Udaipur Cement Works Ltd.
Climate Impact & Sustainability Data (2022-04 to 2023-03, 2023-04 to 2024-03)
Reporting Period: 2022-04 to 2023-03
Environmental Metrics
Total Carbon Emissions:51,560 tCO2e/year (mitigated)
Scope 2 Emissions:55,540 tCO2e/year
Scope 3 Emissions:13,293 tCO2e/year
Renewable Energy Share:48%
Total Energy Consumption:63,654 MWh/year (renewable)
Water Consumption:18,96,107 KL (rainwater harvested) + 29,795 KL (recycled)
Waste Generated:1,680 MT (plastic recycled)
ESG Focus Areas
- Climate Change
- Water Management
- Resource Conservation
- Community Development
- Occupational Health and Safety
- Human Capital Development
Environmental Achievements
- Consumed 63,654 MWh of green energy (Solar + WHRS), mitigating around 51,560 tons of CO2 emissions.
- Achieved 3.6 times water positivity.
- Saved about 4.11 lakh tons of virgin natural resources by replacing them with other industrial waste-derived raw materials.
- Installed a 1 MW floating solar power plant (first in Rajasthan and Indian cement industry), increasing renewable energy share to 48%.
Social Achievements
- Total CSR expenditure of ₹96.04 Lakhs benefiting 70,179 individuals.
- Implemented Project Aarogya, Vidya, Aajivika, Swajal & Swachhta, Gramin Vikas, and Kaushal Prashikshan.
- Achieved zero man-days loss due to accidents.
Governance Achievements
- Established a robust system to track and comply with regulatory changes.
- Implemented a robust internal financial control system.
- No substantial reportable weaknesses in the internal financial control system were identified during FY 2022-23.
Climate Goals & Targets
Long-term Goals:
- Achieve net-zero emissions by 2050.
Medium-term Goals:
- Increase renewable energy share to 80% by 2030.
- Achieve net-zero emissions by 2040.
Short-term Goals:
- Increase cement production capacity from 2.2 MTPA to 4.7 MTPA by Q2 FY25.
- Increase clinker production capacity from 1.5 MTPA to 3 MTPA by Q3 FY24.
Environmental Challenges
- Significant increase in fuel costs putting pressure on margins.
- Limited opportunities due to macroeconomic factors.
- Risk of grid power unavailability.
- Pending litigations.
- Risk to brand reputation.
Mitigation Strategies
- Implemented various efficiency improvement measures, optimization of product mix, and geographical mix.
- Regular inspection of grid and quality of power overhead line.
- Close follow-up of all pending litigations and taking required legal help.
- Focus on positive image and communication.
Supply Chain Management
Responsible Procurement
- Prioritising safety and environmental considerations when selecting vendors; opting for low-lead suppliers and green transportation.
Climate-Related Risks & Opportunities
Opportunities
- Development of energy-efficient products and processes; transition to alternative fuels and raw materials.
Reporting Standards
Frameworks Used: International Integrated Reporting Council (IIRC)
Certifications: ISO 14001, ISO 45001, ISO 50001, ISO 9001, ISO 14064-1, ISO 14046
Sustainable Products & Innovation
- Platinum Heavy Duty Cement
- Platinum Supremo Cement
Awards & Recognition
- India's fastest-growing cement company (small category, 2022) by Indian Cement Review (ICR)
- Asia's most promising Cement Brand (Platinum Heavy Duty cement)
- Promising Brands Award (Platinum Supremo) by The Economic Times
- State Safety Awards 2022
- Certificate of Appreciation from National Safety Council of India
- Rajasthan Best Employer Brand Award 2022
- Platinum Award at ‘13th Exceed Occupational Health Safety & Security awards 2022’
Reporting Period: 2023-04 to 2024-03
Environmental Metrics
Scope 1 Emissions:17,72,372 tCO2e/year
Scope 2 Emissions:71,339 tCO2e/year
Renewable Energy Share:42.7%
Total Energy Consumption:74,218 MWh/year
Carbon Intensity:590 kg CO2e/ton cement
ESG Focus Areas
- Climate Change
- Water Management
- Resource Conservation
- Community Development
- Occupational Health and Safety
- Human Capital Development
- Compliance and Regulation
- Integrity and Transparency
- Customer Satisfaction
Environmental Achievements
- Consumed 74,218 MWh of green energy (Solar + WHRS), mitigating around 53,141 Tons of CO2 emissions.
- Achieved 3.04 times water positive status.
- Saved about 6.86 Lakh Tons of virgin natural resources by replacing them with other industrial waste-derived raw materials.
Social Achievements
- Various CSR initiatives impacting 43,538 beneficiaries.
- Launched Medical Mobile Unit (MMU) offering free consultation and medicine.
- Implemented Utsaah initiative for employee engagement and development.
Governance Achievements
- Successfully completed Rights Issue of ₹448 Crore.
- Successfully completed expansion project doubling clinker capacity and increasing cement production capacity.
- Maintained high credit ratings (AA and A1+).
Climate Goals & Targets
Long-term Goals:
- Achieve carbon neutrality by 2040.
Medium-term Goals:
- Achieve 80% renewable energy by 2030.
- Reach 20% TSR by 2030.
Short-term Goals:
- Not disclosed
Environmental Challenges
- Market challenges due to global inflation and economic conditions.
- Increased competition in the cement market.
- Fluctuating raw material costs.
- Environmental compliance requirements.
Mitigation Strategies
- Cost optimization measures.
- Judicious use of geo-mix and product-mix to optimize EBITDA.
- Investment in technology and sustainable practices.
- Implementation of robust internal control systems.
Supply Chain Management
Responsible Procurement
- Preference for local and indigenous materials
- Selection of suppliers adhering to stringent safety and environmental standards
- Prioritization of green transportation methods
Climate-Related Risks & Opportunities
Opportunities
- Development of energy-efficient products
- Increased use of alternative fuels and raw materials
Reporting Standards
Frameworks Used: Integrated Reporting (IR) Principles, Business Responsibility and Sustainability Reporting (BRSR), GRI Standards 2021, International Integrated Reporting Council (IIRC)
Certifications: ISO 14001, ISO 45001, ISO 50001, ISO 9001, ISO 14064–1, ISO 14046
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 6 (Clean Water and Sanitation)
- Goal 13 (Climate Action)
- Goal 8 (Decent Work and Economic Growth)
- Goal 3 (Good Health and Well-being)
- Goal 4 (Quality Education)
Initiatives contribute to these goals through renewable energy adoption, water conservation, emission reduction, community development programs, and employee well-being programs.
Sustainable Products & Innovation
- Platinum Heavy Duty Cement
- Platinum Supremo Cement
Awards & Recognition
- Fastest Growing Cement Company (Indian Cement Review Awards)
- Energy Efficient Unit Award (CII)
- Various awards for safety excellence, CSR, and HR