Climate

Thriving through the energy transition

Woodside today is an oil and gas company. We expect these products to remain important to the world’s energy system for decades to come as the energy transition progresses. We are developing new energy products and lower-carbon services in our portfolio.

Our climate change strategy

Woodside aims to build a low cost, lower-carbon, profitable, resilient and diversified portfolio.

Includes two key elements: reducing our net equity Scope 1 and 2 greenhouse gas emissions, and investing in the products and services that our customers need as they reduce their emissions.

energy-transition climate strategy

Targets

We have announced targets for near and medium-term emissions reduction below the gross annual average equity Scope 1 and 2 greenhouse gas emissions over 2016-2020, on the pathway to our aspiration of net zero by 2050 or sooner:

CR Executive Summary

Woodside's climate timeline

  • 2021 - H2OK commenced FEED

    Commenced front end engineering and design on the H2OK hydrogen project in Oklahoma.

    Dec 2021
  • 2021 - Scope 3 emissions plan

    Published a Scope 3 emissions plan. This included setting a target of US$5 billion investment in new energy products and lower-carbon services by 2030. [2]

    Dec 2021
  • 2021 - Secured land for hydrogen projects

    Secured land for the H2Perth and H2TAS hydrogen and ammonia projects in Australia.

    Nov 2021
  • 2021 - Heliogen

    Announced a collaboration with Heliogen for a 5 megawatt (MW) commercial-scale concentrated solar energy demonstration facility in California.

    Oct 2021
  • 2021 - Supporter of TCFD

    Signed as a supporter of the Task Force on Climate-related Financial Disclosures.

    Jan 2021
  • 2020 - Greenhouse gas emissions reduction targets

    Set new net equity Scope 1 and 2 greenhouse gas emissions reduction targets of 15% by 2025, 30% by 2030 and a net zero aspiration by 2050 or sooner. [1]

    Nov 2020
  • 2020 - Investment in new energy

    Announced increased investment in new energy and our carbon business.

    Sep 2020
  • 2020 - Industry association alignment on climate

    Published a review of industry association alignment on climate.

    Jun 2020
  • 2020 - Climate change risk management

    Published “Next Steps” for climate change risk management disclosures utilising the Task Force on Climate-related Financial Disclosures framework.

    Apr 2020
  • 2020 - Improvement in energy efficiency

    Surpassed initial 2016-2020 energy efficiency target, achieving an 8% improvement in energy efficiency against baseline. [3]

    Jan 2020
  • 2019 - New energy efficiency target

    Set a new 5% energy efficiency improvement target for 2021-2025. [4]

    Jan 2019
  • 2018 - Methane Guiding Principles

    Signed the Methane Guiding Principles.

    Apr 2018
  • 2018 - Carbon business

    Established a carbon business to develop and acquire large scale offsets.

    Jan 2018
  • 2017 - Zero Routine Flaring by 2030

    Signed the World Bank's Zero Routine Flaring by 2030 Initiative, the first Australian company to do so.

    Jan 2017
  • 2016 - Energy efficiency target

    Announced an initial energy efficiency target of 5% over 5 years (2016-2020). [3]

    Jan 2016

1 Target is for net equity Scope 1 and 2 greenhouse gas emissions, relative to a starting base of the gross annual average equity Scope 1 and 2 greenhouse gas emissions over 2016-2020 and may be adjusted (up or down) for potential equity changes in producing or sanctioned assets with an FID prior to 2021. Post-completion of the Woodside and BHP petroleum merger (which remains subject to conditions including regulatory approvals), the starting base will be adjusted for the then combined Woodside and BHP petroleum portfolio.

Investment target assumes completion of the proposed merger with BHP’s petroleum business. Individual investment decisions are subject to Woodside’s investment hurdles. Not guidance.

3 Efficiency improvement target performance (%) was measured relative to product energy efficiency prior to 2016.

4 Superseded in 2020 by net equity Scope 1 and 2 greenhouse gas emissions targets.

Climate Report 

We have released our Climate Report 2021, which summarises our climate-related plans, activities, progress and climate-related data. 

CR-Cover 2021
10 %
reduction in our net equity Scope 1 and 2 greenhouse gas emissions, compared to 2016-2020 gross annual average [1]
$US5 billion
targeted investment in new energy projects and lower carbon services by 2030 [2]
4
potential new energy projects announced in 2021

The uncertainty of how the energy transition will unfold means that we need diversity in our portfolio and the ability to adapt our product mix to meet changing demand.

Meg O'Neill, Chief Executive Officer

Task Force on Climate-Related Financial Disclosures (TCFD)

For more information on our approach to climate change governance, strategy, risk management and targets, refer to our 2021 Climate Report.

2021 Climate Report

1  Target is for net equity Scope 1 and 2 greenhouse gas emissions, relative to a starting base of the gross annual average equity Scope 1 and 2 greenhouse gas emissions over 2016-2020 and may be adjusted (up or down) for potential equity changes in producing or sanctioned assets with an FID prior to 2021. Post-completion of the Woodside and BHP petroleum merger (which remains subject to conditions including regulatory approvals), the starting base will be adjusted for the then combined Woodside and BHP petroleum portfolio.

2  Investment target assumes completion of the proposed merger with BHP’s petroleum business. Individual investment decisions are subject to Woodside’s investment hurdles. Not guidance.

3  Efficiency improvement target performance (%) was measured relative to product energy efficiency prior to 2016.

4  Superseded in 2020 by net equity Scope 1 and 2 greenhouse gas emissions targets.