JK Lakshmi Cement Ltd.

Climate Impact & Sustainability Data (2021-04 to 2023-03, 2023-04 to 2024-03)

Reporting Period: 2021-04 to 2023-03

Environmental Metrics

Total Carbon Emissions:58,15,363 tCO2e/year (Scope 1 & 2)

Scope 1 Emissions:53,80,820 tCO2e/year

Scope 2 Emissions:4,34,543 tCO2e/year

Scope 3 Emissions:1,25,528 tCO2e/year

Renewable Energy Share:35% of total energy use

Total Energy Consumption:2,47,73,670 GJ/year

Water Consumption:11,52,045 KL/year

Waste Generated:33,646.44 tons/year

Carbon Intensity:0.09579 Kg CO2/` turnover (Scope 1 & 2) in FY 2022-23

ESG Focus Areas

Decarbonization
Circular economy
Responsible product and sustainable supply chain
Biodiversity and natural resource conservation
Empowering human capital
Stakeholder experience
Technology utilization
Strategic CSR

Environmental Achievements

Increased green power share to 35% in FY 2022-23, aiming for 100% by 2040 (RE100 commitment)
Thermal substitution rate increased to 4.1% in FY 2022-23, aiming for 20% by FY 2029-30
Reduced GHG emissions (Scope 1 & 2) from 59,02,543 metric tonnes in FY 2021-22 to 58,15,363 metric tonnes in FY 2022-23
Reduced Scope 3 emissions from 1,32,557 metric tonnes in FY 2021-22 to 1,25,528 metric tonnes in FY 2022-23
Achieved 4.0X water positivity, aiming for 5X by 2025
Successfully implemented a 500 KWp solar power plant at Cuttack grinding unit and an 8 MWp solar project at Sirohi unit (44% of unit's total electricity consumption)

Social Achievements

Positive impact on over 2,25,000 lives through CSR projects in education, healthcare, skill development, and environmental conservation
Received Golden Peacock Award for CSR excellence
Implemented a loyalty program for dealers with 92% coverage in FY 2022-23
Mobile app-based loyalty program for masons and contractors with over 100,000 members
No complaints recorded on human rights issues in FY 2021-22 and FY 2022-23

Governance Achievements

Established a robust governance framework to oversee climate change-related actions, including a Risk Management Committee at the Board level
Implemented a comprehensive compliance management system
Developed a web-based legal compliance tool, “Compliance Manager”
Established a Code of Conduct for Management Cadre Staff and Board Members
In place a policy on Vigil Mechanism and Whistle Blower Policy

Climate Goals & Targets

Long-term Goals:

Net-zero emissions by 2047

Medium-term Goals:

Achieve 80% or more renewable energy share by 2030
Achieve 76% blended cement by FY 2030

Short-term Goals:

Increase renewable energy share to 50% by 2025
Increase TSR to 12% in the first phase and 20% in the second phase by FY 2029-30
Become 5 times Water Positive by FY 2024-25

Environmental Challenges

Climate change risks (physical risks like floods, cyclones, droughts; transition risks from regulatory changes, technology, and market shifts)
Economic Value & Business Performance
Customer Satisfaction
Integrity and Transparency
Compliance to Regulation
Human Capital Development
Community Development
Occupational Health and Safety
Energy and Emissions
Water Management
Resource Conservation
Supply chain management
Operational Efﬁciency

Mitigation Strategies

Multifaceted approach to climate change mitigation including diversifying business, focusing on low-carbon products, decarbonizing energy mix, exploring CCS technologies, implementing energy management systems, increasing renewable energy use, implementing water management strategies, establishing comprehensive health and safety programs, engaging in transparent communication, supporting community development initiatives, ensuring compliance with labor laws, investing in energy-efficient technologies and alternative fuels

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

Prioritizing suppliers committed to reducing environmental impact and complying with laws
Sustainable sourcing of raw materials
Digital registration of vendors with ESG criteria

Climate-Related Risks & Opportunities

Physical Risks

Floods
Cyclones
Droughts

Transition Risks

Regulatory changes
Technological advancements
Market shifts

Opportunities

Development of energy-efficient products
Increased use of renewable energy

Reporting Standards

Frameworks Used: GRI, SASB, UN SDGs, TCFD

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 50001:2018, ISO 45001:2018

Third-party Assurance: BSI Group India Private Limited (AA1000AS V3, Type-2 Moderate Level assurance)

UN Sustainable Development Goals

Not disclosed

Not disclosed

Sustainable Products & Innovation

Blended cement
Low-carbon cement

Awards & Recognition

Golden Peacock Award for CSR excellence

Reporting Period: 2023-04 to 2024-03

Environmental Metrics

Total Carbon Emissions:5827444.13 MTCO2e (Gross), 5756316 MTCO2e (Net)

Scope 1 Emissions:5756316 MTCO2e

Scope 2 Emissions:186551 MTCO2e

Scope 3 Emissions:136442 MTCO2e

Renewable Energy Share:38%

Total Energy Consumption:26003067 GJ

Water Consumption:1085419 KL

Waste Generated:97.98 MT

Carbon Intensity:584 Kg CO2e/ton cement