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Total Plans To Stop Selling Fuel Oil To Power Plants, Says Its CEO


02/14/2020


Total Plans To Stop Selling Fuel Oil To Power Plants, Says Its CEO
In an effort to reduce its carbon footprint, the France based oil and gas giant Total plans to bring to a complete stop selling its fuel to power plants, said the company’s chief executive in an interview to the media. The company is also aiming to step up investments in renewable energy projects.  
 
One of the most carbon intensive refined oil products is fuel oil which is primarily put to use for generation of electricity and as a marine fuel.
 
"We want to stop selling fuel oil for making power," Total Chief Executive Patrick Pouyanne said in a recent interview. Total is the largest refiner of Europe and the company produced and traded in more than 4 per cent of all of the oil products that were consumed all across the world last year.
 
With the global shipping industry slowly but surely shifting to cleaner fuel, upgrading of refiners with the aim of cutting down on the total fuel oil output has been undertaken in recent years by a number of oil refining companies including Total.
 
Total one of the largest oil and gas trading businesses which is produced in its refiners that have a total global processing capacity of about 2 million barrels per day.
 
In 2019, the company reported its total sale of petroleum products touching  4.1 million barrels per and included refined products as well as chemicals.
 
Data from the company showed that about 5 per cent of the total quantity of the refined products manufactured by Total was accounted for by fuel oil produced for both power plants and for ships and liners last year. There was however no data available about the revenues that the company generated from the sale of fuel oil trading.
 
The option of no longer selling fuel oil to power plants was being examined closely by the marketing division of te group, said a Total spokeswoman.
 
The French oil major aims to bring down the carbon intensity of its products by at least 15 per cent by 2030 based on the levels of the company in 2015. The company has identified two ways of achieving this target – the first by reducing the quality of carbon intensive products that it sells and the second is by increasing the sale of cleaner fuel as well as by selling power generated from renewable sources.
 
In recent years, this French company has tried opt rebrand itself more as an energy company rather than an oil and gas company and it is now targeting to expand its renewable power generation by at least ten times to reach a total of 25 gigawatts of power by 2025.
 
(Source:www.usnews.com)


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