What does climate leadership look like in action? It means responsibly meeting our climate goals with a sense of scale and urgency. In March 2021, SoCalGas became the largest natural gas distribution company in North America to set a net-zero goal including scopes 1, 2 and 3 emissions. We aim to achieve net-zero greenhouse gas emissions in our operations and the energy we deliver by 2045. Though we are decades from midcentury, our actions are well underway.
Key progress in emissions reductions through clean energy innovation, as well as planning and research in our mission to build the cleanest, safest, most innovative energy company in America include:
- Exceed the state requirements to demonstrate a 20% reduction in fugitive methane emissions by 2025: SoCalGas has been a long-standing leader and innovator in leak detection and abatement, investing in technologies like fiber optic sensors, aerial mapping, modernizing our compressor stations, and focusing on reductions of third-party damage to our pipelines. We expect to exceed this target by the end of 2022, three years ahead of schedule.
- Complete five hydrogen pilot projects by 2025: SoCalGas is leading on hydrogen, with more than 10 major pilot projects related to hydrogen innovation in motion. This includes our [H2] Hydrogen Home, H2 SilverSTARS and H2 PureComp. Projects like these expand and accelerate clean fuels initiatives, which will help decarbonize California faster.
- Establish a hydrogen industrial cluster with industry partners by 2030: We recently announced our proposal to develop the Angeles Link – a green hydrogen energy infrastructure system that could deliver clean, reliable energy to the Los Angeles basin as a cornerstone of California’s hydrogen economy. The Angeles Link could provide a path to decarbonize hard-to-electrify heavy industries that will require clean fuels to allow us to meet California’s climate goals.
- Achieve net-zero energy for 50% of all SoCalGas existing buildings by 2030: As of March 2022, the renewable power purchased from the electric utilities’ green rate programs represents over 91% of all SoCalGas’ electric grid-connected demand. And we are on track to expand that to 95% by the end of this year.
- Operate a 100% zero-emission over-the-road fleet: In January of this year, we began transitioning our fleet by incorporating zero-emission vehicles with 50 Toyota Mirai hydrogen fuel cell electric vehicles. The vehicles produce their own electricity thanks to the hydrogen fuel cells, and only emit clean water. SoCalGas also plans to add Ford F-150 Lightning electric trucks, which will be serviced by the addition of 1,500 electric vehicle charging stations at company sites by the end of 2024.
As we accelerate our transition to increased integration of sustainable business practices, we developed two strategic visions that will help realize a more sustainable future — ASPIRE 2045 and The Role of Clean Fuels and Gas Infrastructure in Achieving California’s Net-Zero Climate Goal.
ASPIRE 2045 is SoCalGas’ Sustainability Strategy, where our net-zero climate objective is an important part of a larger, more meaningful way of doing business to create positive and lasting benefits for our customers, employees, and communities.
The Role of Clean Fuels and Gas Infrastructure in Achieving California’s Net-Zero Climate Goal is a technical analysis to demonstrate how California can achieve the most affordable, resilient, and technologically proven path to carbon neutrality by combining the strengths of renewable electricity from solar and wind with clean hydrogen, renewable natural gas, and biofuels.
While we have made great progress, we are inspired by the challenge to do more. We will continue to make investments in the three core capabilities of decarbonization, diversification, and digitalization of our business to reach our 2045 net-zero goal. We are participating in the 2022 Climate Leadership in pursuit of the broader goal; that we will all need to come together – government, research institutions, corporate leaders – to achieve our shared goal of creating a cleaner, safer and more equitable world. That is climate leadership.