Hess supports U.S. climate change legislation that treats all affected parties equitably and cost effectively. Recent U.S. legislative action on energy efficiency and climate change mitigation have the potential to encourage innovation, enhance energy security, foster economic growth, improve the balance of trade and set an example for other countries.
We encourage the U.S. government to work with other countries to reach a global solution to climate change that encompasses developed and developing countries. We believe that establishing a global emissions market will facilitate emissions reductions in the most cost effective manner. Our experience in the European Union, its trading scheme and emissions reduction projects, provide guidance on how we manage greenhouse gas (GHG) reductions for our operations in other parts of the world.
Our company recognizes the financial implications, risks and opportunities that come with climate change. We continue to evaluate a full range of options to responsibly manage our greenhouse gas emissions. Due to the gradual phase-in of U.S. regulations and our geographic distribution of assets, we do not anticipate a significant financial impact from carbon regulations during the next five years.
During 2008 our company’s Climate Change Network (CCN), comprised of senior managers and specialists from across the company, reviewed the implications of various carbon price scenarios; examined technology based options for flaring and venting reduction, energy efficiency, and carbon capture and storage; and developed a strategy and goals for minimizing our carbon footprint. The Hess Leadership Team recently approved a seven point plan for addressing the company’s climate change challenges and opportunities.