Please click on the tiles below for more information about Essential’s targeted environmental initiatives.
Download the ReportAt Essential, our mission is to sustain life and improve economic prosperity by safely and reliably delivering Earth’s most essential resources to our customers and communities fuel everything we do. We have taken these commitments seriously for more than 135 years.
Fresh water is a limited resource on our planet, and we need to manage it responsibly.
Through conservation and stewardship, Essential helps to safeguard water security for future generations. Essential also strives to operate a safe, resilient gas distribution system that provides affordable and reliable energy to our customers.
Our Sustainability and Environmental Policy outlines the ways we apply our mission throughout our environmental profile. Our actions reflect the values that permeate our team and operations around the country. Across our operations, we have participated in environmental conservation and stewardship with many community partners to preserve and protect sensitive lands, plant thousands of trees, manage invasive species, reintroduce and reestablish native species and protect habitats. We have also released an ambitious emissions reduction target with concrete actions outlined to achieve this goal.
In this report, we expand on our commitment to present our stakeholders with some of the most detailed and transparent disclosures in the utilities industry. Whether we are speaking about water quality, gas system reliability, greenhouse gas (GHG) emissions or our waste program, we aim to provide rigor around both quantitative disclosure and qualitative explanations and context.
As a large and diversified utility, Essential’s strong environmental management system is critical to our operations.
Our Environmental, Health and Safety management program identifies, prioritizes, communicates, mitigates and manages risks to ensure safe and reliable service for our customers. These areas are benchmarked through performance and risk reporting coordinated at all levels of the company.
The Compliance Assurance Program (CAP) is a key tool in Essential’s Environmental Management System (EMS). Each Essential company has designated personnel (environmental directors, environmental managers, environmental specialists, etc.) who are responsible for supporting the CAP while focusing on environmental compliance. As part of our alignment with the elements of ISO 14001, Essential’s CAP is founded on the concept of “Plan-Do-Check Act.”
Plan |
Do |
Check |
Act |
Policy | Corporate Programs | Compliance Checking | Root Cause Analysis |
Benchmarking | State SOPs | Water Quality Tracking | Corrective Actions |
Target Setting | Communications | CAP Meetings | Programmatic Changes |
Regulatory Register | Training | Auditing | External Support |
Risk Analysis | Emergency Planning | Management Reviews | Peer Reviews |
In addition to routine communications and activities, special CAP meetings are held multiple times per year for each state and business and are attended by presidents, vice presidents, directors, managers and operations staff from corporate and state compliance, operations and engineering. Topics covered in these meetings include compliance metrics, water quality, environmental events, regulatory and company hot topics, and system/project review. Actions, events, activities, documents and records are tracked and managed in our Environmental, Health and Safety Data Management System software.
Additionally, Essential is in the process of implementing a water quality data management system across our water and wastewater utilities. This will ultimately serve as the central repository for all water and wastewater quality data, providing company-wide access to trends and early identification of developing issues.
Essential Utilities utilizes four plans throughout its operations to ensure the organization is appropriately prepared for emergency response and business continuity (ERBC). These plans are in compliance with various state regulatory requirements through annual self-certification.
Accountability and governance for these plans rest with the company’s senior management team, including the CEO. While numerous ERBC plans exist across the organization, all plans are in accordance with industry, regulatory and company standards, ensuring employee and community safety are primary considerations in all situations. Due to the various geographic regions where our business operates and the diversity of our business units, water, wastewater and natural gas distribution, the responsibility of the various ERBC plans rests with designated organizational leaders to ensure they are effective and appropriate for their business needs and structure.
Essential’s water and gas businesses have detailed emergency response plans (ERPs) that outline the required procedures, guidelines, organizational support and communication for responding to natural gas emergencies on pipeline systems, customer service outages or other natural disasters that present potential hazards to the public, property or environment. The plan is reviewed and updated annually with all operating personnel, and tabletop exercises and emergency simulations are conducted to enhance preparedness for these types of events.
Physical security plans are intended to be a guide for all employees in reference to security measures for facilities and employees, as well as designating a Security Team that will be responsible for all aspects of the plan. The nature and severity of the security event is evaluated to determine the required response, coordination and resources.
