March 2021

Royal Dutch Shell Plc

Impact analysis

01
Overview

Recently, Shell announced new emissions targets as part of its plans to reach net zero by 2050. In the same breath, executives revealed a pathway to reach 1.5C by 2100 and claimed global emissions could reach net zero by 2058. 
There’s a small hitch, though: Shell has done net zero to alter its product path.

Shell’s announcement marked a major shift for the oil & gas titan. A mere six years ago the same executives dismissed the possibility that warming could stay below 2C. In the years since, however, net-zero initiatives have proliferated, peak oil has come and gone, and the business world has woken up to the risks of global warming. 

But there are two problems with far-flung decarbonisation targets. The first: very few of the executives making promises today will be around to take accountability for their success or failure tomorrow. The second: they often have little impact on the company’s lines of business. Companies like Shell continue with business as usual while paying lip service to the work they do to offset that business. 

Shell is in the business of selling oil. It is not in the business of planting rainforests. Until it makes material changes to its underlying products and services, investors and shareholders should be wary of giving it a pass.

02
Performance
All SDGs
Aggregated score
+
9
%
-
61
%
01
No Poverty
+
0
%
-
100
%
02
Zero hunger
+
0
%
-
100
%
03
Good health and well-being
+
0
%
-
100
%
04
Quality education
+
0
%
-
0
%
05
Gender equality
+
0
%
-
0
%
06
Clean water and sanitation
+
0
%
-
100
%
07
Affordable and clean energy
+
50
%
-
0
%
08
Decent work and economic growth
+
100
%
-
0
%
09
Industry innovation and infastructure
+
0
%
-
7
%
10
Reduced inequalities
+
0
%
-
43
%
11
Sustainable cities and communities
+
0
%
-
100
%
12
Responsibile consumption
+
0
%
-
100
%
13
Climate action
+
0
%
-
100
%
14
Life below water
+
0
%
-
100
%
15
Life on land
+
0
%
-
100
%
16
Peace justice and strong institutions
+
0
%
-
93
%
17
Partnerships for the goals
+
0
%
-
0
%