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Sustainability at PETRONAS
PETRONAS is committed to delivering energy for the growing needs of today and to developing solutions that will move us closer to a lower carbon future.
As part of that commitment, we aim to achieve net zero carbon emissions by 2050. We are intensifying our efforts to reduce emissions from our operations and products while at the same time investing in new lower carbon business growth opportunities.
We acknowledge that we have an important role to play in the energy transition, both in Malaysia and the other countries we operate in. In navigating this transition, we aim to get the balance right, ensuring that we are addressing our emissions, conserving and protecting nature and biodiversity as well as promoting a just transition that ensures equitable social and economic opportunities that can benefit more people.
Sustainable Value Creation
We deliver long-term value through robust financial performance, a resilient business portfolio, and sustainable growth while making a positive contribution to society and the environment. This is underpinned by our Statement of Purpose: “A progressive energy and solutions partner enriching lives for a sustainable future.”
Sustainability Approach
At our core, we believe that sustainable business practices are essential for the long-term success of our company, our stakeholders, and the planet. Our actions are framed by our Sustainability Approach.
United Nations’ Sustainable Development Goals
Our activities aim to contribute towards the United Nations' Sustainable Development Goals (SDGs). PETRONAS embraces all 17 SDGs and prioritises that we believe we can contribute most effectively towards as part of our sustainability efforts. It is important to recognise that the goals are interconnected to one another.
7 prioritized Sustainable Development Goals
Our Materiality Assessment Process
In 2024, we completed a comprehensive assessment of our material topics. Our double materiality assessment included a review of our value chain and alignment of impact thresholds with risk thresholds, as per our Risk Quantification Guideline. We also considered the impact of our material topics, as well as the associated risks and opportunities over the short-, medium- and long-term. In 2025, we undertook a revalidation exercise to confirm the continued relevance of previously defined material topics, taking into account regulatory developments, stakeholder needs and the Group’s strategic direction. The assessment process can be summarised as follows:
Identification
As part of the periodic revalidation of the Group’s material sustainability topics, the existing materiality baseline was assessed to confirm its continued relevance and to identify emerging topics or shifts in significance. This exercise considered applicable regulatory requirements, stakeholder perspectives, peer benchmarking and relevant external developments across our operations and value chain. Relevant frameworks and standards, including the Sustainability Accounting Standards Board (SASB), the Global Reporting Initiative (GRI) and the European Sustainability Reporting Standards (ESRS), were referenced to validate topic coverage and completeness.
Stakeholder
EngagementInsights were drawn from a range of interactions conducted throughout the year, including with external stakeholder groups, investors, financial institutions and rating agencies. These engagements helped validate key assumptions and identify shifts in stakeholder priorities, enabling the Group to refresh its materiality assessment without undertaking a full-scale stakeholder survey.
Prioritisation
and ValidationThe significance of existing material topics was reviewed to determine whether any adjustments were required, based on updated internal and external inputs. This included assessing alignment with the current business strategy, enterprise risk considerations and market developments. The outcomes were further refined through consultations with relevant internal functions, including strategy, finance and risk management, and informed by insights from the Board and Executive Leadership Team to ensure the material topics remained relevant, robust and reflective of PETRONAS' operating context.
Endorsement
The outcomes of the materiality revalidation exercise were reviewed and endorsed in accordance with established governance processes, confirming that the material topic set remains appropriate for the reporting period.
Our Material Topics
Our materiality assessment identifies 14 key topics that are material to PETRONAS, guiding the management of sustainability efforts. This assessment highlights the significance of perceived impacts and trends compared to the previous year.
Legend: Material More Material Most Material + Increase In Impact = No Changes In Impact − Decrease In ImpactSustainability
ApproachMaterial
TopicsDescription SignificanceImpact
MaterialityTrend Compared
to 2024SignificanceFinancial
MaterialityTrend Compared
to 2024
Creating Sustainable Value through Responsible Governance
CDP
Cyber Security and Data Protection
Cyber security and data protection play a critical role in safeguarding our operations and information assets as we continue to leverage digital solutions. Strong governance, robust systems and ongoing investments in advanced security measures protect data integrity and confidentiality, support business continuity and sustain stakeholder trust amid an evolving cyber-threat landscape.
