As Pakistan battles the devastating impacts of global climate change, Oil and Gas Development Company Limited (OGDC) is at the forefront of sustainable transformation.

As the country’s largest exploration and production (E&P) company, OGDC is aligning its operations with global climate priorities while continuing to support national energy needs. The company’s approach reflects a growing recognition that economic growth and environmental sustainability must go hand in hand.

Responding to a climate emergency

Climate change is no longer a distant threat for Pakistan. The country has faced repeated floods, extreme heatwaves and worsening air pollution in recent years.

According to the World Bank’s Country Climate and Development Report, climate risks could reduce Pakistan’s GDP by at least 18 to 20 percent by 2050. Environmental degradation is also taking a heavy human toll. Accoring to the WHO Global Health Observatory report, around 200 deaths per 100,000 population in Pakistan are attributable to air pollution and related health impacts.

Similarly, outdoor air pollution contributes to 22,000 premature adult deaths, while indoor pollution accounts for 40 million cases of acute respiratory infections and 28,000 deaths per year, according to the the WHO Global Health Observatory.

This context underscores the urgency for large-scale, coordinated action. As a leading energy producer, OGDC acknowledges its responsibility in addressing these challenges. The company is actively adapting its business model to reduce emissions, improve efficiency and contribute to a more sustainable energy future.

Driving ESG integration

A key pillar of OGDC’s sustainability strategy is the adoption of Environmental, Social and Governance (ESG) model. The company has taken a leading role in implementing ESG frameworks within Pakistan’s energy sector. Its first ESG report, launched at COP29 in Baku in 2024, marked a significant step toward transparency and accountability.

OGDC’s ESG strategy is aligned with the United Nations Sustainable Development Goals (SDGs). It focuses on reducing environmental impact, promoting social development and strengthening governance practices.

The company has also established an independent ESG Committee at the board level to ensure that sustainability considerations are embedded in strategic decision-making.

Beyond compliance, OGDC views ESG as a driver of long-term value. Its initiatives support net-zero ambitions, sustainable growth and inclusive development. Participation in national efforts such as the Breathe Pakistan initiative further reflects its commitment to addressing climate change at both policy and community levels.

Reducing emissions and enhancing efficiency

OGDC has adopted a structured approach to climate adaptation and mitigation. In 2024, the company undertook a comprehensive assessment of its greenhouse gas emissions. It developed a GHG inventory and set measurable emission reduction targets.

Operational improvements are central to this strategy. OGDC has introduced flaring reduction programmes and methane leak detection systems to lower emissions. It is also exploring advanced technologies, including carbon capture and storage solutions, to further reduce its environmental footprint.

The company’s commitment extends to international frameworks as well. As a signatory to the Oil and Gas Decarbonization Charter at COP28, OGDC has pledged to achieve net-zero operations by 2050, eliminate routine flaring by 2030 and significantly reduce methane emissions.

Environmental sustainability and innovation

Environmental protection is deeply integrated into OGDC’s operations. The company has launched several initiatives to preserve ecosystems and promote sustainability. These include reforestation programmes, biodiversity conservation efforts and innovative waste management solutions.

OGDC also adopted the use of Floating Treatment Wetlands (FTWs) for wastewater treatment at its fields. The company has implemented the technology at key its operational fields such as Rajian, Dakhni and Nashpa. This technology uses natural processes to treat contaminated water. The treated water can then be reused, particularly for plantation purposes, reducing environmental impact and improving resource efficiency.

OGDC has also undertaken large-scale plantation drives, including a nationwide Miyawaki forest campaign. These dense, native forests enhance carbon absorption and support ecological restoration.

Furthermore, OGDC has initiated an olive plantation project in Lakki Marwat, promoting sustainable agriculture and supporting local livelihoods. The company is also collaborating with the Capital Development Authority (CDA) for a comprehensive landscaping and tree plantation project in Islamabad.

Expanding renewable energy and community impact

Recognising the importance of clean energy, OGDC is investing in renewable solutions at the community level. The company has solarised homes in remote areas such as Gazboba Bettani in Lakki Marwat, providing sustainable electricity to underserved populations.

The company has also installed solar-powered water pumping systems in regions like Kharan, Noshki and Dera Bugti of Balochistan, ensuring reliable access to clean water.

Commitment to communities and social development

Corporate Social Responsibility (CSR) remains a cornerstone of OGDC’s operations. The company allocates a portion of its profits to public welfare programmes, focusing on education, healthcare, environment, infrastructure and clean water access.

Through partnerships with local organisations, OGDC supports economic development and empowers small businesses. The company’s contributions towards education and skill development aim to build long-term capacity and improve socio-economic outcomes.

Ensuring safety and governance excellence

OGDC places strong emphasis on Health, Safety, Environment and Quality (HSEQ) standards. The company promotes a culture of safety and compliance across all operations. Regular training, strict adherence to regulations and robust emergency response systems are key components of its HSE framework.

The company’s Enterprise Risk Management (ERM) system further strengthens governance. By integrating ESG risks into its risk framework, OGDC ensures that environmental and social considerations are systematically addressed.

OGDC’s comprehensive approach demonstrates that sustainability is no longer optional but essential for long-term success. The company’s efforts highlight the role that responsible corporate leadership can play in shaping a resilient and sustainable future.

This content is an advertorial by OGDC and is not associated with or necessarily reflective of the views of Dawn.com or its editorial staff.