The Future of Oil and Gas

IN THE LAST few years, renewable energy sources, such as wind, solar, and hydroelectricity, have gained tremendous importance, aiming to mitigate climate change and foster a sustainable future for global citizens.

Although we have learnt in recent years that nature is more important than advancement in technology, the role of fossil fuels, particularly oil and gas, is still a highly debated subject.
United States president Donald Trump at the United Nations General Assembly last September argued that renewables are “too expensive” and “not strong enough to power economies and make them great”.
Despite the push for renewables, the Institute for Energy Research has reported that over 80% of the world’s primary consumed energy came from fossil fuels in 2024.
One dimension in which dependence on fossil fuel is crucial is energy poverty.
About 760 million people in the world lack access to electricity, of which 80% are located in sub-Saharan Africa.
Projections suggest that by 2030, 660 million people will remain without electricity, of which 85%, or 560 million people, will be in sub-Saharan Africa.
The global poor, therefore, continue to use traditional biomass and fossil fuels for subsistence needs such as cooking and heating.
Fossil fuels represent cheap energy sources that guarantee energy affordability and accessibility for millions of people, lifting them out of the dark and making economic activities viable.
Experts believe the best path to a robust and resilient energy mix involves integrating fossil fuels with renewable energy. Natural gas, for example, has been taken as some sort of ‘transition fuel’, because it emits less when compared to coal and oil.
Combustion of natural gas in combined cycle plants with renewable technologies can provide security in the supply of electricity while reducing carbon footprints.
Apart from that, oil and gas companies are investing more in clean energy projects. For instance, Shell, BP, and TotalEnergies have all announced plans to drastically cut carbon intensity and portfolio diversification.
With such capabilities in technology and finance, these companies have the potential to make a big difference in the scaling up of renewable energy infrastructure and research.
In the long term, the future of oil and gas depends on the ability of these fuels to adapt to the course of global decarbonisation.
Technologies such as carbon capture and storage (CCS) provide a way in which fossil fuels can coexist with renewables, primarily by driving down emissions at a much lower level. For instance, CCS projects in Norway and Canada are positioned to capture as many as millions of tonnes of CO2 emissions every year to prevent them from reaching the atmosphere.
Additionally, there is an increasingly parallel conceptualisation through the term ‘circular carbon economy’ that focuses on mitigation technologies for circularity through strategies of reduction, reusing, and recycling, and finally removing carbon altogether to enable substantial fossil fuel supplementation in energy system needs without global warming.
The future of oil and gas is not exactly smooth sailing. Public and private financing is gradually shifting away from high-carbon projects, and regulatory frameworks, along with international declarations such as the 2015 Paris Agreement, are putting pressure on rapid decarbonisation.
The oil and gas industry needs to come up with new innovations that could at least keep up with the shifting energy dynamics.
There is a place for hydrocarbons in the world’s energy mix, but that role is declining.
The transition to renewable energy, together with technologies for the reduction of emissions, means they too can play a role in a sustainable energy future.
It now becomes a point of interest for net-zero emission drives: that the oil and gas industry is transformed into a partner, not a barrier, in the fight against climate change.

*Edward Shati is a Chevening alumnus. He holds a master’s of science degree in energy economics and law from the University of Aberdeen and a master’s degree in leadership from Liverpool John Moores University. This article represents his personal views.

In an age of information overload, Sunrise is The Namibian’s morning briefing, delivered at 6h00 from Monday to Friday. It offers a curated rundown of the most important stories from the past 24 hours – occasionally with a light, witty touch. It’s an essential way to stay informed. Subscribe and join our newsletter community.

The Namibian uses AI tools to assist with improved quality, accuracy and efficiency, while maintaining editorial oversight and journalistic integrity.