PetroChina is making a significant move towards clean energy. The company has announced it will spend 5.979 billion yuan (US$839 million) to purchase CNPC Electric Energy from its parent company, China National Petroleum Corporation (CNPC). This deal will help PetroChina expand its business to include electricity, thermal energy, and hydrogen, alongside its traditional focus on oil and gas.
The acquisition will support PetroChina’s goal of transitioning to greener energy. According to Huang Yongzhang, PetroChina’s president, the company aims to enhance its new energy business and develop a platform for trading power. PetroChina’s investments in wind and solar power are already growing fast.
In the first half of 2024, PetroChina’s renewable energy output from wind and solar more than doubled, reaching 2,170 Gigawatt-hours (GWh). External power supply surged 3.5 times to 950 GWh. These figures highlight the company’s commitment to increasing its share of renewable energy.
Despite a drop in sales of gasoline and diesel by 2% to 79.05 million tonnes, PetroChina’s net profit increased by 3.9% to 88.61 billion yuan. This rise came as the company restructured its chemical refining business to align with China’s net-zero emissions target for 2060. As the use of electric vehicles (EVs) grows, oil demand is expected to peak soon, accelerating the need for cleaner energy solutions.
PetroChina plans to significantly boost its renewable energy share. It aims to raise this from about 7% this year to 30% by 2035, and 50% by 2050. The purchase of CNPC Electric Energy will help integrate these renewable initiatives, supporting the company’s broader green energy goals.
