Godrej Sustainability Report

ENERGY G&B believes that energy is the most important aspect for nation building and a vital gear for driving a greener and cleaner future. The Company is entrenching an energy efficient culture through improved operational efficiencies, energy conservation mechanisms and increased focus on inclusion of renewable sources into the energy mix. G&B Good & Green goal is to reduce specific energy consumption by 40% and increase renewable energy share by 30% by 2020 across all manufacturing locations. Fuel consumed includes high speed diesel, piped natural gas, liquefied petroleum gas, furnace oil, biomass energy, energy from grid electricity and solar energy. Energy management has assumed a large role in sustainable and inclusive growth at Godrej & Boyce. With humble beginnings as an energy conservation cell way back in 1980, new dimensions such as green certification, carbon foot printing and sustainability reporting have been added. The Vikhroli manufacturing facility has maintained unity power factor for more than two decades, resulting in substantial cost savings. G&B is conscious of the preparedness required to meet the potential future scenarios related to energy consumption. In line with its commitment, the Company invested INR 67 million during the reporting period in various energy efficiency initiatives that resulted in savings of over 21 lakh kWh of electricity per annum. Key initiatives were related to optimisation of Heating, ventilation, and air conditioning (HVAC), Compressed air system, Pumps and motors, Variable Frequency Drive (VFD) and lighting, among others. Energy Performance Energy Efficiency and Reduction of energy requirements of products and services B. APPLIANCES DIVISION - MOHALI UNIT With an ever-increasing demand for more energy efficient appliances, efforts are being made every year to improve the efficiency of the Company’s products and its components. The Company is using induction motors for manufacturing our compressors. Induction motors were bigger in size and less efficient when compared to brushless drive motors. To improve the energy efficiency of refrigerator, variable speed compressor with BLDC motor replaced the existing the fixed speed compressor with AC motors. Weight of rotor and stator was reduced from 5,573 grams to 4,071 grams which brought down the weight of compressor by almost 1,500 grams. This project not only resulted in savings of almost 331 MT of material in 2018-19, but also improved the efficiency of refrigerator. Reduction in weight of Compressor by replacing induction type motor with BLDC motor Introduction of mini compressors was another benchmark in the Company’s continuous efforts of providing customers with reliable and more efficient products. This project reduced the weight of compressor from 7700 grams to 4300 grams, resulting in 44.2% weight reduction of the existing compressor. For implementation of this project, Introduction of Mini Compressors Studies suggests that thermocol is non-bio degradable and takes lot time to degrade naturally in the environment. Hence, thermocol is burnt to reduce the waste but incinerating thermocol is more harmful than littering those in our environment. To control this environmental effect, the Company undertook several projects aiming to reduce thermocol consumption in its product packing. In one of the projects, thermocol packing of washing machine was optimised by reducing the weight of thermocol bottom cushion by 430 grams, while retaining to quality and necessity of packaging. After implementation this project, 52.3 MT of thermocol was eliminated prom packaginf. Another project taken for reduction in thermocol usage in washing machine packing was to optimise the weight of washing machine top cushion. This project successfully reduced the weight of top cushion from 503.3 grams to 449.4 grams, optimizing the weight by 11%. Reduction in EPS consumption by optimising the weight of EPS in washing machine packing and investment of INR 120 lacs was made, which eventually led to savings of INR 173 lacs in a year, along with a total material saving of 692 MT in a year. FY 2016-17 FY 2017-18 FY 2018-19 Total energy consumption (in GJ) Energy intensity (GJ/MVA) Energy intensity reduction from base year FY 2010-11 ( %) 6,65,268 6,87,901 315 276 38% 42% 7,44,322 251 43% 38