Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainability
• Community Development
• Occupational Health & Safety
• Environmental Protection

Environmental Achievements

• Highest ever clinker production at Chanderia plant
• Highest ever clinker production at Satna plant
• Commissioned 12.25 MW Waste Heat Recovery System and 12 MW solar plant at Maihar plant
• Highest ever cement production and dispatch at Kundanganj plant
• Zero Accident Year (2019-20) at Butibori plant
• Highest ever slag % utilization at Durgapur plant
• All-time low water consumption at Raebareli plant
• Increased usage of fly ash in cement production, reducing clinker consumption and GHG emissions
• Installation of Solar Power Plants at Satna and Chanderia Cement Plants

Social Achievements

• Livelihood Promotional Program for farmers at Satna plant
• MP Birla Cement mobile medical clinic visits to adjoining villages at Maihar plant
• Home solar panels given to girls studying in class 10 at Maihar plant
• Gold award under Apex India Environment Excellence award forum and Best CSR Impact award by UBS forum at Kundanganj plant
• Filariasis disease camp organized for residents of 35 villages near Butibori plant
• Free Eye Screening and Surgery Camps at Durgapur plant
• Distribution of essentials to underprivileged families in Raebareli during the Corona virus pandemic
• Build Water Smart initiative to promote water conservation
• Armaan Nirmaan influencer management program with two lakh masons, head masons and contractors
• Prerna Season 3 recognizing accomplishments of families of dealer partners

Governance Achievements

• Seamless integration and organizational synergies leading to greater opportunities and success
• Improved brand architecture following the 3P model (Price, Premium, Profit)
• Initiation of various compliance measures leading to overall savings in total delivered cost of cement
• Financial closure of Mukutban project with a long-term loan on competitive terms
• Successful pre-payment and refinancing of loans to reduce cost of funding

Climate Goals & Targets

Environmental Challenges

• Weak cement demand due to economic slowdown and COVID-19 pandemic
• Supply chain disruptions due to COVID-19 lockdown
• Competition from Bangladesh in the jute industry
• Shortage of labor in Indian jute mills
• Suspension of mining operations at Chanderia plant due to legal issues

Mitigation Strategies

• Focus on conserving cash and consolidating position in key markets
• Putting planned capacity expansion project at Kundanganj on hold
• Investments in plants and machinery to reduce dependence on manpower and diversify product range in jute division
• Actively scouting for export opportunities for value-added jute products
• Continuing to focus on cost rationalisation

Supply Chain Management

Responsible Procurement

• Sourcing of raw materials from nearby areas
• Use of industrial waste by-products

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Blended cements (PPC, PSC, PCC)
• Use of alternative fuels

Awards & Recognition

• Satna Unit CSR Platinum Award 2019
• Durgapur Unit Gold and Silver awards at Quality Circle Convention
• Chanderia Unit Rajasthan Energy Conservation Award 2019, Power Plant Performance Award, BHAMASHAH Award 2019, Shiksha Shree Award

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced thermal power consumption by shifting to renewable sources like WHRS and solar power; WHRS and solar power accounted for 17.2% and 2.8% respectively of power consumed for cement production.
• Increased use of fly ash during manufacturing, reducing clinker usage and GHG emissions.
• Lowest ever power consumption at Kundanganj plant.

Social Achievements

• Plant-wise resilience teams and Covid-19 helpdesk formed to support employees during the pandemic.
• Medical support provided with regular health checkups, telemedicine consultations, and vaccination camps.
• Several health programs, skill development, and livelihood projects for the underprivileged commissioned at Chanderia plant.
• Distribution of safety kits in neighboring villages and wheelchairs to the disabled at Satna plant.
• Financial support given to ‘Rogi Kalyan Samiti, Maihar’ for an oxygen plant at the Civil Hospital and establishment of a Covid-19 care center at Maihar plant.
• Aid provided for school development and skill development programs launched to empower local women at Kundanganj plant.
• Engagement with Gram Panchayats to help people in education, health, employment, and infrastructure development at Butibori plant.
• Renovation of an Anganwadi center at Raebareli plant.
• Vaccination drive at Kundanganj plant.

Governance Achievements

• Compliance with Corporate Governance Code as stipulated under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
• All transactions with Related Parties were on an arm’s length basis and in the ordinary course of business.

Climate Goals & Targets

Environmental Challenges

• Shortfall of sales in the first quarter due to Covid-19 pandemic.
• Disruptions at the beginning of the financial year due to Covid-19 lockdown.
• Localised lockdowns and restrictions on movement of goods vehicles impacting sales.
• Impact of Covid-19 and Amphan Cyclone on Jute Mill operations.
• Difficulty in getting workers for running the jute mills due to migration and alternate employment opportunities.
• Competition with subsidized duty-free imports from Bangladesh in the jute industry.
• Uncertainty regarding the future course of the Covid-19 pandemic and potential impact on the economy.
• Potential impact of inflation on government spending and cement demand.
• Delay in commissioning of Mukutban factory due to lockdown and uncertainty created due to second pandemic COVID-19.