= = CG
Corporate
GovernanceCorporate governance provides the foundation for effective oversight, accountability, transparency and performance across our organisation. Anchored in applicable laws and recognised governance principles, our framework supports sound decision-making and risk management, strengthening business resilience and enabling long-term sustainable value creation for investors and stakeholders.
= - EC
Economic
ContributionOur economic contribution reflects our commitment to driving long-term business growth and our role in generating economic value for the markets and communities in which we operate. Through our products and services, capital payouts, payments to governments, compensation to employees and suppliers, and contributions to social and environmental causes, we support inclusive development and shared value creation.
= = EI
Ethics and
IntegrityPETRONAS maintains a firm stance against all forms of corruption and unethical conduct. This commitment extends across our value chain, encompassing directors, employees, partners, suppliers, contractors, intermediaries and other third parties. We promote responsible business practices and adherence to established policies, standards and guidelines. The PETRONAS Code of Conduct and Business Ethics, the PETRONAS Anti-Bribery and Corruption Policy and the PETRONAS Anti-Bribery and Corruption Manual provide the guiding principles that set expectations for ethical business conduct.
= = HS
Health and
SafetyThe safety, health and well-being of our employees, contractors and communities are fundamental to our operations. By cultivating a strong health and safety culture, implementing robust safety management practices, and providing health and wellness programmes, we aim to protect our people and communities, reduce operational risks, improve efficiency and promote a productive, healthy and engaged workforce.
+ = IT
Innovation and Technology
Innovation and technology play a critical role in strengthening PETRONAS’ resilience and long-term value in a rapidly evolving energy landscape. We promote innovation and adopt technology across our operations and services to improve efficiency, enhance customer and stakeholder satisfaction, and support the energy transition.
= = 
Delivering Net Zero
CGE
Climate Change and GHG Emissions
Climate change and GHG emissions are key elements embedded in PETRONAS’ long-term strategy and enterprise risk management. We assess and manage climate-related transition and physical risks, including evolving regulatory and market conditions as well as extreme weather that may affect our assets, operations and product demands. Through climate risk management and GHG emissions reduction efforts via four key abatement levers aligned with our Net Zero Carbon Emissions by 2050 commitment, we strengthen asset resilience, support operational continuity, manage regulatory exposure and help sustain stakeholder confidence.
= = LCT
Lower-Carbon and Energy Transition Business
Lower-carbon and energy transition business activities enable PETRONAS to create long‑term value by expanding into areas such as renewables and lower‑carbon energy solutions. Guided by our Energy Transition Strategy, we invest selectively across new energy value chains to support emissions reduction, meet evolving stakeholder and customer expectations, and contribute to global climate goals, while maintaining financial discipline and resilience.
= = 
Thriving with Nature
CER
Circular Economy and Resource Use
Circular economy and resource use focus on optimising the use of materials and natural resources to maximise efficiency, retain value and minimise waste. By creating value through responsible resource management, reuse, recycling and value recovery, we respond better to regulation, enhance operational resilience and reinforce stakeholder confidence in our sustainability commitments.
+ = EM
Environmental Management
Effective environmental management addresses the environmental impacts of our operations while supporting sustainable resource use and emissions reduction. Internal standards and practices across water stewardship, waste and circular economy management, air emissions control and spill prevention enable us to manage environmental impacts, meet regulatory requirements and protect natural resources.
= + NB
Nature and Biodiversity
Nature and biodiversity are integral to PETRONAS’ long-term business resilience, asset integrity and social licence to operate. Guided by our policy position and strengthened capabilities, we are advancing nature and biodiversity management practices by addressing our impacts and dependencies, aligning climate action with biodiversity conservation and proactively managing nature-related risks to support sustainable value creation.
= = 
Fostering a Just Transition
HC
Human
CapitalOur long-term performance and ability to operate safely, strengthen our core business and build new energy value chains are anchored in strong organisational and talent foundations, encompassing organisational effectiveness, the right mindset and culture, leadership capability and workforce readiness. Central to this is developing an agile, skilled and motivated workforce that can adapt to evolving business needs and support sustainable value creation across the organisation.
= = HR
Human
RightsHuman rights underpin PETRONAS’ responsible business conduct across all the Group’s activities and relationships. We are committed to respecting internationally recognised human rights, which are fundamental to ethical and sustainable business practices, fostering stakeholder trust and promoting fair labour practices. By identifying and addressing human rights risks through due diligence and ensuring access to remedy, we safeguard our social licence to operate and support sustainable value creation.
