Repsol SA REPYY announces plans to decelerate its oil production with the aim of increasing its renewable energy capacity as it follows its path toward carbon neutrality.The Spanish oil-and-gas major revealed its plan for the next five years during which it will progress toward its low-carbon future goals with a project that accelerates the energy transition, while raising shareholders’ returns. Repsol will decarbonize its asset base and apply the latest operating model to utilize its strengths and enhance its capabilities for the company’s future.The plan involves an investment of €18.3 billion ($21.8 billion), 30% of which will be expended in its newly-built low-carbon power generation business to expand its renewable capacity to 7.5 gigawatts (“GW”) by 2025 and 15 GW by 2030 from 2.95 GW at present. The plan further entails green-hydrogen production of more than 1.2 GW in 2030, which is in line with the Spanish government’s aim to ramp up the use of hydrogen.Repsol was the first oil major to set a net-zero emission target. However, other integrated oil majors like TOTAL SE TOT, Royal Dutch Shell Plc RDS.A and BP Plc BP have followed its steps of emission reduction and reduced their dividend payouts due to the coronavirus-induced demand slump and the constant pressure to move in the energy transition.The Spanish energy giant mentioned that it will reduce its dividend to €0.60 per share in 2021 and 2022 from €1 per share this year, and plans to increase it by 5 cents yearly from 2023 to 2025. Meanwhile, share repurchases could push Repsol’s returns above €1 per share by 2025. It also introduced a payout policy by moving all outflows to cash and estimated that the five-year plan will generate an EBITDA of more than €8.2 billion by 2025.It is to be noted that Repsol will continue to transform its refineries and large industrial sites in Spain, Portugal and Peru into multi-energy centers. The company plans to expand its window of opportunities by focusing on four business areas, namely upstream, industrial, customer and low-carbon generation. Repsol intends to become “a leader in sustainable biofuels” with a production capacity of 1.3 million tons by 2025 and more than two million tons by 2030 as part of the industrial business plan.Notably, the new business model, which combines all technologies for the decarbonization of energy, will enhance the company’s activities and bolster its objective for a 50% reduction in carbon intensity by 2040 to become a renewed, more sustainable and more focused company by 2030.Company Profile & Zacks RankHeadquartered in Madrid, Spain, Repsol is an integrated energy company, which advocates energy transition.The company currently carries a Zacks Rank #5 (Strong Sell).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The Hottest Tech Mega-Trend of AllLast year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.See Zacks' 3 Best Stocks to Play This Trend >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TOTAL SE (TOT): Free Stock Analysis Report BP p.l.c. (BP): Free Stock Analysis Report Royal Dutch Shell PLC (RDS.A): Free Stock Analysis Report Repsol SA (REPYY): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research