The data collection perimeter for this section (unless otherwise stated):

PJSC Gazprom, the Company — the parent company of the Gazprom Group — Public Joint-Stock Company Gazprom — and its 100% subsidiaries and entities involved in exploration, production, transportation, underground storage, processing of hydrocarbons, as well as operation of the Unified Gas Supply System (UGSS):

Gazprom Dobycha Astrakhan LLC, Gazprom Dobycha Irkutsk LLC, Gazprom Dobycha Krasnodar LLC, Gazprom Dobycha Kuznetsk LLC, Gazprom Dobycha Nadym LLC, Gazprom Dobycha Noyabrsk LLC, Gazprom Dobycha Orenburg LLC, Gazprom Dobycha Shelf Yuzhno-Sakhalinsk LLC, Gazprom Dobycha Urengoy LLC, Gazprom Dobycha Yamburg LLC, Gazprom Energo LLC, Gazprom Flot LLC, Gazprom Gas-Engine Fuel LLC, Gazprom Geotekhnologii LLC, Gazprom Invest LLC, Gazprom Nedra LLC, Gazprom Novy Urengoy Gas Chemical Complex LLC, Gazprom Pererabotka LLC, Gazprom Sotsinvest LLC, Gazprom Transgaz Grozny LLC, Gazprom Transgaz Kazan LLC, Gazprom Transgaz Krasnodar LLC, Gazprom Transgaz Makhachkala LLC, Gazprom Transgaz Moscow LLC, Gazprom Transgaz Nizhny Novgorod LLC, Gazprom Transgaz Saint Petersburg LLC, Gazprom Transgaz Samara LLC, Gazprom Transgaz Saratov LLC, Gazprom Transgaz Stavropol LLC, Gazprom Transgaz Surgut LLC, Gazprom Transgaz Tchaikovsky LLC, Gazprom Transgaz Tomsk LLC, Gazprom Transgaz Ufa LLC, Gazprom Transgaz Ukhta LLC, Gazprom Transgaz Volgograd LLC, Gazprom Transgaz Yekaterinburg LLC, Gazprom Transgaz Yugorsk LLC, Gazprom Tsentrremont LLC, Gazprom UGS LLC, Gazpromavia Aviation Company LLC, Gazpromtrans LLC, OJSC Gazpromtrubinvest

Gazprom Neft Group and Gazprom Neft mean PJSC Gazprom Neft and its subsidiaries.

Gazprom Neftekhim Salavat means Gazprom Neftekhim Salavat LLC and its subsidiaries.

Gazprom Energoholding means Gazprom Energoholding LLC and its subsidiaries (PJSC Mosenergo, PJSC MOEK, PJSC OGK-2, PJSC TGС-1, PJSC Murmanskaya CHPP, JSC St. Petersburg Heating Grid, JSC Gazprom Teploenergo).

Gazprom Group, Gazprom or the Group mean PJSC Gazprom (with all the above subsidiaries and fully-owned entities) and the following companies:

Gazprom Neft Group, Gazprom Energoholding, Gazprom Neftekhim Salavat, Vostokgazprom Group, Gazprom Mezhregiongaz LLC, JSC Daltransgaz, Sakhalin Energy Investment Company Ltd. (Sakhalin Energy), OJSC Severneftegazprom, PJSC Gazprom Spetsgazavtotrans, CJSC Purgaz, as well as PJSC Gazprom’s foreign subsidiaries: OJSC Gazprom Transgaz Belarus, CJSC Gazprom Armenia, Gazprom Kyrgyzstan LLC, Gazprom EP International B.V.

The Group’s gas business companies include PJSC Gazprom (100% of its subsidiaries and entities involved in production, transportation, underground storage and refining of hydrocarbons, as well as operation of the UGSS): Gazprom Mezhregiongaz LLC, Vostokgazprom Group (JSC Gazprom Dobycha Tomsk), JSC Daltransgaz, Sakhalin Energy Investment Company Ltd., OJSC Severneftegazprom, CJSC Purgaz, PJSC Gazprom Spetsgazavtotrans.

The environmental impact, ecological and economic indicators are shown for Gazprom Group’s operations in Russia.