The cyber incident response (IR) plan outlines the general guidelines for responding to computer security incidents throughout the company’s information technology (IT) and operational technology (OT) environments. In addition to providing a standardized, enterprise-wide IR process flow, it establishes the roles and responsibilities for Essential Utilities and its IR stakeholders, and identifies incident triggering sources, incident types and incident severity levels. This IR plan applies to all Essential Utilities employees and contractors responding to computer security incidents involving Essential Utilities information technology systems and information assets. This IR Plan applies to Essential Utilities IT and OT environments.
Business continuity plans provide mechanisms to ensure an organized response and recovery for any unplanned event that disrupts normal business operations, which could include loss of utility service, loss of access to buildings or any other catastrophic event. The purpose of the business continuity plans is to keep all our water/wastewater and natural gas distribution operating facilities safely online and in compliance with applicable regulatory requirements. This plan also promotes appropriate maintenance of distribution systems, uninterrupted water supply, wastewater processing and gas distribution and the health and welfare of our employees, customers, and their families.
Supplemental plans are used in conjunction with or in a supplemental manner to the Emergency and Incident Response Plans.
The severe weather plan provides a framework for coordination between state level operational leads and enterprise functional leads related to dangerous weather preparation and emergency response. This plan is applicable to weather events (forecasted or actual), that present a risk to operational and/or business continuity. The framework is flexible and can be used for localized, statewide or multi-state events.
The plan is designed for weather events that are unusual for the area of operation. The main types of weather events include, but are not limited to, snow events unusual for the geographic area, prolonged freezing temperatures, heavy precipitation, high wind, hurricanes or flooding. These types of events can result in economic costs, loss of human lives, operational interruptions and property damage. Additionally, these impending events can be designated by a state governor.
Crisis communication plans are a complement to the ERP and the incident management plan (IMP). It serves as a reference guide for utilizing the company’s internal and external communication vehicles as necessary when responding to events that could compromise the brand. This plan is not intended to replace systems and processes already in place as part of the ERPs or IMPs.
IMPs provide mechanisms to ensure an organized response and recovery for any unplanned major event that disrupts multiple normal business operations and further provides structure for managing and coordinating the company’s four individual incident plans: emergency response, business continuity, physical security, and IT cyber security.
Essential provides clean, safe, reliable water and wastewater services.
As a publicly regulated utility, Essential must follow all federal and state water compliance regulations, including those from the Environmental Protection Agency (EPA). We work hard to meet our goal of operating with exceptional compliance with the Safe Drinking Water Act. Across the 1,500+ water systems we own and operate, this compliance allows us to provide safe and reliable drinking water for all customers.
We are committed to providing reliable and efficient wastewater treatment and strive to operate our 200+ wastewater systems in compliance with the Clean Water Act. Most wastewater ultimately ends up back in local rivers or streams, so it is vital that Essential treats all wastewater before it is discharged.
At Essential, we have the technical expertise and experience to offer superior wastewater services that meet all environmental and public health standards. We are continuously modernizing wastewater treatment methods, ensuring our systems protect the surrounding environment and adhere to current standards. Our goal is to return water to our streams and rivers cleaner than when we took it – after a thorough treatment process that includes screening, primary clarification and biological treatment. Beyond returning water to the source, we operate several plants that feature a wastewater reuse program to provide safe and treated irrigation water to local businesses, such as golf courses. This prevents discharge to streams and efficiently reduces demand for freshwater supply. We continue to proactively identify opportunities for wastewater reuse.
Essential’s gas utility operation serves customers in southwestern Pennsylvania and eastern Kentucky. We operate more than 15,300 miles of distribution and transmission pipelines in these areas. Essential also owns and operates more than 1,700 miles of gathering pipelines, 35 compressor stations and six underground storage fields.
Of our 15,300 miles of distribution and transmission pipelines, approximately 14% are made of older vintage (prior to 1970) bare steel or cast/wrought iron and has been identified as aging infrastructure in the company’s Long-Term Infrastructure Improvement Program (LTIIP). This modernization program targets replacement of all aging infrastructure by 2035. Our Distribution Integrity Management Program (DIMP) and Transmission Integrity Management Program (TRIMP) formally operate and maintain these facilities thorough asset management processes and procedures.
