PRINCIPLE 6

Businesses should respect and make efforts to protect and restore the environment

Essential Indicators

1. Details of total energy consumption (in Joules or multiples) and energy intensity, in the following format:

Parameter FY 2024 FY 20233
From renewable sources
Total electricity consumption (A)(MJ) 15,38,05,840.2 12,63,22,880.4
Total fuel consumption (B) Nil Nil
Energy consumption through other sources – in kWh (C) Nil Nil
Total energy consumed from renewable sources (A+B+C)(MJ) 15,38,05,840.2 12,63,22,880.4
From non-renewable sources
Total electricity consumption (D)(MJ) 26,06,80,074.0 27,69,78,795.3
Total fuel consumption (E)(MJ) 12,25,20,468.0 11,65,54,115.0
Energy consumption through other sources (F) Nil Nil
Total energy consumed from renewable sources (D+E+F)(MJ) 38,32,00,542.0 39,35,32,910.3
Total energy consumed (A+B+C+D+E+F)(MJ) 53,70,06,382.2 519855790.7
% of energy consumed from renewable sources (Energy consumed through renewable sources (MJ)/total energy consumed (MJ)) 29% 24%
Energy intensity per rupee of turnover (Total energy consumed (MJ)/Revenue from operations (`)) 0.01 0.01
Energy intensity per rupee of turnover adjusted for Purchasing Power Parity (PPP) (Total energy consumed (MJ)/Revenue from operations adjusted for PPP (US$)1 0.1 0.1
Energy intensity in terms of physical output (Total energy consumed (MJ)/physical output (number)) 1.4 1.4
Energy intensity (optional) – the relevant metric may be selected by the entity Not applicable Not applicable
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency Yes, M/S BSI Ltd. M/s KPMG, Ms. EMAS and Ms. Intechnica

1The revenue from operations has been adjusted for PPP based on the latest PPP conversion factor published for the year 2024 is 20.29 & for the year 2023 is 20.20 by International Monetary Fund.
3Numbers for year 2023 are restated due to change in accounting methodology and unit of measurement.
Following Fuel consumption types are included,
1. Fuel consumed in company owned vehicle &
2. Fuel cost reimbursed to employees.

2. Does the entity have any sites/facilities identified as designated consumers (DCs) under the Performance, Achieve and Trade (PAT) Scheme of the Government of India? (Y/N) If yes, disclose whether targets set under the PAT scheme have been achieved. In case targets have not been achieved, provide the remedial action taken, if any

No, the entity doesn’t have any site or facilities identified as Designated Consumers (DCs) under the Performance, Achieve and Trade (PAT) scheme of the Government of India.

3. Provide details of the following disclosures related to water, in the following format:

Parameter FY 20243 FY 2023
Water withdrawal by source (in kilolitres)
(i) Surface water Nil Nil
(ii) Groundwater 1,30,726.0 98,878.0
(iii) Third party water 1,78,165.9 1,55,264.9
(iv) Seawater/desalinated water Nil Nil
(v) Others2 696.0 Nil
Total volume of water withdrawal (in kilolitres) (i + ii + iii + iv + v) 3,09,587.9 2,54,142.9
Total volume of water consumption (in kilolitres) 2,14,211.9 1,74,081.9
Water intensity per rupee of turnover (Total Water consumed (KL)/Revenue from operations (`)) 0.000003 0.000002
Water intensity per rupee of turnover adjusted for Purchasing Power Parity (PPP) (Total water consumption (KL)/Revenue from operations adjusted for PPP (US$))1 0.00005 0.00005
Water intensity in terms of physical output (Total Water consumed (KL)/Physical output (number)) 0.0006 0.0005
Water intensity (optional) – the relevant metric may be selected by the entity Not applicable Not applicable
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency Yes, M/S BSI Ltd. M/s KPMG, Ms. EMAS and Ms. Intechnica

1The revenue from operations has been adjusted for PPP based on the latest PPP conversion factor published for the year 2024 is 20.29 & for the year 2023 is 20.20 by International Monetary Fund.
2In CY2024, Corporate, Regional & sales offices’ water consumption data is added.
2Other includes rainwater harvested from Hosur.