Gazprom Group’s key environmental indicators, 2017–2020
Indicator 2017 2018 2019 2020
Current environmental protection costs, RUB billion 34.47 39.15 32.18 34.44
Pollutant emissions, thousand tons 2,796.0 2,894.0 2,862.7 2,445.7
GHG emissions, mmt of СО2 equivalent 233.8 240.0 236.5 210.3
Waste generation, thousand tons 4,130.3 3,555.1 3,337.1 3,229.8
Wastewater discharge into surface water bodies, mcm 3,905.3 3,658.4 3,241.8 2,610.8
Area of remediated land, thousand hectares 19.6 15.8 17.7 15.8
Gazprom Group’s water discharges by destination, including by treatment method, 2017–2020, mcm
GRI 303-4
Indicator 2017 2018 2019 2020
Water discharge, total, incl.: 4,141.40 3,871.11 3,389.63 2,742.73
Water discharge to surface water bodies, total, incl.: 3,905.26 3,658.44 3,241.79 2,610.78
polluted (untreated) 60.02 56.56 67.80 60.16
polluted (insufficiently treated) 63.56 22.39 21.28 16.92
partially clean (untreated) 3,754.89 3,514.68 3,079.47 2,454.10
partially treated, total, incl.: 26.79 64.80 73.24 79.60
at biological purification plants 10.61 49.67 49.22 51.47
at physical and chemical purification plants 0.25 0.35 0.21 0.24
at mechanical purification plants 15.92 14.77 23.81 27.89
Water discharge on land, total, incl.: 1.18 0.97 1.10 0.94
polluted (untreated) 0.01 0.00 0.01 0.00
polluted (insufficiently treated) 0.26 0.19 0.19 0.04
partially clean (untreated) 0.03 0.01 0.01 0.01
partially treated, total, incl.: 0.88 0.78 0.88 0.89
at biological purification plants 0.35 0.37 0.46 0.49
at physical and chemical purification plants 0.00 0.01 0.01 0.02
at mechanical purification plants 0.52 0.40 0.41 0.38
Water discharge to subterranean layers, total, incl.: 45.28 44.69 45.67 43.37
for the formation pressure maintenance 38.69 36.66 37.92 36.47
Water discharge to irrigation sewage fields 5.15 5.96 6.63 6.23
Water discharge to absorption fields 0.58 0.52 0.47 0.46
Water discharge to holding basins, total 0.99 0.57 0.45 0.43
Water discharge to public utilities 144.15 134.02 82.92 68.95
Water discharge to other systems 38.81 25.94 10.60 11.57
Formation water produced by the Gazprom Group, 2017−2020, thousand tons
Indicator 2017 2018 2019 2020
Produced formation water 3,210.7 3,754.4 4,701.4 4,274.7
Waste handling at the Gazprom Group — flowchart
GRI 306-1
Gazprom Group’s production and consumption waste neutralization and disposal, 2017–2020, thousand tons
GRI 306-4GRI 306-5UNCTAD B.2.2
Indicator 2017 2018 2019 2020
Waste recycled at the facility 170.93 21.67 94.71 58.58
Waste neutralized at the facility 77.99 75.16 67.41 90.22
Waste handed over to other business entities for recycling 1,088.33 910.10 1,078.95 1,421.21
Waste handed over to other business entities for neutralization 250.97 338.78 231.90 247.52
Recycled and neutralized, total 1,588.22 1,345.71 1,472.97 1,817.53
Gazprom Group’s production and consumption waste directed to storage and otherwise treated, 2017–2020, thousand tons
Indicator 2017 2018 2019 2020
Waste disposed at operated (own) storage facilities 12,586.78 1,446.31 1,168.68 926,78
Waste disposed at operated (own) burial facilities 652.03 493.64 383.35 265.02
Waste handed over to other business entities for storage 5.94 11,019.34 1.38 2.39
Waste handed over to other business entities for burial 302.68 314.82 335.92 285.30
Gazprom Group’s drilling waste generation and handling trend, 2017–2020, thousand tons
Indicator 2017 2018 2019 2020
Drilling waste generated 947.60 748.00 887.85 1,106.22
Received from other business entities 0.00 9.14 61.83 6.81
Treated at the enterprise 0.00 0.00 0.00 0.00
Recycled at the enterprise 86.84 0.00 0.00 41.03
Neutralized at the enterprise 5.14 1.27 0.00 0.00
Handed over to third parties, total, including: 731.29 688.88 790.43 971.05
for treatment 0.00 0.33 0.00 0.00
for recycling 620.41 596.45 727.32 944.79
for neutralization 110.88 92.10 63.11 26.26
for storage 0.00 0.00 0.00 0.00
for burial 0.00 0.00 0.00 0.00
Disposed at own storage facilities 6.80 0.00 61.83 6.81
Disposed at own burial facilities 49.76 59.28 57.03 30.71

(1) Excluding the Group’s share in production of organizations where it has investments classified as joint operations.

