Climate Change Data

Tega Industries Limited

Climate Impact & Sustainability Data (2021-04 to 2022-03, 2022-23, 2023-24)

Reporting Period: 2021-04 to 2022-03

Environmental Metrics

Total Energy Consumption:10,483,287 kwh

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Reduced energy consumption through plant efficiency improvements
  • Eliminated streamline leakage
  • Disposed of hazardous waste through authorized vendors
  • Engaged in rainwater harvesting
  • Invested in low-carbon technologies for enhanced resource and energy efficiency
  • Aiming for 100% recyclable products within 5 years
  • Installing a solar farm to reduce Scope 2 emissions

Social Achievements

  • Provided financial support and education for the child of a deceased employee
  • Enhanced insurance coverage for employees and their families during the pandemic
  • Intensive training to deepen engineering competence
  • Implemented a Performance Management System with continuous feedback
  • Created Innovation Labs and R&D cell to promote employee creativity and innovation
  • Spent H11.53 Million on CSR initiatives

Governance Achievements

  • Credit rating upgraded to ‘CRISIL A+/Stable’ from ‘CRISIL A/Stable’
  • Implemented SAP ERP for improved accounting, procurement, order management, manufacturing, quality management, and plant maintenance
  • Implemented SAP SuccessFactors for Human Capital Management (HCM)
  • Implemented SAP Concur for travel and expense management
  • Implemented Salesforce for customer relationship management (under implementation)

Climate Goals & Targets

Medium-term Goals:
  • Grow DynaPrime off-take at 25% compounded growth across the next five years
Short-term Goals:
  • Achieve 100% recyclable products within 5 years

Environmental Challenges

  • Higher input costs
  • Higher logistics costs
  • Supply chain disruptions
  • Shortage of shipping containers
  • Rise in oil prices
  • Increased logistics costs
  • Decline in raw material cost (RMC) margin
  • Decline in shipping container availability
  • Covid-19 pandemic impacts (labor shortages, oxygen supply issues)
Mitigation Strategies
  • Long-standing relationships with customers enabled cost-plus formula to pass inflation to customers
  • Proactive planning countered the challenge of a decline in shipping container availability
  • Optimized oxygen inventory and outsourced from vendors with captive oxygen sources
  • Implemented pick-and-drop service for employees during labor shortages
  • Developed alternative sourcing strategies

Supply Chain Management

Responsible Procurement
  • Engaging with long-standing vendors with approved quality systems
  • Long-term price agreements
  • Procurement at lower prices
  • Use of alternative input materials

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

  • Rapido
  • Spillex
  • Belt Scrapper
  • DynaPrime Green

Reporting Period: 2022-23

Environmental Metrics

Total Carbon Emissions:20081 tCO2e/year (FY22), 11343 tCO2e (Scope 1) and 8738 tCO2e (Scope 2) in FY23
Scope 1 Emissions:11343 tCO2e/year (FY23)
Scope 2 Emissions:8738 tCO2e/year (FY23)
Renewable Energy Share:50% (target)
Water Consumption:36956 KL/year (FY22)
Waste Generated:2505 tons/year (FY23)
Carbon Intensity:0.0029 kg of CO2 equivalent / INR (FY23)

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Reduced CO2 emissions by 13.35% in the last two years
  • Planted 450 trees across facilities
  • Proposed rooftop solar panel installation at Samali plant to utilize 50% renewable energy

Social Achievements

  • Increased employee retention to 90% in FY 2022-23
  • Launched Supervisory Training for Action and Results (STAR) program
  • Conducted multiple training programs on mental health, diversity, and inclusion

Governance Achievements

  • Published inaugural Business Responsibility and Sustainability Report (BRSR)
  • Received CRISIL A+/Stable long-term bank facility rating and CRISIL A1 short-term rating
  • Implemented a robust system and framework of Internal Financial Controls

Climate Goals & Targets

Long-term Goals:
  • Net zero carbon footprint
Medium-term Goals:
  • Achieve 50% renewable energy share
  • Install effluent treatment plant and sewage treatment plants across all facilities by FY 2023-24
Short-term Goals:
  • Increase the revenue proportion of value-added DynaPrime®
  • Become a complete recycled products company by 2027
  • Graduate to the manufacture of ‘intelligent’ products

Environmental Challenges

  • Global geopolitical issues, recessionary outlook, currency volatility, and resource inflation
  • Delays in passing on revived supply chain benefits and increased prices to consumers
  • Cyber-attacks and geopolitical disruptions in Chile
Mitigation Strategies
  • Effective management of gross margins
  • Upgraded IT systems and processes; engaged experienced senior professionals
  • Proactive initiatives to address geopolitical disruptions in Chile

Supply Chain Management

Responsible Procurement
  • Long-term contracts and spot buying
  • Diversified supplier base
  • Vendor qualification initiatives

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, UNGC

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

Sustainable Products & Innovation

  • DynaPrime®

Reporting Period: 2023-24

Environmental Metrics

Total Carbon Emissions:16407 tCO2e/year (Scope 1 & 2)
Scope 1 Emissions:8106 tCO2e/year
Scope 2 Emissions:8281 tCO2e/year
Water Consumption:40584.55 KL/year
Waste Generated:2245.282 tons/year
Carbon Intensity:0.0022 Kg of CO2 eq/ INR (Scope 1 & 2)

ESG Focus Areas

  • Environmental Stewardship
  • Social Development
  • Governance and Transparency

Environmental Achievements

  • Reduced CO2 emissions by switching to LPG for boilers and furnaces
  • Utilized pyrolysis oil extracted from waste rubber for boilers, promoting circular economy
  • Invested in solar and wind power for renewable energy

Social Achievements

  • Partnership with Disha India Community School focusing on experiential learning
  • Collaborations with Katakhali Swapnopuron Welfare Society supporting early education centers
  • Investment in skill development programs for underprivileged children

Governance Achievements

  • Established robust governance structure with various committees and policies
  • Board of Directors oversees strategic, financial, and risk management aspects
  • Policies guide decision-making and ensure compliance

Climate Goals & Targets

Long-term Goals:
  • Net-zero carbon footprint
Medium-term Goals:
  • Achieve 100% recyclable products within 5 years

Environmental Challenges

  • Geopolitical issues in West Asia & Europe, Red Sea crisis
  • Currency volatility, supply chain disruptions
  • Increased freight costs and inflationary pressures on raw materials
Mitigation Strategies
  • Focused on expanding market share across all markets
  • Recalibrated sourcing strategies to anticipate potential disruptions
  • Developed alternative sourcing strategies for castings

Supply Chain Management

Responsible Procurement
  • Developing domestic suppliers for critical parts
  • Long-term, collaborative relationships with suppliers
  • Transparency in sharing future growth plans

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: National Guidelines for Responsible Business Conduct (NGBRC)

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

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 13 (Climate Action)

Renewable energy investments, emission reduction initiatives

Sustainable Products & Innovation

  • DynaPrime mill liners
  • Wear sensors
  • Bolt tension monitoring system
  • Recycling system for mill liners

Awards & Recognition

  • Asian Family Business Award
  • Risk Management Award
  • CII – ENCON Award
  • Great Place To Work Award
  • Met Plant– Innovation Award