Mitigation Strategies

• Aggressive cost rationalization, including reducing operating costs, fixed costs, and discretionary spending.
• Increased sales of premium cement.
• Digital transformation initiatives to improve efficiency in sales, marketing, logistics, customer service, and plant operations.
• Modernization of jute mills to reduce manpower dependence and costs.
• Diversification into non-traditional product categories in the jute industry.
• Reduction in debt and borrowing cost.
• Continued focus on improving efficiency and cost rationalization.

Supply Chain Management

Responsible Procurement

• Encouraging procurement from local and small producers; training and development of local contractors.

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products and processes; increased use of renewable energy.

Reporting Standards

Frameworks Used: National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business

Sustainable Products & Innovation

• Blended cements (PPC, PSC, PCC); use of alternative fuels.

Awards & Recognition

• Gold Award under Apex India Green Leaf Award for Environment Excellence in the Cement Sector (Chanderia)
• HR Best Strategy Award for excellent efforts during Covid-19 (Satna)
• Energy Efficient Unit Award at the 21st National Energy Award for Excellence in Energy Management (Chanderia)
• State level ‘BHAMASHAH’ Award (Chanderia)
• 5S Re-Certiication Award (Satna)
• CSR Platinum Award (Satna)
• Certificate of Appreciation by the Director General of the NSCI (Construction Safety Awards 2020) (Mukutban)

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Occupational Health & Safety
• Corporate Social Responsibility

Environmental Achievements

• 21.77% of total power consumption from solar power and waste heat recovery system (against 18.82% previous year)
• Mukutban plant: 1.2X Water Positive
• Mukutban plant: 22,000 tons of waste fly ash consumed in construction, reducing CO2 emissions
• Chanderia plant: Lowest ever consumption of outsourced limestone
• Satna plant: 34.6% fly ash absorption in PPC products
• Maihar plant: 27% Green Energy in power mix
• Butibori plant: Highest ever fly ash consumption (34.8% of PPC production) and lowest ever power consumption

Social Achievements

• CSR initiatives touched more than 300,000 people in 240 villages across six states
• Launched MP Birla Cement Rakshak, a superior water-repellent cement
• Humsafar dealer application operational in all relevant states, with over 8,600 dealers on board
• Zero major accidents during commissioning of Mukutban plant
• 10 million safe man-hours of construction achieved at Mukutban plant
• Various safety awards won by plants in different categories

Governance Achievements

• Board diversity includes Independent Directors forming a majority
• Compliance with Corporate Governance Code as stipulated under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
• All transactions with Related Parties were on an arm’s length basis

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting operations
• Rising crude oil prices
• Erratic monsoons and geopolitical tensions increasing input prices
• Sluggish demand for cement until December
• Competition from subsidized duty-free imports from Bangladesh (Jute Division)
• Difficulty in getting workers for Jute Mills

Mitigation Strategies

• Focus on digitization, automation, cost optimization, energy conservation, and waste management
• Rationalized delivery costs by reducing lead distance and scaling back direct delivery by road
• Increased production from captive mines (Sial Ghoghri and Bikram)
• Increased share of renewables in power consumption (solar and waste heat recovery)
• Increased use of alternative fuels and raw materials (AFR) in kilns
• Modernization of Jute Mills to reduce manpower dependency and diversify into new product categories

Supply Chain Management

Responsible Procurement

• Encouraging procurement from local and small producers

Climate-Related Risks & Opportunities

Physical Risks

• Unseasonal rainfall impacting cement demand

Transition Risks

• Increasing cost pressures due to rising input costs

Opportunities

• Development of energy-efficient products and processes
• Increased use of renewable energy

Reporting Standards

Frameworks Used: National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business

Certifications: ISO 9001:2000

Sustainable Products & Innovation

• MP Birla Cement Rakshak
• Blended cements (PPC, PSC, PCC)

Awards & Recognition

• Greentech Corporate Governance Award 2022
• National Award for Excellence in Energy Management 2021
• Indian Chamber of Commerce 4th Social Impact Awards 2022
• Various safety awards

Environmental Metrics

ESG Focus Areas

• Sustainability
• Environmental Responsibility
• Community Engagement
• Employee Well-being
• Governance

Environmental Achievements

• Boosted renewable power generation to 36.2 MW solar + 43.35 MW Waste Heat Recovery System (WHRS), accounting for 22% of total power consumed.
• Reduced truck trips by 25,000 a year using leak-proof BTAP rakes for fly ash transportation.
• Water-positive Mukutban factory (air-cooled power plant).
• Planted close to 81,000 trees at Mukutban.

