Energy companies are under pressure to provide the electricity that the world needs without causing further damage to the environment. After a reliance on fossil fuels, Andy Brown, CEO at Galp says that transformation is overdue:
“We are driven to think about a completely different energy system, based on fuels like hydrogen and biofuels, for us to live our lives without creating CO2 emissions. Galp is transitioning from an integrated oil and gas company to an integrated energy company: we have this bold vision to completely change the company from where it has been to where it will be in the future.”
Galp is already market leader in Portugal, thanks to the company’s reputation for mobility, as Teresa Abecasis, COO Commercial at Galp explains:
“Galp has been the first to prepare the ground for electric cars by installing fast charging equipment in Portugal. Galp serves the key needs of all the customers that want to decarbonize their mobility patterns by using cars that are powered by electricity.”
Brown says that the transition is happening at pace, with existing approaches being used to fund the development of new infrastructure:
“We're stopping frontier exploration, but we still have a lot of resources to develop. The upstream plays the role of generating the cash today for that longer term future, the downstream transformation is about Galp’s brand and its ability to transform what we do in Iberia today to be something that is much more engaged with the future consumer.
Brown says that the future will lean heavily into renewables:
“Renewable energy will be the core of the new global energy system and we are going to be a big player in renewable energy. These new energy solutions, whether they be in lithium or hydrogen, create completely new value streams that the Galp can really embrace.”
Séergio Machado, Head of Hydrogen at Galp maps out the plan for the next decade:
“Galp will invest in low carbon energies, such as renewable electricity, biofuels and hydrogen. Energy transition is a lot about electrification, but electrification does not address all economic sectors, especially heavy dutyheavy-duty transports. For that, we will need molecules that are less carbon intensive, including biofuels, hydrogen, e-fuels and all hydrogen derivatives.”
Machado says that Galp’s signature Sines refinery was built in 1978 and has been evolving ever since:
“The energy transition needs hydrogen and Galp is set to be a world class player in hydrogen and e-fuels.”
Abecasis predicts that as more than half of the cars that are going to be sold in Portugal will be electric in 2030, the number of charging points will have to increase from the current number of 4,000 to 30,000 by the end of the decade. She adds that Galp has a responsibility to customers that have come to trust the company and the solutions they provide:
“When people see the Galp logo, they see a place where they can find the solutions for their mobility. So it's our obligation to bring electric mobility into our locations so that people can trust that there, they will also find an electricity solution.”
To achieve this, Carolina Pedrosa, Sustainability Specialist at Galp says that the company has to be on the front foot when it comes to acting responsibly:
“A hundred percent of our sites are evaluated annually for biodiversity and water risks. By implementing action plans, we are committed to adopting measures that protect biodiversity and promote efficient and sustainable water use in our operations. All these practices have been consistently recognized by key ESG indexes in which we are present such as the MSCI, Sustainalytics and the Dow Jones Ssustainability indexIndex, where we recently reached number one in the world in our industry.”
Pedrosa says that Galp will reduce it’s emissions and carbon intensity of the energy produced by the company by 40 percent by 2030:
“The future of Galp’s energy transition is athe future of partnerships, innovation and regeneration of portfolio. It's an inclusive and people-centered energy transition that ensures that the world moving at a fast pace does not leave anyone behind.”
For Andy Brown reinforces, Galp’s is stepping into a new purpose:
“Let's regenerate the future together. The first pillar is about transforming our portfolio of assets to renewable and clean energy. The second is about refreshing our relationships with our customers. And thirdly, to reenergise our people, empowering the talent of this company to create those new solutions that the world needs. Purpose, then, will drive us to being a net zero CO2 company.”
