Q&A with Head of ESG

A conversation with Crestwood’s leadership who are paving the way for positioning the company as best in class for ESG performance across the midstream sector.

Joanne Howard
Senior Vice President, ESG & Corporate Communications
Robert Halpin
President and
Chief Financial Officer

Halpin: You have been in the Sustainability and ESG discipline for more than a decade. Take us through Crestwood’s journey on how our key stakeholders continually shape our ESG performance and how we lead with authenticity. 

Howard: I am proud of Crestwood’s ESG progress over the past four years. When I joined in 2018, taking those initial steps in defining and mapping our material ESG issues with our stakeholders and developing our three-year strategy elevated our vision and gave us forward momentum. Over the past three years we have established a solid ESG leadership position in the midstream sector, not only advancing Crestwood but also influencing ESG in the midstream industry.  

I am equally inspired to see how we systematically built a culture of sustainability throughout our company. We know that actions speak louder than words, and we continue to link ESG performance to executive and employee compensation, including our methane emissions intensity rate, which was reduced by 30 percent in 2021. We know we must continue to adjust our strategies and actions to account for the changing expectations of our stakeholders in the evolving energy landscape and that’s why we conducted our second materiality assessment last year to ensure our ESG risks and opportunities remain relevant. As we move into 2022, our next three-year sustainability strategy and our first carbon management plan lay out our authentic and real-time plan and are integral to our success in the future. 

Halpin: Highlight for us what our stakeholders might be interested in learning from our 2021 sustainability report. 

Howard: I am honored to share Crestwood’s fourth sustainability report which continues to enhance our commitment to transparency. Our report undertakes a rigorous internal review with our executive management team, the Sustainability Committee and the Board. In addition, our ESG disclosures go through an extensive internal assurance process led by our Internal Audit and Financial Reporting teams to ensure our data is robust and auditable while being proactive for any future climate-related disclosure regulations.  

As we continue to communicate our performance with our stakeholders effectively, we are also unveiling new branding to our report and website. We believe the functionality incorporated into the website will make exploring our performance in 2021 more interactive and draws our stakeholders into the narrative. I invite all our stakeholders to come take a closer look. 

Halpin: Crestwood had another transformational year in 2021. Can you give insights to what’s in store for 2022 – moreover, what achievements can our stakeholders expect from Crestwood’s ESG performance? 

Howard: 2022 marks the start of our next ESG chapter as we embark on our second three-year sustainability strategy which includes an enhanced focus on carbon management. We are narrowing our approach on strong foundational greenhouse gas quantification through improvements to our data collection and quality. We will expand upon our continuous methane monitoring pilot at additional locations and champion new methane detection technologies that we plan to roll out for key facilities in 2023. 

Crestwood has also been one of the small number of midstream companies selected to participate in Cheniere’s Quantification, Monitoring, Reporting and Verification (QMRV) Project. This is a group of industry leaders seeking to improve the quantification and reliability of greenhouse gas emission data throughout the natural gas value chain. These projects will advise improvements to our Scope 1 and 2 GHG emission inventories as we strive to make these more robust, complete and accurate. In addition, we will continue to engage with external parties to establish midstream responsibly sourced gas (RSG) standards and prepare for certification. We also intend to conduct a full Task Force on Climate-related Financial Disclosures (TCFD) aligned scenario analysis and physical risk assessment of Crestwood’s operations to better understand our climate-related risks. 

Finally, with our acquisition and inclusion of our Oasis Midstream Partners (OMP) assets, we will be working collaboratively to integrate the assets into our stringent sustainability practices and incorporating OMP colleagues’ capabilities and feedback into our processes. We also know that it will take each of us working together to build the future we seek. At Crestwood, we are working diligently to deliver real change, in real time.