CSR Report 2019 4 We All Have Shared Responsibility to Care for Our Planet
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Energy that advances Corporate Social Responsibility 2019 Report A message from our CEO Last year, we released our first-ever Corporate Social We know our next steps Responsibility report, entering the space quietly, knowing We’ll continue upgrading our aging infrastructure and we were new to the scene. setting bold methane reduction goals. And, by midcentury, we’re committed to being a carbon neutral company. And the response, was entirely unexpected. We’ll also continue to explore innovative ways to protect our environment while serving our customers better • We were recognized by Newsweek magazine and than ever before. That’s our promise, and we always included on “The Good List” as one of the most keep our promises. responsible companies in the United States, recognizing 300 companies that span 14 industries We know when to take action When you’re committed to doing the right thing for • The St. Louis Business Journal selected us as a finalist the world around you, it shows up in everything you do. for their second annual Corporate Philanthropy Awards So when the coronavirus reached the communities • We were recognized by the Women’s Forum of New York where we live and work, we took quick action: for having a diverse Board of Directors with 30 percent • Adjusting the services we provide, performing only female representation essential work to limit exposing employees and others And while each accolade was greatly appreciated, it was also to the virus deeply humbling. Because our goal is to do even more with • Encouraging all employees who could work from home to our energy—to continue innovating, doing what’s right and do so, even before state-mandated shelter-in-place orders pushing the boundaries of what’s possible. were issued So this year, we’re entering the space with more confidence, • Distributing materials by the Centers for Disease Control sharing not only what we’ve done, but what we believe and to all employees and following their guidelines carefully how those beliefs influence every decision we make. in the field We know natural gas plays an important • Suspending all late fees, disconnections and part in a sustainable energy future disconnection notices as our communities felt the Natural gas is the cleanest fossil fuel available. It’s so efficient impact of social distancing and income interruption that switching from coal to natural gas for the production of electricity reduces greenhouse gas emissions by an average • Working with state legislators to support additional of 53 percent, and it’s only getting more efficient. Low Income Home Energy Assistance Program (LIHEAP) funding We know it’s up to us to lead the conversation There’s an active movement that’s promoting the • Providing $500,000 in matching gifts when forced electrification of cities throughout the country. customers signed up for DollarHelp or increased And our industry needs a voice. So, we partnered their monthly pledges with a renowned marketing research firm to develop research-based messaging. Backed by rich data, In short, we know who we are—whether we’re delivering we plan to lead the conversation this year and beyond natural gas or helping our communities at a critical time. on the important role natural gas plays in the future More importantly, we know what we believe. And, that’s of our country—and our planet. why we’ll continue using our energy to champion people, every day. We know we’re doing the right thing Through our steadfast pipeline upgrade efforts, Because in the end, we believe our energy exists for good. we’ve reduced methane emissions by more than 39 percent since 2005, and we project a nearly 54 percent reduction by 2025, putting us well ahead of international standards that call for commitments of a 26 to 28 percent reduction Suzanne Sitherwood in greenhouse gas emissions nationwide by 2025. President and Chief Executive Officer Spire Inc. 2 Table of contents 4 | Our environment Caring for our environment ................................................................................................................. 6 Working responsibly ..............................................................................................................................7 8 | Our community Serving our communities ...................................................................................................................10 Growing our economies ...................................................................................................................... 11 Building tomorrow’s workforce .......................................................................................................... 11 12 | Our people Inspiring future leaders .......................................................................................................................14 Keeping employees safe ......................................................................................................................14 Increasing employee engagement ..................................................................................................... 15 16 | Our leadership Leading our company .........................................................................................................................18 20 | Global Reporting Initiative (GRI) index General disclosures ............................................................................................................................. 21 Economic indicators .......................................................................................................................... 26 Environmental indicators ...................................................................................................................27 Social indicators ................................................................................................................................. 29 33 | Appendix Membership and charters .................................................................................................................. 34 American Gas Association (AGA) voluntary reporting tool ..............................................................35 Pipeline and Hazardous Materials Safety Administration (PHMSA) reporting ............................40 Additional Spire reporting ................................................................................................................. 44 Our company ...................................................................................................................................... 48 3 Our environment Steve R. (L) Chief Financial Officer Tim K. (R) Controller Spire CSR Report 2019 4 We all have shared responsibility to care for our planet. As an energy company, we honor that responsibility, operating with environmental safety and sustainability in mind. That’s why we believe: • Sustainability begins with our people driving • Climate change is a recognized phenomenon positive, strong energy solutions to improve driven by both natural and human factors, customers’ lives and address challenges in and that prudent, deliberate strategies to each community we serve mitigate adverse environmental impacts is in the interest of all our stakeholders • Appropriate and proper sustainable practices ensure that we help protect the planet while • A strategic and focused business approach preserving long-term value for our employees, across our company is necessary to care for the customers, communities and shareholders environment and sustain our growth and future And why we’re committed to: • Continuing to reduce methane emissions from • Supporting sound public policy that our operations, in alignment with international advances technology and innovation related goals for controlling climate change, targeting a to minimizing carbon dioxide emissions 53 percent reduction from 2005 levels by 2025 • Striving to be a carbon neutral company • Maintaining and enhancing our commitment by midcentury to the U.S. EPA’s Natural Gas STAR Methane Reduction Challenge • Regular and ongoing engagement with stakeholders to understand their priorities and point of view Spire CSR Report 2019 5 Our environment Caring for our environment Reducing methane emissions Minimizing risk We’re diligently upgrading our infrastructure, resulting in We do what we can to avoid natural gas being released a significant reduction in methane emissions. In addition, while repairing and replacing pipes. When feasible, our aggressive leak repair strategy and deployment of we divert the gas into a low-pressure system so that it comprehensive damage prevention programs have added remains in our system for customer use. And in 2020, to our performance in helping to care for the environment. we’ll begin using another technique known as flaring, Since 2005, we’ve reduced our overall methane emissions by where excess gas is burned instead of being released 39 percent and are targeting a 53 percent reduction by 2025. into the atmosphere. Spire methane reduction Miles of distribution pipeline mains remaining Vintage Metric tons/year Bare steel* Cast iron* plastic Total 22,532 Alabama 518 483 274 1,275 19,166 18,596 17,936 17,186 16,715 Mississippi 442 – – 442 15,953 15,485 14,505 13,567 Missouri 1,652 630 – 2,282 10,493 Total 2,612 1,113 274 3,999 *Completion expected in 8-10 years 2005 2011 2012 2013 2014 2015 2016 2017 2018 2019 2025 Decreasing leaks *2025 value represents a projection based on current efforts Last year, we saw a 21 percent leak reduction per 1,000 system