APA Group (ASX:APA) today announces the release of its 2025 Climate Transition Plan (CTP), building on progress made since APA’s inaugural CTP released in 2022 and highlighting portfolio resilience to physical climate and transition risks.
The refreshed CTP captures the considerable progress made over the last three years and reconfirms APA’s commitment to its 2030 gas infrastructure and methane emissions reduction targets along with its power generation emissions intensity goal.
Key highlights since 2022 CTP
- Delivered 6.5% gross emissions reduction and 13.3% net reduction (including offsets) in gas infrastructure emissions (relative to our FY21 base year).
- Delivered 11.6% reduction in emissions intensity for power generation infrastructure through investments in renewable energy generation (relative to our FY21 base year).
- Enhanced approach to methane measurement and disclosure, including direct measurement reporting on three of our gas infrastructure assets in the 2025 Climate Report.
- Extensive engagement with securityholders on climate and transparent annual disclosures and reporting of progress.
Key highlights of APA's 2025 CTP
- Reconfirmed commitment to:
- 30% reduction in operational gas infrastructure emissions by 2030 (FY21 base year)
- 30% reduction in methane emissions by 2030 (FY21 base year)
- 35% reduction in power generation infrastructure emissions intensity by 2030 (FY21 base year).
- Committed to Scope 3 medium-term goals and long-term ambition.
- Expanded role in Australia’s energy transition, including through supporting customers’ decarbonisation plans.
- Integrated lower emissions options in new infrastructure.
- Continued focus on enhancing resilience of our business to climate related transition and physical risks.
CEO comments
APA CEO and Managing Director, Adam Watson, said:
“We have made strong progress over the last three years delivering on the foundational commitments in our 2022 CTP. With our approach to climate now embedded across our business, our 2025 CTP is integrated with our strategy and the important role our business will continue to play in Australia’s energy transition.
“Ongoing investment in gas transmission, storage and associated infrastructure, and gas-powered generation infrastructure, will support energy security, help power Australian industry and provide the firming capacity needed to support renewables as coal-fired power stations retire.
“We recognise that this necessary investment will likely result in emissions growth for APA, however, the economy-wide emissions reduction this is expected to deliver must be prioritised.
“Our ongoing work in power generation in remote regions will also support decarbonisation in key industries within our economy, as we deliver reliable, affordable and lower emissions energy to our customers and communities.
“This comprehensive CTP will ensure we continue to decarbonise our operations, while further embedding climate action and risk management into the business and strengthening our role in Australia’s energy transition.”
APA’s 2025 CTP introduces new metrics to track relevant aspects of Australia’s energy transition and discloses how APA is contributing to broader decarbonisation of the economy. It reflects consideration of lessons learned from its 2022 CTP, feedback from securityholders, a review of emissions reduction pathways, transition risk and opportunities analysis, and assessment of the external business context.
This includes consideration of the critical role APA’s gas transmission and storage assets (including associated facilities) will play in system-wide decarbonisation, the need to balance structural abatement and offsets as markets, supply chains, our business and technology evolves and the coverage of APA's major assets by the Australian Government's Safeguard Mechanism.