* BP prefers rapid energy transition to disarray-Lund
* World needs oil companies to remain good investment-Lund
* Lund says has no plan to become BP CEO when Dudley retires
By Ron Bousso and Dmitry Zhdannikov
LONDON, June 27 (Reuters) - Trade tensions risk throwing theglobal economy's transition to greener energy into disarray andcould hurt energy companies' preparations towards it, BPChairman Helge Lund said as leaders of the world's largesteconomies gather for talks in Japan.
Lund, in his first interview since taking office in January,said BP would rather see a rapid, orderly phasing out of fossilfuels than a delayed and disorganised transition.
The former chief executive of Norwegian oil group Equinorsaid BP as well as rivals such as Royal Dutch Shell andExxonMobil would have a vital role to play to ensure asuccessful transition to low carbon economies.
"It is better for us to see a path that goes rapidly," Lundsaid. "It will be very difficult for the oil and gas companiesbut that is a better and a preferred solution than anuncontrolled sudden change maybe 10, 15 years into the future."
London-based BP, like some of its peers, has taken stepstowards meeting the 2015 Paris Climate Agreement to limit globalwarming, including setting targets to reduce carbon emissionsfrom its operations, link them to managers' pay and ensure thatinvestments are in line with the accords.
But many investors say BP will have to do more, includingtackling emissions from the fuels and products it sells tomillions of customers daily, known as Scope 3 emissions, toprevent a catastrophic rise in global temperatures.
Lund said however that such Scope 3 targets would tie BP'shands to make future investments, whether in renewable energy oroil and gas. He nevertheless said the company's thinking aroundScope 3 was likely "to evolve over time."
BP invested around $500 million in renewable power, electricvehicle charging points and other low-carbon technologies lastyear, a fraction of its annual spending of $15 billion.
And the pressure on companies and governments to do more tocurb greenhouse gases is rising as carbon emission levels showno sign of decreasing.
Investors managing more than $34 trillion in assets, nearlyhalf the world's invested capital, this week demanded urgentaction from governments on climate change, piling pressure onleaders of the world's 20 biggest economies meeting this week.
France has said it will not accept a final G20 communiquethat does not mention the Paris climate change agreement.
"The long-term framework around the energy transition isimportant. Over time it is much easier for big companies like BPif we have a stable global framework for trade and investments,"Lund told Reuters at BP's London headquarters.
Lund said an unprecedented level of cooperation was neededbetween companies and governments to bring greenhouse gasemissions to zero by the end of the century.
He urged governments to introduce a price on carbonemissions to allow phasing out fossil fuels, even though only ahandful of such schemes have been introduced around the world.
SOUND INVESTMENT
BP has faced a wave of protests by climate activists,including a blockade on its London office and protests at eventsthe company sponsors.
Big investors, including Norway's sovereign wealth fund, arereviewing shareholdings in some oil and gas drillers, though notin BP and its largest rivals.
Lund, who took part in discussions on a climate resolutionwith a group of investors earlier this year, believes mostinvestors understand that modern societies are almost built onhydrocarbons.
BP forecasts that even with a rapid increase in wind, solarand other forms of renewable energy, fossil fuels will accountfor the majority of energy supply for decades to come.
Lund also warned that attempts to curb fossil fuels too fastcould harm societies.
"It takes time to change energy systems ... If you try tobuild down the oil and gas industry quicker than you are able tobuild up a carbon neutral system you will pull societies back."
Lund said large oil companies would be vital for thetransition due to their large balance sheets, technicalexpertise and innovation skills.
"To be a strong contributor in the long term we have to stayfinancially strong, we have to be a good investment."
Lund also said: “There is another dimension that we need tothink about and that is if you believe that BP and otherintegrated oil and gas companies understand energy markets, theyhave significant balance sheets, they have technicalcapabilities, they have innovation capabilities, they can takerisks - so in my mind business and these companies play anincredibly important role in the energy transition.”
SUCCESSION
Lund, 56, faces the task of leading BP through the energytransition and also overseeing the succession to Chief ExecutiveBob Dudley, who took the helm in 2010 following the crisis overthe Deepwater Horizon rig explosion in the Gulf of Mexico.
Dudley also steered BP through the oil industry's worstdownturn in decades so that the company is now producing strongprofits which reached a five-year high last year of $12.7billion.
"Bob is a very good leader, I am not sure where BP wouldhave been without him," Helge said.
Lund said BP's board was preparing a number of candidates tosucceed Dudley, who turns 65 next year.
Lund, a former consultant and political adviser in theNorwegian parliament rejected suggestions he could replaceDudley to become the next CEO.
"I've been CEO for three companies. I thought about thiswhen I left BG whether I should try to get one more (CEO) job ortry to get a different life and I decided on the latter and Ithink it is rewarding," he said.
(Reporting by Ron Bousso. Editing by Jane Merriman)
