Sustainability Report 2010

Environmental Performance

•  ITC's Triple Bottom Line

Climate Change and Sustainable Development

Minimising Carbon Intensity and Adopting A Low Carbon Growth Path

Energy Consumption within ITC across Businesses in 2009-10

The Centre for Science and Environment, New Delhi has rated the Paperboards and Specialty Papers Unit at Bhadrachalam as the most energy efficient factory of its type in the country (reference: Green Rating Project, 2009). This Unit has further reduced its specific energy consumption by 2.5% over 2008-2009.

In 2009-2010, the Tribeni Unit of the Paperboards and Specialty Papers business, achieved a reduction of 9% over the last year, with specific energy consumption of 71.04 Giga Joule/ Tonnes (GJ/T).

The wastepaper based Paperboards Unit at Kovai, used 18.98 GJ/T in the current year; an improvement of 4.8% over the last year (19.94 GJ/T in 2008- 2009).

A more focused approach on energy conservation through rigorous third party audits and the implementation of their recommendations have resulted in substantial improvement in specific energy performance at both the Personal Care Products and the Foods Business Units at Haridwar, as illustrated below:

The Cigarette business, in 2009-2010, utilised 6.07 Giga Joules of energy per million cigarettes (equivalent) [5.77 GJ/ Million Cigarette (eq.) in 2008-2009]. This was due to decreased production volumes. The largest cigarette manufacturing Unit of ITC at Bengaluru, however, reduced its specific energy consumption from 8.46 to 7.72 GJ/ Million Cigarettes (equivalent), a reduction of 8.7% over the last year. This is comparable with international benchmarks on specific energy consumption for cigarette businesses.

Both the Leaf-Threshing Units in Chirala and Anaparti have also reduced their specific energy consumption by 9.7% and 16.3%, respectively, over the previous year.

In the Hotels Division, significant improvements in specific energy consumption have been achieved by ITC Hotel Windsor (22.6%), Sheraton Hotels New Delhi (17.3%), Rajputana (9.8%) and Chola (7.5%).

Additional details of energy conservation measures implemented by various ITC Units are available at www.itcportal.com under Reports & Accounts 2010.

We have identified several Clean Development Mechanism (CDM) projects under the Kyoto Protocol. The Certified Emission Reductions (CERs) generated by the eight projects registered with UNFCCC (United Nations Framework Convention on Climate Change) have helped offset some of the investments made towards reducing specific energy consumption and enhancing our renewable energy portfolio.

ITC has also been successful in registering its large-scale social forestry project, the first of its kind in India, with retrospective Carbon credits, which is expected to provide additional returns to the farmers. Several other projects are in the process of being registered.