Today’s energy and climate policies present major challenges for the oil and gas industry. The industry has a primary responsibility to contribute to the security of energy supply as energy demand grows. Yet, in order to mitigate climate change, greenhouse gas (GHG) emissions must be reduced in all economic sectors. Tackling climate change includes reducing the amount of vented and flared gas, increasing energy efficiency and promote gas as the cleanest fossil fuel.
OMV Carbon Strategy
OMV defined its first Carbon Strategy in 2008. A key objective was to reduce direct GHG emissions from up- & downstream by 1 million t GHG emissions via efficiency improvements: In the period 2007-2015 we have achieved 956,000 t GHG emissions savings.
In 2015 OMV revised its Carbon Strategy and has set a clear commitment to decrease the carbon intensity of its operations. We have set our carbon strategy objectives as follows:
- We aim to reduce carbon intensity of operations by 19 % until 2025 (vs. 2010) and the carbon intensity of OMV’s product portfolio by 4% until 2025 (vs. 2010)
- An internal carbon shadow price is introduced which is factored into the way we calculate the costs of projects.
- A zero routine flaring & venting policy for new projects and a phase out for existing routine flaring & venting latest until 2030 is introduced via the new OMV Group Standard Environmental Management and via endorsing the World Bank Initiative “Zero routine flaring by 2030”
- Transparency vis-à-vis investors with regard to OMV’s carbon performance; maintain a high CDP (formerly the Carbon Disclosure Project) score to attract Social Responsible Investors (SRI)
OMV GHG Management
Effective carbon and energy management helps reduce costs and liabilities (energy, emissions certificates, etc.). OMV Corporate Environmental Management Department is responsible to generate OMV’s GHG inventory based on international standards and best practice. This ensures a consistent approach across the Group. The main tasks of the GHG management team are:
- to define, implement and manage the OMV carbon strategy process
- to monitor, calculate and report OMV’s GHG emissions
- to define OMV’s GHG reporting protocols and Tools
CDP (formerly the Carbon Disclosure Project)
CDP is a nonprofit organization which holds the largest collection of self-reported climate change data and is an important investment decision tool, especially for SRI investors. We report to CDP since 2011 and we have been among the top CDP performers in the Oil & Gas Industry for several years now.
In 2018 OMV has achieved a very good CDP climate scoring of “A-“ (leadership) and has the status of Index/Country Leader Austria in the sector “Energy”.OMV is among the top four companies which achieved a CDP leadership score of A/A- across all sectors in Austria. With this strong CDP result OMV shows a high level of transparency with regard to efforts for combating climate change, as carbon reduction target setting, carbon emission reductions through concrete measures and projects as well as external data verification.