Two of Guyana’s key oil partners, ExxonMobil and TotalEnergies, are among major global companies pushing back against a new European Union (EU) law that they say threatens business competitiveness and investment.
The law, called the Corporate Sustainability Due Diligence Directive (CSDDD), requires large companies to address environmental and human rights issues within their global supply chains or face fines of up to 5 percent of their worldwide revenue. It’s one of the EU’s major “green agenda” measures, but it’s facing growing criticism from both European and international corporations.
ExxonMobil’s CEO Darren Woods has called for the law’s repeal, describing it as “the worst piece of legislation” he’s seen since taking the job. He warned that it could make it “impossible” for ExxonMobil to continue operating in Europe, saying the company may have to scale back or leave the region entirely. Woods also said the directive could affect U.S.-EU trade, especially since the EU has pledged to buy billions of dollars in American energy.
Meanwhile, TotalEnergies and Siemens have written to French President Emmanuel Macron and German Chancellor Friedrich Merz on behalf of 46 European companies, urging them to abolish the directive altogether. They argue that the law adds unnecessary bureaucracy and hurts Europe’s global competitiveness.
The letter described the repeal of the law as a “clear and symbolic signal” that European leaders are serious about restoring industrial strength.
Both ExxonMobil and TotalEnergies play major roles in Guyana’s oil and gas industry, with Exxon leading production in the Stabroek Block and TotalEnergies holding interests in local exploration. It was reported by Reuters that Guyana expects to enter into a Production Sharing Agreement soon with TotalEnergies.
The tension between environmental responsibility and economic competitiveness is becoming increasingly global as more countries and companies weigh the cost of “going green”.
