Angélica Ruiz

bp is working on not only moving from oil and gas to resilient hydrocarbons and low-carbon energy, but also focusing more on customers and products.

Why did bp decide to transition from an oil company to an integrated energy company?

First and foremost, our new strategy is going to transform bp into a different company. We have been an international oil company for 111 years, and in February 2020 we launched our strategy to become an integrated energy company. We started implementing this in 2021. It has not been an easy journey, because this impacts our entire strategy in terms of how we will deploy this in Europe, Southeast Asia, and Latin America, which includes Mexico. It also includes setting some objectives for 2030, 2040, and 2050 to get to net zero and, most importantly, following through with how we deliver those objectives. One of our aims is to take care of the environment and have a social responsibility policy. In two years, we have made great progress. We cut our operational emissions by 35%, and our oil and gas production reduced by 16%. Low carbon energy projects have grown by 400%: we are on track with 4.4GW brought to final investment decision by the end of 2021 and 24.9GW in the pipeline (offshore wind—21% of GW in pipeline and solar—79% of GW in pipeline) with 2.2 billion of investment in 2021. By 2030, we will have developed 50GW of renewable energy generating capacity. Bioenergy is also part of this, and we are growing our portfolio by 18%. Besides, EV charging points are up from 7,500 in 2019 to more than 13,000 today. Our aim is to install more than 100,000 charging points globally by 2030 and be closer to our customers. The message here is that we will move not only in oil and gas to resilient hydrocarbons and low-carbon energy, but also focus on customers and products.

What are the country’s main advancements in energy security?

As a global company that operates in over 75 countries, we see Mexico and Latin America as a region. Transborder integration such as the US-Mexico or Brazil-Argentina regions is critical for governments to be able to provide energy security. bp is a reliable partner to work with to create regional energy security. For instance, this strength allows us to work in partnership with Pemex and have successful projects, such as the ones that Hokchi has, where we own 50% of the equity. Those upstream projects are operated successfully by our partners Pan American, and we are currently producing 20,000bpd. Regarding president AMLO’s projects that seek to generate energy security—Dos Bocas refinery and the purchasing of the Deer Park refinery—bp fully supports these projects. Companies like bp and other majors could support local demand in a way that Pemex feels comfortable to do while these projects are at full capacity and beyond, adding great value to our national oil company and consumers.

What challenges does the country face in strengthening its energy market?

Number one is rule of law, which is fundamental. Second, it is also important not to have noise around, because when the noise arise, investment becomes silent. Third, strong regulators. Regulation and measurements are key, because regulators are closely linked to rule of law and the implementation of public policy. Thinking about the country’s future, we need to deploy a solid energy policy not only for old energy sources like hydrocarbons or gas but also the new ones, for example, green hydrogen and even CO2 pricing or license to operate, which is another key part. Then, there is reliability of any commodity such as fuel, diesel, or jet fuel. We can come in and strength Pemex ensuring that everyone has access to fuel. We have a strong position in the retail business, having about 500 retail stations. It is all about reliable, clean, and affordable energy, which requires solid regulators and the ability to deliver the product. Together, if we invest in infrastructure and understand the ideology, private and public companies can successfully work together.