- = SC
Sustainable
Supply ChainA sustainable supply chain is central to our risk management and long-term value creation across our operations. By advancing responsible sourcing and procurement practices, we aim to strengthen environmental, social and economic outcomes, support local suppliers where appropriate and enhance supply chain resilience. These efforts contribute to safer practices, more sustainable products, improved operational efficiency and positive socio-economic outcomes across the markets in which we operate.
= = Our Material Topics
Our materiality assessment identifies 14 key topics that are material to PETRONAS, guiding the management of sustainability efforts. This assessment highlights the significance of perceived impacts and trends compared to the previous year.
Material Topics & Descriptions
Creating Sustainable Value through Responsible Governance
CDP
Cyber Security and Data Protection
Cyber security and data protection play a critical role in safeguarding our operations and information assets as we continue to leverage digital solutions. Strong governance, robust systems and ongoing investments in advanced security measures protect data integrity and confidentiality, support business continuity and sustain stakeholder trust amid an evolving cyber-threat landscape.
CG
Corporate Governance
Corporate governance provides the foundation for effective oversight, accountability, transparency and performance across our organisation. Anchored in applicable laws and recognised governance principles, our framework supports sound decision-making and risk management, strengthening business resilience and enabling long-term sustainable value creation for investors and stakeholders
EC
Economic Contribution
Our economic contribution reflects our commitment to driving long-term business growth and our role in generating economic value for the markets and communities in which we operate. Through our products and services, capital payouts, payments to governments, compensation to employees and suppliers, and contributions to social and environmental causes, we support inclusive development and shared value creation.
EI
Ethics and Integrity
PETRONAS maintains a firm stance against all forms of corruption and unethical conduct. This commitment extends across our value chain, encompassing directors, employees, partners, suppliers, contractors, intermediaries and other third parties. We promote responsible business practices and adherence to established policies, standards and guidelines. The PETRONAS Code of Conduct and Business Ethics, the PETRONAS Anti-Bribery and Corruption Policy and the PETRONAS Anti-Bribery and Corruption Manual provide the guiding principles that set expectations for ethical business conduct.
HS
Health and Safety
The safety, health and well-being of our employees, contractors and communities are fundamental to our operations. By cultivating a strong health and safety culture, implementing robust safety management practices, and providing health and wellness programmes, we aim to protect our people and communities, reduce operational risks, improve efficiency and promote a productive, healthy and engaged workforce.
IT
Innovation and Technology
Innovation and technology play a critical role in strengthening PETRONAS’ resilience and long-term value in a rapidly evolving energy landscape. We promote innovation and adopt technology across our operations and services to improve efficiency, enhance customer and stakeholder satisfaction, and support the energy transition.
Delivering Net Zero
CGE
Climate Change and GHG Emissions
Climate change and GHG emissions are key elements embedded in PETRONAS’ long-term strategy and enterprise risk management. We assess and manage climate-related transition and physical risks, including evolving regulatory and market conditions as well as extreme weather that may affect our assets, operations and product demands. Through climate risk management and GHG emissions reduction efforts via four key abatement levers aligned with our Net Zero Carbon Emissions by 2050 commitment, we strengthen asset resilience, support operational continuity, manage regulatory exposure and help sustain stakeholder confidence.
LCT
Lower-Carbon and Energy Transition Business
Lower-carbon and energy transition business activities enable PETRONAS to create long‑term value by expanding into areas such as renewables and lower‑carbon energy solutions. Guided by our Energy Transition Strategy, we invest selectively across new energy value chains to support emissions reduction, meet evolving stakeholder and customer expectations, and contribute to global climate goals, while maintaining financial discipline and resilience.
Thriving with Nature
CER
Circular Economy and Resource Use
Circular economy and resource use focus on optimising the use of materials and natural resources to maximise efficiency, retain value and minimise waste. By creating value through responsible resource management, reuse, recycling and value recovery, we respond better to regulation, enhance operational resilience and reinforce stakeholder confidence in our sustainability commitments.
EM
Environmental Management
Effective environmental management addresses the environmental impacts of our operations while supporting sustainable resource use and emissions reduction. Internal standards and practices across water stewardship, waste and circular economy management, air emissions control and spill prevention enable us to manage environmental impacts, meet regulatory requirements and protect natural resources.