Percentage of distribution pipeline
2024 | 2023 | 2022 | |
---|---|---|---|
Cast or Wrought Iron | 0.36% | 0.40% | 0.45% |
Bare Steel | 14.2% | 15.4% | 17.8% |
Our robust inspection and maintenance activities, which are aligned with state regulations that outline the use of various leak detection technologies and methods, mitigate significant pipeline incidents. The Pennsylvania Public Utility Commission (PA PUC) annually reviews and audits our plans for their compliance with all requirements and regulations.
Essential has an aggressive Damage Prevention program to minimize third-party excavation damages. Over the three-year period from 2022 to 2024, we experienced a 12% reduction in damages per 1,000 tickets received. Additionally, we have been installing excess flow valves (EFVs) for new services that operate above 10psi to automatically stop the flow of natural gas if the service line is damaged.
Essential has developed standard operating procedures that detail the requirements and inspection intervals for all operations and maintenance activities to comply with codes and regulations that govern pipeline safety. A dedicated team of engineers serve as the primary liaisons with the state regulatory bodies that audit and inspect these activities. In 2024, the PA PUC conducted 241 audits of field operations and associated records, finding no violations, fines or citations. The Pipeline Safety Division of the PA PUC issued three letters of potential Non-Compliance (NC letters) that recommended minor revisions to procedures and policies to enhance the pipeline safety performance.
2024 | 2023 | 2022 | |
---|---|---|---|
Reportable Incidents | 1 | 1 | 3 |
Corrective Action Orders | 0 | 0 | 0 |
Notices of Probable Violation1 | 0 | 0 | 0 |
Non-Compliance Letters | 3 | 3 | 9 |
2024 | 2023 | 2022 | |
---|---|---|---|
Transmission | 100% | 100% | 100% |
Distribution | 40.0% | 43.1% | 42.9% |
Providing safe and reliable service is the foremost priority for Essential’s operations. Our pipeline integrity programs focus on meeting all regulatory requirements and inspections associated with pipeline safety. The Peoples Gas website has a section dedicated to safety for customers and the public. In addition, our safety and training team conducts natural gas emergency response sessions for municipalities and fire departments, reaching more than 600 emergency responders. We share various communications (such as emails, bill inserts and mailings) to customers, school districts and rural property owners to alert them of the potential hazards of natural gas and their proximity to facilities. We are proud of our pipeline safety record and will continue to improve and innovate our community outreach and coordination efforts.
Our website for first responders, as well as various in-person trainings and events, provides resources and information that promotes safety in various emergency situations.
The PA PUC and the American Gas Association (AGA) annually benchmark average response time and percentage of issues responded to within 60 minutes as two critical emergency response metrics during emergency events involving natural gas. In 2024, Essential achieved an average response time of 26.4 minutes (with an internal goal of 27.1 minutes). In total, Essential responded to 96.8% of emergency situations within 60 minutes (with an internal goal of 98.4%). We participate in several AGA committees to discuss industry best practices on pipeline safety.
2024 | 2023 | 2022 | |
---|---|---|---|
Average minutes to respond | 26.7 | 26.5 | 24.2 |
% Response within 60 minutes | 96.8% | 96.7% | 98.6% |
1 In the interest of transparency, Essential also discloses non-compliance letters received (NC), which do not rise to the level of an NOPV and which we generally categorize as relatively minor.
This commitment is consistent with the rate of reduction necessary through 2035 to keep on track with the Paris Agreement, which aims to limit the global temperature increase to well below 2 degrees Celsius. Across our entire footprint, our utilities – gas, water and wastewater – will all be contributing to this enterprise-wide target by building on important work and progress in recent years. Each Essential Utilities operation will individually aim to achieve an approximate 60% reduction in Scope 1 and 2 emissions.
