ESG 2020 Annual Report

By the Numbers

ESG Overview


These metrics are provided in response to the desire of investors and other stakeholders for ESG/Sustainability information that is consistent in terms of accessibility, content, timing and presentation. Companies that participate in voluntarily providing ESG/Sustainability information in this format share a common goal to provide investors with relevant information that:

  • Allows integration of ESG/Sustainability data and performance
  • Provides clarity of risks and opportunities and how they are being managed
  • Provides insight into growth strategy, assumptions and future trajectory
  • Provides both qualitative and quantitative information
  • Serves as a primary reporting channel for consolidated ESG/Sustainability information relevant to investors and other stakeholders

ESG/Sustainability Strategy

SJI is dedicated to supporting the future of energy and the region. We’re committed to working with customers and industry, commercial and government stakeholders to ensure a balanced approach to addressing the energy needs of our region – driving energy independence and lowering costs. Natural gas plays a critical role in this future by helping to ensure a balanced approach while delivering a safe, reliable, affordable solution to meet the energy needs of our state. In addition to supporting the need for energy from diverse sources, SJI is committed to driving down the cost of energy, delivering safe and reliable service and improving energy efficiency.

To support this commitment, this year SJI established a Clean Energy and Sustainability team – responsible for strategy development, initiative execution and oversight of all energy efficiency, clean energy and environmental sustainability initiatives that will support our carbon reduction goals to achieve a 70% carbon reduction of operational emissions and consumption by the year 2030 and to achieve 100% carbon reduction by 2040 . The members of this team, a collaboration of individuals across various business lines, enable us to continue to develop meaningful partnerships with all stakeholders to ensure we have a minimal impact on the environment and a positive impact on our customers and communities, while facilitating our carbon emission reduction targets.

See Sustainable Business Practices Section of this report for further ESG/Sustainability Strategy information.

ESG/Sustainability Governance

To support the creation of this report and the company’s other ESG and corporate sustainability efforts, the ESG Committee of the Board provides oversight on key initiatives such as Human Capital Management, Safety and Climate. The Chairwoman of the ESG Committee of the Board provides a quarterly report to the full Board of Directors regarding ESG initiatives.

In 2018 the Board of Directors established the internal Environmental, Social and Governance (ESG) Management Committee that reports to the ESG Committee of the Board at least quarterly.  The ESG Management Committee includes cross-functional members of management from key areas of the Company such as ESG, human resources, legal, risk management, communications, safety and environment.

The ESG Management Committee is responsible for the development and implementation of the company’s key sustainability strategies, initiatives and policies. This includes management of SJI’s commitment to safety, climate, health, human rights, human capital management, diversity, equity and inclusion, governance and community support strategies.

The ESG Management Committee

The ESG Management Committee carries out several key functions, including:

  • Monitors and responds to emerging ESG issues and makes recommendations to the Board where appropriate to improve SJI’s ESG performance.
  • Reviews and monitors the Company’s environmental and sustainability policies, practices and performance to ensure compliance with the relevant legal and regulatory requirements.
  • Implements, reviews and evaluates Company policies, procedures and practices relating to employment practices, including workforce diversity, employee work-life, Equal Employment Opportunity (EEO), talent acquisition, employee retention and compliance with employment-related laws, regulations and policies.
  • Manages environmental and socially responsible business practices that align with the Company’s values and long-term strategic goals.
  • Assists the Company in monitoring and bringing to the attention of the Board of Directors, as appropriate, current and emerging political and social actions, public policy, environmental and social issues that may affect the business operations, financial performance or public image of the Company.
  • Receives periodic reports regarding ESG (including climate) related risks and the corresponding procedures for monitoring, controlling and reporting these risks.
  • Annually reviews Company’s environmental, social and governance metrics to be included in the annual ESG Report.
  • Reviews the ESG report before distribution to the ESG Committee of the Board.
  • Evaluates and approves environmental, social and health and safety metrics that will be publicly disclosed to external stakeholders.
  • Receives reports from members of Management on the Company’s relationship with key stakeholders, their view on the company and any issues raised by them.
  • Provides guidance on environmental impact and sustainability issues.
  • Receives reports on ESG related investor engagement.