Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Achieved a 34% decrease in flaring volumes from emissions events and a 16% decrease in the total number of flaring incidents
• Developed a goal to reduce methane intensity to 0.08% for gathering and boosting segment and 0.11% for the processing segment by 2025
• Exported approximately 4.6 billion gallons of liquefied petroleum gas (“LPG”) globally in 2020 that can offset other, higher GHG-emitting fuels

Social Achievements

• Reduced total recordable injury rate (TRIR) by more than 35% and days away, restricted, or transferred (DART) incident rate by more than 41% between 2017 and 2020
• Implemented a new mobile safety app for reporting near misses and other hazards
• Continued to successfully build a diverse workforce – 29% of workforce was from traditionally under-represented racial or ethnic groups; 24% of leaders across Targa were women

Governance Achievements

• Established a Board-level Sustainability Committee to oversee management’s implementation of strategy to integrate sustainability into various business activities to create long-term stakeholder value

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards - Core option, SASB Oil & Gas - Midstream Standard

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Safety
• Workforce
• Community Engagement
• Governance

Environmental Achievements

• 19% reduction in methane intensity for Gathering and Boosting sector and 3% reduction in Processing sector
• Exceeded ONE Future 2025 Original sector goals and exceeding 2025 Revised goals on a company-wide basis
• Avoided ~3.9 million metric tons of GHG emissions since 2015 through integration of electric-driven compression
• Reduction in flaring intensity from 0.77% in 2020 to 0.29% in 2023

Social Achievements

• Implemented ESH Notifications, an online information-sharing platform to enhance employee engagement
• Developed a formal Employee Recognition Program
• Filled over 300 positions in support of new assets in 2023
• Announced Volunteer Time-Off (VTO) program

Governance Achievements

• 91% board independence
• 36% of the Board of Directors are women
• Updated the Audit Committee’s charter to formalize cybersecurity oversight at the Board level

Climate Goals & Targets

Environmental Challenges

• Maintaining third-party compliance with Targa’s policies and procedures
• Risk of “greenwashing”, i.e., alleged misleading information or false claims
• Inherent uncertainties in providing sustainability information due to the complexity and novelty of methodologies
• Potential inability to meet emissions goals and targets

Mitigation Strategies

• Consistent record of listening to stakeholders and working towards meaningful emission reductions
• Empowering dedicated resources to investigate and pilot new technologies
• Engagement with industry organizations to learn about mitigation strategies
• Investment in technologies such as Optical Gas Imaging (OGI) cameras

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• ISNetworld

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ONE Future