VIDEO: Discussing an orderly energy and materials transition to help reduce global emissions
Fahad K. Al Dhubaib, our senior vice president of Strategy and Market Analysis, discusses at the World Economic Forum the energy transition as not a shift in energy sources, but rather an emissions transition.
The bulk of the consumption of petrochemicals and materials will likely be growing with the 1.7 billion people coming into the world.
There's a gap that will definitely put more pressure on demand; this is why we're thinking and talking about energy transition and materials transition going hand-in-hand.
If we want to transition the energy system, we will have to do this while meeting the growing energy demand for materials.
We have to look at this in a holistic, responsible way.
I think in Aramco, we have the benefit of looking at the globe from a demand point of view. This is why we have, as part of our strategy, the conversion of 4 million barrels of oil into chemicals over the coming years.
We have been doing a lot and advancing research.
If I can just share with you a few numbers, steel could be replaced by polymer fiber-reinforced rebars with time; these could offer you the same strength of steel with less emissions.
We've seen how high-density polyethylene replaced glass in the packaging and auto industry, and reduced emissions by 80%. Within our business in Aramco, we have introduced nonmetallics; by deploying 12,000 kilometers of pipelines, replacing steel.
We're not doing this alone; we're working with industry stakeholders to introduce the concept of these new materials.
For the energy transition to move fast, the speed will have to be as fast as the speed of science. We have to have the courage because we are all trying to achieve the same thing.
We rallied the whole industry under the oil and gas decarbonization charter, by which we have committed as an industry to reduce emissions.