A Penn economist explores the relationship between regional energy policy and oil company support for renewable power.
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In recent years there has been a divergence in the trajectories of the world’s major oil companies. The shift has been most noticeable in the case of the European oil majors, including companies such as BP and Shell, which during the past decade began to emphasize the importance of renewable energy to their futures, and subsequently built major wind and solar power businesses. American oil majors have, by contrast, generally taken a more defensive approach to the energy transition. In public statements, companies such as ExxonMobil and Chevron have emphasized that their competitive advantage lies solidly in oil and gas production.

What comes into focus when considering the directions of these and other oil companies is that their core approach to the energy transition may be influenced by political dynamics in the regions they call home and, ultimately, in their estimates of the staying power of fossil fuels.

Arthur van Benthem, an associate professor at the Wharton School of Business, discusses the relationship between regional energy policy and the clean energy strategies of major independent and state-owned oil companies. His recent research explores the pressure that oil companies face from policymakers and financial markets to reduce their climate impacts.

Arthur van Benthem is an associate professor of business economics and public policy at the Wharton School of Business.

Related Content

Ammonia’s Role in the Net-Zero Hydrogen Economy https://kleinmanenergy.upenn.edu/research/publications/ammonias-role-in-a-net-zero-hydrogen-economy/ 

Can Carbon Negative Oil Be Climate Positive? https://kleinmanenergy.upenn.edu/podcast/can-carbon-negative-oil-be-climate-positive/ 

Saudi Arabia Confronts Its Oil Dependence https://kleinmanenergy.upenn.edu/podcast/saudi-arabia-confronts-its-oil-dependence/ 



Energy Policy Now is produced by The Kleinman Center for Energy Policy at the University of Pennsylvania. For all things energy policy, visit kleinmanenergy.upenn.edu

A Penn economist explores the relationship between regional energy policy and oil company support for renewable power. ---
In recent years there has been a divergence in the trajectories of the world’s major oil companies. The shift has been most noticeable in the case of the European oil majors, including companies such as BP and Shell, which during the past decade began to emphasize the importance of renewable energy to their futures, and subsequently built major wind and solar power businesses. American oil majors have, by contrast, generally taken a more defensive approach to the energy transition. In public statements, companies such as ExxonMobil and Chevron have emphasized that their competitive advantage lies solidly in oil and gas production.
What comes into focus when considering the directions of these and other oil companies is that their core approach to the energy transition may be influenced by political dynamics in the regions they call home and, ultimately, in their estimates of the staying power of fossil fuels.
Arthur van Benthem, an associate professor at the Wharton School of Business, discusses the relationship between regional energy policy and the clean energy strategies of major independent and state-owned oil companies. His recent research explores the pressure that oil companies face from policymakers and financial markets to reduce their climate impacts.
Arthur van Benthem is an associate professor of business economics and public policy at the Wharton School of Business.
Related Content
Ammonia’s Role in the Net-Zero Hydrogen Economy <a href="https://kleinmanenergy.upenn.edu/research/publications/ammonias-role-in-a-net-zero-hydrogen-economy/">https://kleinmanenergy.upenn.edu/research/publications/ammonias-role-in-a-net-zero-hydrogen-economy/ </a>
Can Carbon Negative Oil Be Climate Positive? <a href="https://kleinmanenergy.upenn.edu/podcast/can-carbon-negative-oil-be-climate-positive/">https://kleinmanenergy.upenn.edu/podcast/can-carbon-negative-oil-be-climate-positive/ </a>
Saudi Arabia Confronts Its Oil Dependence <a href="https://kleinmanenergy.upenn.edu/podcast/saudi-arabia-confronts-its-oil-dependence/">https://kleinmanenergy.upenn.edu/podcast/saudi-arabia-confronts-its-oil-dependence/ </a>
 
Energy Policy Now is produced by The Kleinman Center for Energy Policy at the University of Pennsylvania. For all things energy policy, visit kleinmanenergy.upenn.edu

Energy Policy Now offers clear talk on the policy issues that define our relationship to energy and its impact on society and the environment. The series is produced by the Kleinman Center for Energy Policy at the University of Pennsylvania and hosted by energy journalist Andy Stone. Join Andy in conversation with leaders from industry, government, and academia as they shed light on today's pressing energy policy debates.

Energy Policy Now

Energy Policy Now offers clear talk on the policy issues that define our relationship to energy and its impact on society and the environment. The series is produced by <a href="https://kleinmanenergy.upenn.edu/podcast/">the Kleinman Center for Energy Policy</a> at the University of Pennsylvania and hosted by energy journalist Andy Stone. Join Andy in conversation with leaders from industry, government, and academia as they shed light on today's pressing energy policy debates.

A Penn economist explores the relationship between regional energy policy and oil company support for renewable power.

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