Sergei Shatalov
Chairman of the Strategy, Investment, Sustainability and Climate Adaptation Committee Sergei Shatalov

The spectrum of matters that fall under the responsibility of our Committee rose significantly in the reporting year. This change was reflected in the Committee’s new name and expanded functionality. In 2020 it was renamed the Strategy, Investment, Sustainability, and Climate Adaptation Committee, demonstrating the importance the Company’s management places on climate change. The Committee’s new responsibility includes elaborating recommendations to the Board of Directors on strategic climate adaptation goals and setting out a roadmap for achieving them, while taking into account both the risks and opportunities associated with global decarbonization.

The focus of the Committee in 2020, as instructed by the Board of Directors, was to improve the accounting system for greenhouse gas emissions. This involved completing several projects that facilitated setting the next corporate goals aimed at reducing greenhouse gas emissions. (For more information, see the Climate Change section of the Report.)

We consider the work we have accomplished in the past year to be a milestone in the development of the Company’s climate agenda and a validation of the effectiveness of the consistent approach we have pursued in our activities. Our efforts have yielded positive results: both on the ground and as reflected in the improvement of the Company’s positions in the CDP and other sustainability ratings.

Adaptation to climate change is not the only topic covered by the Committee. Last year, we addressed issues related to occupational health and safety and the work of the Sustainability Task Force.

I would also like to acknowledge the Company’s substantial contribution to the joint efforts to fight the COVID19 coronavirus at LUKOIL entities, in the regions where we operate and at Company locations abroad.

In the coming year we plan to continue to develop our climate adaptation strategy and to implement it throughout the Company. We will also continue to enhance the quality of our corporate sustainability management.