Thursday 19 / September / 2024
Shell Oman is actively contributing to Oman's energy transition agenda towards achieving net zero emissions by 2050. Could you outline the strategic priorities and initiatives Shell Oman is focusing on to accelerate decarbonization across various sectors?
Given the fundamental need to accelerate efforts toward decarbonization, Shell Oman has consistently invested in Research & Development (R&D) while collaborating with industry leaders to deploy innovative, sector-specific low-carbon solutions.
Recognizing the transport sector as a critical area for action, Shell Oman has integrated electric vehicle (EV) charging stations into its growth strategy and is partnering with companies that share the same vision. Additionally, its smart service stations with Vapor Recovery Systems (VRS) help eliminate fuel vapor emissions and contribute to the adoption of cleaner energy sources. To further support this transition, Shell Oman offers a range of carbon-neutral lubricants, including the award-winning Shell Helix, which help reduce emissions and encourage customers to make sustainable choices.
Determined to contribute to a greener and more environmentally conscious landscape in the Sultanate, Shell Oman is expanding its efforts across industries. Emphasizing the use of solar power, the company has launched notable projects including a 25-megawatt solar plant in the Sohar Freezone, mega service stations on the Batinah Expressway, and the Solar into Schools initiative. In alignment with the nation's green hydrogen ambitions, Shell Oman has supplied 15 hydrogen cars to the Oman Airports Management Company, established a hydrogen production unit, and invested in the Green Energy Oman project.
Shell Oman is distinguished as a leader in advanced technology solutions, excelling in ground aircraft fuel supply, aviation lubricants, and technical services, while setting benchmarks in Health, Safety, Security, and Environment (HSSE) and Operational Excellence. This expertise extends seamlessly into its marine operations too where Shell Oman offers a comprehensive range of business solutions tailored to meet diverse operational requirements. Placing increased emphasis on sustainability, the company engages closely with clients to deliver superior value and support, reflecting the company’s commitment to excellence across aviation and marine sectors alike.
Shell Oman has initiatives spanning transport, industry, aviation and marine sectors. How do these initiatives align with Oman's sustainability goals, and what specific impact are they expected to have on reducing carbon emissions in each sector?
Shell Oman's initiatives across transport, industry, aviation, and marine sectors leverage innovation and technology to achieve significant reductions in carbon emissions.
In the transport sector, Shell Oman is leading the charge with a robust EV charging infrastructure, currently operating 15 strategically located points with plans to expand nationwide and establish a comprehensive charging network every 200 kilometers. This initiative promotes electric vehicle adoption, aiming to substantially decrease carbon emissions. These efforts underscore Shell Oman's dedication to promoting cleaner mobility solutions.
Additionally, Shell Oman's smart service stations exemplify its pledge to sustainability, featuring modern designs that consume 63% less power and utilise solar energy, reducing electricity consumption by 43%. Equipped with Vapor Recovery Systems to minimise fuel vapor emissions, these stations enhance operational efficiency and support cleaner energy practices across the sector.
Shell Oman further enhances Oman's sustainability agenda through its initiatives in renewable energy and green hydrogen development. Advocating for solar power adoption in various sectors, including factories, service stations, and households, Shell Oman boosts energy efficiency and reduces carbon footprints.
Moreover, Shell Oman's involvement in the Green Energy Oman project, which aims to produce 1.8 million tonnes of green hydrogen and up to 10 million tonnes of green ammonia annually using 25 GW of solar and wind power, solidifies its support for green hydrogen development on a significant scale. This initiative not only positions Oman as a leader in renewable energy but also fosters sustainable economic growth and environmental stewardship.
In the aviation and marine sectors, Shell Oman continues to lead in operational excellence and environmental sustainability, driving the industries towards lower carbon emissions. These comprehensive efforts across sectors highlight Shell Oman's pivotal role in advancing Oman's sustainability goals through innovation and strategic investment in green energy solutions.
Could you elaborate on the role of innovation and technology in Shell's approach to developing and deploying low-carbon solutions? What recent technological advancements or innovations has Shell introduced to support its sustainability objectives?
