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Baker Hughes releases 2023 Energy Transition Pulse report


Baker Hughes, an energy technology company, released its 2023 Energy Transition Pulse report on Wednesday, which is based on a survey of 555 global senior executives and assesses the industrial sector's ability to focus on advancing cleaner energy in the face of geopolitical and economic challenges.

The report, conducted over a two-year period by FT Longitude, the Financial Times Group's specialist research and content marketing division, discovered that, while 41% of respondents cited economic uncertainty and rising inflation as barriers to energy transition investments, confidence in net-zero emissions readiness remains strong across most of the world.

“While we now face heightened need for more energy sources to address the energy trilemma of security, sustainability and affordability, I am pleased this report shows that like Baker Hughes, the majority of our global peers remain focused on attaining our individual net-zero emissions goals by 2050,” said Baker Hughes Chairman and CEO Lorenzo Simonelli.

“With the demand for hydrocarbons continuing for decades, it is critical to apply the technology we have today to reduce emissions.”

Despite geopolitical challenges and the energy security crisis, the report found that more organisations are prepared to achieve net-zero emissions by 2050 in 2022 than in 2021.

“The big learning from this crisis is that we really need to rethink the type and the way we use our energy,” said Ilham Kadri, CEO and president of the Executive Committee of Solvay.

“It’s painful in the short term, but it doesn’t change our climate initiatives.”

In response to the impending energy crisis, the majority of respondents (57%) are investing in or planning to invest in gas/liquefied natural gas (LNG) to address energy security. Meeting those supply demands and advancing the energy transition will necessitate collaborations and partnerships among government, society, industry, and the broader business community.
“Hydrocarbons are going to play a role for decades, and it’s crucial we apply the technology that we have today and work together as partners to reduce those emissions,” said Simonelli.

In the third and fourth quarters of 2022, Baker Hughes and FT Longitude surveyed 555 executives in oil and gas, renewable energy, and difficult-to-abate industrial sectors such as cement and mining across 21 countries.

The previous survey, which polled 500 executives from 20 countries in the fourth quarter of 2021, was conducted in the fourth quarter of 2021.

The full Baker Hughes Energy Transition Pulse for 2023 can be found here. Baker Hughes will share additional insights and learnings at its Annual Meeting 2023 in Florence, Italy, next week.