An in-depth analysis by the Australian Conservation Foundation has found that Woodside Energy Group, Australia’s largest oil and gas producer, does not have a robust net-zero commitment and is not on track to do its part to reduce emissions.
The analysis noted that Woodside’s goal of achieving net zero emissions doesn’t consider 92% of the company’s contribution to climate change by ignoring emissions from burning the oil and gas it produces.
Woodside’s reported 11% decrease in net scope 1 and 2 emissions, which include emissions from its offices, facilities, and vehicles, relies solely on purchased offsets. But overall emissions increased by 3% between 2016 and 2020.
The analysis found that in 2022, Woodside significantly raised its spending on exploring new oil and gas reserves, nearly increasing five times compared to 2021.
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Woodside adopts an approach to establish its interim emissions reduction objectives, employing an emissions accounting method (equity share) that considers only half of the emissions the company bears responsibility for, instead of the alternative approach, which accounts for total emissions from the sites directly managed by Woodside (operational control).
“Climate commitments that aren’t backed by robust strategy and action are greenwash,” said ACF’s corporate environmental performance analyst Audrey van Herwaarden in a release. “Net zero greenwashing poses a serious risk to humanity’s ability to tackle global warming, as it distracts from and delays concrete and credible action.
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“In 2022, more than half of Woodside’s emissions offsets were derived from an ecosystem restoration and conservation project. While nature restoration projects are important, they do not stop the damage to the climate from burning Woodside’s oil and gas.
“Woodside’s board of directors appears to be trying to hoodwink communities, governments and investors with an artificial net zero aspiration, while the company blatantly pursues activities that undermine it.”