Social Achievements

• Mukutban project completed with over 10 million man-hours without major accidents.
• Created thousands of direct and indirect jobs at Mukutban.
• Arogyatai healthcare program supported at least 20,000 people.
• Collaborated with Better Cotton Initiative, training over 4,000 cotton farmers.
• Conducted cataract surgeries at Umri Christian Charity Hospital.
• Established Priyamvada Birla Institute of Nursing in Kolkata.

Governance Achievements

• Complied with Corporate Governance Code as stipulated under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
• All transactions with Related Parties were on an arm’s length basis.

Climate Goals & Targets

Environmental Challenges

• Unprecedented challenges with the world economy (Covid-19 pandemic and Russia-Ukraine war).
• Supply chain disruptions.
• Extraordinary rise in fuel prices.
• Sluggish demand in most key markets.
• Sharp increase in costs (fuel, logistics).
• Increase in borrowing costs.
• Turbulence in the jute industry.

Mitigation Strategies

• Increased usage of alternate fuels.
• Transportation of fly ash through rakes.
• Optimization of fuel mix.
• Swapping of clinker with peers.
• Renegotiated term loans (Rs. 2,200 crore).
• Scaled up coal extraction from own mines (72% increase).
• Investing in Waste Heat Recovery System and solar power generation.
• Focus on developing value-added products (jute division).
• Reducing dependence on Government supplies (jute division).

Supply Chain Management

Responsible Procurement

• Sourcing industrial waste sustainably (26.86% of cement inputs).

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products
• Circular economy

Sustainable Products & Innovation

• Blended cement (high percentage of fly ash and slag)
• Jute shopping bags

Awards & Recognition

• 5S-Par Excellence award
• 5 Star Rating Award in Cement Sector
• CII SR EHS Excellence Silver Award 2023
• Platinum Award at Apex India Green Leaf Award 2022
• CII-ITC Sustainability Awards 2022
• Greentech International Environment, Health & Safety Award – 2023
• Gold Award under Apex India CSR Excellence Award 2021

Environmental Metrics

ESG Focus Areas

• Water conservation
• Renewable energy
• Carbon footprint reduction
• Community development
• Employee well-being

Environmental Achievements

• Increased renewable energy share to 24.2% (from 21.7% in the previous year)
• Achieved 3.3 times water positivity
• 85% of cement sales were green cement (blended with fly ash and slag)
• Planted 900,000 plants

Social Achievements

• Social initiatives benefited 1.2 million people across 410 villages and six states
• Assisted in the development of 379 micro enterprises, many run by women
• 25% jump in internal training (measured by man-hours)
• Significantly improved safety standards, reducing serious injuries

Governance Achievements

• Complied with the Corporate Governance Code as stipulated under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
• All transactions with Related Parties were on an arm's length basis

Climate Goals & Targets

Environmental Challenges

• Pricing challenges due to industry consolidation and unexpected slump in demand in the second half of the fiscal year
• Weak demand for fine fabric in the jute industry
• Poor jute crop sowing and drying due to excessive heat

Mitigation Strategies

• Improved capacity utilization at Mukutban plant
• Cost efficiencies in power, fuel, logistics, and overheads
• Increased sale of premium products and geo-mix optimization
• Project Shikhar for internal efficiency improvement and cost optimization
• Unnati initiative to improve growth in profitability
• Reducing dependence on Government orders in jute industry
• Increasing presence in food-grade jute bags
• Developing new value-added products and designs

Supply Chain Management

Responsible Procurement

• Sustainable sourcing of 90% of input material locally
• Procuring material suppliers that are GOTS approved and have received the Oeko-Tex certification

Climate-Related Risks & Opportunities

Opportunities

• Use of alternative materials to reduce clinker factor
• Circular economy provides opportunity to lower the use of clinker in manufacturing of cement and thereby reducing associated carbon footprint

Reporting Standards

Frameworks Used: BRSR

Certifications: ISO 45001:2018, ISO 14001:2015, ISO 50001:2018, ISO 9001:2015, SA 8000:2014

Sustainable Products & Innovation

• Green cement (blended cement)

Awards & Recognition

• Golden Peacock Award for Excellence in Corporate Governance
• Public Relations Society of India (PRSI) National Award 2023
• 5 Star Rating Award to Sagmania Limestone Mines
• Platinum Award in 14th EXCEED Environment Award 2023
• Gold Award in Apex India Occupational Health & Safety Award 2023
• Gold Award in Cement Sector for outstanding achievement in environment preservation and corporate social responsibility by Sustainable Development Foundation
• Apex India Occupational Health & Safety Award 2023 - Platinum Award
• 23rd Greentech Environment Award 2023
• 1st Prize for Mineral Conservation & 3rd Prize for Publicity and Propaganda during 34th Mines Environment & Mineral conservation Week
• Platinum Award under Apex India Green Leaf Award
• Gold Award under Apex India Occupational Health & Safety Award