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Sustainability

Energy spotlight: Harbour Energy

Our Energy Transition Report highlights how businesses in the energy ecosystem could help accelerate the UK’s progress towards net zero.

At a glance

  • It’s imperative to act collaboratively on the transition to net zero and assure alignment where possible within the broader UK energy system.
  • Exploring the integration of Carbon Capture & Storage not only captures and stores carbon emissions, but also utilises decommissioned offshore infrastructure. 
  • The transition to net zero requires the deployment of advanced technologies, repurposing of current infrastructure and development of new projects.
  • Implementing sustainable practices within day-to-day operations includes focusing on energy efficiency, waste reduction, and minimising environmental impact. 

How is Harbour Energy adapting operations and strategy to meet net zero targets?

We support the Paris climate change goals through our Net Zero 2035 commitment. We plan to achieve net zero by reducing our emissions and implementing quality offsetting where necessary. In addition, we are investing in Carbon Capture and Storage (CCS) and are leading CCS project Viking, which is expected to store 10 million tonnes of CO2 by 2030. We are leading the assessment of UK offshore electrification both as part of an industry collaboration and on an individual asset basis.

How is Harbour Energy supporting UK businesses and communities with the net zero transition?

We are actively collaborating with local communities and governmental bodies securing partnerships that promote and develop our Viking CCS project

Viking CCS (formerly called V Net Zero) is a CO₂ transport and storage network operated by Harbour and located in the Humber region, the UK’s most industrialised area. Viking CCS intends to equip the Humber region with high-capacity, reliable, low-carbon infrastructure to promote inward investment, attract new industries, and safeguard jobs in the area, with the opportunity to deliver over $4bn of Gross Value Add across the regional economies.

How is Harbour Energy coordinating within the UK energy ecosystem to transition to net zero?

Our collaborative efforts extend across various focus areas including working with our strategic supply chain partner to decarbonise their activities, supporting, and lobbying for policy alignment and engaging with the local communities we operate within.

We are actively engaging with key stakeholders in our supply chain to assess and improve sustainability practices. This involves working closely with suppliers to enhance efficiency, reduce emissions, and align with net zero goals. Additionally, we support improvements through key performance measures embedded into our strategic contracts to measure goals and targets on an individual value chain basis.

We also closely monitor and actively engage with evolving regulatory frameworks related to sustainability and net zero goals, such as the Taskforce for Climate-related Financial Disclosures (TCFD) and the Transition Plan Taskforce (TPT). This ensures our strategies are not only compliant but also positioned to potentially exceed expectations.

Recognising the significance of local communities, we are investing in initiatives that involve community engagement. This includes educational programs and skill development within the Humber region for the Viking CCS project, which is aimed at fostering a sense of shared responsibility and benefit.

What else could accelerate the shift to low carbon energy solutions?

We've implemented a series of practical measures aimed at encouraging change. These are accompanied by an awareness of potential blockers, presenting opportunities for improvement. 

 

Operational efficiency enhancements

Insight: Improving operational efficiency across our facilities has been a priority, leading to reduced energy consumption and emissions.

Blocker: Aging infrastructure and the retrofitting costs associated with existing facilities can pose challenges. Financial incentives for upgrading infrastructure would facilitate these necessary enhancements.

 

Technological innovation

Insight: Embracing cutting-edge technologies, such as carbon capture and storage will be pivotal in reducing our carbon footprint. Additionally, the industry’s potential for electrification of UK offshore producing assets in the Central North Sea.

Blocker: Initial high capital costs and limited infrastructure for certain technologies can be impediments. Incentives or funding mechanisms could be enhanced to mitigate these barriers. Large-scale electrifications projects are unlikely to be viable, but smaller-scale, facility-specific electrification projects may be possible.

 

Supply chain engagement

Insight: Engaging with our supply chain partners to implement sustainable practices has been integral to our low carbon strategy.

Blocker: Resistance or lack of commitment from some suppliers to adopt sustainable practices may hinder progress. Encouraging industry-wide standards and commitments could address this inconsistency. What’s more, the cost of low carbon solutions may be prohibitive to contract award dependent upon the project.

What else could help deliver a decarbonised and resilient energy system?

Our organisation is particularly enthusiastic about several innovations and technologies within the realm of CCS. This approach aligns with the principles of circular economy and resource efficiency.

Developments such as the Acorn Hydrogen project have the potential to be generating hydrogen from natural gas are of keen interest to Harbour Energy.

In addition, the project integrates carbon capture directly into industrial processes of the Theddlethorpe power station and potential shipping routes, which hold significant promise. This approach addresses emissions at the source, mitigating the environmental impact of essential industries.

What are some of the barriers?

The first notable challenge is the technological and infrastructural challenges needed to support the energy transition. Adapting existing facilities and investing in cutting-edge solutions pose challenges, particularly in terms of high upfront costs and technical complexities.

There is also the challenge of an evolving regulatory landscape, while essential for driving sustainability, introduces uncertainties. Adhering to changing regulations and navigating the complexities of compliance present challenges in formulating long-term strategies.

How is Harbour Energy taking action to transition from fossil fuels?

Our focus is the safe and reliable production of oil and gas to serve the global economy. We are committed to playing our role in the transition to a lower carbon economy while minimising the environmental impact of our global operations. This includes the adoption of low carbon technologies and practices across our facilities. Our ambition is to achieve net zero by 2035 for our gross operated Scope 1 and 2 CO2 emissions. 

We also prioritise transparency in our efforts by regularly reporting on our sustainability initiatives and progress. This includes disclosing emissions data, detailing energy contributions, and providing insights into our broader net zero journey. In addition to this, we also align to the Global Reporting Initiative (GRI) and Sustainability Accounting Standards Board (SASB) reporting recommendations. Examples are of this are our disclosures through CDP and our annual report in line with TCFD.

And we implement circular economy principles, exploring ways to reduce waste and optimise resource use across our organisation, particularly in decommissioning. This includes initiatives focused on recycling, repurposing, and minimising the environmental impact of our operations.

 

Check our hub for more insight from some of the UK’s most influential energy players.

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