| | June 20228IN MY OPINIONLEVERAGING TECHNOLOGY TO STREAMLINE ENERGY TRANSITIONBy Layla El Hares ­ Egypt Managing Director, Siemens EnergyWhat are the major challenges and trends that have impacted the oil and gas industry lately?The oil and gas industry is synonymous with boom and bust, it is never stable and it is one or the other. While today we are focused on the crisis in Ukraine and the ensuing price peek, we need to remember that this is not the first crisis we go through and probably will not be the last. Here is a short overview of the previous threats to the stability of the oil and gas industry. They are generally:· Geopolitical: Such as the 1973 oil embargo and to a large extent what we see as a result of the Ukraine war today.· Supply driven: This is what we witnessed in the mid-80s with the production accelerating in the North Sea and Alaska and where demand had not yet caught up.· Financial: A good example is the financial crisis in the early 2010's which led to demand destruction.· Technological: Such as the shale oil boom in the USA in the late decade·And lastly, the energy transition which is an existential threat. I will elaborate more on that later.So the challenges are many and varied. Energy is intertwined with society, growth, politics and geopolitics ­ that is what is fascinating about it.Currently we're in a situation where the oil and gas industry is working to decarbonize. On a superficial level, we're seeing companies rebrand and change their names and corporate identities. But we're also witnessing oil and gas companies diversify into other energy industries such as renewables. We're also seeing oil and gas companies increasingly focus on improving their efficiency and reducing their emissions. The energy industry is most likely going to continue to be a relevant part of everyday life for decades to come. We cannot simply switch from powering our modern lives using oil and gas, to using renewables, overnight. But what we can do is accelerate this transition and work to ensure that the oil and gas that we are using has the highest level of efficiency and lowest carbon cost possible. What keeps you up at night when it comes to the major predicaments?We are currently witnessing price volatility in the oil and gas markets that have real and negative impact
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