Shell has revealed plans to increase its CEO’s pay while also prioritizing oil and gas production growth, despite the global push for reduced carbon emissions. CEO Wael Sawan’s compensation has been increased to £8.6m, up from £7.9m in 2023, in a move that critics have labeled "obscene." The company is shifting its focus away from green energy targets and plans to boost oil and gas production by 1% annually, a stark contrast to its previous commitment to reduce output by 1-2% per year.
In addition to increasing fossil fuel output, Shell will slash its investment in low-carbon energy projects, cutting the budget for green initiatives from 20% to just 10% by 2030. This move aligns with Shell’s strategy to reduce costs, as the company aims to cut $5bn-$7bn annually by the end of the decade. While this strategy has boosted Shell's share price, it has been met with backlash from environmentalists, who argue that the company's decision undermines efforts to combat climate change.
Shell’s decision to reduce its focus on sustainability in favor of increasing fossil fuel production is controversial, especially as it comes at a time when global carbon emissions must be reduced drastically to meet climate goals. The company’s critics, including green campaigners, argue that the increased CEO bonus and the company's pivot towards fossil fuels represent a step backward in addressing the urgent need for climate action.
