Diversified Energy Company PLC

Rating Overview

Diversified Energy Company PLC is Medium Risk.

Diversified Energy Company PLC is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. The company implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. The company occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria	Risk Level
Cancellations	Medium Risk
Discriminatory Philanthropy	Lower Risk
Employment Protection	High Risk

Corporate Weaponization ⓘ

Corporate Governance and Public Policy Risk Levels
Criteria	Risk Level
Advocacy Bias	High Risk
Funding	Lower Risk
Political Actions	Lower Risk

Corporate Governance and Public Policy ⓘ

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization

Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

Diversified Energy integrates ESG into its business practices. In its 2024 Sustainability Report, the company reports “Executive Compensation Tied to ESG/EHS” (1). The company integrates ESG into its business practices by vetting suppliers for emissions policy. From its Business Partners Policy: “Business Partners are equally expected to promote a culture that values the environment and seeks to use resources responsibly, preserve the environment and reduce the environmental footprint of their operations, including a commitment to reduce greenhouse gas emissions, pollution prevention, utilize best practices for waste management, encourage resource efficiency, respect biodiversity, and encourage land and forest conservation” (2). However, the company has not canceled customers, suppliers, or vendors based on political views or religious beliefs (3).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

Lower

Rationale:

Diversified Energy does not appear to discriminate against religious organizations based on views or beliefs (1)(2).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

Diversified Energy requires its talent acquisition team to take unconscious bias training (1). The company requires its employees to take diversity training (2). The company appears to prioritize diversity over merit in its hiring. From its Employee Relations Policy: the company strives to “actively promote equal opportunities as a distinctive element of our integrated, diverse and inclusive business” (3). The company appears to prioritize diversity over merit in its leadership composition. From its 2024 Sustainibility Report: “[The] Nomination & Governance Committee ensures a balance of skills, knowledge, independence, experience and diversity on the Board and its committees” (4). The company does not provide viewpoint protections for its employees (5).

Corporate Governance and Public Policy

Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

Diversified Energy is committed to net zero emissions by 2040 (1). The company supports DEI within its business practices. From its Career page: “At Diversified, we foster a culture of innovation, collaboration, growth and inclusivity” (2). The company supports ESG within its business practices. From its 2022 Sustainability Report: “Transparency, continued action and investment, and steady progress have all contributed to Diversified’s ability to embed ESG concepts into our approach to operations” (3).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Lower

Rationale:

Diversified Energy has not used corporate funds to advance ideological causes, organizations, or policies (1).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

Lower

Rationale:

Diversified Energy has not used its PAC donations for ideological purposes and does not report on its lobbying at this time (1)(2)(3).