Our Climate Change Action Plan addresses the significant or high risks from our Sustainable Development (SD) Risk Register and includes milestones over a number of years. Actions within the plan address individual risks identified by our business units or global/regional risks identified by our central corporate staff. For example, both chronic and physical climate-related impacts are more likely to apply to a single business unit, given the specific local nature of the risk and geographical location of our assets.

Climate Change Action Plan

Risks 2019 Mitigation Actions and Milestones
GHG Policy
GHG regulations, including carbon taxes
  • Complete process to inform company position on the direct regulation of methane.
  • Review global emerging issues with Public Policy Leadership Team on a regular basis.
  • Work with Climate Leadership Council and API Climate Working Group to develop and implement U.S. carbon tax design.
  • Focus on operational efficiency globally to reduce GHG intensity.
  • Integrate global Marginal Abatement Cost Curve with corporate technology group plans and pilots..
GHG Offset requirements
  • Establish global corporate position and strategy on carbon offsets purchases.
Emissions and Emissions Management
Air emissions regulations
  • Engage with U.S. EPA to develop mutually acceptable work practices and emission limits.
  • Develop U.S. flare reduction plans.
GHG intensity relative to peers
  • Report externally on global corporate GHG emissions intensity target performance.
  • Work with global business units to identify and improve GHG estimation methodologies and set internal business unit emission targets.
  • Identify and implement GHG emission reduction projects at the business unit level.
  • Develop business unit GHG implementation plans and establish steering teams where appropriate
  • Establish U.S. Innovation & Technology manager to identify opportunities for enhanced detection and quantification of GHG emissions.
Climate-Related Disclosure and Reporting
 
  • Update global web-based climate risk report, integrating appropriate feedback.
Physical Climate-Related Impacts
 
  • Investigate developing a satellite monitoring program for lakes to evaluate thermokarst development and assess risk to critical water sources.
  • Utilize assessment approaches on critical water bodies and implement preventative measures to minimize melting of ice wedges where prudent.
  • Increase application of mitigation measures (fresh water use minimization) in project design phase. Investigate alternative sources for water (e.g. pipelines, desalination, etc.). Consider rotation of fresh water source.
  • Develop global physical risk assessment guidelines for business units and continue with ongoing review cycle.
  • Continue assessment of risk of permafrost thaw for new construction. Continue implementation of mitigation measures. Investigate cost-effective approaches for monitoring permafrost thaw and thaw degree days.

Note: Actions relate to specific business units unless indicated as “global.”