BAKU, Azerbaijan, August 12. SOCAR has
published its 2025 Sustainability Report.
The report presents the Company’s environmental, social,
governance (ESG) and economic performance, disclosing
sustainability indicators for SOCAR’s operations in Azerbaijan and
its key international activities in a transparent, reliable and
comparable manner, in line with internationally recognized
reporting requirements.
The year 2025 marked an important milestone in integrating
sustainability into SOCAR’s corporate governance system. During the
reporting period, the Company conducted its first-ever Double
Materiality Assessment. Based on the assessment results, climate
change, business ethics and pollution were identified as SOCAR’s
most significant sustainability topics. In addition, the ESG Data
Platform was launched, providing a unified digital solution for
managing ESG data and significantly improving data quality,
traceability and the efficiency of the reporting process.
The report also highlights SOCAR’s key achievements in climate
action. In particular, the company’s Decarbonization Roadmap,
approved in 2025, defines the main areas of action for reducing
carbon and methane emissions, advancing electrification, deploying
carbon capture technologies, improving energy efficiency and
expanding the use of renewable energy sources.
During the reporting year, approximately 1 million tonnes of CO₂
equivalent greenhouse gas emissions were reduced across SOCAR’s
operations in Azerbaijan, primarily through the implementation of
the Leak Detection and Repair (LDAR) programme at SOCAR’s Azneft
Production Union.
SOCAR also made significant progress in sustainable finance.
During the reporting period, the Company issued USD 200 million in
Green Bonds to support the financing of renewable energy
projects.
Human capital development remains one of SOCAR’s key priorities.
In 2025, the Company implemented a number of development
initiatives, including the Leadership Academy, as well as Energy
Leaders and Young Talents programmes. More than 1 million training
hours were delivered to employees across the SOCAR Group. Employee
engagement in Azerbaijan reached 84%, while employee satisfaction
stood at 78%. During the reporting year, the SOCAR Group’s social
expenditure amounted to AZN 412 million.
The report also outlines SOCAR’s contribution to the development
of the local economy. In 2025, the share of procurement spending
directed to local suppliers in Azerbaijan increased from 82% to
88%, reflecting SOCAR’s continued commitment to strengthening the
local supply chain, supporting domestic businesses and creating
greater economic value within the country.
Overall, the report demonstrates the progress achieved in
integrating sustainability into SOCAR’s corporate governance,
operational activities and strategic decision-making processes.
The report has been prepared in accordance with the GRI
Standards, including the GRI 11: Oil and Gas Sector Standard, and
has undergone independent assurance by the Azerbaijan branch of
Ernst & Young Holdings (CIS) B.V. It also takes into account the
principles of the UN Global Compact, the UN Sustainable Development
Goals (SDGs), the Sustainability Accounting Standards Board (SASB)
and the European Sustainability Reporting Standards (ESRS).
