Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainability
• Safety
• Community Development
• Employee Well-being
• Resource Efficiency

Environmental Achievements

• Reduced GHG emissions by 25 tons less with eco-friendly all-aluminium trailer
• India’s first aluminium-foil-laminated jute bags as a food packaging solution to replace plastic bags
• Supply of bauxite residue to 40 cement plants in India, replacing mined minerals
• Close to 50 MW of installed solar power generation capacity across plants
• Best in industry freshwater consumption

Social Achievements

• Initiatives for distribution of food and essential items, and sanitisation of communities close to plants
• Social investments in India touching lives of 1.1 million people belonging to 655 villages in 11 states
• CSR spend in India of ` 63.65 crore
• Mobilized over ` 85.77 crore through Government schemes
• Received the Government of India’s National CSR Award for initiatives in skilling and livelihoods
• Implemented multiple online programs on behavioural/leadership and functional/technical aspects for employee development
• Extended potential assessment process to a broader employee population

Governance Achievements

• Strong internal control culture throughout the Group
• Regular internal audits at all locations
• Effectiveness of internal control environment a component of senior management performance appraisals
• Full adherence to SEBI standards for Corporate Governance practices

Climate Goals & Targets

Environmental Challenges

• Turbulence caused by US-China trade war, LME price volatility, and Covid-19 impact on global trade and markets
• Lower global aluminium prices and local market premiums
• Pricing pressure due to imports in rolled products
• Import dependence for Copper concentrate supplies
• COVID-19 causing travel and business disruption and economic volatility
• Global demand for flat rolled products remaining modest in cyclical end markets

Mitigation Strategies

• Sustained focus on cost control, operational efficiencies, and future-proofing the business model
• Downstream strategy of reducing exposure to LME price fluctuations and increasing value-added products
• Approaching the Government for remedial trade measures on imports of rolled products
• Secured concentrate supply via long-term contracts with miners
• Taking actions to manage its business and support its customers while focusing on employee health and safety
• Acquisition of Aleris to provide further product diversification and drive synergies
• Focus on cash conservation and maintaining adequate liquidity

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI

Third-party Assurance: EY

UN Sustainable Development Goals

• SDG 1
• SDG 2
• SDG 3
• SDG 4
• SDG 5
• SDG 6
• SDG 7
• SDG 8
• SDG 9

Community engagement in education, healthcare, sustainable livelihood, infrastructure development, and social reform linked to SDGs

Sustainable Products & Innovation

• Eco-friendly all-aluminium trailer
• Aluminium-foil-laminated jute bags
• World’s first aluminium sheet battery enclosure

Awards & Recognition

• Dow Jones Sustainability Index (DJSI) 2019 in Emerging Markets category
• CII ITC Sustainability Award 2019
• Government of India’s National CSR Award

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• 25% lower energy intensity (Novelis, FY21 vs. FY2007-09 average)
• 26% lower water intensity (Novelis, FY21 vs. FY2007-09 average)
• 40% lower non-dross intensity (Novelis, FY21 vs. FY2007-09 average)
• 31% lower greenhouse gas emissions (Novelis, FY21 vs. FY2007-09 average)
• Increased recycled content from 30% to 61% (Novelis)
• More than 80% of waste recycled/reused (Hindalco)
• 100% of red mud from three alumina refiners reused
• 89.3% of fly ash reused (Hindalco)

Social Achievements

• Zero Harm occupational health and safety program
• Diversity and inclusion initiatives
• Community investment and sustainable livelihood creation
• Commitment to human rights
• New Contractor Safety Management Program implementation

Governance Achievements

• Highest level of values and transparency
• Strict adherence to code of conduct
• Best-in-class corporate governance
• Highest levels of information security/cybersecurity

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Lightweight aluminum trailer and bulker; aluminum bus; aluminum foil-laminated jute bags; aluminum LPG cylinder; aluminum battery enclosures

