'Sustainability' is of prime importance on the Essar agenda, making it imperative for the company to institute consolidated sustainability efforts at the business level. Across the company, consequently, every member-company, plant and office has undertaken to integrate measures for sustainability in their businesses.
Our Sustainability Strategy
Like us, many large corporates have adopted an integrated approach towards sustainability. A business like ours is very diverse in the sectors that it encompasses and the geographies it operates in. Consequently each business has a different impact on the planet and the people surrounding its operations. Hence each business has adopted a strategy to suit the sector and the geography with clearly identified short, mid and long term goals. Barring a few organizations in India, most of the businesses are reporting their non-financial performance at the company level. Since each business of ours has a different impact we have taken conscientious decision to periodically report our performance by business instead of reporting at the company level. It not only allows each business to benchmark its performance with its peers but also gives our stakeholders a chance to review our performance against individual targets on a year on year basis.
Each of our businesses has been measuring and reviewing performance on a regular basis. They have identified key sustainability issues and have set short, mid and long term goals. Business performance against yearly targets can be seen in our various sustainability reports. Our stakeholders will find systematic improvement in our performance over time. For instance,
- Sustainability has been adopted as a board room agenda by Shipping and Energy businesses
- Shipping has recorded an increase of nearly 4.5% in modal shift i.e. moving greater volumes of cargo by sea that was once carried by trucks on the road.
- Essar Steel has been able to meet global standards in water usage of 2.06 m3 per tonne of crude steel
- Essar Power has two registered CDM projects accounting for over 4.4 million certified emission reduction (CERs) on a cumulative basis
- Essar Energy's community engagement initiatives in Vadinar and Raniganj benefited over 115,000 community members last year
- Essar Steel touched over 180,000 lives through its community engagement initiatives in Hazira, Kirandul, Vizag and Paradip
In addition our sustainability efforts have been externally recognized from time to time. For instance,
- Essar Steel ranked 2nd among 21 steelmakers in India by the Centre for Science and Environment last year.
- Essar Steel was declared as a winner of Financial Express – Emergent Ventures India Green Business Leadership Awards in the metals sector
- Essar Oil was awarded Petrofed of the year award for production and operational efficiency
- Essar Shipping received special recognition for its unique initiatives for promoting sustainability, combating climate change and promoting disclosure of non-financial performance by Financial Express – Emergent Ventures India
- Essar Steel was awarded the Corporate Sustainability Stewardship Award for Resource Conservation Leadership by Sustainability Outlook
Essar Energy follows accounting and disclosure norms for emissions that could exacerbate greenhouse gases. Currently, it also regularly monitors the health of corals, mangroves and associated ecosystems along the coast of Vadinar, where the refinery and power generation plant is located. Essar Power has also two registered CDM projects at UNFCCC.