Shell Says It Can Be World's Top Power Producer and Profit

  • Oil major aims to be No. 1 electricity company by early 2030s
  • Shell seeks 8-12% returns in historically low-margin business
Shell's Plan to Become Top Power Producer
Lock
This article is for subscribers only.

Royal Dutch Shell Plc plans to become the world’s biggest power company within 15 years, a move that suggests it sees climate change as a bigger threat to its business than electricity’s historically weak returns.

The world’s No. 2 oil explorer by market value is spending as much as $2 billion a year on its new-energies division, mainly to grow in a power sector it sees delivering 8 to 12 percent annual returns, according to Maarten Wetselaar, director of Shell’s integrated gas and new-energies unit.