NB
Nature and Biodiversity
Nature and biodiversity are integral to PETRONAS’ long-term business resilience, asset integrity and social licence to operate. Guided by our policy position and strengthened capabilities, we are advancing nature and biodiversity management practices by addressing our impacts and dependencies, aligning climate action with biodiversity conservation and proactively managing nature-related risks to support sustainable value creation.
Fostering a Just Transition
HC
Human Capital
Our long-term performance and ability to operate safely, strengthen our core business and build new energy value chains are anchored in strong organisational and talent foundations, encompassing organisational effectiveness, the right mindset and culture, leadership capability and workforce readiness. Central to this is developing an agile, skilled and motivated workforce that can adapt to evolving business needs and support sustainable value creation across the organisation.
HR
Human Rights
Human rights underpin PETRONAS’ responsible business conduct across all the Group’s activities and relationships. We are committed to respecting internationally recognised human rights, which are fundamental to ethical and sustainable business practices, fostering stakeholder trust and promoting fair labour practices. By identifying and addressing human rights risks through due diligence and ensuring access to remedy, we safeguard our social licence to operate and support sustainable value creation.
SC
Sustainable Supply Chain
A sustainable supply chain is central to our risk management and long-term value creation across our operations. By advancing responsible sourcing and procurement practices, we aim to strengthen environmental, social and economic outcomes, support local suppliers where appropriate and enhance supply chain resilience. These efforts contribute to safer practices, more sustainable products, improved operational efficiency and positive socio-economic outcomes across the markets in which we operate.
Impact Materiality & Financial Materiality
Legend:
Material More Material Most Material + Increase In Impact = No Changes In Impact − Decrease In ImpactMaterial Topics
Impact Materiality
Financial Materiality
Significance
Trend Compared
to 2024Significance
Trend Compared
to 2024
Creating Sustainable Value through Responsible Governance
CDP
Cyber Security and Data Protection
= = CG
Corporate Governance
= - EC
Economic Contribution
= = EI
Ethics and Integrity
= = HS
Health and Safety
+ = IT
Innovation and Technology
= =
Delivering Net Zero
CGE
Climate Change and GHG Emissions
= = LCT
Lower-Carbon and Energy Transition Business
= =
Thriving with Nature
CER
Circular Economy and Resource Use
+ = EM
Environmental Management
= + NB
Nature and Biodiversity
= =
Fostering a Just Transition
HC
Human Capital
= = HR
Human Rights
- = SC
Sustainable Supply Chain
= = Memberships & Associations
We actively participate in professional associations, events and memberships with the aim to strengthen our sustainability efforts. Through these various platforms, we are able to exchange knowledge on best practices to drive the sustainability agenda within and outside of our operations. This is part of our commitment to Malaysia's nation-building efforts and to create positive impact across industries and society.
Through our network of international and national organisations and industry partners we can collectively enhance and generate knowledge, share best practices, and support decarbonisation initiatives that create value for the company and our stakeholders.
PETRONAS is a member of:
PETRONAS supports the aims of the organisations below with the intent to strengthen our overall sustainability governance, raise awareness, deliver education programmes and define our positions on various climate and sustainability-related aspects that are aligned with our NZCE 2050 Pathway:
PETRONAS continues to lead and be visible in advocating our sustainability-related values through national and international platforms, initiatives and organisations, such as:
×United Nations Environment Programme (UNEP) 's Oil & Gas Methane Partnership (OGMP2.0)
The United Nations Environment Programme (UNEP)'s Oil & Gas Methane Partnership (OGMP2.0) is an industry-specific initiative, internationally recognized framework for effective methane emissions management. OGMP2.0 provides a mechanism for companies to address and report methane emissions systematically.
PETRONAS became a signatory member to the OGMP2.0 in November 2022. Efforts are taken to systematically enhance PETRONAS' approach in accordance with the framework on methane emissions measurement, quantification, reporting, and implementation of our decarbonisation levers particularly zero routine flaring and venting, and energy efficiency.
Find out more here.
×World Business Council for Sustainable Development
World Business Council for Sustainable Development (WBCSD) is a CEO-led community of over 200 of the world's leading businesses working collectively to accelerate transformations needed for a net-zero, nature positive, and more equitable future.