4. Provide the following details related to water discharged:

Parameter FY 2024 FY 2023
Water discharge by destination and level of treatment (in kilolitres)
(i) Surface water
    No treatment 0.0 0.0 0.0 0.0
With treatment – please specify level of treatment 0.0 0.0
(ii) Groundwater
     No treatment 0.0 0.0
With treatment – please specify level of treatment 0.0 0.0
(iii) To Seawater
     No treatment 0.0 0.0
With treatment – please specify level of treatment 0.0 0.0
(iv) Sent to third-partie
     No treatment 0.0 0.0
With treatment –Primary, secondary & tertiary treatment 95,376.0 80,061.0
(v) Others
     No treatment 0.0 0.0
With treatment – please specify level of treatment 0.0 0.0
Total water discharged (in kilolitres) 95,376.0 80,061.0
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency Yes, M/s KPMG, Ms. EMAS and Ms. Intechnica Yes, M/s KPMG, Ms. EMAS and Ms. Intechnica

Treated water is used in gardening, green belt development as per the consent condition in Talegoan, Savli & Hosur plant. Hence total value from this is not accounted in above table.
As per the consent conditions, treated water is partially discharged in the sewers in Maneja plant. This value is reflected in the above table.

5. Has the entity implemented a mechanism for Zero Liquid Discharge? If yes, provide details of its coverage and implementation.

Yes

Three out of the four locations, Talegaon (Pune), Savli (Vadodara) and Hosur are zero discharge plants where the treated water is reused for processes, gardening, etc. At Maneja (Vadodara), wastewater after treatment is partially discharged to the sewage drain which leads to a common effluent treatment facility. Efforts have been made to recover and reuse the treated water back into the facility for gardening. We Implemented reuse of the STP Treated water at noncontact washroom points and Re-use of RO Reject to reduce freshwater consumption.

6. Please provide details of air emissions (other than GHG emissions) by the entity, in the following format::

Parameter Please specify unit1 FY 2024 FY 2023
NOx Metric tonnes 6.4 6.2
SOx Metric tonnes 0.5 0.5
Particulate matter (PM) Metric tonnes 12.2 12.2
Persistent organic pollutants (POP) Metric tonnes Not available Not available
Volatile organic compounds (VOC) Metric tonnes 16.5 13.9
Hazardous air pollutants (HAP) Metric tonnes Not available Not available
Others – please specify Metric tonnes Nil Nil
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency. Yes, Ms. EMAS and Ms. Intechnica Yes, Ms. EMAS and Ms. Intechnica

7. Provide details of greenhouse gas emissions (Scope 1 and Scope 2 emissions) & its intensity, in the following format:

Parameter Please specify unit FY 20244 FY 20233
Total Scope 1 emissions (Break-up of the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if available) tCO2e 8,886.1 8,864.4
Total Scope 2 emissions (Break-up of the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if available)2 tCO2e 0.0 55,088.0
Total Scope 1 and Scope 2 emission intensity per rupee of turnover (Total Scope 1 and Scope 2 emissions (tCO2e)/Revenue from operations (`)) tCO2e/` 0.0000001 0.0000009
Total Scope 1 and Scope 2 emission intensity per rupee of turnover adjusted for Purchasing Power Parity (PPP) (Total Scope 1 and Scope 2 emissions (tCO2e)/Revenue from operations adjusted for PPP (US$))1 tCO2e/$ 0.000002 0.000018
Total Scope 1 and Scope 2 emission intensity in terms of physical output (Total Scope1 and 2 emissions (tCO2e)/total physical output (number)) tCO2e/number 0.00002 0.00018
Total Scope 1 and Scope 2 emission intensity (optional) – the relevant metric may be selected by the entity Units Not applicable Not applicable
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency. Yes, M/S BSI Ltd.
M/s KPMG,
Ms. EMAS
and Ms. Intechnica

