Shell Alternative Energy Strategy Now Focused on Biofuels; Little Growth for Wind, Solar and Hydrogen
17 March 2009
Shell’s strategy for investment and development of alternative energy is settling on biofuels, according to Jeroen van der Veer, Royal Dutch Shell’s CEO. During a presentation on Shell’s updated strategy, Van der Veer said that he did not expect the company’s current investments in wind, solar and hydrogen “to grow much more at Shell from here due to the portfolio fit and the returns outlook compared to other opportunities.”
Van der Veer also said that carbon capture and sequestration (CCS) was a key technology focus for the company.
The [alternative energy technology] that makes the most sense for Shell, that is the closest to our core business, is biofuels. Looking to the 2009-2010 timeframe, Shell will be more focused on biofuels. We stress that both CSS and next-generation biofuels technologies are at a very early stage, and it is too soon to know when these can come into commercial large-scale activities.
—Jeroen Van der Veer
Shell’s largest current alternative energy investment is in wind, with some 550 MW of capacity.
Earlier in March, Royal Dutch Shell and Codexis, Inc. announced an expanded collaboration to develop better biocatalysts that could accelerate commercialization of next-generation biofuels. Shell also increased its equity stake in Codexis and will take an additional seat on the company’s board. (Earlier post.)
Shell: still committed to centralized energy control and distribution!
Posted by: danm | 17 March 2009 at 02:29 PM