The oil and gas industry sits at the centre of the global energy system, and, increasingly, at the heart of the climate debate. While the sector’s primary outputs are inherently carbon-intensive, that doesn’t mean sustainability is off the table. In fact, procurement leaders in oil and gas have a unique opportunity to shape more environmentally responsible supply chains without compromising operational resilience.
Here’s how sustainability can be integrated into oil and gas procurement practices, and why it’s not just possible, it’s increasingly essential.
1. Start with supplier standards
A major portion of an oil and gas company’s environmental footprint comes from its supply chain. From machinery and raw materials to chemicals and services, each decision influences emissions, waste, and resource use.
Procurement teams can begin by setting clear sustainability expectations in supplier onboarding and tender processes. These may include:
- Environmental management certifications (e.g. ISO 14001)
- Commitments to carbon reduction or net-zero targets
- Transparency around sourcing and manufacturing practices
Embedding these standards into supplier contracts helps shift the entire ecosystem towards more sustainable norms.
2. Low-carbon logistics
Transporting equipment, materials, and personnel is often one of the most emissions-heavy aspects of operations. Optimising logistics- through route planning, consolidated shipments, or choosing suppliers with greener fleets- can meaningfully reduce carbon output.
Where possible, consider prioritising local suppliers. Not only does this reduce transport emissions, it can also strengthen relationships and supply chain resilience.
3. Choose sustainable materials and alternatives
Sustainable procurement isn’t just about how things are made and moved, but what is being bought. Replacing traditional materials with lower-impact alternatives (such as recycled or biodegradable components) can significantly reduce environmental harm.
Durability is also key. Opting for longer-lasting equipment or components reduces the need for frequent replacements, lowering both environmental impact and total cost of ownership.
4. Build circularity into procurement
Circular procurement- the process of purchasing products and services that contribute to closed-loop systems- is gaining traction across heavy industries. In oil and gas, this could involve working with suppliers who refurbish or recycle equipment, reduce packaging waste, or offer take-back schemes.
Circular approaches reduce the volume of waste heading to landfill and lessen the demand for virgin resources, aligning with broader ESG goals.
You can find out more about our own approach to ESG here.
5. Track, report, and improve
No sustainability effort is complete without data. Modern procurement platforms can help track supplier performance, emissions data, and compliance with environmental standards. This visibility allows procurement teams to identify hotspots and make more informed decisions.
Regular sustainability audits, supported by transparent reporting, also demonstrate commitment to regulators, investors, and internal stakeholders.
Sustainability in oil and gas procurement: final thoughts
Oil and gas procurement has long been defined by price, performance, and reliability. But now, sustainability must sit alongside these as a critical metric for success. By making thoughtful, environmentally conscious choices at the procurement level, oil and gas organisations can reduce their impact, meet evolving regulatory standards, and build long-term resilience.
Sustainability isn’t a side project, it’s a strategic advantage. And procurement is where it starts. At Accelerate, our procurement consultants have years of experience in supporting the oil and gas industry with procurement innovations and challenges. Get in touch to see how we can help.