Baker Hughes : ESG Report (Sustainability Report 2024)
BKR
2024
Corporate Sustainability Report
Contents Leadership 2024 Highlights Who We Are People Planet Principles Appendices
Our purpose
more efficient for people and the planet.
We take energy forward, making it safer, cleaner and Who we are We are an energy technology company.
About this report
This report contains information about the sustainability performance of Baker
people and the planet.
Hughes Company ("Baker Hughes," "the Company," "we," "us," or "our") and is the
Our purpose
We take energy forward-making it safer, cleaner and more efficient for
primary mechanism by which we report investor-grade data and hold ourselves accountable to stakeholders. The report includes real-world stories to illustrate the impact of our work as well as data-driven insights, for the calendar year ended December 31, 2024.
Our frameworks
This sustainability report was created in reference to Global Reporting Initiative (GRI) Standards and the Greenhouse Gas (GHG) Protocol, which provide the foundation of our report. The Task Force on Climate-Related Financial Disclosures (TCFD), CDP, and Sustainable Accounting Standards Board (SASB) disclosures for the Gas Services Industry Standard-Extractives and Minerals Processing Sector
Sustainability vision
To be a sustainable pioneer in everything we do, positioning Baker Hughes as a leading energy technology provider of choice.
are in the appendix. Our values Grow Lead
Accessibility and usability
This report delivers enhancements designed to improve usability including a color palette to support accessibility for visually impaired readers, digital reading accommodations for migraine sufferers and supplementary digital media.
Reports and policies
See challenge as opportunity and learn every day.
Make, invent and perform with impact.
Our reports and policies are accessible on our website. Collaborate
Inspire, be inclusive and bring out the best in each other.
Care
Do the right thing always, for our customers, our people and the environment.
Figure 1-1 Our values guide our path as an organization.
2 Baker Hughes 2024 Sustainability Report
Contents Leadership 2024 Highlights Who We Are People Planet Principles Appendices
Contents
A letter from our leaders 4 Planet 34 Principles 52
Sustainability progress @ scale 5
Who we are 6
At Baker Hughes, our strategy isn't just about 7
adapting to change-it's about leading it
Innovation guiding our path…Moving into horizon two 8
We enhance mature asset lifespan with advanced 8
technology solutions
Delivering new energy technology 9
Innovative digital solutions for energy and industry 11
Our digital solutions are redefining how our customers look at data 12
Sustainability at Baker Hughes 13
Sustainable practices are good for business 13
At Baker Hughes, sustainability is everyone's responsibility 13
Assessing sustainability topics- Global Reporting Index materiality 14
GRI materiality assessment - 2024 16
People 17
Our people strategy 18
Our people 19
Representation of women 20
People of color representation 21
Our culture, values and behaviors 22
Our unified talent strategy 23
Our employee value proposition 24
Engage and develop 24
Recognize and reward 27
Total rewards 27
Belonging at Baker Hughes 28
Global initiatives champion diversity, inclusion and belonging 29
Diversity in our workforce 30
Inclusion 31
Baker Hughes Foundation and volunteerism 33
Our planet strategy 35
Emissions reduction journey 36
Scope 1 and 2 emissions 37
Emissions reduction levers 39
Actions, not offsets, drive real change 40
Scope 3 emissions 41
Measuring emissions intensity for sustainable economic growth 43
Our products help reduce our customers' emission 43
Leveraging FastLCA to provide emissions insights to our customers 44
All in. Carbon out. 45
Minimizing our environmental footprint 46
Our Renew COI keeps sustainability top of mind 46
Waste management and circular economy 47
Water stewardship 48
Spills and releases 49
Our commitment to reducing air emissions and chemical stewardship 49
Protecting biodiversity and natural capital 50
Managing opportunities and risks due to climate change 51
and transition to low-carbon economy
Our principles strategy 53
We promote sustainable governance 54
Board of Directors 54
Governance of sustainability 55
Buffering sustainability risks through our Enterprise Risk 55
Management process
Championing ethics and compliance 56
Aligning policies, customer needs and compliance 58
Our proactive approach to policy framework 58
Preparing for new regulations 58
Tax 59
Human rights 59
Commitment at Baker Hughes 60
SSRP enhances supply chain integrity and compliance 61
Safety and security 62
Enhanced data protection, privacy and cybersecurity processes 63
Uphold high HSE Standards 64
Our comprehensive process safety management 65
aligns with industry best practices
Enhancing global occupational health programs 65
Appendices 67
Appendix A: Standard Alignment Tables 68
Appendix B: Statements and Notes with Independent Accountants' Report 84
Appendix C: Stakeholder Engagement 121
3 Baker Hughes 2024 Sustainability Report
ON THE COVER: From left: Camilla Lazzini, Anna Christa Al Badawi, Saif Al Shukri, Marco Comida, Ercilia Cahanda, IET
Contents Leadership 2024 Highlights Who We Are People Planet Principles Appendices
A letter from our leaders
2024 was a tumultuous year. Amidst the global geopolitical changes, dynamic regulatory complexities,
In 2024, we combined economic development and environmental sustainability for the benefit of both our business and our customers. While we saw a marginal
People
We are dedicated to the well-being and development of our employees.
rise in technologies and even a shift in how companies
decrease in our absolute Scope 1 and 2 GHG emissions reductions, we achieved This starts with a world-class work culture instilled with integrity,
almost 40% reduction in emissions intensity for our operational emissions versus compliance and inclusion for all. In 2024, we launched our Eight Behaviors
talk about sustainability, the world continued to our base year - demonstrating our commitment and discipline to reduce our to unify a multicultural, global workforce and align our core values to how
experience devastating impacts of climate change direct and indirect operational emissions at a time when our business activities we work. You can read more about this initiative in the People section.
due to a warming planet.
continue to grow.
