Deloitte at World Petroleum Congress Spotlights Convergence, Carbon Focus and Consequences of Inaction as Key Challenges for Managing Energy Transition

HOUSTON, Nov. 30, 2021 /PRNewswire/ --

Key takeaways

• ESG and climate-risk metrics are becoming a business imperative for most companies.
• Commitment to a lower carbon journey is requisite to maintaining stakeholder trust for the oil and gas sector.
• Adaptability, agility and innovation are becoming critical success factors.

Why this matters
Deloitte leaders advising the oil, gas, chemicals and renewable energy sectors will share insights, and study findings related to the energy transition at the 23rd World Petroleum Congress, a triennial conference organized by the World Petroleum Council, a nonprofit organization committed to the sustainable management of global oil and gas resources. Click here for more information about Deloitte at 2021 World Petroleum Congress.

Balancing the cost of transformation with the cost of inaction
The industry is facing mounting pressure to address energy transition plans, which could require major capital re-allocations, new business and talent models, digital transformation, as well as ongoing continuous improvements. At the same time, the cost of inaction is significant — and compounding. External pressures are multidimensional, including:

• Intensifying investor demands to reduce operational and value-chain emissions.
• Rising cost of capital expected due to financial sector scrutiny of climate risk, as well as carbon pricing and carbon tax liability.
• Changing environmental, social and governance requirements.
• Consumers, commercial customers, and communities demanding lower carbon and circular products.

Deloitte's Climate Hub at WPC
At the Deloitte booth #3847, attendees can see:

• Deloitte's new decarbonization solutions, part of its Decarbonization and Climate platform, features interactive modules that combine the latest climate science and an organization's commercial data to visualize risks, optimize its climate strategy, and fulfil climate disclosure and reporting requirements.
• Cloud4M helps clients capitalize on Industry 4.0 opportunities, by transforming their service experience using smart machines, Internet of Things, CRM, and augmented reality solutions.
• Deloitte Cyber shows companies how they can defeat cyber adversaries and use next generation technologies and innovation across IT, OT and 5G; and from the cloud to the edge. Deloitte advises companies on cyber risks that affect business decisions, so they can become stronger, faster and more resilient.
• Riskonnect is an automated, collaborative, configurable platform to enable supply chain ESG initiatives. Riskonnect combines pre-configured solutions to approach environmental, climate and social risk and governance issues through automation and data-driven engagement.
• The Industrial Marketplace by Deloitte is an ecosystem collaboration platform at the heart of a new Deloitte AI business designed to bring a company's third parties closer together with industry rich data sources and supplying users with insights tailored to making better operational choices throughout the end-to-end workflow.

Spectrum of solutions to the climate crisis
Deloitte leaders will be at the event, focused on low-carbon technologies and strategies, including carbon capture and green hydrogen; wind and solar power, other renewables, and energy storage; convergence and circularity in petrochemicals; social license across the sectors; and how to shift from planning to execution for technological and industry transformations.

Attending the event is John England, advisory partner, Deloitte & Touche LLP, who has been recently appointed as the global sector leader for oil, gas and chemicals within the energy, resources and industrials industry. England works closely with oil, gas and chemical clients to bring Deloitte's deep capabilities to provide recommendations for clients to consider as they solve problems and enhance value. John brings a unique mix of commercial, risk management, operational, and financial knowledge, and the experience of more than 32 years in the industry. Rajeev Chopra, the global energy, resources and industrials leader, Deloitte LLP, previously served in the oil, gas and chemicals role, and will continue to serve as the global energy, resources and industrials leader.

The Deloitte speakers participating at WPC and the studies they will be presenting are:

• Amy Chronis, U.S. oil, gas and chemicals leader, partner, Deloitte & Touche LLP, and Houston managing partner, Deloitte LLP: "Crossing the Chasm to Convergence." The study discusses downstream strategies for refining a stronger petrochemical-minded business model. Chronis will also be participating in the "CEO Panel: A Strategic Approach to Integrated Downstream Mega Projects," which takes a multi-stakeholder strategic approach to the design, planning and execution of integrated downstream mega projects, with an emphasis on international cooperation and innovation.
• Marlene Motyka, U.S. renewable energy leader, and advisory principal, Deloitte & Touche LLP: "Success Factors for a Low-Carbon Future in the Power Sector." The study charts potential paths forward for low-carbon energy options by identifying factors that accelerate their development and deployment. Wind and solar PV technologies are seeing rapid expansion and high demand, but the future may also depend on many other technologies as well, such as hydrogen, power-to-x, superconducting magnetic energy storage, or airborne wind turbines (i.e., kite power systems).
• John O'Brien, partner, financial advisory, Deloitte Australia: "Addressing the Challenge of Decarbonization." The study examines the financial implications of growing investor and policy pressures for oil and gas companies to overhaul their operations for decarbonization. O'Brien will explore emissions-reduction pathways and least-cost abatement solutions, designed to meet the demands of major investors and to comply with science-based targets as well as methods for addressing the challenge of decarbonization in an economically viable manner.
• Andrew Botterill, oil gas and chemicals leader, Deloitte Canada: "Leveraging Stakeholder Trust for a Sustainable Future." Many factors contribute to building a sustainable future — balancing company profits and competitiveness with benefits to society, introducing and navigating policies and regulations. Increased corporate social responsibility spend has made little impact, and many misperceptions have resulted in a crisis of trust. This paper explores the potential for bringing the oil and gas sector, government, and society together to overcome the trust deficit and generate shared value beyond compliance.
• Stefan van Thienen, oil, gas and chemicals leader, Deloitte Germany, "Chemicals 5.0 on the Rise: Europe as a Strategic Blueprint for the World." Global mega-trends like sustainability and circularity put oil and gas companies under mounting pressure to capture the growing value of the petrochemicals businesses. Chemical companies will likely need to be more agile and open, building the capability to develop innovative solutions. This report explores how companies can navigate the transformation towards both carbon neutrality and the circular economy. 

Key quote
"Innovation has never been more critical or harder to achieve, and the industry is answering the call by developing and deploying real solutions to the climate crisis. Necessity, in this case, is the mother of reinvention. We have already seen major strides in business transformation, emissions reductions and new sustainable product developments across the oil and gas sector."
— Amy Chronis, U.S. oil, gas and chemicals leader, partner, Deloitte & Touche LLP, and Houston managing partner, Deloitte LLP

"There is no single solution to decarbonizing our world and we expect the array of approaches will collectively bring positive, wide-ranging results. In markets around the world, the common denominator is the drive — and will — to change."
— Marlene Motyka, U.S. renewable energy leader and advisory principal, Deloitte & Touche LLP

For more information on Deloitte participation at and Elite Sponsorship of WPC, click here for more information.

Connect with us on Twitter at @Deloitte4Energy, @DeloitteEnergy or on LinkedIn at: John England, Rajeev Chopra, Amy Chronis, Marlene Motyka, John O'Brien, and Stefan van Thienen.

About Deloitte
Deloitte provides industry-leading audit, consulting, tax and advisory services to many of the world's most admired brands, including nearly 90% of the Fortune 500® and more than 7,000 private companies. Our people come together for the greater good and work across the industry sectors that drive and shape today's marketplace — delivering measurable and lasting results that help reinforce public trust in our capital markets, inspire clients to see challenges as opportunities to transform and thrive, and help lead the way toward a stronger economy and a healthier society. Deloitte is proud to be part of the largest global professional services network serving our clients in the markets that are most important to them. Building on more than 175 years of service, our network of member firms spans more than 150 countries and territories. Learn how Deloitte's more than 345,000 people worldwide connect for impact at www.deloitte.com.

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