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Energy Transition Towards ‘Net Zero Carbon Emissions By 2050’


Baker Hughes releases ‘2019 Report on Corporate Responsibility’.

Dailycsr.com – 31 August 2020 – Today, Baker Hughes has published its “2019 Report on Corporate Responsibility” highlighting its performance for the year of 2019 under its initiative of “planet, people, and principles” while also talking about its contributions towards “energy transition to achieve net zero carbon emissions by 2050”.
Baker Hughes is an “energy technology” company which provides “low-carbon solutions” for the entire “energy spectrum” while the company aims to “take energy forward” by turning it “safer, cleaner, and more efficient” for people as well as the planet.
The report, further, gives a detailed information about the framework of ESG whereby underpinning the corporate strategy of the company in its journey towards “energy transition to a low- to zero-carbon future”. In the words of the Chairman as well as the chief executive officer of Baker Hughes, Lorenzo Simonelli:
“The collective action of people and industry, when directed with purpose, can enable change on a global scale. The dual challenge of greater energy access and climate change is one of the greatest issues facing our world. That’s why our purpose is clear, and our commitment is firm. We make energy safer, cleaner and more efficient for people and the planet. Our core principles together with our people and partners will help us get to a more sustainable energy future.”
While, the Vice-President of “energy transition” as well as the Chairperson of the ESG Steering Team for Baker Hughes, Allyson Book added:
“We see ESG factors as key levers to transform the performance of our company and our industry. Over the last year, we set performance indicators to better track the company’s progress year over year and enhanced the transparency of our reporting through more robust and comprehensive data collection.”
Here is the list advances made by Baker Hughes towards its “sustainability goals in 2019”, as mentioned by 3BL Alerts:
  • “Reported carbon emissions 31% below baseline on road to net-zero carbon emissions. Baker Hughes reported that through year-end 2019 its Scope 1 and 2 carbon equivalent emissions were 31% lower than its 2012 baseline. Emissions increased slightly year over year primarily due to an increase in operational activity and an expanded reporting boundary for Scope 1 emissions. However, most of the collective increases were abated through energy efficiency improvements and emissions reduction projects around the globe from facility upgrades to renewable energy projects to logistics improvements. The company remains on track to reduce its carbon equivalent emissions 50% by 2030 and to achieve net-zero carbon equivalent emissions by 2050 in line with the Paris Climate Agreement. The company also has initiated a project to quantify an expanded set of Scope 3 emissions that will include supplier, customer, and employee impacts going forward.
  • “Advanced technology to lead energy transition to a low- to zero-carbon energy future. Baker Hughes advanced its extensive portfolio of technology solutions to help energy and industrial customers reduce their emissions. This includes technology to reduce methane gas emissions from flaring, venting, fugitive emissions, and combustion; technology for carbon, capture, utilization, and storage, hydrogen power, and energy storage; as well as next generation technology to monitor the condition of wind turbines and other industrial equipment to ensure early detectability of the most critical drive-train failures.
  • “Fostered inclusion and diversity (I&D). Bakes Hughes believes innovative minds, engaged people, and diverse perspectives will be needed to meet the world’s pressing energy challenges. During 2019, the company took important steps to set new I&D performance targets. In addition, Baker Hughes significantly strengthened its I&D foundational programs, including expanding its Inclusion & Diversity Council, and formalizing eight new employee resource groups and three leadership accelerator programs to continue building an inclusive and diverse global workforce and company culture.
  • “Led in safety and health. Health, safety, and environmental (HSE) excellence is non-negotiable at Baker Hughes and an area where all its employees are empowered to lead. As a result, the company made significant improvements in its HSE performance and engagement during 2019, increasing its number of perfect HSE days to 161, reducing its total recordable incident rate by 12.5%, and conducting more than 1 million HSE observations and leadership engagements globally.
  • “Supported employee communities. Baker Hughes supports and contributes to the communities where its employees live and work through direct contributions and the Baker Hughes Foundation, its charitable nonprofit organization. Grants are awarded for environmental, educational, and health and safety programs globally to support sustainable communities and social progress. During 2019, the company and its foundation reported financial and in-kind contributions totaling $25.6M USD, and Baker Hughes employees donated 29,673 hours to support various programs in their communities.
  • “Responded to urgent needs during COVID-19 pandemic. While the Report focuses on the 2019 calendar year, a special update has been included on Baker Hughes’ 2020 response to help its employees, customers, and communities during these challenging times. Since the pandemic began, the company has donated more than 50,000 3D-printed protective face shields and medical items to facilities in need, as well as provided expanded resources for employees to support their mental and physical health and well-being”.