BP reduces its green agenda with the sale of wind energy

BP is considering selling a minority stake in its offshore wind unit as the British energy giant continues to scale back its green agenda.

The London-listed oil company is seeking partners for the business, in the latest sign that boss Murray Auchincloss is watering down his renewable energy strategy.

Auchincloss, who replaced the disgraced Bernard Looney in January, has faced growing pressure from shareholders to refocus on fossil fuels.

BP has fallen behind British rival Shell and US giants Chevron and ExxonMobil, which have doubled down on oil and gas.

The company has approached Bank of America to find partners for its offshore wind business, Reuters reported.

It is trying to reduce its share of the huge investments needed to finance wind farm projects. BP is developing offshore wind farms in the UK, US, Germany, South Korea and Japan. A BP spokesman declined to comment.

Despite the possible sale, BP remains committed to developing its main offshore wind projects, a source told Reuters. The energy group has also recently invested in solar energy, biofuels and low-carbon hydrogen. This month it was revealed that Auchincloss plans to scrap a target proposed by Looney to reduce fossil fuel production by 2030.

The Canadian is considering major investments in the Middle East and the Gulf of Mexico to boost BP’s oil production. At the time, a BP spokesperson said: “As Murray said earlier in the year in our fourth quarter results, the direction is the same, but we are going to act as a simpler, more focused and higher value company.”

BP has previously said it plans to sell its onshore wind business in the United States and this summer put its plans for new investments in offshore wind on hold.

The offshore wind sector has been through a difficult few years as costs soared due to technical and supply chain issues, as well as higher interest rates.

Shell is reportedly looking to exit several wind farm projects as investments struggle to generate returns.