UltraTech Cement Limited

Aditya Birla Group US $35 billion Indias largest manufacturer of cement Worlds 10th largest manufacturer of cement Founded in 1983 22 cement plants in India 48.75 Million Tonnes Per Annum(MTPA) Countrys largest clinker exporter Birla White , UltraTech Concrete , UltraTech Building Solutions

UltraTech Driving Corporate Sustainability

UltraTech is a responsible Corporate citizen
Approach towards Sustainable Development i.e.

sharing the fruits of growth with all stakeholders

Member of Cement Sustainability Initiative (CSI) of

World Business Council for Sustainable Development intensity, at a rate of 0.5 per cent annually, up to 201516

Set a target of 2.96% reduction in CO2 emission

TRIPLE BOTTOM LINE PERFORMANCE

Accounting framework that incorporates three

dimensions of performance: social, environmental and financial

Also commonly called the three Ps: people, planet and

profits.
UltraTech Places equal emphasis on Triple Bottom

Line dimensions

Social Contribution
Healthcare and family welfare:

4,16,415 beneficiaries of UltraTechs health and medical facilities from the camps and awareness programmes conducted between 2008-2010 Over 1,62,843 children immunized against polio Water Programmes at Sambhupura, Malkhed, Reddipalyam, Tadipatri, Hirmi, Awarpur, Kovaya, Ratnagiri,etc, 40,000 people access clean drinking water.

Education: 75,769 students benefitted from the organisations education and

training activities from 2008-2010 Support the cause of Girl Child education through engagement with the Kasturba Gandhi Balika Vidhyalayas (KGBV) Infrastructure and watershed management: 371 houses built for poor people during 2008-2010 12 ponds and 19 check dams were repaired / built at Jafrabad, Awarpur, Hirmi, Malkhed, Kovaya and other districts

Self Help Groups and Income Generation: 293 self-help groups empower 3,626 women financially and socially.

Environmental Contribution
2.88% of Net Specific CO2 Emission has been reduced

during the period 2008-2010 1.6 million GJ of energy has been produced through alternative fuels (excluding petcoke) during 2008-2010 Waste materials constitute 14.64% of the total Raw Materials consumed in 2009-10 A freshwater lake over 6.51 hectares created in the mined-out pits after the extraction of limestone in the plant located at Jafrabad, Gujarat The company has initiated an afforestation programme on 9.6 hectares of land under its Kovaya, Gujarat plant

Economic Contribution

Net revenue crossed `Rs. 172.0 billion in 2008-09 and touched` Rs. 194.44 billion in 2009-10 Net profit stood at `Rs. 21.13 billion in 2008-09 and at `Rs. 25.09 billion in 2009-10

SUSTAINABILITY CHALLENGES
The merged entity has the following capacities: 48.8 million tpa of grey cement and 0.55 tpa white cement across 22 plants 504 MW of captive thermal power plants 13.6 million cubic meters of ready-mix concrete across 70 plants All this requires heavy reliance on natural resources and electricity (energy)

TOP MATERIAL ISSUES

Waste Management

Energy Management
Water Conservation Biodiversity Management

Aorestation
Reduction in Emissions

WASTE MANAGEMENT
Reduction in coal used by resorting to alternate fuel

sources Utilization of various other industry waste materials Energy harnessing out of the generated waste Reduction in consumption of packaging material

ENERGY MANAGEMENT
Usage of energy management systems across all the plants Energy efficient technologies and tinkering with existing

equipments for higher efficiency Waste management coupled with energy management to produce Non-Fossil Energy

WATER MANAGEMENT
Rain water harvesting carried out Zero water discharge practiced at all Cement and RMC

factories

AFFORESTATION
Planning and implementing Green Belt initiatives
Land reclamation and lake construction

REDUCTION IN CO2 EMMISSIONS

Focus on renewable energy Installation of waste heat recovery systems Use of alternate fuels

BIO-DIVERSITY CONSERVATION
Suspension of all operational activities from the

protected zones

KEY PERFORMANCE INDICES

Stakeholder Engagement and Expectations

Customers
Key Expectations: Availability, Service, Packaging Survey Methods: Interviews through 3rd party,

