Category: Real Assets
As North America prepares for the energy transition, investors must confront this growing risk in the oil and gas sector As North America prepares for the energy transition, investors must confront this growing risk in the oil and gas s… As North America prepares for the energy transition, investors must confront this growing risk in the oil and gas sector
May 13th, 2021
Today, 147 investors joined forces to call for stronger methane regulations and enforcement. Organised by the Interfaith Centre on Corporate Responsibility, the likes of Legal & General Investment Management, Allianz, CalSTRS and Wespath endorsed a statement warning that "inaction will leave investors and oil and gas companies vulnerable to climate and reputational risks".
Here, Oxfam's Sharmeen Contractor lays out those risks, and explains why investors are right to take them seriously.
As oil and gas (O&G) companies recover from a tumultuous 12 months, scrutiny is mounting around risk, due diligence and viability in the sector, and its methane emissions problem has moved front and centre. The sector emits the largest percentage of methane emissions in North America - a figure likely to be even higher due to accidental leaking, venting and flaring across O&G operations, and irregular direct measurements. Growing attention on emissions…