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Category: Energy

ESG comms: sincerity can silence sceptics


By Ophelia Jeffrey, Senior Account Executive 

A collective ambition for a more purpose-driven approach to business has propelled environmental, social and governance (ESG) issues up the agenda. To the extent that businesses hoping to remain competitive must now adopt a strong position on these issues or risk being labelled a laggard. 

And whilst a company might be making sincere efforts to factor good ESG practices into its wider business strategy, navigating the most effective way to communicate this undertaking without selling it short – or overstating its impact – is a very real challenge. There are reputational risks associated with doing both too much and too little, which can feel something like being stuck between a rock and a hard place – but with an effective communications plan, it’s possible to strike the right balance. 

The term ‘ESG’ has rightly attracted its fair share of sceptics – any term that’s associated with such hype requires sufficient scrutiny – but at Aspectus, we believe that whilst it’s likely to evolve considerably in the coming years, ESG is more than a passing fad.  

It follows then that businesses should be looking to incorporate strong ESG practices into their core strategies before they’re forced to – either by the demands of a regulator, or the ever-rising expectations of their own customer base. 

So, to help businesses as they consider how to effectively communicate their ESG strategies, or begin to devise one from scratch, we’ve pulled together five top tips for best practice: 

Be sincere

It’s essential to avoid either under or over claiming the impact of your work – as mentioned, both could do serious reputational damage. Under communicate and you risk alienating stakeholders, but over communicate and you could open yourself up to serious greenwashing allegations. Instead, be sure to contextualise any achievements within the business’ broader journey towards further progress, which will demonstrate both the business’ ambition and credibility. 

Provide proof

The best way to show stakeholders that your ESG claims are legitimate is to show them the evidence. That means setting targets that are clear and measurable in the first place and then centring your communications strategy around those proof points. If data isn’t available, then being as detailed as you can about your methodology is essential.

Stick to your promises

Establishing accountability is one of, if not the most, important factor when it comes to devising a credible ESG comms plan. Issuing plans early and publicly will make the achievements all the more impressive, demonstrating both forethought and follow-through. 

Regularly review your messaging

Done right, ESG should be incorporated into a business’ core strategy, operations, and values not tacked on as an afterthought. As such, from a communications perspective it’s important to revisit the company’s messaging when devising an ESG strategy. Whether an ESG commitment alters your company’s mission statement or enhances it, it’s essential that it’s reflected within the overall messaging at every level. 

Consider a dedicated ESG report

Increasingly, an annual ESG report has become a popular way to evidence the impact of a strategy and it has the advantage of helpfully mirroring an annual financial report, which visually elevates ESG on to an equal footing with more traditional measures of corporate performance. However, considering the importance of creating continuity as mentioned in the tip above. So it’s important that ESG still appears core to the business at an everyday operational level and not simply an annual status check that ticks a box. 

An effective ESG communications strategy can seem like a delicate balancing act but living up to these new expectations in business stands to benefit both planet and profit. 

If you’d like to dig deeper into our recommendations for best practices when it comes to ESG communications, we’ve recently published a whitepaper drawing from expertise across our five sectors, which is available to download here. 

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Can Aberdeen become the Net Zero Capital of Europe?


Jamee Kirkpatrick, Account Director in our energy team
Aberdeen has been hailed as the ‘Oil and Gas Capital of Europe’ for decades and latterly the ‘Energy Capital of Europe’, but that could all be set to change.  

Recently, in a bid to gain Green Freeport status of its regional port alliance including Peterhead Port Authority, Port of Aberdeen, Aberdeen International Airport and both Aberdeen City and Aberdeenshire councils, the city is eying up a new title – the ‘Net Zero Capital of Europe’. 

For many, the goal of achieving net zero by 2050 has been misunderstood by the general public. While it does mean increased urgency to phase out fossil fuels, it is very unlikely that they’ll be completely eliminated in the near future, particularly when you consider how many byproducts of oil there are.  

There is light at the end of the tunnel though, with high levels of investment, research and development (R&D), and testing in place to ramp up scalable green alternatives for hard to abate sectors. One only needs to look at the increase in electric car sales, production and supporting infrastructure in recent years as evidence.  

