Orient Cement Limited
Climate Impact & Sustainability Data (2015-04 to 2016-03, 2020-2021, 2022-04 to 2023-03)
Reporting Period: 2015-04 to 2016-03
Environmental Metrics
ESG Focus Areas
- Climate Change
- Energy Efficiency
Environmental Achievements
- Implemented various energy efficiency measures resulting in a CO2 emission reduction of around 1039 tCO2 and energy savings of around 1267 MWh.
Social Achievements
- Not disclosed
Governance Achievements
- Not disclosed
Climate Goals & Targets
- Not disclosed
- Not disclosed
- Not disclosed
Environmental Challenges
- Not disclosed
Mitigation Strategies
- Not disclosed
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: ISO 14064 Part-I, 2006, GHG Protocol Corporate Accounting and Reporting Standard, WBCSD Cement Sustainability Initiative Cement CO2 and Energy Protocol Version 3.1
Certifications: ISO 9001:2008, ISO 14001:2004, OHSAS 18001:2007
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- TPM Excellence Award from JIPM, Japan
Reporting Period: 2020-2021
Environmental Metrics
ESG Focus Areas
- Environment
- Social
- Governance
Environmental Achievements
- Increased use of alternate fuels replacing traditional fossil fuels, reducing carbon footprint
- Investments in waste heat recovery plant to further decrease carbon footprint
- Investing in solar power source for Jalgaon grinding unit to minimize reliance on conventional energy sources
Social Achievements
- Certified as Great Place to Work with improved Trust and Pride Scores
- CSR spends consistently higher than legally mandated
- Focus on employee health, safety, and well-being, including occupational, physical, and psychological health
Governance Achievements
- Robust environmental, social, and governance (ESG) principles embedded in operating ecosystem
- Manufacturing plants adhere to highest domestic and global safety standards
- Commitment to SDGs through the global cement sustainability initiative
Climate Goals & Targets
- Further enhance capacity to 14.5 million tonnes in about 2 years
- Enhance capacity to 11.5 million tonnes by FY 2024
Environmental Challenges
- Covid-19 pandemic impacting operations and demand
- Low demand from infrastructure sector
- Supply chain disruptions (manpower, trucks, raw materials, freight charges)
Mitigation Strategies
- Agile strategies and prudent financial measures
- Channeling resources to leverage demand from semi-urban and rural markets
- Cost optimization measures and prudent capital allocation
- Rationalization and strengthening of channel networks
- Repurposing marketing strategies
- Improved product mix towards more environmentally friendly blended cement
- Digital transformation to create a hybrid work environment
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: SDGs
Certifications: Great Place to Work
Sustainable Products & Innovation
- Birla A1 StrongCrete
Reporting Period: 2022-04 to 2023-03
Environmental Metrics
ESG Focus Areas
- Environment
- Social
- Governance
Environmental Achievements
- Reduced specific energy consumption from 3.08 GJ/MT of cement in FY22 to 3.01 GJ/MT in FY23
- Increased renewable energy share in total energy mix to 14.4% in FY23 from 9% in FY22
- Achieved >90% survival rate in plantation drive, planting around 11,000 saplings in FY23
- 15.63% of input material used in FY23 was recycled or re-used
- All plants were water positive during FY23
- Zero fatalities for the last 6 years
Social Achievements
- Spent Rs. 574.60 lakh on CSR and R&R activities
- 50,000+ people benefited from dispensary and medical camps
- 3,550+ students benefited from school and educational activities
- Recognized as a ‘Great Place to Work’ for the fourth consecutive year
Governance Achievements
- Robust corporate governance framework in place
- No instances of non-compliance with laws and regulations during the reporting period
- Implemented a robust cybersecurity strategy with ISO 27001 certification
Climate Goals & Targets
- Net Carbon Zero by 2070
- Achieve 50% renewable energy and WHRS in total energy mix by 2030
- Achieve 40% reduction in Scope 1 and 2 CO2 emissions by 2030 (base year 2020-21)
- Increase thermal substitution rate (TSR) to 25% by 2030
- Reduce Net direct CO2 emissions (Kg/tonne of cementitious material) by 3% by 2025
Environmental Challenges
- Higher inflation and fuel costs impacting margins
- Water scarcity
- Waste availability around plants
- Cybersecurity threats
- Excess Capacity and Increasing Competition
- Credit and Collections Risk
- Volatile Prices of Raw Materials and Fuels
- Inefficient Distribution and Supply Chain
- Regulatory Non-Compliance
Mitigation Strategies
- Recalibrated strategies and achieved robust financial results
- Rainwater harvesting and wastewater recycling
- Exploring additional AF sources and collaborating with suppliers
- Robust cybersecurity strategy, including ISO 27001 certification and regular VAPT
- Regular leadership reviews of capacity expansion and growth strategies. Focus on improving brand positioning, channel engagement, and competitiveness in Southern India’s overcapacity markets (Maharashtra, Telangana, and Karnataka).
- Implementation of credit securitization policy for B2B sales
- Optimization of fuel procurement, expansion of supplier base, long-term arrangements for fly ash sourcing
- Implementation of digital solutions like GPS and EPOD
- Regular monitoring by the legal team and centralized monitoring of compliance activities
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Code of conduct for vendors
- Standard terms & conditions
- EHS guidelines
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Development of energy-efficient products
Reporting Standards
Frameworks Used: GRI Standards 2021
Certifications: ISO 9001, ISO 50001, ISO 14001, ISO 27001, ISO 45001
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- SDG 7 (Affordable and Clean Energy)
- SDG 13 (Climate Action)
- SDG 6 (Clean Water and Sanitation)
- SDG 15 (Life on Land)
Company initiatives contribute to these goals through energy efficiency, renewable energy adoption, water management, and biodiversity conservation
Sustainable Products & Innovation
- Birla A1 Orient Green cement
Awards & Recognition
- Deloitte’s ‘Best Managed Companies’
- ‘Great Place to Work’
- Various awards from Greentech Foundation, CII, Apex India Foundation, and Indian Bureau of Mines