Russian Biggest Oil and Gas Companies Rapidly Become 'Greener'

Yesterday Russian WWF, in partnership with CREON's Analytical Group and National Rating Agency presented the results of the 2015 annual rating of Russian oil and gas companies (using the data for 2014). There were 19 companies in the 2014 (data for 2013) rating (see Kommersant dated December 10, 2014), now there are 21 of them.

Performance of the companies is evaluated on three main criteria: the quality of environmental management, the impact on the environment, and information disclosure (transparency). These parameters were divided into 29 criteria, on the basis of which was calculated the average arithmetic score (from 0.1 to 2).

The most notable improvements among enterprises show Exxon NL (+7 points over the year), Total RRR (+6 points), LUKOIL (+4 points), and Zarubezhneft (+4 points). 'The positions of listed companies strengthened due to the publication of additional information on environmental management and environmental impact. Exxon NL and Total RRR openly published the relevant information for the first time ever,' explain the study's authors. However, the three leaders have not changed over the year. Gazprom and Sakhalin Energy swapped second and third places on the background of significant improvements of Gazprom in terms of environmental impact. Outsiders, same as in 2014, are small companies (see the chart).

The study's authors note an increase in the openness of companies (14 out of 21 participants have 'adequate' level of transparency) and improved quality of corporate reporting (in 2014 six companies instead of one in 2013 published their reports in accordance with GRI 4 requirements).

Progress in quantitative environmental criteria the study's authors were able to find in most of comparable indicators, except for specific pipeline ruptures, which actually doubled – from 25.14 times per thousand km to 41.46 times per thousand km. However, quantitative changes may be associated not with the real progress or regression in environmental management, but with the expansion of the list of enterprises, for which the average scores were calculated.

Kommersant, 10/12/2015