BP shuts down low-carbon mobility team focused on hydrogen and LNG for transport

Oil and gas major BP has terminated its low-carbon mobility team, which was focused on developing electric, hydrogen, and other low-emission solutions for vehicles.

According to the Financial Times, a senior BP official claimed the segment was no longer commercially viable, adding that low-carbon mobility projects require a lot of investment and have been progressing slowly.

The decision was announced in an email sent to staff, confirming that BP will be “phasing down and closing” the low-carbon mobility team in its customers & product segment. Nine employees will potentially lose their jobs, according to reports.

In an email sent to H2 View, BP said, “This is a small, standalone business development team looking at the potential in areas such as hydrogen and LNG for transport, particularly for trucks.

“As we focus our downstream businesses and activity – as described in our capital markets update last month – we don’t believe we need to maintain a separate dedicated team to consider such future options, and its activities will be integrated into our businesses.”

The news comes a couple of months after BP announced it would limit further hydrogen and carbon capture projects as part of its major strategic reset.

Last February, the British energy major revealed plans to increase its oil and gas investments by around 30% to $10bn a year, while cutting planned renewables funding by over $5bn.

However, H2 View understands that the decision to terminate its low-carbon mobility team will not affect the BP Pulse team, which is focused on expanding its electric vehicle charging business in key markets, including the UK, US, Germany and China, along with its joint ventures in India and Iberia.