TECHNICAL PROGRAMME | Energy Leadership – Future Pathways
ESG and Governance
Forum 28 | Hall 5 Digital Poster Plaza 5
29
April
11:30
13:30
UTC+3
This forum will delve into the integration of Environmental, Social, and Governance (ESG) criteria into corporate governance frameworks. Discussions will cover the importance of ESG factors in driving sustainable business practices and long-term value creation. The panel will explore best practices for ESG reporting, stakeholder engagement, and the role of governance in ensuring transparency and accountability. The forum will also highlight case studies demonstrating successful ESG implementation and its impact on corporate reputation and performance.
The global energy transition is not unfolding in a linear fashion but in a landscape marked by radical uncertainty, geopolitical tension, and shifting societal expectations. Achieving a secure, affordable, and sustainable energy future requires more than technological innovation; it demands foresight-driven strategies and the integration of environmental, social, and governance (ESG) principles across the energy value chain. This paper explores how combining strategic foresight methodologies with ESG frameworks can strengthen resilience and accelerate progress toward net-zero pathways.
Drawing on my over nine years of experience in sustainability and governance across Saudi Arabia and the Netherlands, including engagements with government ministries and intergovernmental initiatives, this work examines how scenario planning, horizon scanning, and stress-testing can help energy leaders anticipate disruptive shifts. The analysis highlights the role of foresight in evaluating alternative policy, market, and technology futures, while ESG integration ensures that transition strategies remain aligned with stakeholder expectations, social equity, and environmental stewardship.
This abstract identifies three critical levers for action. First, foresight enables companies and governments to navigate uncertainties in demand, technology adoption, and regulatory landscapes by testing strategies against divergent futures rather than relying on static forecasts. Second, embedding ESG principles into decision-making enhances long-term value creation by addressing material risks such as carbon exposure, water use, and supply chain vulnerabilities while also strengthening transparency and stakeholder trust. Third, aligning foresight with ESG facilitates the design of adaptive, inclusive, and measurable pathways that balance energy security, affordability, and decarbonisation.
Case insights will be presented from projects involving sustainable tourism, national regulatory design, and inter-ministerial collaboration in Saudi Arabia, illustrating how foresight-informed ESG approaches can mobilise multi-stakeholder alignment. These examples demonstrate practical pathways for integrating low-carbon fuels, circular economy models, and digitalisation into national and corporate strategies.
Ultimately, the argument advanced is that energy transition strategies must be stress-tested not only for technical feasibility and financial return, but also for resilience under volatile global conditions. By combining foresight and ESG, decision-makers can better position themselves to respond to surprises, seize emerging opportunities, and maintain public trust in the transition process.
This contribution aligns with the Congress theme “Pathways to an Energy Future for All” by proposing a governance and strategy lens that complements technological and market solutions. It offers a structured, actionable approach for energy leaders who recognise that resilience in the energy transition is not achieved by predicting the future, but by preparing for multiple futures.
Drawing on my over nine years of experience in sustainability and governance across Saudi Arabia and the Netherlands, including engagements with government ministries and intergovernmental initiatives, this work examines how scenario planning, horizon scanning, and stress-testing can help energy leaders anticipate disruptive shifts. The analysis highlights the role of foresight in evaluating alternative policy, market, and technology futures, while ESG integration ensures that transition strategies remain aligned with stakeholder expectations, social equity, and environmental stewardship.
This abstract identifies three critical levers for action. First, foresight enables companies and governments to navigate uncertainties in demand, technology adoption, and regulatory landscapes by testing strategies against divergent futures rather than relying on static forecasts. Second, embedding ESG principles into decision-making enhances long-term value creation by addressing material risks such as carbon exposure, water use, and supply chain vulnerabilities while also strengthening transparency and stakeholder trust. Third, aligning foresight with ESG facilitates the design of adaptive, inclusive, and measurable pathways that balance energy security, affordability, and decarbonisation.
Case insights will be presented from projects involving sustainable tourism, national regulatory design, and inter-ministerial collaboration in Saudi Arabia, illustrating how foresight-informed ESG approaches can mobilise multi-stakeholder alignment. These examples demonstrate practical pathways for integrating low-carbon fuels, circular economy models, and digitalisation into national and corporate strategies.
Ultimately, the argument advanced is that energy transition strategies must be stress-tested not only for technical feasibility and financial return, but also for resilience under volatile global conditions. By combining foresight and ESG, decision-makers can better position themselves to respond to surprises, seize emerging opportunities, and maintain public trust in the transition process.
This contribution aligns with the Congress theme “Pathways to an Energy Future for All” by proposing a governance and strategy lens that complements technological and market solutions. It offers a structured, actionable approach for energy leaders who recognise that resilience in the energy transition is not achieved by predicting the future, but by preparing for multiple futures.
This research investigates the relationship between renewable energy (RE) adoption and ESG (Environmental, Social, and Governance) performance among U.S. exploration and production (E&P) companies, offering strategic implications for oil producers in the Middle East and North Africa (MENA). Drawing on data from US-listed E&P companies between 2017 and 2023, the study analyzes operational metrics including: production, reserve composition, emissions intensity, flaring practices, and water reuse alongside ESG ratings and disclosure scores. Correlation and regression analysis are employed to examine how renewable adoption and efficiency measures shape both environmental performance and operational outcomes.
Findings show that ESG improvements in U.S. E&P are primarily driven by operational efficiencies, such as brownfield development and resource optimization, rather than deep decarbonization or transformative renewable integration. High-scoring firms often demonstrate lower emissions per barrel and better water management but remain limited in their adoption of renewable energy. RE adopters show higher Environmental and Governance scores in 2023 than non-adopters. Additionally, firms with faster RE uptake incur lower energy costs, with no clear reserve replacement ratio advantage. Moreover, current ESG frameworks reveal critical gaps: Scope 3 emissions are often excluded, and the environmental impacts of mergers and exploration activity are poorly captured. These shortcomings risk overstating sustainability progress while undervaluing genuine innovation, such as carbon capture and clean hydrogen initiatives.
For MENA producers responsible for more than 30% of global oil supply and heavily dependent on hydrocarbon revenues, these insights carry strategic weight. Stronger and more transparent ESG reporting frameworks will be essential to attract investment, mitigate climate risk, and sustain competitiveness. The study recommends integrating energy security into ESG strategies, establishing regional benchmarks, and aligning policies with renewable deployment and emission-reduction goals. Public-private partnerships and platforms such as WIPO GREEN can facilitate equitable technology transfer, ensuring that innovation reaches both large producers and smaller operators across developing regions.
By highlighting both the limitations of current ESG metrics and the opportunities for reform, this research contributes to the WPC Energy 2026 themes of Energy Technologies and Energy Leadership. It underscores that advancing credible, transparent ESG practices is not only a pathway to resilience for oil-dependent economies but also central to building an inclusive and sustainable global energy future.
Keywords: ESG metrics; exploration and production; renewable energy; MENA oil producers; energy transition.
Co-author/s:
Shubham Singh, Student, NYU.
Findings show that ESG improvements in U.S. E&P are primarily driven by operational efficiencies, such as brownfield development and resource optimization, rather than deep decarbonization or transformative renewable integration. High-scoring firms often demonstrate lower emissions per barrel and better water management but remain limited in their adoption of renewable energy. RE adopters show higher Environmental and Governance scores in 2023 than non-adopters. Additionally, firms with faster RE uptake incur lower energy costs, with no clear reserve replacement ratio advantage. Moreover, current ESG frameworks reveal critical gaps: Scope 3 emissions are often excluded, and the environmental impacts of mergers and exploration activity are poorly captured. These shortcomings risk overstating sustainability progress while undervaluing genuine innovation, such as carbon capture and clean hydrogen initiatives.
For MENA producers responsible for more than 30% of global oil supply and heavily dependent on hydrocarbon revenues, these insights carry strategic weight. Stronger and more transparent ESG reporting frameworks will be essential to attract investment, mitigate climate risk, and sustain competitiveness. The study recommends integrating energy security into ESG strategies, establishing regional benchmarks, and aligning policies with renewable deployment and emission-reduction goals. Public-private partnerships and platforms such as WIPO GREEN can facilitate equitable technology transfer, ensuring that innovation reaches both large producers and smaller operators across developing regions.
By highlighting both the limitations of current ESG metrics and the opportunities for reform, this research contributes to the WPC Energy 2026 themes of Energy Technologies and Energy Leadership. It underscores that advancing credible, transparent ESG practices is not only a pathway to resilience for oil-dependent economies but also central to building an inclusive and sustainable global energy future.
Keywords: ESG metrics; exploration and production; renewable energy; MENA oil producers; energy transition.
Co-author/s:
Shubham Singh, Student, NYU.