PETRONAS joined WBCSD in 2020 to inform sustainability strategy and positioning and to broaden global outreach.
PETRONAS is also a member of Business Council for Sustainable Development (BCSD) Malaysia.
PETRONAS is represented in WBCSD through our President & Group CEO, Tan Sri Tengku Muhammad Taufik as the Council member, and involving other Executive Leadership Team members through direct participation in WBCSD's CFO Network and The Business Commission to Tackle Inequality, in addition to working level participation across the breadth of WBCSD' s programmatic activities.Find out more here.
×International Emissions Trading Association (IETA)
The International Emissions Trading Association (IETA) is a global non-profit business organisation that plays a key advocacy role in establishing effective market-based trading systems for greenhouse gas (GHG) emissions and removals to promote market-based solutions for climate change.
PETRONAS became a member of IETA in June 2022. Through our participation in IETA's working groups, taskforces and initiatives, PETRONAS is strengthening our internal capacity and building capability in carbon markets and carbon pricing instruments. PETRONAS also participates in IETA's Business Partnership for Market Implementation (B-PMI), which supports the implementation of carbon pricing instruments through private sector capacity building and engagement with policymakers.
×International Renewable Energy Agency (IRENA) Alliance for Industry Decarbonization
The Alliance for Industry Decarbonisation (AFID) facilitates industry-level dialogue and strengthens cooperation to support companies in developing robust decarbonisation strategies and implementation plans aligned with their countries' commitments. PETRONAS joined AFID in November 2022 with the aim to advance the decarbonisation of industrial value chains and deepen understanding of renewables-based solutions and their adoption across industry.
Find out more here.
×Task Force on Climate-related Financial Disclosures (TCFD)
The Task Force on Climate-related Financial Disclosures (TCFD) sets out recommendations for climate-related disclosures and provides a framework for disclosures on potential long-term risks and opportunities associated with climate change.
PETRONAS has expressed public support for the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) to ensure greater transparency around how we approach climate risk. We are incorporating the TCFD framework into our disclosures from 2023 onwards.
Find out more here.
×World Bank's Zero Routine Flaring by 2030 Initiative
An initiative that commits governments and oil companies to end routine flaring by 2030, aiming to support cooperation between all relevant stakeholders so that solutions to gas flaring can be found through appropriate regulation, application of technologies, and financial arrangements.
PETRONAS endorsed the global pledge of zero routine flaring by 2030, in November 2021, with the aim to avoid routine flaring in new oil field developments; and for existing field, to seek implementation of economically viable solutions to eliminate this legacy flaring as soon as possible, by 2030. PETRONAS contributes with gas flaring and venting data towards the compilation of the World Bank's annual global gas flaring report.
Find out more here.
×World Economic Forum (WEF) Partnering Against Corruption Initiative (PACI) Signatories
The World Economic Forum (WEF) is the world's preeminent platform for public-private cooperation where the world's leaders come together to advance most pressing issues.
The Forum's Oil and Gas Community of Peers collaboratively shapes the sectoral agenda at the Forum and brings together thought leaders that help drive the industry transformation of the energy system.
PETRONAS is represented by President & Group CEO, YM Tan Sri Tengku Muhammad Taufik as the Co-Chair of the Oil and Gas Governors Community of the World Economic Forum, a group of around 50 global Executive Chairs and CEOs from the sector.
×Oil and Gas Decarbonisation Charter (OGDC)
The COP28 Presidency launched the landmark Oil and Gas Decarbonization Charter (OGDC), a global industry charter dedicated to speeding up climate action and achieving high-scale impact across the oil and gas sectors. The OGDC aims to achieve:
- Net Zero Operations by or before 2050
- Aiming for Near-Zero Upstream Methane Emissions by 2030
- Zero Routine Flaring by 2030
Find out more here.
PETRONAS is a signatory to OGDC since 2023 and is also a signatory committee to OGDC.
×CEO Action Network (CAN)
CAN is a peer-to-peer network of CEOs and Board members focused on sustainability advocacy, capacity building, action and performance. CAN includes 77 leading businesses, representing more than 20 business sectors in Malaysia.
PETRONAS is represented in the CAN through its Steering Committee.
