2010 Sustainability Report
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2010 Sustainability Report 1 From the Chairman of the Board 2 Dialogue with the President 4 Energy Outlook 6 About This Report About Us 8 Facts of 2010 12 Stakeholders 14 PetroChina Company Limited (PetroChina, also hereinafter referred to as the “Company” “we” and “us”) has published its annual Sustainable Energy Supplies Sustainability Report since 2006. This is to present our stakeholders and the public with a clear picture of our commitment and performance in pursuit of scientific, safe, clean, economical and harmonious development. We also hope the Company can win 1.Exploration and Development 17 wider support and regard from various social communities. 2. Refining and Chemicals 20 This report represents what we did to honour our commitments to the economy, environment and society in 2010. All information 3. International Cooperation 21 disclosed in the report was sourced from PetroChina’s official documents, statistics reports as well as from statistics gathered from 4. Oil and Gas Supply 22 the Company’s affiliated enterprises, and has been reviewed in accordance with the Company’s Rules for Information Disclosure 5. New Energies 25 Control and Disclosure Procedures. Given continuity and comparability, the report provides historical and future explanations on certain issues. The report is formulated according to the principles of accuracy, materiality, standardisation and transparency. We also referred to Safe and Clean Production and Operation the Guideline on Preparing the Report on Performance of Corporate Social Responsibility by the Shanghai Stock Exchange and continue to consult the Sustainability Reporting Guideline released by the Global Reporting Initiative in 2006 and the Oil and Gas Industry 1. Climate Change 27 Guidance on Voluntary Sustainability co-published by the International Petroleum Industry Environmental Conservation Association 2. Foundation Management 29 and the American Petroleum Institute. As a participant in the United Nations Global Compact (UNGC), we also introduce our 3. Energy Conservation and Emissions Reduction 30 progress in compliance with the Ten Principles and will submit the report to the website of UNGC (http://www.unglobalcompact. org). 4. Safe Production 33 The report includes a set of Forward-Looking Statements. Except historical facts, all events that may or will occur (including, but not limited to, premise, objectives, estimation and business plans) and descriptions of such events are categorised into the Forward- “People-Oriented” — Employee Development Looking Statements. Due to the presence of external uncertainties, actual outcomes or trends in the future may differ from those expected in the statement. The Forward-Looking Statements were made before December 31, 2010, for which PetroChina holds 1. Employee’s Rights 37 no responsibilities or liabilities for any modification thereof. 2. Training and Cultivation 39 We sincerely hope that this report will increase your awareness of the issues concerning sustainable development of the whole 3. Growth Path 40 society such as challenges in energy scarcity, climate change, environmental protection, poverty and underprivileged groups. 4. Occupational Health 40 These issues have direct impact on the sustainable development of PetroChina and the prosperity and progress of society and the economy as a whole. We welcome any comments and suggestions. Your feedback will encourage us to do better. This report is published, along with the Company’s Annual Report in March 2011 in simplified Chinese, traditional Chinese and English. The simplified Chinese version shall prevail in case of any discrepancy. Please visit our website (www.petrochina.com.cn) for more Giving Back to Society information or downloading the electronic version of this report. 1. Promoting the Development of Local Economies 43 2. Poverty Alleviation 44 3. Support for Education 46 The Board and all directors of the Company warrant that there are no misrepresentations or misleading statements in or material omissions from the report and will jointly and severally accept full responsibility for the truthfulness, accuracy and 4. Employee Voluntary Activities 47 completeness of this report. 5. Service for the World Expo 48 6. Contributions to Overseas Community 49 Objectives and Plans 50 Appendices 52 PetroChina and Global Compact 52 Performance Statistics 53 GRI and IPIECA/API Index 55 We support Glossary 61 Feedback Form 63 2 Energize . Harmonize . Realize 2010 Sustainability Report 3 From the Chairman of the Board “ We will accelerate the change of our growth pattern and strive to build PetroChina into a green, international and sustainable company. ” During the period of China’s 11th Five-year Plan1(2006-2010), we and gas supply shortages in certain areas and times, we strived seek growth to realise development of high quality and efficiency. the domestic market to coordinated utilisation of foreign and adhered to our policy of “Caring for energy, Caring for you”. We to mobilise all resources and to meet the market demand, which The relationships between present and long term, interest of the domestic markets and resources, with equal importance attached earnestly implemented the concept of scientific development, won high recognition from governments at all levels and social part and of the whole, size and speed and quality and profitability to increasing both domestic and global market share. From seized important opportunities for strategic development and communities. must also be balanced. We strive to coordinate the development upstream businesses to all the business modules to improve the implemented our resources, market and internationalisation of upstream, midstream and downstream, and of domestic and overall profitability, development quality and efficiency with the strategies. In addition, we proactively honored our economic, Currently, the global economy is still in a slow recovery from international business. We must establish reform and innovation aim to achieve sustainable development for PetroChina. environmental and social commitments. As a result, we the downturn while the challenges in energy security and as the powerhouse by improving the marketisation mechanism successfully resisted the impact of the global financial crisis and climate change worsen. PetroChina will proactively honour its and promoting management and technological innovation Faced with the uncertainties and unexpected risks that may a number of natural disasters, and translated these crises into responsibility and rise to these challenges to provide sustainable as well as increasing dynamism and competitiveness of the arise in future, we will respond with strategic global insight and opportunities, achieving new results and advances in all respects. energy supplies. During the 12th Five-year Plan2, PetroChina is still Company to realise intensive development. We must continue to enhance our sense of crisis, opportunity and responsibility so we Significant changes have taken place as evidenced by the at a crucial stage of developing itself into an international energy put people first by protecting the legitimate rights of employees, can seize development opportunities and overcome difficulties international energy company framework which has taken shape, company. We will focus on scientific development, accelerate the enhancing production safety, saving energy, reducing emissions, and challenges to build PetroChina into a green, international and enhanced value, competitiveness and our capability to sustain transformation of our development pattern, and ensure harmony coordinating corporate development with resource and sustainable company, and make new contributions to sustainable development. and stability. To this end, we will adhere to our business strategies, environmental protection, and balancing corporate growth with socio-economic development. in developing foreign and domestic markets and using foreign and employee growth. We will encourage and promote the Daqing In 2010, faced with a complex macro economic climate and domestic resources, with the main oil and gas businesses at the Spirit and Iron Man Spirit to build a consistent corporate culture frequent natural disasters, we analysed the situation, made top of the agenda. We will fully use our comparative advantages, with strong cohesion and great growth potential so that such scientific decisions, unified our understanding, fortified our push forward restructuring and optimisation, technology and spirits can become a spiritual pillar for the Company’s growth. confidence and jointly coped with the difficulties. As a result of management innovation, environmental protection and energy our efforts to coordinate production, transportation, sales and conservation, and put emphasis on securing and improving In the foreseeable future, we will scale up efforts to optimise inventory, and market expansion, the Company maintained stable livelihood, so as to enhance international competitiveness and structure and resource allocation, enhance technological production and operations and experienced rapid development. sustainability and achieve stable, fast and balanced growth. innovation to boost sustainable development, promote the In particular, we thrived on breaking new ground in international importance of talent in the company’s growth to provide oil and gas cooperation. We strategically started non-conventional Among these, what is most important is to accelerate the intellectual support to the Company’s development,