Shell puts all of its renewables eggs into the biofuels basket

Shell will concentrate on biofuels in its future alternative energy investments, according to a story in the Guardian online.

I have been slightly surprised that Shell has invested in wind, solar and hydrogen technologies.

Shell really understands liquid fuels and liquid distribution. Most vehicles for the foreseeable future will be based on some kind of internal combustion engine.

They will be powered by liquid fuel.

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One Response to Shell puts all of its renewables eggs into the biofuels basket

  1. Pradeep 18 March, 2009 at 6:38 pm #

    Someone from Shell I met two years ago told me that the wind business was an organic addition to Shell’s energy portfolio, because Shell/major oil companies already has/have in-house expertise in geophysics and circulation modeling. Instead of siting oil wells, geophysicists would work on locating wind turbines.

    I do not see the light in this statement:
    “Shell will no longer invest in renewable technologies such as wind, solar and hydro power because they are not economic”
    Now, I know that this is a biofuels blog, but I think wind is one of the main contenders among various renewable energy technologies.

    I think the decision was based on more strategic than economic reasons. Shell (probably, IMO) thinks that it cannot compete with other players in the other renewable businesses, but can differentiate itself in biofuel production and can offer unique value to the consumer in this field.

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