×ASEAN Energy Sector Methane Roundtable
A series of regional roundtables to elevate conversation, shape practices, policies, and regulations in ASEAN on methane emissions with the aim to engage diverse stakeholders through dialogues on advancing strong performance and effective methane emissions management.
PETRONAS, in collaboration with ASEAN national oil companies, governmental agencies and international organisations, launched the ASEAN Energy Sector Methane Leadership programme to build the region's capability and capacity in managing methane emissions. This collaboration aims to expedite methane emission reductions across the energy value chain in Southeast Asia.
Find out more here.
×Ipieca
Ipieca is the global oil and gas industry association advancing sustainability across the energy sector through collaboration on climate action, environmental responsibility, social performance and the sustainable development agenda, including across oil, gas and renewable energy activities.
PETRONAS has been a member of Ipieca since 2001. Participation in Ipieca supports PETRONAS in strengthening sustainability-related disclosures and practices, including serving as a reference in the development of the PETRONAS Integrated Report (PIR) and sustainability disclosures. The affiliation also supports PETRONAS in informing its environmental approach, strengthening understanding of Scope 3 emissions and materiality assessments, as well as contributing to the development of industry-specific metrics and targets related to nature and biodiversity. PETRONAS is represented in Ipieca via Executive Committee.
×Energy Transitions Commission (ETC)
Energy Transitions Commission (ETC) is a voluntary global coalition of leaders from across the energy landscape committed to achieving net-zero emissions by mid-century, in line with the Paris climate objective of limiting global warming to well below 2°C and ideally to 1.5°C.
PETRONAS has become a member of ETC since 2023. It supports the company in informing and strengthening its energy transition strategy and implementation. The affiliation provides access to global insights, expertise, research, learning opportunities and best practices from other regions, which support PETRONAS in advancing its transition initiatives and contributing towards Malaysia's energy transition agenda. Participation in ETC also strengthens PETRONAS' positioning as a key industry player in supporting a lower-carbon and more sustainable energy future.
PETRONAS is represented in the ETC through participation at the Commissioner level.
×ASEAN Council on Petroleum and Energy (ASCOPE)
The ASEAN Council on Petroleum and Energy (ASCOPE) serves as a regional collaboration platform for ASEAN energy organisations.
PETRONAS has been a member of ASCOPE since 1975. In 2025, PETRONAS and ASCOPE joined forces in organising the 7th ASEAN Energy Sector Methane Roundtable.
PETRONAS is represented in ASCOPE by its President & Group CEO, YM Tan Sri Tengku Muhammad Taufik, who serves as Malaysia's Council Member.
×International Association of Oil & Gas Producer (IOGP)
With over 90 Members, the International Association of Oil & Gas Producers (IOGP) fosters dialogue and knowledge exchange, incorporating industry expertise to solve common industry challenges, promoting excellence in safe, efficient and sustainable energy. It aims to enhance understanding of the critical role the oil and gas industry plays in the energy transitions to a low carbon energy future.
As a member of IOGP, PETRONAS gains access to global industry data, best practices and lessons learned that support internal benchmarking, operational excellence, cost competitiveness, safety improvement and carbon footprint reduction.
Our Approach to Sustainability Reporting and Publications
We view Environmental, Social and Governance (ESG) as an integral part of delivering long-term stakeholder value. We are guided by the following national and international guidance, frameworks and standards to ensure that our report is accurate, reliable and comprehensive:
- The International Integrated Reporting Council (IIRC) Framework
- International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards S1 (General Requirements for Disclosures of Sustainability-related Financial Information) and S2 (Climate-related Disclosures)
- Ipieca sustainability reporting guidance for the oil and gas industry
- Global Reporting Initiative (GRI) Standards
- World Economic Forum’s Stakeholder Capitalism Metrics
We will continue to improve data integrity through assurance and verification exercises to build trust among stakeholders. Click here to view our GHG verification statements
Ensuring we remain committed to maintaining our standards in managing greenhouse gas (GHG) emissions, we continue strengthening our reporting practices to be aligned with internationally recognised principles, frameworks, and standards, including the Task Force on Climate-related Financial Disclosures (TCFD) framework recommendations. Since 2022, we also report through the CDP disclosure platform.
