Piramal Pharma Limited (PPL)

Climate Impact & Sustainability Data (2015-2030, 2022-04 to 2023-03, FY21-22)

Reporting Period: 2015-2030

Environmental Metrics

ESG Focus Areas

Environmental Sustainability
Social Responsibility
Governance

Environmental Achievements

Successful past reductions in greenhouse gas emissions
Waste reduction through minimization, reuse, and recycling
Water use reduction, particularly in water-scarce areas
Integration of Green Chemistry principles

Social Achievements

Commitment to responsible business practices, including fair labor practices and stakeholder engagement
Providing an adequate grievance mechanism for handling customer feedback and concerns
Commitment to engaging with the Government through recognized industry bodies/associations

Governance Achievements

Full compliance with all applicable legal environmental requirements
Continual improvement of environmental performance through ISO 14001 and OHSAS 18001 compliance
Complete accountability and transparency in sustainability performance

Climate Goals & Targets

Medium-term Goals:

Reduce GHG emissions by 5% from 2015 baseline by 2030
Reduce CO2 emission from vehicles by 10% by 2030
10 key suppliers to support Piramal’s supplier code of conduct
10 key suppliers to manage environmental impacts through sustainability programs
10 key suppliers to institute reduction goals for GHG emissions, waste disposal, and water usage

Environmental Challenges

Significant and wide-reaching supply chain impacting environmental performance
Potential for harm caused by climate change

Mitigation Strategies

Involving supply chain partners in environmental sustainability program
Setting targets for greenhouse gas emission, waste, and water reduction for key suppliers
Implementing energy efficiency measures and renewable energy technologies

Supply Chain Management

Responsible Procurement

Piramal Supplier Code
Sustainable sourcing of ingredients, packaging materials, and other goods and services

Climate-Related Risks & Opportunities

Physical Risks

Rising sea levels
Fresh water scarcity
Severe weather events
Adverse public health impacts

Reporting Standards

Frameworks Used: ISO 14001, OHSAS 18001

Reporting Period: 2022-04 to 2023-03

Environmental Metrics

Total Carbon Emissions:5682.73 tCO2e/year (Scope 1 and 2 combined)

Scope 1 Emissions:62.50 tCO2e/year

Scope 2 Emissions:5620.23 tCO2e/year

Total Energy Consumption:25503.5 GJ/year

Waste Generated:222 units of electronic assets recycled

Carbon Intensity:0.64 tCO2e/Crore rupee

ESG Focus Areas

Impactful Growth
Social Stewardship
Resilient Technology
Governance Excellence

Environmental Achievements

Installed energy-efficient lighting equipment (LED lights), replacing CFL lights across premises and signage boards.
All new branches fitted with inverter air-conditioning with R-22 refrigerant wherever possible.
Digitization initiatives saved approximately 22+ Lakhs pages of paper across all products.

Social Achievements

Retained over 3,000 DHFL employees and rolled out ~9,000 new job offers.
Partnered with a wellness platform that provided 24x7 support for the mental well-being of employees.
Enhanced healthcare benefits to support employees and their families by introducing a mental well-being cover.
Provided financial literacy training to over 2,700 home buyers and 113 builders.
Disbursed ₹6,518 Crores to women borrowers, contributing to their economic empowerment (~31% of loan book dedicated to women borrowers).
Hired 12 women from the Karuna Fellowship programme.

Governance Achievements

Established a Sustainability and Risk Management Committee (SRMC).
Implemented a robust ESG governance structure.
Board independence stands at 57%.
Board has enhanced gender diversity, with 5 out of 14 members being women (36%).
Implemented a system of evaluating the performance of the Board of Directors and its Committees.