Despite the current positive relations between China and Russia, the outlook for China's upstream oil and gas ventures in the Russian Arctic remains uncertain. This article begins by analyzing potential risks associated with oil and gas cooperation in this region
Arctic Environmental Risks: These encompass Arctic warming, permafrost melting, potential oil spills, the presence of independent environmental protection agencies, protected environmental areas, indigenous land preservation issues, and uncertainties regarding the Northern Sea Route.Geopolitical Risks: Factors include enduring Western sanctions against Russia, instability in neighboring countries, and concerns over the quality and reliability of resources provided by Russia to China.Social Governance Risks: These relate to authoritarian governance practices, unresolved terrorism threats, and issues concerning rule of law and regulatory oversight.
Drawing from historical contexts of oil and gas collaboration between China and Russia, the analysis indicates that challenges outweigh opportunities for China due to several key reasons:Russia considers oil and natural gas as strategic resources, leading to frequent shifts in foreign investment policies influenced by domestic and international political events, resulting in poor policy stability and predictability. Furthermore, Russia's treatment of foreign investors is often perceived as biased and unfair, illustrated by incidents such as the Sakhalin case in 2007.The collaboration between China and Russia remains primarily focused on resource extraction, with limited emphasis on technical cooperation. Russia maintains cautious attitudes towards Chinese capital, persistently reinforcing its technological and informational advantages.Russia's distinct political and economic environment frequently undervalues its corporate market, exacerbated by severe premiums, especially under Western sanctions, which restrict capital flows and conceal substantial value risks.Divergent energy strategic goals between China and Russia contribute to prolonged negotiation processes and slower cooperation. While Russia views projects as long-term drivers of regional economic growth, China prioritizes projects to alleviate domestic supply-demand disparities and seeks diversified import channels.China's inadequate understanding of Russian laws, policies, and regulatory frameworks, coupled with limited familiarity with contract terms, poses challenges. In instances of disputes, China's capacity and experience in cross-border and international judicial litigation are comparatively underdeveloped.
Finally, considering previous oil and gas business disputes in Russia (e.g., Yukos, Sakhalin), strategic legal responses for China are proposed:l Investment Insurance: Utilization of entities like the China Export and Credit Insurance Corporation or World Bank MIGA.l Contractual Norms and Dispute Resolution: Comparative analysis of arbitration venues such as the International Court of Arbitration, Russian courts, local arbitration courts, or the European Court of Human Rights. Timely consideration of investor nationality issues, including establishing affiliated companies in third countries for enhanced BIT protection, and strategies to avoid benefit denial clauses by meeting substantial commercial activity requirements under investment treaties.
Arctic Environmental Risks: These encompass Arctic warming, permafrost melting, potential oil spills, the presence of independent environmental protection agencies, protected environmental areas, indigenous land preservation issues, and uncertainties regarding the Northern Sea Route.Geopolitical Risks: Factors include enduring Western sanctions against Russia, instability in neighboring countries, and concerns over the quality and reliability of resources provided by Russia to China.Social Governance Risks: These relate to authoritarian governance practices, unresolved terrorism threats, and issues concerning rule of law and regulatory oversight.
Drawing from historical contexts of oil and gas collaboration between China and Russia, the analysis indicates that challenges outweigh opportunities for China due to several key reasons:Russia considers oil and natural gas as strategic resources, leading to frequent shifts in foreign investment policies influenced by domestic and international political events, resulting in poor policy stability and predictability. Furthermore, Russia's treatment of foreign investors is often perceived as biased and unfair, illustrated by incidents such as the Sakhalin case in 2007.The collaboration between China and Russia remains primarily focused on resource extraction, with limited emphasis on technical cooperation. Russia maintains cautious attitudes towards Chinese capital, persistently reinforcing its technological and informational advantages.Russia's distinct political and economic environment frequently undervalues its corporate market, exacerbated by severe premiums, especially under Western sanctions, which restrict capital flows and conceal substantial value risks.Divergent energy strategic goals between China and Russia contribute to prolonged negotiation processes and slower cooperation. While Russia views projects as long-term drivers of regional economic growth, China prioritizes projects to alleviate domestic supply-demand disparities and seeks diversified import channels.China's inadequate understanding of Russian laws, policies, and regulatory frameworks, coupled with limited familiarity with contract terms, poses challenges. In instances of disputes, China's capacity and experience in cross-border and international judicial litigation are comparatively underdeveloped.
Finally, considering previous oil and gas business disputes in Russia (e.g., Yukos, Sakhalin), strategic legal responses for China are proposed:l Investment Insurance: Utilization of entities like the China Export and Credit Insurance Corporation or World Bank MIGA.l Contractual Norms and Dispute Resolution: Comparative analysis of arbitration venues such as the International Court of Arbitration, Russian courts, local arbitration courts, or the European Court of Human Rights. Timely consideration of investor nationality issues, including establishing affiliated companies in third countries for enhanced BIT protection, and strategies to avoid benefit denial clauses by meeting substantial commercial activity requirements under investment treaties.
In high-risk industries such as energy, where precision, regulation, and human reliability are paramount, incidents are often attributed to human error. Common post-incident reflections—like “What were they thinking?”—assume that workers were consciously and logically making decisions at the time. Neuroscience tells a different story.
This session introduces the concept of Limbic Risk—the risk that emerges when the brain’s emotional and unconscious systems override logical thinking. Our brains are evolutionarily wired to conserve energy and respond to threat. As such, much of our daily behavior is driven not by deliberate reasoning, but by the automatic processes of the Limbic System, especially under stress, fatigue, or routine conditions. This default to “autopilot” behavior is a major, yet often invisible, contributor to safety incidents.
As energy operations become more technically advanced and organizational systems more robust, the remaining margin of risk increasingly lies in the human factor. This presentation explores:
Why inattention and unconscious behavior are not anomalies, but normal functions of the brain.
How experienced workers become particularly vulnerable to Limbic Risk due to overfamiliarity with tasks.
The neuroscience behind complacency and normalization of deviation.
How emotional states—such as pressure, distraction, and irritation—suppress logical brain function and increase risk.
Grounded in the latest cognitive science, this session offers practical solutions for leaders and safety professionals in the energy sector. These include design strategies for work systems that account for human cognitive limitations, training methods that reinforce conscious risk scanning, and leadership practices that create environments where the brain is more likely to engage the rational Prefrontal Cortex.
As the energy sector faces evolving challenges—from automation to mental health, from aging workforces to increasingly complex risk landscapes—this presentation equips industry leaders with a neuroscience-informed framework to proactively manage human error. Understanding Limbic Risk is not just about reacting to incidents; it’s about designing safer systems, improving situational awareness, and shaping a culture that truly aligns with how the human brain functions under pressure.
This session introduces the concept of Limbic Risk—the risk that emerges when the brain’s emotional and unconscious systems override logical thinking. Our brains are evolutionarily wired to conserve energy and respond to threat. As such, much of our daily behavior is driven not by deliberate reasoning, but by the automatic processes of the Limbic System, especially under stress, fatigue, or routine conditions. This default to “autopilot” behavior is a major, yet often invisible, contributor to safety incidents.
As energy operations become more technically advanced and organizational systems more robust, the remaining margin of risk increasingly lies in the human factor. This presentation explores:
Why inattention and unconscious behavior are not anomalies, but normal functions of the brain.
How experienced workers become particularly vulnerable to Limbic Risk due to overfamiliarity with tasks.
The neuroscience behind complacency and normalization of deviation.
How emotional states—such as pressure, distraction, and irritation—suppress logical brain function and increase risk.
Grounded in the latest cognitive science, this session offers practical solutions for leaders and safety professionals in the energy sector. These include design strategies for work systems that account for human cognitive limitations, training methods that reinforce conscious risk scanning, and leadership practices that create environments where the brain is more likely to engage the rational Prefrontal Cortex.
As the energy sector faces evolving challenges—from automation to mental health, from aging workforces to increasingly complex risk landscapes—this presentation equips industry leaders with a neuroscience-informed framework to proactively manage human error. Understanding Limbic Risk is not just about reacting to incidents; it’s about designing safer systems, improving situational awareness, and shaping a culture that truly aligns with how the human brain functions under pressure.
Optimal management of energy resources to reduce carbon emissions is recognized as a key strategy in energy policymaking, playing a vital role in resource allocation, sustainable development, and strengthening democratic governance. These approaches foster transparency, accountability, and public participation while aligning economic and environmental interests. Pioneering projects such as Humber Zero (transforming heavy industries into low-carbon hubs) and Northern Lights (underground carbon storage) exemplify successful international integration of advanced technologies with carbon reduction policies. However, implementing these solutions requires a multi-layered architecture combining digital technologies, stakeholder engagement, and data transparency.
