Business Essentials for Professionals


Shell Breaks Up Its Renewables Business Into Divisions To Enhance Efficiency

Shell Breaks Up Its Renewables Business Into Divisions To Enhance Efficiency
As part of a restructuring effort by CEO Wael Sawan to increase the energy giant's profits, Shell is dividing up its renewables and low-carbon division.
The adjustments come as Sawan, who assumed office at the beginning of the year, has hinted recently that Shell is thinking about doing away with oil output reduction targets as part of its energy transition plans.
Thomas Brostrom, who joined Shell in 2021 from the Danish renewables major Orsted, will no longer serve as executive vice president for renewable power globally, according to a company official.
The Shell Energy regional executives, who answer to Executive Vice President Steve Hill, will now oversee the company's operations in the wind and solar power sectors.
Shell appointed Anna Mascolo as executive vice president for low carbon goods and industries, including biofuels, carbon capture, and nature-based solutions, at the same time.
Huibert Vigeveno, who is in charge of the downstream and renewables sector, is responsible for Hill and Mascolo.
Bloomberg was the first to disclose the changes.
Two months ago, Sawan announced plans to merge the downstream division's liquefied natural gas (LNG) and oil and gas production divisions, with the renewables sector moving into the latter.
While it works to cut greenhouse gas emissions in the ensuing decades, Sawan has committed to enhance the performance of the business. Last year, Shell announced a $40 billion record profit.
The representative claimed that by bringing together all the components of low- and zero-carbon energy, merging downstream and renewables in a single directorate enhances the businesses.
According to him, Brostrom will continue working for the firm as senior vice president for Shell Energy in Europe and Asia, where he will be in charge of all offshore wind projects worldwide.

Christopher J. Mitchell

Markets | Companies | M&A | Innovation | People | Management | Lifestyle | World | Misc