Shell strategically focuses on advancing energy efficiency and renewable technologies to reduce environmental impact and promote sustainability. Shell Global’s extensive R&D efforts are concentrated in critical areas such as industrial electrification, hydrogen value chains, circularity & bio-feedstock, and direct air capture. These initiatives are integral to Shell's largest technology development programme spanning from 2022 to 2030, aimed at decarbonizing manufacturing processes through electrification. In addition, recognizing the multifaceted potential of hydrogen across various sectors, Shell is investing in innovative technologies throughout the hydrogen value chain—from production and storage to transport and utilization.
Shell is actively engaged in Carbon Capture and Storage (CCS) projects, with ambitions to store more than 25 million tonnes of CO2 annually by 2035. This commitment underscores Shell's leadership in deploying CCS technologies to mitigate industrial emissions effectively.
In parallel, Shell is making substantial investments in sustainable aviation and marine fuels, including biofuels derived from waste and fuels utilizing captured carbon. These investments play an essential role in reducing carbon footprints within critical transport sectors, aligning with global efforts to curb emissions.
Shell's significant financial commitment of US$5.6 billion in 2023 alone towards low-carbon energy solutions further underscores its dedication. These investments span renewable power generation, biofuels, hydrogen technologies, and electric vehicle charging infrastructure. Beyond supporting Shell's own transition towards a low-carbon future, these investments are pivotal in driving innovation and advancing sustainable practices across the broader energy sector.
In the competitive aviation fuelling sector, what unique advantages does Shell offer that make it a preferred partner for airlines and airports? How does Shell's approach to fuel supply and service delivery align with the stringent requirements of the aviation industry, particularly in terms of reliability, efficiency, and environmental sustainability?
Shell Oman established its operations in Oman in 1958, and since then, it has developed a dedicated team of experts committed to supporting the nation's rapidly growing aviation industry. With aviation fuel facilities in strategic locations and supply contracts with both national and international carriers, Shell Oman is renowned for its reliable and expert service provision.
A cornerstone of Shell’s offering is its keen attention to refuelling systems, complemented by streamlined operations that focus on minimising logistical complexities. This efficiency enhances operational flexibility for airlines and airports, translating into significant cost savings and bolstering overall economic viability.
Innovation is another hallmark of Shell’s approach. Through ongoing investments in Sustainable Aviation Fuels (SAF) and innovative biofuel technologies, including those derived from waste and captured carbon, Shell aligns its operations with environmental sustainability goals. This commitment underscores Shell's dedication to environmentally responsible solutions that support the aviation industry's drive toward sustainability.
Could you elaborate on how Shell Oman collaborates with local partners to enhance In Country Value (ICV) and contribute to Oman's economic diversification goals? What specific initiatives or partnerships has Shell Oman undertaken to foster local talent development and promote sustainable economic growth?
Shell Oman is deeply committed to boosting its In-Country Value (ICV) efforts and advancing Oman's economic diversification through strategic partnerships with local entities. Central to Shell Oman's strategy is its collaboration with Small and Medium Enterprises (SMEs), aimed at integrating them into its supply chain and enhancing their capabilities. For instance, Shell Oman has partnered with National Friendly Environment Company LLC (NFE), a 100% Omani SME specialising in environmental stewardship and waste management. This partnership not only highlights Shell Oman's proactive role in fostering economic growth, creating job opportunities, and bolstering local businesses, but also encourages these businesses to contribute to Oman's sustainability agenda.
Additionally, Shell Oman has cooperated with Amlaak Energy LLC and Hussam Technology Company (HTC) to advance electric vehicle (EV) charging infrastructure and promote green mobility. These collaborations underscore Shell Oman's commitment to aligning with Oman's environmental objectives while driving sustainable social impact.
Shell Oman also prioritises the development of local talent through robust training and educational programmes. These initiatives are designed to equip Omani nationals with essential skills and expertise, empowering them to contribute effectively not only to Shell Oman but also to the broader energy sector. By investing in education and skills development, Shell Oman plays a pivotal role in strengthening Oman's human capital and fostering sustainable economic growth.
Internally, Shell Oman maintains a strong commitment to Omanization, with over 94% of its workforce comprising Omani nationals. This not only supports local talent development but also underscores Shell Oman's role in economic empowerment within the community.
