Head of Saudi Aramco called the energy transition strategy a failure

(Patria) - Pointing to the still small share of renewable energy in global supply, the head of Saudi Aramco described the current energy transition strategy as a failed failure, AFP reported.

"In the real world, the current transition strategy is visibly failing on most fronts," said Saudi Aramco CEO Amin Nasser at the CERAWeek conference in Houston.

Fossil fuels accounted for 82 percent of global consumption last year, according to a report by consulting firm KPMG cited by Nasser, who noted that the International Energy Agency said oil demand could reach a record this year.

"This is hardly the picture of the future that some have painted," he said. "All of this strengthens the view that the peak of oil and gas is unlikely to come anytime soon, let alone by 2030," he added, alluding to a mid-term goal considered a potential date for phasing out oil.

Nasser was joined in his skeptical speech about a swift energy revolution by ExxonMobil CEO Darren Woods, who said "we are not on track" to achieve net-zero emissions by 2050.

"One of the challenges here is that while society wants to see emissions reduced, nobody wants to pay for it," Woods said.

Nasser called for policies that are more aligned with the "real world." While alternative energy can reduce emissions, "when the world focuses on reducing hydrocarbon emissions, much better results are achieved," Nasser said.

Last year's COP28 conference included a call to transition away from fossil fuels. But
Nasser said the world should "abandon the fantasy of phasing out oil and gas and instead invest in them appropriately reflecting realistic demand assumptions."