SAN RAMON, Calif. Mar. 1, 2018– Chevron Corporation (NYSE: CVX) today published its second report describing the company’s approach to managing climate change risks and its resilience under a low carbon scenario. Titled Climate Change Resilience – A Framework for Decision Making, the publication builds on the company’s prior report on managing climate change risks and provides more detail on the company’s approach to governance, risk management, strategic planning and emission reduction investments and activities, including key metrics.
“We proactively consider climate change in our business decisions, and we have the experience, processes and governance in place to manage the risks,” said Michael Wirth, Chevron’s Chairman and CEO. “We believe we are equipped to continue to succeed in any business environment as we deliver affordable, reliable energy that is a fundamental driver of economic growth and human progress.”
Aligned with the Financial Stability Board’s Task Force on Climate-Related Financial Disclosures recommendations, Chevron’s report explains the company’s strategic decision-making approach to climate change related risks. These include ongoing evaluations of the company’s portfolio and future investments, its views of supply, demand, commodity and carbon prices, and the factors that drive global economic change.
The report summarizes Chevron’s work to test the competitiveness of its current assets under multiple scenarios, including some of the most restrictive greenhouse gas reduction proposals such as the Sustainable Development Scenario from the International Energy Agency. The results demonstrate that the company’s portfolio, due to its maturity and diversity across assets and geographies, is resilient in a wide variety of possible scenarios and enables Chevron to be flexible in response to potential changes.
“We know that climate change is a growing area of interest for our investors and other stakeholders. We’re committed to addressing the risks of climate change while delivering the energy that benefits societies and economies,” said Dr. Ronald Sugar, lead independent director for Chevron’s Board of Directors.
Chevron is a leader in improving how reliable and affordable energy is developed and delivered to meet global demand. The company is making its operations more energy efficient, reducing flaring, managing methane emissions and investing in low-carbon technologies. In addition, Chevron is investing in the innovations and innovators of tomorrow through research and development and investments in science, technology, engineering and math focused education.