How majors can thrive in the age of transition – part one

Oil and gas majors need to comprehensively reimagine their futures, ending the central role played by fossil fuels and plastics in the economy globally. This first instalment introduces fundamental principles

Back in 2015, I challenged oil and gas executives to imagine what was then generally considered an unthinkable scenario: disruption of their industry. I posited in an article that trends in renewable energy, battery technology and mobility— coupled with a growing focus among consumers, investors and governments on sustainability—could end the close correlation between economic growth and oil demand growth. It would not end oil or gas demand, but it could lead to a shrinking market for these products—which would leave oil and gas companies exceptionally challenged to deliver the growth shareholders expect. My advice to oil and gas companies was, therefore, to update their strategies with a ca