Ukrnafta implementing ESG principles in business processes

MOSCOW. Nov 15 (Interfax) - The Ukrainian key oil producer Ukrnafta has initiated the development and comprehensive implementation of the environmental, social, and governance (ESG) principles in its business processes with support from the U.S. Agency for International Development (USAID) through its Energy Security Project, Ukrainian media reported citing Ukrnafta CEO Sergei Koretsky's post on his social network on Friday.

"We plan to calculate greenhouse emissions, determine ways to reduce the company's influence on the environment, and start preparing systemic sustainable development reports in line with international standards," Koretsky said.

The next step should be the development of a green transition strategy and de-carbonization projects, he said.

"Energy transformation is a natural way for Ukrnafta. A course toward de-carbonization is a necessity and a response to modern market and society requirements in keeping with Ukraine's European integration course," Koretsky said.

Ukrnafta is Ukraine's largest oil producer and operator of the national chain of filling stations. The company started to operate the Glusco network in March 2024 and now operates 545 filling stations in total, including 460 under its own brand and 85 under management.

Ukrnafta's biggest shareholder is Naftogaz with 50% plus one share. The Headquarters of the Ukrainian Supreme Commander-in-Chief ruled in November 2022 to expropriate Ukrnafta shares owned by private shareholders, and that stake is now controlled by the Defense Ministry.