Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Resource Optimization
• Access and Affordable Clean Energy
• Community Development
• Customer Relationships
• Decarbonization & Net Zero
• Human Capital Management
• Health and Safety
• Business Growth and Profitability
• Business Ethics
• Sustainable Sourcing
• Innovation
• Supply Chain Management
• ESG in Governance

Environmental Achievements

• GAIL Pata plant received a GreenCo “Gold” rating from CII.
• Successfully commissioned India’s First Project for Hydrogen Blending in City Gas Station (Avantika Gas Ltd.), Indore.
• 10 MW Green Hydrogen plant at Vijaipur.
• Total installed capacity of 131.75 MW of alternative energy (118 MW wind and 13.8 MW solar).
• India’s second largest solar rooftop (6 MW) at Pata Petrochemical Complex.
• Pilot project for fixing CO2 (1TPD) using microalgae at Pata.

Social Achievements

• Spent INR 204.97 crore on CSR initiatives (3% of average PAT).
• More than 25 lakh people benefited through CSR projects.
• Launched SPARSH initiative to support COVID-19 affected employees and their families.
• 325 apprentices engaged (6.69% of total workforce).

Governance Achievements

• Featured at COP26 as part of the UN Global Compact-Accenture CEO Study on Sustainability.
• Won “Sustainably Growing Corporation of the Year” award from FIPI.
• Highest ever dividend payment.
• Completed buyback of ~5.70 crore shares.

Climate Goals & Targets

Environmental Challenges

• Post-pandemic challenges.
• Geopolitical changes leading to supply chain disruptions and volatile commodity prices.
• Risk of delay in project execution due to land acquisition issues.
• Risk of underutilization of pipelines due to sluggish growth in gas consumption.
• Risk of cyberattacks.
• Risk of reduction in petrochemical margins.
• Market risk of LNG.
• Risk of major leakage in pipelines and plants.
• Risk of third-party damage and encroachment.
• Risk of unfavorable regulatory changes.
• Effect on GAIL business due to shutdown of ONGC facilities.
• GAIL’s restructuring risk (monetization of pipeline assets).

Mitigation Strategies

• Vaccination of employees, Covid-appropriate behavior compliance.
• Liaisoning with government for land acquisition, awareness campaigns.
• Customer-friendly GTA/GSA, framework agreement for deferred delivery.
• Cyber insurance, zero trust framework, network security measures.
• Coordination with production plants, zonal offices for enhanced sales.
• Destination swap of LNG volumes, sale in international markets.
• Regular monitoring of pipelines and plants, leak detection systems, emergency response plans.
• Increased ROU surveillance, foot patrolling, coordination with authorities.
• Participation in public consultations, submissions to regulators.
• Timely information from ONGC, preventive actions, RLNG allocation.
• Testing the market through suitable asset monetization modes.
• Adherence to statutory and regulatory requirements.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Human Rights clause in contracts
• Periodic screening of critical suppliers
• Vendor Development Programs
• Promoting procurement from MSEs, especially those owned by SC/ST entrepreneurs and women.

Climate-Related Risks & Opportunities

Physical Risks

• Flash floods
• Drought
• Heatwaves
• Wildfires
• Precipitation
• Tropical cyclones

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Renewable energy investments
• Green hydrogen production
• CBG development
• CO2 utilization technologies.

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards, SASB, NGRBC, SEBI’s BRSR, UN SDGs, TCFD, IPIECA guidelines, API guidelines, ISO 26000:2010, UNGC

Third-party Assurance: AA1000AS V3 standard

UN Sustainable Development Goals

• SDG 7
• SDG 12
• SDG 13
• SDG 14
• SDG 15

GAIL's initiatives contribute to these goals through renewable energy, resource optimization, emission reduction, biodiversity conservation, and responsible consumption and production.