1The revenue from operations has been adjusted for PPP based on the latest PPP conversion factor published for the year 2024 is 20.29 & for the year 2023 is 20.20 by International Monetary Fund (IMF).
2Scope 2 emission for year 2024 is zero on account of usage of renewable energy & also company purchased International Renewable energy certificates (iREC) to compensate existing emissions.
3In year 2023, scope 1 emission values have been restated considering refrigerant consumption in GHG calculation. Scope 2 emission is restated due to change in emission factor (India specific Emission factor considered).
4In CY 2024, Corporate, regional & sales offices’ emissions have been included.
Emission factors used for fuels & refrigerants are sourced from IPCC- GHG protocol

8. Does the entity have any project related to reducing Green House Gas emission? If Yes, then provide details.

Yes

Schaeffler India has implemented energy efficiency programmes to reduce energy consumption, resulting in lower emissions and cost savings. Our initiatives on energy efficiency includes Old Chiller replacement, Nova Machine Motor Replacement, Replacement of old Compressors, Bell furnace cover installation to save waste heat due to radiation, reduce air pressure in Jupitormachine, Barrel Heater Jacket Installation on IMD Machine, Exchange Broach Hydraulic motor.
Schaeffler India has achieved 100% renewable energy in year 2024 by purchase of iRECs, through power purchase agreements and installation of rooftop solar panels in plants.
Additionally Schaeffler India has taken concrete measures on reducing the scope1 emission by alternate fuels and converting the conventional type furnaces into modern or electric furnaces to reduce 90% of emissions. The CO2 emission which cannot be reduced will be adjusted by doing carbon offset programme. For details Please refer: Annexure E to directors report: Conservation of energy.

9. Provide details related to waste management by the entity, in the following format:

Parameter FY 2024 FY 20231
Total Waste generated (in metric tonnes)
Plastic waste (A) 316.5 306.5
E-waste (B) 2.8 0.6
Bio-medical waste (C) 0.05 0.19
Construction and demolition waste (D) Nil Nil
Battery waste (E) 11.9 1.5
Radioactive waste (F) Nil Nil
Other Hazardous waste. Please specify, if any. (G) 1,084.8 1,148.0
Other Non-hazardous waste generated (H). Please specify, if any. (Break-up by composition i.e. by materials relevant to the sector)2 29,937.2 26,154.0
Total (A+B + C + D + E + F + G + H) 31,353.2 27,610.8
Waste intensity per rupee of turnover (Total waste generated (MT)/Revenue from operations (`)) 0.0000004 0.0000004
Waste intensity per rupee of turnover adjusted for Purchasing Power Parity (PPP) (Total waste generated (MT)/Revenue from operations adjusted for PPP (US$) 0.000008 0.000008
Waste intensity in terms of physical output (Total waste generated (MT)/physical output (number)) 0.00008 0.00008
Waste intensity (optional) – the relevant metric may be selected by the entity Not applicable Not applicable
For each category of waste generated, total waste recovered through recycling, re-using or other recovery operations (in metric tonnes)
Category of waste
(i) Recycled 30,401.5 26,649.4
(ii) Re-used Nil Nil
(iii) Other recovery operations Nil Nil
Total 30,401.5 26,649.4
Waste intensity (MT of Waste Recycled Recovered/Total Waste generated) 97% 97%
For each category of waste generated, total waste disposed by nature of disposal method (in metric tonnes)
Category of waste
(i) Incineration 315.9 335.3
(ii) Landfilling 137.1 156.5
(iii) Other disposal operations Nil Nil
(iv) Waste sent for co processing 492.1 447.9
Total 945.2 939.8
Waste intensity (MT of Waste disposal/Total Waste generated) 3% 3%
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency. Yes, M/S BSI Ltd. M/s KPMG, Ms. EMAS and Ms. Intechnica

1For year 2023 waste figures are restated due to better accounting practices.
2The major portion of Non – hazardous waste about 82% constitute of metal scrap & castings, which is sent back to steel industry & foundries for recycling.

10. Briefly describe the waste management practices adopted in your establishments. Describe the strategy adopted by your Company to reduce usage of hazardous and toxic chemicals in your products and processes and the practices adopted to manage such wastes.

