Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced CO2 intensity by 18.46% compared to FY18
• Achieved a water-positive score of 2.18 across its plants (excluding international)
• Commissioned the world’s first zero-discharge RMC plant
• Increased the share of alternative resources (slag, fly ash and industrial waste) from 14.2% to 16.2%
• Achieved a thermal substitution rate of 3.9%

Social Achievements

• Undertook a women empowerment & engagement (wee) initiative
• Conducted an 18-month programme called SPRINGBOARD, based around training, mentorship and gender diversity
• Touched the lives of more than 1.4 million people across 502 Indian villages
• CSR spend of ₹74 crores

Governance Achievements

• Successful acquisition of Binani Cement Limited
• Compliance with the provisions relating to corporate governance as provided under the Listing Regulations

Climate Goals & Targets

Environmental Challenges

• Increase in pet coke and coal prices
• Increase in slag, iron ore, aluminous clay and fly-ash prices
• Increase in diesel prices
• Increase in employee costs

Mitigation Strategies

• Continuous work on efficiency improvement
• Focus on increasing usage of renewable energy
• Identifying new sources of materials and alternative low costs materials
• Increasing the clinker to cement conversion ratio
• Optimisation of lead distance

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, ISO 14001, OHSAS 18001

Third-party Assurance: DNV-GL

UN Sustainable Development Goals

• 1
• 2
• 3
• 4
• 5
• 6
• 7
• 8

Not disclosed

Sustainable Products & Innovation

• low clinker composite cement
• red mud based cement
• crack resisting cement
• water repelling cement
• masonry cement
• ultra-lightweight concrete
• high impact resistance concrete
• cement grinding aids and concrete admixtures
• water positive cement
• fire resisting cement and concrete
• rapid hardening 3D printable mortar and concrete
• red mud based cementitious material

Awards & Recognition

• Silver Prize in ‘6th FICCI Quality Systems Excellence Awards 2018’
• CII-ITC Sustainability Awards-2018
• CII-ITC Sustainability Awards (Commendation for Significant Achievement in Environment Management Category)
• ET Now CSR Leadership Award
• Golden Peacock Award – Environmental Management
• Ramkrishna Bajaj National Certificate of Merit
• Ramkrishna Bajaj National Quality Award
• Economic Times Innovation Award

Environmental Metrics

ESG Focus Areas

• Climate change
• Energy and water conservation
• Biodiversity
• Natural resource substitution
• Employee well-being
• Community development
• Circular economy
• Sustainable supply chain
• Human rights

Environmental Achievements

• 9.1% reduction in carbon emissions from 2017 baseline
• 3.8 times water positive
• 23.6 Million Tonnes of recycled materials used for cement production
• 1,24,070 Tonnes of municipal solid waste used as fuel
• 5,36,776 Tonnes of alternative fuel used
• 436 MW Green power capacity contributing to 17.64% of total energy consumption
• Completed Life Cycle Assessment for 4 types of cement
• Completed Environment Product Declaration (EPD) for 4 types of cement

Social Achievements

• Launched new career development programmes (e.g., Evolve)
• Implemented AI-enabled USHA Chatbot for employee support
• Redoubled CSR efforts, furthering women’s empowerment through self-help groups (SHGs)
• Operationalised an all-women managed ready-mix concrete plant
• 1.6 Million people benefited through community development programmes
• 28,045 farmers trained on integrated farming methods

Governance Achievements

• Board-level Risk Management and Sustainability Committee
• Managing Director’s compensation linked to sustainability performance
• 100% of critical suppliers screened for ESG criteria
• Issued sustainability-linked bonds

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the pandemic and unseasonal rains
• Global regulations on curbing GHG emissions
• Pandemic/epidemic-linked disruptions
• Geopolitical tensions impacting fuel and raw material costs

Mitigation Strategies

• Resource optimisation and value chain integration
• Investments in WHRS and renewable energy
• Increased use of alternative fuels and raw materials (AFR)
• Partnerships for decarbonisation technologies (e.g., Coolbrook)
• Sustainable supply chain framework and supplier assessments
• CNG-based vehicles for reduced carbon emissions in transportation

Supply Chain Management

Supplier Audits: 100% of critical suppliers assessed

Responsible Procurement

• Adherence to ethical and healthy work practices
• No child labour, no forced labour
• Health & safety compliance
• Statutory compliance
• Sustainable Supply Chain Framework