APG resource and utilization across the Gazprom Group as of 2017
Indicator APG resources, mcm Flared, mcm
Utilization level, %
Gazprom Group 13,090.97 2,748.62 79.0
incl. PJSC Gazprom Neft 11,434.86 2,726.42 76.2
incl. PJSC Gazprom’s fields 1,656.11 22.27 98.5
APG resource and utilization across the Gazprom Group as of 2018
Indicator APG resources,mcm Flared, mcm
Utilization level, %
Gazprom Group 16,000.94 3,147.20 80.3
incl. PJSC Gazprom Neft 14,398.06 3,111.56 78.4
incl. PJSC Gazprom’s fields 1,602.88 35.64 97.7
APG resource and utilization across the Gazprom Group as of 2019
Indicator APG resources, mcm Flared, mcm
Utilization level, %
Gazprom Group 18,320.07 1,854.45 89.9
incl. PJSC Gazprom Neft 16,640.54 1,829.71 89.0
incl. PJSC Gazprom’s fields 1,679.53 24.74 98.5
APG resource and utilization across the Gazprom Group as of 2020
Indicator APG resources, mcm Flared, mcm
Utilization level, %
Gazprom Group 19,666.0 1,643.2 91.6
incl. PJSC Gazprom Neft 18,087.5 1,614.9 91.1
incl. PJSC Gazprom’s fields 1,578.5 28.3 98.2
GRI 302-4

Fuel and energy savings

The following standards were used to calculate the fuel and energy savings:

  1. STO Gazprom 3.3-2-044-2016 Standards and Targets of Resource Consumption, Equipment Usage and Inventory Development at PJSC Gazprom. Methodology of Setting Natural Gas Consumption Limits for Internal Process Needs and Technological Losses during Trunkline Gas Transportation;
  2. STO Gazprom 2-1.20-601-2011 Methodology of Estimating the Effect of Fuel and Energy Savings from Internal Process Needs of the Trunkline Gas Transportation;
  3. STO Gazprom 2-1.9-191-2008 Methodology of Estimating the Heat Consumption Limits for the Internal Process Needs of OJSC Gazprom’s Gas Transportation Businesses;
  4. STO Gazprom 2-3.5-113-2007 Methodology for Assessing Energy Efficiency of Gas Transportation Facilities and Systems;
  5. STO Gazprom 3.3-2-001-2006 Methodology of Setting Power Consumption Limits for Internal Process Needs of Gas Transportation;
  6. STO Gazprom 3.0-2006 Standards and Targets of Resource Consumption, Equipment Usage and Inventory Development at PJSC Gazprom. Main Provisions;
  7. STO Gazprom RD 1.19-126-2004 Methodology of Estimating Unit Gas Consumption Standards for Heat Generation and Calculation of Losses in Heating Systems (Boiler Stations and Heat Supply Networks);
  8. R Gazprom 2-1.20-819-2014 Methodology of Estimating the Amount of Fuel and Energy Savings from Implementation of Energy Saving Initiatives at the Subsidiaries;
  9. R Gazprom 2-1.20-742-2013 Methodology of Defining the Energy Saving Potential of Process Facilities.

