BASF

InfluenceMap Score
D
Performance Band
49%
Organisation Score
48%
Relationship Score
Sector:
Chemicals
Head​quarters:
Ludwigshafen, Germany
Brands and Associated Companies:
Wintershall Dea, TrinamiX, BASF Coatings, Nunhems
Official Web Site:
Wikipedia:

Climate Lobbying Overview: BASF is highly strategically engaged with climate change policy in Europe, taking negative positions on several key issues. The company seems to broadly support top-line climate action but with some reservations regarding impacts on competitiveness, and BASF’s generally positive position on the energy transition contradicts that of its subsidiary Wintershall Dea, which advocates for a continued role for fossil gas.

Top-line Messaging on Climate Policy: BASF seems to take a mixed position on climate change action in its top-line messaging. The CEO Martin Brudermüller stated support for the EU Green Deal and advocated for limiting warming to 1.5°C in 2021. However, in November 2020 in response to an EU public consultation the company stressed concerns regarding the impact of the EU’s 2050 carbon neutrality goal on competitiveness. BASF supported “globally comparable” carbon pricing on its corporate website, accessed in August 2020, but in 2021 the CEO appeared to support European and German climate policy on the condition that it must not be “restricting” and has consistently stressed that it must preserve competitiveness. In October 2021, in an interview with Handelsblatt, BASF CEO Martin Brudermüller advocated against tightening EU targets in a statement ahead of COP26, seeming to prefer a ‘climate club’ due to the impacts on competitiveness of unilateral action.

Engagement with Climate-Related Regulations: BASF seems to engage with climate change regulations in the EU and Germany with predominantly negative positions. In 2021 the CEO Martin Brudermüller did not seem to support increasing Germany’s climate targets and in April 2020, in response to an EU public consultation, BASF stressed concerns regarding increasing the ambition of the EU’s 2030 GHG target. In 2020, in response to EU public consultations, the company did not support increasing the ambition of the EU Emissions Trading System (EU ETS) and supported increasing carbon leakage protection measures. BASF also advocated for the continuation of indirect cost compensation for petrochemicals in the EU ETS in a meeting with EU policymaker Elena Scoppio in May 2020. In October 2021 in an interview with Handelsblatt the CEO opposed a Carbon Border Adjustment Mechanism (CBAM) in the EU, suggesting that it would cause carbon leakage, job losses and invite countermeasures from other countries.

BASF broadly supported energy efficiency measures in its 2020 Annual Report, but, in response to EU public consultations in 2020, the company advocated against increasing the energy efficiency target and suggested that the Energy Efficiency Directive revision should “clarify the hierarchy between conflicting goals” as new low-carbon processes will consume more energy. However, it also supported including a building renovation target in the Directive. In 2021, the CEO Martin Brudermüller supported reforming renewable energy policy in the EU to speed up renewable energy production, but also advocated for the abolishment of the German renewable energy surcharge (EEG) in the same year.

Positioning on Energy Transition: BASF appears to take a mixed position on the transition of the energy mix. In June 2021, BASF supported replacing fossil fuels with renewable electricity and the CEO Martin Brudermüller advocated for a policy framework to increase the production of renewable hydrogen in July 2021. However, an oil and gas subsidiary, Wintershall Dea, has consistently stated support for a long-term role for fossil gas and hydrogen produced with fossil gas in the energy mix, without placing clear conditions on the deployment of CCS or methane abatement measures, the CEO Mario Mehren regularly advocating for the fuel in press releases and on social media in 2021.

Industry Association Governance: BASF has disclosed a list of memberships to industry associations in its industry association review in 2020, which outlined their positions on climate policy. Company executives have senior leadership roles in a number of trade associations that do not appear to be supporting key climate change policies in the EU, notably the German Chemical Industry Association (VCI), the Federation of German Industries (BDI) and Cefic, in which the CEO Martin Brudermüller holds executive positions, and the National Association of Manufacturers (NAM) in the US. The company also retains membership of several industry associations which are lobbying negatively on climate policy including BusinessEurope and Eurogas in the EU, and the American Chemistry Council in the US. BASF’s CEO is Chairman of the European Round Table for Industry’s (ERT) Competitiveness & Innovation Committee, the association having become more positive on several climate policies over the past year. A detailed assessment of the company's industry association review can be found on our CA100+ webpage here.

QUERIES
DATA SOURCES
12NSNS21NS
12NS001NS
01-1-100NS
12NS1NS1NS
0NA-1NANANANS
-10-2-20-2NS
-11-1-100NS
0-100NS0NS
0-1-1000NS
000101NS
11NS-100NS
1NS-1NANANANS
Strength of Relationship
STRONG
 
 
 
 
 
 
 
WEAK
 
57%
 
57%
 
43%
 
43%
 
59%
 
59%
 
27%
 
27%
 
44%
 
44%
 
49%
 
49%
 
21%
 
21%
 
42%
 
42%
 
63%
 
63%
 
42%
 
42%
 
60%
 
60%
 
45%
 
45%
 
47%
 
47%
 
50%
 
50%
 
72%
 
72%
 
38%
 
38%
 
45%
 
45%
 
58%
 
58%

How to Read our Relationship Score Map

In this section, we depict graphically the relationships the corporation has with trade associations, federations, advocacy groups and other third parties who may be acting on their behalf to influence climate change policy. Each of the columns above represents one relationship the corporation appears to have with such a third party. In these columns, the top, dark section represents the strength of the relationship the corporation has with the influencer. For example if a corporation's senior executive also held a key role in the trade association, we would deem this to be a strong relationship and it would be on the far left of the chart above, with the weaker ones to the right. Click on these grey shaded upper sections for details of these relationships. The middle section contains a link to the organization score details of the influencer concerned, so you can see the details of its climate change policy influence. Click on the middle sections for for details of the trade associations. The lower section contains the organization score of that influencer, the lower the more negatively it is influencing climate policy.