What Is BP Doing for Sustainability? Key Initiatives and Impact Explained

BP’s Net-Zero Ambitions: Navigating the Energy Transition

BP has publicly committed to becoming a net-zero company by 2050 or sooner, aiming to help the world achieve the same goal. This ambitious target is underpinned by a sustainability framework that translates BP’s purpose – “reimagining energy for people and our planet” – into tangible actions. While the company has outlined ten specific aims to support this ambition, its journey has faced scrutiny amidst fluctuating investment strategies and shifting priorities. This post examines BP’s sustainability efforts, dissecting its investments, partnerships, and technological advancements to assess its progress and future trajectory.

A significant aspect of BP’s net-zero commitment lies in its strategic investments. In 2022, BP allocated $2.5 billion to renewables, hydrogen, EV charging, and biofuels, out of a total capital expenditure of $16 billion. BP plans to invest between $1.5 billion and $2 billion annually in its energy transition businesses. Between 2023 and 2025, BP planned to invest $3 billion to $5 billion annually in “low-carbon” energy projects, rising to $4 billion to $6 billion annually in the latter half of the decade. BP has invested $30 million in over 150 initiatives supporting education, enterprise development, and environmental sustainability. In Q3 2023, BP invested $2.2 billion in fossil fuels and $190 million in its “low-carbon” segment. Adding to this, BP invested in climate tech startup CHOOOSE to help decarbonize aviation, although the investment amount wasn’t specified. However, in 2025, the company reduced its planned annual investment in renewables to between $1.5 billion and $2 billion, down from a previous higher forecast. These financial decisions present a mixed bag of intentions, highlighting both commitment and hesitation in the transition to cleaner energy sources.

Table: BP’s Investments in Sustainability Initiatives

To accelerate its transition, BP has forged strategic partnerships across various sectors. In 2024, BP and Corteva announced their intent to form a joint venture to produce and deliver crop-based biofuel feedstocks for sustainable aviation fuel (SAF) production. Furthermore, DG Fuels selected bp and Johnson Matthey’s co-developed Fischer Tropsch (FT) CANS™ technology for its first sustainable aviation fuel (SAF) plant, marking a significant step in SAF technology adoption. DHL Express announced strategic collaborations with bp and Neste in 2022 to supply over 800 million liters of Sustainable Aviation Fuel (SAF). Looking back further, BP partnered with Qantas in 2021 to support Qantas’s sustainability initiatives and net-zero goals. In 2021, BP and Rosneft signed a strategic collaboration agreement focused on carbon management and sustainability. To drive digital energy innovation and advance net-zero goals BP partnered with Microsoft in 2020.

Table: BP’s Partnerships for Sustainability

SAF Takes Flight: Industry Wide Partnerships

BP’s partnerships, particularly those focused on Sustainable Aviation Fuel (SAF), showcase a significant push towards decarbonizing the aviation sector. The collaborations with Corteva, DHL Express, DG Fuels, and Johnson Matthey demonstrate a multifaceted approach. These include developing biofuel feedstocks, securing SAF supply agreements, and deploying advanced Fischer-Tropsch technology. This collaborative effort underscores the importance of industry-wide participation to tackle the complexities of sustainable fuel production and adoption, hinting at a broader trend where energy companies collaborate to achieve environmental objectives.

Global Footprint: A UK Focus

BP’s commitment to investing up to £18 billion in the UK’s energy system by the end of 2030 highlights a strong geographic focus. This investment signals a strategic intent to leverage the UK’s existing infrastructure and policy support for renewable energy development. While BP operates globally, this concentration of investment in the UK suggests a targeted approach to capitalize on specific regional advantages and government initiatives aimed at fostering green energy technologies. This localized commitment could serve as a model for BP’s engagement in other regions, adapting strategies to align with local market conditions and regulatory frameworks.

Biogas, Hydrogen and Charging: Technology Shows Commercial Potential

BP is involved in the development of Fischer-Tropsch (FT) CANS™ technology for sustainable aviation fuel (SAF) production, in partnership with Johnson Matthey. BP is exploring and investing in green hydrogen solutions. BP is developing biogas projects as part of its low-carbon portfolio. BP is expanding its EV charging infrastructure. This diversified portfolio suggests a comprehensive approach to covering a wide range of technologies. While some of these technologies, such as EV charging infrastructure and biogas projects, are already commercially viable and scaling, others, like green hydrogen and advanced SAF production technologies, are still in the demonstration or scaling phases. The investment in these emerging technologies demonstrates a forward-thinking strategy, recognizing the potential for future growth and market dominance in the evolving energy landscape.

The Road Ahead: Navigating Ambition and Reality

BP’s journey towards net-zero is marked by both ambitious targets and strategic shifts. While its commitment to investing billions in renewable energy projects and forming partnerships to advance sustainable technologies is commendable, its emissions rose in 2024, with emissions under its operational control reaching 33.6 million metric tons of carbon dioxide equivalent, and emissions from the use of its products rising to 322 million metric tons. This indicates a considerable challenge in reducing its overall carbon footprint. The reduced investment in renewables and increased focus on oil and gas raises concerns about the company’s long-term sustainability goals. Moving forward, the success of BP’s net-zero ambition will hinge on its ability to balance short-term financial pressures with its long-term environmental commitments. Close monitoring of the development of projects like the Louisiana SAF plant and sustained investment in emerging technologies like green hydrogen will be crucial indicators of BP’s genuine commitment to a sustainable future.

Frequently Asked Questions

What is BP’s primary sustainability goal?
BP has publicly committed to becoming a net-zero company by 2050 or sooner, aiming to help the world achieve the same goal.

How much is BP investing annually in energy transition businesses?
BP plans to invest between $1.5 billion and $2 billion annually in its energy transition businesses. This figure was revised down from a previous higher forecast.

What are some key partnerships BP has formed to advance its sustainability goals?
BP has formed strategic partnerships with companies like Corteva (biofuel feedstocks for SAF), DHL Express (SAF supply), DG Fuels and Johnson Matthey (SAF technology), Qantas (sustainability initiatives), Rosneft (carbon management), and Microsoft (digital energy innovation).

What specific technologies is BP investing in to support its net-zero ambition?
BP is investing in a range of technologies, including Fischer-Tropsch technology for SAF production, green hydrogen solutions, biogas projects, and EV charging infrastructure.

Has BP made progress in reducing its emissions?
While BP has committed to net-zero and invested in renewable energy, its emissions rose in 2024. Emissions under its operational control reached 33.6 million metric tons of carbon dioxide equivalent, and emissions from the use of its products rose to 322 million metric tons. This indicates challenges in reducing its overall carbon footprint, highlighting the complexities of the energy transition.