Thisbelongs to the Indian businessBiodiversity Initiative of CII. Mahindra and Mahindra Ltd became the premier organizationto join “The Climate Group’s” worldwideprogram, EP100, with a goal to double energy productivity by 2030. In addition,Mahindra & Mahindra Ltd. has declared an internal carbon price to reduceits carbon footprint. Actions like thesehave consolidated the company’s leadership position in the sustainabilityspace. Mahindra & Mahindra, Mahindra Finance and Tech Mahindra has beenlisted on the Carbon Disclosure Leadership Indices along with Tech Mahindrathat has also featured in the A List.
Mahindra Group set an ambitious goal ofplanting 1 million trees every year across the nation to increase India’s greencover and offset national greenhouse gas emissions. M&M has planted2,332,496 trees till date (2007-2016). In the reporting period, energyconsumption stood at 1,633,603GJ compared to 1,528,765 GJ last year. Energysaving of 100000GJ in 2017 was due to installation of heat pump at paint shopand use of energy efficient motors in place of conventional motors.
Due to 360degree water management program, the Mahindra group has achieved a waterpositive status as the water consumption was reduced from 1,541,061m3(2016) to1,356,578m3. Direct saving in municipal water was 1 million in FY 2015-16alone. M&M has eliminated carbon footprint due to paint sludge reuseprocess because 70% of the paint goes on the body shell while remaining 30%goes waste, this paint sludge is hazardous waste and needs to be treatedseparately. Disposal cost saving of the company was 3.03 million.
Together thebusiness saved 100000 plus GJ energy through sustained energy saving initiativein 2016-2017. Mahindra & Mahindra became the first Indian company toannounce its internal carbon price of US$10 per ton of carbon emission. Thecarbon price is aligned with the business commitment to reduce the GHGemissions by 25% over the next three years. Comingto the training part of the employees 2,666 human-hours of training provided toworkmen, 6255 human-hours of training to third party contract workers and 685human hours of training provided to 63 employees from junior, middle and seniormanagement. Project handled by M&M Nanhi Kali, educated 60000 plus girlsacross 12 states of India. We can see decline in waste due to recycling paintsludge by using as an input material for cement industry and recycling paintsludge by using as an input material for cement industry.
The company has a riskof losing Rs. 292.5Cr as there is the litigation in court related to unfairtrade practices. The company has a huge supply chain with thousands ofsuppliers and we are not sure if all the suppliers are screened for potentialhuman right violations. There is a potential risk out of this issue.
Thecompany faces a reputational risk due to recent human rights violations in oneof its group companies M/S Tech Mahindra due to unfair treatment of itsemployees. Company comprises of eight independent directors including awoman director and one non independent director as on 31st March, 2017. The board of the company comprises of elevendirectors as on 31st March, 2017. During the year sixboard meeting were held.
The company also has a lot of CSR activities many of which were implemented by the Companyeven before they were mandated by law. The company is also committed to beingvery transparent in all the activities it does.