Climate-Related Risks & Opportunities

Physical Risks

• Adverse weather events

Transition Risks

• Regulatory changes (e.g., carbon tax)
• Market shifts

Opportunities

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

Reporting Standards

Frameworks Used: GRI Standard: Comprehensive, GCCA, TCFD

Certifications: OHSAS 18001/ISO 45001, ISO 27001

Third-party Assurance: Ernst & Young Associates LLP

UN Sustainable Development Goals

• Not disclosed

Sustainable Products & Innovation

• Ultra-high-performance concrete
• Products with water saving features
• Xtralite-AAC blocks
• Readiplast

Awards & Recognition

• FICCI Indian Circular Economy Award 2021
• Frost & Sullivan and TERI Sustainability 4.0 Awards Leaders Award
• Best Corporate HR practices Award 2021 by NHRDN Bangalore

Environmental Metrics

ESG Focus Areas

• Decarbonisation
• Energy transition
• Circular economy
• Water management
• Biodiversity management

Environmental Achievements

• Added 43 MW of WHRS capacity, bringing the total to 210 MW (~16% of power needs)
• Reduced net specific CO2 emissions by 12% (against a 27% reduction target by 2032)
• Achieved 4.17 times water positivity
• Achieved 2.44 times plastic negativity
• Transported 57,000 MT of phosphogypsum using inland and coastal waterways (first of its kind in India)
• Diverted 630,000 tonnes of waste from landfills, incineration, and open burning

Social Achievements

• Attracted over 11,000 employees in FY 2022-23
• Increased representation of women in the workforce
• Fostered an inclusive and collaborative environment
• Equipped over 35,000 employees with new skills through learning and development programs
• Implemented ‘CareerAbility’ program for early career employees (utilized over 40,000 times)
• 14% of employees and 27% of talent pool transitioned into new roles
• Spent ₹116 crores on CSR projects benefiting 1.6 million people

Governance Achievements

• Established anti-corruption training for all employees
• Executive compensation linked to ESG targets
• 100% of new suppliers screened for ESG criteria
• 100% assessment of critical suppliers
• 20% Tier-1 supplier training completed

Climate Goals & Targets

Environmental Challenges

• Global economic uncertainty, high inflation, and lower growth
• Geopolitical risks impacting energy prices and supply chains
• Climate change risks (physical and transition)
• Competition in the cement industry
• Cost pressures (energy, raw materials, freight)

Mitigation Strategies

• Capacity expansion to meet growing demand
• Focus on green products and circular economy
• Investment in renewable energy (WHRS, solar, wind)
• Local sourcing of raw materials and energy
• Implementation of robust risk management framework
• Digitalisation to improve efficiency and reduce costs
• Disaster management plans and insurance coverage
• Supplier engagement and training on ESG criteria

Supply Chain Management

Supplier Audits: 100% of new suppliers screened for ESG criteria; 100% assessment of critical suppliers

Responsible Procurement

• Code of conduct
• Supplier sustainability requirements
• ESG criteria for vendor assessment

Climate-Related Risks & Opportunities

Physical Risks

• Floods
• Cyclones
• Droughts
• Heat waves
• Variations in temperature and precipitation

Transition Risks

• Regulatory changes
• Technology changes
• Market shifts
• Carbon pricing
• Financing community strengthening climate-related financing mechanisms
• Non-compliance to meet 1.5⁰C pathway requirements

Opportunities

• Development of energy-efficient products
• Green energy transition
• Circular economy
• Low-carbon product portfolio diversification
• New technology development and piloting

Reporting Standards

Frameworks Used: GRI Standard: Comprehensive, GCCA guidelines

Certifications: OHSAS 18001/ISO 45001, ISO 14001

Third-party Assurance: Ernst & Young Associates LLP (EY)

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 11 (Sustainable Cities and Communities)
• Goal 13 (Climate Action)
• Goal 8 (Decent Work and Economic Growth)

CSR initiatives contribute to these goals through education, healthcare, sustainable livelihoods, infrastructure development, and social empowerment

Sustainable Products & Innovation

• Greenvantage products
• Cement bags made from 50% recycled polypropylene
• Low-carbon products
• 3D printable concrete mixes
• Ultra High-Performance Concrete (UHPC)
• Low-density concrete
• Permeable concrete

