BP China Management 120

History In 1973 BP, a petroleum and petrochemicals company, established operations in China BP has experienced three main stages in China: Stage 1: During the early 1970’s it began to trade and license it’s technologies Stage 2: Amid the 1980’s BP explored China’s offshores for gas and oil Stage 3: Since the 1990’s BP has expanded to include areas such as supplying aviation fuel, solar power installations, joint venture chemical plants and much more

Brand Values BP wants to be recognized as a great company – competitively successful and a force for progress. BP helps the world meet its growing need for heat, light and mobility. It strives to do that by producing energy that is affordable, secure and doesn't damage the environment. BP is progressive, responsible, innovative and performance driven.

Progressive BP believes in the principle of mutual advantage, and strives to build relationships from within, with their customers and their partners

Responsible BP is committed to the safety and development of their people, and the communities and societies in which they operate. BP aims for no accidents, no harm to their people, and no harm to the environment in which it operates.

Innovative Through their people and technology, BP pushes the boundaries of today and creates the successes of tomorrow

Performance Driven BP delivers on their promises through continuous improvements and safe, reliable methods of operation

BP and the Environment Carbon Reduction An essential ingredient in all fossil fuels is carbon, and when these fuels are burned CO2 is emitted into the atmosphere CO2 is a “greenhouse gas” that contributes to more severe weather systems and damage to several ecosystems BP has taken on the responsibility of limiting the amount of CO2 it releases into the Earth’s atmosphere

BP and the Environment Cont’d Based on current scientific information, BP believes that it is realistic to promote actions that ensure stabilization of atmospheric CO2 concentrations at around 500-550 ppm. This is a considerable challenge, given that global energy demand is expected to double between 2000 and 2050 - www.bp.com

BP’s Action Plan Step One: Monitor and Control CO2 Emissions Step Two: Increase Support to Continuing Scientific Work and Transfer Technology Step Three: Take Initiatives for Joint Implementation Step Four: Development of Alternative Energy

Step One Monitor and Control CO2 Emissions In 1997 BP established their own goals to reduce CO2 emission levels By 2001 CO2 levels were 10% below the 1990’s levels BP is investing $100 million to eliminate volatile organic compounds There is no legislative act forcing BP to invest in ways to eliminate VOCs which emit their own CO2

Increase Support to Continuing Scientific Work and Transfer Technology Step Two Increase Support to Continuing Scientific Work and Transfer Technology BP supports several research projects on climate change and potential solutions, including but not limited to the following: “Clean Energy—Facing the Future” 10 year program aimed at promoting China’s research in clean energy technologies CCP: CO2 Capture and Geological Storage Project Focusing on the safety and concerns of geological storage

Step Three Take Initiatives for Joint Implementation We believe joint implementation has great potential to contribute to the resolution of the climate change problem – www.bp.com An example of this is the Bolivian Project It’s a program committed to protecting 1.5 million hectares of forests in the province of Santa Cruz Sponsored by the Nature Conservancy and the American Electric governed by the United States Government

Step Four Development of Alternative Energy On December 1st 2009, BP announced the creation of a new low-carbon power business: BP Alternative Energy Hydrogen Natural Gas Solar Power Wind

Hydrogen Hydrogen has the long-term potential to become the carbon free fuel of the future BP is leading others in the development of a “hydrogen-fueled economy” in both the transport and power industries

Natural Gas Natural gas produces about half the amount of CO2 per unit of delivered energy relative to coal BP has opened up supplies of natural gas to the US, South Korea, and Mexico Currently, natural gas makes up roughly 40% of BP’s portfolio

Solar Power Provides carbon-free electricity BP Solar is one of the world’s leading solar companies providing a wide range of solar power solutions to businesses, homes, and remote locations across the world

Wind BP is continuing to explore the potential for investing in wind energy In 2004 a 22.5 megawatt wind farm in The Neatherlands provided sufficient carbon-free electricity to power 20,000 Dutch homes

Conclusion BP is committed to environmental initiatives There is no trade off between economic development and the environment BP strives to provide a better quality of life while at the same time protecting the environment BP continues to strive towards a cleaner more efficient world. BP will work with all partners to address global warming and ensure a cleaner, safer environment for generations to come – www.bp.com

References Koch, Wendy. BP: Renewable Energy will Outpace Oil Growth by 2030. www.usatoday.com Retrieved May 30th, 2011. www.bp.com Retrieved May 28th, 2011.