RUEN
2019 Interactive Sustainability Report

Target programs to reduce the carbon footprint

As part of achieving the goal of transitioning to carbon neutrality and phasing out greenhouse gas emissions, we are implementing comprehensive programs and activities.

In order to minimize the growth of greenhouse gas emissions when expanding the geography of assets and production capacities of the Company in production, development of oil and gas processing, petrochemicals, tire business, gas station network, composite materials, as well as in the operation of administrative buildings, the Company seeks to use risk-based approaches in the control of greenhouse gas emissions , energy efficiency and resource conservation.

Project “Implementation of the Company's initiatives and actions on climatic aspects. Greenhouse Gas Management and Accounting Processes"

The project is aimed at improving the corporate practice of the Company in managing climate aspects in general, including the integration of advanced international standards and guidelines in the field of greenhouse gas emissions management, industry experience, the formation of a planning and reporting system, and expansion of the perimeter of disclosure of information on climate. One of the directions of the project is to join the authoritative platforms for climate action at the international and national levels.

Project "Analysis and selection of promising methods for reducing emissions, capturing and processing carbon dioxide"

Currently, the Company is implementing the project “Analysis and selection of promising methods for reducing emissions, capturing and processing carbon dioxide” with the involvement of specialists from TATNEFT, Nizhnekamsk TPS, TANECO, production management of SVN, TatNIPIneft. The goal of the project is to form a list of effective and promising technologies, taking into account international experience, applicable in the conditions of TATNEFT Group to reduce greenhouse gas emissions.

Rational use of associated petroleum gas

A highly effective direction to reduce greenhouse gas emissions is the rational use of associated petroleum gas (APG). For the period 2017-2019, TATNEFT Group reduced the volumes of APG flaring by 20%, which allows to reduce the emission of greenhouse gases generated during the flaring and dispersion of APG.

As a result of the high level of useful APG utilization, the Company prevents more than 3 million tons (in CO2 equivalent) of greenhouse gas emissions into the atmosphere per year. 

In 2019, the level of APG utilization in the Company was 96%. This is one of the highest rates in the industry and we plan to increase it to 98%. For more information on APG use, see the section Rational use of associated petroleum gas

Production of products that help reduce CO2 emissions

The company is committed to producing products that help reduce our carbon footprint. In the development and production of fuels, petrochemical products, tire products, composite materials, internal planning standards for reducing GHG emissions are introduced, from the design stage to the end of the product life cycle (recycling / disposal) along the entire business process chain. The Company also takes this factor into account in the supply chain, taking into account the contribution to the reduction of GHG emissions by suppliers and contractors. 

Within the framework of the Project "Formation of the Company's sales strategy" we plan to assess the impact on the environment, incl. anthropogenic, along the entire value chain of a product - for each stage of its life cycle (including laboratory development, production, sale and consumption), including the assessment of the impact from contractors and suppliers. At the same time, we are developing mechanisms for accounting for carbon footprint in our engineering services and in the execution of external contracts. 

In 2021-2022, we plan to introduce carbon certification of our products and production processes.

Innovative methods and technologies

In order to reduce the impact on the environment and the volume of greenhouse gas emissions into the atmosphere, the Company develops its own technologies and equipment, as well as implements proven innovative methods that have proven their effectiveness in the following areas:

  • Introduction of advanced technologies to reduce emissions and capture emissions into the atmosphere;
  • Reducing emissions;
  • Improving the efficiency of accounting and control systems for greenhouse gas emissions;
  • Search for effective solutions for the safe disposal of greenhouse gases;
  • Efficient use of associated petroleum gas;
  • Improving energy efficiency of manufacturing operations;
  • Development of low carbon energy sources such as gas, renewable sources, biofuels;
  • Production and use of environmentally friendly fuels.

For example, when considering the "Program for the overhaul of water pipelines using fiberglass pipes" for 2020, specialists of the TatNIPIneft Institute together with OOO Tatneft-Presscomposite carried out estimates of greenhouse gas emissions when using fiberglass pipes and metal analogues. Calculations have shown that emissions when using fiberglass pipes are about 6 times less than when using metal analogues. 

Technologies for capturing, storing and reclaiming greenhouse gases (CCS)

The Company is considering greenhouse gas capture, storage and utilization (CCS) technologies, which it plans to develop in the near future, as one of the key effective areas for the transition to carbon neutrality. Currently, preparatory work is underway to test technologies.

Increased energy efficiency and resource conservation

The company is implementing a targeted program to reduce the consumption of fuel and energy resources. Since the start of the program in 2010, the total savings in equivalent fuel amounted to more than 464 thousand tons. As a result of the implementation of the energy saving program measures for 2019, the enterprises of the TATNEFT Group saved more than 40.7 thousand tons of standard fuel, which amounted to 561 million rubles. The most effective areas of savings are: preparation, oil and gas processing, transportation, technology for oil and gas production, maintaining reservoir pressure. The main savings in energy resources are obtained through energy savings.

Based on the results of the period 2017-2019, the decrease in the Company's demand for energy resources (including fuel consumption) averaged 1% per year or 2 billion rubles. accumulated effect.

Rational consumption of resources

We are working hard to improve the rationality and efficiency of resource use. The direction includes increasing the turnaround time of wells, extending the service life of pipelines, the efficiency of waterflooding in oil production, etc. The measures taken not only reduce the cost of production, but also increase environmental efficiency. With an increase in rational consumption and a decrease in resource requirements, the Company consumes less metal when replacing pipelines and tubing, less water resources during oil production, which helps to reduce greenhouse gas emissions throughout the production and business chains.

Energy production from renewable energy sources

Assessing the importance of the role of oil and gas for a definitely still long time, as one of the main sources of energy and a source of raw materials for a huge number of types of oil refining and petrochemical products, we see in the future an ever-increasing role of renewable energy, hydrogen and new technologies.

The total energy production of the Company from renewable energy sources in 2019 amounted to 1,282.9 tce. or 0.18% of the total energy production of TATNEFT Group.

The main share (93.2%) of energy production from renewable energy sources in TATNEFT Group falls on the generation of heat energy by pellet boiler houses, 6.7% - the generation of electricity from the small hydroelectric power station at the Karabash reservoir, 0.05% - by solar power plants of the Company's retail and distribution network.

Compensatory measures

We believe that the most important element in reducing climate risks is offsetting CO2 emissions - taking into account the absorptive capacity of forests. In order to create a favorable environment in the area of ​​its activity and increase the absorption of greenhouse gases, TATNEFT Group, since 2000, has been implementing the Greening Program. During this period, including 2019, more than 10 million trees and shrub seedlings were planted. In 2020, it is planned to plant more than 3 million seedlings.

The program includes greening of road strips along public roads, industrial roads in the oil regions of Tatarstan, sanitary protection zones, and targeted activities “Forest from gas stations”. The efforts of JSC TANECO are working to create a "green shield" for a single sanitary protection zone of the Nizhnekamsk industrial hub.

Climate Policy Management of the Company in accordance with TCFD Guidelines

CORPORATE GOVERNANCE

Governance within the organization with respect to climate risks and opportunities. 

STRATEGY

The current and potential impact of climate risks and opportunities on businesses, strategy and financial planning.

MANAGEMENT OF RISKS

Identifying, assessing and managing climate-related risks.

CRITERIA AND OBJECTIVES

Criteria and objectives used to assess and manage the associated climate-related risks and opportunities.