Focused on delivering ESG positive outcomes
Possible
opportunities
Gas flaring is a global challenge that, if managed correctly, has the potential to generate multiple benefits at a global, national and local level.
Our projects offer training and generate local employment. By contributing much needed electricity to a country where load shedding is common, essential services can be delivered, and businesses can thrive.
Despite being a gas rich nation, Iraq is reliant on gas imports. By combating flaring, Iraq will benefit from an improved gas infrastructure.
The notable absence of gas infrastructure and electricity means Iraqi people and power plants rely on diesel fuel. Our projects will transition Iraq away from such sources.
Measurable global
ESG value
Flaring touches on all of the core pillars of ESG. The adverse environmental impact results from avoidable emissions of CO2 and methane. The social impact is driven by the harmful effects of associated air pollution on workers and communities as well as the health risks stemming from inadvertent combustion of leaked methane. Another impact stems from the missed revenues to the government and landowners when gas is flared rather than delivered to market. Finally, flaring is clearly a governance issue, as this problem can be almost entirely avoided when integrated into management planning and decisions.
Environmental
problems
Flaring contributes to climate change. Last year’s global flare gas volumes, if fully combusted, would have produced about 270mt of CO2. Methane a more potent GHG, also escapes when not fully combusted. Locally, the micro-climate is impacted by radiant heat which can leave areas uninhabitable. Furthermore toxic pollutants of volatile compounds result in acid rain which impacts agriculture, forestry and other physical infrastructure.
Governance
Flaring is a governance issue, as this problem can be almost entirely avoided when integrated into management planning and decisions. There has been little progress in this area in Iraq in the last decade. The major international oil companies are committed to reducing flaring and Union EcoTek is uniquely positioned to support them.