Energy, Environment, and Social Development: Oil and Gas Sustainability in Action

Abstract

President's column Putting SPE’s revised vision into action mandates extensive collaboration and effective engagement with a wide range of internal and external stakeholders. Since I became president-elect in September 2017, I have been visiting with stakeholders around the world, reframing how most view the concept of oil and gas sustainability, which includes economic, social development, and environmental components. I have presented the industry’s commitment toward securing uninterrupted afford-able hydrocarbon energy resources in a safe and environmentally responsible manner despite the downturn, the drop of oil prices, anti-fossil-fuels activists, and pessimistic outlooks. I believe that the world cannot address the climate challenge without the collaboration and engagement of the oil and gas industry. The world cannot stop using oil and gas tomorrow, even as some activists call for that action. There will be a lengthy transitional journey that includes a mix of fuels, including oil and gas, renewables, and nuclear. Producing and using oil and gas in cleaner ways are a major component of that transition. The world’s population is expected to grow by 3 billion in the next 50 years, mainly in China, South Asia, India, and underdeveloped countries in Africa. In addition, most of the economic outlooks forecast a doubling of the global economy in the next 20 years. Supporting the expected economic growth, the current 1 billion people who have no access to modern energy, and the projected additional 3 billion people who will need jobs, energy, and higher standards of living cannot and will not be met with one source of energy or without the contribution of oil and gas. Many projections show oil and gas will remain more than 50% of the global energy mix for 20 years or more. Hence, our industry has to be a major player, and may have the opportunity to take a leading role, in addressing all of these challenges, including climate concerns. During the past 18 months, I have seen the concept of sustainability in action, which has become part of the core business of large companies across the industry. This is evident through their annual sustainability reports and CEO-level tracked key performance indices. It is also reflected in operational practices, environmental measures, and research and development investments. Through my visits to universities around the world, I found that research institutes in major universities are engaged in sustainability initiatives and research studies. During the month of January, I had the honor to be the keynote speaker during the launch of two sustainability initiatives by the Energy Advisory Board of the University of Houston (UH). This event was part of an ongoing collaboration between the UH Energy Advisory Board and the energy industry to integrate sustainability in companies’ strategies and day-to-day operations, a goal that fits perfectly my theme as SPE president.