Sustainability is a strategic priority for Sembcorp Marine. The continued success of the Group depends very much on how we balance our business objectives, meet the needs of our people and the communities as well as protect the environment.
Sustainability is embedded in Sembcorp Marine’s business growth strategy. While advancing our business objectives, we are committed to good corporate governance, environmental sustainability and social growth in all aspects of our operations.
Recognising that our business activities have an impact on the societies we operate in, we aim to be a responsible corporate citizen through:
- Providing a rigorous system of policies, practices and internal controls upheld by our Board, management and employees
- Delivering value-added and quality solutions that meet our customers’ needs
- Fostering a supportive and motivating company culture for our people
- Ensuring a safe and secure workplace as well as proactively managing health and safety risks
- Protecting and conserving the environment
- Making a positive difference to the communities we operate in
Sembcorp Marine’s vision and eight core values form the guiding principles in the way the Group manages sustainability and interacts with stakeholders. Strategic business units and corporate functions have robust policies and systems in place to manage the wide range of sustainability issues in our business activities.
Approach to Sustainability
Our sustainability strategy comprises four key sustainability dimensions, namely Business Growth, Environmental Sustainability, Social Growth and Corporate Governance. In the course of our regular materiality reviews, we identified seven key material issues in 2017. For more information on our sustainability material issues, please click here.
Our sustainability performance is assessed by the Sembcorp Marine Sustainability Council, Senior Management Committee (SMC) and the Board Executive Committee. Sembcorp
Marine’s Board of Directors is ultimately responsible and accountable for the Group’s sustainability performance and reporting. The Board also has oversight in addressing environmental, social and governance risks and opportunities, including matters relating to climate change, human rights, operations and business integrity.
The Sustainability Council oversees the Group’s sustainability performance. Led by the President & CEO, the Council is tasked with creating value for all our stakeholders by integrating economic, governance, social and environmental standards and responsibilities into the Sembcorp Marine approach to business. The objective of Sembcorp Marine’s management approach is to mitigate or remediate negative impacts and enhance positive opportunities through the Group’s policies and programmes.
The Council, comprising champions from various cross-functional working groups, is responsible for formulating corporate sustainability strategies, policies and mitigation actions and for advancing sustainability opportunities. The Council reports to the SMC, which meets regularly to discuss major operational issues. The SMC reports on Sembcorp Marine’s performance and targets at Board Executive Committee meetings.
The Sustainability Secretariat coordinates with the working groups to implement strategies, identify specific emerging issues and engage stakeholders.
All Sembcorp Marine employees are encouraged to carry out the Group’s sustainability efforts.
Our Approach to Reporting
Sembcorp Marine has been reporting on its sustainability performance on an annual basis since 2011. From FY 2019, we will be presenting our sustainability performance annually in a standalone Sustainability Report, accessible here. Prior to that, our Sustainability Reports were previously integrated into the company’s Annual Reports and can be found here. Our Sustainability Report should be read in conjunction with our Annual Report and online content of this website for a holistic view of Sembcorp Marine’s sustainability efforts.
Our Sustainability Reports are prepared in accordance with the SGX sustainability reporting guidelines and GRI Standards: Core option. The Group has integrated two additional sustainability reporting frameworks – the United Nations Sustainable Development Goals and the Oil and Gas Industry Guidance on Voluntary Sustainability Reporting, issued by IPIECA, the American Petroleum Institute (API) and the International Association of Oil & Gas Producers (IOGP).
We are also working towards incorporating the Task Force on Climate-related Financial Disclosures (TCFD) recommendations in our sustainability reporting. Information in our latest Sustainability Report on our climate-related disclosures based on TCFD recommendations can be found here.
Since 2019, we have expanded the scope of our sustainability reporting to cover yards under our operational control in Indonesia and Brazil, in addition to our operations in Singapore, unless otherwise stated. These three regions have the most significant impact on our organisation and our stakeholders.
More information about our approach to sustainability can be found in the latest release of our report. To read more on Sembcorp Marine’s COVID-19 response and stakeholders engagement in 2020, please click here. Further details on our stakeholder engagement and platforms can be found at this link.