Sustainable Products & Innovation

• Green hydrogen
• CBG

Awards & Recognition

• Economic Times Energy Transition Award 2022
• Golden Peacock Award for Corporate Social Responsibility
• Investor Relation Award for ESG disclosures

Environmental Metrics

ESG Focus Areas

• Climate Change
• Decarbonization
• Net-Zero Emissions
• Renewable Energy
• Health and Safety
• Community Development
• Human Capital Management
• ESG Governance
• Human Rights
• Resource Optimization
• Supply Chain Management
• Business Ethics
• Digital Transformation

Environmental Achievements

• Six GAIL sites achieved GreenCo silver rating.
• Increased renewable energy generation from 581 TJ in FY 2021-22 to 810 TJ in FY 2022-23.
• Commissioned 1074 km of pipeline during FY 2022-23.
• Implemented a pilot project for fixing CO2 (1TPD) using Microalgae at Pata.
• Achieved a 100% reduction in Scope 1 and Scope 2 emissions and a 35% reduction in Scope 3 emissions by 2040.

Social Achievements

• Spent INR 12.54 crore on CSR projects in 20 aspirational districts.
• GAIL Arogya, GAIL Kaushal, GAIL Ujjwal, GAIL Saksham, GAIL Sashak, GAIL Harit, and GAIL Unnati benefitted more than 15.4 lakh people.
• Launched GAIL ABHA initiative to support the entrepreneurial skills of employees' spouses.
• Employed 407 apprentices (325 male and 82 female).

Governance Achievements

• Established a robust ESG governance structure.
• Received ‘AAA’ domestic credit rating and ‘Baa3’ (Moody’s) and ‘BBB-’ (Fitch) international credit ratings.
• Implemented SARATHI Centre and SPARSH Portal for Vendor Invoice Management.
• Achieved 100% disposal rate for RTI Applications.

Climate Goals & Targets

Environmental Challenges

• Global energy market volatility.
• Supply chain disruptions.
• Climate-related risks (extreme weather, flooding).
• Risk of delay in project execution.
• Underutilization of gas transmission pipeline.
• Inadequate controls to protect systems against malicious attacks.
• Risk of reduction in petrochemical margin.
• Market risk of LNG.
• Risk of major leakage.
• Risk of third-party damage & encroachment.
• Risk of unfavorable regulatory changes.
• Effect on GAIL business on account of shutdown of ONGC fatalities and reduction in allocation of APM/Non-APM Gas for GAIL’s internal consumption.

Mitigation Strategies

• Developed a long-term strategic action plan (“Strategy 2030”).
• Implemented various financial management initiatives (liquidity management, securing borrowings at competitive rates).
• Developed effective plans to mitigate environmental impact.
• Implemented Enterprise Risk Management (ERM).
• Developed mitigation strategies for top corporate level risks.
• Implemented robust cybersecurity measures.
• Developed a comprehensive Crisis Management Plan.
• Implemented a 3-level investigation mechanism for Root Cause Analysis (RCA).

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Prioritization of MSEs owned by SC/ST and women entrepreneurs
• Vendor Development Programs
• Integrity Pact

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Flooding

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Renewable energy projects
• Green hydrogen production
• CBG production

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards, SASB, NGRBC principles, API guidelines, ISO 26000:2010, UNGC, SEBI’s BRSR, TCFD, IPIECA guidelines

Certifications: ISO 50001 (Energy Management System), ISO 14001 (Environmental Management System), ISO 27001:2013 (IT data centres)

Third-party Assurance: AA1000AS V3 standard

UN Sustainable Development Goals

• SDG 7 (Affordable and Clean Energy)
• SDG 12 (Responsible Consumption and Production)
• SDG 13 (Climate Action)

GAIL's initiatives contribute to these goals through renewable energy investments, emission reduction efforts, and sustainable practices.

Sustainable Products & Innovation

• Compressed Biogas (CBG)
• Green Hydrogen

Awards & Recognition

• Green Ribbon Champions (CNBC)
• ‘A’ grade rating (India’s Most Sustainable Companies 2022)
• 1st among PSUs in Climate Leadership Report-2022
• FTSE4Good Index Series
• Best Natural Gas Pipeline Transportation Company of the Year Award
• Best Managed Project of the Year Award
• Significant contribution towards energy conservation & fuel efficiency (PCRA)
• Green Ribbon award for Sustainability and Decarbonization initiatives (CNBC Network 18)
• Energy Transition – Midstream Company’ award (Platts Global Energy Award 2022)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Decarbonisation and Net-Zero (GHG Emissions)
• Access and affordable clean energy
• Resource Optimization
• Health and Safety
• Human Capital Management
• Community Development
• Business Ethics, Integrity, and Compliance
• Economic Performance, Business Growth and Profitability

