Published on February 16th, 2021 | by Daniel Sherman Fernandez0
Shell Malaysia Going Through An Energy Transition
SHELL MALAYSIA RESHAPES TO THRIVE THROUGH ENERGY TRANSITION
Shell intends to invest around USD5 billion to USD6 billion for the development of 500,000 electric vehicle charging locations in North America by 2025 (up from 60,000 today) and an attendant boost in retail and service locations to facilitate charging. This initiative was shared in early February 2021.
In January this year, Shell bought European electric vehicle charging company Ubitricity, without disclosing the size of this venture. Ubitricity claims to be the largest electric vehicle public charging network in England, with over 2,700 charge points and operates in several cities around the country.
So, is part of this energy transition a move to set-up electric vehicle charging stations in Malaysia? With the slow growthof electric vehicle sales right now in Malaysia (due to high purchase costs) there is a need for an energy provider to get involved in the setting up of a charging network to boost range anxiety issues to promote the increased sales of electric vehicles.
Our local energy supplier is not yet ready to be part of this business as set up costs are high and it would seem better to harness solar power instead of our current grid power for a network of EV charging stations in Malaysia. We have the sunlight for it.
We will have to wait and see what happens next. Meanwhile……….
This reorganisation focuses on improving efficiency to become a more streamlined, competitive and collaborative organisation in today’s challenging landscape.
Shell Malaysia will see growth in jobs in certain areas of its business nationwide as well as reductions in others, with the largest impact felt in Upstream business, which will reduce between 250-300 roles. However, as other businesses in Malaysia are set to grow, the overall reduction of roles in Shell Malaysia is expected to be around 2 percent. This reduction will take place progressively over two years.
As part of its drive for increased efficiency and collaboration, most of Shell Malaysia Upstream staff will relocate to the principal office in Miri, Sarawak. This office consolidation will enable new and better ways of working. Shell Malaysia will continue to maintain an office in Kota Kinabalu for the downstream businesses and some upstream support.
There are no changes to Shell’s offshore deep-water operations in Sabah. Menara Shell in Kuala Lumpur will continue to host Shell Malaysia Downstream and corporate entities. Shell business operations centre will continue in Wisma Shell in Cyberjaya.
Shell Malaysia intends to grow its Downstream Marketing businesses to reinforce its Retail and Lubricants leadership positions in the country. Shell Business Operations in Malaysia, which has a clientele across more than 25 countries will continue to grow to manage increasing demand from businesses from Shell companies in other countries.
Shell’s Middle Distillate Synthesis (Shell MDS) plant in Bintulu, continues to be a niche business for Shell in Malaysia, producing a range of high-quality finished products including GTL waxes, drilling fluids and chemicals.
Shell continues to maintain a network of Malaysian retailers, distributors, suppliers, across our broad value chain, all of whom continue to be indirectly in our employ, as we seek to deliver high quality products and services to all our customers across Peninsular Malaysia, Sabah and Sarawak.
Shell has been in Malaysia for close to 130 years and the company looks forward to many more years as it seeks to be a partner in Malaysia’s progress. Shell will continue to seek growth opportunities in Malaysia in line with its global strategy, to support the country with its energy transition.