Climate Change Data

Environmental Metrics

ESG Focus Areas

• Corporate Social Responsibility
• Environmental Sustainability
• Employee Wellbeing
• Stakeholder Engagement

Environmental Achievements

• Replaced light fittings with LED lights to improve illumination and save energy
• Replaced DOL starter with VFD in VAM water pump motor
• Replaced fibrizer tip to reduce fibrizer power consumption
• Utilized biogas generated in anaerobic digesters for cooking and power generation
• Installed Bio Gas Engine in the Effluent Treatment Plant and utilizing the Bio- Gas generated from the Anaerobic Digester for power generation.

Social Achievements

• Various initiatives towards financial, medical and community support in the fight against Covid-19 pandemic
• Consistently making contributions for the welfare of the people living in and around the neighbouring villages of its sugar factories.
• Conducting monthly medical camps for eye checkup of rural people
• Conducting monthly medical camps for the benefit of elders orphanage
• Constructing checkdams for water harvesting
• Desilting of water bodies & ponds to harvest more rain water
• Contribution to State Disaster Management Authority

Governance Achievements

• Company is committed to high standards of corporate governance, transparency, accountability and equity
• Established vigil mechanism for Directors and Employees to report concerns about unethical behavior
• Formulated a policy on Director's appointment, remuneration and for performance evaluation of independent directors
• All related party transactions are entered on arm's length basis and are in compliance with the applicable provisions of the Companies Act, 2013

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic and lockdowns affected sales and movement of finished products
• Sugarcane availability is critically dependent upon nature and there is always a risk of bearish phase following excess supply
• Sugar business is intrinsically cyclical. Market sentiments move disproportionate to demand-supply parity causing volatile change in product pricing.
• Power price is subject to State Government's decision and fluctuating open market prices.

Mitigation Strategies

• Resumed operations with enhanced safety and security measures
• Built excellent relationship with local farming community
• Financially fit and well positioned to meet the challenges.

Supply Chain Management

Responsible Procurement

• Sourcing sugarcane from allotted area, propagating innovative cultivation practices, supporting farmers with harvesting and transportation

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: National Voluntary Guidelines on Social, Environmental & Economic responsibilities of business

Environmental Metrics

Environmental Achievements

• Reduced electricity drawal from state grids by generating green power in co-generation plants.
• Utilizing biogas generated in the anaerobic digester for cooking purposes.
• Replacing light fittings with LED fittings to improve illumination and energy saving.
• Installing new Variable Frequency Drive (VFD) panels in sugar and co-generation plants.
• Setting a vacuum crystallizer to auto mode to reduce water consumption.

Social Achievements

• Maintaining excellent relationships with employees; no complaints filed under Sexual Harassment of Women at Workplace Act.
• Creating excellent relationships with farmers and other stakeholders.
• Conducting/supporting many social welfare programs/projects directly and through government agencies.

Governance Achievements

• Compliance with Corporate Governance requirements under SEBI Listing Regulations.
• Established a whistle-blower policy/vigil mechanism.
• All related party transactions were on arm's length basis and in compliance with the Companies Act, 2013.

Climate Goals & Targets

Environmental Challenges

• Changes in government policies (export policy, sugarcane price, ethanol program).
• Power price fixation by regulatory authorities.
• Climate change.
• Non-availability of harvesting labor in time.
• Availability of surplus sugar in the market.
• Environmental risks (effluent discharge, hazardous pollutants, waste management).

Mitigation Strategies

• Building long-term relationships with stakeholders, including cane growers.
• Financial fitness to face risks.
• Continuous R&D programs to improve yield and recovery.
• Introducing high-yielding, high-quality new varieties.
• Providing support to farmers (field preparation, planting, irrigation management).
• Having an own bio-fertilizer unit.
• Continuous monitoring of crops by field officers.
• Representing through industry associations during cane price fixation.
• Adopting wider row planting suitable for mechanical harvesting.
• Mechanization programs.
• Adequate arrangements for timely cane transport.
• Installing modern equipment to reduce pollution.
• Upgrading operations and processes to meet environmental changes.