Feedback received by Customer Care Frequency of Surveys: Quarterly

Employees
Key Expectations: Communication, training and

development, Career management, Role clarity, Employee benefits Survey Frequency: Annual

Shareholders and lenders

Key Expectations: Growth and financial returns, Corporate Governance, Compliance to Equator principle Survey Methods: Registrar and Transfer agent (RTA) appointed by company attends to shareholders grievance in consultation with the company, direct feedback through exclusive e-mail id set up by company for this purpose, one to one meeting with large investors and lenders Survey Frequency: Annual

Regulatory Authorities
Key Expectations: Active participation, Prompt

compliance of regulatory requirements Survey Method: One to one meeting Survey Frequency: Biennial

Suppliers and contractors

Key Expectations: Transparency, Share Technological

developments, Feedback, Recognition Survey Methods: Periodic Vendor Evaluation, Periodic Vendor Meetings (ad-hoc),Direct interaction through site visits.

Local Community
Key Expectations: Support in Health, Education,

Employment generation and infrastructure Survey Methods: Periodic surveys (ad-hoc), Personal interaction.

DOMESTIC COMPETITIORS
ACC CEMENT
Revenue generated Rs. 8074.26crores in 2010.Net profit Rs.1120

crores Installed two online continuous emission monitoring system (CEMS) for the kilns in Gagal plant. Specific CO2 emission reduced from 552.17 kg CO2/tonne of cementious material in 2009 to 549.15 in 2010 By way of co-processing of waste material, saved Rs. 47 Crores in 2010 4825 people are trained in water harvesting in rural areas 289 Self Help Groups (SHG)of women, thereby benefitting nearly 2898 women.

 AMBUJA CEMENT
Sales : Rs. 7390 crores Net profit : Rs. 1264 crores 19.8 % of total raw materials consumed is recycled material With energy efficiency improvements specific electrical energy

consumption declined by 3.23 % as compared to 2008. Created rain waterrecharge potential of around 7850 Million Litres Skills and Entrepreneurship, Development Institutes, NonFormal Education programmes organized to achieve universal education KrishiVigyan Kendra, Systematic Rice Intensification, Wadi cultivation undertaken to eradicated hunger

PRACTICES FOLLOWED BY GLOBAL PLAYERS

CEMEX

In 2011, 10,964 tons of hazardous waste disposal reduction. Established 16 new productive centers of self employment benefiting 44000 families in 2011. PatrimonioHoy: A project to give financial and technical assistance to low income families to construct their homes. 353,856 benefitted till 2011 since its inception in 1998.

 CIMPOR Professional training of women (weaving and

embroidery, data processing, etc) Vaccination and child health programs for local communities Construction and renovation of the toilet facilities of rural schools PESCAR project: Providing vocational training to young people. Many of these people are eventually hired by Cimpor.

 HEIDELBERG CEMENT Set up two public private partnerships (one in Georgia

and one in Tanzania) to actively help restore natural habitats to their former state. Emergency aid in 2010 after volcano eruption in Indonesia. Organized health promoting activities in Gorazdze, Poland. Contributed material for building and maintaining schools and hospitals in and around the areas where it operates. Financial support to schools and hospitals in and around the areas where it operates.

CRITICAL ANALYSIS
POSITIVES: Local impact issues addressed successfully Reduction in the raw materials/tonne cement produced and increase of recycled materials Effective water conservation methods Stakeholders expectations met Excellent waste management techniques

NEGATIVES Specific CO2 emissions (kg/tonne of cement) increased in FY 2011-12 as compared to FY 2010-11
Health and safety statistics are not improving Increase in the emissions of certain gases/tonne

cement produced over the previous year.

CONCLUSION AND RECOMMENDATIONS

UltraTech is a sustainable organization, given the nature of its

reliance on natural resources Continuous and ongoing improvements going on to conserve the environment Establish vocational schools and skill development centres to train the people, in required domain and then hire as employees Affordable houses for poor Manufacture of environment friendly blended cements Reduction in HCl fumes by efficient use of altternative fuels Investment in Research and development in field of alternative fuels and eco-efficient raw materials

THANKYOU