Environmental safety program

G4-EN31 CPI 2.12

At present, the fifth targeted medium-term Environmental Safety Program of the LUKOIL Group entities for 2014–2018 (hereinafter referred to as the “Program”) is being implemented, with a total funding of 128 billion rubles. Data for entities outside Russia are not included in this section.

The Program consists of several subprograms, i.e. Clean Air, Clean Water, Waste, Remediation, Emergency Prevention and Response, Research and Development, Production Environmental Control, and Environmental Initiatives. (For the definitions of the Program indicators see STO LUKOIL 1.6.10-2012 Health, Safety and Environment Management System.) Data Collection and Reporting Requirements.

The Program establishes the quantitative targets that the Company seeks to achieve through annually planned activities.

Results of the 2014–2016 Environmental Safety Program vs Targets in Russia
Indicator 2013 indicator Target value (TV) to be reached by 2018 (vs 2013) TV achieved at 2016 year end (over 2014 – 2016) Planned for 2017
APG utilization level 88% 95% 91.7% For more information see section Program "Clean Air: Atmospheric emissions" 93.9%
Reduction of atmospheric emissions of pollutants 735,500 thousand tons annually
by 130,000 tons
by 108,100 tons For more information see section Climate change and reduction of greenhouse gas emissions
by 125,000 tons
Additional treatment (prevention) of wastewater discharges 2.3 million cubic meters per year 6.8 million cubic meters (on an accrual basis over 2014–2018) 3.8 million cubic meters For more information see section Clean Water
Subprogram
5.1 million cubic meters
Water withdrawal for own needs 432.9 million cubic meters
by 7.6 million cubic meters
by 17 million cubic meters For more information see section Clean Water
Subprogram
Target achieved ahead of schedule
Disposal of generated oil-contaminated waste 300,000 tons (on an accrual basis over 2014–2018) 257,600 tons For more information see section Waste Subprogram 55,000 tons
Disposal of waste accumulated prior to privatization 576,000 tons – weight as of January 1, 2014 380,000 tons (on an accrual basis over 2014–2018) 232,200 tons For more information see section Waste Subprogram 50,000 tons
Restoration of disturbed and contaminated land 5,100 hectares (on an accrual basis over 2014–2018) 15,000 hectares For more information see section Waste Subprogram 3,600 hectares
Elimination of sludge pits 1,008 pits 531 pits For more information see section Waste Subprogram 150 pits
Overhaul and replacement of pipelines 1,100 km (annually) 4,000 km 3,300 km For more information see section Emergency prevention and response 1,300 km
Pipeline diagnostics 31,600 km 29,700 km For more information see section Emergency prevention and response 9,300 km
Inhibitor protection of pipelines 18,800 km 12,400 km For more information see section Emergency prevention and response 4,700 km
Note. Some targets are compared to those of 2013, before the Program was implemented. Some of the indicators are not compared with the data for 2013, as they are not indicative in terms of dynamics but depend, rather, on the number of licensed blocks in possession, drilling volumes, speed of work and other factors not related to managing aspects of sustainable development.
new water treatment facilities Major – VPU-700 on the premises of the Yareganeft Oil Mines Division and water treatment facilities at the Pyakyakhinskoye field.
Environmental costs in Russia, million RUB G4-EN31 CPI 2.12
Note. Includes the following cost types: removal and disposal of waste, clean-up of emissions and discharges, insurance, pollution clean-up, associated petroleum gas utilization projects, readiness for emergency response and minimization of the risk of such emergencies (sum of OPEX and CAPEX).
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