Global energy companies TotalEnergies, BP, Shell, and Equinor have committed $500 million to enhance access to affordable energy, focusing primarily on regions in Sub-Saharan Africa, South Asia, and Southeast Asia. This collective investment represents approximately 0.7% of the $70 billion in net profit the four companies generated in 2023.
The announcement was made during the COP29 United Nations climate summit in Azerbaijan, where discussions centered on raising $1 trillion in climate finance from wealthier nations to support developing countries.
A spokesperson for TotalEnergies revealed that the $500 million would be allocated over several years through tenders for projects along the energy value chain. However, the name of the global private equity firm managing the fund was not disclosed. The projects will focus on areas such as domestic solar power systems, micro-grids, power generation, transport, logistics, storage, e-mobility solutions, and modern cooking fuels like Liquefied Petroleum Gas (LPG).
The International Energy Agency reports that over 2.3 billion people globally still rely on traditional stoves fueled by wood, coal, or animal dung, which contribute to significant health issues.
“It’s early days, but we hope that by investing together we can contribute to wider efforts to address the very real challenge of energy access,” said BP CEO Murray Auchincloss.
While the specific contributions from each company remain undisclosed, the joint initiative reflects a unified approach to addressing global energy challenges.
In a related effort, TotalEnergies announced earlier this year a $400 million investment to expand access to LPG for cooking in Africa and India by 2030, further demonstrating its commitment to advancing energy solutions for underserved regions.