This research focuses on designing an integrated blockchain and smart data mining framework (utilizing LSTM and Federated Learning) to enable precise tracking of microgrids’ contributions to energy consumption and carbon emissions. The proposed architecture leverages blockchain’s decentralized capabilities to ensure computational transparency, equitable resource distribution, and reduced risk of data tampering. Participatory data mining algorithms facilitate real-time analysis of energy and emission data, empowering policymakers to design accurate incentive mechanisms. By establishing decentralized energy and carbon markets, this framework creates an international platform for attracting investments, where civil society and private institutions play pivotal roles in decision-making processes.
Key advantages include enhanced energy market efficiency, reduced transaction costs, and progress toward Paris Agreement goals through transparent, data-driven reporting. The integration of IoT and artificial intelligence across architectural layers enables smart monitoring of energy consumption and prediction of carbon emission patterns. These technologies prove particularly effective in challenging sectors like oil and gas, where solutions such as Carbon Capture and Storage (CCS) and process optimization require advanced analytical capabilities.
Nevertheless, challenges such as institutional resistance to change, high costs of deploying advanced technologies, and the need for harmonized international standards complicate implementation. For instance, conflicts between national regulations and global carbon market mechanisms may hinder cross-border collaboration. Findings demonstrate that combining blockchain and participatory data mining not only improves accuracy in allocating carbon emission shares to microgrids but also creates financial incentives for community participation through self-executing smart contracts. Energy and carbon tokens facilitate investments in decentralized renewable projects, peer-to-peer (P2P) transactions, and global decarbonization efforts.
This research underscores the necessity for collaboration among international institutions, governments, and the private sector to build a sustainable digital ecosystem where digital technologies drive energy transformation and carbon reduction. Successful implementation requires incentive policies (e.g., tax exemptions for green technologies), investments in workforce training, and strengthened digital infrastructure. In summary, the study provides policymakers with a roadmap to achieve sustainable development goals by synergizing smart technologies with governance principles rooted in democratic values, balancing technological innovation with participatory decision-making and market-based mechanisms for global impact.
This research focuses on designing an integrated blockchain and smart data mining framework (utilizing LSTM and Federated Learning) to enable precise tracking of microgrids’ contributions to energy consumption and carbon emissions. The proposed architecture leverages blockchain’s decentralized capabilities to ensure computational transparency, equitable resource distribution, and reduced risk of data tampering. Participatory data mining algorithms facilitate real-time analysis of energy and emission data, empowering policymakers to design accurate incentive mechanisms. By establishing decentralized energy and carbon markets, this framework creates an international platform for attracting investments, where civil society and private institutions play pivotal roles in decision-making processes.
Key advantages include enhanced energy market efficiency, reduced transaction costs, and progress toward Paris Agreement goals through transparent, data-driven reporting. The integration of IoT and artificial intelligence across architectural layers enables smart monitoring of energy consumption and prediction of carbon emission patterns. These technologies prove particularly effective in challenging sectors like oil and gas, where solutions such as Carbon Capture and Storage (CCS) and process optimization require advanced analytical capabilities.
Nevertheless, challenges such as institutional resistance to change, high costs of deploying advanced technologies, and the need for harmonized international standards complicate implementation. For instance, conflicts between national regulations and global carbon market mechanisms may hinder cross-border collaboration. Findings demonstrate that combining blockchain and participatory data mining not only improves accuracy in allocating carbon emission shares to microgrids but also creates financial incentives for community participation through self-executing smart contracts. Energy and carbon tokens facilitate investments in decentralized renewable projects, peer-to-peer (P2P) transactions, and global decarbonization efforts.
This research underscores the necessity for collaboration among international institutions, governments, and the private sector to build a sustainable digital ecosystem where digital technologies drive energy transformation and carbon reduction. Successful implementation requires incentive policies (e.g., tax exemptions for green technologies), investments in workforce training, and strengthened digital infrastructure. In summary, the study provides policymakers with a roadmap to achieve sustainable development goals by synergizing smart technologies with governance principles rooted in democratic values, balancing technological innovation with participatory decision-making and market-based mechanisms for global impact.
In developing countries, including my own country Iran, ESG reporting is often superficial and often reflect philanthropic activities rather than company activities. While 96% of the world’s largest companies publish sustainability reports, many fail to take sustainability into account in their decision-making process or their overall project management. This results in reports that are either a list of community projects or a list of projects that are forcibly connected to global trends for sustainability. Although studies frequently attribute this to a lack of unified standards, there are already many sustainability standards available, hundreds in fact. So, the issue doesn’t seem to be a lack of standardization. One could even say that over standardization is the problem. In this study we argue that the problem arises not from lack of standards but from the lack of connection between strategy formulation and execution and sustainability.
In Pasargad Energy Development Company which is active in Iran’s upstream, downstream, and power generation, we are beginning to realign our processes with this concept. We claim that we have alleviated this issue by integrating ESG from the start in our strategy formulation. We propose a customized ESG-enhanced SWOT framework which embeds ESG considerations into strategic planning. This way ESG becomes a part of strategy rather than an afterthought.
The proposed methodology extends beyond strategy formulation. As we execute strategies via projects the material issues are reviewed through stakeholder surveys and meetings; reviewed, prioritized via the sustainability committee, and refined and traced via the sustainability department. This process embeds ESG into project selection, execution, and performance monitoring, maintaining flexibility and responsiveness to the ever-changing global energy landscape. This way when we report on sustainability, we are in fact reporting the company activities and not on some unrelated topics to the company's business.
In a global landscape where ESG priorities are increasingly uncertain this framework helps companies move beyond ticking boxes for compliance. By embedding sustainability into core strategy and operations, firms can report on real business actions, not just standardized topics disconnected from their actual work.
In Pasargad Energy Development Company which is active in Iran’s upstream, downstream, and power generation, we are beginning to realign our processes with this concept. We claim that we have alleviated this issue by integrating ESG from the start in our strategy formulation. We propose a customized ESG-enhanced SWOT framework which embeds ESG considerations into strategic planning. This way ESG becomes a part of strategy rather than an afterthought.
The proposed methodology extends beyond strategy formulation. As we execute strategies via projects the material issues are reviewed through stakeholder surveys and meetings; reviewed, prioritized via the sustainability committee, and refined and traced via the sustainability department. This process embeds ESG into project selection, execution, and performance monitoring, maintaining flexibility and responsiveness to the ever-changing global energy landscape. This way when we report on sustainability, we are in fact reporting the company activities and not on some unrelated topics to the company's business.
In a global landscape where ESG priorities are increasingly uncertain this framework helps companies move beyond ticking boxes for compliance. By embedding sustainability into core strategy and operations, firms can report on real business actions, not just standardized topics disconnected from their actual work.
As organisations strive to integrate Environmental, Social, and Governance principles into corporate frameworks, human reliability emerges as a critical yet often overlooked factor. Is it the key to sustainable business success, or just another industry trend?
Ask a room of CEOs and executives to define human reliability, and the responses vary—ranging from human factors, efficiency, competence, and procedures to culture and governance. The lack of a common definition or proven methodology leads to fragmented approaches, often borrowing from other industries with mixed success.
The Jonah Group convened a forum of executives from high-hazard industries to explore human reliability. This presentation shares key insights, challenges, and best practices uncovered in that discussion. It argues for a human-centric, multidimensional approach—acknowledging that humans are inherently fallible, and that effective governance must account for human error.
By embedding human reliability into ESG frameworks, organisations can enhance safety, transparency, and accountability, ultimately strengthening corporate reputation and performance. This session will provide practical strategies to bridge the gap between ESG commitments and real-world execution.
Ask a room of CEOs and executives to define human reliability, and the responses vary—ranging from human factors, efficiency, competence, and procedures to culture and governance. The lack of a common definition or proven methodology leads to fragmented approaches, often borrowing from other industries with mixed success.
The Jonah Group convened a forum of executives from high-hazard industries to explore human reliability. This presentation shares key insights, challenges, and best practices uncovered in that discussion. It argues for a human-centric, multidimensional approach—acknowledging that humans are inherently fallible, and that effective governance must account for human error.
By embedding human reliability into ESG frameworks, organisations can enhance safety, transparency, and accountability, ultimately strengthening corporate reputation and performance. This session will provide practical strategies to bridge the gap between ESG commitments and real-world execution.
While global energy shifts toward sustainable and environmental-friendly policies, the incorporation of Environmental, Social, and Governance (ESG) principles into oil and gas contracts has become critical for aligning economic objectives of the oil-rich countries with climate challenges and social responsibility. This study examines the potential for integrating ESG frameworks into the Iran Petroleum Contract (IPC), a model designed to attract foreign investment in Iran’s oil and gas sector. While the IPC prioritizes technical and fiscal efficiency, its current structure lacks explicit mechanisms to address ESG risks, mainly carbon emissions, community impacts, and governance transparency.
