Oil and gas companies looking to establish winning positions in the Decarbonization Transition and beyond can’t achieve that goal by themselves. They will need the help of their customers, particularly those that are heavily dependent on hydrocarbons, and adjacent sectors to mitigate Scope 3 emissions—or those that occur after the point of sale for oil and gas companies.
Only by participating in, and architecting, cross-sectoral actions can oil and gas companies hope to mitigate emissions across the energy system. They need to position themselves as partners to their customers, jointly committed to supporting their emissions-reduction strategies and harmonizing emissions reporting. This will be a new and valuable role for the industry to play.
Customers as value co-creators
Accenture has analyzed the actions to be taken within the six capital sectors that are not only most impacted by the Decarbonization Transition, but also critical in making it a reality. These sectors include: hydrocarbon extraction and refining; power generation; light-duty passenger vehicles; heavy-duty and commercial transportation (including heavy-duty road transportation, aviation and shipping); heavy industry (including cement, iron and steel, and chemicals); and commercial and residential buildings.
For each sector, we identified three key levers for emissions abatement and the corresponding implications and actions for the oil and gas industry. Greater emphasis has been placed on analyzing trends in the hydrocarbon extraction and refining, power and transportation sectors. Our focus on the hydrocarbon industry relates directly to the near-term actions that oil and gas companies will have to take. Meanwhile, our focus on power and transportation highlights why and how these sectors will have the greatest impact on oil and gas demand.