Transparency is at the center of our sustainability program and is a core value of our company. We will report on our progress toward this goal twice a year until we meet our target. This is a strong first step toward an ultimate aspiration of net zero emissions, which we acknowledge will only be possible with further technological and engineering innovation. While we’re optimistic and excited about the pace of technological advancement, this initial 60% Scope 1 and 2 emissions reduction will come from projects and initiatives we have already planned or put into place. These projects utilize existing, proven technology and methods that have demonstrated real and tangible impacts.
Metric Tons CO2e
2019 Baseline (Scope 1+2 Emissions) |
2035 Target (Scope 1+2 Emissions) |
% Reduction | |
---|---|---|---|
Essential | 670,923 | 268,369 | 60.0% |
Gas distribution | 539,742 | 218,288 | 59.6% |
Water and wastewater | 131,181 | 50,081 | 61.8% |
Through 2024, Essential achieved a 28% reduction in its Scope 1 and 2 emissions versus its 2019 baseline, representing substantial progress toward its 60% target. Moving forward, Essential’s remaining progress toward its GHG emissions reduction commitment of 60% will be primarily driven by its gas operations. We expect a steady incremental reduction each year, reflective of continuing replacement of gas main.
For the third consecutive year, Essential engaged a third party, Keramida, to conduct a limited assurance audit of its Scope 1 and 2 emissions in accordance with ISO 14064-3: 2019 Specification with guidance for the validation and verification of greenhouse gas assertion, which is an approved verification standard accepted by CDP. Keramida is a gold accredited service provider to CDP for verification services.
Water and Wastewater Operations
Procurement of nearly 100% renewable electricity for PA, NJ, OH and IL, as well as nearly 20% renewable electricity procurement for TX.
Gas Operations
Continual replacement of older gas main, which reduces fugitive methane leakage.
Metric Tons CO2e
2024 | 2023 | 2022 | |
---|---|---|---|
Scope 1 emissions | 443,483 | 463,065 | 489,132 |
Scope 2 emissions (market-based) | 39,198 | 41,392 | 51,008 |
Scope 1 and 2 emissions (market-based) | 482,681 | 504,457 | 540,141 |
Scope 3 emissions2 | 8,045,213 | 8,194,886 | 9,020,390 |
1 For historical and more detailed disclosure, please refer to the Gas Operations and Water and Wastewater Operations subsections.
2 Scope 3 emissions for our gas operations relate entirely to downstream emissions from customer combustion of the natural gas we deliver. This is the only material source of Scope 3 emissions for our gas operations.
Almost all of Essential’s Scope 1 emissions come from our gas operations. The vast majority of these emissions relate to fugitive methane from pipeline leaks. As natural gas, which is primarily methane, travels through our network of underground pipes on its way to the customer, a very small portion of this volume leaks out and escapes into the atmosphere, often due to corrosion leaks, material defects or excavation damages. Our Long-Term Infrastructure Improvement Plan (LTIIP) seeks to, over time, systematically replace 3,000 miles of older and more vulnerable sections of pipe made of leak-prone materials. Additionally, as is common across our industry and consistent with regulations, we utilize various leak detection technologies to proactively identify sources of fugitive methane and repair leaks as quickly as possible.
Our gas operations contribute a relatively very small amount of Essential’s Scope 2 emissions. Gas distribution is not an electricity-intensive operation. Even so, we continue to assess ways to increase energy efficiency and reduce consumption.
Materially all of Essential’s Scope 3 emissions are driven by our gas operations through carbon dioxide emitted by customers upon combustion of natural gas in their home or business. We continue to assess opportunities and initiatives to reduce these emissions and are aware that Scope 3 emissions are more challenging to address directly than Scope 1 and 2 emissions across industries. Like most of our peer gas utilities, we are examining exciting opportunities for alternative fuels, such as renewable natural gas or hydrogen, which also serve to reduce Scope 3 emissions.
Metric Tons CO2e
2024 | 2023 | 2022 | |
---|---|---|---|
Scope 1 emissions | 427,104 | 446,929 | 472,807 |
Scope 2 emissions (market-based) | 4,218 | 3,812 | 5,198 |
Scope 1 and 2 emissions (market-based) | 431,322 | 450,741 | 478,006 |
Scope 3 emissions2 | 7,939,416 | 8,070,212 | 8,911,091 |
1 Essential chooses to present Scope 2 emissions using the market-based method, as this approach incorporates the impact of various sourcing decisions, such as our procurement of renewable energy. In contrast, the location-based method reflects the average emissions intensity of grids on which energy consumption occurs. We wish to footnote Essential’s location-based Scope 2 emissions for gas operations: 3,749 (2024), 4,172 (2023), 4,575 (2022).