This research evaluates how ESG considerations can be systematically embedded into the IPC’s contractual clauses, performance metrics, and stakeholder engagement processes. It uses a comparative method to find parallel legal solutions from Norway, Canada, and the UAE, where ESG-aligned petroleum contracts have enhanced project sustainability while maintaining profitability. Key focus areas include carbon capture and storage (CCS) mandates and local content development. The study also identifies challenges unique to Iran’s geopolitical context, including sanctions-related barriers to green financing and technology transfer.
Findings suggest that revising the IPC to include ESG-linked incentives, such as tax rebates for methane reduction or community benefit agreements, could improve Iran’s competitiveness in a decarbonizing global market. The paper includes actionable recommendations for policymakers, emphasizing the dual imperative of meeting Iran’s energy production goals and contributing to global climate targets under the Paris Agreement. By bridging gaps between traditional energy contracting and ESG imperatives, this research offers a roadmap for fostering resilient, socially accountable hydrocarbon development in emerging economies.
Keywords: ESG, Iran Petroleum Contract (IPC), Sustainable Energy, Climate Governance, Hydrocarbon Policy.
Co-author/s:
Rouhollah Saberi, Assistant Professor, University of Hormozgan.
Ida Mokhtassi, PhD Candidate, WU University of Vienna.
This research evaluates how ESG considerations can be systematically embedded into the IPC’s contractual clauses, performance metrics, and stakeholder engagement processes. It uses a comparative method to find parallel legal solutions from Norway, Canada, and the UAE, where ESG-aligned petroleum contracts have enhanced project sustainability while maintaining profitability. Key focus areas include carbon capture and storage (CCS) mandates and local content development. The study also identifies challenges unique to Iran’s geopolitical context, including sanctions-related barriers to green financing and technology transfer.
Findings suggest that revising the IPC to include ESG-linked incentives, such as tax rebates for methane reduction or community benefit agreements, could improve Iran’s competitiveness in a decarbonizing global market. The paper includes actionable recommendations for policymakers, emphasizing the dual imperative of meeting Iran’s energy production goals and contributing to global climate targets under the Paris Agreement. By bridging gaps between traditional energy contracting and ESG imperatives, this research offers a roadmap for fostering resilient, socially accountable hydrocarbon development in emerging economies.
Keywords: ESG, Iran Petroleum Contract (IPC), Sustainable Energy, Climate Governance, Hydrocarbon Policy.
Co-author/s:
Rouhollah Saberi, Assistant Professor, University of Hormozgan.
Ida Mokhtassi, PhD Candidate, WU University of Vienna.
The Pars Special Economic Energy Zone (PSEEZ), as one of the world’s largest energy and petrochemical hubs, poses complex environmental and social governance challenges. This study investigates industrial noise exposure as a critical ESG (Environmental, Social, and Governance) parameter, assessing the effectiveness of current noise management regulations in protecting local communities. Sound levels were monitored across 60 locations during three-time intervals, and spatial analysis using ArcGIS enabled the development of detailed noise distribution maps. The results identified five primary noise sources: road traffic, flares, diesel generators, compressors, and industrial machinery. While noise levels near flares and compressors exceeded thresholds, their impact on residential zones remained limited. However, the desalination plant was identified as the dominant contributor to urban noise exposure.
Mitigation measures such as acoustic barriers and green buffers proved effective in maintaining compliance with existing standards. The study concludes that although PSEEZ hosts a high concentration of energy infrastructure, current environmental safeguards and governance frameworks are adequate, and immediate regulatory tightening may not be necessary. The findings underscore the importance of ongoing environmental monitoring, data-driven governance, and proactive stakeholder engagement to ensure sustainable industrial development and maintain the social license to operate.
Co-author/s:
Sakhavat Asadi, The CEO of the Pars Special Economic Energy Zone, National Iranian Oil Company.
Akram Hosseinnia, Consultant Research Institute of Petroleum Industry (RIPI), National Iranian Oil Company.
Mitigation measures such as acoustic barriers and green buffers proved effective in maintaining compliance with existing standards. The study concludes that although PSEEZ hosts a high concentration of energy infrastructure, current environmental safeguards and governance frameworks are adequate, and immediate regulatory tightening may not be necessary. The findings underscore the importance of ongoing environmental monitoring, data-driven governance, and proactive stakeholder engagement to ensure sustainable industrial development and maintain the social license to operate.
Co-author/s:
Sakhavat Asadi, The CEO of the Pars Special Economic Energy Zone, National Iranian Oil Company.
Akram Hosseinnia, Consultant Research Institute of Petroleum Industry (RIPI), National Iranian Oil Company.
Environmental, Social, and Governance (ESG) considerations have become central to corporate governance, particularly in the energy sector, where companies face increasing scrutiny from shareholders, investors, regulators, and consumers. Stakeholders now expect not only improved ESG performance but also greater transparency, accountability, and long-term value creation. As ESG factors increasingly shape investor decisions, the quality of board-level decision-making has never been more critical.
In this evolving landscape, boards of directors must lead the way. Governance is the foundation for achieving ESG objectives, and it is the board’s responsibility to ensure these factors are deeply embedded into governance frameworks. This includes setting strategic priorities, managing risk, allocating resources effectively, and aligning ESG principles with the company’s purpose and long-term strategy.
This presentation will explore how energy company boards can move beyond compliance and adopt a more strategic, inclusive approach to ESG governance. It will highlight the importance of adaptive decision-making frameworks that incorporate diverse perspectives from within the boardroom and across internal and external stakeholder groups. Boards must evolve their governance practices to embrace broader stakeholder engagement, build trust, and improve transparency around decision-making processes and trade-offs.
A key feature of the presentation is the introduction of an alternative FOCUS decision-making model (Frame, Option, Cognitive Bias, Uncertainty, Selection). Developed by Roger Schwarz, FOCUS is a human-centred decision-making framework designed to support individuals and teams in making high-quality decisions under uncertainty. Grounded in scientific research and real-world experience, FOCUS integrates logic and structure with a deep understanding of human behaviour—including values, cognitive biases, intuition, emotion, and physical and mental states. The framework is not a checklist, but a tool to help boards navigate complexity and make decisions they can stand behind—even when outcomes are uncertain. Attendees will leave with a foundational understanding of it and how to apply it in practice, as well as a renewed appreciation for the art and science of making better decisions in complex environments.
The presentation will draw on governance insights and real-world case studies to show how effective board leadership can balance commercial imperatives with societal responsibilities and stakeholder expectations. It will challenge traditional assumptions about how decisions are made, emphasising a practical guidance for directors and senior executives seeking to embed ESG into the core of governance and decision-making processes.
Ultimately, this presentation offers practical guidance for directors and senior executives looking to embed ESG into the DNA of corporate governance. Participants will leave with a stronger understanding of how to build resilient, stakeholder-responsive governance structures that support ESG integration and strengthen corporate performance in a rapidly changing energy landscape.
In this evolving landscape, boards of directors must lead the way. Governance is the foundation for achieving ESG objectives, and it is the board’s responsibility to ensure these factors are deeply embedded into governance frameworks. This includes setting strategic priorities, managing risk, allocating resources effectively, and aligning ESG principles with the company’s purpose and long-term strategy.
This presentation will explore how energy company boards can move beyond compliance and adopt a more strategic, inclusive approach to ESG governance. It will highlight the importance of adaptive decision-making frameworks that incorporate diverse perspectives from within the boardroom and across internal and external stakeholder groups. Boards must evolve their governance practices to embrace broader stakeholder engagement, build trust, and improve transparency around decision-making processes and trade-offs.
A key feature of the presentation is the introduction of an alternative FOCUS decision-making model (Frame, Option, Cognitive Bias, Uncertainty, Selection). Developed by Roger Schwarz, FOCUS is a human-centred decision-making framework designed to support individuals and teams in making high-quality decisions under uncertainty. Grounded in scientific research and real-world experience, FOCUS integrates logic and structure with a deep understanding of human behaviour—including values, cognitive biases, intuition, emotion, and physical and mental states. The framework is not a checklist, but a tool to help boards navigate complexity and make decisions they can stand behind—even when outcomes are uncertain. Attendees will leave with a foundational understanding of it and how to apply it in practice, as well as a renewed appreciation for the art and science of making better decisions in complex environments.
The presentation will draw on governance insights and real-world case studies to show how effective board leadership can balance commercial imperatives with societal responsibilities and stakeholder expectations. It will challenge traditional assumptions about how decisions are made, emphasising a practical guidance for directors and senior executives seeking to embed ESG into the core of governance and decision-making processes.
Ultimately, this presentation offers practical guidance for directors and senior executives looking to embed ESG into the DNA of corporate governance. Participants will leave with a stronger understanding of how to build resilient, stakeholder-responsive governance structures that support ESG integration and strengthen corporate performance in a rapidly changing energy landscape.
