Climate Change and Environmental Efforts | Hess Corporation
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Climate Change and Energy

Hess’ Climate Change Position

Climate change is a significant global challenge that requires governments, businesses and civil society to work together on cost-effective policies.

 

We believe climate risks can and should be addressed while also providing the safe, affordable and reliable energy necessary to ensure human welfare and global economic development in the context of the United Nations (U.N.) Sustainable Development Goals.

 

Hess supports the aim of the Paris Agreement to limit global average temperature rise to well below 2°C. Hess’ Board of Directors and senior leadership have set aggressive targets for greenhouse gas (GHG) emission reductions, and over the past 11 years our company has reduced our Scope 1 and 2 equity GHG emissions by approximately 64 percent.

 

Hess is committed to developing oil and gas resources in an environmentally responsible and sustainable manner. Our Board is climate change literate and actively engaged in overseeing Hess’ sustainability practices, working alongside senior manageĀ­ment to evaluate sustainability risks and global scenarios in making strategic decisions. We are committed to transparency, and our strategy is closely aligned with the recommendations of the G20 Financial Stability Board’s Task Force on Climate- Related Financial Disclosures (TCFD).

 

We have tested the robustness of Hess’ portfolio under the energy supply and demand scenarios from the International Energy Agency (IEA), including the ambitious GHG reductions assumed within the IEA’s Sustainable Development scenario. Our strategy aligns with the energy transition needed to achieve the Sustainable Development scenario, wherein oil and gas will continue to be essential to meeting the world’s growing energy demand. Our current asset portfolio is resilient, and our pipeline of intended forward investments provides strong returns under the Sustainable Development scenario.

 

See the results of our portfolio-specific scenario planning exercise.

 

Our business planning includes actions we will undertake to continue reducing our carbon footprint consistent with the findings of the U.N. Intergovernmental Panel on Climate Change and the aim of the Paris Agreement. We will continue to take steps to monitor, measure and reduce our GHG emissions through the following actions:

  • Setting and disclosing our targets to reduce the carbon intensity of our operations
  • Applying technological innovation and efficiency to decrease energy use and GHG emissions across our operations
  • Accounting for the cost of carbon in significant new investments
  • Incorporating carbon risk scenario analysis into our business planning cycle
  • Working with government and industry partners to advance the development of a range of low-GHG emissions pathways, including technological advancements
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Transparency

Hess has consistently been recognized as a leader in the oil and gas industry for our disclosure and transparency relating to sustainability, and we remain committed to our goal of top-quartile performance in this regard. In addition to preparing this sustainability report in accordance with the Global Reporting Initiative’s Standards at the Core reporting level and establishing our alignment with the TCFD recommendations, we participate in a number of voluntary initiatives related to climate change disclosure. Hess has been recognized for climate change stewardship, achieving leadership status in the CDP’s 2018 Global Climate Analysis for the 10th consecutive year. Hess is the only U.S. energy company to achieve leadership status, earning an A-. Hess obtained an A- by earning high marks in many of the leadership categories critical to the TCFD, which confirms, through an external review, our alignment with TCFD recommendations.

 

For the ninth consecutive year, we were included in the Dow Jones Sustainability Index (DJSI) North America, which highlights public companies with outstanding performance across economic, environmental and social factors, including those related to climate change. Based on our disclosure through the DJSI survey, we received the additional distinction of being included in The Sustainability Yearbook 2018, meaning that Hess was in the top 15 percent of reporters in our industry.

 

Our CDP responses contain more detailed information on the company’s climate change-related risks and opportunities.



Read our latest CDP Climate Change Response

Access our archived CDP Climate Change Responses

 

 

Hess Greenhouse Gas Inventory Protocol

The Hess Greenhouse Gas (GHG) Protocol identifies and describes the processes and methodologies Hess uses to calculate the Hess GHG inventory and ensure its reliability and validity.

The GHG also establishes a set of acknowledged conventions and practices for the identification of GHG sources and supports the creation of a robust data collection system that ensures consistency, comparability and transparency in the GHG inventory.

Read the Hess Greenhouse Gas Inventory Protocol