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Climate Change
• Water Stewardship
• Biodiversity
• Waste Management
• Occupational Safety & Health
• Community Engagement
• Human Rights
• Governance

Environmental Achievements

• 20.21% lower energy consumption (FY2010-11 to FY2020-21)
• 48.26% lower specific freshwater intensity (FY2010-11 to FY2020-21)
• 22.59% lower emissions (FY2010-11 to FY2020-21)
• Around 80% of waste recycled/reused (FY2021)
• 62.3% bauxite residue recycled (FY2021)
• 89.9% fly ash recycled (FY2021)
• Commissioned additional 2.3 MW solar power in 2020, bringing total renewable capacity to 49 MW

Social Achievements

• LTIFR (Lost Time Injury Frequency Rate) of 0.46 in FY2021
• Implementation of serious injuries and fatality prevention programs
• Digital safety initiatives
• Community engagement programs focusing on education, health, sustainable livelihood, infrastructure, and social causes
• COVID-19 response including distribution of masks, sanitizers, and other essential supplies to employees and communities

Governance Achievements

• Adherence to Hindalco Code of Conduct and Clause 49 of Listing Agreements
• Establishment of a Vigil Mechanism
• Three-level governance and compliance structure (Board, Corporate Management Committees, Units/Functional Heads)

Climate Goals & Targets

Environmental Challenges

• Aluminium smelting is energy-intensive and relies on fossil fuels in India
• Bauxite residue (red mud) generation

Mitigation Strategies

• Focus on energy efficiency and clean energy (renewable energy targets)
• Emphasis on recycled content (Novelis' progress)
• Product stewardship for lowering carbon footprint (lightweight materials)
• Bauxite residue utilization (recycling and other uses)

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products

Sustainable Products & Innovation

• Lightweight aluminium trailer and bulker
• Aluminium bus
• Aluminium foil-laminated jute bags
• Aluminium LPG cylinder
• Aluminium battery enclosures

Awards & Recognition

• Inclusion in DJSI Sustainability Yearbook 2021
• S&P Global Gold Class

Environmental Metrics

ESG Focus Areas

• Climate Change
• Biodiversity
• Renewable Energy
• Waste Management
• Safety
• Water Management
• Community Relations
• Human Rights
• Diversity & Inclusion

Environmental Achievements

• Reduced specific energy consumption for aluminum by 20% from base year 2011-12
• Reduced specific GHG emissions for aluminum by 19% from base year 2011-12
• Reduced specific freshwater consumption for aluminum operations by 6% from baseline FY2018-19
• Achieved zero waste to landfill at five sites
• Increased waste utilization by 8 percentage points from FY2020-21 (88% total)
• Increased renewable energy consumption by 54% from FY2021-22 (108 MW capacity)
• Achieved water positivity at Samri Mines

Social Achievements

• Launched 'CareerAbility' program for early-career employees
• Hired over 11,000 employees in FY2022-23
• Increased representation of women in the workforce
• Provided 5.10 million training hours
• Reduced LTIFR by 16%
• Community expenditure of ₹136 crore
• Impacted 2 million+ lives through community development programs

Governance Achievements

• Achieved highest ESG score in the aluminum industry for the third consecutive year (S&P Global Corporate Sustainability Assessment, 83/100 in 2022)
• Integrated ESG parameters into Annual Incentive Scheme

Climate Goals & Targets

Environmental Challenges

• Higher energy costs
• Inflationary pressures
• Supply chain disruptions
• Price volatility of aluminum
• Increased import of aluminum
• Depletion of natural resources
• Solid waste management
• Changes in regulatory requirements
• Shareholder/lender focus on ESG
• Climate change impacts (physical and transition risks)

Mitigation Strategies

• Cost optimization and resource securitization
• Price offset hedging
• Diversifying product portfolio
• Organic expansion of downstream facilities
• Investing in renewable energy (71 MW in execution, targeting 300 MW by 2025)
• Waste management strategy aligned with 5R+1S approach (Reduce, Redesign, Recover, Rehabilitate, Recycle, Storage)
• Water recycling and rainwater harvesting initiatives
• Engaging with government agencies and industry bodies
• Integrating sustainability parameters into AIS
• Climate risk assessments aligned with TCFD
• Developing low-carbon products and decarbonization plans

