How ADNOC Distribution is Decarbonising Service Stations

ADNOC Distribution has planted 17,000 mangrove trees in the Middle East as part of its commitment to reduce carbon intensity by 2030.

The company has achieved recognition for its ESG efforts from major financial players including FTSE Russell, S&P Global and Bloomberg.

Bader Saeed Al Lamki, CEO at ADNOC Distribution, says: “As the country’s largest fuel network, ADNOC Distribution has a responsibility to support the UAE’s long-term sustainability ambitions – including the UAE Net Zero by 2050 Strategic Initiative.”

ADNOC Distribution

ADNOC Distribution is the largest fuel and convenience retailer in the UAE and the leading marketer and distributor of fuels to commercial, industrial, government and residential customers. 

The company has a network of more than 550 service stations and 280 convenience stores.

ADNOC Distribution is part of the Abu Dhabi National Oil Company (ADNOC) Group, the world’s 12th largest oil company by production.

Athmane Benzerroug, Chief Strategy, Transformation and Sustainability Officer at ADNOC Distribution, says: “We will consistently showcase our capacity to adapt and innovate, creating lasting value for our business, shareholders and customers.”

ADNOC Distribution’s sustainability progress in 2024

In the first half of 2024, ADNOC Distribution has made big strides in sustainability.

The company has planted 17,000 mangroves, each capable of sequestering more than 12kg of CO2 per year.

Its ‘Adopt a Mangrove’ initiative is part of a national project to plant 100 million mangrove trees across the UEA by 2030.

It also collected more than 5 million recyclable items as part of its ‘reverse vending machine’ initiative. 

ADNOC Distribution also became the first UEA fuel retailer to be included in the FTSE Emerging ESG Index.

ADNOC Distribution’s sustainability goals

The company aims to reduce its carbon intensity 25% by 2030 and is working to reach net zero by 2050.

ADNOC Distribution supports the UAE’s National Sustainability Agenda and is affiliated with ADNOC’s overarching strategic vision for 2030. 

The company’s Sustainability Strategic Framework summarises its short, medium and long term goals and objectives to drive progress and implement sustainability within the company.

It is the first UAE retailer to tap into sustainability-linked financing with a US$1.5bn loan tied to sustainability indicators.

ADNOC Distribution’s environmental progress

In its 2023 ESG Report, the company shows progress towards these goals.

It generated and consumed 2,369 GJ of solar energy, reducing GHG emissions by more than 296 tonnes.

The company installed 26 rooftop solar PV panels across its service stations to increase this.

Athmane explains: “We’ve also embraced renewable energy by installing solar panels at service stations in Dubai, contributing to our phased UAE-wide solar rollout. 

“Innovative solutions are integral to our approach, further exemplified by the introduction of our pioneering coolant products for EVs and hybrid vehicles.”

ADNOC Distribution also operated the first high speed hydrogen refuelling stations in the Middle East.

100% of its company-owned heavy fleet operates using biofuel, which reduced emissions by 333 tonnes in 2023. 

Social contributions from ADNOC Distribution

The company has achieved a 62.5% Emiratisation rate as part of a UAE government initiative to employ its citizens.

It has also conducted more than 100,000 person hours of employee training across 642 courses, covering categories including leadership and functional skills. 

The company had zero fatalities and zero high consequence work-related injuries due to its health and safety efforts.

It has launched the HSE Recognition Programme for contractors and delivered 54 different HSE training courses.

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