According to bp CEO Bernard Looney, the company intends to increase its pipeline of hydrogen projects from the 1.8 million t/yr it is now working on by the end of this year.
bp aims to invest around half of this cumulative total in the TGEs where bp has established businesses, capabilities and track record – in bioenergy, and in convenience and EV charging; the other half in hydrogen and renewables & power.
bp anticipates that the TGEs will generate $3–4 billion in EBITDA in 2025 and aims for $10–12 billion in 2030, of which over $4 billion will come from bioenergy, over $4 billion will come from convenience and EV charging, and $2–3 billion will come from hydrogen and renewable energy sources.
Bernard Looney said: “We will increase our focus on the transition growth engines able to deliver nearer-term solutions – like EV chargers and sustainable aviation fuels – that can help people and businesses decarbonise sooner. And we will continue to build our hydrogen and renewables and power businesses for the longer term, based around projects where bp’s integrated approach can create significant additional value.”
By 2030, bp hopes to create between 0.5 and 0.7 million tonnes of predominantly green hydrogen annually, while also pursuing a few options for blue hydrogen.
Bp will concentrate investment efforts on areas where it can increase returns and add value through integration. In order to promote green hydrogen, e-fuels, EV charging, and power trading, bp plans to establish a portfolio that includes a global position in offshore wind. It also plans to continue growing its self-funded solar joint venture Lightsource bp. Bp is still on schedule to meet its goal of developing 50GW of renewable energy to FID by 2030, of which it hopes to have roughly 10GW of net installed capacity that is mostly in use.