Kairzhan Abdykhalykov
Vice Chair
Professor, KBTU Business School
Kazakh British Technical University
Kazakhstan
This research investigates the relationship between renewable energy (RE) adoption and ESG (Environmental, Social, and Governance) performance among U.S. exploration and production (E&P) companies, offering strategic implications for oil producers in the Middle East and North Africa (MENA). Drawing on data from US-listed E&P companies between 2017 and 2023, the study analyzes operational metrics including: production, reserve composition, emissions intensity, flaring practices, and water reuse alongside ESG ratings and disclosure scores. Correlation and regression analysis are employed to examine how renewable adoption and efficiency measures shape both environmental performance and operational outcomes.
Findings show that ESG improvements in U.S. E&P are primarily driven by operational efficiencies, such as brownfield development and resource optimization, rather than deep decarbonization or transformative renewable integration. High-scoring firms often demonstrate lower emissions per barrel and better water management but remain limited in their adoption of renewable energy. RE adopters show higher Environmental and Governance scores in 2023 than non-adopters. Additionally, firms with faster RE uptake incur lower energy costs, with no clear reserve replacement ratio advantage. Moreover, current ESG frameworks reveal critical gaps: Scope 3 emissions are often excluded, and the environmental impacts of mergers and exploration activity are poorly captured. These shortcomings risk overstating sustainability progress while undervaluing genuine innovation, such as carbon capture and clean hydrogen initiatives.
For MENA producers responsible for more than 30% of global oil supply and heavily dependent on hydrocarbon revenues, these insights carry strategic weight. Stronger and more transparent ESG reporting frameworks will be essential to attract investment, mitigate climate risk, and sustain competitiveness. The study recommends integrating energy security into ESG strategies, establishing regional benchmarks, and aligning policies with renewable deployment and emission-reduction goals. Public-private partnerships and platforms such as WIPO GREEN can facilitate equitable technology transfer, ensuring that innovation reaches both large producers and smaller operators across developing regions.
By highlighting both the limitations of current ESG metrics and the opportunities for reform, this research contributes to the WPC Energy 2026 themes of Energy Technologies and Energy Leadership. It underscores that advancing credible, transparent ESG practices is not only a pathway to resilience for oil-dependent economies but also central to building an inclusive and sustainable global energy future.
Keywords: ESG metrics; exploration and production; renewable energy; MENA oil producers; energy transition.
Co-author/s:
Shubham Singh, Student, NYU.
Findings show that ESG improvements in U.S. E&P are primarily driven by operational efficiencies, such as brownfield development and resource optimization, rather than deep decarbonization or transformative renewable integration. High-scoring firms often demonstrate lower emissions per barrel and better water management but remain limited in their adoption of renewable energy. RE adopters show higher Environmental and Governance scores in 2023 than non-adopters. Additionally, firms with faster RE uptake incur lower energy costs, with no clear reserve replacement ratio advantage. Moreover, current ESG frameworks reveal critical gaps: Scope 3 emissions are often excluded, and the environmental impacts of mergers and exploration activity are poorly captured. These shortcomings risk overstating sustainability progress while undervaluing genuine innovation, such as carbon capture and clean hydrogen initiatives.
For MENA producers responsible for more than 30% of global oil supply and heavily dependent on hydrocarbon revenues, these insights carry strategic weight. Stronger and more transparent ESG reporting frameworks will be essential to attract investment, mitigate climate risk, and sustain competitiveness. The study recommends integrating energy security into ESG strategies, establishing regional benchmarks, and aligning policies with renewable deployment and emission-reduction goals. Public-private partnerships and platforms such as WIPO GREEN can facilitate equitable technology transfer, ensuring that innovation reaches both large producers and smaller operators across developing regions.
By highlighting both the limitations of current ESG metrics and the opportunities for reform, this research contributes to the WPC Energy 2026 themes of Energy Technologies and Energy Leadership. It underscores that advancing credible, transparent ESG practices is not only a pathway to resilience for oil-dependent economies but also central to building an inclusive and sustainable global energy future.
Keywords: ESG metrics; exploration and production; renewable energy; MENA oil producers; energy transition.
Co-author/s:
Shubham Singh, Student, NYU.
Despite the current positive relations between China and Russia, the outlook for China's upstream oil and gas ventures in the Russian Arctic remains uncertain. This article begins by analyzing potential risks associated with oil and gas cooperation in this region
Arctic Environmental Risks: These encompass Arctic warming, permafrost melting, potential oil spills, the presence of independent environmental protection agencies, protected environmental areas, indigenous land preservation issues, and uncertainties regarding the Northern Sea Route.Geopolitical Risks: Factors include enduring Western sanctions against Russia, instability in neighboring countries, and concerns over the quality and reliability of resources provided by Russia to China.Social Governance Risks: These relate to authoritarian governance practices, unresolved terrorism threats, and issues concerning rule of law and regulatory oversight.
Drawing from historical contexts of oil and gas collaboration between China and Russia, the analysis indicates that challenges outweigh opportunities for China due to several key reasons:Russia considers oil and natural gas as strategic resources, leading to frequent shifts in foreign investment policies influenced by domestic and international political events, resulting in poor policy stability and predictability. Furthermore, Russia's treatment of foreign investors is often perceived as biased and unfair, illustrated by incidents such as the Sakhalin case in 2007.The collaboration between China and Russia remains primarily focused on resource extraction, with limited emphasis on technical cooperation. Russia maintains cautious attitudes towards Chinese capital, persistently reinforcing its technological and informational advantages.Russia's distinct political and economic environment frequently undervalues its corporate market, exacerbated by severe premiums, especially under Western sanctions, which restrict capital flows and conceal substantial value risks.Divergent energy strategic goals between China and Russia contribute to prolonged negotiation processes and slower cooperation. While Russia views projects as long-term drivers of regional economic growth, China prioritizes projects to alleviate domestic supply-demand disparities and seeks diversified import channels.China's inadequate understanding of Russian laws, policies, and regulatory frameworks, coupled with limited familiarity with contract terms, poses challenges. In instances of disputes, China's capacity and experience in cross-border and international judicial litigation are comparatively underdeveloped.
Finally, considering previous oil and gas business disputes in Russia (e.g., Yukos, Sakhalin), strategic legal responses for China are proposed:l Investment Insurance: Utilization of entities like the China Export and Credit Insurance Corporation or World Bank MIGA.l Contractual Norms and Dispute Resolution: Comparative analysis of arbitration venues such as the International Court of Arbitration, Russian courts, local arbitration courts, or the European Court of Human Rights. Timely consideration of investor nationality issues, including establishing affiliated companies in third countries for enhanced BIT protection, and strategies to avoid benefit denial clauses by meeting substantial commercial activity requirements under investment treaties.
Arctic Environmental Risks: These encompass Arctic warming, permafrost melting, potential oil spills, the presence of independent environmental protection agencies, protected environmental areas, indigenous land preservation issues, and uncertainties regarding the Northern Sea Route.Geopolitical Risks: Factors include enduring Western sanctions against Russia, instability in neighboring countries, and concerns over the quality and reliability of resources provided by Russia to China.Social Governance Risks: These relate to authoritarian governance practices, unresolved terrorism threats, and issues concerning rule of law and regulatory oversight.
Drawing from historical contexts of oil and gas collaboration between China and Russia, the analysis indicates that challenges outweigh opportunities for China due to several key reasons:Russia considers oil and natural gas as strategic resources, leading to frequent shifts in foreign investment policies influenced by domestic and international political events, resulting in poor policy stability and predictability. Furthermore, Russia's treatment of foreign investors is often perceived as biased and unfair, illustrated by incidents such as the Sakhalin case in 2007.The collaboration between China and Russia remains primarily focused on resource extraction, with limited emphasis on technical cooperation. Russia maintains cautious attitudes towards Chinese capital, persistently reinforcing its technological and informational advantages.Russia's distinct political and economic environment frequently undervalues its corporate market, exacerbated by severe premiums, especially under Western sanctions, which restrict capital flows and conceal substantial value risks.Divergent energy strategic goals between China and Russia contribute to prolonged negotiation processes and slower cooperation. While Russia views projects as long-term drivers of regional economic growth, China prioritizes projects to alleviate domestic supply-demand disparities and seeks diversified import channels.China's inadequate understanding of Russian laws, policies, and regulatory frameworks, coupled with limited familiarity with contract terms, poses challenges. In instances of disputes, China's capacity and experience in cross-border and international judicial litigation are comparatively underdeveloped.