 

So, what does Net Zero mean?

The key to understanding net zero is to focus on the ‘net’ part. We’re not talking about absolute zero here – a world where there are literally no emissions – but rather one where emissions are reduced as close to zero as possible, and the remainder are re-absorbed from the atmosphere or offset by carbon negative activities such as carbon removal. 

The heightened imperative of reaching net zero has required supermajors to assess their energy mix and, in particular, their green energy portfolios such as wind, solar, carbon capture and hydrogen. Several oil majors have announced that they will stop exploration, but they have not committed to stopping production due to demand, particularly in view of energy security pressures. Instead, they are looking at:  

  1. how they can reduce emissions of their existing assets, such as electrifying assets or eliminating fugitive emissions and;  
  2. how they can offset the impact of their current ‘dirty’ operations, with green projects, such as offshore wind. 

 

Where does this leave Aberdeen?

Transition isn’t a new concept for the city. In 2015, the UK’s first hydrogen production and bus refuelling station opened in Aberdeen, and now you can barely see a bus pass by that isn’t hybrid. Even before that, in 2012, bus fleets went hybrid with the introduction of electric buses on all major city and shire routes. Aside from transportation infrastructure, the Scottish Government recently launched a £10m hydrogen initiative which will see investment in hydrogen technology development and exports from the region for which Aberdeen is primed to support.  

Aberdeen is also home to the European Offshore Wind Deployment Centre (better known locally as Aberdeen Bay Wind Farm) which is an offshore wind test and demonstration facility. The local Acorn Project, which will utilise existing oil and gas infrastructure such as pipelines, is on track to become Scotland’s first operational carbon capture and storage (CCS) facility, despite recently losing out on government funding back in 2021.   

These are just a few examples of transition in the city. On top of CCS and renewable energy, there’s also traditional oil and gas transition, such as well abandonment and decommissioning to consider, which will take decades to complete.  

Aberdeen’s legacy in oil and gas, married with its commitment to a net zero future, makes it really quite unique as an energy hub. A wealth of knowledge, expertise and experience is met with technology, innovation and a willingness to not only embrace change – but thrive in it. In fact, trade bodies such as Oil and Gas UK and The Oil and Gas Technology Centre have rebranded to Offshore Energies UK and Net Zero Technology Centre respectively to support the city’s growing diversity in the wider energy mix.  

 

So, is Aberdeen primed to be the Net Zero Capital of Europe?

There’s no reason why not – Aberdeen, as noted above, has a remarkable ability to adapt and excel. But as a city that has been left to its own devices for far too long, it will require help. National and local government support to transition traditional oil and gas workforces is needed, as well as funding and investment to aid infrastructure and technology development to allow SMEs in the traditional supply chain to adapt.  

Real investment and time will be required to ensure that the city isn’t left behind or forgotten. Given the opportunity, Aberdeen can cement its place in the net zero journey and even offer further stability for the city than it did in the ‘boom’ days of oil and gas. The wider energy industry, globally, can also learn from the knowledge held within the Granite City.   

Transition isn’t a buzzword, it’s something that Aberdeen is actively pursuing and doing, so the goal of becoming the Net Zero Capital of Europe is in reach – but to cross the finish line, collaboration, investment and innovation are required.  

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How can we bridge the gap until the energy transition?


By Paul Noonan, Lead Copywriter

The EU was long heralded as the world leader in renewables yet it is now reviving fossil fuel projects and even reopening coal power plants in the wake of an unprecedented energy security crisis.  Russia’s recent strangulation of natural gas supplies to the EU means the dilemma of how to build an affordable, secure ‘bridge’ to the energy transition has once again reared its head. And the global renaissance of oil and gas production has now left many fearing that the Ukraine crisis has heralded a permanent return to fossil fuels that could undo the progress of COP26.  

