Climate campaigners have said that BP reporting a tripling of quarterly profits shows that the UK energy system is ‘fundamentally broken.’ The oil giant today announced profits of £6.9 billion ($8.45 billion) in just 3 months.
Meanwhile, energy consultants have forecast that energy bills could reach over £3,600 per household.
BP have said they will use these record profits to pay out to their shareholders as well as buy back shares in the company from investors. Share buybacks are a way of increasing the value of shares for shareholders.
BP continues to invest in fossil fuel projects such as the Murlach oil field which will further ‘lock us into’ this broken energy system for decades, increasing company profits even further at the expense of people and the planet, campaigners say.
Climate scientists and energy experts have warned that we cannot afford any more investment into fossil fuel extraction if we are to limit dangerous climate warming to 1.5ºC.
Recent research revealed the oil and gas industry has made over $52 trillion in profit over the last 50 years.
Friends of the Earth Scotland’s Oil and Gas Campaigner Freya Aitchison said: “This announcement of yet another obscene profit for BP is a clear sign that our energy system is fundamentally broken.
“Rising energy prices are a key driver of the cost of living crisis which is plunging millions of people in the UK into fuel poverty, yet bosses and shareholders at BP are getting even richer by exploiting one of our most basic needs.”
“BP is also worsening climate breakdown and extreme weather by continuing to invest and lock us into new oil and gas projects for decades to come. Instead of allowing these companies to continue causing social and environmental devastation to boost their profits, we need to overhaul our energy system to rapidly phase out oil and gas.
“A fair and fast transition to renewables must ensure that everyone has access to affordable and clean renewable energy.”
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