Climate Change Data

Environmental Metrics

ESG Focus Areas

• renewable energy
• environmental sustainability
• carbon footprint reduction

Environmental Achievements

• consolidated capacity of biomass plants rose to 40.5 MW and wind business to 179.5 MW, resulting in a combined capacity of 220 MW

Social Achievements

• Not disclosed

Governance Achievements

• implemented a comprehensive Code on Prevention of Insider Trading
• maintained high standards of Corporate Governance
• established Audit Committee, Remuneration & Compensation Committee, and Share Transfer & Investors Grievance Committee

Climate Goals & Targets

Environmental Challenges

• unpredictable environmental conditions
• challenges to a complete global economic recovery
• shortages of coal due to bottlenecks such as capacity expansion, tribal land acquisition, and environmental acquisitions
• erratic availability and volatile prices of fuels in the biomass sector, especially during the monsoon season
• constraints to expand renewable energy business due to unavailability of suitable operating sites
• dependence on a limited number of qualified turn-key contractors
• susceptibility to delays in execution or cost escalation by sub-contractors
• potential challenges faced by SEBs on financial viability leading to payment delays

Mitigation Strategies

• diversified portfolio across locations, feedstock, and customer base
• technically competent and highly experienced management team
• broad basing the fuel mix and sourcing
• secured equity and debt financing for development projects
• leveraging expertise and experience of promoter SEPC

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: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Reduced auxiliary power consumption through pitching off the blade, optimised yawing, RKVAH and Power factor improvement by state of art technology has been incorporated in the turbine to conserve the energy during lean wind season.

Social Achievements

• OGPL continues to focus on key drivers of employee engagement like career growth, learning opportunities, fair performance and rewards and employee well-being by enhancing its HR processes for scale, agility and consistent employee experience. Further, it also organizes workshops enhancing the skill sets of its employees and promoting their overall involvement. Frequent and outcome oriented session has resulted led to superior employee experience.
• The Company also assigns individual goals to the employees, consistent with the overall objective of the business which not only acts as a strong motivator but also contributes towards improving the overall efficiencies of the business.
• The Company’s transparent working environment wherein employees can raise their concerns and opinions results in high engagement levels and lower employee turnover ratio.

Governance Achievements

• The Company has an independent Internal Audit Practices with well-established risk management processes both at the business and corporate levels.
• Internal Auditor submits their reports, directly to the Chairman of the Audit Committee of the Board of Directors, which ensures process independence.

Climate Goals & Targets

Environmental Challenges

• Delays in receipts from Government and allied entities.
• Rs. 2,071 Lakhs revenue in escrow pending Supreme Court disposal of a stay on CERC order on REC floor price reduction (pending for over four years).
• Ongoing dispute with AP discom resulting in Rs. 5,378 Lakhs being held up for over a year.
• Cash flow challenges due to the combination of these issues.

Mitigation Strategies

• Constant discussions with bankers for debt refinancing, loan tenure extension, and interest rate reduction.
• Group repaid Rs. 127 Crores, availed moratorium on borrowings, and converted Rs. 101 Crores interest payable into a long-term loan.
• Promoters waived off interest on their loans to the Group.
• Challenging the REC floor price revision before APTEL.

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: Indian Generally Accepted Accounting Principles / Indian Accounting Standards

Certifications: Null

Third-party Assurance: M/s. G.D.Apte & Co., Chartered Accountants, Mumbai

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Renewable Energy
• Environmental Sustainability
• Financial Performance
• Employee Well-being
• Corporate Governance

Environmental Achievements

• Reduced auxiliary power consumption through optimized turbine operations.
• Migrated data storage to cloud servers, reducing storage space and costs, and improving data safety and accessibility.

Social Achievements

• Focus on employee engagement through career growth, learning opportunities, fair performance and rewards, and employee well-being.
• Organized workshops to enhance employee skill sets and promote involvement.
• Assigned individual goals to employees, improving overall efficiencies.
• Transparent working environment resulting in higher engagement and lower turnover.

Governance Achievements

• Complied with the provisions of Corporate Governance as stipulated in Regulations 24, 27 and other relevant provisions of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015.
• Established a comprehensive Code of Conduct to regulate, monitor and report trading by Insiders.
• Formulated a Whistle Blower Policy.
• Implemented a robust internal control system.

Climate Goals & Targets

Environmental Challenges

• Rs. 21 Crores in revenue held in escrow due to a Supreme Court stay on a CERC order.
• Ongoing dispute with AP discom resulting in Rs. 60 Crores being held up.
• Cash flow challenges due to the above issues.

