BP Cuts Renewables Investments by $5bn, Sets Sights Firmly on Oil and Gas

UK-based energy giant BP has announced it will cut its renewable energy investments and instead increase its investment in oil and gas production.

The company buckled under pressure from investors who were unhappy over the company’s underperformance compared to its main rivals such as Shell and ExxonMobil.

For example, BP shares have risen by 36% from the end of February 2020 until February 25, 2025. Shareholders in rivals Shell and Exxon have seen returns of 82% and 160% respectively.

As a result of the investor’s demands, BP stated that it would increase its investments in oil and gas from about $8.5bn a year to $10bn. At the same time, the company would decrease previously planned funding for renewables by more than $5bn.