Shell's head of renewables in Europe quits as giant invests in oil and gas
To Shell Other Future Have More That Energy The Natural Giants Said Will Transition And Require A Gas Green Much
Shell's European renewable power boss Thomas Brostrom has decided to leave the company as the oil supermajor revises its strategy to focus more investment into fossil fuels.
The departure comes as Shell trims back its ambitions for renewable power to focus on the oil and natural gas that generate most of the firm’s profits.
Chief executive Wael Sawan is targeting better shareholder returns and sent a message to the renewables business that cutting CO2 emissions needed to be paired with higher earnings.
Shell announced Mr Brostrom’s exit in an internal memo seen by Bloomberg, which was confirmed by a company spokesman.
Shell had hired the executive from Danish wind energy giant Orsted amid its push into renewable power.
“Thomas Brostrom has elected to leave Shell to pursue an external opportunity,” a spokesperson said.
“We wish him all the best and thank him for his significant contributions to Shell’s renewable generation business.”
Mr Brostrom confirmed that he has decided to depart, but declined to comment on where he is headed next or on his reason for leaving.
In a restructuring that will take effect on July 1, Shell was eliminating the global role of executive vice president for renewable generation held by Mr Brostrom.
The production of power from renewable sources will be overseen by the regional heads of Shell Energy reporting to executive vice president Steve Hill.
Greg Joiner will take over the role of senior vice president for Shell Energy Europe, shifting from his current job as vice president of Shell Energy Australia, according to the memo.
Mr Brostrom’s departure follows the decision by a Shell power trader, Steffen Krutzinna, to quit over Mr Sawan’s change in strategy.
Under former CEO Ben van Beurden, Shell expanded aggressively into renewable power and even had ambitions at one time to be the world’s biggest electricity producer.
Spending on the company’s renewables and energy solutions unit has grown steadily in recent years.
But since Mr Sawan took over the top job earlier this year, Shell has said it will be more selective with its green power investments.
That means greater focus on projects that can best integrate with the company’s trading abilities.
It will also pull back from the offshore wind segment that Mr Brostrom specialised in and that Shell has expanded in recent years.
Shell and other energy giants have said that the transition to a green future will require much more natural gas.
From Shell to Chevron, the world’s top producers plan to accelerate investments in the fuel.
China keeps signing deals to buy liquefied natural gas past 2050, with European importers not far behind.
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