BP is allocating a budget of up to 10.7 billion dollars for investing in low-carbon fuels, renewables and electric vehicle (EV) charging infrastructure in Germany by the end of this decade, Reuters reports.

The latest move is in line with the company’s strategy to rival the local energy firms. BP recognizes Germany as one of the key countries in its strategy to significantly expand the use of low-carbon fuels and electricity, while moving away from fossil fuels.

As part of its investment efforts in Germany, BP intends to expand its local network of high-speed EV charging stations, decarbonize its refineries and proceed with wind power initiatives. The company is also exploring the possibility to set up a regional center for importing low-carbon hydrogen.

BP’s presence in Germany spans more than a century. BP operates two refineries in Germany’s Lingen and Gelsenkirchen. It also oversees Aral, which happens to be the largest petrol station network in Germany. BP provides more than 1,700 fast EV loading spots in Germany through its Aral brand.

BP plans to achieve up to 20,000 charging points by 2030, capitalizing on the increasing embrace of electric vehicles, with various automakers like Volkswagen and BMW introducing the latest models.

Increasing global awareness of climate change has put significant pressure on countries, including Europe’s largest economy, to accelerate their transition to cleaner energy sources. Firms at the forefront of the energy transition could secure a competitive edge in an upcoming global economy characterized by low-carbon emissions.

Hence, BP intends to allocate a budget of $55-$65 billion toward its emerging transition ventures from 2023 to 2030, eventually matching its financial commitment to oil and gas. The magnitude of this investment is likely to pose a significant challenge for established power utilities, which are finding it difficult to rival the financial strength of oil companies.