2019 Data Update
2018 Sustainability Report
Sustainability
Building a positive legacy
Delivering the energy people need connects us to the land and communities where we operate.
For more than 65 years we’ve proudly managed our network of pipelines and facilities in a way that respects the people and environment where we work.
At Pembina we focus on:
- The safety and integrity of our assets
- Reducing our environmental impacts
- Developing strong relationships in the communities where we have a presence
- Diversity and inclusion within our workforce
2020 Sustainability Performance Highlights
- Working safely is a way of life at Pembina and our safety record continues to exceed the industry average
- Pembina is proud to once again be recognized as one of Canada's Top 100 Employers
- Demonstrated our support to the communities in which we have a presence, with a direct investment of $10 million in 2019, a 30 percent increase over the prior year
- Increased the number of Indigenous suppliers utilized in 2019, a 32 percent jump over the prior year
- Successfully leased and remediated a historically contaminated site to create a key income generating asset, Pembina's Prince Rupert Propane export terminal, a propane export facility anticipated to be in-service in 2021
- Advanced the implementation strategy for our Carbon Stand as well as our Inclusion and Diversity Stand
- Increased Board diversity with women now representing 36 percent of Pembina's Board of Directors
For more information on how we achieve our sustainability goals, read our full report.
Sustainability Report
Past Reports
Performance Tables
The 2020 Sustainability Report includes data for the years 2017 to 2019. The following tables include updates for our 2019 performance and should be read together with the 2020 Sustainability Report.
| Units | 2017 | 2018 | 2019 | |
|---|---|---|---|---|
| Employees | ||||
| Fatalities | # | 0 | 0 | 0 |
| Total recordable injury frequency (TRIF)3 | # | 0.19 | 0.25 | 0.34 |
| Preventable motor vehicle incident frequency (MVI)4 | # | 1.36 | 0.46 | 0.49 |
| Lost time injury frequency rate (LTIFR)5 | # | 0.31 | 0.25 | 0.42 |
| Industry Average6 | ||||
| Fatalities | # | 0 | 0 | 0 |
| Total recordable injury frequency (TRIF)3 | # | 0.43 | 0.49 | 0.72 |
| Preventable motor vehicle incident frequency (MVI)4 | # | 1.37 | 1.07 | 0.70 |
| Third-Party Contractor | ||||
| Fatalities | # | 0 | 0 | 0 |
| Total recordable injury frequency (TRIF)3 | # | 1.14 | 1.58 | 1.22 |
| Preventable motor vehicle incident frequency (MVI)4 | # | 1.82 | 1.26 | 1.45 |
| Lost time injury frequency rate (LTIFR)5 | # | 0.92 | 1.32 | 0.24 |
Asset Integrity Investment
| Units | 2017 | 2018 | 2019 | |
| Pipeline repairs & in-line inspections | $ millions | 48 | 47 | 59 |
| Geotechnical | $ millions | 26 | 27 | 47 |
| Facility integrity | $ millions | 8 | 3 | 3 |
| Total | $ millions | 82 | 77 | 109 |
Pipeline Repairs & In-Line Inspections (ILIs)
| Units | 2017 | 2018 | 2019 | |
| Integrity digs completed | # | 296 | 284 | 218 |
| Total ILIs completed7 | # | 91 | 88 | 97 |
| Total ILI length7 | km | 3,440 | 3,328 | 3,810 |
| Percentage pipelines inspected | % | 23 | 27 | 30 |
Incidents (Spills, Releases and Significant Failures)
| Units | 2017 | 2018 | 2019 | |
| Reported significant failures8 | # | 0 | 0 | 2 |
| Reportable spills | # | 7 | 5 | 8 |
| Released substances from reportable spills | m3 | 4 | 8 | 38 |
| Reportable spill intensity | m3 spilled/ mmboe delivered |
0.0060 | 0.0075 | 0.0352 |
Emergency Preparedness & Response
| Units | 2017 | 2018 | 2019 | |
| Emergency preparedness and response exercises completed | # | 45 | 51 | 70 |
| Emergency preparedness and response training completed | # of responders | 187 | 429 | 744 |
Energy & GHG Emissions9,10,11
| Units | 2017 | 2018 | 2019 | |
| Pipelines direct GHG emissions12 | tCO2e | 53,061 | 68,454 | 67,107 |
| Facilities direct GHG emissions12 | tCO2e | 966,070 | 1,554,920 | 1,640,847 |
