ENVIRONMENTAL PROTECTION

Key changes and results in the reporting year
AIR POLLUTANT EMISSIONS ACROSS LUKOIL GROUP WERE REDUCED BY 8 PERCENT.
RUSSIAN LUKOIL ENTITIES CUT WATER CONSUMPTION FOR THEIR OWN NEEDS BY 8.1 PERCENT.
THE WASTE MANAGEMENT KPIS WERE ALL COMPLIED WITH IN RUSSIAN ENTITIES: THE VOLUME OF WASTE DISPOSAL MATCHED THAT OF WASTE GENERATION.
PRE-PRIVATIZATION DAMAGE AT THE VOLGOGRAD REFINERY WAS FULLY ELIMINATED.

Contribution to implementation of SDG

Environmental and satellite monitoring covers the shoreline within the licensed areas, the Varandey marine terminal territory, and offshore area.

Plans for 2021 and the midterm

Implementation of the Environmental Safety Program for 2021–2023.

Context

Tackling the ecological issues associated with human impact on the environment continues to requireSource: The Sustainable Development Goals Report, United Nations, 2020. considerable public attention, as the future of humanity depends directly on the sustainable use of limited territory and the remaining natural resources. By 2020, LUKOIL planned to fulfill eight objectives related to biodiversity conservation (SDG 15) and marine ecosystems (SDG 14)Target 14.5: By 2020, conserve at least 10% of coastal and marine areas, consistent with national and international law and based on the best available scientific information.. Thanks to a real team efforts by all SDG supporters, target 14.5 was metSource: ibid. According to the report, 17% or 24 million square kilometers of coastal marine areas (up to 200 nautical miles from shore) received protected area status at the national level in various countries.. We see more sustainable use of forests, while more land, freshwater, and mountain areas are now under protection. There has also been an increase in public environmental awareness, which is crucial for catalyzing change. Nonetheless, progress on most of the other objectives is still ratedSource: ibid. as moderate or weak.

The decisionSource: Biodiversity and Ecosystem Services: Horizon Scanning Report. IPIECA, UN Environmental Program, WCMC, 2021. to include ocean and coastal ecosystems in the scope of the UN Framework Convention on Climate Change as factors contributing to climate change adaptation and reducing human impacts on climate should be viewed positively. As a result, projects to conserve the ocean and coastal ecosystems qualify as activities under the Paris agreement, which serves to boost investment in this area.

Among the most pressing issues are the importanceSource: CDP report on behalf of 525 investors. Cleaning up their act, CDP Global Water Report, 2019. of increased efforts to conserve fresh water and significantly lower pollution levels, transitioning to integrated water resource management, and improving water supply qualitySource: IWRM Data Portal.. The World Resources Institute has revised its forecasts of water supply/demand shortages by 2030Source: Strong, C., Kuzma, S., Vionnet, S., and Reig., P. Achieving Abundance: Understanding the Cost of a Sustainable Water Future. World Resources Institute, 2020., and the World Bank has analyzed the economic, health, and environmental damage caused by contaminated waterSource: Damania, R., Desbureaux, S., Rodella, A., Russ, J., Zaveri, E. Quality Unknown: The Invisible Water Crisis. World Bank, 2019..

The environmental crisis we face can serve as an opportunity to take bold measures, such as incorporating the valuation of natural capital into financial decision-making and making more significant investments in preservation, so as to move from transforming nature to reformulating humanity’s relationship with natureSource: Making Peace with Nature: A scientific Blueprint to tackle the climate, biodiversity and pollution emergencies. UN Environmental Program, 2021..

LUKOIL contributes to SDG 14 (Life Below Water) by conducting constant monitoring of environmental impact of production sites on shoreline and offshore areas.