A big focus of my efforts are middle-tier companies in the oil and gas business. Some of these companies see sustainability issues – particular those related to climate change — as an existential threat to their business. This can be a self-fulfulling pr0phesy. The energy transition from heavy fossil fuels to renewable sources is real. But it doesn’t spell the end of hydrocarbons, at least in the next half century.
Successful mid-sized energy companies will learn how to identify and fill certain niches within the new energy economy. A commitment to sustainable business practices will be a prerequisite for living through this transition. A commitment to strong social performance is also a necessary ingredient in the long-term success of these companies. While many companies are making great strides here, the expectations of society are increasing faster than the performance of many companies. Without a step-change in performance, many companies will always find themselves behind the curve, struggling to keep up.
Gary M. Scoggin, P.E. 