| Total direct GHG emissions12 | tCO2e | 1,019,131 | 1,623,374 | 1,707,954 |
| Pipelines direct emissions intensity | tCO2e/BOE | 0.000122 | 0.000106 | 0.000099 |
| Facilities direct emissions intensity | tCO2e/BOE | 0.00427 | 0.00372 | 0.00408 |
| Total direct emissions intensity | tCO2e/BOE | 0.00154 | 0.00153 | 0.00158 |
| Pipelines indirect GHG emissions13 | tCO2e | 335,386 | 475,299 | 522,893 |
| Facilities indirect GHG emissions13 | tCO2e | 686,223 | 936,071 | 856,157 |
| Total indirect GHG emissions13 | tCO2e | 1,021,609 | 1,411,370 | 1,379,049 |
| Pipelines indirect emissions intensity | tCO2e/BOE | 0.000771 | 0.000736 | 0.000773 |
| Facilities indirect emissions intensity | tCO2e/BOE | 0.00303 | 0.00224 | 0.00213 |
| Total indirect emissions intensity | tCO2e/BOE | 0.00154 | 0.00133 | 0.00128 |
| Methane emissions | metric tonnes |
6,633 | 5,327 | 4,918 |
| Total energy consumed | GWh | 1,365 | 2,206 | 2,164 |
| Limiting regulations14 | % | 56 | 45 | 40 |
Other Emissions9,10
| Units | 2017 | 2018 | 2019 | |
| Total NOx emissions | metric tonnes |
2,101 | 3,262 | 3,467 |
| Total SOx emissions | metric tonnes |
778 | 1,581 | 1,651 |
| Total VOCs | metric tonnes |
1,312 | 10,183 | 4,879 |
| Total particulate matter | metric tonnes |
182 | 241 | 299 |
| Units | 2017 | 2018 | 2019 | |
| High-risk assessments completed as part of historic liability program | % | 100 | 100 | 100 |
| Well sites receiving reclamation certificate as part of wellsite reclamation program | % (cumulative) |
34 | 46 | 52 |
| Land reclaimed, protected or restored | acres (cumulative) |
25.4 (169.8) |
61.8 (231.6) |
31.8 (263.4) |
| Units | 2017 | 2018 | 2019 | |
| Total waste (non-hazardous + hazardous) | metric tonnes |
263,042 | 581,937 | 595,262 |
| Total non-hazardous waste | metric tonnes |
244,427 | 527,565 | 543,395 |
| Non-hazardous waste diverted from landfill (i.e., recycled) | metric tonnes |
92,744 | 369,678 | 365,471 |
| Non-hazardous waste sent to disposal (i.e., landfill, incineration) | metric tonnes |
151,682 | 157,887 | 177,924 |
| Total hazardous waste | metric tonnes |
18,615 | 54,372 | 51,867 |
| Hazardous waste sent for treatment | metric tonnes |
507 | 1,182 | 1,578 |
| Hazardous waste sent to disposal (i.e., landfill, incineration) | metric tonnes |
18,109 | 53,190 | 50,289 |
| Units | 2017 | 2018 | 2019 | |
| Total water withdrawal | million m³ | 2.219 | 1.870 | 1.555 |
| Total water disposed (i.e., regulated disposal facility or deep injection well) | million m³ | 2.049 | 0.780 | 0.152 |
| Total water returned to the environment | million m³ | 0.870 | 1.089 | 1.039 |
Environmental Technician Program Performance
| Units | 2017 | 2018 | 2019 | |
| Program technicians trained | # | 20 | 2 | 22 |
| Program technicians subsequently employed by band-owned businesses | # | 41 | 18 | 14 |
| Communities represented in program | # | 15 | 7 | 6 |
| Pembina projects utilizing technicians | # | 6 | 12 | 14 |
| Aboriginal and Tribal communities engaged for services | # | 37 | 36 | 43 |
| Aboriginal and Tribal suppliers utilized | # | 112 | 91 | 120 |
Summary of Community Investment Program15
| Units | 2017 | 2018 | 2019 | |
| Value to communities (value of Company investments, employee giving and volunteering program) | $ millions | 6.9 | 11.4 | 14.5 |
Summary of Company Community Investment15
| Units | 2017 | 2018 | 2019 | |
| Cash investments (direct only) | $ millions | 4.1 | 7.5 | 10.0 |
| In-kind investments | $ millions | - (16) | - (16) | 0.058 |
| Employee giving | $ millions | 2.4 | 2.8 | 3.3 |
| Employee time during work hours | $ millions | 0.24 | 0.33 | 0.47 |
| Other | $ millions | 0.16 | 0.77 | 0.67 |
Summary of Employee Volunteering15
| Units | 2017 | 2018 | 2019 | |
| Employee and contractor hours volunteered (during working hours) | # | 4,049 | 5,562 | 7,926 |
| Hours per employee (during working hours) | # | 2.5 | 2.9 | 3.2 |
