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BP expected to scrap renewables target in shift back to fossil fuels
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BP is expected to abandon its 2030 target to increase renewable energy generation to 50 gigawatts and its profit target of $49 billion, instead adopting a percentage growth target. CEO Murray Auchincloss will present this strategic shift, which reflects a move back towards fossil fuels. The company's underperformance in shares and investor concerns have prompted this change. Elliott Management, an activist investor with a significant stake, is pushing for restructuring and potential breakup. BP has already reduced its oil and gas production target from 40% to 25% and may lower it further. The broader energy industry's refocus on oil and gas, influenced by geopolitical factors and US political shifts favoring fossil fuels, contributes to this strategy. Auchincloss has cut renewable investments, climate commitments, and workforce by 5% through cost-cutting measures.
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