French oil and gas major Total has increased its clean energy ambitions by aiming to reach 35GW gross renewables capacity by 2025 and transform itself into a “broad energy company”.
Under a newly unveiled business strategy, it aims to increase annual investments in renewables and electricity to $2-3 billion, representing more than 20% of its capital investments – but did not give a date by which it plans to meet this target.
It also has not confirmed how this gross renewables capacity and planned investment level would be split between different technologies.
Total expects to have 6.5GW gross renewables capacity by the end of the year, it stated in its new blueprint. Earlier this year, it had announced it planned to reach 25GW of gross renewables capacity by 2025.
Total made net investments of just under $17.5 billion in 2019, of which $6.1 billion (35%) was in its integrated gas, renewables and power unit (iGRP). It has not provided a figure for how much of this was specifically in renewables
The company added that it expects renewables and electricity to deliver a predictable cash flow of more than $1.5 billion per year by 2025.
In ten years’ time, the French fossil fuel major aims to reorganise its sales mix so that gases account for 50% of sales, oil products for 30%, “electrons” for 15% and biofuels for 5%. This marks a 30% reduction in sales of oil products, it added.
This also means growing its energy production by a third in the next decade, with half of this growth from liquified natural gas (LNG) and half from electricity, “mainly renewables”, Total stated.
The French firm reaffirmed its intention to reach net zero emissions across its global operations – including scope 1 (direct emissions from activities under their control), scope 2 (indirect emissions from electricity purchased) and scope 3 (indirect emissions from Total’s value chain) – by 2050.
This includes an interim 2030 target of reducing the scope 3 emissions of its European customers by 30%.
Total already has 70% of its 35GW renewables energy target in its pipeline. Beyond 2025, it aims to add 10GW of renewable energy capacity per year, it added.
More to follow.