×Our integrated report is guided by the International Integrated Reporting Council (IIRC)
Framework since 2020. IR aims to provide a holistic view of an organization's strategy, governance, performance, and prospects by connecting financial and non-financial information in a concise and coherent manner. As of August 2022, the IFRS Foundation assumed responsibility for the Integrated Reporting Framework. For more information about the framework, please visit here. 
×Our Sustainability reporting was prepared in adherence to IPIECA disclosures since 2020. The Sustainability reporting guidance for the oil and gas industry provides direction on the content of a typical industry report by covering 21 sustainability issues and 43 indicator categories. These issues and indicators have been selected based on industry consensus, together with significant insights and suggestions from an independent panel of stakeholders with expertise in the sector and sustainability reporting. For more information, please visit here.
×The GRI Standards represent global best practice for reporting publicly on a range of economic, environmental and social impacts. Sustainability reporting based on the Standards provides information about an organization’s positive or negative contributions to sustainable development. For more information, please visit here.
×We adopt the Stakeholder Capitalism Metrics in our reporting in our effort to promote the further convergence of existing environmental, social and governance (ESG) frameworks and principles, as well as support the progress of a globally accepted solution for common ESG metrics. For more information, please visit here.
×The National Sustainability Reporting Framework (NSRF) addresses the use of the International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards issued by the International Sustainability Standards Board (ISSB), specifically the IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information, and IFRS S2 Climate-related Disclosures, as the baseline sustainability disclosure standards for companies in Malaysia, as well as the assurance requirements for sustainability reporting.
In line with the NSRF, we are undertaking a phased transition from the Task Force on Climate‑related Financial Disclosures (TCFD) framework to the IFRS Sustainability Disclosure Standards, with adoption targeted by 2027. As part of this journey, the Group continues to enhance its sustainability disclosures, including climate‑related information. This transition supports the continued strengthening of our integrated reporting, enabling clearer linkages between strategy, financial performance, sustainability and long‑term value creation.Carbon Disclosure Project (CDP)
PETRONAS has participated in the CDP Climate Change disclosure since 2022.
Read more on our submission below.
Methane Guiding Principle (MGP)
In 2020, PETRONAS became a signatory member of Methane Guiding Principles (MGP). In 2023, PETRONAS publicly reported our progress in accordance with the five MGP principles on our approach to effective methane management.
Note: Having achieved its objectives, the MGP initiative was retired in July 2025.
Oil & Gas Methane Partnership 2.0 (OGMP 2.0)
The United Nations Environment Programme (UNEP)’s Oil & Gas Methane Partnership 2.0 (OGMP2.0) is an industry-specific initiative and internationally recognized framework for effective methane emissions management. OGMP2.0 provides a mechanism for companies to address and report methane emissions systematically.
Member companies report on methane emissions along five levels of reporting, increasing the accuracy of reporting with each level with the aim to achieve the Gold Standard – the highest reporting level under OGMP 2.0. Companies must achieve Level 4/5 reporting for operated assets within three years and for non-operated assets within five years. In 2023, PETRONAS achieved OGMP2.0 Gold Standard for its methane pathway. We achieved Gold Standard Reporting in 2025, reflecting the highest level of methane emissions data quality.
PETRONAS became a signatory member to the OGMP2.0 in 2022. Efforts are being taken to systematically enhance PETRONAS’ approach in accordance with the framework on methane emissions measurement, quantification, reporting, and implementation of our decarbonisation levers particularly zero routine flaring and venting, and energy efficiency.
International Methane Emissions Observatory (IMEO) is an initiative by the United Nations Environment Programme (UNEP) aimed at providing open, reliable and actionable data to help reduce methane emissions globally.
World Bank Zero Routine Flaring Initiative
PETRONAS has announced its endorsement of the World Bank’s Zero Routine Flaring by 2030 Initiative as part of its broader effort for greater transparency
around its action on climate change, in line with the Group’s aspiration to achieve Net Zero Carbon Emissions by 2050.The Zero Routine Flaring Initiative aims to end routine flaring of associated gas from oil production. Under this Initiative, PETRONAS pledges to avoid
routine flaring in new oil field developments and end routine flaring at existing oil production sites by 2030.By supporting the Zero Routine Flaring Initiative, PETRONAS joins a growing global coalition of governments, companies and institutions that demonstrate
strong environmental leadership and effective natural resource management by publicly reporting their flaring data on an annual basis.Read more here.
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