Fuel and energy savings are shown for PJSC Gazprom’s subsidiaries:

  • Gazprom Dobycha Astrakhan LLC
  • Gazprom Dobycha Krasnodar LLC
  • Gazprom Dobycha Nadym LLC
  • Gazprom Dobycha Noyabrsk LLC
  • Gazprom Dobycha Orenburg LLC
  • Gazprom Dobycha Shelf Yuzhno-Sakhalinsk LLC
  • Gazprom Dobycha Urengoy LLC
  • Gazprom Dobycha Yamburg LLC
  • Gazprom Energo LLC
  • Gazprom Pererabotka LLC
  • Gazprom Transgaz Grozny LLC
  • Gazprom Transgaz Kazan LLC
  • Gazprom Transgaz Krasnodar LLC
  • Gazprom Transgaz Makhachkala LLC
  • Gazprom Transgaz Moscow LLC
  • Gazprom Transgaz Nizhny Novgorod LLC
  • Gazprom Transgaz Saint Petersburg LLC
  • Gazprom Transgaz Samara LLC
  • Gazprom Transgaz Saratov LLC
  • Gazprom Transgaz Stavropol LLC
  • Gazprom Transgaz Surgut LLC
  • Gazprom Transgaz Tchaikovsky LLC
  • Gazprom Transgaz Tomsk LLC
  • Gazprom Transgaz Ufa LLC
  • Gazprom Transgaz Ukhta LLC
  • Gazprom Transgaz Volgograd LLC
  • Gazprom Transgaz Yekaterinburg LLC
  • Gazprom Transgaz Yugorsk LLC
  • Gazprom UGS LLC
Power generation from renewable and secondary energy resources at the Gazprom Group, 2017–2020
Power generation, MWh Number of units, pcs
Generation type20172018201920202017201820192020
All types of renewable energy sources and secondary energy resources 13,723,908.4 12,844,199.3 11,703,054.8 13,281,763.4 2,077 2,272 2,358 2,689
incl. PJSC Gazprom 362.4 459.7 557.9 589.4 1,423 1,555 1,585 1,641
Turbo expanders 143.9 93.2 74.7 105.3 20 17 21 18
incl. PJSC Gazprom 143.9 93.2 74.7 105.3 20 17 21 18
Thermogenerators and electrochemical generators 2.7 6.4 257.4 258.1 719 726 820 830
incl. PJSC Gazprom 2.7 6.4 257.4 258.1 719 726 820 830
Solar and wind generators 324.9 483.1 354.1 1,441.9 1 220 1 411 1 399 1 725
incl. PJSC Gazprom 215.8 360.1 225.8 226.1 684 812 744 793
Hydroturbines 13,723,436.9 12,843,616.6 11,702,368.5 13,279,958.2 118 118 118 116
incl. Gazprom Energoholding 13,685,902.1 12,819,013.7 11,673,658.3 13,248,799.1 115 115 115 113
Gazprom Neftekhim Salavat 37,534.8 24,602.9 28,710.3 31,159.1 3 3 3 3
GRI 102-15GRI 201-2
Financial implications and other risks and opportunities due to climate change likely to have a material effect on Gazprom’s operations, revenues and expenses (based on the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD))
No. Risk/opportunity Type Exposure Mitigants
1. Risk 1: Carbon tax introduction Transitional Higher indirect (operating) costs as a result of Russia potentially introducing special taxes to ensure the achievement of national commitments to reduce GHG emissions. PJSC Gazprom maintains a dialogue with government authorities and stakeholders on the legislative regulation of GHG emissions in Russia in the context of the prospective carbon tax introduction. Consistent reduction of carbon footprint.
2. Risk 2: Emissions cap and trade Transitional Higher production costs and weaker competitive capacity as a result of Russia potentially introducing emission caps to ensure the achievement of national commitments to reduce GHG emissions, which will force Gazprom to reduce the same below economically viable levels and targets. PJSC Gazprom maintains a dialogue with government authorities and stakeholders on GHG emissions regulation in Russia. GHG reduction initiatives are underway.
3. Risk 3: Emerging laws and regulations for existing products/services Transitional Lower revenues due to weaker demand for products and services.
The Paris Agreement is giving rise to new regulatory requirements as countries seek to meet their stated GHG reduction contributions. The countries that rely on natural gas supplied by Gazprom may potentially impose requirements or implement measures to support renewable energy to meet their national commitments to reduce GHG emissions, which is likely to result in lower demand for gas.
PJSC Gazprom complies with customs regulations and closely watches regulatory changes as they emerge;
maintains a dialogue with government authorities, consumers, regulators and lawmakers to demonstrate advantages of natural gas as a more eco-friendly fuel compared to other fossil fuels.
4. Risk 4: Changes in the average temperature Physical Possible deviations from standard operating procedures and process flows due to rising average temperatures, which translates into seasonal production drawdowns; thawing of the most sensitive frozen soils; weather hazards rising in number and strength; shorter periods of winter roads operation. Changes in the depth of seasonal permafrost thawing pose a serious threat to Gazprom’s operations in the Arctic. The design process for each production facility involves gathering and analyzing information about physical and climatic conditions in the prospective area, including temperature ranges and mean monthly and yearly temperatures.
If climatic parameters change thereafter, PJSC Gazprom procures to adapt its production facilities to ensure their reliability and stability.