Supply Chain Management

Supplier Audits: 64% of significant suppliers assessed

Responsible Procurement

• Supplier Code of Conduct
• ESG assessment of suppliers
• Minimum ESG requirements for tenders

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Flooding
• Droughts
• Heat waves

Transition Risks

• Carbon pricing
• Regulatory changes (e.g., CBAM)
• Shifts in demand and supply of materials

Opportunities

• Development of low-carbon products
• Renewable energy integration
• CCUS
• Green hydrogen

Reporting Standards

Frameworks Used: GRI 2021 Universal Standards, BRSR (SEBI), UNGC, SASB, WEF core metrics, UN SDGs, TCFD

Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 50001, AS 9100, EMAS, Aluminium Stewardship Initiative Standards

Third-party Assurance: Ernst & Young Associates LLP (non-financial); Price Waterhouse & Co Chartered Accountants LLP (financial)

UN Sustainable Development Goals

• SDG 4 (Quality Education)
• SDG 6 (Clean Water and Sanitation)
• SDG 7 (Affordable and Clean Energy)
• SDG 8 (Decent Work and Economic Growth)
• SDG 9 (Industry, Innovation and Infrastructure)
• SDG 12 (Responsible Consumption and Production)
• SDG 13 (Climate Action)

CSR initiatives and sustainability efforts aligned with various SDGs

Sustainable Products & Innovation

• Low-carbon aluminum
• Recycled aluminum products
• All-aluminum freight rail rakes
• Lightweight commercial vehicle trailers
• Battery enclosures and foils
• Inner-grooved copper tubes
• Superior copper alloy rods

Awards & Recognition

• Highest ESG score in aluminum industry (S&P Global Corporate Sustainability Assessment)
• Great Place to Work certification
• India’s Best Workplaces in Health & Wellness
• India's Best Employers Among Nation-Builders
• Best Executor Award for Innovative Sustainable Solutions (ABG InnoSol Conference)
• Gussies Award (France) for Best Commercial Passenger Electric Boat

Environmental Metrics

ESG Focus Areas

• climate change
• water stewardship
• waste management
• biodiversity
• community development
• human rights
• diversity & inclusion
• governance

Environmental Achievements

• Reduced specific GHG emissions for aluminium by 19.54% from the base year FY 2011-12
• Reduced specific freshwater consumption for aluminium by 8.46% from FY 2018-19
• Increased cumulative green cover by 4.48%
• 85% waste utilisation
• Zero waste to landfill certifications for 5 plants
• 15 plants and 1 mine certified as single-use-plastic-free zones
• Completed an all-season study under the biodiversity management plan at 12 mines and 9 plants
• Novelis increased recycled input material to 63%
• Commissioned 173 MW of renewable energy projects
• Won Energy Transition Changemaker Award at COP28 for 100 MW round-the-clock carbon-free power initiative for Odisha smelter

Social Achievements

• Improved employee engagement score to 92%
• Reduced LTIFR by 5% to 0.22
• Invested over ₹154 crore in community development projects impacting more than 2.5 million lives
• Increased internal hiring ratio for senior management roles from 59:41 to 75:25 over the past three years
• Women make up 15.6% of management cadre
• Recognised as one of India’s top 10 Best Workplaces in Health and Wellness in 2024

Governance Achievements

• Ranked among the top 1% in the aluminium industry in the S&P global (DJSI) Sustainability Yearbook of 2024 for the third time in a row
• Integrated sustainability parameters into Annual Incentive payout scheme