The collapse of the bridge to renewable energy

The EU’s rush to renewables relied heavily on interim imports of natural gas as a bridge to the energy transition, yet this bridge is now collapsing under a perfect storm of circumstances. The closure of much of the EU’s coal power capacity meant replacing a domestically produced dispatchable energy source with natural gas to fill the gaps from fluctuations in wind or solar supply. This left Europe uniquely vulnerable to the trifecta of a 15% slump in global windspeeds that slowed wind power production, a post-pandemic surge in energy demand from Asia and geopolitical conflict with its major gas supplier Russia.  And analysts warn that we are still a decade away from having enough green hydrogen, utility-scale batteries or carbon capture utilisation and storage to fill in for fluctuations in wind and solar. With Europe still reliant on Russia for 20% of its gas, there is now an urgent imperative for other short-term solutions to fill the void. 

European countries have signed new deals to import natural gas from Qatar, Algeria and Egypt and new fossil fuel projects and pipelines are being revived across Africa. Yet there is a fear that, far from being a bridge to renewable energy, new fossil fuel projects could become a permanent bridge to nowhere. Some have warned the rash of new fossil fuel projects will either lock in global warming forever or leave an array of massive, stranded assets as the tide of demand recedes in favour of renewables. 

An alternative path to renewable energy

Yet could there be an alternative bridge to the transition that avoided the need for long-term fossil fuel production or expensive new assets while alleviating the current energy security crisis? 

New lean engineering innovations such as portable Mobile Offshore Production Units (MOPUs) now enable short-term development of small oil and gas fields in shallow waters without the need for permanent platforms. These low-cost solutions could make it economically viable to develop marginal fields in regions such as Africa with abundant shallow water sites, fulfilling our short-term energy needs until renewable storage solutions are ready. 

And countries from Angola to Nigeria have also been using lightweight Minimum Facilities Platforms or Conductor Supported Platforms as a low-cost way to develop oil and gas fields at speed without huge conventional jacketed support structures. Their lean design means they can be manufactured and assembled without big facilities or fleets, reducing lifecycle emissions. And these modular, modifiable designs could even be adapted for future offshore wind applications, creating a circular economy of assets that provides both today’s energy supplies and tomorrow’s renewable energy replacements.   

And in the downstream market, digital twins, data analytics and machine learning systems are enabling refineries to reduce downtime, extend their lifetime and safely scale up production. This could help existing refineries boost output without building new ones until the energy transition is complete. Similar technologies are being used to extend the lifespan of existing offshore oil and gas platforms without building replacements, freeing up capex for investment in offshore renewables. Meanwhile in the renewables industry, innovations from carbon capture and storage to green hydrogen could provide the large-scale storage needed to accelerate the transition. 

The key is to ally these innovations with a strong communications campaign that promotes how technology can both aid future decarbonisation and provide a smooth and swift transition to clean energy.  

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We need to change our relationship with energy 


By Rob Hunt, Account Executive, Energy

More and more, people fall into the same trap when thinking about decarbonisation: 

Use EVs rather than internal combustion engine automotives. Switch from fossil fuels to renewable energy. Use batteries to store energy to use later.  

While these ideas do help to decarbonise, it just isn’t as simple as it seems.  

We can’t look at energy holistically in good or bad, black or white (or green) terms. As Graeme Cooper put it recently, speaking at Fully Charged Live, energy is brown – everything goes into the grid, be it renewable energy like solar and wind, or be it nuclear or coal. All the energy mixes. Our perceptions of the energy we use and see generated are simplistic. Ultimately, we need to change our relationship with energy.  

Less is more – the best energy is the energy you don’t use

Demand for energy is set to rocket in the UK, by 2030 the grid’s capacity will have to more than double in size to accommodate. One measure that can sometimes be overlooked is simply using less energy – the cleanest (and therefore best) energy is the energy that you don’t use.  

This doesn’t necessarily just mean switching off lights or getting rid of the tumble dryer in favour of a good old fashioned washing line. Increasing the efficiency of our products, homes and more will help use less energy in the long term. EVs versus internal combustion engine (ICE) cars are a classic example – ICEs typically provide around 30% efficiency, whereas electric vehicles tend to fall in the region of 70%. A transition to electric vehicles would therefore more than double the fuel efficiency of automotive transport – bearing in mind that more than a quarter of UK emissions come from transportation – this would help make a large dent in British greenhouse gas emissions.  

