Jinni Nangalia, Founder and Director of CarbonEKo Pte Ltd.

The journey to Net Zero has several obstacles. How are the oil & gas companies preparing to face the evolving challenges in this energy transition?

I firmly believe that Oil & Gas companies are in profound transformation – much like seasoned athletes retraining for a new sport. They are no longer solely the kings of fossil fuels; they’re reshaping themselves to thrive in a low-carbon, renewable-dominated future.

Oil majors across the globe such as BP, Shell, TotalEnergies are pouring billions into renewable projects from offshore wind farms, solar arrays to even exploring geothermal energy. It’s like they are learning a new language: one that’s all about clean energy.

Hydrogen, particularly green hydrogen, is drawing a strong interest and potential for clean energy. Oil companies are embracing carbon capture and storage (CCS) projects that can capture CO2 directly from their operations or even directly from the air, storing it safely underground or using it in industrial processes – a kind of giant air filter.

India’s oil demand is projected to rise from 6 million b/d in 2025 to around 8.3 million b/d by 2050. Recognising this shift, oil majors are broadening their strategies to become integrated energy companies, expanding their footprint beyond the traditional oil operations. This evolution isn’t an overnight switch; it’s deep-rooted cultural and operational transformation. Companies are investing in training and hiring talent with expertise in renewable energy, digital technology and sustainability.

What policies or regulations could be most effective in driving decarbonisation in the industry in general, the oil & gas industry in particular?

It’s truly inspiring to see countries setting big, bold targets for decarbonisation. Governments from EU to US – and even emerging markets like India – are creating comprehensive policies to support organisations on their sustainability journey:

1. Economic Support & Investment – Governments are providing money and incentives to offset the high initial costs of setting up hydrogen projects. In the US, for example, the Inflation Reduction Act and infrastructure packages are dedicating billions to build hydrogen hubs. Over in Europe, initiatives like EU Green Deal, Fit for 55, EU Hydrogen Strategy are fuelling the ambitions. Meanwhile, In India, Integrating hydrogen into broader clean energy ambitions through the launch of National Hydrogen Mission.

2. International Collaboration – No country is tackling this challenge alone. Cross Border partnerships like International Partnership for Hydrogen and fuel cells in the Economy (IPHE) aims to bring different nations together to share best practices, research, and even align on standards.

3. Carbon Pricing – By adding cost to carbon emissions with taxes or cap-and-trade systems, governments make renewable choices like green hydrogen more financially attractive. Companies investing in emission reduction projects may earn carbon credits, which can then either offset their own emissions or be sold in carbon markets.

4. Green Financing and Green Bonds – Banks and financial institutions are increasingly offering low-interest loans and credit lines for sustainable projects. These green loans provide capital at favourable rates. Companies are tapping into the green bond market to raise capital.

In India, oil majors such as IOC are investing in renewable hydrogen projects and aims to convert 50% of its refineries’ hydrogen requirements from grey to green by 2030. Recently, many oil majors in India have launched their tender process for procurement of green hydrogen to meet their clean targets.

Which emerging technologies show the most promise for reducing emissions in oil & gas operations? How feasible is hydrogen that is seen as a possible solution?

Absolutely! There are exciting emerging technologies that are showing strong promise for reducing emissions in oil & gas operations.

Imagine CCUS as a giant vacuum cleaner that can swoop in 30% to 50% CO2 emissions from air. In fact, projections even suggest that by 2050, CCUS could remove between 2 to 3 Gigatonnes of CO2 annually. However, the challenge lies further in the refining technology needed to effectively process and sequester the captured CO2 – a hurdle that emerging innovations are striving to overcome.

Technologies like drones, satellites, and laser sensors can reduce the dreaded methane leaks by 20% to 40%. Think of them as the ‘whistle blowers’ of the gas world, alerting operators before a tiny leak ends up throwing a methane rave in the atmosphere, which is common in plant operations.

Hydrogen, nature’s multi-tool for energy challenges, is another thrilling prospect. It offers remarkable versatility—imagine one fuel capable of powering your cars, driving industries, and even storing energy for times when the sun isn’t shining, or the wind isn’t blowing. When produced from renewable sources, its only by-product is water—a true game-changer for pollution reduction and a healthier planet. Plus, hydrogen can function like a giant battery, enabling the storage of surplus renewable energy for peak demand periods.

Of course, there are challenges – right now, producing green hydrogen can be as pricey as $4-$6/kg which is forecasted to drop to about $2-$3/kg with cheaper renewable energy and scaling up electrolyzer production and advancement in efficiency by early 2030. Global electrolyzer capacity was way below 1GW in early 2020s which is expected to leap to 60GW or more by 2030. Honestly, I believe that with these ongoing technological advancements, supportive policies can make these instruments viable and competitive sustainable fuel options.

