Our 2021 sustainability report

Sustainability

In our inaugural Sustainability Report, we present our approach to: integrating sustainability within our corporate strategy and operations; the material sustainability issues that impact our business; and our ambition, initiatives and performance, with a particular focus on our 2021 performance and highlights.

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A unique position with unique responsibilities

Reducing emissions from energy production and use, while at the same time satisfying the world’s growing energy requirements, is the biggest dual challenge facing our industry.

His Excellency Yasir O. Al-Rumayyan, Chairman of the Board of Directors

Opportunity rests on our ability to operate sustainably

As one of the world’s leading integrated energy and chemicals companies, our scale is truly unique, as is our capacity to make a difference to the world.

Amin H. Nasser, President & CEO

    Climate change and the energy transition Safe operations and people development Minimizing environmental impact Growing societal value

We provide reliable energy to the world while maintaining leadership as one of the lowest cost and lowest carbon intensity producers of hydrocarbons, supporting the Kingdom's and our customers' transition to a lower carbon future.

  • Ambition to achieve net-zero Scope 1 and Scope 2 greenhouse gas emissions by 2050 from wholly-owned operated assets
  • Zero routine flaring program
  • Flaring intensity in 2021: 5.51 scf/boe
  • Upstream methane intensity in 2021: 0.05%
  • Aiming for near zero methane emissions by 2030
  • Leveraging technology to significantly lower emissions
  • 12 GW of renewable energy by 2030

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Safety is a core value of Aramco and an integral part of Aramco's culture. We are committed to providing a safe and respectful working environment for all with the appropriate safety procedures, policies and resources in place on-site and within the community. And we are committed to supporting and empowering our workforce.

  • Proactive approach to incident prevention
  • Females were 31% of all our direct hires
  • 24% increase (versus 2020) in female employees in leadership positions
  • More employees living with disabilities were hired in 2021 than the past three years combined
  • Continuous and effective COVID-19 support with vaccinations made available to all employees

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We strive to conserve natural resources and minimize the impact of our business activities. We aspire to not only limit our environmental footprint, but to have a legacy of projects that improve both natural habitats and shared resources.

  • Incorporating circular economy principles 
  • Ambition to deliver net positive biodiversity impact 
  • Investments in tail gas treatment facilities
  • Implementing a sustainable plastic waste management model
  • Comprehensive water conservation
  • Using alternative sources of water such as seawater and treated sewage effluent to support our operations

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We invest in the Kingdom's domestic oil and gas ecosystem to enhance the reliability of our supply chain and optimize operational costs and inventories, providing employment and economic opportunities to thousands of Saudi nationals.

  • Long-standing commitment to create employment opportunities for Saudi Arabian nationals
  • Stimulated billions of dollars in national economic activity
  • Established National Champions organization
  • Iktva localization program has attracted more than 540 investments to Saudi Arabia
  • Social investment of over USD 360 million in a range of community initiatives in 2021

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Sustainability governance

Our sustainability framework

Our sustainability framework is helping us plan for the future and navigate the route ahead. It has been created in the context of where we are as a business today and the global concerns we intend to address. It sets out the focus areas that hold the greatest potential for long-term positive impact.

Our position of strength and our approach for making this contribution are laid out in our sustainability framework and aligns with the Kingdom's own aspirations encapsulated in the Saudi Green Initiative and its Vision 2030.

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Sustainability governance

We have implemented a governance model for sustainability that strives to align sustainability aspirations with our corporate business strategy and goals. This involves the Board of Saudi Aramco and its Committees, our Management Committee, and the teams and individuals who work across our operations.

Overall accountability for sustainability within Aramco lies with the Chief Executive Officer and the Management Committee. They are supported by the Sustainability, Risk, Health, Safety and Environment Committee (SR&HSE) and the Sustainability Steering Committee (SSC).

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Mapping our material ESG issues

From our benchmarking, research, and internal engagement, we identified and evaluated over 150 topics across the areas of Environment, Social, and Governance. The outcomes of these assessments were tested with external and internal stakeholders, in over 25 separate engagements. The goal was to evaluate the relative importance of multiple topics to our key stakeholders — as well as their respective impacts on our business and stakeholders. From this, 13 material issues were highlighted, and were allocated under four focus areas:

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Our basis of preparation and independent assurance statements