Managing climate-related risks

We have a robust climate-related risk framework that consists of strong governance, strategic capability, risk management processes and disclosure to demonstrate resilience across a range of future scenarios. The energy transition will be complex, with many possible pathways and uncertainties and likely to evolve at different times, at different paces, in different regions. We aim to align our actions with shareholder interests for long-term value and competitive returns.

We use our Climate Risk Strategy to help us manage climate-related risks, optimize opportunities and equip the company to respond to changes in key uncertainties, including government policies around the world, emissions reduction technologies, alternative energy technologies and changes in consumer trends. The strategy guides our choices around portfolio composition, emissions reductions, targets, incentives, emissions-related technology development, and our climate-related policy and financial sector engagement. Our goal is to support an orderly transition that matches supply to demand and focuses on returns on and of capital while safely and responsibly delivering affordable energy.

Our Climate Risk Strategy is supported by a comprehensive governance framework that extends from the board of directors through executive and senior management to the working levels in each of our business units. Read more about our sustainability governance.