Finally, considering previous oil and gas business disputes in Russia (e.g., Yukos, Sakhalin), strategic legal responses for China are proposed:l Investment Insurance: Utilization of entities like the China Export and Credit Insurance Corporation or World Bank MIGA.l Contractual Norms and Dispute Resolution: Comparative analysis of arbitration venues such as the International Court of Arbitration, Russian courts, local arbitration courts, or the European Court of Human Rights. Timely consideration of investor nationality issues, including establishing affiliated companies in third countries for enhanced BIT protection, and strategies to avoid benefit denial clauses by meeting substantial commercial activity requirements under investment treaties.
The global energy transition is not unfolding in a linear fashion but in a landscape marked by radical uncertainty, geopolitical tension, and shifting societal expectations. Achieving a secure, affordable, and sustainable energy future requires more than technological innovation; it demands foresight-driven strategies and the integration of environmental, social, and governance (ESG) principles across the energy value chain. This paper explores how combining strategic foresight methodologies with ESG frameworks can strengthen resilience and accelerate progress toward net-zero pathways.
Drawing on my over nine years of experience in sustainability and governance across Saudi Arabia and the Netherlands, including engagements with government ministries and intergovernmental initiatives, this work examines how scenario planning, horizon scanning, and stress-testing can help energy leaders anticipate disruptive shifts. The analysis highlights the role of foresight in evaluating alternative policy, market, and technology futures, while ESG integration ensures that transition strategies remain aligned with stakeholder expectations, social equity, and environmental stewardship.
This abstract identifies three critical levers for action. First, foresight enables companies and governments to navigate uncertainties in demand, technology adoption, and regulatory landscapes by testing strategies against divergent futures rather than relying on static forecasts. Second, embedding ESG principles into decision-making enhances long-term value creation by addressing material risks such as carbon exposure, water use, and supply chain vulnerabilities while also strengthening transparency and stakeholder trust. Third, aligning foresight with ESG facilitates the design of adaptive, inclusive, and measurable pathways that balance energy security, affordability, and decarbonisation.
Case insights will be presented from projects involving sustainable tourism, national regulatory design, and inter-ministerial collaboration in Saudi Arabia, illustrating how foresight-informed ESG approaches can mobilise multi-stakeholder alignment. These examples demonstrate practical pathways for integrating low-carbon fuels, circular economy models, and digitalisation into national and corporate strategies.
Ultimately, the argument advanced is that energy transition strategies must be stress-tested not only for technical feasibility and financial return, but also for resilience under volatile global conditions. By combining foresight and ESG, decision-makers can better position themselves to respond to surprises, seize emerging opportunities, and maintain public trust in the transition process.
This contribution aligns with the Congress theme “Pathways to an Energy Future for All” by proposing a governance and strategy lens that complements technological and market solutions. It offers a structured, actionable approach for energy leaders who recognise that resilience in the energy transition is not achieved by predicting the future, but by preparing for multiple futures.
Drawing on my over nine years of experience in sustainability and governance across Saudi Arabia and the Netherlands, including engagements with government ministries and intergovernmental initiatives, this work examines how scenario planning, horizon scanning, and stress-testing can help energy leaders anticipate disruptive shifts. The analysis highlights the role of foresight in evaluating alternative policy, market, and technology futures, while ESG integration ensures that transition strategies remain aligned with stakeholder expectations, social equity, and environmental stewardship.
This abstract identifies three critical levers for action. First, foresight enables companies and governments to navigate uncertainties in demand, technology adoption, and regulatory landscapes by testing strategies against divergent futures rather than relying on static forecasts. Second, embedding ESG principles into decision-making enhances long-term value creation by addressing material risks such as carbon exposure, water use, and supply chain vulnerabilities while also strengthening transparency and stakeholder trust. Third, aligning foresight with ESG facilitates the design of adaptive, inclusive, and measurable pathways that balance energy security, affordability, and decarbonisation.
Case insights will be presented from projects involving sustainable tourism, national regulatory design, and inter-ministerial collaboration in Saudi Arabia, illustrating how foresight-informed ESG approaches can mobilise multi-stakeholder alignment. These examples demonstrate practical pathways for integrating low-carbon fuels, circular economy models, and digitalisation into national and corporate strategies.
Ultimately, the argument advanced is that energy transition strategies must be stress-tested not only for technical feasibility and financial return, but also for resilience under volatile global conditions. By combining foresight and ESG, decision-makers can better position themselves to respond to surprises, seize emerging opportunities, and maintain public trust in the transition process.
This contribution aligns with the Congress theme “Pathways to an Energy Future for All” by proposing a governance and strategy lens that complements technological and market solutions. It offers a structured, actionable approach for energy leaders who recognise that resilience in the energy transition is not achieved by predicting the future, but by preparing for multiple futures.
Morteza Heidariannoghondar
Speaker
Author and Speaker
Maham-Vista Energy Consulting Engineers Group
Iran
Optimal management of energy resources to reduce carbon emissions is recognized as a key strategy in energy policymaking, playing a vital role in resource allocation, sustainable development, and strengthening democratic governance. These approaches foster transparency, accountability, and public participation while aligning economic and environmental interests. Pioneering projects such as Humber Zero (transforming heavy industries into low-carbon hubs) and Northern Lights (underground carbon storage) exemplify successful international integration of advanced technologies with carbon reduction policies. However, implementing these solutions requires a multi-layered architecture combining digital technologies, stakeholder engagement, and data transparency.
This research focuses on designing an integrated blockchain and smart data mining framework (utilizing LSTM and Federated Learning) to enable precise tracking of microgrids’ contributions to energy consumption and carbon emissions. The proposed architecture leverages blockchain’s decentralized capabilities to ensure computational transparency, equitable resource distribution, and reduced risk of data tampering. Participatory data mining algorithms facilitate real-time analysis of energy and emission data, empowering policymakers to design accurate incentive mechanisms. By establishing decentralized energy and carbon markets, this framework creates an international platform for attracting investments, where civil society and private institutions play pivotal roles in decision-making processes.
Key advantages include enhanced energy market efficiency, reduced transaction costs, and progress toward Paris Agreement goals through transparent, data-driven reporting. The integration of IoT and artificial intelligence across architectural layers enables smart monitoring of energy consumption and prediction of carbon emission patterns. These technologies prove particularly effective in challenging sectors like oil and gas, where solutions such as Carbon Capture and Storage (CCS) and process optimization require advanced analytical capabilities.
Nevertheless, challenges such as institutional resistance to change, high costs of deploying advanced technologies, and the need for harmonized international standards complicate implementation. For instance, conflicts between national regulations and global carbon market mechanisms may hinder cross-border collaboration. Findings demonstrate that combining blockchain and participatory data mining not only improves accuracy in allocating carbon emission shares to microgrids but also creates financial incentives for community participation through self-executing smart contracts. Energy and carbon tokens facilitate investments in decentralized renewable projects, peer-to-peer (P2P) transactions, and global decarbonization efforts.
This research underscores the necessity for collaboration among international institutions, governments, and the private sector to build a sustainable digital ecosystem where digital technologies drive energy transformation and carbon reduction. Successful implementation requires incentive policies (e.g., tax exemptions for green technologies), investments in workforce training, and strengthened digital infrastructure. In summary, the study provides policymakers with a roadmap to achieve sustainable development goals by synergizing smart technologies with governance principles rooted in democratic values, balancing technological innovation with participatory decision-making and market-based mechanisms for global impact.
This research focuses on designing an integrated blockchain and smart data mining framework (utilizing LSTM and Federated Learning) to enable precise tracking of microgrids’ contributions to energy consumption and carbon emissions. The proposed architecture leverages blockchain’s decentralized capabilities to ensure computational transparency, equitable resource distribution, and reduced risk of data tampering. Participatory data mining algorithms facilitate real-time analysis of energy and emission data, empowering policymakers to design accurate incentive mechanisms. By establishing decentralized energy and carbon markets, this framework creates an international platform for attracting investments, where civil society and private institutions play pivotal roles in decision-making processes.
Key advantages include enhanced energy market efficiency, reduced transaction costs, and progress toward Paris Agreement goals through transparent, data-driven reporting. The integration of IoT and artificial intelligence across architectural layers enables smart monitoring of energy consumption and prediction of carbon emission patterns. These technologies prove particularly effective in challenging sectors like oil and gas, where solutions such as Carbon Capture and Storage (CCS) and process optimization require advanced analytical capabilities.
Nevertheless, challenges such as institutional resistance to change, high costs of deploying advanced technologies, and the need for harmonized international standards complicate implementation. For instance, conflicts between national regulations and global carbon market mechanisms may hinder cross-border collaboration. Findings demonstrate that combining blockchain and participatory data mining not only improves accuracy in allocating carbon emission shares to microgrids but also creates financial incentives for community participation through self-executing smart contracts. Energy and carbon tokens facilitate investments in decentralized renewable projects, peer-to-peer (P2P) transactions, and global decarbonization efforts.
