European Oil & Gas Majors Facing the Energy Transition: How can oil & gas companies redefine their business model during the energy transition?

Abstract

The major oil & gas companies, with a particular regard in this study for the European ones, are going through a particular historical and societal period. The sector, which has always been a leader in energy supply, is having to face challenges, not only related to the production of the product but also to the impacts this has on the environment. For the first time, the industrial crisis is not linked to factors such as the price or quantity of resources, but also to social and cultural aspects, such as attention to the environment. Faced with a precise regulatory framework and pressure from society, oil companies are therefore called to account in redefining their operations and strategies. To do this, an adaptation of the current business model is also necessary, through the introduction of the transition model canvas (TMC).In fact, this can be adopted in view of the classification of the oil industry in the multi-level perspective (MLP) dedicated to socio-technical transitions. The oil industry, which is part of the sphere of the regime, is having a hard time readjusting its long-standing ways of working and thinking to face this new challenge and is therefore reluctant to accept the emergence of new models, the niches. Indeed, the study serves to listen to how the main European oil industries are reacting to this challenge and how their strategies could diversify and change over time adapting a new strategic business model, such as the TMC.

Keywords

#oil #gas #energytransition #europe #energy #energycrisis #transitionmodelcanvas #multilevelperspective #sociotechnicaltransitions #regime

How to Cite

Menga, A., (2023) “European Oil & Gas Majors Facing the Energy Transition: How can oil & gas companies redefine their business model during the energy transition?”, Science for Sustainability (S4S) Journal 7(1): 1. doi: https://doi.org/10.53466/s4s.26