Right place, right time – the best way to use renewable energy

While reducing is a big part of decarbonisation, being smart on when to ramp up energy consumption can allow for responsible usage at period of high output. With regional network operators facing the shock of new renewable entrants across the UK, managing consumption to align with higher periods of renewable energy output could help utilise power that would otherwise go to waste.  

Likewise, geography plays a part, with areas ripe for renewable energy production often distant from hubs for energy consumption. Creating industrial hubs closer to the source of renewable energy could be an option moving forward, with automation allowing plants to dial up and down production 24/7 to make the most of abundant renewable energy when it is available.  

The circular economy – regeneration and recycling

Electric vehicles also exemplify how we need to transition to a more circular economy. The batteries used in modern electric vehicles require high value minerals including lithium, copper, graphite and more. With the vast expansion of EVs and other battery technologies to help deal with decarbonisation, ensuring that we refurbish and recycle battery elements is essential.  

EV batteries go through multiple stages of life, starting off, of course, as new systems fresh off the giga-factory production line. After years of service, they can be largely refurbished, giving them a second lease of life – in this phase they can still hold up to two thirds of their original capacity. These legacy batteries can be installed in homes or businesses, used to store surplus solar power in times of high production. Once these batteries become spent in this capacity, they are still able to be recycled. In 2020, 460,000 tonnes of lithium-ion batteries were recycled, with this set to increase to more than 1.2 million tonnes of recyclable batteries by 2030.  

With the price of minerals such as lithium set to multiply, potentially a hundred-fold, in the coming years, a regeneration and recycling mindset is a must to make sure that decarbonisation and net zero remain on track.  

Changing our relationship with energy will not be easy, but our expertise in the energy industry can help your business on its way. With deep knowledge bases in everything from renewable energy and sustainable mining to DSO grid management and cybersecurity, we have the people and the insights to help enhance our relationship with energy, as well as your relationship with your stakeholders.  

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Why is media relations important? Lessons from Covid-19 and beyond


By Isabelle Dann, Senior Media Strategist, Technology  

The importance of good media relations cannot be overstated and, since you’re already reading this, chances are this isn’t news to you. Strong PR has always been prized compared to advertising, as people rightly prioritise third-party endorsement, thanks to its impartial nature. Across all sectors, earned media has always rested on relationships. However, the pandemic reshuffled everyone’s cards, affecting the entire media landscape.  

During the first lockdown, web traffic spiked for publishers due to the widespread impact of coronavirus – yet existing struggles to monetise this readership persisted, even for newspapers with a healthy network of paid subscribers. This was compounded when media buyers and brands pulled advertising spend almost overnight, compelling consolidation across the industry. 

Also, it’s no secret that newsrooms had been shrinking alongside advertising budgets long before the clutches of Covid-19 set in. Consequently, journalists would often find themselves forced to churn out more stories with fewer resources and more ill-targeted PR pitches. 

So, what does this mean for communications now? In short: while the benefits of media relations may be harder to achieve than ever before, they’ve never been more valuable. The pandemic accelerated our evolution into a weightless world, as described by economist Diane Coyle, where more economic activity takes place in digital form – but personalisation is still paramount. 

This is where the importance of media relations becomes most apparent, as true storytelling is people-powered. Certainly, it’s never been more difficult to stand out from the crowd. Businesses that blast out endless press releases about, say, yet another industry award shortlist – opting for quantity over quality when it comes to targets – are doomed to fail from the beginning. 

Good media relations centres around knowing what journalists want, which means aiming far beyond press releases (though of course these remain important). This means reading the news voraciously – sounds obvious, yet so many fail to really do their homework when speaking to journalists. How else are you going to know what a journalist wants unless you read their work? Their competitors’ work? Reading is the catalyst for storylines, the ability to spot opportunities, and respond imaginatively and efficiently to breaking news – which is where we excel.  

