SOCIETY

Key changes and results in the reporting year
LARGER SALES OF PRODUCTS WITH IMPROVED ENVIRONMENTAL CHARACTERISTICS
LUKOIL GAS STATIONS’ MOBILE APPLICATION INTEGRATED WITH CUSTOMER INTERACTION LOYALTY PROGRAM HAS BEEN SUCCESSFULLY IMPLEMENTED. THE NUMBER OF APPLICATION USERS EXCEEDED 4.2 MILLION PEOPLE BY THE END OF 2020 (YOY GROWTH OF MORE THAN 1.4 MILLION PEOPLE)
A SHARED SERVICES CENTER FOR MONITORING THE QUALITY AND QUANTITY OF PETROLEUM PRODUCTS AT ALL GAS STATIONS IN RUSSIA WAS OPENED, ALLOWING AN ANALYSIS OF THE OPERATIONS OF THE GAS STATION NETWORK DOWN TO EVERY FUEL TANK TRUCK, STORAGE TANK, AND OPERATOR
TOTAL EXTERNAL SOCIAL SUPPORT EXPENSES WERE RUB 8.4 BILLION
Contribution to implementation of SDG

Total COVID Relief support (external social support) amounted to about

RUB 1 billion
Plans for 2021 and the midterm

Development of an ecosystem for gas station customers as part of the partnership program service; continued digitalization.

Technology research for the further development of energy efficient hydraulic oils.

Continued implementation of social projects in the regions and countries of operation.

Context

The World Economic Forum (WEF) predictsSource: The Global Risks Report 2020. World Economic Forum, 2021. that a drop in household income is one of the most probable and significant long-term risks for local communities in the post-crisis period, particularly in less developed countries. This will be driven by a spike in unemployment during the pandemic, when not even those able to work will regain a stable income, should the economy begin to recover. The crisis has had a particularly detrimental global effect on the demographics most exposed to the adverse dynamics of the labor market, such as young workers. Therefore, supporting jobs for young people, small and family-owned businesses, and social entrepreneurs is critical to rebuilding communities.

Another equally pressing social issue is the long-term implications of the pandemic for public health, the effects of which remain as yet largely unknown. Such factors as COVID-19 side effects and delayed treatment will maintain pressure on local health care systems and affect the ability of the population to resume regular work schedules.

The crisis has also revealed gaps in the public education system, such as the lack of developed distance learning methods. This needs to be addressed by improving the infrastructure and the education of the teaching staff.

Productive and ongoing social dialogue and coordination among all parties involved will be crucial in developing effective countermeasures at the regional level. LUKOIL is ready to play an active role in effecting these changes.