5. Risk 5: Extreme weather hazards, including cyclones and floods, rising in frequency and strength Physical Lower productivity/downtime.
Due to weather hazards, the regions where Gazprom operates an extensive infrastructure are potentially exposed to the risks of damage to buildings and structures, higher failure rates of pipeline transportation systems and deformation of water supply and sewerage systems, which translates into increased costs for construction and repair and maintenance works and lower revenues pro rata to the value of natural gas lost as a result of breakdowns.
PJSC Gazprom assesses climate change consequences for its operations and ongoing projects, including identification and ranking of Gazprom’s regions of operation exposed to climate change effects, predictive assessment as to the operation of equipment (reliability), technologies and process flows (predictability) used in changing climate environments. The Company relies on a set of measures to minimize the adverse climate change consequences. In particular, it uses extra-durable pipe products in the geologically challenging permafrost areas, regularly monitors and timely replaces its process equipment, constructs backup power supply plants at the gas production facilities located in the permafrost areas.
6. Risk 6: Changes in the bearing capacity of permafrost soils, emerging dangerous exogenous processes Physical Destruction of supporting infrastructure across Gazprom’s production and transportation systems driven by dangerous exogenous processes (water thermal erosion, thermokarst, cryoplanation, solifluction, frost heaving, etc.). PJSC Gazprom monitors permafrost rocks and emerging dangerous exogenous processes across its footprint. Adaptation efforts are in place to prevent dangerous exogenous processes and further permafrost thawing and to restore disturbed lands in view of ongoing climate changes.
7. Risk 7: Deterioration of the Company’s reputation (image) due to its failure to meet the stated GHG reduction targets Transitional Lower revenues due to weaker demand for products and services.
Weaker market capitalization and investment appeal.
Thanks to its heavy reliance on natural gas, the Gazprom Group boasts the lowest carbon footprint among global oil and gas majors. The Company has been consistently reducing GHG emissions across its operations and developing new low-carbon energy sources, including RES and hydrogen. The Company has a risk management framework in place. The Innovative Development Program of PJSC Gazprom until 2025 contains KPI 4: reduction in per unit GHG emissions in CO2 equivalent against the baseline 2014.
To this end, the Company implements its Energy Saving and Energy Efficiency Improvement Program, as well as comprehensive programs for reconstruction and re-equipment of its facilities.
Gazprom’s new energy-efficient projects (Nord Stream, TurkStream, etc.) also help reduce its carbon footprint.
8. Risk 8: Changing consumer behaviors Transitional Lower revenues due to weaker demand for products and services. The onrush of alternative energy sources threatens to shift consumer preferences in favor of renewable energy.
The carbon intensity becomes increasingly important as it affects competitiveness of products in the commodity and financial markets.
Dialogue with consumers, regulators and lawmakers to demonstrate advantages of natural gas as a more eco-friendly fuel compared to other fossil fuels and the best feedstock to produce hydrogen and supplement renewable energy sources, which ensures dependable energy supplies, especially during peak loads.
Consumer activity analysis is conducted annually.
Ongoing research into the carbon footprint throughout the life cycle of natural gas versus other energy resources.
9. Risk 9: Uncertain market environment Transitional Higher CAPEX as a result of the EU considering imposing prohibitive customs barriers and duties on products originating from the countries that defy GHG reduction efforts. PJSC Gazprom maintains a dialogue with its European partners to develop a common understanding and approach when assessing the efficiency of GHG reduction initiatives.
