Oil and Gas Climate Initiative

Oil and Gas Climate Initiative
Name	Oil and Gas Climate Initiative
Founded	0 2014
Type	CEO-led initiative
Focus	Climate change mitigation, Low-carbon economy
Headquarters	London, United Kingdom
Area served	Global
Key people	Bjørn Otto Sverdrup (Chair)
Website	https://www.ogci.com/

Oil and Gas Climate Initiative. The Oil and Gas Climate Initiative is a CEO-led consortium of major global oil and gas companies focused on accelerating the industry's response to climate change. Launched in 2014, it aims to collaborate on reducing greenhouse gas emissions, advancing low-carbon technologies, and supporting the goals of the Paris Agreement. The initiative operates through collective investment, shared research, and advocacy for effective climate policies across key sectors like energy, industry, and transport.

History and formation

The initiative was formed in 2014 by the chief executives of several major energy companies, including BP, Eni, Royal Dutch Shell, TotalEnergies, and Statoil (now Equinor). Its creation was announced at the United Nations Climate Summit in New York City, signaling a strategic industry commitment ahead of the pivotal 2015 United Nations Climate Change Conference in Paris. The founding members were joined in 2017 by additional firms such as Saudi Aramco, Chevron Corporation, and ExxonMobil, significantly expanding its geographic and operational footprint. This expansion aligned with growing investor pressure and the implementation of the Paris Agreement, which set a global framework for emissions reduction.

Member companies and governance

The consortium comprises twelve of the world's largest national and international oil and gas companies, representing over 30% of global operated production. Current members include BP, Chevron Corporation, CNPC, Eni, Equinor, ExxonMobil, Occidental Petroleum, Petrobras, Repsol, Saudi Aramco, Shell plc, and TotalEnergies. Governance is led by a steering committee of the participating CEOs, with a rotating chairmanship; Bjørn Otto Sverdrup of Equinor currently serves as Chair. The initiative's secretariat is based in London and coordinates the collaborative work programs and manages the OGCI Climate Investments fund.

Core initiatives and focus areas

The organization's work is channeled through three primary focus areas: reducing methane emissions, accelerating carbon capture, utilization and storage (CCUS), and improving energy efficiency within transportation and industry. A flagship program is the **Aiming for Zero Methane Emissions Initiative**, which commits members to near-zero methane emissions from operated assets by 2030. Its venture capital arm, **OGCI Climate Investments**, has invested over a billion dollars in startups and projects developing technologies like direct air capture, blue hydrogen, and electric vehicle infrastructure. Collaborative efforts also target reducing the carbon intensity of member companies' operations.

Climate targets and performance

Collectively, members have set ambitions to reduce the average carbon intensity of their aggregated upstream operations. A key target is to lower the collective average methane intensity of member operations to below 0.20% by 2025. The group also supports the broader goal of net zero for Scope 1 and Scope 2 emissions from operations by 2050. Progress is tracked and reported annually; for instance, the initiative reported a reduction in collective methane emissions by over 40% between 2017 and 2023. These targets are intended to align with the Paris Agreement and initiatives like the Global Methane Pledge.

Criticisms and controversies

The initiative has faced criticism from environmental groups such as Greenpeace and Climate Action Network, which argue its targets are insufficient and distract from the need to phase out fossil fuels. Critics point to continued high levels of capital expenditure on new oil and gas exploration by member companies, which they contend undermines climate goals. The organization has also been scrutinized for potential greenwashing, with accusations that collaborative efforts slow more stringent regulatory action. Some analysts from the International Energy Agency and the Intergovernmental Panel on Climate Change have questioned the scalability and pace of its promoted technologies like CCUS.

Partnerships and collaborations

The organization actively partners with international bodies, research institutions, and other industry groups to advance its objectives. Key partnerships include working with the United Nations Environment Programme on methane detection and with the World Bank's **Global Gas Flaring Reduction Partnership**. It collaborates with research entities like the Massachusetts Institute of Technology and the University of Texas at Austin on CCUS technology. The initiative also engages with forums such as the World Economic Forum and the Clean Energy Ministerial to advocate for policies that support low-carbon investment and carbon pricing mechanisms.

Category:Climate change organizations Category:Oil and gas industry associations Category:Organizations based in London Category:Organizations established in 2014