As a result, the best journalists come to us for a conversation, to look at what we have written, and to listen to what we can offer them. Above all else, journalists want fresh ideas. That could encompass everything from an opinion piece to a research-led feature, an infographic to an interview opportunity. The point is that media relationships don’t come from a piece of paper like an old-fashioned press release; they grow from a discussion based around a whole package of input. 

Now, how best to go about this? Both brands and communications professionals (whether in-house or agency) should focus on building meaningful relationships with their target media. As the world opens up more and more, this could entail meeting a journalist for coffee or lunch, which helps build a relationship on a personal level. Phone calls work well for formal interviews, but nothing quite beats meeting face-to-face; humans have not yet devolved en masse into bots for a reason. 

At the same time, the rise in remote working has made Zoom, Microsoft Teams, and Google Hangouts meetings mainstream. This has opened up access to virtual coffees with journalists who might not only live in a different city but in a different country, continent, perhaps even in a rural location.

This shouldn’t be a hard sell, but instead a chance to get to know them and what they are interested in, so pitching efforts can be more tailored. Also don’t forget that, by removing the need to travel, you’ll be asking for less of a journalist’s (admittedly scant) time. 

Ultimately, with Google advertising still funding fake news websites, it’s never been more important to support organisations that specialise in telling the truth. What’s more, as publishers are accountable, they’re a valuable place for businesses to spend marketing budgets in the form of PR. Paid media can be useful as part of a wider communications strategy but, in isolation, it’ll only achieve limited success.  

The future of media is uncertain and, when calculating ROI, it’s easy to be short-sighted – but businesses must play the long game if they want lasting growth. Journalists – online, print, audio, and broadcast – are responsible for holding to account key figures in government, companies, sovereign states, and broader society. Individuals and businesses who can provide revealing insights that rise above the noise, creating distinctive value for a publication’s readers, will create a truly lasting legacy.

Get in touch with me if you’re looking to propel your press coverage this year. In the last few weeks alone, we’ve secured Sky News, the Financial Times, and Business Insider.

Isabelle can be reached at isabelle.dann@aspectusgroup.com and @izzydann 

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Electric Vehicles: A look forward on growth in 2022


By Rob Hunt, Energy Account Executive at Aspectus

2021 brought climate change and sustainability to the front of the picture. COP 26 back in November, followed by the recent IPCC assessment report released in April, made issues like global warming and the topic of e-mobility, even more of a dinner time debate than before. This green wave of enthusiasm, coupled with the most cutting-edge electric vehicle prospects ever seen, makes it clear that 2022 and the years beyond hold the potential for radical development of, and serious uptake of, electric vehicles.

Where there’s a will, there’s a way for electric vehicles

Electric vehicle ownership is rocketing and has been for some time. In 2015, just over 1% of newly registered cars were electric – this rose to nearly 11% on average for in 2019. Last December, more than 30% of newly registered cars were electric in some form (either plug in or hybrid). It is fair to say that the market is there, and people are buying electric. This explosion in sales has put strain on electric vehicle charging point infrastructure, but don’t be fooled, this has also expanded widely. Infrastructure has increased from just over 27,000 individual points in 2020, to a massive 42,000 at last count.

There is clearly an impetus, from both drivers and charging infrastructure providers, to ensure the growth of electric vehicle usage. 2022 could be the year we cross the Rubicon and turn our backs on fossil fuelled cars – at least by some metrics. Of course, petrol and diesel cars will continue to dominate the roads for years to come, but 2022 has a strong chance of becoming the first year to see more electric cars than diesel cars sold, for example.

Facilitating a sustained change

There is no time, however, for self-adulation. The ball has started rolling, and it needs to keep moving in the correct direction. Already in 2022, serious investment has gone into electric vehicle R&D and production, with the UK Government guaranteeing a commercial loan worth £625 million for Jaguar Land Rover.

Investment such as this serves two purposes. Not only does it do the obvious – funding the development of new electric vehicles – but it also symbolises a vote of confidence by the UK government in the electric direction. By guaranteeing commercial loans such as this one, the UK Government lays bare its support for an electric revolution, solidifying its goals of no new fossil fuelled cars by 2030.

