Company restructuring
Fossil fuel company restructuring to cope with decarbonisation policy
“Corporate Restructuring” by Industry Is Virtue is licensed under CC BY-NC-ND 2.0.
As decarbonisation advances, fossil fuel companies have been searching for ways to limit their losses and explore new revenue streams. This has led to a wave of adaptive coping strategies concerning company structure and operations. Examples include internal restructuring to reorganise management teams, cutting jobs, splitting companies to isolate renewable energy activities from increasingly loss-making fossil fuel activities, and even putting used thermal generation infrastructure up for sale.
These strategies have varying levels of success. They can delay or temporarily reduce disruption for employees in the fossil fuel sector. For companies that split their operations, they can also provide new opportunities for employees, as well as assurances to company shareholders. These strategies usually emerge in mid transition stages when fossil fuel companies are facing losses and restrictions on their operations.
Funding
The CINTRAN project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No. 884539. The sole responsibility for the content of this website lies with the authors and does not necessarily reflect the opinion of CINEA or other EU agencies or bodies.