Shell Invests Heavily in Wind to Supplement Falling Revenue

Shell have had to make some big decisions in the past regarding renewable energy. 10 years ago, they stopped investing in certain renewables such as solar, wind and hydro power, instead choosing to focus on bio-fuels. Recently they have reconsidered this decision – with oil prices once again falling and considering the Paris climate change deal, Shell have been forced to admit they may have got it wrong.

They are focusing on wind power for their future revenue. After announcing plans to put people out of over 12,500 jobs this year, it’s clear they are tightening their belts. With wind looking like the most promising renewable option, recently Shell reluctantly turned to wind power to supplement falling revenue.

Shell no longer drill in the arctic and currently will not be returning – great news for those against this kind of drilling which has always been surrounded by controversy. With other sites experiencing job cuts, this is an expensive time for oil companies desperately scrabbling to save money.

Shell has joined the GWEC (the Global Wind Energy Council) following the China Wind Power 2018 energy show, and who can blame them when the figures look so attractive! With the industry set to continue growing to 841gw by 2022, it is expected demand for oil worldwide will fall.

Shell vice president said:

“We are pleased to join GWEC and their Offshore Taskforce to help accelerate the development of offshore wind, an important part of Shell’s growing New Energies portfolio. We look forward to working with Ben and his team and the other GWEC members.”

Shell’s support for offshore wind could certainly help the growth within the industry, and they have said they will be investing 1 billion US dollars a year.

Dorine Bosman, VP Shell Wind Development, said:

“We are pleased to join GWEC and their Offshore Taskforce to help accelerate the development of offshore wind, an important part of Shell’s growing New Energies portfolio. We look forward to working with Ben and his team and the other GWEC members.”

The attitudes of Shell have changed towards these renewable options and it is a complete u turn on recent years. Shell isn’t the only company beginning to make this change. With many more big companies realising low carbon alternatives are the future, wind is the main contender, but other investments have been in solar and bio-fuels.

To continue to be big contenders these companies will need to switch focus from oil to renewables to stay afloat in this ever-changing energy market – renewables are on the up and will be worth $777,000,000,000 by 2019.