Cisco: Sustainability in Oil and Gas
In response to the United Nations climate change programs, every major oil and gas (energy) company has announced significant investments to meet sustainability goals over the next 20 years. The related goal on every energy company’s list is energy transition linked to sustainability and climate change. This report will focus on these dual objectives of sustainability and energy transition strategies.
Each energy company has a slightly different approach to achieving net zero carbon emissions, the measure of this energy transition. The most common diet items are:
New businesses in alternative energy sources
More sustainable operations
Direct removal of carbon from the atmosphere
This blog describes these energy transition strategies and explains how Cisco is working with industry to help make them a reality.
Alternative energy companies
Today, many oil and gas companies have been renamed energy companies to reflect their interest in multiple sources of energy, beyond hydrocarbons. In addition to the name change, every major energy company has made financial investments in new energy companies. Solar projects, wind farms and hydrogen power plants are the most common choices for upstream business investments. Intermediate companies are reallocating pipelines to transport hydrogen and some have invested in power lines. Downstream companies are interested in hydrogen production, and retail companies want to add electric vehicle charging to gas stations.
At a minimum, companies are experimenting with new energy business models. Some companies are more daring. For example, Shell acquired Ubitricity with the intention of playing a leading role in the electric vehicle charging market.
Energy companies, like many others, have a well-articulated sustainability plan. With a commitment to reducing carbon emissions from Scopes 1 and 2, they are exploring more energy efficient ways to produce products. They are also developing new processes with lower greenhouse gas (GHG) emissions.
Carbon capture and storage
Many oil and gas processes release high volumes of CO2 and methane into the atmosphere. Although there is still work to be done, significant efforts have already been made by the industry to reduce these volumes. The most common method of reducing these emissions is to capture them, compress them, and push them deep into underground reservoirs for indefinite storage. Other storage approaches are under development, but this initial approach has many advantages for the industry and is the simplest first solution.
The International Energy Agency has identified that in its most aggressive net zero plan, the world will still need 25% of current oil production and 45% of current gas production beyond 2050. As a result , the producers of these energy products will have to offset their carbon footprint with carbon credits. Energy companies will buy carbon reduction credits from companies that have already reduced their carbon footprint. While not the most desired solution for the environment, it is necessary to meet global energy needs during the energy transition. In addition to payments for offsets, these energy producers will also have to pay carbon taxes to finance the development of new alternative energies and climate change mitigation efforts around the world.
How Cisco Can Help
Cisco is used to using technology to help with sustainability initiatives such as energy efficiency, supply chain sustainability, environmental monitoring and compliance, and the provision of data transport for businesses. sustainable development projects. Cisco’s sustainability journey is documented here.
Experience in energy transition
Over the past decade, Cisco has worked with several energy customers to provide secure communications infrastructure for solar deployments, wind farms, and other new energy initiatives. These experiences are documented in reference architectures and case studies. As the energy transition accelerates, this pool of experience continues to grow. New types of initiatives such as electric vehicle charging networks, energy storage and carbon capture and storage are increasingly common.
Here are some examples of recent customer projects:
Efficient use of energy
Cisco has deployed several smart building and campus solutions that monitor and optimize energy use and reduce energy consumption and CO2 emissions from buildings. Many of these solutions were first deployed at Cisco to showcase our own sustainability achievements and directions. The solutions of this practice are applicable in all industries and several of them can also be applied in heavy industry installations:
Sustainable supply chain
To influence a sustainable supply chain, Cisco intentionally changed its approach. We have started to orient 100% of new products towards circular design principles, reducing the use of virgin plastic by 20% and the use of packaging foam by 75%. Cisco often works with customers to share what they learn from these initiatives to facilitate similar transitions for customers. These initiatives cover both corporate and industrial practices:
Digitization – Monitoring and control of emissions
Energy companies need to measure and monitor several emission parameters to ensure they are meeting their corporate and regulatory goals. Cisco has extensive experience in managing communications and data flow from sensors or industrial systems. Cisco partners like Emerson and Honeywell both have specific emissions monitoring solutions that they offer to their customers and Cisco integrates with those solutions.
Summary / Conclusion
As energy companies develop new, sustainable ways of doing business, Cisco can help them accelerate the benefits they expect. The precision of a digital operation eliminates waste. New, sustainable businesses become more efficient with the visibility, manageability, and security of a Cisco infrastructure.
Find out how Cisco is helping oil and gas operators with sustainability strategies on:
Cisco Oil and Gas Sustainability Video
IT Industry Leader in the Fight Against Climate Change – Cisco Achieves 100% Renewable Energy in the United States
Driving an inclusive recovery: how can Europe secure a digital and sustainable future for all?
Cisco pledges $ 100 million to help tackle climate crisis