American natural gas and electric power distribution company, UGI Corporation, has been awarded ‘AAA’ ESG rating by the leading global ESG rating agency MSCI in its 2022 environmental, social and governance (ESG) rating assessment. According to the rating company MSCI, UGI Corporation was in the top 7% of all peer companies that were assessed globally in 2022 on their ESG actions. The impressive rating shows UGI’s strong governance procedures, continual commitment to the well-being of its staff and the clients they serve, and emission-controlling environmental measures. The company is an international distributor and marketer of energy products and services, including natural gas, LPG, electricity and renewable solutions, with well-developed infrastructure in key markets.  

Regarding ESG, another American multinational energy corporation, Chevron Corporation, has planned to deliver high returns and lower carbon intensity of its operations. For this, the company is maintaining guidance for annual organic capital and exploratory expenditures of USD 15 billion to USD 17 billion through 2026 along with reaching the target to reduce 2026 operating expenses per barrel by more than 10% from 2021 levels. The company is also expanding its energy business by opting for renewable fuels along with aiming for net zero by 2050. Canadian multinational pipeline and energy company Enbridge Inc has put forward its own ESG goals that it aims to achieve. Some of them include reducing Greenhouse gas emissions (GHG) intensity by 35% by 2030 and including an increased representation of diverse groups within its workforce by 2025 along with aiming to achieve a common global goal of reaching net zero emissions by 2050. 

Similarly, TC Energy is also committing towards its ESG goals. The company has joined the UN Global Compact which is the world’s largest corporate sustainability initiative that is aligning companies’ actions with universal principles on human rights, labour, the environment and anti-corruption. Through its corporate scorecard, the company further incorporated ESG and the energy transition into its business plan. Scorecard weightings for 2022, which directly affect CEO and staff pay, are as follows: 25% for advancing ESG priorities, including safety; 50% for achieving financial achievements; and 25% for promoting other important strategic goals, like growth and the energy transition. 

The ESG-related business practices of thousands of companies around the world are the subject of in-depth research, evaluations, and analysis by MSCI ESG Research. Institutional investors can use MSCI research to detect dangers and opportunities that conventional investing research may ignore. Talking about the excellent ESG rating of UGI, the President and Chief Executive Officer of UGI, Roger Perreault said, “We are delighted to receive this rating upgrade which affirms our commitment to corporate social responsibility and sustainability. At UGI, we continue to take a disciplined and collaborative approach to ESG matters, with an emphasis on transparency and progress. This upgrade reflects the commitment of our employees to live our core values of sustainability, reliability, safety, excellence, respect, and integrity. We remain focused on advancing our ESG mission and helping the families, businesses and communities that we serve, in their own sustainability initiatives.”     

Tocompany’s ESG scores and sustainability reports, click here.