TAILWATER TAKES A PROACTIVE, COMMITTED APPROACH TO RESPONSIBLE INVESTING
DELIVERING SUSTAINABLE SOLUTIONS
“Tailwater has never been better positioned to help accelerate our collective progress towards a low-carbon future. We share a conviction that the energy economy is a space in which innovation can deliver attractive returns as well as a positive impact on our society.”
JASON DOWNIE AND EDWARD HERRING,
Co-Founders and Managing Partners
In 2022, Tailwater became a signatory to the United Nations-supported Principles for Responsible Investment (PRI), deepening our commitment to responsible leadership throughout the industry. 
In 2023, Tailwater became a member of the ESG Data Convergence Initiative (EDCI) in its continued stewardship of transparency and sustainable benchmarking within the private equity sector. 
As a demonstration of our commitment to sustainability and to ensure our investment strategy positively impacts key global issues, we have taken guidance from the United Nations’ Sustainable Development Goals (“SDGs”) and from the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD).
A UNIQUE RESPONSIBLE INVESTMENT PLAYBOOK
Tailwater has developed robust infrastructure and reporting that allows us to be stewards of resilience and sustainability to our portfolio companies and investors and, ultimately, to drive both investment returns and stakeholder value in the communities in which we do business.
MATERIAL RESPONSIBLE INVESTMENT FACTORS
Tailwater aims to create companies with a positive environmental and social impact. However, we are largely focused on performance in areas most material to each company. This concept of materiality allows us to engage meaningfully with our portfolio to directly link responsibility with bottom-line investment returns.
TAILWATER’S CORE AREAS OF RESPONSIBLE INVESTMENT FOCUS
Emissions / CO2 Avoidance
Safety
Power Sources
Recruitment
Efficiency / Utilization
Demographics and Engagement
Leak Detection
Governance
Cybersecurity
RESPONSIBLY MINDED INVESTING
To help determine sustainability outcome objectives, we have taken guidance from the United Nations’ Sustainable Development Goals (“SDGs”). In our view, aligning financially material sustainability issues with the SDGs increases the contribution our firm can make while creating enhanced portfolio value.
PRIMARY AREAS OF SDG FOCUS
6.3 Improve water quality by reducing pollution and increasing recycling and safe reuse
6.4 Increase water-use efficiency and ensure sustainable withdrawals and supply of freshwater
7.1 Ensure universal access to affordable, reliable and modern energy services
7.2 Increase substantially the share of renewable energy in the global power mix
9.1 Develop quality, reliable, sustainable and resilient infrastructure
9.4 Upgrade infrastructure and retrofit industries to make them sustainable
12.2 Achieve the sustainable management and efficient use of natural resources
12.4 Achieve the environmentally sound management of chemicals and all wastes
12.5 Substantially reduce waste generation through prevention, reduction, recycling and reuse
REFLECTING THESE VALUES IN OUR ORGANIZATION
Tailwater believes that the lessons of responsibility support value both in our portfolio as well as for the Tailwater team. In 2021, to foster the growth infrastructure talent of tomorrow, we developed the Tailwater Leadership Program - a reflection of our ethos of recruiting, mentoring, and training our junior investment team members to facilitate the next generation of energy investors. By exposing these rising stars to our full immersion strategy and teaching them about our solutions-driven approach, we are proud to build new leaders in our field and provide career pathways for young minds. Often, the pathway to employment is in the Tailwater portfolio, establishing both an exciting outcome for the team member and an extension of expert partnership to our portfolio.
GIVING BACK TO OUR COMMUNITIES
Responsibility at Tailwater further extends beyond our programs to a philosophy we live throughout our industry and communities. Since inception, our senior leadership has donated over $4.79 million and actively given over 5,000 hours of volunteer time to organizations supporting Education, Community Development, and Health.
$4.79M
In Donations
5K
Hours of Volunteer Time
SAMPLE ORGANIZATIONS SUPPORTED
Tailwater is a partner that not only understands the positive environmental impact of the midstream business, but it invests behind it. Together, our work has made a difference – both for our investors and for our environment.