Dear Sir
The decision by BP plc to sell its global petrochemical business is yet another sign of the major changes taking place in the company. BP’s global petrochemical business includes a 36.9 percent stake in Atlas Methanol in Point Lisas. This latest sale follows on announcements of staff cuts of 10,000 workers and a write-down of $17.5 billion in value.
The latter is an indication that the oil and gas fields, including those in Trinidad and Tobago under BP’s control, are valued less than previously thought. The economic impact of COVID-19 and the oil pricing war in the first quarter of 2020 would have no doubt driven these decisions. The sale of its global petrochemical business is part of a wider strategy of divestiture aimed at raising $15 billion. BP has also committed to “net-zero” carbon emissions by 2050.
Inevitably, these changes will eventually cascade down to Trinidad and Tobago. Given that BP is the largest economic player in the Trinidad and Tobago economy, the government and policy-makers must be cognizant of the changes taking place with BP plc.
Unfortunately, I get the impression that this is not the case and we are not adapting to the changing global energy environment.
Kevin Ramnarine
Former Minister of Energy and Energy Affairs