In 2013 we launched our LTIIP, an aggressive 20-year effort to replace and upgrade more than 3,000 miles of natural gas pipelines with new plastic pipelines that will not corrode. These lines are also flexible and can withstand the region’s seasonal freeze and thaw cycle. To date, Essential has replaced more than 1,200 miles of pipeline, and we anticipate completing this project by 2033. Pipelines selected for replacement are based on operating history and location. We assess about 450,000 segments of pipe and assign a relative risk ranking based on probability of failure and consequence of failure to help us prioritize action.
LTIIP is currently the most significant of our Scope 1 and 2 emissions reduction efforts.
Due to the on-system gas production in our service territory, Essential has a considerable gathering line system that is used to transport natural gas from the wellhead to the distribution system. A separate replacement plan addresses the replacement of gathering assets. As of year-end 2024, Essential’s gas utility has removed or replaced a total of 279 miles of gathering lines from the system.
Scope 2 emissions are most significant for Essential’s water and wastewater operations. It takes considerable electrical energy to treat water and wastewater as well as to pump water through our distribution network of pipes. Year-to-year fluctuations in energy use may be driven by weather events and changes in customer demand for water. We predicate our Scope 2 emissions reduction on three primary strategies, among others. First, we have made strides in making our operations as energy efficient as possible (see Energy Intensity and Supporting Innovative Energy Solutions). We also take care to minimize water loss through leaks (see Reducing Water Loss). By minimizing water loss, we reduce the volume of water that must be treated and moved through our system, thereby reducing energy use. Finally, and most notably, we have made headway in using as much renewable electricity as we can while balancing affordability for customers.
Our Texas operations have also recently increased renewable electricity procurement to about 25%. This major uptick in renewable electricity consumption has quickly and dramatically cut Essential’s Scope 2 emissions.
Scope 1 emissions have historically been a smaller component of Essential’s water operations’ emissions and are primarily driven by gas consumption for heating facilities and powering vehicles and some equipment.
The impact of indirect emissions, Scope 3, is also notable. Tracking and reducing those emissions comprise an important component of our overall carbon reduction strategy.
Pipe replacement activities, which are necessary to address aging infrastructure, are the largest contributor to Scope 3 emissions. The methods and materials used today extend the serviceable usefulness up to 100 years compared to piping installed just 30 years ago, which translates to reduced frequency of pipe replacement over time. Pipe replacement activities also offer an ancillary benefit to our Scope 2 emissions as better and newer piping means less lost water through leaks and main breaks, resulting in a reduction of water that needs to be produced.
Chemicals are required for water safety and quality, and their purchase is Essential’s second largest source of Scope 3 emissions. We acknowledge that warmer water temperatures brought on by climate change will require Essential to use more chemicals to produce safe drinking water. By tracking GHG emissions associated with chemical purchases, we are able to better understand the impact of climate change on treatment operations.
Additionally, the upstream impacts and energy-related activities of the fuel we need to generate electricity significantly contribute to our Scope 3 emissions. By reducing the amount of electricity consumed and increasing our use of renewables, we can reduce this impact. Other Scope 3 contributors are not as material, but we maintain awareness of these items nonetheless.
Metric Tons CO2e
2024 | 2023 | 2022 | |
---|---|---|---|
Scope 1 emissions | 16,378 | 16,136 | 16,324 |
Scope 2 emissions (market-based) | 34,981 | 37,580 | 45,810 |
Scope 1 and 2 emissions (market-based) | 51,359 | 53,716 | 62,134 |
Scope 3 emissions2 | 105,797 | 124,674 | 109,299 |
1 Essential chooses to present Scope 2 emissions using the market-based method, as this approach incorporates the impact of various sourcing decisions, such as our procurement of renewable energy. In contrast, the location-based method reflects the average emissions intensity of grids on which energy consumption occurs. We wish to footnote Essential’s location-based Scope 2 emissions for its water and wastewater business as follows: 102,983 (2024), 114,408 (2023) and 121,190 (2022). The overall reduction of our location-based emissions is largely a reflection of the energy grid’s mix, transitioning away from coal to natural gas and renewables, and we expect this trend to continue.
