Performance Targets

Performance Targets

Companywide targets set by our board of directors, including performance measures that are part of our Short-Term Incentive (STI) Plan, are detailed below. Targets are based on ONEOK’s historical performance and top quartile peer company performance. ONEOK also reviews and updates its ESG-related targets annually. These targets promote continuous improvement and communicate our high expectations for leadership and employees.

Agency Reportable Environmental Event Rate (AREER)

AREER is an internal environmental metric that promotes continued reductions in releases and emissions events. The AREER metric has been an element of ONEOK’s STI Plan for all employees since 2014, emphasizing ONEOK’s expectation for continuous improvement.

AREER is defined as the total number of releases and excess emission events that trigger a federal, state or local environmental-reporting requirement (with some exceptions to account for events outside our control, planned maintenance and disparity in reporting requirements across our operations) per 200,000 work-hours.

Since implementation of the metric, we have seen substantial overall reductions in our rate of reportable environmental events. In 2023, we set an AREER target of 0.40 and achieved a result of 0.32, which was nearly 30% lower (better) than 2022’s AREER result of 0.45.

Safety and Health

Total Recordable Incident Rate (TRIR)

TRIR is the number of Occupational Safety and Health Administration (OSHA)-recordable injuries and illnesses per 200,000 work hours. TRIR is part of our STI Plan performance criteria for all employees. Inclusion of this metric emphasizes ONEOK’s commitment to safe operations and rewards safe behavior throughout the company.

Environment

Absolute Scope 1 and Scope 2 GHG Emissions Reduction Target

We have targeted a 2.2 million metric ton (MMT) reduction of our combined Scope 1 and Scope 2 GHG emissions by 2030. The target represents a 30% reduction in combined operational Scope 1 and location-based Scope 2 GHG emissions attributable to ONEOK assets as of Dec. 31, 2019. As of year end 2023, we had achieved reductions totaling approximately 1.1 MMT, or approximately 50% toward our targeted 2.2 MMT reductions.

Following our recent acquisitions, including the Magellan acquisition, we continue to integrate and evaluate these new business operations.