Amara Raja Batteries Limited
Climate Impact & Sustainability Data (2022-23)
Reporting Period: 2022-23
Environmental Metrics
Scope 1 Emissions:6,159 metric tons of CO2 equivalent
Scope 2 Emissions:2,42,867 metric tons of CO2 equivalent
Scope 3 Emissions:4,00,948 metric tons of CO2 equivalent
Renewable Energy Share:12%
Total Energy Consumption:13,73,829 GJ
Water Consumption:11,39,569 KL
Waste Generated:29,151 metric tons
Carbon Intensity:23.97 metric tons of CO2 equivalent per crore of turnover
ESG Focus Areas
- Energy Conservation
- Renewable Energy
- Water Management
- Waste Management
- Circular Economy
- Employee Well-being
- Community Development
- Human Rights
- Governance
Environmental Achievements
- Installed and commissioned 59.1 MW renewable energy infrastructure, avoiding 33,500 tonnes of CO2 emissions.
- Increased recycled raw material (lead and lead alloys) usage to 70%.
- Commissioned Zero Liquid Discharge plants, reducing freshwater withdrawal by 15%.
Social Achievements
- Ranked 55th in the Best Companies to Work for in India (2023) list and awarded 'Best Company to Work for' in Auto & Auto Components Industry by Great Place to Work® Institute.
- Implemented various employee well-being initiatives, including the 'Connect & Heal' program and 'AR Buddy' employee assistance program.
- Trained 1050 students (including 300 women) through Amara Raja Skill Development Centre (ARSDC).
Governance Achievements
- Established a Sustainability Council chaired by an Executive Director to monitor ESG progress monthly.
- Implemented AR-ESG software for improved ESG disclosures and performance monitoring.
- Underwent limited assurance of ESG data by DNV India.
Climate Goals & Targets
Long-term Goals:
- Net Zero emissions
Medium-term Goals:
- Reduce carbon intensity (scope 1 and 2 emissions) by 30% and overall absolute reduction by 10%.
- Reduce energy intensity by 15%.
Short-term Goals:
- Increase ARBL’s renewable energy share to 25%.
Environmental Challenges
- Supply chain disruptions due to the Russia-Ukraine conflict and global uncertainties.
- Elevated commodity prices and inflationary pressures.
- Fire accident at a manufacturing unit in January 2023.
Mitigation Strategies
- Global lead sourcing and negotiation with suppliers to secure better rates.
- Increased use of recycled lead.
- Increased renewable energy sourcing.
- Digitization of the supply chain for better inventory management and order tracking.
- Outsourcing of tubular battery manufacturing.
- Insurance claim for fire accident losses.
- Efforts to reinstate the affected unit.
Supply Chain Management
Supplier Audits: 50%
Responsible Procurement
- Supplier Code of Conduct covering ethics, human rights, social responsibility, health and safety, environment, local community, green products & practices, quality, good manufacturing practices, and legal compliance.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI
Certifications: ISO 9001, ISO 14001, ISO 45001, IATF 16949, ISO 50001
Third-party Assurance: DNV India
Sustainable Products & Innovation
- Advanced AGM batteries
- Lithium-ion battery packs for EVs and energy storage
Awards & Recognition
- Energy Efficient Unit award from CII
- 'Great Place to Work' certification
- Company of the Year - Energy Storage at India Rooftop Solar Congress 2023