Awards & Recognition

• 13 limestone mines received five-star ratings from the Indian Bureau of Mines
• 'TERI-IWA-UNDP Water Sustainability Award 2022'
• 'Leader in Climate Change' by CDP (A- score)
• Ranked #1 for Sustainability in Infrastructure and Engineering by Sustain Labs Paris
• Ranked 6th globally in DJSI for Building Material Sector
• Featured in S&P Global Sustainability Yearbook 2023
• Three platinum and one silver award at the CII National Kaizen competition
• National Award for Excellence in Energy Management from CII
• National Award for Achieving Circular Economy in Indian Cement Industry by NCCBM
• Three awards at 'The EMVIES FY 2022-23'

Environmental Metrics

ESG Focus Areas

• Decarbonisation
• Energy Transition
• Circular Economy
• Biodiversity
• Water Management
• Safe Operations
• Community Development

Environmental Achievements

• 12% reduction in net CO2 emissions per tonne of cementitious material (Scope 1) over 632 kg CO2/t cementitious material from base year 2017
• Achieved EP100 commitment ahead of 2035 target by doubling energy productivity from 2010 baseline
• 77% increase in renewable energy capacity and 32% increase in WHRS capacity in FY24 compared to FY23
• 22% electricity substitution by green power in FY24
• 5 times water positive
• 3.4 times plastic negative
• 20.85% recycled input material of total input material used in cement production

Social Achievements

• Launched Digital Health and Well-being app, AB Multiply, enrolling 26,000 employees
• Over 9,000 employees benefited from company-sponsored annual physical health checkups
• Over 1,000 employees or their family members accessed mental health counselling services
• Improved employee engagement scores in all areas compared to previous year (91% proud to be associated, 93% would recommend, 87% see themselves working with the Group in two years)
• 1.80 Mn Beneficiaries of community development programmes
• 4,80,980 Beneficiaries of health initiatives

Governance Achievements

• 5 out of 6 Committees headed by independent Directors
• Improved internal and external hiring ratio for senior management roles from 59:41 to 75:25 over the past three years
• 56% of critical mid and senior-level positions filled through internal pipeline
• Women make up 15.6% of management cadre, with 277 women holding senior and top leadership positions

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions
• Water scarcity
• Habitat degradation due to manufacturing operations
• Climate change related physical risks (extreme heat, floods, cyclones)
• Climate change related transition risks (regulatory changes, market shifts)
• Cybersecurity risks

Mitigation Strategies

• Developed alternative sourcing strategies
• Implemented zero liquid discharge policy at all integrated units
• Conducted extensive water audits
• Invested in rainwater harvesting and water recycling infrastructure
• Implemented Miyawaki plantation drives
• Undertook physical risk assessment and developed adaptation measures
• Aligned with GCCA’s target of net zero by 2050 and SBTI’s 2-degree Celsius pathway
• Developed multipronged cybersecurity approach aligned with business strategy

Supply Chain Management

Supplier Audits: 47% of critical suppliers assessed in FY24; aiming for 100% by 2025

Responsible Procurement

• Sustainable Supply Chain Framework
• Supplier Code of Conduct
• ESG screening of new suppliers
• Supplier training and capacity building

Climate-Related Risks & Opportunities

Physical Risks

• Extreme heat
• Floods
• Cyclones

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Adoption of low-carbon technologies

Reporting Standards

Frameworks Used: GRI Standards: Comprehensive, International Integrated Reporting (IIRC) framework, GCCA guidelines

Certifications: ISO 50001 (52% of integrated units), ISO 27001 (64% of units)

Third-party Assurance: BDO India LLP

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 13 (Climate Action)
• Goal 6 (Clean Water and Sanitation)
• Goal 8 (Decent Work and Economic Growth)
• Goal 11 (Sustainable Cities and Communities)
• Goal 4 (Quality Education)
• Goal 3 (Good Health and Well-being)

CSR initiatives and sustainability efforts contribute to these goals

Sustainable Products & Innovation

• Green cement
• Weather Plus cement
• Composite cement
• Green concrete
• Low-density concrete
• Permeable concrete
• 3D printable concrete mixes
• Cement with improved crack resistance
• Low Water Requirement Concrete
• Ultra-High-Performance Concrete

Awards & Recognition

• 'Sustainable Development' award at the 18th CII-ITC Sustainability Awards 2023
• 'Best Technology Adoption & Best Corporate' award at the SAP ACE- Finance Transformation Awards
• 'Best Supply Chain Solution' at the Adam Smith Asia Awards
• Four trophies at The Advertising Club's EMVIES 2024
• Recognition at the 10th Indian Marketing Awards
• CDP ‘B’ score for ‘Climate Action’ and ‘A-’ rating for ‘Water Security’
• Ranked among the top ten companies globally in the sector by S&P Global’s CSA 2023