Total adopts a new climate ambition to get to net zero by 2050

Published: 10 May 2020 - 3 a.m.
By: Martin Menachery
Total announced its ambition to get to net-zero emissions by 2050 together with society for its global business across its production and energy products used by its customers.

Through a joint statement developed between Total S.A. and institutional investors – as participants in the global investor initiative Climate 100+1 – Total takes three major steps towards achieving this ambition.

Three major steps to get Total to net zero: (i) net zero across Total’s worldwide operations by 2050, or sooner (scope 1+2); (ii) net zero across all its production and energy products used by its customers in Europe by 2050, or sooner (scope 1+2+3); and (iii) 60%, or more reduction in the average carbon intensity of energy products used worldwide by Total customers by 2050 (less than 27.5 gCO2/MJ) - with intermediate steps of 15% by 2030 and 35% by 2040 (scope 1 + 2 + 3).

This ambition is supported by the strategy to develop Total as a broad-energy company, with oil and gas, low-carbon electricity and carbon-neutrality solutions as integrated parts of its business. Total firmly believes this low-carbon strategy provides a competitive advantage, which creates long-term value for its shareholders.

This strategy is already in action since 2015 as Total is the leading major in terms of reduction of its scope three average carbon intensity with a 6% reduction already achieved since 2015. And today it sets the highest ambition amongst the majors for its scope three average carbon intensity with less than 27.5 GCO2/MJ by 2050.

Patrick Pouyanné, in his capacity as chairman of the board, declared: “Energy markets are changing, driven by climate change, technology and societal expectations. Total is committed to helping solve the dual challenge of providing more energy with fewer emissions. We are determined to advance the energy transition while also growing shareholder value. Today, we are announcing our new climate ambition to get to net zero by 2050 - together with society. The board believes that Total’s global roadmap, strategy and actions set out a path that is consistent with goals of the Paris Agreement. We acknowledge the positive role of engagement and open dialogue with investors as the one we experienced with Climate 100+ along the last months.”

“We recognise that the trust of our shareholders, and society more widely, is essential to Total remaining an attractive and reliable long-term investment. And only by remaining a world-class investment can we most effectively play our part in advancing a low-carbon future. This is the reason why our people are already in action across Total, seeking opportunities to reduce our emissions, improve our products and develop new low-carbon businesses.”

Regarding the commitment to become a net-zero energy business in Europe, Pouyanné commented: “As the EU has set the target to achieve net zero emissions by 2050 and thereby lead the way for other regions to become carbon neutral over time, Total takes that commitment to become neutral for all its businesses in Europe. At the time where Total elects to adopt the status of a European company, Total wants to be an exemplary European corporate citizen and offers its active support for the EU to achieve net zero emissions by 2050. Total will work together with other businesses to enable decarbonisation of energy use.

Total confirms its target of a renewable generation gross capacity of 25GW in 2025 and will continue to expand its business to become a leading international player in renewable energies. Total currently allocates more than 10% of its capex to low-carbon electricity, the highest level among the majors. To actively contribute to the energy transition, Total will further increase its allocation of capex in favour of low-carbon electricity to 20% by 2030, or sooner.

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