Supply Chain Management

Responsible Procurement

• Sourcing sugarcane from allotted area, propagating innovative cultivation practices, supporting farmers with harvesting, transportation, and providing bio-fertilizers.

Climate-Related Risks & Opportunities

Reporting Standards

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

Sustainable Products & Innovation

• Bio-compost from press mud and distillery spent wash
• Co2 Recovery Plant

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Replacing light fittings with LED fittings to improve illumination and energy savings
• Installed new Variable Frequency Drive (VFD) panels in the Distillery Effluent Treatment Plant
• Co-generation plants generating green power reducing electricity drawal from state grids
• Utilizing biogas generated in the Anaerobic digester for cooking and running motors at Effluent Treatment Plant
• Raw water consumption reduced by 26% in FY24 and 86% in FY23
• 3.7L m3 water recycled with better water management practices
• Reduction in SOx levels by 66% & NOx levels by 23% as compared to FY23
• 15% reduction in water intensity compared to FY 23
• 100% of the supplies have been assessed by the audit for health & safety conditions

Social Achievements

• Maintaining excellent relationship with employees
• No case filed under Sexual Harassment of women at workplace (Prevention Prohibition and Redressal) Act 2013
• Created an excellent relationship with the farmers
• Skill development training to cover 100% of employees in FY25
• Zero accidents

Governance Achievements

• Established vigil mechanism for Directors and Employees
• All related party transactions are entered on arm's length basis and are in compliance with the applicable provisions of the Companies Act, 2013
• All the related party transactions are placed before the Audit Committee and approved by the Audit Committee
• Major business decisions to integrate ESG aspects to the extent possible

Climate Goals & Targets

Environmental Challenges

• Fluctuating sugar prices
• Climate change impacting sugarcane yield
• Competition from alternative sweeteners
• Cyclical nature of the industry
• Volatility of sugar prices in the global market
• Climate change and unpredictable weather patterns
• Heavy reliance on government policies and subsidies
• Financial health of sugar mills
• Poor mechanisation in farming sector
• Balancing water usage for agriculture and other needs
• Substantial upfront cost of replacing outdated systems with more energy-efficient models
• Changes in energy efficiency laws and policies
• Older water infrastructure with leaks and inefficient distribution
• Regulation violations
• Fluctuations in raw material costs
• Supply chain disruptions
• Subpar manufacturing procedures, broken machinery, or human errors
• Inadequate maintenance, process controls, or training
• Subpar product design or insufficient testing
• Inadequate training and implementation of safety regulations
• Exposure to hazardous substances, poor ergonomics, or repetitive jobs
• Ethical misconduct
• Supplier bankruptcy, poor quality, late deliveries, or unforeseen price adjustments
• External factors disrupting global or regional supply chains
• Employee burnout

Mitigation Strategies

• Replacing outdated systems, equipment, or facilities with more energy-efficient models
• Proactive management of water resources
• Adopting energy conservation system and Variable frequency drives (VFDs)
• Using renewable energy resources (bagasse)
• Treating plant effluent water by aerobic digester to maintain zero liquid discharge
• Sourcing sugarcane from farmers (100%)
• Sourcing molasses from sugar mills (100%)
• Displaying and reviewing product information for correctness and safety guidance
• Conducting trainings for Health, Safety & Personality Development
• OHSAS -18001:2007 certification
• General safety management systems in the workplace
• On-Site Emergency plan and major emergency control plant
• Implementing effective policies and mechanisms to promote integrity and conduct
• 100% of the supplies have been assessed by the audit for health & safety conditions
• QMS, EMS AND FSSC certified
• Effective inventor y management techniques
• Promoting a culture of integrity and conduct
• Addressing evolving risks and challenges
• 100% of the supplies have been assessed by the audit for health & safety conditions

Supply Chain Management

Supplier Audits: 100%

Responsible Procurement

• Sustainable sourcing

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Ind AS

Certifications: ISO 9001:2015, ISO 22000:2018, ISO/TS-22002-1:2009, HALAL, OHSAS – 18001:2007, QMS, EMS, FSSC

Third-party Assurance: P N Raghavendra Rao & Co., Chartered Accountants