Schaeffler India has adopted the group EnEHS policy where it states, In principle, the generation of waste should be avoided. The quantities of waste generated must be kept as low as possible and further reduced (e.g. by adapting behaviour or production technologies). If waste cannot be avoided or further reduced, it must be separated in accordance with local legislation and handed over to recycling and disposal companies in the following descending order of priority: Reprocessing, material recovery (recycling), thermal recovery (incineration) and disposal.

Non-hazardous waste constitute mainly of MS scrap & castings is sent back to steel mills & foundries for recycling. Other non-hazardous wastes generated are wood, cartons, paper, gunny bags, plastic wastes and maintenance scraps. Schaeffler India has recycled 30253 MT waste in CY 2024.

Schaeffler India has executed the agreement for preprocessing & coprocessing of the Hazardous waste – ETP Sludge & Grinding sludge with the authorised parties and sent 642 Tonnes of hazardous waste for co-processing in Cement plants.

For the chemicals and substances used in Schaeffler India plants, control system called BAFF, a substance control system which allows only approved substances for controlling the procurement of non-standard and highly toxic chemicals. Schaeffler in the design stage itself considers optimising the design of the product and process in coordination with the Tooling department to reduce the waste generated during production. Register of declarable substance is maintained and compliance with REACh and RoHS standards achieved.

11. If the entity has operations/offices in/around ecologically sensitive areas (such as national parks, wildlife sanctuaries, biosphere reserves, wetlands, biodiversity hotspots, forests, coastal regulation zones etc.) where environmental approvals/clearances are required, please specify details in the following format:

Sl. No. Location of operations/offices Type of operations Whether the conditions of environmental approval/clearance are being complied with? (Y/N) If no, the reasons thereof and corrective action taken, if any
The Company has no operations or offices in or around ecologically sensitive areas.

12. Details of environmental impact assessments of projects undertaken by the entity based on applicable laws, in the current financial year:

Name and brief details of project EIA Notification No. Whether conducted by independent external agency (Yes/No) Results communicated in public domain (Yes/No) Relevant Web link
Not Applicable. As no projects were undertaken by the Company that required to carry out Environmental Impact Assessment

13. Is the entity compliant with the applicable environmental law/regulations/guidelines in India; such as the Water (Prevention and Control of Pollution) Act, Air (Prevention and Control of Pollution) Act, Environment protection act and rules thereunder (Y/N). If not, provide details of all such non-compliances, in the following format:

Yes. We have complied with all applicable laws, regulations and guidelines

Sl. No. Specify the law/regulation/guidelines which was not complied with Provide details of the non-compliance Any fines/penalties/action taken by regulatory agencies such as pollution control boards or by courts Corrective action taken, if any
Nil
Leadership Indicators

1. Water withdrawal, consumption and discharge in areas of water stress (in kilolitres):

For each facility/plant located in areas of water stress, provide the following information:
Schaeffler India operations are not falling under any water stressed areas.
(i) Name of the area
    Schaeffler India operations are not falling under any water stressed areas.

(ii) Nature of operations
    Schaeffler India operations are not falling under any water stressed areas.

(iiI) Water withdrawal, consumption and discharge in the following format:
    Schaeffler India operations are not falling under any water stressed areas. Hence not applicable.

2. Please provide details of total Scope 3 emissions & its intensity, in the following format:

Parameter Unit FY 2024 FY 2023
Total Scope 3 emissions (Break-up of the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if available)* Metric tons of CO2 equivalent 332,223.1 359,006.3
Total Scope 3 emissions per rupee of turnover (Total Scope3 GHG emissions (tCO2e)/Revenue from operations (`)) Units 0.000004 0.000005
Total Scope 3 emission intensity (in terms of physical output) – (Total Scope3 emissions (tCO2e)/total physical output (number)) Units 0.000869 0.000994
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of the external agency Yes, M/s KPMG, Ms. EMAS and Ms. Intechnica

Note: Upstream Scope 3.1: Purchase of goods and services has been evaluated.

3. With respect to the ecologically sensitive areas Data Needed at Question 10 of Essential Indicators above, provide details of significant direct & indirect impact of the entity on biodiversity in such areas along-with prevention and remediation activities.

