Climate Change

We are committed to reducing our direct emissions and to utilising our infrastructure to facilitate decarbonisation beyond our operations.

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Our commitment

Channel Infrastructure not only takes responsibility for, and commits to, reducing our direct greenhouse gas emissions but recognises our responsibility to utilise our infrastructure to facilitate decarbonisation beyond our operations, and across New Zealand’s transport sector. It is our ambition to keep Aotearoa moving towards a greener future, and to play an enabling role in this future by utilising the full potential of our infrastructure and the Marsden Point site to support decarbonisation efforts.

Channel Infrastructure is committed to doing its part to align with the Paris Agreement target to keep warming well below 2 degrees and to pursue efforts to limit the temperature increase to 1.5 degrees. Our commitments to taking action to address climate change are set out in our Climate Change Position Statement.

Emissions reduction at Marsden Point

Conversion of our Marsden Point operations from refining to import terminal operations has resulted in a 98 per cent reduction in Scope 1 and 2 carbon emissions. This is a reduction of over 1 million tonnes of carbon dioxide per annum compared to 2019 levels, delivering one third of Aotearoa New Zealand’s first emissions reduction budget. This change also delivers a significant reduction in electricity and gas demand, reducing demand on New Zealand’s thermal generated electricity and providing relief from supply shortages in the electricity and gas markets. 

 

From early 2024, with the implementation of Channel’s certified renewable electricity contract, we will have largely eliminated its direct emissions – some six-years ahead of the company’s target.  Read more about our long-term renewable electricity supply here.

Channel Infrastructure Climate Change Transition

Our targets

To hold ourselves to account and ensure we focus our efforts on where we can make the most impact along our transition roadmap, we have set a range of transition targets.

We understand that our nation’s energy needs will change, and we are ready to meet the needs of tomorrow’s fuel and energy markets. We are actively engaging with the Government as it develops New Zealand’s policy settings and will look for ways we can support efforts to meet New Zealand’s climate targets and its transition to a lower-carbon economy through our infrastructure. We believe we can support the introduction of biofuels, including sustainable aviation fuel, and contribute to ensuring a secure, reliable, and affordable supply chain for the mix of future fuel options that New Zealand will require. 

Read about some of the ways we are looking at supporting New Zealand’s future fuel needs here.  

Channel Infrastructure Our Targets

Our Climate Change Position Statement

Our Position

Channel Infrastructure is committed to doing its part to align with the Paris Agreement target to keep warming well below 2 degrees and to pursue efforts to limit the temperature increase to 1.5 degrees. This commitment reflects the latest science and is aligned with the New Zealand Government’s ambitions in the Zero Carbon Act, which itself informs our local operating environment. 

We recognise that fuel and the transport sector significantly contribute to climate change. 

Climate change will impact our company, the local community, New Zealand and the planet, including through rising sea levels, temperature change and unpredictable weather patterns. Climate change presents operational and financial risks to the company, as well as opportunities.

Our Approach

Our approach to climate change considers both the risks and opportunities arising from climate change and the necessary transition to a low carbon economy. We consider these activities to be core to our business as part of our strategic objective to deliver continued value to our shareholders and our customers. 

Our role is to keep Aotearoa New Zealand moving. We believe infrastructure has a critical role to play in finding solutions which deliver low-carbon transport energy which is affordable and available when we need it. 

We will seek to reduce our carbon footprint, build resilience to the physical and transition risks related to climate change, and contribute responsibly to the achievement of New Zealand’s decarbonisation goals. We will also seek to utilise our strategic infrastructure to support others, particularly through innovation in the energy and fuels sector, to reduce carbon emissions.

Our Commitments 

Channel Infrastructure is committed to:

  • Identifying, assessing and managing material physical and transition related climate driven risks to the long-term sustainability of our business;
  • Setting and publishing meaningful short, medium and long-term targets to encourage innovation and drive reductions in our Scope 1 and 2 greenhouse gas emissions;
  • Exploring opportunities to reduce customer Scope 3 emissions and contribute to the decarbonisation of the New Zealand transport sector by enabling the supply of low-carbon fuels and zero-carbon fuels to New Zealand;
  • Working with customers, suppliers, Government, and our local community on a just transition to a low-carbon economy; and
  • Annually reporting on our climate approach, progress and performance in alignment with the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).

Ongoing Review

The Board commits to annually reviewing this Climate Change Position Statement and the company’s performance in delivering on the commitments in this Statement.