2025 in Review: European O&G majors – social responsibility vs. profitability

The discourse on the energy transition is often dominated by renewable deployments, but the picture is incomplete without acknowledgment of the fossil fuel phaseout. The development of commercial renewables generation can be traced back to the 1980s and the uptake has since increased exponentially, especially over the past decade. However, the intermittency issue with renewables remains to be meaningfully addressed and as a result, most baseload capacity across the globe still comes from fossil fuels. The Oil & Gas (O&G) majors were initially encouraged, both by shareholders and market forces, to integrate renewables into their generation portfolios. The shift seemed almost natural under favourable conditions, from permissive public policy to availability of cheap debt and everything in between. Often these O&G giants were the only ones with balance sheet capabilities to pursue the investment-intensive assets such as offshore wind farms. But have they kept up the pace under strained economic conditions? The simple answer? No - at least not in the short term. We take a closer look at how eight European oil and gas majors fared under unfavourable economic conditions in 2025. From BP's whiplash-inducing U-turn on its renewables agenda to appease shareholders, to Equinor and TotalEnergies' steady struggle to meet net zero targets - despite continued pushback from investors. Majors' outlook for renewables may differ drastically, but they remain unified in one area: an increased investment in their core business – oil and gas – and a pledge to increase production in the name of energy security.