Planet
Baker Hughes remains committed to sustainability as it is integrated into our commercial strategy in how we deliver sustainable solutions to our customers.
As climate change impacts human life globally, we continue to rigorously review Our commitment to the environment is unwavering. We acknowledge the
our operations to mitigate risks and adapt to climate change locally, all while role we play in addressing climate change by incorporating sustainable
We take a comprehensive view of the energy ecosystem, integrating both traditional and renewable energy sources while driving operational efficiency and emissions reduction across the energy value chain. We do this for our own sustainability progress, as well as how we deliver lower carbon energy solutions to the market. This holistic approach aims to meet global energy needs safely,
minimizing our environmental impact across our facilities in the communities
where we conduct business. Despite the evolving shift in sustainability narrative, we remain focused on creating a fair and inclusive workplace where everyone feels valued and empowered to contribute their best.
Our strong corporate governance structure, along with strategic oversight from
practices in our business and helping our customers do the same. In 2024,
we completed 590 emissions lifecycle assessments (LCAs) for our products and services, bringing our total to nearly 1,000 LCAs for commercial solutions. Such transparency enables our customers to make informed decisions to reduce or mitigate their emissions as well. Read more about LCAs in the Planet section.
securely and affordably. our Board of Directors, allows us to navigate the regulatory complexities while Principles
remaining competitive, resilient and sustainable in dynamic times. We are We continue to remain vigilant about the safety of our workplaces. In
committed to upholding the highest ethical, safety and security standards. In 2024, our total recordable incident rate decreased by 11% compared to
2024, nearly 100% of our employees completed our Code of Conduct training, 2023, with 206 Perfect HSE Days. We continue to ensure visibility of our HSE
including 93% of our governance body members, while 100% of our security personnel are trained in human rights.
performance across the enterprise, concluding the year with the first-ever external assurance over Principles data.
"At Baker Hughes, we design, build and deliver transformative, innovative solutions aimed at solving many of the world's complex challenges for a lower-carbon future. Our ability to simultaneously drive economic growth and achieve significant emissions reductions underscores our leadership in
the energy sector and our impact towards
sustainable energy development."
Lorenzo Simonelli,
Chairman, President and CEO
"We are holding the course to advance sustainability. People are at the center of what we do and who we do it for, demonstrated by our strong commitment to the Ten Principles of United Nations Global Compact and UN
Sustainable Development Goals. We deliver value to our stakeholders by driving sustainability throughout our operations and across our value chain, with our employees leading the way in advancing a sustainable future for all."
Allyson Anderson Book,
Chief Sustainability Officer
4
Baker Hughes 2024 Sustainability Report
Contents Leadership 2024 Highlights Who We Are People Planet Principles Appendices
Sustainability progress @ scale
People
Our global workforce included more than
57,000 employees
Our employees volunteered for a total of 44,613 hours
Our total voluntary attrition decreased to 6.0%
Planet
We achieved a 39.5% reduction in emissions intensity for scope 1 and 2 from our 2019 base year
We achieved a 29.3% reduction of scope 1 and 2 emissions from our 2019 base year
Our operational waste decreased by
13.8% from our 2022 base year
Principles
Our team recorded 206 Perfect HSE1 Days
Our SSRP2 closed 95% of red flag audits within 90 days
Our combined Tier 1 and 2 diverse supplier spend increased to $632 million in 2024
We are committed to the United Nations' Sustainable Development Goals
Global Impact Award by the UN Association of Houston
We were awarded the Global Impact Award for our sustainability progress and unwavering commitment to advancing the UN Sustainable Development Goals (SDGs) through impactful community initiatives. The
award recognizes our exceptional contributions to environmental stewardship, affordable and clean energy, climate action and contributions in advancing sustainable communities, cities and life on land as well as our continued leadership in fostering positive change both locally and globally.
In 2019, we pledged to advance the Ten Principles of the UNGC into our strategy, culture and business practices. We were among the first in our sector to make a net-zero pledge, emphasizing the importance of meeting the world's energy demand sustainably. Sustainability is central to our corporate strategy, helping us transform our core business and drive profitable growth while we transition our energy system to a lower carbon state. Our sustainability strategy aligns with 11 of the 17 UN SDGs and connects our commercial strategy with voluntary reporting frameworks.
"We are committed to advancing the UN SDGs to create a cleaner, safer and fairer world through innovation and collaboration. By partnering with trade associations, non-governmental organizations, think tanks and academia, we accelerate progress at scale towards sustainable energy solutions."
Marie Merle Caekebeke,
Executive Sustainability Strategic Engagement
Awards and recognition
JUST Capital Industry Leader 2024 MSCI AA ESG Rating
EcoVadis Bronze sustainability rating S&P Sustainability Yearbook
S&P Platts Chief Executive of the Year
S&P Platts Global Energy Transition Award for LNG
The European Most Advanced Oilfield Services and Energy Technology Solutions Global 2024
The European Outstanding Contribution to Sustainable Transformation US 2024
Charge B2B Energy Innovator of the Year in 2024 #1 on the Houston Chronicle's Top 100 Companies
ALLY Energy People's Choice: Best Energy Workplace of the Year ALLY Energy People's Choice: Best ERG of the Year - Multicultural ERG
President's Volunteer Service Award for Houston Food Bank Volunteerism Disability Equality Index Best Places to Work
Society of Exploration Geophysicists Foundation's Thomas A. Smith Corporate Impact Award
1 Health, safety and environment
2 Supplier Social Responsibility Program
5 Baker Hughes 2024 Sustainability Report
Disclaimer
Baker Hughes Company published this content on April 28, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 28, 2025 at 15:00 UTC.