10. Opportunity 1: Development and/or expansion of low-emission products and services Products and services Higher revenues driven by demand for lower-emission products and services. Natural gas features the lowest carbon footprint compared to other hydrocarbons. As such, NGV fuel competes in eco-friendliness and price, which is almost 2 times lower than that of gasoline and diesel fuel. Transport migration to natural gas helps significantly reduce emissions both when it is used and along the entire production chain. Thus, the growth of Gazprom’s NGV fuel sales correlates directly with reduction of GHG emissions in the transport sector. The low-carbon energy production and distribution is a strategic focus area for PJSC Gazprom. Gazprom’s dedicated company, Gazprom Gazomotornoye Toplivo LLC, was established to foster the NGV fuel market. It coordinates the efforts of interested players of the domestic NGV fuel market, engages major businesses with large vehicle fleets, continues to cooperate on the use of natural gas as motor fuel in the CIS countries and beyond. PJSC Gazprom entered into agreements with 45 Russian regions with a view to promoting the use of natural gas as motor fuel. Government support measures include the removal of retail price caps on gas fuel and the program providing regional governments with annual subsidies to purchase NGVs and machinery for public utilities in major cities.
Gazprom Hydrogen LLC, a special-purpose company, is being established to facilitate the low-carbon production of hydrogen from natural gas.
11. Opportunity 2: Use of low-emission energy sources Energy resource Lower operating expenses (for example, by using the least expensive emission reduction techniques). Natural gas consumption for electricity generation might grow on the back of cuts in coal-fired generation (for example, Germany, Netherlands and Japan plan to decrease their coal-fired generation capacity^; China plans to decrease coal production and restrict the use of coal in electricity generation), and so might natural gas consumption as replacement of gasoline and diesel fuel. Large-scale gas infrastructure expansion programs in the regions and conversion of vehicles to natural gas. Dialogue with consumers, regulators and lawmakers, including at international events, to demonstrate advantages of natural gas as a more eco-friendly fuel compared to other fossil fuels. Consumer activity analysis (conducted annually).
12. Opportunity 3: Carbon market participation Markets Additional investments in low-emission technology.
Emission quota trading tools will push carbon prices upwards and stimulate replacement of coal as a fossil fuel with natural gas.
A subsidiary of Gazprom, Gazprom Marketing & Trading, undertakes to manage end-to-end activities, from customer acquisition and support to carbon unit trading. Gazprom Marketing & Trading will search for projects with the largest GHG reduction potential and set up a project team tasked with increasing the price of carbon units obtained and selling them in the carbon market.
13. Opportunity 4: Lower demand for fuel and energy resources due to changes in the average temperature Energy resource Lower operating expenses.
With the average temperature growing, the Company will need less heat and electricity (both generated in house and purchased from third parties) and, as a result, produce less GHG emissions.
Monitoring and analysis of global climate change forecast models.
14. Opportunity 5: Sustainable corporate reputation (image) and higher loyalty and trust from stakeholders Sustainability Higher shareholder value. Higher demand for existing products/services GHG reduction programs and initiatives and publications about GHG emissions in mass media improve stakeholder trust and loyalty and contribute to the alignment of activities of the Company’s entities in the regions where we operate
with stakeholder initiatives. Gazprom regularly monitors the media universe and publications and shares its expertise by way of bilateral cooperation, meetings, conferences and working groups.
15. Opportunity 6: Use of new technology and development of hydrogen energy projects Energy resource Production and use of hydrogen and methane mixtures significantly reduces GHG and other emissions of heat engines. Gazprom is developing a zero-carbon technology to produce hydrogen from natural gas and conducting research into using hydrogen and methane mixtures.
16. Opportunity 7: Efficient use of resources, more efficient production and distribution processes Efficient use of resources Lower operating expenses (for example, by improving efficiency and reducing costs).
Reduction of GHG emissions correlates directly with a decrease in natural gas (methane) losses and a technology-based reduction in natural gas consumption for internal needs.
Innovative technology used by Gazprom to reduce losses, including those associated with natural gas transportation:

  • High-strength large-diameter pipes with smooth internal coating to reduce hydraulic losses;
  • New generation of high-performance gas compressors;
  • New generation of electric-driven variable-speed gas compressor units;
  • New generation of air cooling units;
  • Hot tapping, a method of connecting gas pipelines without interrupting or emptying the pipeline in operation;
  • Aviation-grade pipeline testing systems.

Carbon footprint of the Russian natural gas tends to decrease due to annual upgrades and energy efficiency improvements in the gas transmission system.