The Birth of Shell 2.0 And Evolution of a Company

The Birth of Shell 2.0 And Evolution of a Company

As an undergraduate student, I did an internship in Shell. It was really remarkable because that was the first time I had a “table of food” for myself. In Shell Kolo Creek flow station, Yenagoa Bayelsa state, I had picked a table in the canteen, and everything there was for consumption. Bad thing happened: I thought a bottle of vinegar was like coke for drinking; blame the village boy! I learnt my lesson – just like salt, everything on the table was not for my personal stomach.

Today, Shell is also going through its own lesson. Yes, the energy powerhouse is beginning a new redesign as the world, under Biden, mounts ferocious attacks on crude oil, with an inevitable outcome that oil will be the new tobacco – dangerous, and should be eschewed by all means! 

Yes, “Shell Energy Europe BV (Shell) has signed an agreement with Amazon to provide renewable power from a subsidy-free offshore wind farm being constructed off the coast of The Netherlands.” An executive from Shell added: “Supplying Amazon with electricity from this offshore wind farm contributes to their net-zero pledge while progressing our own ambition to be a net-zero emissions business by 2050 or sooner”. Simply, Shell is on a transition to a new future which I will call Shell 2.0.

It makes sense: electrons will power the cars of the future, not hydrocarbons. And as that happens, and with battery technology advances, most factories will go clean. Simply, the days of profitable crude oil are numbered. And that means you can produce, and sell it, but it will not command much value in the global market because there are alternatives.

Remember, do not drink a bottle of vinegar – it is not for drinking; do small pouring! And if you live in Nigeria, gauge your taste for oil.

The full statement below.

The Amazon-Shell HKN Offshore Wind Project will enable Amazon to power more of its business with clean energy. It will move the company closer to its pledge to become net-zero carbon across its business by 2040 and continue its path to power its operations with 100% renewable energy by 2025 – five years ahead of its 2030 target. Shell’s ambition is to be a net-zero emissions energy business by 2050 or sooner, in step with society.1

The wind farm will be operated by The CrossWind consortium, a joint venture between Shell and Eneco. Starting in 2024, Amazon will offtake 250 megawatts (MW) from Shell and 130 MW from Eneco, for a total of 380 MW.

“Supplying Amazon with electricity from this offshore wind farm contributes to their net-zero pledge while progressing our own ambition to be a net-zero emissions business by 2050 or sooner,” said Elisabeth Brinton, Executive Vice President of New Energies at Shell. “We are delighted to continue strengthening our strategic relationship with Amazon Web Services (AWS) across Shell New Energies. Our collaboration is enabling us to continue pushing the boundaries of innovation.”

Shell and Amazon have already achieved milestones together. In July 2020, Amazon’s air cargo network secured up to six million gallons of sustainable aviation fuel supplied by Shell Aviation.

---

Click to register for Tekedia Mini-MBA (June 7 – Sept 1, 2021): online, self-paced, $140 (or N50,000 naira). Full curriculum here.

Join Tekedia Capital and build Next Africa with min of $10,000 in startups.

Share this post

One thought on “The Birth of Shell 2.0 And Evolution of a Company

  1. Well, the purpose of setting up buffets isn’t for people to consume everything they see there, rather it’s a trap to test and gauge how much discipline you have acquired in the things of food and consumption. Not everything set before you is meant for consumption, some are there to test how much you have grown, and your level of restraints…

    As for Shell renewables, energy business is perhaps the most political of all businesses, so the jury is still out there on what ‘zero emissions’ or ‘zero carbon’ truly entails.

    Just yesterday, I was reading a report that Bitcoin mining consumes more power annually than the entire power consumption in Argentina, already ahead of the Netherlands and UAE, and will soon overtake that of Norway. Then some question Elon Musk rationale for purchasing Bitcoins, since he got subsidy from the public on emission, only to invest in Bitcoin that doesn’t conserve energy, with most of it powered by coal! Can you draw the relationships in all of these?

    It does appear that some people have genuine intention to ‘save the planet’, what isn’t still clear is the most appropriate way to go about it. Today carbon is the fall guy, by the time we go fully renewable, sulphur or lead could become a new monster.

    Reply

Post Comment