Topic | Metric Tons CO2e |
---|---|
Purchased goods and services | 37,094 |
Capital goods | 37,956 |
Fuel-and-energy-related activities | 24,691 |
Waste generated in operations | 824 |
Employee Commuting | 1,682 |
Other (upstream) | 3,551 |
Total Scope 3 emissions | 105,797 |
Type | 2024 | 2023 | 2022 |
---|---|---|---|
Total Energy Consumed (MWh) | 785,663 | 780,062 | 761,602 |
Energy Derived from Renewables | 29% | 29% | 29% |
* While Essential consumes the energy generated from onsite solar installations, we sell the associatedrenewable energy credits ( ) in the marketplace.
The physics of moving vast amounts of water and wastewater through networks of pipes to and from Essential’s plants requires extensive amounts of energy; about 75% of the total electricity consumption required across our operations is related to water operations and about 25% is related to wastewater services. We rely on several different sources of energy for various business activities.
Electricity is our most consumed form of energy and nearly all of the electricity we use is needed to operate pumps and treatment equipment at our plants, with the small remainder used in our offices. Vehicle fuel is the second largest source of energy for Essential, as we operate a fleet of vehicles for regular physical monitoring of our infrastructure. Natural gas is used to heat our facilities and is our third largest energy source.
Our total energy consumption in this area of our operations has been relatively consistent over the last three years, with increases attributed to acquisitions and the organic growth of our business.
Essential has also contracted to source nearly 20% of its electricity in Aqua Texas through an offsite solar power purchase agreement (PPA), which started in June 2020. These states feature deregulated energy markets that allow for this arrangement.
2024 | 2023 | 2022 | |
---|---|---|---|
Total Energy Consumed (MWh) | 411,518 | 410,392 | 412,067 |
Energy Derived from Renewables | 56% | 54% | 56% |
2024 | 2023 | 2022 | |
---|---|---|---|
Total Energy Consumed (MWh) | 374,145 | 369,671 | 351,210 |
Energy derived from renewables | 0% | 0% | 0% |
At Essential, we are committed to minimizing the amount of waste generated at our treatment facilities and corporate offices and ensuring it is responsibly managed.
Because the waste produced at our treatment facilities is organic, in many cases it can be beneficially reused in farming and land applications. The nutrients in our organic solid waste can help replenish soil used for growing crops and can therefore replace fertilizer or manure. When it cannot be reused, the waste is sent to a landfill or further processed at another facility.
Because there is a very limited generation of hazardous waste as part of our operations, we do not have an active hazardous waste management program at an enterprise level. We are, however, building better waste management manifests for each of our states and creating a contractor database to promote tracking at the vendor level. Any accidental chemical spills or fuel waste from vehicles and generators are remediated following all local, state and federal environmental rules by certified contractors.
Description | Beneficial Reuse / Recycled | Landfill | Incineration | 2024 Total |
---|---|---|---|---|
Treatment of water | 50,239 (Land application) |
1,859 (company owned landfills) 31 (third-party landfills) |
N/A | 52,128 |
Treatment of Wastewater | 2,278 (Land application) |
4,941 | 797 | 8,016 |
Office Waste / Miscellaneous Non-Hazardous Waste | 353 (Recycled) |
4,927 | N/A | 5,280 |
Natural Gas Liquids | 431 (Fuel blending) |
N/A | N/A | 431 |
Hazardous Waste | 3.6 | N/A | 11.6 | 15.2 |
1 We record waste volumes upon removal from our site, consistent with regulatory reporting requirements. We may temporarily store waste on site in significant volumes and ship in a different year than when generated. Therefore, year over year, this data will vary.
