Shell’s focus is on alternatives to fossil fuels and lower polluting substitutes
Royal Dutch Shell has decided to focus on expanding marketing operations in Asia. As the world moves away from crude, Shell wants, by 2025, to have 20 per cent of sales from its fuel service stations worldwide to come from recharging electric vehicles and low carbon fuels.
While Britain and France have declared they will bar sales of new fuel and diesel vehicles by 2040, China and India are considering such a step. This has put pressure on Shell and its contemporaries to show investors how they can make profit in a world consuming less fossil fuel.
Although electric and hybrid-engine vehicles signify only a fraction of the world’s 1 billion car fleet now, Shell estimates that by 2040, it will account for about a quarter. A future when there would be a rise in demand for alternatives to vehicles consuming fossil fuels is what Shell remains focused on.
Head of refining, trading and marketing, John Abbott anticipates that by 2025, about 20 per cent of fuels offered at its fuel service stations to be low carbon intensity, including biofuels, battery recharging and liquefied natural gas (LNG), which can be used to power trucks.
Betting on marketing to secure its revenues, Shell proposes to expand retail operations in China, India, Indonesia and also Mexico. Increasing its focus on retail, Rival BP has formed joint ventures with stores such as Marks and Spencer in Britain to attract customers to its fuel stations. Source: Economic Times PWKD14092017