What are the key strategies for reducing emissions in upstream, midstream, and downstream operations?

Let’s break-down key strategies segment-wise – upstream, midstream, and downstream:

1. Upstream operations: Deploy sensors, drones to identify methane leaks can reduce emissions by 20-40% – like ‘ninja on a rig’. Using digital-twins and real-time monitoring helps optimise production processes, reducing unnecessary flaring and venting. Electrifying rigs or incorporating renewable energy on-site minimises reliance on diesel generators, effectively slashing combustion emissions by 50 to 70% approximately.

2. Midstream operations: Modernise infrastructure with advanced sensor networks, electrify compressor stations and optimise logistics for efficient logistics.

3. Downstream operations: The challenge here is to enhance energy efficiency, reduce waste through digital technologies, heat recovery (capture and reuse waste heat from refining processes) and integrating CCUS solutions into refining operations.

What role do cross-industry partnerships (e.g., with renewables and carbon markets) play in decarbonisation efforts?

Global energy giants are advancing to cross industry partnerships to explore the new advancements in technology. By aligning with renewables, carbon markets, and even technology innovators, traditional energy players can leverage expertise and resources beyond their core strengths. For example, IOC is committed to develop a renewable energy portfolio of 31 GW by 2030 investing in hydrogen plants, biofuels, sustainable aviation fuel, and electric mobility infrastructure. Beyond green hydrogen production, companies are venturing into co-processing non-edible oils in refineries to produce SAF. In the UK, Shell and ITM Power have teamed up to develop hydrogen fuelling stations and green hydrogen projects.

Beyond direct partnership with renewable energy players, oil majors are joining international consortia and carbon market platforms:

1. International partnership for Hydrogen and fuel cells Economy (IPHE) brings together oil & gas companies, renewables and tech sectors to accelerate hydrogen initiatives globally.

2. Companies like Shell, BP, and Equinor are actively participating in carbon trading markets, effectively turning emissions reductions into tradable assets. The innovative and evolving market mechanisms such as Book and Claim decouples the environmental attribute from the commodity itself. It’s just like having your favourite pizza with extra topping of ‘green credentials’ on the side, ensuring that you are supporting sustainable agriculture. By creating this tradable asset, companies can invest in renewable products and can unblock extra revenue streams. Having Article 6 and bilateral agreements between countries will address the challenges of double counting and additionality by adopting stringent crediting mechanisms.

In short, these transformations illustrate not just a strategic pivot but a genuine commitment to reshaping the energy landscape for a sustainable future. Does this spark your imagination the way it does mine?

(The views expressed in interviews are personal, not necessarily of the organisations represented)

Jinni Nangalia is a dynamic professional in the green energy and decarbonisation space, having 17 years of diversified experience in the energy sector. She has excelled in business development, project management, contract management and large-scale project development in both oil & gas and clean energy initiatives.

Currently, as a Founder and Director of CarbonEKo Pte Ltd, Jinni manages strategic partnerships to provide green energy solutions across the APAC and South American regions. Her portfolio spans green hydrogen, carbon projects, and renewable energy.

Before founding CarbonEKo, Jinni spent approximately 4 years at Honeywell (UOP), a multi-national company developing and delivering technology to the petroleum refining, gas processing, petrochemical production, and major manufacturing industries. Her notable project experience are as below:

·                     Kerosene Merox – Modular Project for Petro Peru refinery, Peru, South America – Scope of supply Modular Equipment; fabrication in Sharjah facility and Mafraq Abu Dhabi facility, United Arab Emirates.

·                     Kasawari Gas Development project – Petronas Carigali Sarawak Offshore project, Malaysia – Scope of Supply Modular Skid fabrication in Malaysia.

Jinni also contributed as a speaker on the “Role of BESS as Virtual Power lines” organised by Battery Associates. Prior to joining Honeywell, Jinni spent ~4 years at Larsen & Toubro (L&T), a diversified business conglomerate, where she worked as Engineering Manager for Oil & gas projects and executed large complex projects to the tune of 2Mn USD. Before that, Jinni spent ~8 years with Engineers India limited, India’s largest Oil & Gas Engineering consultancy company.

Jinni earned her Civil Engineering degree from Punjab Engineering College, Chandigarh and pursued a Battery MBA from Battery Associates. She splits her time between Singapore, South America and India, collaborating with global companies across these regions.