Name: Exxon CEO: Decarbonization Should Target Existing Energy Sources
Uploaded: 2025-11-08T12:00:00Z
Duration: 3 min 42 s
Description: ExxonMobil CEO Darren Woods argues that decarbonizing existing energy sources—instead of phasing out oil and gas completely—would help reduce the world's emissions without undermining global economic growth.

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ExxonMobil CEO Darren Woods argues that decarbonizing existing energy sources—instead of phasing out oil and gas completely—would help reduce the world's emissions without undermining global economic growth. Photo: WSJ Leadership Institute

https://m.wsj.net/video/20251104/3dbbbfc6-d93e-4942-8f45-a2259f57a2f6/1/hls/manifest-hd-wifi.m3u8

ExxonMobil CEO Darren Woods argues that decarbonizing existing energy sources—instead of phasing out oil and gas completely—would help reduce the world's emissions without undermining global economic growth.

Exxon CEO: Decarbonization Should Target Existing Energy Sources

What is best for society at this moment in time? I read your sustainability report. You think 2050, the world will maybe have a 25% reduction in-

Emissions.

In emissions. That's far short-

Yeah.

Of the goal. How long do you think it will take us to get to goal and what are the costs of not getting to goal?

Well, I guess the only way I can answer that question is when do we think the right kind of policy will come in place to drive markets to solutions rather than assign accountability to companies? You know, what I would tell you is the big challenge that we have in this space is very early on that the challenge of addressing emissions was defined by a very narrow group of ideologues that landed on a very narrow set of solutions. And actually, the objective statement, which I'm sure started out as let's reduce emissions, eliminate emissions quickly translated into get rid of oil and gas. We lost sight. The society lost sight of the objective statement, which was emissions. And so, that then led to a drive to figure out how you throw out what society's been working on and investing in over the last 150 years to what was a very effective and productive energy source to try to replace that with the new source. And frankly, from our perspective, we have no person eye view. We should be moving where it's economically viable to wind and solar, but there are many places where it's not. And where it's not, we should continue to use existing energy sources, but focus on decarbonizing those. We are missing a huge opportunity today by not trying to decarbonize what we already have in place.

Yeah, so let's, that's what I wanna talk about because I'm trying to take my lead from you. Say, okay, we're not gonna talk about the political ideologues on both sides of you these days. Let's talk about your mission, which is to do what's right for society. When it comes to the climate at this moment in time, what is right for society? How do you balance the costs of decarbonizing against the costs of not decarbonizing? I mean, you have a better scientific eye on that than I do certainly and probably most people at this table. So, give us your best analysis, leaving the political ideology aside, of what the right course for society is.

So, what's good for society is to continue to provide the energy that the world needs desperately to grow, that economies need to grow, and that people need to improve their living standards. You know, what often gets forgotten is half the world's population to today lives in energy poverty. That has to be addressed in some way, and it has to be affordable and it has to be reliable. And so, economies are gonna grow. And so as you look at the need to continue to improve people's prosperity all around and grow the country, you're gonna need energy. You can't do it without energy. And so, that's a fundamental that we have to, as a society, address. At the same time, we have to find a way to decarbonize and reduce the emissions associated with today's energy system. And so, we have to do both of those things. It's the and equation. You mentioned the word cost. One of the challenges with the approach taken today is there is no accounting for cost. And actually, one of the things, if you step back and think about what does the world need to do to effectively decarbonize what we have, while we work to find new solutions to what we want, you need a mechanism for accounting for carbon.

The WSJ Leadership Institute Presents: Leaders. A new podcast series bringing you revealing conversations with top executives shaping business today. Hosted by Alan Murray, president of the WSJ Leadership Institute, the series goes beyond headlines to explore how leadership really works in times of upheaval, transformation, and uncertainty. Our first episode was released Monday, Sept. 22, at 5:00 a.m. ET, with new episodes every other Monday.