SD Framework and Strategy
Sustainable Development Journey
PTTEP set sight to become a sustainable organization since its inception in 1985. The journey started with a goal to be a "green organization" to which environment stewardship and management was a priority. The sustainable development concept that involves Environmental, Social and Governance elements was subsequently applied and in 2011, PTTEP participated in the United Nations Global Compact (UNGC), demonstrating our commitment to uphold the UNGC 10 principles that highlight 4 main aspects - human rights, labor, environment and anti-corruption. Later in 2015, PTTEP, adhering to all advanced criteria, was named at Advanced Participant level of the UNGC.
Moreover, PTTEP has adopted several international sustainability assessment criteria, like Dow Jones Sustainability Indices (DJSI), in formulating the organization's sustainable development framework. PTTEP has been a member of DJSI World Oil and Gas Upstream & Integrated Industry for 7 consecutive years since 2014 and was named the Industry Leader in this category in 2016 and 2019.
In 2019, PTTEP formulated Sustainable Development framework and strategy, and set clear long-term targets (2030). Under the inside-out approach, PTTEP strived for impressive performance on strong business foundation, to deliver sustainable values to society (From We to World).
In 2020, the Board of Directors made an important step in pushing the organization's sustainable development for concrete implementation. It approved sustainability strategy with long-term targets and SD Statement, to ensure common understanding among employees and other stakeholders. The Corporate Governance Committee's scope of responsibilities was extended to cover the formulation, supervision and promoting of overall sustainable development policy and activities which are closely monitored on a quarterly basis. The Committee was renamed to Corporate Governance and Sustainable Development Committee, following the shareholders' resolution at the 2020 annual meeting.
Sustainable Development Framework and Strategy
Sustainable Development Framework
With PTTEP's strong belief that the "Right Balance" of business, social and environment aspects will contribute to business sustainability, the "Sustainable Development Framework" was formulated. The framework plays a vital role in assuring business continuity to support national energy security while safeguarding society and environment. PTTEP strives to build sustainability from within through its operational excellence on a strong business foundation while being committed to delivering long-term values to all stakeholders as the Company believes that this will ultimately bring sustainability to society (From We to World) and enable PTTEP to achieve its vision of "Energy Partner of Choice". The Sustainable Development Framework emphasizes High Performance Organization (HPO) or "Be Smart", Governance, Risk Management and Compliance (GRC) or "Be Good", and Stakeholder Value Creation (SVC) or "Be Responsible". The framework and sustainability-related material issues correspond with the United Nations Sustainable Development Goals (UN SDGs): 7, 8, 12, 13, 14 and 16.
Sustainable Development Framework's key components are as follows:
- High Performance Organization (HPO) or "Be Smart"
Emphasizing excellence in all business elements as required by international standards, for greater competitiveness and capability to adjust to future changes.
- Governance, Risk Management and Compliance (GRC) or "Be Good"
Emphasizing transparent and efficient operations for the organization's stability and sustainability, through governance, appropriate risk management and internal control, as well as strict compliance with relevant laws and regulations.
- Stakeholder Value Creation (SVC) or "Be Responsible"
Emphasizing long-term value creation for all stakeholder groups, through responsibility for natural resource conservation, environmental rehabilitation as well as community and social development.
Sustainable Development Strategy
Guided by the Sustainable Development Framework, PTTEP sets "Execute and Expand towards Energy Transition" as its strategic direction. The sustainable development strategies are developed based on its material issues aiming to address future challenges and continuously create shared values to stakeholders. The Company's sustainable development strategies and long-term targets (2030) are as follows:
Aside from sustainable development strategies and long-term targets, PTTEP aims to operate its business in all areas as guided by the Sustainable Development Framework and in alignment with the Company’s strategic directions to ensure sustainability in all dimensions to win acceptance and confidence from stakeholders which will in turn allow PTTEP to achieve its vision of “Energy Partner of Choice”.