Essar Energy plc

Climate Impact & Sustainability Data (January 2011 to March 2012)

6,297,886 kilowatt hours (kWh) of energy saved at Essar Oil
3,011,502 tonnes of carbon dioxide (CO2) saved at Essar Power
50% reduction in sulphur oxide (SOx) emissions at Essar Oil
72% reduction in nitrogen oxide (NOx) emissions at Essar Oil
1 MW solar farm in Bhuj commissioned by Essar Power
53% reduction in indirect energy consumption at Essar Oil
28% reduction in indirect energy consumption at Exploration and Production, Mehsana

Essar Oil featured as one of India’s Best Employers in a study conducted by Aon Hewitt in 2012
Essar Oil improved its Employee Engagement score from 57% in 2008 to 81% in 2012, surpassing the industry average in India of 77%
31.8% reduction in employee turnover by Exploration and Production business
24.9% reduction in employee turnover by Essar Oil
24.4% reduction in employee turnover by the Power Business Group
Zero LTI frequency rate achieved by the Stanlow refinery, Essar Power, Bhander Power and Vadinar Power
Essar Energy’s work in providing access to drinking water in the Vadinar region directly benefited over 28,000 community members in 11 villages
Essar Oil’s healthcare initiatives in the Vadinar region benefited over 39,000 community members during the reporting period
Over 50,000 individuals benefited through community initiatives in Raniganj, West Bengal.

Anti-Corruption policy and Anti-Corruption code adopted. Senior leadership and critical employees trained

Medium-term Goals:

Determine year-on-year GHG inventory
Continuous optimisation of existing processes and products
Opportunities for benefits from the Clean Development Mechanism of the Kyoto Protocol
Exploring opportunities for renewable energy sources

Short-term Goals:

Long term contracts with suppliers and captive sources of raw material
Membership of various industry organisations and focus groups that work with governments
Funding already in place for current projects
Competency assessment (CA) for safety critical jobs

Long term partnership with key suppliers and contractors
A wide vendor base through comprehensive vendor research
Value generation through consolidated spend by obtaining benefits of economies of scale through a wider supplier base
Direct and measurable reduction in sourcing cost through induction of spend data analysis and life cycle costing concepts
Greater usage of IT tools such as project management and planning, budget cost control, SAP, tendering and e-bidding
Unification of vendors and item catalogue across the Company

Frameworks Used: GRI G3.1 Guidelines, AccountAbility AA1000APS – 2008

Certifications: ISO 9001:2008, ISO 14001:2004, OHSAS 18001:2007

Third-party Assurance: Ernst & Young

Chartered Institute of Public Relations Award for Investor Relations, 2011
Gujarat State Safety Winner’s Shield
CII Western Region Safety, Health and Environment Awards, 2010 – First Position
British Safety Council International Safety Awards, 2010 – Distinction
Golden Peacock Environment Management Award, 2011
FICCI National Safety Excellence Awards for Manufacturing, 2011 – Gold Award
Greentech Environment Awards, 2011 – Gold Award
ICC Award for Excellence in Management of Health, Safety and Environment, 2010
Top Final Disclosure Score, Indian Energy Sector – Carbon Disclosure leadership Index, 2011
CII National Award for Excellence in Water Management, 2011
Golden Peacock Innovation Award, 2010
Greentech Environment Awards, 2011 – Silver Award
Greentech HR Awards, 2012 – Gold Award