Climate Goals & Targets

Environmental Challenges

• Increased focus on decarbonisation
• Supply chain risks
• Cybersecurity and data protection risks
• Price volatility of commodities (Aluminium, Copper)
• Changes in regulatory requirements
• Stakeholders' focus on ESG
• Solid waste management
• Increased import of aluminium
• Depletion of natural resources
• Product development strategy risks
• Climate change leading to flooding of plants
• Loss of Biodiversity
• Disruption to mining operations due to extreme weather events
• Regulatory changes related to carbon emissions and environmental standards
• Impact of climate change resulting in water scarcity

Mitigation Strategies

• Developing low-carbon products and implementing decarbonisation plans
• Strengthening supply chain strategy through supplier screening
• Developing an Information Technology Policy and ISO 27001 certification
• Hedging against price fluctuations and diversifying product portfolio
• Engaging with government agencies and industry bodies
• Integrating sustainability parameters into incentive schemes
• Adopting water saving technologies and practices
• Focusing on diversification of product portfolio
• Implementing sustainable mining and processing technologies
• Implementing water management strategies
• Investing in emissions reduction technologies and sustainable mining practices
• Conducting biodiversity impact assessment study and developing management plans
• Implementing early warning systems and developing contingency plans
• Investing in resilient infrastructure and equipment
• Conducting regular assessments to ensure compliance with environmental regulations

Supply Chain Management

Supplier Audits: 56% of significant tier-1 suppliers assessed

Responsible Procurement

• Supplier Code of Conduct
• ESG assessment of suppliers
• Contractor safety management system

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Flooding
• Water scarcity

Transition Risks

• Regulatory changes related to carbon emissions
• Increased focus on decarbonisation

Opportunities

• Increased demand for sustainable aluminium products

Reporting Standards

Frameworks Used: GRI 2021, IR Framework, UNGC, BRSR, SASB, ASI, UN SDGs

Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 27001, ISO 50001, AS 9100, IATF 16949

Third-party Assurance: Bureau Veritas (India) Private Limited

UN Sustainable Development Goals

• SDG 7
• SDG 12
• SDG 13
• SDG 6
• SDG 3
• SDG 8
• SDG 11
• SDG 15
• SDG 17

Initiatives contribute to these goals through various ESG programs

Sustainable Products & Innovation

• Low-carbon aluminium products
• Recycled aluminium products
• High Crystalline Alumina
• Sub-micron Alumina
• Aluminium battery foil
• Battery enclosures
• Inner Grooved Tubes

Awards & Recognition

• S&P Global Sustainability Yearbook 2024 (Top 1%)
• Energy Transition Changemaker Award (COP28)
• 2023 PDMA Outstanding Corporate Innovator Award

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Welfare activities in and around peripheral area including CSR
• Mine Closure & Landscape Restoration
• Community Engagement
• Rehabilitation & Resettlement

Environmental Achievements

• Backfilling /reclamation within mined out pit has been achieved more than 100% as was proposed in the Review of mining plan.
• Rehabilitation over reclaimed area has been achieved more than 100% as was proposed in the Review of mining plan.
• Green belt developed at mine slope area, peripheral barrier, safety zone and other unutilized area which is much more than the proposal.
• Solar plant of 5MW has already been installed since 2018 which is supplying energy to mines and plant. However, another 5 MW plant is in pipeline to be installed at leasehold area.

Social Achievements

• Various CSR and environmental activities in and around the leasehold area with stakeholder and community participation.
• Installation & repairing of Tube Wells & Dug Wells.
• Health check up, medicines, first-aid at mine
• Skill development training on Tailoring, Applique and Light Motor Vehicle Driving
• Remedial Coaching Centers, Financial assistance for Higher Study, Supply of Education Materials, Support of School furniture and fixtures, School Infrastructures like Boundary Wall, Solar System, School Competitions

Governance Achievements

• Public grievance redressal mechanism in place.
• Internal auditing for information submitted.
• QMS (ISO_9001), EMS (ISO-14001), OHSAS (ISO-18001) or ISO 45001 certifications obtained.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: ISO 9001, ISO 14001, ISO 45001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed