 7Net zero operations,production and sales 8Net zero aims 1-5 update 9Net zero operations 10N

3、et zero production 12Net zero sales 13Reducing methane 16More investment into transition 18Helping the world get to net zero 20Five aims to help the world get to net zero 21Advocating 22Incentivizing employees 23Aligning associations 24Transparency leader 25Clean cities and corporates 26Supporting a

4、 just energy transition 27Governance and capital allocation 28Governance 29Evaluating capital investment for consistency with Paris 30Glossary and appendices 32Glossary 33Cautionary statement 36About this report This report is an update on progress against our net zero ambition.Our ambition,which is

5、 to become a net zero company by 2050 and to help the world get there too,remains unchanged.We are aiming for net zero across our operations,production and sales,by 2050 or sooner.The report includes a reminder of why we believe our ambition is consistent with the Paris goals and our planned actions

6、 this decade.We chose to focus on our activity up to 2030 as the actions we are taking now will help set the foundations for achieving net zero after that,by 2050 or sooner and for our efforts to help the world reach net zero.We have updated our progress to date to take account of our performance in

7、 2023 and reflect the updates to some of our aims announced in February 2023.This progress update complements information provided in our 4Q/full year 2023 results and update on strategic progress,the bp Annual Report 2023 and other materials on our strategy,financial frame,investor proposition,sust

8、ainability report and sustainability frame,available at .Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 20241We are well positioned to grow thevalue of bp as we trans

9、ition toan integrated energycompany.Murray Auchincloss Chief executive officer Destination unchangedIn 2020 we set out a strategy:to transform bp from an international oil company to an integrated energy company,one that meets the needs of todays energy system with increasingly lower emissions while

10、 helping to build out tomorrows.We also set the ambition to be a net zero company by 2050 or sooner and to help the rest of world get to net zero.Over the past four years weve made real progress and learned a lot.I am confident that we can translate those learnings and progress into delivery and val

11、ue going forward.Importantly,our net zero ambition is backed by our shareholders,employees and board.And the board remains firmly of the view that bps strategy is consistent with the Paris climate goals.This report reaffirms our ambition and provides anupdate on our progress.Disciplined progressAs y

12、ou will see in this update,the 2023 figures show that we have reduced our operational emissions by 41%since 2019.Progress in 2023 was flat compared to 2022,which is not unexpected and reflects ongoing emission reductions measures being offset by factors including the start-up of new projects.We rema

13、in ahead of our 2025 target and continue to lay the groundwork for sustained decarbonization.Driving deliveryThe energy transition is complex and bps progress will not be linear across all measures.Our strategy gives us the ability to adapt to changing demand and societal need.We will continue to be

14、 flexible and pragmatic as we navigate the energy transition within our disciplined financial frame.bp is a great company,with great people.We are well positioned to grow the value of bp as we transition to an integrated energy company.We cannot transition without the backing of ourshareholders thou

15、gh,so thank you again for your support.I hope you find this update useful and Ilook forward to your feedback.Murray AuchinclossChief executive officer March 2024Introduction from our chief executive officerOur destination is unchanged:we want to be a net zero company by 2050 or sooner and help the w

16、orld get tonet zero too.In 2023 this included Cherry Point and Whiting refineries signing low carbon power purchase agreements,further electrification at bpx energy and Tangguh LNG plant adding a steam heat recovery system.As planned,we also completed the deployment of our methane measurement approa

17、ch a combination of technology,modelling and solutions across bps operated upstream oil and gas assets.These actions described in more detail on page16.This was a significant technical achievement and it will give us more and better data to help us keep our methane intensity down.bp has outstanding

18、science,technology and engineering capabilities and we want to build and strengthen these as we continue our decarbonization journey.We are also aiming for net zero across the energy products we sell.Progress here is closely linked to the growth of our new,lower carbon energy businesses.We are now m

19、oving from the learning and option generating phase to focused delivery,targeting opportunities where our scale and ability to integrate give bp a competitive edge.In 2023,for example,we grew our biofuels production by 18%,biogas supply volumes by 80%,and the number of bp pulse EV charge points by o

20、ver a third.We also continued to expand our renewables and hydrogen project pipelines.All of these lower carbon energy businesses are designed help the world get to net zero while growing the value of bp.See the glossary on pages 33-35Getting bp to net zeroOur net zero ambitionIntroductionHelping th

21、e world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 20242net zeroOurambitionIn this sectionThe scenarios which inform our net zero ambition 3Our net zero ambition and aims 5Consistency of our ambition and aims with the Paris goals 6Intr

22、oduction2bp Net Zero Ambition Progress Update 2024Cherry Point refinery,Washington,USGlossary and appendicesHelping the world get to net zeroGovernance and capital allocationGetting bp to net zeroOur net zero ambitionbp Net Zero Ambition Progress Update 20243The scenarios which inform our net zero a

23、mbitionThe bp Energy Outlook 2023 uses three main scenarios(New momentum,Net Zero and Accelerated)to explore the range of possible pathways for the global energy system to 2050.The scenarios explore the possible implications of different judgements and assumptions concerning the nature of the energy

24、 transition.The uncertainty associated with the transition is substantial,and these scenarios are not predictions of what is likely to happen or what bp would like to see happen.Updates to 2023 Energy OutlookIn January 2023 we published the bp Energy Outlook 2023a.This was updated from the 2022 Outl

25、ook to consider two major developments:the Russia-Ukraine war and the passing of the US Inflation Reduction Act(IRA).The Russia-Ukraine war was judged likely to have a persistent effect on the future path of the global energy system,causing a change in the composition of global energy supplies,reduc

26、ing economic growth,and increasing countries focus on energy security.Also modelled was the IRA,which included a package of largely supply-side measures supporting low carbon energy sources and decarbonization technologies in the US.In July 2023 we released a new chapter of the bp Energy Outlook,How

27、 energy is used,which considers the outlook for the end uses of energy over the next 30 years.This chapter discusses energy use in the transport,industry and buildings sectors of the global economy.Net zeroThis scenario represents a shift in societal behaviour and preferences which supports gains in

28、 energy efficiency and the adoption of low carbon energy,with global energy system CO2 emissions falling by around 95%,relative to 2019 levels.This scenario is considered consistent with Paris,broadly aligning with pathways maintaining global temperature rises below 1.5C.New momentumCaptures the bro

29、ad trajectory of the current global energy system.Places weight on the marked increase in global ambition for decarbonization in recent years,as well as on the manner and speed of decarbonization seen over the recent past.CO2-equivalent(CO2e)emissions from energy and industrial process peak in the 2

30、020s and by 2050 are around30%below 2019 levels.This scenario is not considered to bea Paris-consistent pathway.a Analysis contained in the bp Energy Outlook 2023 should be treated as subject to change,depending on future developments.b Carbon emissions include CO2 emissions from energy use,industri

31、al processes,natural gas flaring and methane emissions from energy production.The bp Energy Outlook 2023 explored the trends and uncertainties surrounding the energy transition out to 2050.The Outlook helps inform bps core beliefs about the energy transition.How scenarios inform our strategy The spe

32、ed and nature of the energy transition is uncertain,and so we consider a range of scenarios from multiple sources including the bp Energy Outlook to inform our beliefs about the energy transition.The use of a broad range of scenarios to inform our strategy supports our efforts to make it robust and

33、resilient to the range of uncertainty we face.By considering various time horizons,we can identify key milestones or signposts which might emerge over the next five,10 or 30 years and inform our view of the key sources of uncertainty affecting the global energy system.We monitor changes in the exter

34、nal environment,and refresh or review the scenarios as needed in response to these signals,as we have done with the Russia-Ukraine war and the Inflation Reduction Act.Read more at carbon emissionsbGt of CO2e200020102019203020402050010203040AcceleratedExplores what elements of the energy system might

35、 need to change if the world collectively takes action for CO2-equivalent emissions(CO2e)to fall by around 75%by 2050,relative to 2019 levels.This scenario is considered consistent with Paris,broadly aligning with well-below-2C pathways.HistoryNet ZeroAcceleratedNew momentumGetting bp to net zeroOur

36、 net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 20244Testing resilience of our strategyIn keeping with others,such as the IPCC and International Energy Agency,we believe that there are a range

37、 of global pathways to achieve the Paris goals,with differing implications for regions,industries and sectors,so business strategies need to be resilient to this uncertainty.We have conducted an analysis to test our strategic resilience to different climate-related scenarios,using the WBCSD(World Bu

38、siness Council for Sustainable Development)Scenario Reference Catalogue,which was developed at the request of the TCFD(Task Force on Climate-related Financial Disclosures)a.Our approach to this scenario analysis and resilience test,and our key insights from them,are discussed in our TCFD Strategy di

39、sclosures in the bp Annual Report 2023.Overall,while the results of any such analysis must be treated with caution,this resilience test again reinforced our confidence in the continued resilience of our strategy to a wide range of ways in which the energy system could evolve throughout this decade,i

40、ncluding in scenarios consistent with limiting temperature rise to 1.5C.The analysis also highlighted again that,while WBCSD data may point towards a broad directional correlation between oil price and the temperature goal with which scenarios are associated,there is considerable uncertainty as to t

41、he extent of this correlation.This is demonstrated by the range within,and overlap between,the prices indicated for each scenario family.Read more on how we conducted our scenario analysis and resilience test,in the bpAnnualReport2023pages55-68a Our 2023 analysis used data from the WBCSD Climate Sce

42、nario Catalogue version 2.0,published on 31 March 2023 and downloaded on 1 February 2024,which includes scenarios considered to be consistent with well-below 2C and 1.5C outcomes.Supplied by bp and Virent,the first 100%SAF-fuelled commercial transatlantic flight flew from London Heathrow to JFK airp

43、ort inNew York in November 2023.London Heathrow airport,UKGetting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 20245 AdvocatingMore actively advocate for policies that supp

44、ort net zero,including carbon pricing.page 22Net zero productionNet zero across the carbon inour upstream oil and gas production by 2050 or sooner.page12Reducing methaneInstall methane measurement at all our existing major oil and gas processing sites by 2023,publish the data,and then drive a 50%red

45、uction in methane intensity of our operations.page16More$into transitionIncrease the proportion ofinvestment we make intoour non-oil and gasbusinesses.page18Net zero operationsNet zero across our entire operations by 2050 or sooner.page10Net zero salesNet zero across the energy products we sell by 2

46、050 orsooner.page13Incentivizing employeesIncentivize our global workforce to deliver on our aims and mobilize them to become advocates for net zero.page 23Transparency leaderTo be recognized as an industry leader for the transparency of our reporting.page 25Clean cities and corporatesOur regions,co

47、rporates and solutions team is working to help countries,cities and corporations around the world decarbonize.page26Aligning associationsSet new expectations for our relationships with trade associations around the globe.page 2498 Ourambition and aimsWe have five aims to get bp to net zero alongside

48、 five aims to help the world get to net zero4513 See the glossary on pages 33-35Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 20246 Consistency of our ambition and a

49、ims with the Paris goals See the glossary on pages 33-35In a world heading for net zero,we believe bp is best positioned for success if we also head for net zero working to build and participate in net zero value chains,using our capabilities to integrate along and across them,and decarbonizing our

50、own operations.We believe that our net zero ambition and aims,taken together,set out a path for bp that is consistent with the goals of the Paris Agreement.When we refer to consistency with Paris we consider this to mean consistency with the worldmeeting the temperature goal set out in Articles 2.1(

51、a)and 4.1 of the Paris Agreement onClimate Change.The Paris goals,which we support,were reaffirmed under the UAE Consensus at COP28 in December 2023,by the Sharm el-Sheikh Implementation Plan agreed by the Parties at COP27 in November 2022,and the Glasgow Climate Pact agreed by the Parties at COP26

52、inNovember 2021.We believe our ambition and our 10 net zero aims need to be considered as a package for consistency with the Paris goals.This is becausethey combine to set bps direction for netzero,supporting societys drive towards theParis goalsand enabling bp to succeed in aParis-consistent world.

53、Read more about consistency with Paris in the bpAnnualReport2023pages14-15Our view of Paris consistency continues to be based on three key principles:1Informed by Paris-consistent energy transition scenariosWe are confident that our approach is science-based.We see the Intergovernmental Panel on Cli

54、mate Change(IPCC)as the most authoritative source of information on the science of climate change and we use it and other sources to inform our strategy.The IPCC highlights that there are a range of global pathways by which the world can meet the Paris goals,with differing implications for regions,i

55、ndustry sectors and sources of energy.The bp Energy Outlook 2023 updated the 2022 Outlook to reflect the significant developments in global energy markets during the preceding year,including the possible impact of the Russia-Ukraine war on the pace of the energy transition.It includes three main sce

56、narios two of which we regard as Paris-consistent(Accelerated and Net Zero scenarios)which we use along with other sources to inform our strategy.See page 3.2Positioned for strategic resilienceWe believe our strategy positions bp for success and resilience in a Paris-consistent world a world that is

57、 progressing on one of the many global trajectories considered to be Paris-consistent,and ultimately meets the Paris goals.Our strategy diversifies bps portfolio and business interests,reducing the risk that challenges facing a single business area might adversely affect bps strategic resilience.In

58、addition(within the inevitable constraints associated with factors such as long-term capital investments,contractual commitments and organizational capabilities at any given time)bps ability to maintain its strategic resilience rests,in part,on the governance used to keep the strategy under review i

59、n light of new information and changes in circumstances.Read more on our climate-related financial disclosures in the bp Annual Report 2023 pages55-683Contributes to net zeroWe believe our strategy enables us to make a positive contribution to the world achieving net zero GHG emissions and meeting t

60、he Paris goals outcomes we believe to be in our best interests as well as beneficial to society generally.We see huge opportunity in the energy transition the transformation of the energy system that we believe to be a necessary feature of the worlds efforts to meet the Paris goals.In addition to in

61、vesting in and scaling our own lower carbon businesses there are many ways a company at the heart of the energy sector can make a meaningful contribution to the world getting to net zero.These include:policy advocacy and seeking to use our influence with trade associations that conduct climate-relat

62、ed advocacy;low carbon collaboration and support for others in their own decarbonization efforts(such as cities and corporates);and making venturing investments in promising new businesses and technologies that have the potential to contribute to the energy transition.We seek to advance these areas

63、through our aims 1-5 in support of our ambition to be a net zero company by 2050,or sooner,and aims 6-10 which are focused on activities that can help the world get to net zero.See page 7 and page 20.Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance a

64、nd capital allocationGlossary and appendices7 7bp Net Zero Ambition Progress Update 2024In this sectionNet zero operations,production and sales 8Net zero aims 1-5 update 9Net zero operations 10Net zero production 12Net zero sales 13Reducing methane 16More investment into transition 18Impact Solar pr

65、oject in Lamar County,Texas,USnet zeroGetting bp to Glossary and appendicesGovernance and capital allocationHelping the world get to net zeroGetting bp to net zeroOur net zero ambitionIntroductionbp Net Zero Ambition Progress Update 20248Net zero operations,production and sales overviewAim1Net zero

66、operationsInterim targets and aims Absolute2025 target2030 aim20%50%Progress to date2019 baseline202354.5MtCO2e41%ReductionOperational efficiencyCCSPortfolio optimizationAim 3Net zero salesInterim targets and aims Intensity2025 target2030 aim5%15-20%Progress to date2019 baseline202379gCO2e/MJ3%Reduc

67、tionBioenergyEV chargingAim 2Net zero productionInterim targets and aims Absolute2025 target2030 aim10-15%20-30%Progress to date2019 baseline2023361MtCO213%ReductionCCSPortfolio optimizationScope1+2emissionsScope 3emissionsAverage lifecycle carbon intensityPossible actionsPossible actionsPossible ac

68、tionsRenewablesElectricity salesGetting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 20249Net zero aims 1-5 updateFive aims to get bp to net zero progress summaryAimsMeasur

69、e/coverage20192023 update2025 targets2030 aimsAims for 2050 or soonerAim 1Net zero operationsScope1+2Baseline54.5a MtCO2e41%bcumulative reduction in emissions against 2019 baseline20%b50%bNet zeroAim 2Net zero productionScope3Baseline361MtCO213%bcumulative reduction in emissions against 2019 baselin

70、e10-15%b20%20-30%bNet zeroAim 3Net zero salesAverage lifecycle carbon intensity cBaseline79d gCO2e/MJ3%d,ecumulative reduction in carbonintensity against 2019 baseline5%e 15-20%eNet zeroAim 4Reducing methaneMethane intensity0.14%f0.05%f0.20%g50%hreduction Aim 5More$into transitionTransition growth i

71、nvestment$634m$3.8bn$6-8bn$7-9bna Changed from 54.4MtCO2e for consistency in rounding.b Reduction in absolute emissions against the 2019 baseline.c Average carbon intensity of our sold energy products.d Previously reported aim 3 figures for the period 2019-2022 have been restated to correct misstate

72、ments in sales data identified through business reviews and digital improvement projects.The restatement does not alter the previously disclosed average lifecycle carbon intensity of our sold energy products.Read more on page 15.e Reduction in the average carbon intensity of sold energy products aga

73、inst the 2019 baseline.The percentage change is calculated from the source data instead of the rounded carbon intensity number.f The methane intensity for these years is calculated using our existing methodology and,while it reflects progress in reducing methane emissions,will not directly correlate

74、 with progress towards delivering the 2025 target under aim 4.g The 0.20%methane intensity target is based on our new measurement approach.Methane intensity is currently calculated using our existing methodology.h The 50%reduction we are aiming for is against a new baseline which we plan to set base

75、d on the new measurement approach.See the glossary on pages 33-35Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202410Our actionsOperationalefficiencyWe are implement

76、ing energy efficiency measures,electrifying our centralized facilities,reducing flaring and venting,and managing methane across our operations.Emissions reduction activities may include process optimization,steam heat recovery and powering refineries and onshore upstream assets using power with lowe

77、r carbon attributes,as we are already doing at several of our European and US refineries.Carbon capture and storage(CCS)and hydrogenWhere conditions are suitable,extraction of carbon dioxide from produced gas streams and reinjection underground can serve to reduce overall operational emissions.We be

78、lieve this could be the case at our Tangguh LNG facility in Indonesia,where we are continuing work on the Tangguh Enhanced Gas Recovery and CCS scheme,designed to inject carbon dioxide back into the reservoir.We also plan to increase the use of blue and green hydrogen at our refineries,reducing the

79、emissions associated with the use of natural gas and grey hydrogen.Portfolio optimization As we high-grade our portfolio and focus on our most resilient assets,we expect emissions from our operations to reduce over time.Our position on divestmentsThe bp Sustainability Report 2021 described our appro

80、ach to divestment activities,which remains unchanged,and how divestments which continue to be an important part of our strategy contribute to our aims 1,2 and 3.Read more in the bp Sustainability Report 2021: Our progress in 2023 We continued our efforts to drive a reduction in our operational emiss

81、ions,although compared with 2022(31.9MtCO2e),Scope 1 and 2 emissions remained broadly flat.Our combined Scope 1 and 2 emissions,covered by aim 1 were 32.1MtCO2e a decrease of 41%from our 2019 baseline of 54.5MtCO2ec.The total decrease includes 17.9MtCO2e attributable to divestments and 5.0 MtCO2e in

82、 sustainable emission reductions(SERs).We have already exceeded our 2025 target of 20%emission reductions against our 2019 baseline.New projects are coming online,adding to the challenge of reducing our operational emissions and continued investment will be needed to meet our 2030 aim.SERs have been

83、 a focus for us,allowing us to apply our skills to emissions reductions and we intend to maintain that focus.a Changed from 54.4MtCO2e for consistency in rounding.b This chart is intended to be illustrative of a range of contributions that individual aspects of our plans may make relative to others.