This research underscores the necessity for collaboration among international institutions, governments, and the private sector to build a sustainable digital ecosystem where digital technologies drive energy transformation and carbon reduction. Successful implementation requires incentive policies (e.g., tax exemptions for green technologies), investments in workforce training, and strengthened digital infrastructure. In summary, the study provides policymakers with a roadmap to achieve sustainable development goals by synergizing smart technologies with governance principles rooted in democratic values, balancing technological innovation with participatory decision-making and market-based mechanisms for global impact.
While global energy shifts toward sustainable and environmental-friendly policies, the incorporation of Environmental, Social, and Governance (ESG) principles into oil and gas contracts has become critical for aligning economic objectives of the oil-rich countries with climate challenges and social responsibility. This study examines the potential for integrating ESG frameworks into the Iran Petroleum Contract (IPC), a model designed to attract foreign investment in Iran’s oil and gas sector. While the IPC prioritizes technical and fiscal efficiency, its current structure lacks explicit mechanisms to address ESG risks, mainly carbon emissions, community impacts, and governance transparency.
This research evaluates how ESG considerations can be systematically embedded into the IPC’s contractual clauses, performance metrics, and stakeholder engagement processes. It uses a comparative method to find parallel legal solutions from Norway, Canada, and the UAE, where ESG-aligned petroleum contracts have enhanced project sustainability while maintaining profitability. Key focus areas include carbon capture and storage (CCS) mandates and local content development. The study also identifies challenges unique to Iran’s geopolitical context, including sanctions-related barriers to green financing and technology transfer.
Findings suggest that revising the IPC to include ESG-linked incentives, such as tax rebates for methane reduction or community benefit agreements, could improve Iran’s competitiveness in a decarbonizing global market. The paper includes actionable recommendations for policymakers, emphasizing the dual imperative of meeting Iran’s energy production goals and contributing to global climate targets under the Paris Agreement. By bridging gaps between traditional energy contracting and ESG imperatives, this research offers a roadmap for fostering resilient, socially accountable hydrocarbon development in emerging economies.
Keywords: ESG, Iran Petroleum Contract (IPC), Sustainable Energy, Climate Governance, Hydrocarbon Policy.
Co-author/s:
Rouhollah Saberi, Assistant Professor, University of Hormozgan.
Ida Mokhtassi, PhD Candidate, WU University of Vienna.
This research evaluates how ESG considerations can be systematically embedded into the IPC’s contractual clauses, performance metrics, and stakeholder engagement processes. It uses a comparative method to find parallel legal solutions from Norway, Canada, and the UAE, where ESG-aligned petroleum contracts have enhanced project sustainability while maintaining profitability. Key focus areas include carbon capture and storage (CCS) mandates and local content development. The study also identifies challenges unique to Iran’s geopolitical context, including sanctions-related barriers to green financing and technology transfer.
Findings suggest that revising the IPC to include ESG-linked incentives, such as tax rebates for methane reduction or community benefit agreements, could improve Iran’s competitiveness in a decarbonizing global market. The paper includes actionable recommendations for policymakers, emphasizing the dual imperative of meeting Iran’s energy production goals and contributing to global climate targets under the Paris Agreement. By bridging gaps between traditional energy contracting and ESG imperatives, this research offers a roadmap for fostering resilient, socially accountable hydrocarbon development in emerging economies.
Keywords: ESG, Iran Petroleum Contract (IPC), Sustainable Energy, Climate Governance, Hydrocarbon Policy.
Co-author/s:
Rouhollah Saberi, Assistant Professor, University of Hormozgan.
Ida Mokhtassi, PhD Candidate, WU University of Vienna.
Environmental, Social, and Governance (ESG) considerations have become central to corporate governance, particularly in the energy sector, where companies face increasing scrutiny from shareholders, investors, regulators, and consumers. Stakeholders now expect not only improved ESG performance but also greater transparency, accountability, and long-term value creation. As ESG factors increasingly shape investor decisions, the quality of board-level decision-making has never been more critical.
In this evolving landscape, boards of directors must lead the way. Governance is the foundation for achieving ESG objectives, and it is the board’s responsibility to ensure these factors are deeply embedded into governance frameworks. This includes setting strategic priorities, managing risk, allocating resources effectively, and aligning ESG principles with the company’s purpose and long-term strategy.
This presentation will explore how energy company boards can move beyond compliance and adopt a more strategic, inclusive approach to ESG governance. It will highlight the importance of adaptive decision-making frameworks that incorporate diverse perspectives from within the boardroom and across internal and external stakeholder groups. Boards must evolve their governance practices to embrace broader stakeholder engagement, build trust, and improve transparency around decision-making processes and trade-offs.
A key feature of the presentation is the introduction of an alternative FOCUS decision-making model (Frame, Option, Cognitive Bias, Uncertainty, Selection). Developed by Roger Schwarz, FOCUS is a human-centred decision-making framework designed to support individuals and teams in making high-quality decisions under uncertainty. Grounded in scientific research and real-world experience, FOCUS integrates logic and structure with a deep understanding of human behaviour—including values, cognitive biases, intuition, emotion, and physical and mental states. The framework is not a checklist, but a tool to help boards navigate complexity and make decisions they can stand behind—even when outcomes are uncertain. Attendees will leave with a foundational understanding of it and how to apply it in practice, as well as a renewed appreciation for the art and science of making better decisions in complex environments.
The presentation will draw on governance insights and real-world case studies to show how effective board leadership can balance commercial imperatives with societal responsibilities and stakeholder expectations. It will challenge traditional assumptions about how decisions are made, emphasising a practical guidance for directors and senior executives seeking to embed ESG into the core of governance and decision-making processes.
Ultimately, this presentation offers practical guidance for directors and senior executives looking to embed ESG into the DNA of corporate governance. Participants will leave with a stronger understanding of how to build resilient, stakeholder-responsive governance structures that support ESG integration and strengthen corporate performance in a rapidly changing energy landscape.
In this evolving landscape, boards of directors must lead the way. Governance is the foundation for achieving ESG objectives, and it is the board’s responsibility to ensure these factors are deeply embedded into governance frameworks. This includes setting strategic priorities, managing risk, allocating resources effectively, and aligning ESG principles with the company’s purpose and long-term strategy.
This presentation will explore how energy company boards can move beyond compliance and adopt a more strategic, inclusive approach to ESG governance. It will highlight the importance of adaptive decision-making frameworks that incorporate diverse perspectives from within the boardroom and across internal and external stakeholder groups. Boards must evolve their governance practices to embrace broader stakeholder engagement, build trust, and improve transparency around decision-making processes and trade-offs.
A key feature of the presentation is the introduction of an alternative FOCUS decision-making model (Frame, Option, Cognitive Bias, Uncertainty, Selection). Developed by Roger Schwarz, FOCUS is a human-centred decision-making framework designed to support individuals and teams in making high-quality decisions under uncertainty. Grounded in scientific research and real-world experience, FOCUS integrates logic and structure with a deep understanding of human behaviour—including values, cognitive biases, intuition, emotion, and physical and mental states. The framework is not a checklist, but a tool to help boards navigate complexity and make decisions they can stand behind—even when outcomes are uncertain. Attendees will leave with a foundational understanding of it and how to apply it in practice, as well as a renewed appreciation for the art and science of making better decisions in complex environments.
The presentation will draw on governance insights and real-world case studies to show how effective board leadership can balance commercial imperatives with societal responsibilities and stakeholder expectations. It will challenge traditional assumptions about how decisions are made, emphasising a practical guidance for directors and senior executives seeking to embed ESG into the core of governance and decision-making processes.
Ultimately, this presentation offers practical guidance for directors and senior executives looking to embed ESG into the DNA of corporate governance. Participants will leave with a stronger understanding of how to build resilient, stakeholder-responsive governance structures that support ESG integration and strengthen corporate performance in a rapidly changing energy landscape.
In developing countries, including my own country Iran, ESG reporting is often superficial and often reflect philanthropic activities rather than company activities. While 96% of the world’s largest companies publish sustainability reports, many fail to take sustainability into account in their decision-making process or their overall project management. This results in reports that are either a list of community projects or a list of projects that are forcibly connected to global trends for sustainability. Although studies frequently attribute this to a lack of unified standards, there are already many sustainability standards available, hundreds in fact. So, the issue doesn’t seem to be a lack of standardization. One could even say that over standardization is the problem. In this study we argue that the problem arises not from lack of standards but from the lack of connection between strategy formulation and execution and sustainability.
In Pasargad Energy Development Company which is active in Iran’s upstream, downstream, and power generation, we are beginning to realign our processes with this concept. We claim that we have alleviated this issue by integrating ESG from the start in our strategy formulation. We propose a customized ESG-enhanced SWOT framework which embeds ESG considerations into strategic planning. This way ESG becomes a part of strategy rather than an afterthought.
