Oil and gas companies have an opportunity to adopt new, clean-energy business models that can support their recovery and generate growth in a net-zero future

As oil and gas companies consider how best to weather the current storm and prepare for any lasting impacts from COVID-19, a pivot from a pure oil and gas focus to an energy services focus—especially energy from renewable or sustainable sources—is an effective overarching solution to the challenges they face.

This paper outlines five growth avenues that allow individual oil and gas companies to leverage their strengths, capabilities, adjacencies, and investments to date. While there are competitors from other sectors entering each of these markets, we strongly believe that the oil and gas industry has natural advantages that will allow companies to take a leading role.

Five avenues for oil and gas companies to lead in green innovation

  • Renewables: Solar- and wind-based power generation are gaining worldwide momentum
  • Hydrogen: The most ubiquitous energy source is finally having its moment
  • Biofuels: Gaining increasing government support
  • Commercial transportation: the first phase of a broader transition to electric vehicles
  • Carbon capture, utilization and storage: Making decarbonization possible across all sectors

A motivated industry

Corporate leaders are increasingly focused on addressing risks to their organizations from climate change. Oil and gas executives are no exception:


say that decarbonization is a key to succeeding in a net-zero global economy, the highest response of any sector.


agree that their ability to manage climate-related risk is important for keeping their jobs over the next five years.

Source info: Survey by KPMG and Eversheds Sutherland of more than 500 global business executives, August 2020. For more information, read the report.
Climate change and corporate value: What companies really think".

How KPMG can help

The business world today is more complex, volatile, and fast-moving than ever before. Business leaders across the world must respond to a range of economic, environmental, and social considerations including energy and fuel use, climate impact, operational decarbonization, water use, and resource scarcity. The journey to a sustainable, low-impact business model that is responsive, adaptive, and resilient to these changes can be challenging. KPMG energy and sustainability professionals can support companies on the journey along the continuum or at specific points where they need help the most. KPMG firms are among the pioneers of sustainability consulting, which gives us a level of experience few can match.

Local knowledge, global experience

KPMG’s global organization means KPMG firms have in-depth understanding of the economic, political, environmental, and social landscapes wherever companies operate. Whatever challenges clients face, we have the professionals with the necessary international experience to assist.

Multidisciplinary teams of professionals

Our energy and sustainability teams works side by side with other KPMG professionals from audit, tax, and advisory, including sector specialists, management consultants, tax accountants, and experts in climate impact, decarbonization, supply chain, infrastructure, international development, and more.

Industry focus and insights

Our sector-focused groups offer tailored advice from experienced professionals, many of whom come from the industry and have an intimate knowledge of specific business issues. An important first step in the move to NetZero is the accurate capture and reporting of emissions, renewable energy consumption, and carbon offsets.

Learn how KPMG Climate Accounting Infrastructure can help you get to the next level of trust with consumers, investors, and regulators.

Additional insights