Environmental Achievements

• Achieved 6.1% reduction in Specific Energy Consumption (SEC) in PAT-IV (w.r.t baseline year FY 2016-17) at GAIL Pata Petrochemical Plant.
• GHG emission reduction of 1,381.83 tCO2e through Project on Compressing DVPL-1 Pipeline at Jhabua.
• GHG emission reduction of 638 tCO2e through replacement of low efficiency motors at Pata.
• GHG emission reduction of 1511 tCO2e through transition from Gas Engine Generator (GEG) to Grid Power at Chhainsa Compressor Station.
• GHG Emission reduction of approximately 224 tCO2e through automation of Gas After Cooler (GAC) fan motors at Hazira Compressor Station.
• GHG Emission reduction of approximately 2372 tCO2e through installation of a Pre-Fabricated Substation (PFS) at GAIL Jhabua.
• GHG emission reduction of approximately 98 tCO2e through replacement of inefficient GAC motors with energy-efficient IE-3 motors.
• GHG emission reduction of 199 tCO2e through installation of Roof top Solar System in Pata.

Social Achievements

• Conducted numerous training and awareness programs for employees, workers, and senior leadership on various topics including the 09 NGRBC Principles.
• In FY 2023-24, a total of 16 Vendor Development Programs were conducted for creating awareness and associating with the vendors for mutual and sustainable growth.
• 75 nos. of public awareness programs were conducted across Dabhol Bengaluru Pipeline (DBPL) covering 8652 participants (Villagers/Local Public across ROU).
• CSR expenditure of ` 175.71 crore towards multiple CSR Projects.

Governance Achievements

• GAIL follows guidelines and circulars of the Central Vigilance Commission (CVC) in dealing with issues related to bribery or corruption.
• GAIL has a Whistle Blower Policy and a Fraud Prevention Policy.

Climate Goals & Targets

Environmental Challenges

• Adverse impacts of Climate Change (extreme weather conditions)
• Decarbonisation and Net-Zero (GHG Emissions) targets creating additional financial burden
• Health and Safety risks due to handling of large amount of Hydrocarbons
• Ethical business conduct and compliance risks

Mitigation Strategies

• Enhancing capacity for water storage and evacuation at plants, designing process plants to withstand extreme weather conditions, training and awareness for adapting to extreme climate events.
• GHG emissions mitigation through electrification, renewable energy projects, CO2 Valorisation, Compressed Biogas (CBG), Green Hydrogen, Energy Efficiency projects and Afforestation.
• Robust ‘Health, Safety and Environment Management System’ and adherence to guidelines of various agencies.
• Rules / Orders / Policies to ensure discipline/ proper conduct: Code of Conduct, Fraud Prevention Policy, etc.

Supply Chain Management

Supplier Audits: 100% of new suppliers are screened on environmental and social parameters

Responsible Procurement

• Public Procurement Policy for MSE 2012
• Policy for Purchase Preference to Domestically Manufactured Electronic Products (DMEP)
• Policy to Provide Purchase Preference as per Public Procurement (Preference to Make in India), Order 2017
• Policy for Preference to Domestically Manufactured Iron and Steel Products (DMI&SP)
• Policy for Purchase Preference to Domestically Manufactured Telecom Products, works and services
• Preference to MSE owned by SC/ST and women entrepreneurs

Climate-Related Risks & Opportunities

Physical Risks

• extreme heat, cold waves, cyclones, excessive rains and floods

Transition Risks

• additional financial burden for adopting clean technologies and transition to green energy

Opportunities

• increase its business by providing access of relatively clean and affordable fuel to more customers

Reporting Standards

Frameworks Used: GRI, SEBI BRSR

Certifications: ISO 9001, ISO 45001, ISO 14001, ISO 50001, ISO 27001:2013

Third-party Assurance: SR Asia, Ghaziabad, Uttar Pradesh

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed