Tata Power tops CRISIL’s ESG Scores for power companies in India; Stock ends 2% up

ESG adherence being Tata Power’s core philosophy and drives its business strategy.

Jul 29, 2021 05:07 IST India Infoline News Service

Tata Power
Tata Power on Thursday announced that the company secured the highest score among its peers in the Indian Power sector in CRISIL’s, recently launched environmental, social and governance (ESG) scores. CRISIL, an S&P Global Company, is India’s foremost provider of ratings, data, research, analytics, and solutions.

The company is committed to its vision to empower a billion lives through sustainable, affordable and innovative energy and has fared well on all ESG parameters viz. Environmental, Social and Governance and scored an impressive 67 out of 100. The company has scored 61 on
environmental parameters and 60 and 77 on social and governance parameters, respectively. This assessment was made voluntarily by CRISIL and is based on publicly available information.

“It is a proud moment for us to achieve such high scores and to emerge as the leading ESG focused company in the Indian power sector. We would like to thank CRISIL for honoring our efforts. These scores are a testament of our realigned business model with new ESG trends, which are niche as well as scalable, to harness sustainable growth.” said Dr. Praveer Sinha, CEO & Managing Director, Tata Power.

ESG adherence being Tata Power’s core philosophy and drives its business strategy. It leads its way in the development of the company’s clean energy portfolio, decides its social innovations, and governance protocols. ESG is the company’s bridge to action and provides it with a lens through which it can translate organisational needs and ambitions into responsible business solutions while moving towards a sustainable and inclusive development path.

As a part of its 2.0 business plan, Tata Power is focusing especially on the environmental pillar and has taken bold decisions towards no coal-based expansion on the generation side, expansion of renewable footprints (80% by 2030 from 30 % currently) through utility business;
development of robust EV charging infrastructure in the country et al. The company is confident of achieving carbon neutrality much before 2050 and aspires to become a global leader in Utility Sustainability  practices. It has also developed a clear roadmap to achieve 100 % water
neutrality and Zero waste to landfills by 2026.

CRISIL, in its recent report, announced the ESG scores of 225 companies across 18 sectors in India factoring in their track record and disclosure standards. This includes a relative pansectoral assessment of all material ESG parameters relevant in the Indian context and is based on information available in the public domain and third-party providers.

The scores are based on CRISIL’s proprietary framework and are assigned on a scale of 1-100, with 100 denoting best-in-class ESG performance. The current evaluation analyses three annual reporting cycles through fiscal 2020.

Tata Power has also identified key focus areas viz renewable footprints, carbon emission, resource availability, waste management, biodiversity, et al. The Company has also set its emission reduction targets in alignment with the Science-Based Targets initiative (SBTi).

On Sensex, Tata Power closed at Rs122.80 per piece up 2%. 

Related Story

Open Free Demat Account (Rs699)