84、They should not be taken to represent specific expectations of actual impacts of actions driving delivery.c Scope 2 emissions on a market basis.See the glossary on pages 33-3554.545.535.632.131.920192020202120222023OperationalefficiencyCCS and hydrogenPortfoliooptimization2030Actionsdrivingaim1deliv

85、erybMtCO2eNet zero operationsOur aim 1 is to be net zero across our entire operations on an absolute basis by 2050 or sooner.This aim relates to our Scope 1(from running the assets within our operational control boundary)and Scope 2(associated with producing the electricity,heating and cooling that

86、is bought in to run those operations)GHG emissions.These emissions were 54.5MtCO2e in 2019a.We are targeting a 20%reduction in our aim 1 operational emissions by 2025 and will aim for a 50%reduction by 2030 against our 2019 baseline.Progress and targetsReduction in emissions against the 2019 baselin

87、e(absolute basis).2021 performance2023 performance2030 aim2025 target2050 or sooner2022 performance35%20%Net zero50%41%2020 performance16%41%1Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Am

88、bition Progress Update 202411Scope1(direct)andScope2(indirect)GHGemissions(operational control boundary)b,c,d,e(MtCO2e)Scope 1Scope 260402002019202020215.23.82.420221.420231.049.241.733.230.431.1In 2023 our Scope 1(direct)emissions,covered by aim 1,were 31.1MtCO2e an overall increase from 30.4MtCO2e

89、 in 2022.Of these Scope 1 emissions,30.2MtCO2e were carbon dioxide and 1.0MtCO2e methanea.Overall emissions increased due to temporary operational changes,project start-ups and growth,which were partially offset by delivery of SERs and divestments.Scope 2(indirect)emissions,covered by aim 1,decrease

90、d by 0.4MtCO2e,to 1.0MtCO2e,compared with 2022b.Lower carbon power agreements,including those at our Cherry Point and Whiting refineries,contributed to this decrease.Overall,key factors affecting our Scope 1 and 2 emissions in 2023 included:y The Archaea Energy and TravelCenters of America acquisiti

91、ons increased Scope 1 and 2 emissions by 0.4MtCO2e.y Divestments reduced Scope 1 and 2 emissions by 1.9MtCO2e.y Delivery of SERs reduced Scope 1 and 2 emissions by 0.9MtCO2e.y Other permanent increases of 1.2MtCO2e include projects that came online in 2023,for example Tangguh Train 3,Mad Dog phase 2

92、,bpx energy production increases,and Seagull North Sea start-up.y Total temporary production-related changes accounted for an increase of 1.3MtCO2e.y Total hydrocarbons flared increased from 654kt to 861kt primarily due to operational flaring issues in the Azerbaijan-Georgia-Trkiye region and Tanggu

93、h Train 3 start-up.SERs from our businesses and activities included:y Cherry Point and Whiting refineries reduced Scope 2 emissions from purchased electricity by 255ktCO2e through lower carbon power agreements.y Oman operations and wells teams achieved combined operational emissions reductions of 77

94、ktCO2e through a number of interventions including flaring optimization and improved operational efficiency.y The expansion of bpx energys network of centralization facilities reduced operational emissions by 149ktCO2e.The Bingo facility cameonline in August 2023.bp equity share emissionsWhile our a

95、im 1 relates to the assets within our operational boundary,we report our operational(Scope 1 and 2)GHG emissions in our ESG datasheet,with reference to two boundaries operational control and bp equity share.Operational control boundary covers bp-operated assetsc.bp equity share covers 100%of emissio

96、ns from subsidiaries and the percentage of emissions equivalent to our share of joint arrangements and associatesf.Our aggregate Scope 1 and 2 emissions increased on an equity share basis,compared with Due to rounding some totals may not equal the sum of their component parts.This does not affect th

97、e underlying values.b Scope 2 emissions on a market basis.c Operational control data comprises 100%of emissions from activities operated by bp,going beyond the Ipieca guidelines by including emissions from certain other activities such as contracted drilling activities.See Due to rounding some total

98、s may not equal the sum of their component parts.This does not affect the underlying values.e Scope 2 GHG emissions figure for 2022 updated to reflect use of renewable energy in UK and offshore in 2022.f bp equity share data comprises 100%of emissions from subsidiaries and the percentage of emission

99、s equivalent to our share of joint arrangements and associates,other than bps share of Rosneft.On 27 February 2022,bp announced that it intends to exit its 19.75%shareholding in Rosneft Oil Company(Rosneft).bp ceased equity accounting for Rosneft from this date.Getting bp to net zeroOur net zero amb

100、itionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202412Our actionsPortfolio optimization Becoming net zero on an absolute basis across the carbon in our upstream oil and gas production is partly linked to r

101、educing that production.We have stated that we are aiming for a reduction in oil and gas production by around 25%by 2030,compared to 2019a.This aim takes account of anticipated base decline of existing fields,new projects coming online and the ongoing strategic high-grading of our portfolio which we

102、 are designing to be operationally and economically robust,and resilient to unplanned or unexpected factors such as price volatility and geopolitical risk.Our exploration capital expenditure has declined from a peak of$4.6 billion in 2010,to around$600 million in 2023.Our progress in 2023 Since 2019

103、 our estimated Scope 3 emissions covered by aim 2 have reduced by 13%,which is around the mid-range of our 2025 target of a 10-15%reduction against our 2019 baseline.Our plans and forward path for emissions covered by aim 2 will take into account growth in underlying production due to operational im

104、provements and major project start-ups and deferred divestments.The estimated Scope 3 emissions from the carbon in our upstream oil and gas production were 315MtCO2 in 2023 a slight increase from 307MtCO2 in 2022,mainly associated with an increase in underlying production due to the ramp-up of major

105、 projects and higher asset performance.Estimated emissions from the carbon in our upstream oil and gas production(MtCO2)400300200020192020202120222023315100304328361307Estimated emissions from the carbon in our upstream oil and gas production by product(MtCO2)2019 baseline2020202120222023performance

106、Total361328304307315Oil185177157152158Gas165140138145146NGL111191011 a Excluding bps share of production in Rosneft.On 27 February 2022,bp announced that it intends to exit its 19.75%shareholding in Rosneft Oil Company(Rosneft).bp ceased equity accounting for Rosneft from this date.See the glossary

107、on pages 33-35Net zero productionOur aim 2 is to be net zero on an absolute basis across the carbon in our upstream oil and gas production by 2050 or sooner.This is our Scope 3 aim and is based on bps net share of productiona(around 361MtCO2 in 2019).It is associated with the CO2 emissions from the

108、assumed combustion of upstream production of crude oil,natural gas and natural gas liquids(NGLs).We are targeting a 10-15%reduction by 2025 and will aim for 20-30%by 2030 against our 2019 baseline.Progress and targetsReduction in emissions against the 2019 baseline(absolute basis).2021 performance20

109、23 performance2030 aim2025 target2050 or sooner2022 performance16%10-15%Net zero20-30%15%2020 performance9%13%2Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202413Ou

110、r actionsProgress on our aim 3 is directly linked to our strategy to grow our low carbon businesses and provide products that have lower lifecycle emissions.We anticipate that this change in our sales portfolio will be supported by the continued evolution of the market.We are aiming to increase our

111、capital investment in our transition growth engines,which include low carbon activity.Our aim 5 is to increase the proportion ofinvestment in non-oil and gas.Read more about our aim 5 on page 18.Our strategic themesWe expect the implementation of our strategy across our three strategic pillars resil

112、ient hydrocarbons,convenience and mobility,and low carbon energy to support delivery of our aim 3 up to and beyond 2030.In charting our aim 3 path,we recognize that significant aim 3 benefits arise over the longer term for example,as offshore wind projects that we are working on through this decade

113、come into operation after 2030;or as utilization rates for EV charge points increase in later years as EV uptake grows.The same is true of our current investment in convenience and retail platforms with a longer-term aspiration to introduce lower carbon transport offers as our customers energy needs

114、 evolve.a At the point of net zero,our net zero carbon intensity aim 3 also means we will be net zero on an absolute basis.b This chart is intended to be illustrative of a range of contributions that individual aspects of our plans may make relative to others.They should not be taken to represent sp

115、ecific expectations of actual impacts of actions driving delivery.See the glossary on pages 33-3579gCO2e/MJ2019baselineRenewables&powerEV chargingand convenienceBioenergy15-20%reduction2030Actions driving aim 3 deliveryb For aim 3,reducing the average carbon intensity of sold energy products is driv

116、en by our efforts to decarbonize the products we sell today and investments in EV charging,bioenergy,renewables and power as well as the transition of our energy product trading mix in line with the decarbonization of ouractivities and global energy over time.Full value chain emissions for energy pr

117、oductsAim 3 is estimated on a lifecycle basis covering the full value chain of well-to-wheel or well-to-wire emissions associated with the energy products we sell.Product lifecycleExtraction/feedstock productionProcessingTransportation and distributionTransportationTransportationEnd useTransmission

118、and distributionGenerationFuel productsPower productsNet zero salesOur aim 3 is to reduce to net zero the carbon intensity of the energy products we sell by 2050 or sooner.This aim applies to the average carbon intensity of the energy products we sell.It is estimated on a lifecycle(full value chain)

119、basis from the use,production,and distribution of sold energy products per unit of energy(MJ)delivered.Progress and targetsReduction in the carbon intensity of our sold energy products against the 2019 baseline.2021 performance2023 performance2030 aim2025 target2050 or sooner2022 performance1%5%Net

120、zero a15-20%2%2020 performance2%3%3Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202414Momentum in our strategic deliveryMetrics201920232025 target2030 aimResilient

121、hydrocarbons Biofuels production 23kb/d32kb/d2022 27kb/d50kb/d100kb/dBiogas supply volumes 10mboe/d15mboe/d2022 12mboe/d a40mboe/d 70mboe/dLNG portfolio15Mtpa23Mtpa2022 19Mtpa25Mtpa30MtpaConvenience and mobilityCustomer touchpoints per day 10 million12 million2022 12 million15 million20 millionStrat

122、egic convenience sitesb 1,6502,8502022 2,4003,0003,500Electric vehicle charge points 7,50029,0002022 22,00040,000100,000Low carbon energy Hydrogen production (net)0.5-0.7MtpaDeveloped renewables to final investment decision(net)2.6GW6.2GW2022 5.8GW20GW50GWInstalled renewables capacity(net)1.1GW2.7GW

123、2022 2.2GW 10GWa 2022 excludes Archaea Energy.b Reported to the nearest 50.See the glossary on pages 33-35Examples of actions to advance aim 3 across our three strategic pillars include:Resilient hydrocarbons We are in action to grow our bioenergy businesses.By 2025 we aim to grow our biofuels produ

