bp reports rise in downstream emissions; Shell continues decline

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bp reported a significant increase in downstream greenhouse gas emissions in 2025, according to its latest annual filings, while rival Shell recorded a continued decline from its 2019 levels.

The report revealed that downstream emissions from the combustion of oil and gas produced by bp totalled 471m tCO2e in 2025, up from 322m tCO2e the previous year. In 2019 – the year bp pledged to progress towards absolute net zero – downstream emissions totalled 360m tCO2e. The company scrapped its absolute net-zero target in 2024. 

Shell's 2025 annual report, also published last week, shows downstream emissions falling steadily since 2019, from 1.55bn tCO2e to 1.07bn tCO2e last year.

Over the last 12 months, bp has adjusted its energy transition strategy, reduced planned spending on low-carbon projects by US$5bn in February, while increasing investment in oil and gas by around 20%. The company also sold its US onshore wind business in December and cancelled its flagship hydrogen project in northeast England during the same month. 

Overall oil production rose slightly last year to 1.07m bbl/d, compared with 1.04m bbl/d in 2024. Natural gas production, meanwhile, fell to 6.45bn ft³/d from its 2024 level of 6.91bn.

Direct emissions from bp’s operations hit a five-year high of 33.7m tCO2e. Flaring, however, reached its lowest level since 2021, totalling 570 kt last year, down from 967 kt four years before. 

Doug Parr, chief scientist at Greenpeace UK, told TCE: “bp is doubling down on fossil fuels. Its emissions are fuelling the climate crisis, driving extreme weather that is causing mayhem for communities worldwide.”

bp’s shift in investment priorities follows a period of weaker financial performance relative to some competitors. Shell reported profits of US$19.3bn last year compared with bp’s US$1.3bn. bp’s profits from gas and low carbon energy segment also declined in 2025, falling from US$3.1bn (before tax and interest) in 2024 to US$1.3bn. 

The company has also seen leadership changes in recent years, with Meg O’Neill set to become bp’s third chief executive in less than five years. 

bp did not respond to a request for comment.