Workforce Overview17, 18
| Units | 2017 | 2018 | 2019 | |
| Permanent employees | # | 1,528 | 1,894 | 2,515 |
| Invoicing contractors19 | # | 539 | 750 | 823 |
| Fixed-term employees | # | 75 | 86 | 127 |
| New hire permanent employees | # | 287 | 458 | 494 |
Workforce Composition20
| Units | 2017 | 2018 | 2019 | |
| Men | # % |
1,101 72 |
1,377 71 |
1,702 73 |
| Women | # % |
427 28 |
563 29 |
634 27 |
| Aboriginal peoples | # % |
65 4 |
78 4 |
88 4 |
| Persons with disabilities | # % |
14 1 |
16 1 |
18 1 |
| Visible minorities | # % |
145 9 |
220 11 |
261 11 |
Workforce Performance17
| Units | 2017 | 2018 | 2019 | |
| Total employee turnover | % | 7.8 | 7.8 | 8.6 |
| Voluntary employee turnover | % | 3.7 | 4.9 | 4.9 |
Workforce Diversity17
| Units | 2017 | 2018 | 2019 | |
| Executive team | # of male # of female |
5 0 |
7 0 |
7 0 |
| Vice presidents | # of male # of female |
13 2 |
15 3 |
14 4 |
| Senior managers & managers | # of male # of female |
75 36 |
129 47 |
158 64 |
| Other employees | # of male # of female |
1,005 386 |
1,206 486 |
1,676 591 |
Workforce Age Demographic17, 21
| Units | 2017 | 2018 | 2019 | |
| Total employees aged over 50+ | # % |
- (16) - (16) |
456 24 |
624 25 |
| Total employees aged between 30 and 49 | # % |
- (16) - (16) |
1,205 64 |
1,530 63 |
| Total employees under 30 | # % |
- (16) - (16) |
233 12 |
294 12 |
Company Financial Snapshot
| Units | 2017 | 2018 | 2019 | |
| TSX common share trading price18 | $/share | 45.51 | 40.51 | 48.13 |
| TSX 52-week trading range | $/share | 46.14 – 39.26 |
47.52 - 38.49 |
50.46 - 41.23 |
| Market capitalization18,22 | $ millions | 22,892 | 20,580 | 26,375 |
| Total enterprise value18,23 | $ millions | 34,556 | 32,235 | 40,468 |
| Common share dividend paid | $/share | 2.02 | 2.23 | 2.35 |
| Yield18 | % | 4.75 | 5.63 | 5.24 |
| Corporate credit rating24 | - | BBB/BBB | BBB/BBB | BBB/BBB |
Capital Investments and Acquisitions25
| Units | 2017 | 2018 | 2019 | |
| Capital investments | $ millions | 1,839 | 1,226 | 1,645 |
| Acquisitions | $ millions | 6,400 | 0 | 4,255 |
Economic Value Generated, Distributed and Retained26
| Units | 2017 | 2018 | 2019 | |
| Net revenue27 | $ millions | 2,238 | 2,836 | 3,120 |
| Total Economic Value Generated28 | $ millions | 2,238 | 2,836 | 3,120 |
| Operating and general and administrative expenses29 | $ millions | 263 | 324 | 299 |
| Employee wages and benefits | $ millions | 350 | 420 | 489 |
| Payments to governments30 | $ millions | 94 | 123 | 274 |
| Payments to providers of capital31 | $ millions | 1,029 | 1,561 | 1,659 |
| Community investments | $ millions | 4 | 8 | 10 |
| Total Economic Value Distributed | $ millions | 1,740 | 2,435 | 2,731 |
| Total Economic Value Retained | $ millions | 498 | 401 | 389 |
Taxes Paid
| Units | 2017 | 2018 | 2019 | |
| Canadian taxes paid | $ millions | 14 | 75 | 227 |
| U.S. taxes paid | $ millions | 34 | (5) | (17) |
Abbreviations
"km" means kilometres"m3" means metres cubed
"mmboe" means millions of barrels of oil equivalent
"tCO2e" means tonness of carbon dioxide equivalent
"BOE" means barrels of oil equivalent
"GWh" means gigawatt hours
"MT" means metric tonnes
"NOx" means nitrogen oxide
"SOx" means sulphur oxide
"VOC" means volatile organic compunds
"MW" means megawatts
"ktC02e" means kilotonnes of carbon dioxide equivilent
Footnotes
1 Unless otherwise noted, the data reflects all Pembina majority-owned and operated assets. Assets which are jointly owned and which Pembina does not operate are excluded. Except where specifically noted, the assets assumed by way of the acquisition of Kinder Morgan Canada Limited and the U.S. portion of the Cochin Pipeline system, which closed on December 16, 2019, are also excluded from the reported data.2 Prior periods (2017-2018) have been restated from data reported in Pembina's 2019 Sustainability Data Update as a result of new available information or a change in methodology.
