Petronas endorses initiative for transparency on climate-related disclosures

KUALA LUMPUR – Petroliam Nasional Bhd (Petronas) has announced its endorsement of the World Bank’s Zero Routine Flaring by 2030 initiative and the recommendations of the Task Force on Climate-related Financial Disclosures.

In a statement today, the national oil company said the endorsement was part of its broader efforts for greater transparency around its actions on climate change in line with the group’s aspiration to achieve net zero carbon emissions by 2050.

Petronas president and group chief executive officer Tengku Muhammad Taufik Tengku Aziz said the group acknowledged the importance of transparency on climate-related disclosures, and for energy to be responsibly delivered in a way that benefits both the people and the planet.

“Petronas is committed and fully supports the international framework and standards on reducing greenhouse gas emissions.

“In this respect, we believe that addressing the critical issue of ending routine gas flaring through the Zero Routine Flaring Initiative aligns with our role and aspiration to achieve net zero carbon emissions by 2050,” he added.

The Zero Routine Flaring initiative aims to end routine flaring of associated gas from oil production.

Under the initiative, Petronas pledges to avoid routine flaring in new oil field developments and end routine flaring at existing oil production sites by 2030.

“This is applicable to Petronas upstream operations within operational control and excludes flaring sources due to safety and non-routine flaring,” the company said.

By supporting the initiative, Petronas joins a growing global coalition of governments, companies and institutions that demonstrate strong environmental leadership and effective natural resource management by publicly reporting their flaring data on an annual basis, with a target of its first disclosure in 2023.

“This move also signals Petronas’ contribution to the Malaysian government’s Nationally Determined Contributions to the Paris Climate Agreement in mitigating climate change, and builds upon the Petronas Carbon Commitments introduced in 2012,” it added. – Bernama, November 4, 2021