Company News Apr 9, 2021 2:53 PM
Ecopetrol (NYSE: EC) announced a plan to achieve net zero carbon emissions by 2050, in line with the commitment to mitigate climate change.
The company seeks to reduce 25% of its CO2 emissions by 2030. This reduction would represent between five and six million tons less CO2 emissions in this decade, which is equivalent to foresting approximately an area of 500,000 hectares.
The NOC seeks to reduce 50% of its total emissions by 2050.
These goals will be measured in terms of absolute reductions and will be reviewed periodically based on the progress, maturity and competitiveness of emerging technologies, and the evolution of the company’s business plan.
“These new goals demonstrate the Ecopetrol Group’s commitment to face the world’s great environmental challenges and develop an orderly and ambitious energy transition,” CEO Felipe Bayón said.
Bayón said that the goal is to consolidate ECP as a comprehensive energy company, being at the forefront in the fight against climate change.
“This ambition is based on sustainability, a concept that we adopt at Ecopetrol and that places technology at the heart of the strategy to achieve sustainable management in the environmental, social and governance dimensions,” Bayón highlighted.
The plan includes the permanent quantification of greenhouse gas impacts, implementation of an emissions reduction portfolio, definition of the roadmap to achieve the goal of net zero emissions, and the design and development of a compensation portfolio through natural climate solutions.
In addition, ECP plans to develop hydrogen, carbon capture and use and energy storage initiatives through batteries.
Bottom-Line: Ecopetrol demonstrates it is playing a different game by joining other members of the Colombian government and the electrical energy industry in committing to carbon neutrality.