CHENNAI: “India now stands committed to reducing its emissions intensity of its GDP by 45 per cent before 2030, about 50 per cent cumulative electric power installed capacity from non-fossil fuel-based energy resources in the same period and also reduce its total projected carbon emissions by 1 billion tonnes,” said Rajeev Ranjan, Director, ICRO, NPC, at the Conference on ESG for Industry Transformation (Environmental – Social – Governance for Atmanirbhar Bharat), organised by the Confederation of Indian Industry (CII) SR on Monday.
“India will also achieve the target of net zero emissions by 2070 as per the Prime Minister’s commitment made by India at the COP 26 meet held in Glasgow”, he added.
“ESG is considered a necessity in Tamil Nadu. Our zero liquid discharge policy and environment compliance standards are far more feasible and impactful when compared to others making the State a preferred destination for positioning viable businesses,” said S Krishnan, Additional Chief Secretary, Industries Department, TN.
“There is now a change in the mindset of businesses when it comes to sustainability and protecting the environment. It is no longer a mere token effort for businesses when it comes to the environment but is more about business continuity. As a State, we do not just promote companies that stands for ESG but also stand by companies by supporting them that complies with ESG norms,” said Pooja Kulkarni, MD-CEO, Guidance, TN.
“The textile industries especially the garment export industry has taken the lead when it comes to ESG. The state’s industrial policy also provides a few subsides and incentives to sunrise industries such as wind and solar manufacturing industries to adopt sustainable initiatives and green initiatives. Furthermore, today, companies are looking to set up plants at locations that supports ESG standards. We have been ranked no 1 consistently because of the initiatives taken by the government pertaining to Environment and Sustainability,” she added. Kamal Bali, Deputy Chairman, CII SR & President & MD, Volvo Group, India said “The future of the world will be driven by industries that follow and embrace ESG. In 2015, a mere 115 companies worldwide had committed to be net zero by 2030 across the world. Today, 3000 companies have signed up. Another indication is the $40 trillion Asset Under Management (AUM) that are linked to ESG globally. In India, the current 7% of AUM is expected to touch 30% by 2030.”
The key for businesses to remain profitable will be based on Green finance projects. It is projected, companies will lose roughly Rs 7 lakh crore if these norms are not followed whereas, companies who get this correctly can add Rs 3 lakh crore to the bottom line, he added. Ravichandran P, Chairman, Sustainability Sub-Committee, CII-SR & President, Danfoss Industries said, “Many businesses are now understanding and accepting ESG as a part of doing business. It is heartening to know India has over 10 billion sq ft of green buildings”.