124、ction to around 50kb/d and our biogas supply volumes to around 40mboe/d.Our refinery operations are in regions where we expect to see strong growth in bioenergy demand,and our manufacturing processes are well positioned to adapt to this.Read more about bioenergy on page 18Convenience and mobility EV

125、 charging is growing at pace and we see significant value arising through our focus on fast charging for on-the-go customers.The majority of charge points we roll out globally are rapid or ultra-fast and we aim to grow our global network and increase our energy sales.Low carbon energy When we see st

126、rategic value in doing so,we intend to integrate our electricity generation positions with a growing commercial and industrial customer portfolio and aim to significantly increase our electricity trading volumes.Denotes transition growth engineKey:Getting bp to net zeroOur net zero ambitionIntroduct

127、ionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202415Our progress in 2023 In 2023 the average carbon intensity of our sold energy products was 77gCO2e/MJ.This represents a 3%a decrease from our 2019 baseline,driven by

128、changes in the sold product mix,methodology updates and the impact of portfolio changes such as the full year accounting of sales by EDF Energy Services.Aim 3 updateEnergy included under aim 3 for 2019(our baseline year)has been restated to 20.3EJ and the emissions to 1,597MtCO2e to correct misstate

129、ments in sales data identified through business reviews and digital improvement projects.Overall,the2019 carbon intensity remained at 79gCO2e/MJ.We have made similar restatements for other reporting years which are captured in the data in this section.In 2023 improvements in our aim 3 methodology in

130、cluded a more granular assignment of environmental attributes to power and the application of increased consistency between financial and carbon reporting which resulted in the inclusion of additional sales volumes by equity accounted entities.Further details of the aim 3 methodology are described i

131、n the bp Basis of Reporting 2023.Read more: The percentage change is calculated from the source data instead of the rounded carbon intensity number.b The aggregate lifecycle emissions and energy values used in the calculation of the average lifecycle carbon intensity of sold energy products are prov

132、ided inthe bp ESG Datasheet 2023.c Previously reported aim 3 figures for the period 20192022 have been restated to correct misstatements in sales data identified through business reviews and digital improvement projects.d Covers all power,including renewable and non-renewable.e The share of energy i

133、s based on the total energy associated with sales of energy products,with electricity represented as fossil equivalence of sold energy.Due to rounding the sum of the component parts may not exactly equal 100%.This does not affect the underlying values.Average carbon intensity of sold energy products

134、 b,c(gCO2e/MJ)80757065556050201920202021202277787779Performance2025 target 2030 aim(5%)(15%)(20%)202377Average carbon intensity of sold energy products c(gCO2e/MJ)2019 2020 2021 2022 2023Average emissions intensity of energy products7977787777Refined energy products9592929292Gas products6867676767Bi

135、oproducts4744434340Power productsd5658565250Share of energy delivered per energy product type c,e(%)755025020192020202120222023100GasRefinedBioPower485047444346765474752845461111Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationG

136、lossary and appendicesbp Net Zero Ambition Progress Update 202416Our actions Methane measurementWe have completed the implementation of our planned methane measurement approach across our upstream oil and gas assets,with the introduction of software for flare efficiency,predictive emissions monitori

137、ng on gas turbines,and additional or updated meters among other measures.This follows more than three years work to identify suitable measurement solutions and manage their roll-out across our varied and complex global operations.We are also using drone and aircraft-mounted sensors to verify reporte

138、d methane emissions at selected locations and in 2023 this approach was tested further ahead of planned wider deployment up to 2025.In 2023 together with Baker Hughes,we tested and deployed Flare.IQ to track flare performance in near real-time.The new technology uses data from existing metering syst

139、ems and modelling to better determine methane emissions from flaring.Initial insights from our methane measurement activities suggest that our upstream flaring efficiency may,under certain environmental conditions,be better than previously understood and methane emissions from gas turbines may be lo

140、wer than previously understood based on the existing methodology.We intend to take stock of our targets under aim 4 based on what we learn from our ongoing methane measurement activities and to take account of the Oil&Gas Decarbonization Charter announced at COP28,which we signed in 2023.Across bpx

141、energys operations in the US,we use a varied approach to detection and measurement,reflecting the geographic spread of bpx energy facilities and the diverse types of equipment that may be methane sources.This approach includes measurement programmes,focused on pneumatics and fugitive leaks,direct me

142、asurement of large engines and detailed engineering calculations.These activities are complemented by the use of fixed wing aerial surveys,drones and handheld cameras.Methane reduction activityIn 2023 we continued work to reduce operational methane emissions including upgrades in our current operati

143、ons and advances in the design of our new facilities.Methane sustainable emissions reductions(SERs)were around 56ktCO2e,and were delivered across multiple projects.For example,our North Sea and Trinidad and Tobago operations reduced methane emissions from flaring and venting by using nitrogen as a p

144、urge gas.bpx energy utilizes electrification and centralized production facilities that allow new well sites to be built without tanks,flares or on-site compression,which reduces the methane and flaring intensity in its US,Permian Basin operations.This network of facilities was expanded with the sta

145、rt-up of the Bingo facility in August 2023.Technology implementationThe use of technologies to detect,measure and reduce methane is evolving at pace.The measurement technology solutions adopted on our flares and gas turbines will provide us with real-time data to help improve methane performance.We

146、will monitor new developments and assess new solutions as they emerge.Non-operated joint venture(NOJV)activitiesWith guidance from our NOJV Solutions team,we are working to help our NOJVs improve the reporting and mitigation of their methane emissions.We have prioritized collaboration with NOJVs tha

147、t have the greatest potential to reduce methane emissions,and we are working on multiple aspects related to methane emission reductions,including measuring and reporting,the use of technology and setting meaningful targets.We are helping different NOJVs make progress and in many instances we are lea

148、rning from them.We encourage them to work in line with guidance from organizations such as the Methane Guiding Principles(MGP)and the Oil and Gas Methane Partnership(OGMP).Our collaborations with NOJVs in 2023 included seminars on methane monitoring technologies,awareness raising sessions on OGMP an

149、d workshops to identify emissions reductions opportunities.Collaboration and methane advocacyIn 2023 we retained gold status for our plans to measure methane emissions under the OGMP 2.0 reporting framework.This award recognized the work of many bp teams and collaborations with our partners includin

150、g NOJVs.Our work under OGMP is consistent with and goes beyond aim 4.In December 2023 bp and the State Oil Company of the Azerbaijani Republic(SOCAR)signed a memorandum of understanding to work together to improve methane reduction education,capability development,measurement,reporting,verification,

151、technology and technical expertise in Azerbaijan.This followed the launch of the Advancing Global Methane Reductions(AGMR)project in Azerbaijan in November.This project is part of a larger undertaking being run through the MGP which aims to accelerate country-level methane emissions reductions.As pa

152、rt of the AGMR,SOCAR and bp plan to bring together key stakeholders,partners,research institutes and government leaders to support efforts towards developing a methane reduction pathway that meets the needs of Azerbaijans energy sector.a Methane intensity refers to the amount of methane emissions fr

153、om bps operated upstream oil and gas assets as a percentage of the total gas that goes to market from those operations.Our methodology is aligned with the Oil and Gas Climate Initiatives(OGCI).b Methane intensity is currently calculated using our existing methodology and,while it reflects progress i

154、n reducing methane emissions,will not directly correlate with progress towards delivering the 2025 target under aim 4.c The 0.20%methane intensity target is based on our new measurement approach.Methane intensity is currently calculated using our existing methodology.d The 50%reduction we are aiming

155、 for is against a new baseline which we plan to set based on the new measurement approach.See the glossary on pages 33-35Reducing methaneOur aim 4 is to install methane measurement at all our existing major oil and gas processing sites by 2023,publish the data,and then drive a 50%reduction in methan

156、e intensity of our operations.And we will work to influence our joint ventures to set their own methane intensity targets of0.2%.Progress and targetsMethane intensitya0.12%b 2020 performance0.07%b2021 performance0.05%b2022 performance0.05%b2023 performance0.20%2025 target c50%Aim d4Getting bp to net

157、 zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202417We have advocated for sound methane policy,including the federal regulation of methane emissions in the US.Read more about our adv

158、ocacy activities on page Decarbonization CharterWe are part of a group of more than 50 companies that have signed the Oil&Gas Decarbonization Charter,launched at COP28 in December 2023.The Charter includes aims to achieve net zero operations by or before 2050,and zero routine flaring and near-zero m

159、ethane emissions by 2030.We believe it represents an important opportunity for the oil and gas sector to continue driving down operational emissions through concerted action.We know that different players in our sector are at different stages in their decarbonization journeys,but we believe a collec

160、tive,inclusive approach can contribute to global efforts to meet the Paris goals.The Charter recognizes the need for leading companies to support others in the earlier stages of their methane journeys.We also intend to donate$25 million to the Global Flaring and Methane Reduction trust fund a World

161、Bank initiative to boost financing mechanisms and technical solutions that enable methane emissions reduction.In 2023 we completed our second bpx energy central processing facility,Bingo.This follows Grand Slam,which came online in 2021.Our progress in 2023 We maintained our methane intensity at 0.0

162、5%in 2023b.Methane emissions from upstream operations,used to calculate our intensity,increased by around 10%from 28kt in 2022 to 31kt in 2023.This increase is primarily from changes in flaring in our Azerbaijan-Georgia-Trkiye region and Tangguh operations.It was offset by methane emissions reductio

163、ns from delivery of SERs.Marketed gas volumes increased by 4%to 3,332bcf in 2023.We remain on track to reach zero routine flaring by 2030 in line with our aim under the World Banks Zero Routine Flaring Initiative.Our bpx energy operations have achieved zero routine flaring,ahead of our 2025 goal.Met

164、hane intensity a,b0201920202021202220230.200.150.100.050.140.120.070.050.05a Methane intensity refers to the amount of methane emissions from bps operated upstream oil and gas assets as a percentage of the total gas that goes to market from those operations.Our methodology is aligned with the Oil an

165、d Gas Climate Initiatives(OGCI).b Methane intensity is currently calculated using our existing methodology and,while it reflects progress in reducing methane emissions,will not directly correlate with progress towards delivering the 2025 target under aim 4.See the glossary on pages 33-35bpx energy,P

166、ermian Basin,Texas,USGetting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202418Our progress in 2023 In 2023 transition growth investment was$3.8 billion.This compares to$0

