In 2020, CPChem produced a report detailing our climate risk management practices, leveraging the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD). We continue to embed climate risk and opportunity management into our business practices.
Recent changes to our governance now provide more clarity into oversight and management of climate risks and opportunities. Reporting to our Executive Steering Team, CPChem’s Climate Guidance Review Team will work to implement the company’s vision on climate matters, assess and design technological solutions for CPChem’s approach to climate-related issues, and provide recommendations for optimizing operations to further support the company’s sustainable growth.
We will leverage scenario analysis to test our portfolio, assess our strategy, and evaluate potential impacts of physical and transitional climate risks under various potential futures. We are also assessing how to best leverage internal carbon pricing to drive business decisions that support emissions reductions.
Building on 2020 planning exercises, we will leverage a robust Enterprise Risk Management System to identify many climate-related risks. Results of scenario analyses will be leveraged to inform and improve our existing processes.
We currently track and disclose Scope 1 and 2 emissions, energy usage and efficiency, and freshwater intake and discharge data. We are actively working to establish informed targets to reduce our greenhouse gas emissions, emissions intensity and resource consumption.
Metrics and Targets
We are building momentum and developing innovative solutions to mitigate climate change.