Oil industry groups release sustainability reporting guidance
Leading oil industry associations have released the latest edition of the Sustainability Reporting Guidance for the Oil and Gas industry report.
This is the fourth edition of the report, which is produced by IPIECA (International Petroleum Industry Environmental Conservation Association), the American Petroleum Institute (API), and the International Association of Oil & Gas Producers (IOGP).
“The fourth edition of the Sustainability Reporting Guidance provides oil and gas companies with a clear framework to demonstrate their important role in the energy transition by reporting on how they manage climate and sustainability impacts and opportunities,” IPIECA’s Executive Director Brian Sullivan said. “IPIECA encourages all oil and gas businesses across the industry to go beyond reporting on financial data and to also disclose their climate, environmental, social, and sustainability activities.”
Updates to the guidance have been applied to six areas: the reporting process; governance and business ethics; climate change and energy; environment; safety, health and security; and social impacts. Specifically, modifications were made to improve reporting of performance indicators related to ‘climate change and energy,” as the investment community is increasingly interested in financing projects in this area.
“The U.S. natural gas and oil industry is committed to environmental stewardship, safety, and strong stakeholder relationships,” API President and CEO Mike Sommers said. “Oil and gas companies were among the first businesses to pioneer sustainability reporting. This guidance helps provide detailed reporting on environmental, health, safety, social, and economic performance-critical information that helps to foster collaboration with a wide range of stakeholders focused on creating a significant turning point in meeting the challenge of climate change head on.”
The updated guidance represents the work of more than 80 representatives from 28 oil and gas companies as well as experts representing NGOs, investors and investor groups, banks, and consultants.
“This Guidance is not only a practical tool for reporting, it enables and enhances engagement with stakeholders across society as we collaboratively navigate the energy transition,” Gordon Ballard, IOGP Executive Director, said. “Our industry is well aware of the opportunities and challenges that the future holds. Navigating these successfully is in each company´s interest.”