167、.6 billion in 2019 and$4.9 billion in 2022.It represents around 23%of total capital expenditure for the year,which compares to around 3%in 2019 and around 30%in 2022.The change from 2022 reflects lower inorganic investment in our transition growth engines,outweighing an increase in organic investmen

168、t in them over 2023.As we highlighted in our 2022 report,it is not always possible to predict the timing of our capital investments,which means the progress we make on aim 5 can be expected to fluctuate as it did between 2021 and 2023.Some of our capital investment goes into large transactions for e

169、xample,our acquisitions of Archaea Energy and EDF Energy Services in 2022,and TravelCenters of America in 2023.This is true both for the level of investment and for the proportion of our overall investment in our transition growth engines or in our low carbon activity subset.Our disciplined approach

170、 to capital investment means that we will make individual investments when we consider there to be a clear and compelling business case to do so in line with our balanced set of investment criteria.Read more in the bp Annual Report 2023 page 30More$into transitionOur aim 5 is to increase the proport

171、ion of investment we make into our non-oil and gas businesses.Over time,as investment goes up in low and zero carbon,we see it going down in oil and gas.Progress and targetsAnnual$investment in transition growth engines202020222025 target20232030 aim2021$1.0bn$3.8bn$7-9bn$6-8bn$2.4bn2019$0.6bn$4.9bn

172、5We are targeting an increase in the proportion of our annual capital expenditure invested in our transition growth engines.To reach$6-8 billion in 2025 and$7-9 billion annual investment by 2030 is dependent both on the timing of investments,as referred to above,and their continuing alignment with o

173、ur investment governance framework.This seeks to ensure that investments align with our strategy,can be accommodated within our prevailing financial frame and add shareholder value.To support this increased capital expenditure,we are continuing to advocate for policies that support investment in our

174、 transition growth engines (see page 22).Transition growth investment(annual$bn)6.04.02.002019202020212022202349.241.73.84.90.61.02.4 See the glossary on pages 33-35BioenergyWe plan to grow our established bioenergy businesses.In 2022 we acquired Archaea Energy,which continued its growth throughout

175、2023.In October,Archaea Energy started up its modular design renewable natural gas(RNG)plant in Medora,Indiana,US,which represents an industry first and can help to streamline and accelerate build times for other RNG plants.Archaea Energy has a development pipeline of around 80 projects,and expects

176、to start up 15-20 new plants per year through 2025.In 2023 we increased our biofuels production by 18%year on year to 32kb/d and biogas supply volumes by 80%year on year to 15mboe/d reflecting the uplift from Archaea.Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net

177、 zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202419EVsTogether with our strategic convenience site network,our investment in EV charging will help us offer low carbon solutions to customers.We believe that for road transport to decarbonize at the

178、pace and scale required to achieve the goals of the Paris Agreement,it is necessary for the roll-out of EV charging infrastructure and use of EVs to be scaled up in parallel with,or even ahead of,the required decarbonization of electricity grids.In 2023 we continued to grow our EV charging network:y

179、 In the US,we announced that bp pulse has entered into an agreement with Tesla for the future purchase of$100 million of ultra-fast chargers.The investment will facilitate the expansion of the bp pulse public network across the US and support EV fleet customers by deploying chargers at their private

180、 depots.y In the UK,in partnership with The EV Network and NEC Group,we opened the Gigahub at the NEC Campus,Birmingham.It is the UKs largest public EV charging hub,capable of charging around 180 EVs simultaneously.y We announced a new global mobility agreement with Uber,which will see us work toget

181、her to help accelerate Ubers commitment to become a zero-tailpipe emissions mobility platform in the US,Canada and Europe by 2030 and globally by 2040.y We formed a joint venture with Iberdrola to accelerate the roll out of EV charging infrastructure in Spain and Portugal,with plans to invest up to

182、1 billion and install 5,000 fast EV charge points by 2025 and around 11,700 by 2030.ConvenienceWe had 2,850 strategic convenience sites at the end of 2023,with an aim to grow this total to around 3,000 by 2025 and around 3,500 globally by 2030.In May 2023 we acquired TravelCenters of America,a leadi

183、ng travel centre operator in the US with a network of 290 travel centres strategically located on major highways across the US.This acquisition complements our US convenience and mobility business and brings growth opportunities for our transition growth engines:EV charging viabp pulse,convenience,b

184、ioenergy and in time,hydrogen.In Germany,we continued our partnership with Lekkerland with a five-year extension to our agreement to deliver REWE To Go stores at Aral retail sites.In Poland,we extended our partnership with Auchan and plan to add more than 100 EasyAuchan stores to our Polish retail n

185、etwork by the end of 2025.This builds on our existing partnership with Auchan in Luxembourg.We believe we are well positioned to combine our capabilities and reach in both convenience and EV charging enabling us to provide customer-focused,lower carbon transport solutions over time.Renewables and po

186、werWe aim to build a renewables and power portfolio through continued growth in onshore renewables and by developing a global position in offshore wind.This portfolio will support the development of our green hydrogen,e-fuels,EV charging and power trading businesses.In 2023:y We were awarded the rig

187、hts to develop two offshore wind projects in the German tender round marking our entry into offshore wind in continental Europe.The two North Sea sites have a total potential generating capacity of 4GW.y We announced our joint venture with Deep Wind Offshore to develop opportunities in South Korea.A

188、s part of this agreement,we have acquired a 55%stake in Deep Wind Offshores early-stage offshore wind portfolio,which includes four projects across the Korean peninsula with a combined potential generating capacity of up to 6GW.y In the US,Lightsource bp started construction work on the Arche solar

189、project in Ohio,secured by a power-purchase agreement with Meta.In Texas,Lightsource bp also started construction work on the 187MW dc Peacock solar project.Peacock will supply power directly to the Gulf Coast Growth Ventures petrochemical complex as part of a long-term power purchase agreement.Hydr

190、ogenWe aim to build a global position in hydrogen initially by supplying our own refineries and then by scaling up to meet growing customer demand.In parallel,as markets evolve,we aim to develop global export hubs for hydrogen and its derivatives.In 2023 we announced a$12.5 million investment in the

191、 hydrogen electrolyzer innovator,Advanced Ionics.This investment is expected to help drive Advanced Ionics growth and facilitate the initial deployment of its Symbion water vapour electrolyzer technology for heavy industry.This technology is expected to help reduce the cost of,and electricity requir

192、ements for,green hydrogen production.In Spain,we announced plans for a low carbon green hydrogen cluster(HyVal)in Spains Valencia region.This planned initiative is set to be based around the phased development of electrolysis capacity to produce green hydrogen at our Castelln refinery.We also plan t

193、o triple the refinerys production of biofuels to help meet the growing demand for low carbon fuels such as sustainable aviation fuel.Low carbon activity capital expenditureIn 2023 low carbon activity investment,a subset of our total transition growth investment,accounted for 67%of our total aim 5 in

194、vestment.It decreased from more than$4 billion in 2022 to around$2.5 billion reflecting the impact of large low carbon acquisitions in 2022.Most of this investment was in biogas,offshore wind,solar and EV charging.Our current business plans see low carbon activity comprising more than 80%of our aim

195、5 spend by 2030.See the glossary on pages 33-35Getting bp to net zeroOur net zero ambitionIntroductionHelping the world get to net zeroGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202420In this sectionFive aims to help the world get to net zero 21Advoc

196、ating 22Incentivizing employees 23Aligning associations 24Transparency leader 25Clean cities and corporates 26Supporting a just energy transition 27bp pulse EV charging site,Guangzhou Chigang,Chinanet zeroHelping the world get toIn this sectionFive aims to help the world get to net zero 21Advocating

197、 22Incentivizing employees 23Aligning associations 24Transparency leader 25Clean cities and corporates 26Supporting a just energy transition 27 See the glossary on pages 33-35IntroductionGetting bp to net zeroGovernance and capital allocationGlossary and appendicesOur net zero ambitionHelping the wo

198、rld get to net zerobp Net Zero Ambition Progress Update 202421Advocating Our progressPublished our high-level climate policy positions along with examples of relevant activities to be more transparent in our advocacy for global climate policy.page 22Incentivizing employeesOur progressOur bonus score

199、card measure for eligible employees is now linked to operated carbon emissions(the same Scope 1 and 2 GHG emissions reported under aim 1).page 23Aligning associationsOur progressSigned the Oil&Gas Decarbonization Charter which includes aims to achieve net zero operations by 2050,zero routine flaring

200、 and near-zero methane emissions by2030.page 24Transparency leaderOur progressParticipated in the development of carbon and net zero standards and benchmarks.page 25Clean cities and corporatesOur progressContinued to help corporates meet theircomplex decarbonization needs.page267Five aims to help th

201、e world get tonet zeroGetting bp to net zeroHelping the world get to net zeroOur net zero ambitionIntroductionGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202422AdvocatingOur aim 6 is to more actively advocate for policies that support net zero,includi

202、ng carbon pricing.We have redirected resources to promote well-designed climate policies.In the future,any corporate advertising will be to push for progressive climate policy,communicate our net zero ambition or support delivery of our strategy,invite ideas,or build collaborations.We will continue

203、to run recruitment campaigns and advertise our products,services and partnerships although we aim for these to increasingly be low carbon.6Our progress in 2023Our advocacy focused on several themes during 2023,including:stronger methane emissions standards;the need for increased climate policy and r

204、egulation;and policy frameworks that support growth in low carbon hydrogen,renewables and power,bioenergy and decarbonizing have improved the transparency of our advocacy for global climate policy by publishing our high-level climate policy positions and examples of our relevant activities.In 2023 t

205、hese activities included:y Backing the Global Renewables Alliances call at COP28 for a target to triple renewable energy capacity and supporting the COP presidencys drive to accelerate the decarbonization of the energy sector.y Responding to the European Commission consultation on the EU Climate Tar

206、get for 2040.We confirmed our support for the EUs objective to achieve climate neutrality,called for an economy-wide carbon price,and emphasized the role of renewable power,hydrogen,CCUS and sustainable biofuels and biogas in achieving net zero.y Supporting the transition to net zero power systems b

207、y engaging with European institutions about how to reform electricity markets to drive investment in renewables.y Supporting the US Environmental Protection Agencys(EPA)development of methane regulations for new,modified and existing sources in the oil and gas industry,published in 2023.These includ

