Corporate governance

Investors

Good governance is at the core of how Saudi Aramco operates and is fundamental to sustainable success.

Saudi Aramco has had the opportunity to leverage shared knowledge, expertise and experience since its earliest days, and continues to advance its operating platforms and governance mechanisms.

The Company’s approach to managing sustainability considerations builds upon this foundation and has continued to mature in parallel with an evolving business context. The Company has established Board and Company committees, processes and procedures, and Environment, Social and Governance (ESG) is integrated into its Risk Register and Enterprise Risk Management (ERM) systems.

Sustainability is a priority for Saudi Aramco at the Senior Executive and Board levels. Established committees, systems, procedures and programs are in place to manage ESG matters and provide the Company with the ability to respond in an orderly manner.

Sustainability-related initiatives and performance have historically been managed by a variety of operational functions and overseen by governing bodies across the Company, in alignment with its corporate strategies, and monitored by the Board and associated committees.


Risk and Health, Safety, and Environment (HSE) Committee

The Board’s Risk and Health, Safety, and Environment (HSE) Committee provides strategic direction and governance on health, safety, and environmental matters. It oversees the management of the associated risks and performance indicators.
The Company’s Health, Safety, Security and Environmental (HSSE) Committee establishes the Company’s safety policy and standards covering key issues, including emergency preparedness, incident reporting and investigation, competency and training, community awareness, off-job safety, risk management and asset integrity. This Committee actively tracks and monitors the health, safety, security, and environmental performance across the organization to extend accountability and improve safety performance.

Sustainability

A Sustainability function has been established to oversee the management of ESG issues and is responsible for developing, ensuring implementation, and communicating Company positions on emerging sustainability topics, aligning with Company strategy and objectives, building awareness, and sustainability reporting.
Saudi Aramco’s performance dashboards include ESG-related Key Performance Indicators (KPIs), and are reviewed by management on a regular basis. Corporate KPIs are used to measure performance and to allocate annual performance bonuses for all employees.

Sustainability Steering Committee

A Sustainability Steering Committee, made up of leaders from across the business, guides and oversees management of material sustainability issues and actions.  This includes climate change and further actions to further reduce the carbon intensity of our operations and assets, and the understanding of future energy, technology and climate change trends. The Committee facilitates coordination and collaboration among relevant internal and external organizations and parties with respect to sustainability matters.

Nomination Committee

A Nomination Committee oversees, reviews, and approves changes to the Company’s corporate governance practices and procedures. It also develops and recommends codes of professional conduct and ethics representing the Company’s values. The Nomination Committee advises the Board regularly with respect to significant developments in corporate governance practices.

Our comprehensive corporate governance structure shapes who we are and how we are seen by the world.