Shell Accelerates Shift Towards EV Charging by Closing Over 1,000 Gas Stations

Shell is embarking on a substantial shift in response to the changing energy landscape. With an eye on the future, the company revealed its intentions to sell off about 1,000 retail gas stations while simultaneously boosting its commitment to electric vehicle (EV) charging infrastructure.

The strategy, outlined in Shell’s Energy Transition Strategy 2024 report, involves the closure of 500 Shell-owned stations annually in 2024 and 2025. This move aims to reallocate resources towards expanding the company’s network of public EV charging stations. Shell envisions boosting its total charging stations to 200,000 by 2030, a massive increase from the current count of 54,000.

“We are upgrading our retail network, with expanded electric vehicle charging and convenience offers, in response to changing customer needs,” stated Shell in its report.

The move highlights Shell’s acknowledgment of the evolving automotive sector, where electric vehicles (EVs) are increasingly popular and the need for charging infrastructure is growing. The company aims to position itself as a leader in the decarbonization of transport by leveraging its global presence and brand strength.

Despite the reduction in its retail footprint, Shell remains committed to providing charging solutions wherever demand exists. The focus will be on public charging stations, which the company sees as essential for meeting the needs of customers using EV while the move.

“We believe growth in oil demand is set to slow in the second half of this decade, and could start falling in the 2030s because of increasing vehicle efficiency and growth in electric vehicles.” Shell stated in its report.

Shell is not alone in the race to expand into EV charging. BP is making significant strides with a $100 million contract to procure charging stations from Tesla. Another competitor is Phillips 66, which is also diving into EV charging. However, Shell’s ambitious plans highlight its commitment to staying ahead in the evolving energy landscape.

As part of its strategy, the company’s recent acquisition of Volta Inc. in the U.S. and partnerships with key players emphasizes its dedication to expanding its charging network globally. In addition, Shell Recharge already has over 3,000 charging stations across 31 U.S. states. Moreover, Shell aims to tap into the growing demand for EV charging in regions like China and Europe, where the market for electric mobility is more developed.

While the transition away from gas stations marks a significant transformation for Shell, the company is firm in its commitment to adapt to the changing landscape of customer demands. By prioritizing EV charging and decarbonization initiatives, Shell is positioned to become a key player in driving forward the future of transportation and energy.

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