The proposed methodology extends beyond strategy formulation. As we execute strategies via projects the material issues are reviewed through stakeholder surveys and meetings; reviewed, prioritized via the sustainability committee, and refined and traced via the sustainability department. This process embeds ESG into project selection, execution, and performance monitoring, maintaining flexibility and responsiveness to the ever-changing global energy landscape. This way when we report on sustainability, we are in fact reporting the company activities and not on some unrelated topics to the company's business.
In a global landscape where ESG priorities are increasingly uncertain this framework helps companies move beyond ticking boxes for compliance. By embedding sustainability into core strategy and operations, firms can report on real business actions, not just standardized topics disconnected from their actual work.
In Pasargad Energy Development Company which is active in Iran’s upstream, downstream, and power generation, we are beginning to realign our processes with this concept. We claim that we have alleviated this issue by integrating ESG from the start in our strategy formulation. We propose a customized ESG-enhanced SWOT framework which embeds ESG considerations into strategic planning. This way ESG becomes a part of strategy rather than an afterthought.
The proposed methodology extends beyond strategy formulation. As we execute strategies via projects the material issues are reviewed through stakeholder surveys and meetings; reviewed, prioritized via the sustainability committee, and refined and traced via the sustainability department. This process embeds ESG into project selection, execution, and performance monitoring, maintaining flexibility and responsiveness to the ever-changing global energy landscape. This way when we report on sustainability, we are in fact reporting the company activities and not on some unrelated topics to the company's business.
In a global landscape where ESG priorities are increasingly uncertain this framework helps companies move beyond ticking boxes for compliance. By embedding sustainability into core strategy and operations, firms can report on real business actions, not just standardized topics disconnected from their actual work.
Mehdi Tanha Ziyarati
Speaker
Head of Environment Department, Pars Special Economic Energy Zone
National Iranian Oil Company
Iran
The Pars Special Economic Energy Zone (PSEEZ), as one of the world’s largest energy and petrochemical hubs, poses complex environmental and social governance challenges. This study investigates industrial noise exposure as a critical ESG (Environmental, Social, and Governance) parameter, assessing the effectiveness of current noise management regulations in protecting local communities. Sound levels were monitored across 60 locations during three-time intervals, and spatial analysis using ArcGIS enabled the development of detailed noise distribution maps. The results identified five primary noise sources: road traffic, flares, diesel generators, compressors, and industrial machinery. While noise levels near flares and compressors exceeded thresholds, their impact on residential zones remained limited. However, the desalination plant was identified as the dominant contributor to urban noise exposure.
Mitigation measures such as acoustic barriers and green buffers proved effective in maintaining compliance with existing standards. The study concludes that although PSEEZ hosts a high concentration of energy infrastructure, current environmental safeguards and governance frameworks are adequate, and immediate regulatory tightening may not be necessary. The findings underscore the importance of ongoing environmental monitoring, data-driven governance, and proactive stakeholder engagement to ensure sustainable industrial development and maintain the social license to operate.
Co-author/s:
Sakhavat Asadi, The CEO of the Pars Special Economic Energy Zone, National Iranian Oil Company.
Akram Hosseinnia, Consultant Research Institute of Petroleum Industry (RIPI), National Iranian Oil Company.
Mitigation measures such as acoustic barriers and green buffers proved effective in maintaining compliance with existing standards. The study concludes that although PSEEZ hosts a high concentration of energy infrastructure, current environmental safeguards and governance frameworks are adequate, and immediate regulatory tightening may not be necessary. The findings underscore the importance of ongoing environmental monitoring, data-driven governance, and proactive stakeholder engagement to ensure sustainable industrial development and maintain the social license to operate.
Co-author/s:
Sakhavat Asadi, The CEO of the Pars Special Economic Energy Zone, National Iranian Oil Company.
Akram Hosseinnia, Consultant Research Institute of Petroleum Industry (RIPI), National Iranian Oil Company.
In high-risk industries such as energy, where precision, regulation, and human reliability are paramount, incidents are often attributed to human error. Common post-incident reflections—like “What were they thinking?”—assume that workers were consciously and logically making decisions at the time. Neuroscience tells a different story.
This session introduces the concept of Limbic Risk—the risk that emerges when the brain’s emotional and unconscious systems override logical thinking. Our brains are evolutionarily wired to conserve energy and respond to threat. As such, much of our daily behavior is driven not by deliberate reasoning, but by the automatic processes of the Limbic System, especially under stress, fatigue, or routine conditions. This default to “autopilot” behavior is a major, yet often invisible, contributor to safety incidents.
As energy operations become more technically advanced and organizational systems more robust, the remaining margin of risk increasingly lies in the human factor. This presentation explores:
Why inattention and unconscious behavior are not anomalies, but normal functions of the brain.
How experienced workers become particularly vulnerable to Limbic Risk due to overfamiliarity with tasks.
The neuroscience behind complacency and normalization of deviation.
How emotional states—such as pressure, distraction, and irritation—suppress logical brain function and increase risk.
Grounded in the latest cognitive science, this session offers practical solutions for leaders and safety professionals in the energy sector. These include design strategies for work systems that account for human cognitive limitations, training methods that reinforce conscious risk scanning, and leadership practices that create environments where the brain is more likely to engage the rational Prefrontal Cortex.
As the energy sector faces evolving challenges—from automation to mental health, from aging workforces to increasingly complex risk landscapes—this presentation equips industry leaders with a neuroscience-informed framework to proactively manage human error. Understanding Limbic Risk is not just about reacting to incidents; it’s about designing safer systems, improving situational awareness, and shaping a culture that truly aligns with how the human brain functions under pressure.
This session introduces the concept of Limbic Risk—the risk that emerges when the brain’s emotional and unconscious systems override logical thinking. Our brains are evolutionarily wired to conserve energy and respond to threat. As such, much of our daily behavior is driven not by deliberate reasoning, but by the automatic processes of the Limbic System, especially under stress, fatigue, or routine conditions. This default to “autopilot” behavior is a major, yet often invisible, contributor to safety incidents.
As energy operations become more technically advanced and organizational systems more robust, the remaining margin of risk increasingly lies in the human factor. This presentation explores:
Why inattention and unconscious behavior are not anomalies, but normal functions of the brain.
How experienced workers become particularly vulnerable to Limbic Risk due to overfamiliarity with tasks.
The neuroscience behind complacency and normalization of deviation.
How emotional states—such as pressure, distraction, and irritation—suppress logical brain function and increase risk.
Grounded in the latest cognitive science, this session offers practical solutions for leaders and safety professionals in the energy sector. These include design strategies for work systems that account for human cognitive limitations, training methods that reinforce conscious risk scanning, and leadership practices that create environments where the brain is more likely to engage the rational Prefrontal Cortex.
As the energy sector faces evolving challenges—from automation to mental health, from aging workforces to increasingly complex risk landscapes—this presentation equips industry leaders with a neuroscience-informed framework to proactively manage human error. Understanding Limbic Risk is not just about reacting to incidents; it’s about designing safer systems, improving situational awareness, and shaping a culture that truly aligns with how the human brain functions under pressure.
As organisations strive to integrate Environmental, Social, and Governance principles into corporate frameworks, human reliability emerges as a critical yet often overlooked factor. Is it the key to sustainable business success, or just another industry trend?
Ask a room of CEOs and executives to define human reliability, and the responses vary—ranging from human factors, efficiency, competence, and procedures to culture and governance. The lack of a common definition or proven methodology leads to fragmented approaches, often borrowing from other industries with mixed success.
The Jonah Group convened a forum of executives from high-hazard industries to explore human reliability. This presentation shares key insights, challenges, and best practices uncovered in that discussion. It argues for a human-centric, multidimensional approach—acknowledging that humans are inherently fallible, and that effective governance must account for human error.
By embedding human reliability into ESG frameworks, organisations can enhance safety, transparency, and accountability, ultimately strengthening corporate reputation and performance. This session will provide practical strategies to bridge the gap between ESG commitments and real-world execution.
Ask a room of CEOs and executives to define human reliability, and the responses vary—ranging from human factors, efficiency, competence, and procedures to culture and governance. The lack of a common definition or proven methodology leads to fragmented approaches, often borrowing from other industries with mixed success.
The Jonah Group convened a forum of executives from high-hazard industries to explore human reliability. This presentation shares key insights, challenges, and best practices uncovered in that discussion. It argues for a human-centric, multidimensional approach—acknowledging that humans are inherently fallible, and that effective governance must account for human error.
By embedding human reliability into ESG frameworks, organisations can enhance safety, transparency, and accountability, ultimately strengthening corporate reputation and performance. This session will provide practical strategies to bridge the gap between ESG commitments and real-world execution.