208、e pathways for advanced leak detection technologies and limitations on routine flaring.y Continuing our support of the US Inflation Reduction Act,including its role in backing opportunities for hydrogen and sustainable aviation fuel(SAF).y Advocating for legislation in Washington state,US,that provi

209、des incentives for the production and use of SAF.We stated our support for SAF and its role in reducing lifecycle emissions in air travel.y Supporting the UK Energy Act 2023,now passed into law,including its associated secondary legislation,which will play an essential role in developing the UKs car

210、bon,capture,use and storage(CCUS)and hydrogen industries.y Advocating for measures to facilitate transport decarbonization,including the Zero Emissions Vehicle Mandate in the UK and the inclusion of more advanced,sustainable biofuels in the European Renewable Energy Directive.y Supporting reforms to

211、 Australias Safeguard Mechanism,that have now become law and mean that Australias largest emitters are subject to an emissions baseline and purchase of carbon credits from 1 July 2023.Public policy engagement The public policy environment sets the framework in which we operate and it is undergoing s

212、ignificant change.Our main public policy positions are subject to endorsement through our SVP-level sustainability forum and regional policy forums.Our positions help us advocate for policies that can drive the transition to a secure,affordable,and low carbon energy system,enable our strategy,and su

213、pport us to embed sustainability in our business.We monitor the external policy environment to identify opportunities and potential risks to our See the glossary on pages 33-35Getting bp to net zeroHelping the world get to net zeroOur net zero ambitionIntroductionGovernance and capital allocationGlo

214、ssary and appendicesbp Net Zero Ambition Progress Update 202423 Incentivizing employeesOur aim 7 is to incentivize our global workforce to deliver on our aims and mobilize them to become advocates for net zero.This will include continuing to allocate a percentage of remuneration linked to emissions

215、reductions for leadership and around 36,400a employees.7Our progress in 2023To help our employees contribute to the delivery of our strategy and sustainability aims,we are educating them about the importance of net zero,and supporting them to become advocates for net zero.Our employee-led Global Sus

216、tainability Network also brings together employees from across bp to learn about and act on sustainability.IncentivizationOur annual bonus for all eligible employees,including the bp leadership team,has been linked to a sustainability measure since 2019.The bonus scorecard against which our eligible

217、 employees are measured incentivizes them through three themes:safety and sustainability(30%of which sustainability makes up 15%);operational performance(20%);and financial performance(50%).For 2024 our sustainability measure is now linked to our operated carbon emissionsb,which will cover all incre

218、ases and decreases in those emissions over the year.This measure covers the same Scope 1 and 2 emissions reported under aim 1(net zero operations).Our 2022-24 long-term incentive plan scorecard also links performance to progress on Scope 1 and 2 emissions in our aim 1;and for group leadersc two soci

219、al measures are included on employee engagement,and improved ethnic minority representation in our senior-level leaderd population and above.As with the bonus scorecard,for 2024-26 we have adopted an absolute percentage reduction in operational emissions against our 2019 baseline as the basis for me

220、asuring our progress against aim 1 in our long-term scorecard.This means that collectively,35%of our long-term incentive plan for group leaders is linked to sustainability-related measures.Read more in the bpAnnualReport2023pages105-132a This figure reflects the number of employees eligible for a ca

221、sh bonus in 2023.The number of eligible employees in 2022 was 32,000.b This measure was previously linked to sustainable emissions reductions.c Group leaders are our most senior leaders.Their roles include operational,functional and regional leadership.d Senior leaders are the leadership tier below

222、group leaders.They typically manage larger teams or are recognized as technical or functional experts.See the glossary on pages 33-35Azeri Central East project,AzerbaijanGetting bp to net zeroHelping the world get to net zeroOur net zero ambitionIntroductionGovernance and capital allocationGlossary

223、and appendicesbp Net Zero Ambition Progress Update 202424Aligning associationsOur aim 8 is to set new expectations for our relationships with trade associations around the globe.We will make the case for our views on climate change within the associations we belong to,and we will be transparent wher

224、e we differ.And where we cant reach alignment,we are prepared to leave.8Our progress in 2023Trade associations play a key role in fostering industry collaboration and bringing stakeholders together.They also offer opportunities to share good practice on matters of importance to bp.Our voice is one a

225、mong many,but we believe everyone needs to work together to achieve net zero.Progress is sometimes challenging and uneven because associations need to take account of members differing views.We recognize this and intend to continue using our influence to support our positions.Our priority is to exer

226、t influence within trade associations,but we may publicly dissent or resign our membership if there is material misalignment on high-priority issues.Some trade associations advocate on matters they consider important to their members.Despite being a member,we may not always agreewith the positions t

227、hey take.We periodically assess the alignment of key associations with our position on climate.Following our 2022 review of 51 of our most significant trade association memberships,in 2023 we reviewed the progress of the 10 associations found to be partially aligned.This designation means that we di

228、sagreed on some positions or that the trade association did not take a public stance on our seven climate positions covering the Paris Agreement,climate science,reducing emissions,carbon pricing,energy efficiency,technology,and carbon credits.Throughout 2023 we made a case for action in support of o

229、ur position on climate with these 10 partially aligned groups.Overall,we are encouraged by the progress of our trade association memberships.In some cases,by working with others we have succeeded in influencing trade associations positions for example,the American Petroleum Institute,with respect to

230、 advocacy for year-round sales of E15 gasoline.However,there remain areas where we are partially aligned and on which we continue to memberships in 2023As we transition to become an integrated energy company,our trade association memberships are changing.The associations we joined in 2023,which have

231、 fees of$50,000 or more per year,are:y Business Council,British Chambers of Commerce an organization representing large companies in Britain,focused on shaping national debate.y G+a global organization for the offshore wind industry that drives health and safety performance.y H2Accelerate a European

232、 organization focused on hydrogen use in long-haul,heavy-duty trucking.y RenewableUK an organization focused on supporting renewable energy deployment across the UK,and access to global markets.Updates to our climate policy positionsAs the world continues working towards net zero,our policy position

233、s and expectations of the trade associations we belong to will naturally evolve.In 2023 we updated two of the climate positions we use to review trade associations,reducing emissions and technology,to take stronger account of our transition growth engines(bioenergy,convenience,EV charging,hydrogen a

234、nd renewables and power).Working with trade associations on climate issuesThroughout 2023 we pushed for constructive engagement on climate policy proposals,for example:The Oil and Gas Climate Initiative(OGCI)OGCI convened its members to help drive action on climate in areas including methane emissio

235、ns reduction,carbon capture and storage and the decarbonization of transport.OGCI supported theOil and Gas Decarbonization Charter,aCOP28initiative,which we signed in 2023.Read more on page 17.ChargeUK We played a key role in the creation of ChargeUK,a trade association that brings together leading

236、EV charging infrastructure providers in the UK.It enables charge point operators to work together,with government and other stakeholders to accelerate charging infrastructure roll-out and help make regulations fit for purpose.See the glossary on pages 33-35Getting bp to net zeroHelping the world get

237、 to net zeroOur net zero ambitionIntroductionGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202425 Transparency leaderOur aim 9 is to be recognized as an industry leader for the transparency of our reporting.On 12 February 2020 we declared our support fo

238、r the recommendations of the Task Force on Climate-related Financial Disclosures(TCFD).We intend to work constructively with the TCFD and others such as the International Sustainability Standards Board(ISSB)to develop good practices and standards for transparency.9Our progress in 2023We continued ta

239、king steps to promote stakeholders access to comparable and decision-useful climate-related disclosures.We have participated in the development of carbon and net zero standards and benchmarks.Whether or not we agree with a particular methodology,we welcome the perspectives they can provide.Alongside

240、 some of our peers,we participated in the new Net Zero Standard for Oil&Gas developed by the Institutional Investors Group for Climate Change.And throughout 2023 we responded to various other consultations.We support work to align global reporting standards and want to play our part in the developme

241、nt of high-quality,reliable and comparable standards that enable companies to prepare and disclose information that is material and decision-useful to stakeholders.In 2023 we continued sharing our views with standard-setters and others who are working on the development of ESG reporting standards ac

242、ross different jurisdictions including the US,Europe and the UK.We are members of the European Round Table for Industry which,in November 2023,supported the IFRS declaration of support for the ISSBs climate-related reporting,which was announced during Finance Day at COP28.We also expressed our suppo

243、rt to the chair of the International Sustainability Standards Board(ISSB)for the creation of consistent global standards for sustainability and to advocate for interoperability between different standards and appropriate equivalency arrangements between jurisdictions.Read more: disclosuresSince 2021

244、 we have reported in line with the FCA Listing Rule LR 9.8.6(8),which requires us to report on a comply or explain basis against the TCFD Recommendations and Recommended Disclosures.We consider our 2023 climate-related financial disclosures to be consistent with all the TCFD Recommendations and Reco

245、mmended Disclosures,and consequently compliant with the Listing Rule.For the 2023 financial year we also reported in line with the Companies(Strategic Report)Climate-related Financial Disclosure Regulations 2022(TheUK CFD Regulations).In 2023 we continued to work with the World Business Council for

246、Sustainable Development(WBCSD)in relation to their ongoing Climate Scenario Analysis Reference Approach for Companies in the Energy System.We used the WBCSD Scenario Catalogue to inform our own scenario analysisa.Testing the resilience of our strategyOur strategy is designed to be resilient to a ran

247、ge of climate-related scenarios including those consistent with well-below 2C and 1.5C outcomes.In our climate-related financial disclosures in the bp Annual Report 2023(pages 55-68),we describe how we have conducted an analysis to test our view of the resilience of our strategy to different climate

248、-related scenarios,using the update on strategic progress presented in February 2023.This includes scenarios that the WBCSD classify to be consistent with well-below 2C and 1.5C outcomesa.As we explain in our disclosure,while the results of any such analysis must be treated with caution overall,this

249、 resilience test again reinforced our confidence in the continued resilience of our strategy to a wide range of ways in which the energy system could evolve throughout this decade,including scenarios consistent with limiting temperature rise to 1.5C more about our climate-related financial disclosur

