Shell have announced they will be appointing Wael Sawan, head of the group’s integrated gas and renewables division, as their new CEO signally a possible greater focus on renewable energy and clean technology.
Shell have come under pressure from all angles during the cost if living crisis as they enjoy record profits provided by higher energy prices.
Many see this as profit at being earned by Shell at the expense of households facing soaring energy bills. To some extent this is true, but if these profits are to be invested into developing secure renewable sources of power for the future, it will lessen the criticism of the company.
Indeed, Shell have been investing in clean technology for some years but it is not yet recognised clearly in their earnings reports and raises question about the seriousness of their commitments to green energy.
“Ben van Beurden has been at Shell’s helm for almost a decade, so to that end the news of his resignation shouldn’t come as too much of a shock. It’s natural, and arguably right, that leadership gets a fresh pair of eyes at about this time. However, the real news is that it’s Wael Sawan, head of the group’s integrated gas and renewables division, who will be taking the wheel,” said Sophie Lund-Yates, Lead Equity Analyst at Hargreaves Lansdown.
“For a group whose renewable strategy has been somewhat vague, though grand sounding, this is a clear marker that Shell intends to change this. Change won’t happen overnight, but it’s reasonable to think that at least tweaks to the existing renewable strategy could be on the cards.”
Wael is certainly making the right sounds in his first comments as CEO by heavily pointing to energy transition and clean energy.
“I’m looking forward to channelling the pioneering spirit and passion of our incredible people to rise to the immense challenges, and grasp the opportunities presented by the energy transition. We will be disciplined and value focused, as we work with our customers and partners to deliver the reliable, affordable and cleaner energy the world needs,” Wael said.