2019 Interactive Sustainability Report

Climate policy context

"Capturing, using and storing CO2 is a key technology for decarbonising the energy sector in the long term."
Framework Convention on Climate Change, UN FCCC

"Removing CO2 will play a 'key role' in the energy transition."
International Energy Agency, IEA

In strategic planning of its activities, the Company takes into account factors related to the potential impact of the goals of the Paris Agreement on the global balance of primary energy consumption, and related forecast data:

  • • The transition of developed countries to a low-carbon economy and a decrease in demand for traditional products;
  • • Improving the fuel efficiency of the vehicle fleet;
  • • Reducing the consumption of hydrocarbons in the transport sector;
  • • Development of electric and gas engine transport;
  • • Development of renewable energy sources;
  • • Regulatory, financial and other aspects. 

We consider scenarios related to climate change when planning oil and gas reserves and production, incl. expected growth in demand for natural gas, oil refining and petrochemicals, electricity production, technological policy, as well as own consumption of energy resources, development of technologies for capturing and storing CO2

The company analyzes a set of factors - the development of international and Russian legislation, including environmental regulation, requests from the investment community.

We take into account the growing expectations of investors and regulatory requirements for the disclosure of information on environmental impact and for accounting for all types of emissions, including indirect greenhouse gas emissions, including those along the supply chain. Investors consider these indicators simultaneously, both from the standpoint of environmental issues and assessing business performance and financial risks. CO2 emissions are analyzed not only in terms of absolute values ​​of emissions, but also in specific ratios, according to which a conclusion is made about the quality of technologies used by companies. Climate issues are of interest to investors - to what extent the company's strategy and business planning takes into account the impact on the environment. Investors' expectations are also growing for companies to publicly reflect their position on climate risk management. 

TATNEFT takes into account the plans of the European Commission to implement the European Green Deal of the, adopted at the end of 2019 - the strategy for the transition of the European Union to a carbon-neutral economy by 2050, related to this Revision of the Energy Taxation Directive (ETD) and CBA

A number of other countries have also announced the Green Deal, including the US Green New Deal, a package of laws aimed at tackling climate change and economic inequality.

International partnerships and collaborative climate solutions platforms that bring together global industry companies are of significant interest.