BP scales back emission targets after announcing record annual profits for 2022
BP has reported its profits more than doubled last year as the business benefited from runaway gas prices caused by the war in Ukraine.
The oil giant said it would invest an additional $8 billion (£6.6 billion) each in the energy transition, and in oil and gas, as boss Bernard Looney promised to keep affordable energy flowing.
But it has also cut the ambition of its climate change pledge, with the business saying it expects the carbon emissions from its oil and gas production to fall by between 20-30% by 2030, when compared to 2019.
Its previous target had been a 35-40% drop in emissions.
Mr Looney said: "We are strengthening BP, with our strongest upstream plant reliability on record and our lowest production costs in 16 years, helping to generate strong returns and reducing debt for the 11th quarter in a row.
"Importantly, we are delivering for our shareholders - with buybacks and a growing dividend."
Underlying replacement cost profit - the figure most followed by analysts - reached $27.7 billion (£23 billion) last year, according to the firm.
In the last three months the measure was recorded to be slightly lower than previous quarters at $4.8 billion (£4 billion).
BP said the result had been affected by its gas marketing division, which saw below average results after an exceptional third quarter.
The massive profit is set to put BP at the centre of another political battle. Last week Shell reported its highest profit in history, sparking calls for an additional windfall tax.
Shadow climate secretary Ed Miliband called on the government to bring forward a "proper" windfall tax on energy companies.
The Labour MP said: "It's yet another day of enormous profits at an energy giant, the windfalls of war, coming out of the pockets of the British people.
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"What is outrageous is that as energy giants rake in these sums, Rishi Sunak still refuses to bring in a proper windfall tax."
Greenpeace UK's head of climate justice, Kate Blagojevic, described BP as "yet another fossil fuel giant mining gold out of the vast suffering caused by the climate and energy crisis".
"Not only will BP’s new strategy fail to deliver much needed energy security in the UK but it will ensure that people across the globe already battling devastating droughts, floods and heatwaves, will continue losing their lives and livelihoods," she added.
"It's time to stop drilling and start making polluters, not communities, who did least to cause the problem, pay the price for the climate damage they are causing all around the world."