New estimate shows scope 3 emissions twenty times higher than reported and rising rapidly
(Toronto, March 13, 2024) Enbridge shareholders will vote again this season on a shareholder proposal asking the company to fully disclose its scope 3, or downstream, emissions. Investors for Paris Compliance (I4PC) re-filed the proposal after it received 24.5% support last year, with a further 4% abstaining, adding up to 28.5% breaking with management.
Today, I4PC is also releasing its own estimate of Enbridge’s scope 3 emissions, calculated with conservative assumptions based on publicly available data. The resulting numbers show that Enbridge’s scope 3 emissions have increased by 76% since 2014 to a total of 805 million tonnes, an amount 20 times greater than the company reports. Furthermore, if all of Enbridge’s currently planned projects go ahead, the company will add a further 217 million tonnes, an increase of 27% over its 2023 scope 3 emissions.
“A company dramatically adding scope 3 emissions is a company going in the opposite direction of the energy transition,” said Duncan Kenyon, Director of Corporate Engagement with I4PC. “Enbridge claims to be dealing with scope 3 emissions with a few renewables projects and consumer conservation programs, but those gains are absolutely dwarfed by the losses from the company’s fossil fuel expansions.”
At issue is whether the company needs to account for the downstream emissions of the products in its pipeline infrastructure. Reporting guidance is clear, however, that if those emissions are necessary to the business of the company, then they should be reported.
Enbridge has made a net zero by 2050 commitment, but has not set any targets for scope 3 emissions and its 2030 targets are expressed only in “intensity” terms, allowing overall emissions to continue to rise.
Investors will vote on the proposal in the lead up to the company’s AGM on May 8.
-30-
For more information contact Duncan Kenyon at duncan@investorsforparis.com
