Bombay: Larsen & Toubro, India’s leading EPC, high-tech manufacturing and services conglomerate, today reaffirmed its commitment to integrating its ESG goals with business goals and strives to become a ‘Net Zero’ company. A net zero business achieves a state in which business activities result in no net climate impact of greenhouse gas emissions, achieves a sustainable balance between water availability and demand, and eliminates waste solids sent to landfills.
This launched its fourth integrated report, “Sustainable progress for a better world”, a comprehensive document that communicates the strategy, governance, performance and outlook of the organization in a context of external environment and value creation.
Over the years, L&T has focused on ESG parameters such as climate management, circular economy, green offerings, green supply chain, social and employee protection, human health and safety. staff. Climate variability across the world has become one of the greatest risks of the 21st century. Operating primarily in the construction and engineering sector prone to climate change, L&T integrates climate related policies including NAPCC, TCFD and other similar guidelines into its activities.
The company aims to become a leader in these fields with improved resource efficiency and conservation of vital natural resources. More than 10% of the total electricity consumed by the company comes from renewable sources. In total, the company has saved 128 million kWh of energy since 2008, which is equivalent to powering 60,000 homes for a year. Through energy conservation measures and renewable energies, the company avoided 33,500 tonnes of CO2 emissions in fiscal year 21.
On the water management front, L&T has excelled over the years. 57% of wastewater is recycled and reused during FY21. The company also focused on recycling materials. Since 2008, the company has used a total of 43,068 tonnes of recycled steel and 2.4 million tonnes of fly ash. Today, 22% of its raw materials come from recycled or environmentally friendly sources. Its green offers at INR 277 billion represent 29.6% of its turnover. One of the main areas of focus is nature conservation and the promotion of biodiversity, and L&T has been planting trees for over a decade. The company has urban forests at 6 sites and 150,000 mature trees on various company campuses. During the year, he planted nearly one million saplings and a total of 3.3 million trees. Likewise, on the security front, the company focuses on high-risk activities and a number of measures, including the use of digital AI technologies, have helped to significantly improve security performance.
Creation of sustainable value
The aim of L & T’s strategy is to create value for its shareholders, investors, customers, employees and societal stakeholders through economic benefits, meeting social obligations and ecological sustainability while promoting the L&T brand. This holistic and integrated approach is applied to its value creation model based on the 6 capitals – financial capital, manufactured capital, intellectual capital, human capital, natural capital and social and relational capital. In the 6 capitals, the company strives to continuously improve people, the planet and profit.
As India’s leading EPC, manufacturing and high-tech services conglomerate, L&T uses technology and innovation to achieve sustainable growth. Digital chipsets for tracking and monitoring assets; and geospatial technology, LiDAR and drone surveys have helped L&T capture and monitor site data remotely during the lockdown. L & T’s green offerings include projects integrating cutting-edge technology, solutions focused on renewable energy, water, effluent treatment plants, efficient power distribution, transit systems and green buildings.
People at Heart – Social
Socially, the company touched the lives of 1.2 million people in the community and spent Rs. 150 Cr. for education, health, skills development and water and sanitation. In addition, Mindtree, LTI, L&T Technology Services (LTTS) and L&T Finance Holdings (LTFH) contributed Rs. 80 Crore towards CSR during the year. In addition, at the group level, it contributed Rs 150 Crore to the PM CARES fund at the start of the pandemic, and an additional Rs 39 Crore was then allocated to Covid care initiatives.
The L&T workforce played a key role in driving seamless operations during COVID-19 and delivering projects efficiently on schedule. L&T continually strives to create a supportive work environment that encourages lifelong learning, promotes inclusion and equality, and ensures a healthy and safe workplace.
Carbon and water neutrality commitments
Taking its ambition to the next level, the company undertakes major objectives related to climate change and water security. The company aims to achieve carbon neutrality by 2040, before the expiry of the Paris Agreement of 2050, and water neutrality by 2035.
Key L&T subsidiaries such as Mindtree, LTI, LTTS and LTFH are also taking significant steps and ambitious targets in these areas. Mindtree, LTI and LTTS have set a goal of becoming carbon neutral and water neutral by 2030. Likewise, LTFH has set a target of becoming carbon neutral by 2035.
Commenting on the occasion, Mr. SN Subrahmanyan, CEO and Managing Director of L&T, said, “We reaffirm our ESG vision, policies, frameworks, roadmaps and action plans. Our ESG roadmap will align with our five-year strategic plan – Lakshya 2026, and will reflect our commitment to climate leadership, water management, circular economy, green supply chain, biodiversity and offerings. green. In line with the global push on ESG, we are preparing for a radical shift in our ambitions to reach new heights. “
L&T companies spanning critical industries will not only help meet critical business demands, but also improve people’s quality of life in multiple ways and create long-term value for stakeholders.
Larsen & Toubro is an Indian multinational engaged in EPC projects, manufacturing and high tech services. It operates in more than 50 countries around the world. A strong, customer-centric approach and constant pursuit of top-notch quality have enabled L&T to achieve and maintain leadership in its core lines of business for eight decades.