Climate Goals & Targets

Long-term Goals:

Fund slum rehabilitation and redevelopment projects
Launch new impact fund
Increase women representation in the workforce
Target to recycle 100% e-waste

Medium-term Goals:

Increase the reach to underserved customers
Fund affordable housing/redevelopment projects in Tier II/III + Tier I outskirts
Train 10,000 partners for growth and employment
Conduct financial literacy and awareness sessions for 2,00,000 beneficiaries
Develop internal energy management system integrating global recommendations and best practices
Assess the possibility for corporate offices and branches for green building certifications
Moving toward renewable energy for corporate office and some branches
Monitor the consumption of paper
Increase employee volunteering hours to three hours
Implement policies to improve employee well-being
Grievance redressal mechanism in place and a commitment to 100% resolution of complaints
Human rights training to all the employees
Fund green real estate projects
Monitor and actively support ESG risk monitoring across portfolio
Evaluate opportunities to launch new sustainability linked funds
96% payments to be collected by digital mode in Retail business
50% service queries to be met through digital mediums in Retail business
Reduction of paper consumption in Retail business

Short-term Goals:

Increase the portfolio of women borrowers
Increase affordable housing portfolio
Disburse budget home loans to low-income group customers
Disburse loans to customers who are new to credit
Conduct energy audits at all HO/regional offices and some branch locations
Monitor the consumption of paper
Identify waste generation hotspots
Identify vendors for paper waste recycling and create strategic partnerships
Monitor the baseline on water consumption across offices and branches
Conduct water audits
Ensure digitalisation of MIS across functions and locations
Identify appropriate areas for process automation and undertake automation drive across branches/ regional offices
Enable digital payment channels for all products

Environmental Challenges

Climate-related risks such as physical risks (extreme weather events) and transitional risks (policy changes or shifts in market preferences).
Default and concentration risk in lending.
Interest rate risk.
Liquidity and ALM risk.
Regulatory risk.
Investment risk.
Cyber-security risk.
Brand and reputation risk.
Operational risk and fraud risk.

Mitigation Strategies

Implemented a risk management framework to anticipate and address potential risks.
Robust credit assessment processes, including independent risk team evaluation.
Asset Liability Committee (ALCO) actively reviews interest rate risk.
Continuous tracking of regulatory framework and ensuring compliance.
Robust cyber security measures, including anti-virus, anti-spyware, firewalls, and offsite data backup.
Robust corporate governance to manage risks and consistent monitoring of issues at the Board level.
Robust internal audit for all businesses and a concurrent audit system for retail businesses.

Supply Chain Management

Responsible Procurement

Code of Conduct applicable to all procurement activities.
Primarily collaborates with local suppliers for IT procurement.

Climate-Related Risks & Opportunities

Physical Risks

Extreme weather events

Transition Risks

Regulatory changes, market shifts

Opportunities

Development of energy-efficient products
Growth in sustainable investment products
Operational efficiencies through resource and energy efficiency

Reporting Standards

Frameworks Used: GRI, TCFD

UN Sustainable Development Goals

Goal 1
Goal 3
Goal 4
Goal 5
Goal 6
Goal 8
Goal 9
Goal 11
Goal 12
Goal 13

The report maps its activities to various SDGs (refer to page 72-77).

Awards & Recognition

Various awards mentioned in the report (refer to page 7)

Reporting Period: FY21-22

Environmental Metrics

ESG Focus Areas

Responsible Operations
Stakeholder Centricity
Business Resilience
Quality and Excellence

Environmental Achievements

Increased use of renewable energy by replacing coal with bio-briquette, installing solar roof panels and using hydroelectric power
Controlled emissions using process controls and technologies, including nitrogen blanketing, efficient gas scrubbing systems, multistage condensers, bag filters, and electrostatic precipitators
Implemented tree plantation programs across locations; PPL’s manufacturing facilities currently have more than 82,000 trees

Social Achievements

30% female representatives on the Board of Directors
113 million beneficiaries impacted till date through CSR under Piramal Foundation
Zero fatalities in FY 21–22
7,834 hours devoted to Environment, Health and Safety (EHS) training in FY 21–22

Governance Achievements

Formed the Sustainability and Risk Management Committee, headed by the Chairperson, that guides the management on the sustainability endeavours
Cleared 269 regulatory inspections and 1,377 customer audits since FY 11–12 through FY 21–22. Zero Official Actions Indicated (OAIs)
Conducted a materiality assessment to identify key material aspects from ESG perspective and developed an ESG strategy framework