250、es in the bpAnnualReport2023pages55-68CDPWe submit data as part of the CDP climate changequestionnaire and make a copy available on our website.In 2023 we received a score of A-(2022 B).Read our responses to the CDP climate change questionnaire: Our 2023 analysis used data from the WBCSD Climate Sce

251、nario Catalogue version 2.0,published on 31 March 2023 and downloaded on 1 February 2024,which includes scenarios considered to be consistent with well-below 2C and 1.5C outcomes.Getting bp to net zeroHelping the world get to net zeroOur net zero ambitionIntroductionGovernance and capital allocation

252、Glossary and appendicesbp Net Zero Ambition Progress Update 202426Clean cities and corporatesOur aim 10 is to provide integrated clean energy and mobility solutions.Our regions,corporates and solutions team is working to help countries,cities and corporations around the world decarbonize.10We provid

253、e integrated multi-energy solutions to help large corporations reduce their carbon emissions bringing together expertise from across bp and from our partners.Our focus is on working with corporates in sectors that have significant emissions and are not straightforward to decarbonize such as heavy in

254、dustry and logistics.Our progress in 2023We continued to help corporates meet their complex decarbonization needs through our integrated approach,which draws on expertise from across bp.Integrated energy hubsIn Teesside,UK,we continued advancing our plans to help decarbonize local heavy industries a

255、t scale.During the year:y Two bp-led lower carbon projects,Net Zero Teesside Power and H2Teesside,part of the East Coast Cluster,were chosen to proceed to negotiations for government support.A six-week statutory consultation for H2Teesside was also completed.y bp and Equinor were awarded a carbon st

256、orage licence by the North Sea Transition Authority,which will enable the development of further carbon dioxide storage sites.Together with Equinor we now hold four storage licences on behalf of the Northern Endurance Partnership.There is potential to store up to 23 million tonnes of carbon dioxide

257、a year in the Southern North Sea,by 2035.y Remediation work on the former Redcar steelworks commenced,with plans to locate NetZero Teesside Power there.We launched plans for a low carbon green hydrogen cluster called HyVal,at our Castelln refinery in the Valencia region of Spain.Led by bp,this plann

258、ed public-private collaborative initiative is set to be based around the phased development of up to 2GW of electrolysis capacity for producing green hydrogen.Decarbonizing sectorsIndustrial emissionsWe signed a new memorandum of understanding(MoU)with Chubu Electric Power to explore the feasibility

259、 of collecting,aggregating,and transporting carbon dioxide from major emitters in Japans Nagoya area for storage at the bp-operated Tangguh site in Indonesia.We also signed a MoU with GE Vernova,CARBONCO,PLN Nusantara Power and Jawa 1 in Indonesia to develop a carbon capture,use and storage(CCUS)val

260、ue chain feasibility study,including the evaluation of carbon dioxide storage opportunities at Tangguh.Logistics and transport emissionsGiven the diversity of the logistics and transport sector,our work involves several different kinds of decarbonization solutions,including electrification,hydrogen,

261、mobility and biofuels.In the US,we announced plans to invest$1 billion in EV charging across the country by 2030,to help meet potential demand from Hertzs EV rentals in major cities including San Francisco,Miami,Los Angeles,Houston,Chicago and Washington DC.We also signed a global mobility agreement

262、 with Uber to help accelerate their commitment to become a zero-tailpipe emissions mobility platform in the US,Canada and Europe by 2030 and globally by 2040.In Germany,bp pulse has built Europes first public charging corridor for electric trucks along a major logistics route,the Rhine-Alpine corrid

263、or.The installed ultra-fast 300kW electric chargers can add up to 200km of range to medium and heavy-duty vehicles in just 45 minutes charging time.We are aiming to be a leading supplier of sustainable aviation fuel(SAF).In March 2023 we announced our first sale of International Sustainability and C

264、arbon Certification EU SAF from our Castelln refinery in Spain,to LATAM Cargo.In November,Air bp was one of the SAF suppliers for the Virgin Atlantic Flight100 the first 100%SAF transatlantic flight by a commercial airline.This helped demonstrate that todays aircraft are capable of safely flying usi

265、ng 100%SAF.Read more on our transition growth investment on pages18-19 See the glossary on pages 33-35Getting bp to net zeroHelping the world get to net zeroOur net zero ambitionIntroductionGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202427Our aim 12

266、is to support a just energy transition that advances human rights and education.We support the Paris Agreement,which recognizes the importance of a just transition one that delivers decent work,quality jobs and supports the livelihoods of local communities.We believe that respect for human rights an

267、d strong environmental and social performance are necessary for a just transition.Our policies and practices reflect this belief.We are continuing our work to develop just transition plans in priority areas,including for our transition growth engines.Progress to date In 2023 we continued with our in

268、itiatives to support a just transition for our employees,help the local workforce develop skills for the future energy system,and build strong relationships with local communities supporting civic dialogue,transparency and capacity building in civil society organizations.Just transition for bp emplo

269、yees and the wider workforceOur approach to enabling a just transition for our own workforce is complemented by our internal processes and practices.These include our strategic workforce planning activities which look at the ways in which we attract,recruit,develop and reward employees and can also

270、include redeploying employees into our transition growth engines from other businesses.We support education and employability activities that help people develop transferable skills needed for careers in energy and other sectors,often with a focus on disadvantaged and underrepresented communities.In

271、 2023 we expanded our apprenticeships programme globally and now have 750 apprenticeships working in our business.We have also increased the number of work experience placements to 500,hosted in countries including UK,India and South Africa.We are participating in industry discussions around skillin

272、g for the energy transition.These often have a specific focus on a just transition.For example,we chair the Hydrogen andCCUS Task and Finish Group,a multi-stakeholder body that is shaping recommendations to tackle workforce demand and skilling challenges for the UK governments Green Jobs Action Plan

273、(to be published in 2024).Just transition for local communitiesTo enable a just transition where we work,we aim to grow our involvement in community regeneration initiatives.We are launching participating in or supporting many different initiatives particularly those focused on building new skills a

274、nd retraining,social mobility,and education on clean energy in many of the areas where we are developing our transition growth engines.In Scotland,we are supporting several social,economic and skills development projects with ourJV partners,including the Aberdeen Hydrogen Hub a JV with Aberdeen City

275、 Council,and the X-Academy training programme which supports the Morven offshore wind project.In Teesside,we are contributing to the local Skills Improvement Plan and are active participants in several community initiatives designed to help local people from diverse backgrounds prepare for jobs in l

276、ow carbon industries.These include the Teesside Clean Energy Technician scholarships,with around 40 students expected to be enrolled by the end of 2024.Supporting a just energy transitionIn Western Australia,we have begun working with Creating Communities,an organization focused on community engagem

277、ent to drive just transitions.This work will help us understand the needs of the communities surrounding our projects and how they hope to benefit from the energy transition.This,in turn,will help to inform our approach to social investment and engagement in the region.We are involved in several col

278、laborations to help energy businesses support a just transition including Energy for a Just Transition,which is ledby Business for Social Responsibility and The B Team.Through our participation in 2023,wecontributed to the Just Transition Planning Toolkit for Business.In addition,our head of country

279、 UK and SVP Europe sits on the Business in the Community(BITC)Climate Action Leadership Team,which aims to support businesses to lead a just transition to a net zero economy.Read more about our aim 12 in the bp Sustainability Report 2023 at and Cleveland College,Teesside,UK Teesside Clean Energy Tec

280、hnician scholars.See the glossary on pages 33-35Getting bp to net zeroHelping the world get to net zeroOur net zero ambitionIntroductionGovernance and capital allocationGlossary and appendicesbp Net Zero Ambition Progress Update 202428In this sectionGovernance 29Evaluating capital investment for con

281、sistency with Paris 30Project Seagull,North Sea,UKGovernanceand capital allocationIntroductionGetting bp to net zeroGlossary and appendicesHelping the world get to net zeroOur net zero ambitionGovernance and capital allocationbp Net Zero Ambition Progress Update 202429Focusing on shareholder valueWe

282、 continue to operate within a resilient and disciplined financial frame.It comprises five priorities governing how we intend to allocate cash flow that we generate to grow distributions to shareholders,strengthen our balance sheet,and invest with discipline to grow the value of bp.As we set out in t

283、he bp Annual Report 2023,a resilient dividend remains our first priority.Our second priority is a strong investment grade credit rating.Our next priorities are disciplined investment allocation across our transition growth engines and oil,gas,refining and other businesses.And,finally,we are committe

284、d to returning at least 80%of surplus cash flow in a point forward basis(at current market conditions)and subject to maintaining a strong,investment grade credit rating.Read more about our financial frame in the bp Annual Report 2023 pages 28-29Accountability and decision-makingThe board is responsi

285、ble for setting the strategy,for monitoring bps management and operations and obtaining assurance about the delivery of its strategy.The role of the board is to promote the long-term sustainable success of the company,generating value for our shareholders while having regard to the interests of our

286、other stakeholders,the impact of our operations on the communities where we operate and the environment.The board and its committees have oversight of climate-related issuesa,which include climate-related risks and opportunities.Climate-related risks and opportunities were discussed at all six board

287、 meetings covering strategy in 2023.The other board committees consider climate-related issues where they consider it appropriate to do so in fulfilling their responsibilities.There is more information on our governance of climate-related matters in the bp Annual Report 2023.The board believes its m

288、embers possess the necessary expertise related to climate change and sustainability to support the groups strategy.In particular,six of our non-executive directors have specific climate change and sustainability expertise,as set out on page 56 of the bp Annual Report 2023.The board,subject to certai

289、n conditions and limitations,delegates day-to-day management of the business of the company to the CEO.Under his delegation,the CEO has the responsibility to oversee the implementation of a comprehensive system of internal controls that are designed to,among other things(a)identify and manage risks

290、that are material to bp,(b)protect bps assets and(c)monitor the application of bps resources in a manner which meets external regulatory standards.Risks,for these purposes,include the climate-related risks and opportunities for bp associated with the issue of climate change and the transition to a l

291、ower carbon economy.This is set out in the CEO role profile at assessment and management of climate-related risks and opportunities is embedded across bp at various levels and delegated authority flows down from the board through the CEO(see right).At an executive level,the group sustainability comm

