Ms Smitha Shetty, Regional Director for APAC at Achilles Information Ltd.

How are oil & gas companies rethinking their operational strategies to prioritise carbon emissions reduction?

Oil and gas companies are increasingly rethinking their strategies to prioritise a low-carbon future, adapting in three major ways: decarbonising current operations, diversifying energy portfolios, and boosting transparency and accountability.

To decarbonise operations, companies are optimising energy use, electrifying equipment, and deploying carbon capture, utilisation, and storage (CCUS) technologies to curb emissions. They are also diversifying portfolios by investing in renewable energy sources like wind and solar and exploring hydrogen and biofuels as new revenue streams. Leading companies are setting ambitious emissions reduction targets and reporting progress transparently to stakeholders.

Achilles’ Carbon Reduce program supports these shifts by offering a framework for assessing and managing carbon across the supply chain. It enables companies to pinpoint emission hotspots, monitor supplier impacts, and collaborate on reduction initiatives. Through this program, oil and gas companies can standardise emissions monitoring and foster transparency across their operations, positioning sustainability as a core part of their strategy.

What role do emerging technologies, such as carbon capture and storage (CCS) or hydrogen, play in reducing emissions in the oil & gas sector?

Emerging technologies like carbon capture and storage (CCS) and hydrogen are crucial for driving the energy transition in the oil and gas sector. While these technologies are still under development and can be expensive, they hold immense potential for significant emissions reduction.

At Achilles, we understand the importance of supporting early-stage innovations in this space. Our approach involves collaborating with industry leaders who are at the forefront of validating new carbon reduction methods. This collaborative effort ensures that we remain informed and aligned with the latest advancements in sustainable practices.

One of our latest and important offerings is the Achilles IOGP Compliance module. This comprehensive, risk-based solution helps oil and gas companies effectively manage their contractors. Through contractor self-assessment tools, independent validation of contractor data, and auditing specifically designed for high-risk product categories, we help ensure the highest health, safety, and environmental (HSE) standards are met.

Furthermore, our IOGP-specific supplier scoring enables companies to identify risks and improvement opportunities within their supply chains. By benchmarking suppliers and contractors against IOGP requirements, companies gain valuable insights into their performance and can drive continuous improvement.

While CCS is a promising technology for long-term emissions reduction goals, we also recognise the importance of maximising the impact of conventional methods in the near term. This includes efficient leak detection, energy-efficient design, and other operational improvements. These aspects are integral to Achilles' auditing solutions, ensuring that companies are addressing emissions across their operations.

Our Achilles Sustainability Score is another valuable tool that helps companies track their progress toward adopting emerging technologies and sustainable practices. This score provides a comprehensive measure of a company's sustainability performance, enabling them to identify areas for improvement and demonstrate their commitment to environmental responsibility.

What are the challenges and opportunities for oil & gas companies in transitioning to cleaner energy sources like biofuels or green hydrogen?

The shift towards cleaner energy sources, such as biofuels and green hydrogen, presents both intricate challenges and significant opportunities for the oil and gas industry. Key hurdles include technical issues, like the substantial need for infrastructure adjustments, as well as economic considerations, including high initial investment costs and scalability difficulties. At Achilles, we are committed to facilitating this crucial transition by enhancing transparency within supply chains and connecting oil and gas companies to a vetted network of environmentally conscious suppliers through our Achilles Network model and Carbon Reduce Programs. This structured approach to supplier management empowers companies to confidently navigate the evolving energy landscape, bolstered by access to a reliable network of sustainability-focused partners.

How important are partnerships between oil & gas companies and clean tech startups or government initiatives in driving emissions reduction?

Achieving meaningful carbon reduction goals requires a collaborative approach, bringing together key players across the energy landscape. Through the Achilles network model, oil and gas companies gain access to a pool of vetted suppliers committed to compliance and sustainability. Furthermore, the Achilles Carbon Reduce Program powered by Toitū Envirocare provides independent verification of emissions reductions and ensures transparent environmental impact metrics. This fosters trust and accountability, encouraging collaborative action and accelerating progress towards a lower carbon future.

(The views expressed in interviews are personal, not necessarily of the organisations represented)

Ms Smitha Shetty serves as the Regional Director for APAC at Achilles, which is a UK headquartered company, where she plays a pivotal role in driving the company’s strategic initiatives across the region. A thought leader in sustainability, supply chain management, and corporate responsibility, Smitha has over sixteen years of senior leadership and management expertise in the global Software as a Service (SaaS) domain. Smitha brings a wealth of knowledge and practical insights into supply chain due diligence and sustainable value chain process management. Her insights and leadership have been recognised across a spectrum of industry publications, making her a sought-after voice in discussions shaping the future of sustainable business practices.

In her current role, Smitha leads strategic initiatives across the APAC region, with a particular focus on educating the importance of Environmental, Social and Governance (ESG) considerations in supply chain. Her focus includes the integration of technology to streamline and automate processes that would otherwise be laboriously manual and reactive.

Certified in SA8000 Internal Lead Auditing, trained in NEBOSH health and safety protocols, with exposure to international quality standards, Smitha is committed to operational excellence and brings a strategic mindset to every endeavour.