(Dry metric tons)
Emission Type | 2024 | 2023 | 2022 |
---|---|---|---|
Nitrogen Oxides2 (NOx) | 176.1 | 203.0 | 211.0 |
Particulate Matter (PM10) | < 10 | < 10 | < 10 |
Sulfur Oxides (SOx) | 0.2 | 0.2 | < 1 |
Volatile Organic Compounds (VOCs) | 52.4 | 44.8 | 45.8 |
Hazardous Air Pollutants (HAPs) | 22.1 | 21.7 | 23.2 |
1 Emission data from sources within the scope of our required regulatory air emissions reporting. VOC and HAP emissions decreased from previous reporting in part due to alterations to regulatory methodology.
2 Nitrous oxide (N2O) is a greenhouse gas, but we have included it in this section summed with other nitrogen oxides for completeness and because it constitutes a small amount of our total NOx emissions.
- Stephenson, P.J. and Carbone, G. (2021). Guidelines for planning and monitoring corporate biodiversity performance. Gland, Switzerland: IUCN
As a water, wastewater and gas utility, biodiversity and ecosystem health are critical in the sustainability of our organization and fidelity to our mission. While climate change and biodiversity are strongly linked, there are critical distinctions and independent dynamics between them that play a role and have different consequences. However, in each case, Essential acknowledges and is optimistic about the positive impacts we can have as an experienced environmental steward endowed with trust by our local communities.
When we consider biodiversity and ecosystem impacts material to our industry, it is important to note their bidirectional nature: there are impacts from our business operations and to the environment as well as from the environment and to our business operations. As frameworks for corporate reporting in this area continue to develop, Essential will continue to analyze and consider risks and opportunities that are particularly material. For now, we note our awareness of general risks to and from operations typical of our industry and not Essential specifically.
In line with this understanding, Essential has expanded the company’s Sustainability and Environmental Policy. While these stated commitments reflect past efforts and guiding principles we have held for generations, we believe memorializing these in a formal policy offers deeper assurance to our stakeholders and promotes greater awareness for our team.
We strive to:
While we believe many of our activities and operations promote positive ecological impacts, there are some instances and circumstances in which there arises a conflict in need of a solution. In these cases, we strive to act in accordance with a mitigation hierarchy:
Measures taken to avoid creating impacts from the outset (including direct, indirect and cumulative impacts), such as careful spatial or temporal placement of elements of infrastructure, to completely avoid impacts on certain components of biodiversity.
Measures taken to reduce the duration, intensity and/or extent of impacts (including direct, indirect and cumulative impacts) that cannot be completely avoided, as far as is practically feasible.
Measures taken to rehabilitate degraded ecosystems or restore cleared ecosystems following exposure to impacts that cannot be completely avoided or minimized.
Measures taken to compensate for any significant residual, adverse impacts that cannot be avoided, minimized and/or rehabilitated or restored, in order to achieve no net loss or preferably a net gain of biodiversity. Offsets can take the form of positive management interventions such as restoration of degraded habitat, arrested degradation or averted risk, or protecting areas where there is imminent or projected loss of biodiversity.
Measures to recompense, make good or pay damages for loss of biodiversity caused by a project that can fall short of achieving no net loss or a net gain.
Essential takes numerous actions across our footprint to promote biodiversity and ecosystem health. As a highly regulated utility, many of these are required or prescribed by authorities. For example, in Pennsylvania, we must abide by Pennsylvania Natural Diversity Inventory (PNDI) requirements. Essential is currently undertaking a GIS-aided biodiversity assessment of areas under our protection across our footprint. Understanding and mapping the richness of life on our lands is a necessary precursor to broader actions or additional enterprise- level commitments we may make moving forward. Further, our Earth Day volunteerism activities across the company, detailed here, educate employees on the vital role we can all play in conservation.
Essential has expanded its reporting and policy language for biodiversity and ecosystems with the awareness that there are international efforts currently underway to develop common frameworks and raise the level of ambition in the business community around these principles. We welcome these proceedings and will be assessing them, particularly the recommendations of the Task Force on Nature-Related Financial Disclosures (TNFD), in the future for possible alignment. We also continue to assess new opportunities within our operations to promote biodiversity and strengthen our current initiatives in this area.