The new network

Investing in electric vehicles is one thing but making sure there is adequate infrastructure to have them run across the country is another. A lack of electric vehicle charging points is the leading worry for potential buyers. Making potential entrants into the electric vehicle market sure they won’t be caught short and run out of juice is a paramount necessity.

As of January 2022, 28,375 public electric vehicle charging devices were available to use across the country with just over 18% of these being rapid charging devices. This indicated a rise of 9% compared to October 2021 across all available chargers, with the number of rapid chargers increasing by about 5%. In total, including private use chargers, the UK currently sits at around 42,000 charge points at more than 15,000 locations.

However, with a projected 10 million electric vehicles on the roads by 2030, still rising to as many as 30 million by 2040, the number of charging points will need to rapidly increase. Electric charging producers estimate as many as 2.3 million chargers will be needed by 2030 – a 54-fold increase.

With usage of electric vehicles set to explode in the coming years, making sure your voice in the industry is heard above others will be key to successfully navigating the transition. Aspectus is an agency which combines deep industry knowledge with expansive media relations – perfectly placed to produce and share eye catching content to cut through to its intended audience.

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Knowing your ABCs – navigating the ESG world


Hattie Curl, Account Director 

ESG. You’ve probably heard this term bandied around, particularly amongst companies and investors. But what does it mean, why is it important – and above all, how can businesses communicate their ESG efforts?

At its core, the ESG acronym refers to the three key factors when measuring the sustainability and ethical impact of a business. 

E – Environmental 
Environmental is the first part of the acronym, which examines how a business performs in regard to safeguarding the environment. Criteria that are often focused on include waste and pollution, greenhouse gas emissions, climate change and deforestation.

S – Social  
Social looks at how companies treat their employees and the local community, concentrating on topics such as diversity and inclusion (D&I), working conditions, supporting local communities and health and safety.

G – Governance  
Finally, governance examines how a business polices itself and how it is governed. It focuses on areas such as tax strategy, board diversity and structure, corruption and bribery and donations.

Don’t forget the C 

Now, more than ever, investors, consumers and businesses alike are putting the pressure on to have a robust ESG strategy. And it’s not just the strategy itself that companies need to get right. More than ever, the comms around the strategy is just as important.

This is why another crucial letter is C – Communication. Effectively communicating ESG strategies with key stakeholders is paramount for all businesses.

This might be through owned channels – such as your website’s blog or social media – or earned channels including the press. A great recent example of this is from Mastercard. It recently announced that it will link all employee bonuses to ESG initiatives, expanding an earlier programme which was limited to its senior executives. By doing so, it will help Mastercard achieve its goals of cutting carbon usage, improving financial inclusion and gender pay parity.

Not only has Mastercard clearly communicated its plans, but it has utilised its channels to do so in an educational, authentic way. The announcement has been picked up by the likes of Bloomberg and Reuters as well as other trade publications and has been posted to its blog, LinkedIn and Twitter to strong levels of engagement.

Are you interested in hearing about how we can help develop your ESG communications strategy? Get in touch. 

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Why a magic catherine wheel is responsible for our ongoing success


Alastair Turner, Global CEO

In lockdown my kids had to do a news item on Icarus. Twin boys. Two separate reports filmed with the help of their sister and edited by me (never again). It led to interesting discussions about pride, modesty and humbleness.

Our lockdown lesson concluded with us all realising we had a lot of phrases for Icarus’s predicament.

We all know that Icarus…got a bit carried away…became pleased with himself and that…pride comes before the fall.

How many CEOs of major companies haven’t learned that lesson? One minute they are profiled in glossy magazines, resplendent in lycra pounding the streets or hitting the gym, espousing a daily schedule which starts off with getting up before they’ve gone to bed and then gets properly busy from there. Then shortly afterwards they end up with…well…egg on their face?

Perhaps it’s a peculiarly British trait to not want to talk the talk but rather let our actions speak for us. It’s definitely those actions that should instil pride, not some apprentice-style boastfulness built on weak foundations. At Aspectus we have always been proud of three interconnected things: our people, the work they do and the culture they nurture.

