Oil and gas giant Woodside Energy has abandoned its long-term emissions target and cancelled plans to spend $5 billion on clean energy projects by 2030 to focus on its core oil and gas business.
Woodside CEO Liz Westcott the company was on track to meet its 2030 emissions reduction target and was committed to reducing direct emissions, but would drop its Scope 3 target covering emissions from the use of its fossil fuel products.
And while the company reported a 7% rise in first-half profit, it planned to undertake a strategic review of its Beaumont New Ammonia clean energy project in the United States in order to sharpen its investment focus and cut $350 million in costs from 2028.
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The news has drawn ire from conservation groups, with the Conservation Council of Western Australia (CCWA) calling Woodside’s decision to dump its Scope 3 target “grossly negligent”.
“These emissions account for about 90% of the company’s total climate impact and to walk away from its responsibility for the global climate carnage inherently caused by its product highlights its profits at all cost approach,” CCWA executive director Matt Roberts said.
“Woodside CEO Liz Westcott says the expected pace of the energy transition has changed, but that’s only because fossil fuel corporations like Woodside use all the delay tactics they can to keep their industry on life support.
“Woodside takes Australian gas for free and exports it overseas, driving up climate pollution and domestic energy prices. Its time they were held accountable and not allowed to cut and run at a time when the impacts of climate change have never been more prevalent in Australia and around the world.
“This emissions backdown comes at the same time as the government is doing a review of the Safeguard Mechanism (SGM).
“It demonstrates that without proper oversight and real obligations for change, we will continue to see corporations walk away from community interests. Currently we’re not seeing any emissions reductions out of WA overall—and the SGM is a significant reason why that’s the case.
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“Woodside’s half-yearly results show a year-on-year profit increase of 27%—meanwhile, the company continues to get most of its gas for free and pays marginal amounts of tax to export it overseas.
“Gas is a dying industry that relies heavily on government support rather than economic logic,” he said.