3 Total recordable injury frequency rate (TRIF) is defined as the number of recordable injuries per 200,000 hours of work.
4 Motor vehicle incident frequency rate (MVI) is the number of preventable incidents per 1,000,000 km driven.
5 Lost Time Injury Frequency Rate (LTIFR) are based on 1,000,000 hours of work.
6 Industry average based on employee data from member companies reported by the Canadian Energy Pipeline Association (CEPA).
7 Included in this total is maintenance ILIs and post construction ILIs.
8 Pembina uses CEPA's definition of a significant failure incident – a failure incident that includes one or more of the following: caused a serious injury or fatality, caused a liquid release of greater than 8 m³ (50 US barrels), produced an unintentional ignition or fire, or occurred as a rupture.
9 Pembina participates in the following applicable regulated emissions reporting programs: Canadian Greenhouse Gas Emissions Reporting Program, British Columbia Greenhouse Gas Industrial Reporting and Control Act, Alberta Specified Gas Reporting Regulations, Alberta Carbon Competitiveness Incentive Regulations, Saskatchewan Management and Reduction of Greenhouse Gases Regulations and Standards, Ontario Greenhouse Gas Emissions Reporting (O Reg. 390/18) and the Canadian Natural Pollutant Release Inventory Reporting Program.
10 The reported emissions are based on operational control and direct emissions sources primarily using metered fuel volumes or invoiced volumes; however, in instances where metering data is not available, calculated emissions from sources were determined using industry best practices and accepted regulatory methodologies.
11 The revisions are the result of changes to Pembina's calculation methodology.
12 Direct GHG Emissions (Scope 1) sources in the reported data include emissions from operational stationary combustion equipment, fugitive component leaks, as well as flaring, incineration and venting activities at gas processing facilities, and vented emissions from above ground storage tanks.
13 Indirect GHG Emissions (Scope 2) sources in the reported data include the electrical consumption used to power natural gas and processing plants, NGL processing plants and the various pipeline systems operated by Pembina. Waste heat imported into our NGL processing plants from a third-party source is not currently included in this report. Sources of indirect emissions, such as those from office buildings or communication towers are not currently included in this report. Scope 3 emissions (e.g., employee travel, supply chain emissions or upstream/downstream hydrocarbon emissions) are currently not included in this report.
14 Percent of emissions which fall under emissions-limiting regulations (i.e., cap and trade or carbon price systems).
15 Assets excluded from Community Investment include: VMLP and Aux Sable.
16 Metrics were not available as data was not tracked on a comparable basis and/or due to revisions to the calculation methodology.
17 Workforce data for 2019 includes the assets assumed by way of the acquisition of Kinder Morgan Canada Limited and the U.S. portion of the Cochin Pipeline system, which closed on December 16, 2019.
18 At December 31 each year.
19 Represents invoicing contractors as of December 31. These numbers fluctuate throughout the year based on business requirements.
20 Represents Canadian workforce only. Temporary employees added in for 2018 and 2019.
21 Excluded from the 2019 figures are 67 U.S. employees associated with the acquisition of Kinder Morgan Canada Limited and the U.S. portion of the Cochin Pipeline system, which closed on December 16, 2019. Diversity information (including age) was not tracked for these employees, however we intend to report this information in later reports.
22 Market capitalization includes common shares.
23 Total enterprise value includes common shares, convertible debentures, preferred shares and proportionately consolidated debt less cash.
24 DBRS and S&P.
25 This economic section accounts for all Pembina assets excluding Equity Accounted Investees.
26 This report refers to the terms net revenue, total economic value generated, payments to governments, payments to providers of capital, total economic value distributed and total economic value retained, which do not have any standardized meaning under IFRS ("Non-GAAP Measures"). Please refer to "Non-GAAP Measures" in the Company's other disclosure including the quarterly and annual Management Discussion and Analysis available on SEDAR or at www.pembina.com. This report also refers to certain other terms commonly used to satisfy sustainability reporting requirements. These terms are not necessarily used by Pembina in the management of business. This economic section accounts for all Pembina assets excluding Equity Accounted Investees.
27 Net Revenue represents revenue less cost of sales. See "Non-GAAP Measures".
28 Economic Value Generated is equivalent to Net Revenue. See "Non-GAAP Measures".
29 Operating expenses plus general and administrative expenses less personnel expenses.
30 Current income taxes plus property taxes.
31 Dividends paid plus net finance cost plus interest paid during construction.