Even though our operations are not situated in ecologically sensitive areas, we make a conscious effort to conserve and sustain local biodiversity around our operations. E.g. Green belt development to increase the biodiversity within the premises, lake development activities in the villages surrounding the plant.

4. If the entity has undertaken any specific initiatives or used innovative technology or solutions to improve resource efficiency, or reduce impact due to emissions/ effluent discharge/waste generated, please provide details of the same as well as outcome of such initiatives, as per the following format:

Sl.No Initiative undertaken Details of the initiative (Web-link, if any, may be provided along-with summary) Outcome of the initiative
1. Renewable Energy Purchased iRECs Renewable energy sources consist of RE from PPA & generation from internal Solar Photovoltaic (PV). To offset emissions from the grey power, International Renewable Energy Certificates (iRECs) have been purchased.
2. Energy Efficiency Old Chiller replacement, Nova Machine Motor Replacement, Replacement of old Compressors, Bell furnace cover installation to save waste heat due to radiation, reduce air pressure in Jupitormachine, Barrel Heater Jacket Installation on IMD Machine, Exchange Broach Hydraulic motor 0.91 GWh savings achieved
3. Fresh water withdrawal Generation of process DM water using Treated STP water, Reduce water consumption of cooling tower by reducing daily blow-down water quantity, Treated water reuse in de-oiler & poly dosing tank 14,782 m3 achieved
4. Zero Waste to landfill Hazardous waste sent for Co-Processing 642 tonnes of Hazardous waste sent for Co-procession material to cement industry

5. Does the entity have a business continuity and disaster management plan? Give details in 100 words/web-link.

Yes, Schaeffler India has Business Continuity, contingency and crisis management policy, where its primary objective is to provide basic regulations for Business Continuity, in particular for Contingency Management with focus on hazard prevention and maintaining customer supply, and for Crisis Management. All employees within the scope of the policy are required to follow it. Schaeffler India has established several escalation stages, which are disruption, emergency, emergency with crisis potential, local/regional crisis, and crisis. It is mandatory to report any situation that does not meet the criteria of these stages. The purpose of having a plan is to develop a more proactive, comprehensive, and integrated approach to strengthen our ability to prepare for, mitigate, and respond to disasters that may occur. We have the highest standards of IT security and systems. We also have a robust information technology disaster recovery plan in conjunction with the business continuity plan. We follow our Schaeffler procedure “Contingency Management with Focus on the Ability to Supply” available in the Management Handbook (Internal document). Our procedure specifies what production and distribution at the site as well as relevant support/service functions must do to be able to continue customer supply in the event of resource outages or other defined situations with emergency potential. This Group procedure (P) regulates the technical, organisational, environmental and safety-oriented measures and the responsible areas/departments for preventing hazards to persons and equipment and ensuring that contact with the customer is maintained and the customer is supplied with goods and services even in contingency situations. In addition we have Risk management system in place where we report potential risk with valuation criteria and also action plan is defined to mitigate those risk.

6. Disclose any significant adverse impact to the environment, arising from the value chain of the entity. What mitigation or adaptation measures have been taken by the entity in this regard.

As a responsible organization Schaeffler India has an ambitious target of becoming climate neutral in the supply chain (upstream - Scope 3) by 2040.

We have taken various measure to mitigate and reduce the impact on the environment such as:

  • Sustainable supply chain with 62% of suppliers have been evaluated on SAQ,
  • Reduction of the emission by optimising the transportation by implementing the CDC’s (consolidated distribution centre-warehouse)
  • Schaeffler India is working with customers to implement returnable packaging to reduce the packaging wastes.

7. Percentage of value chain partners (by value of business done with such partners) that were assessed for environmental impacts.

We have assessed 62% of our production material suppliers through Schaeffler Self-Assessment Questionnaire (SAQ). SAQ covering various aspects such as environmental impacts and certifications. Schaeffler encouraging all suppliers for better environmental practices through ISO 14001 certifications.

No. of value chain partners that were assessed % of value chain partners (by value of business done with such partners) that were assessed Disclose any significant adverse impact to the environment, arising from the value chain of the entity. What mitigation or adaptation measures have been taken by the entity in this regard
193 62% No negative environmental impacts on its value chain