Mitigation Strategies

• Efforts to reduce interest rates, resulting in a 1% reduction.
• Repaid Rs. 154 Crores of borrowings, eliminating overdues.
• Monetizing additional vacant land parcels to repay loans.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Renewable Energy
• Environmental Sustainability
• Employee Well-being
• Stakeholder Engagement
• Financial Performance

Environmental Achievements

• Power generation from renewable energy sources, avoiding greenhouse gas emissions.
• Sustainable practices in sourcing spares and components from reputed companies with sustainable business practices.
• Used Batteries returned to Battery OEM on exchange basis.
• Hazardous waste disposed of through authorized recyclers/Treatment storage and disposal facility.
• E-waste disposed of through authorized dealers.
• Metal scraps disposed through vendors for recycling.

Social Achievements

• Focus on employee engagement through career growth, learning opportunities, fair performance and rewards, and employee well-being.
• Workshops enhancing employee skill sets and promoting involvement.
• Individual goals assigned to employees, improving overall efficiencies.
• Transparent working environment resulting in high engagement and lower employee turnover.

Governance Achievements

• Compliance with the requirements stipulated under Regulation 17 to 27 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
• Balanced and diverse Board of Directors with skills and experience in critical areas.
• Regular Board meetings and separate meetings of Independent Directors.
• Adoption of a Code of Conduct for Business and Ethics for all Board members and employees.
• Implementation of a Whistle Blower Policy.

Climate Goals & Targets

Environmental Challenges

• Lower wind availability resulting in a dip in generation.
• Delays in recovery of dues from state-owned distribution companies (Discoms).
• Uncertain regulatory regime.
• Potential threats such as natural disasters or disruption in operation due to technical failure.
• Increasing costs of maintenance.

Mitigation Strategies

• Efforts to reduce finance costs and prompt loan servicing, resulting in improved ratings and refinancing of debt at a reduced interest rate.
• Implementation of the Late Payment Surcharge (LPS) scheme to realize long-pending dues.
• Development of in-house maintenance expertise to reduce reliance on external service providers.
• Exploring opportunities for capacity expansion and venturing into solar energy.
• Adequate insurance cover for assets and preventive maintenance to minimize interruptions.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Prioritizes local vendors/service providers.
• Prioritizes payment to small vendors.

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Changes in Regulations

Opportunities

• Ambitious targets for renewable energy in the country
• Contribution to avoiding Green House Gas emission

Reporting Standards

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

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Seasonal nature of wind energy impacting windmill utilization.
• Geographic concentration of projects in four Indian states.
• Limited experience in solar energy project development and operation.
• Negative net worth of certain subsidiaries.
• Operational challenges and defaults by subsidiaries.
• Working capital intensity.
• Regulatory permit and approval challenges.
• Dependence on subsidiaries and third-party developers.
• Fluctuations in net profit after tax.
• Pledged equity shares by a promoter.
• Lack of approvals for proposed solar project.
• Significant loan facilities availed by subsidiaries.
• Past losses and low profit margins.
• Negative net worth and losses incurred by promoters.
• Dependence on key customers.
• Reliance on government-owned transmission facilities.
• Potential for further indebtedness.
• Limited number of WEG suppliers.
• Wind and weather conditions affecting wind farm profitability.
• Potential opposition from local communities.
• Risks associated with international expansion.
• Delayed or erroneous statutory filings.
• Highly competitive industry.
• Funding challenges for expansion.
• Outstanding litigations.
• Operational risks and potential liabilities.
• Dependence on key employees.
• Uncertainty in achieving objects of the issue.
• Compliance requirements for variation in Net Proceeds utilization.
• Delay in engaging EPC contractor for solar project.
• SEBI Listing Regulations compliance challenges.
• Emphasis of matters in financial statements.
• Market electricity price volatility.
• Negative cash flow.
• Lack of trade names or trademarks.
• Challenges in securing suitable operating sites.
• Risks inherent in the power sector.
• Inability to materially improve acquired projects.
• Lack of commissioned industry report for disclosures.
• Missing documentary evidence for certain directors' qualifications.
• Restrictions on distribution of issue materials to overseas shareholders.
• Complexity of SEBI's streamlined rights issue process.
• Potential lapse of rights entitlements for physical shareholders.
• Dilution of shareholding due to unexercised rights entitlements.
• Dilution of shareholding from future equity issuances.
• Indian capital gains tax implications for investors.
• Inability to withdraw applications after issue closing date.
• Market risks until equity share listing and trading approval.
• Delay in receiving subscribed equity shares.
• Volatility in equity share trading price.
• Restrictions on exercising pre-emptive rights.
• Impact of exchange rate fluctuations.
• Lack of physical equity share allotment option.
• Uncertainty in timely equity share listing.
• Potential adverse impact of equity share sales by promoters.
• Limited shareholder rights compared to other jurisdictions.
• Differences between Ind AS and other accounting principles.
• Political instability and government changes.
• Slowdown in economic growth.
• Legal uncertainties and regulatory changes.
• Financial instability in domestic and international markets.
• Inflationary pressures.
• Foreign investment restrictions.
• Downgrading of India's debt rating.
• Uncertainties and factors beyond control.

Supply Chain Management

Climate-Related Risks & Opportunities