292、ittee continues to provide oversight,challenge and support in the implementation of bps sustainability frame and management of potentially significant non-operational sustainability(including climate-related)risks andopportunities.It met four times in 2023.Read more in the bp Annual Report 2023 page

293、s55-56Read more at continue to strengthen the ways we build sustainability into our wider governance structure and business practices,including our capital investment decisions.Governancebp board levelEVP levelSVP levelCross-bp forums and meetingsMeetings and forums to allow cross-group discussions,

294、integration and implementationBoardSafety and sustainability committeeAudit committeeRemuneration committeePeople and governance committeeCEObp leadership teamGroup sustainability committeeResource commitment meetingIssues and advocacy meetingGroup operational risk committeeGroup financial risk comm

295、itteeSustainability forumProduction and operations carbon tablea We interpret the term climate-related issues to relate primarily to those climate-related risks and opportunities for bp which are relevant to the delivery of long-term shareholder value in the context of the low carbon transition.See

296、the glossary on pages 33-35Getting bp to net zeroGovernance and capital allocationOur net zero ambitionIntroductionHelping the world get to net zeroGlossary and appendicesbp Net Zero Ambition Progress Update 202430Capital allocationWe are focused on the disciplined allocation of capital to deliver o

297、n our strategic objectives.In 2023 capital expenditure was$16.3 billion.We expect capital expenditure to remain around$16 billion per year between 2024-25.This includes expenditure on inorganic opportunities.Investment is allocated across our businesses based on a set of criteria that balances strat

298、egic alignment,hurdle rates,volatility,integration value,sustainability,and risk.See page 31.Governance frameworkbps framework for investment governance seeks to ensure that investments align with our strategy,can be accommodated within our prevailing financial frame,and add shareholder value.It ena

299、bles investments to be assessed in a consistent way against a range of criteria relevant to our strategy,including environmental and other sustainability criteria.Our investment governance process,including the role of the board,is described in the bp Annual Report 2023(page 31).Resource commitment

300、meetingFor acquisitions and organic capital investments above defined financial thresholds,investment approval is conducted through the executive-level resource commitment meeting(RCM),which is chaired by the chief executive officer.The RCM reviews the merits of each investment case against a balanc

301、ed set of criteria and considers any key issues raised in the assurance process.Read more in the bp Annual Report 2023 page 31 Evaluating capital investment for consistency with ParisParis consistency evaluation processThe CA100+resolution requisitioned in 2019,requires bp to disclose how we evaluat

302、e the consistency of new material capital expenditure investments with(i)the Paris goals and (ii)a range of other outcomes relevant to bps strategy.bps evaluation of the consistency of such investments with the Paris goals was undertaken by the RCM for new material capex investments sanctioned in 20

303、23.bps evaluation of an investments consistency with a range of other relevant outcomes is achieved by considering its merits against bps balanced investment criteria.The evaluation process is described on page31 and in the bp Annual Report 2023(pages 33-34).We evaluated new material capital expendi

304、ture investment in scope using our central price assumptions(see right)and,where applicable,using our lower-price case.Where relevant the evaluation also incorporated our carbon price assumptions,applied to the anticipated operational greenhouse gas emissions associated with the investment,through 2

305、050(see right).Decisions taken in 2023In 2023 there were nine new material capex investment decisions evaluated for Paris consistency:Argos Gulf of Mexico The Argos Southwest Extension project aims to deliver production from a new drill centre in the Mad Dog field,tied back to existing equipment wit

306、hsubsea infrastructure.OmanBlock61The investment involves the development and construction of a wellsite for a large number of wells and flowlines in Oman.The programme supports delivery of supply commitments and enables optimal depletion of the reservoir.Murlach RedevelopmentMurlach is a two-well s

307、ubsea tieback to existing infrastructure in the North Sea.The use of existing infrastructure is expected to help keep down development costs and operational carbon intensity,which is expected to be significantly below bps average for its upstream operations.RavenInfillsThe Raven Infills Project is a

308、 two-well subsea tieback to existing Raven infrastructure in Egypt.The projects expected operational carbon intensity is significantly below bps average for upstream operations.2022$real2025203020402050Brent oil($/bbl)70706350Henry Hub gas($/mmBtu)4.04.04.04.0Refining marker margin b1414118.5In addi

309、tion to the prices shown we also test whether investments meet our return expectations (see page 31)using other prices,including a$60/bbl Brent oil price series.Carbon price(US$/tCO2e)2022$real202520302040205054108216270These price assumptions form part of a framework that seeks to ensure investment

310、s align with our strategy and add shareholder value.Key investment appraisal assumptionsaThroughout 2023 we held our key investment appraisal price assumptions constant throughout the year at the levels set out in the bp Annual Report 2022.For relevant investment cases assessed in 2024,we have appli

311、ed and plan to apply the prices shown in the table below for our central price case.Brent oil and Henry Hub gas assumptions average around$64/bbl and$4.0/mmBtu respectively(2022$real)from 2024 to 2050.We consider these prices to be broadly consistent with a range of transition paths compatible with

312、meeting the Paris goals,but they do not correspond to any specific Paris-consistent scenario.We also consider a range of other price assumptions for our investment appraisal.We continue to apply carbon prices rising to$100/tCO2e in 2030 and$250/tCO2e by 2050(2021$real)in certain cases.In 2022$real t

313、erms,this corresponds to$108/tCO2e by 2030 and$270/tCO2e by 2050.a The values in this table represent the central caseb The disclosed refining marker margin(RMM)assumption in the table excludes carbon pricing impacts and assumes a normalized cost of renewable identification numbers(RINs).See the glo

314、ssary on pages 33-35Getting bp to net zeroGovernance and capital allocationOur net zero ambitionIntroductionHelping the world get to net zeroGlossary and appendicesbp Net Zero Ambition Progress Update 202431 See the glossary on pages 33-35TravelCenters of America bp completed its purchase of TravelC

315、enters of America,one of the biggest networks of highway travel centres in the US,adding a network of around 290 sites,strategically located on major highways across the US.The deal is expected to bring growth opportunities in four of our five transition growth engines.bp pulse On-The-Go USbp approv

316、ed$500 million of investment in EV charging infrastructure in the US,including an agreement with Tesla for the future purchase of$100 million of ultra-fast chargers in the US.The investment will facilitate the expansion of the bp pulse public network across the US,while also enabling support for EV

317、fleet customers by deploying chargers at their private depots.Lightsource bp acquisitionbp agreed to acquire the remaining 50.03%interest in Lightsource bp,one of the worlds leading developers and operator of utility-scale solar and battery storage assets.Completion of the acquisition,which is subje

318、ct to regulatory approvals,is expected to help meet growing demand for low carbon power from our transition growth engines.Offshore German wind auctionbp was awarded the rights to develop two offshore wind projects in Germany,marking our entry into offshore wind in continental Europe.We expect the r

319、enewable power from these projects to support our green hydrogen and biofuels production,electric mobility growth and refinery decarbonization,as well as wider industry decarbonization in Germany.Power and gas supply acquisitionbp has agreed to acquire GETEC ENERGIE GmbH,a leading independent suppli

320、er of energy to commercial and industrial(C&I)customers.On completion the acquisition will materially expand our European power and gas C&I supply presence.Balanced investment criteriaAll investment cases must set out their investment merits and are considered against a set of six balanced investmen

321、t criteria although investment decisions may also take other factors into account as appropriate.This standardized approach is intended to create a level playing field for decision making and allows portfolio-wide comparisons of investment cases.The decision to endorse an investment based on the inf

322、ormation provided represents our evaluation that it is consistent with what the 2019 CA100+resolution refers to as a range of other outcomes relevant to bps strategy.The six balanced investment criteria are:Strategic alignment For all investment cases,we consider whether the investment supports deli

323、very of our strategy,including our net zero aims.We also assess if the investment case involves distinctive capability that bp has,or intends to develop,and whether it adds to an existing scale business within the portfolio or could help us create one.Safety and risksFor all investment cases,we prov

324、ide an assessment of the key risks to the investment that have a significantly higher probability than usual or have a significantly greater impact(relative to the size of the project)were they to occur.Safety risk management at bp is underpinned by our operating management system that is designed t

325、o help us sustainably deliver safe,reliable and compliant bp operations.SustainabilityFor all investment cases,we consider how any proposed business opportunity is connected to the energy transition,societal needs and the environment.This approach is underpinned by our purpose and sustainability fra

326、me.Investment cases above defined thresholds for anticipated annual GHG emissions from operations must estimate those anticipated emissions and incorporate carbon pricing for those emissions into the investment economics.All resource commitment meeting cases must consider significant impacts of an i

327、nvestment on key sustainability aims,informed by our sustainability assessment template for investment cases.Investment economicsFor all investment cases,we consider investment economics against a range of relevant measures.Depending on the nature of the investment case,these may include internal ra

328、te of return,net present value,discounted payback,and profitability index,reflecting assumptions about relevant commodity prices,margins and carbon prices.Investments are considered against differentiated return expectations,depending on business segment.We also refer to these expectations as hurdle

329、 rates,although as noted,each case is assessed according to its combined merit against our full set of balanced criteria.1.For our resilient hydrocarbons portfolio,we seek a payback of less than 10 years for upstream oil and refining and 15 years for upstream gas;together with an internal rate of re

330、turn(IRR)of 15-20%.2.For bioenergy,we seek an IRR in excess of 15%.3.For our convenience and EV charging businesses,we seek a portfolio-level IRR in excess of 15%.4.For our hydrogen investments,we expect double-digit(unlevered)IRR.5.For renewables&power investments,we seek an unlevered IRR of 6-8%.F

331、or investments in our oil and gas and refined products businesses,as well as any other investments that do not fall within one of the specific hurdles set out above,we also compare the internal rate of return in our lower-price case to a cost of capital hurdle rate.For additional capital discipline

332、for investments in oil and gas production,we also consider a case in which the Brent oil price starts at$60/bbl and later declines to the level of our key appraisal assumptions by 2050(see page 30).Volatility and rateabilityOur investment economics metrics also consider the degree of uncertainty of

333、the cash flows when considering investment cases.For example,some cases have more certainty of future costs and revenue projections.Variations in net present values for the key variables in an investment case are quantified by sensitivity analysis to give a range of potential outcomes against our key investment hurdles.Optionality and integrationOur assessment considers the degree of optionality o