Arab News, Thursday, May 25, 2023 | Thul-Qidah 5, 1444
SABIC tops Saudi-listed companies in sustainable reporting: Bridge ESG
Saudi Basic Industries Corp., also known as SABIC, has grabbed the top rank in
environmental, social and governance reporting among listed firms in the
Kingdom, according to a new report.
The analysis by Islamabad-based Bridge ESG
compared various sustainability attributes among the 13 out of 217 companies
listed on Tadawul which are submitting reports in this area.
According to the findings, SABIC scored 76 percent
in the ESG ratings to grab the top spot, followed by Saudi Arabian Oil Co. with
69 percent and Petro Rabigh with 54 percent.
SABIC’s rankings come after it established a
partnership in 2022 with chemical and industrial gas giants BASF and Linde to
develop electrically powered steam cracker technology with the aim to reduce
greenhouse gas emissions by 90 percent.
Bridge ESG compiled its ESG report based on
various criteria which include annual reports published by the companies on
Tadawul and disclosure assessment by these firms against the requirements of the
exchange’s ESG guidelines.
It was in 2021 that Tadawul issued guidelines on
ESG reporting, which set various attributes against which entities are required
The Bridge ESG report further noted that only five
out of 13 firms are giving complete disclosures around toxic emissions and
wastes, while just nine companies provided full details around greenhouse gas
“Companies in the energy sector are doing more
effective reporting as compared to others in environmental attributes,” said
Bridge ESG in the report.
The report added that nine companies are giving
complete disclosures involving human capital development, while four firms
provided full details involving the access to healthcare attribute.
In March, a PwC survey revealed that asset
managers and investors in Saudi Arabia want a more nuanced approach that
balances ESG demand with today’s challenging economic reality.
“Despite the difference in approach and emphasis
about the future of ESG investments, Saudi Arabia is committed to bringing
people together to find solutions to the challenges we must confront,” the