Those are the things that we have concentrated on year after year. And since we entered the PR week Top 150 in 2012 at 118, that’s what we have kept our head down doing. Of course, over the years our people, clients, culture and mantra has evolved…today we talk about bringing a combination of intelligent insight, global expertise and excellent execution together to deliver client success, all of which is underpinned by considered creativity and delivered by empowered talent.

And I think that is the key. Our philosophy has always been about empowering our talent. How? By aiming to create a virtuous circle between our people, our purpose and our commercial success. Each element reliant on the next. Each one acting as a catalyst for the others.

That magic, ever accelerating, Catherine wheel has, 10 years on, led us into the PR Week Top 50 and put us in pole position as the UK’s largest B2B agency. We are incredibly proud of that achievement but also modest and humble about it. We are excited to be in an industry that is constantly evolving and realise that there are many brilliant agencies doing amazing, innovative things. We also know that that sustained growth, while great fun, is really hard work.

However, the wonderful thing about the culture our people own is that it’s a proper team effort, ‘as flat as an IKEA flat pack’, and that as individuals and as a business, while we want to soar, we don’t ever get too close to the sun. But we will keep repeating our mantra, keep working on that special equation and see what it adds up to. We now do that with quiet confidence and real resolve…while we have always walked the walk, we can now quietly talk the talk.

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Can Aberdeen really transition from oil and gas?


By Louise Douglas, Account Director, Energy 

From rowies to deviant seagulls and the grey native stone that makes up most of its buildings, Aberdeen is well-known for a variety of things. But most of all – and I think you know what’s coming – the city is known as the ‘Oil Capital of Europe’.  

That’s why it boasts one of the largest heliports in the world, stellar offshore talent and a busy harbour port managing over 9,266 vessel arrivals each year. But as with all types of industry, change is inevitable and those who don’t adapt are left behind. 

Today, it could be said that the energy industry is more turbulent than ever, with energy security the prime topic of discussion coupled with ever growing energy prices. As the UK picks up the pace to phase out all Russian gas by the end of 2022, where does that leave Aberdeen and the energy transition? 

The number of jobs created by the energy sector in and around Aberdeen is estimated at half a million. In a city with 213,224 occupants, that’s a big number. And its not only one city impacted if a transition is not carefully thought through or embraced. It’s villages, towns and livelihoods across Scotland that will feel rippling effects.  

It’s a hot conversation, especially with new North Sea oil and gas licences proposed to open in Autumn, as part of the UK’s energy independence plan. It might be  tempting for a city like Aberdeen to continue to rely solely on the black gold that’s kept it thriving for so long.  

Making the change

But actions are moving in the right direction. The UK government’s pledge to invest £62m to develop an Energy Transition Zone in Aberdeen was a welcome one. Already, Aberdeen is one of Europe’s pioneering hydrogen cities. It has developed a cluster of hydrogen activity with two publicly accessible hydrogen refuelling stations and one of the largest and most varied fleets of hydrogen vehicles in Europe.  

There’s also a plan to develop a floating offshore wind centre of excellence, reflecting the current offshore expertise the city has. Currently, Scotland hosts two out of three of the only operating floating offshore wind projects in the world and the largest is on Aberdeen’s doorstep. The centre would provide essential jobs to the area and ensure Scotland’s offshore wind credentials continue to grow above and beyond its current 25% share in Europe. 

The next generation

The sky really is the limit for Aberdeen and its talented workforce. The government’s investment is the needed boost to get it there but its not the only force. Universities in the city are now offering energy transition courses to create the workforce of the future – keeping our energy sector alive. It’s this new fresh talent combined with the experience of the old that will reinvent the city and ensure jobs are projected.  

So can Aberdeen really transition?

In short, the answer is yes, with the right support and investment. Married with the technology and infrastructure Aberdeen already has from over 50 years of investment in oil and gas, it’s challenging to argue that it doesn’t have the power to be a world leader in navigating this vital transition. It’s the perfect location to help grow Scotland’s role as a global leader in net zero technology solutions, delivering security of energy supply, diversifying the sector, and creating the next generation of highly-skilled energy professionals. 

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