At Wipro, the implications of climate change are of deep interest and we have been engaged with the multiple questions on this for the past seven years. We have studied and identified risks and opportunities that have the potential to generate a visible change in our business operations, revenue or expenditure. The risks and opportunities have been identified in the context of regulatory changes like introduction of fuel / energy taxes, physical climate parameters like changes in precipitation extremes and droughts, and other climate related developments like increasing humanitarian demands. We have followed a comprehensive approach for identification of risks and opportunities and estimation of their financial implications. Our analysis outcomes are detailed in our response to Carbon Disclosure Project every year. The quantification of some key impacts is provided below. For more information, visit www.cdp.net and search for the Wipro response.
- An aggregate impact of USD 95 Million of increased operational costs over the next five years (2016-17 to 2020-21) on account of increase in electricity and diesel costs due to change in fuel/energy taxes and regulations
- An estimated impact due to employee absence caused due to disruption in city infrastructure and tropical diseases is estimated to be a $ 44.7 Mn. over 5 years.
- An estimated impact of depleting water resources is estimated to be $ 1.3 Mn. over 5 years considering the increase in the cost of private sourcing of water.
- A total financial impact of $ 2.5 Mn. per year and $ 6 Mn. over 5 years considering the increased employee absence from work and increased electricity costs resulting from higher cooling demand respectively due to changes in temperature extremes
- An aggregate revenue opportunity of $ 268 Mn. over the 5 year period, 2016-17 to 20-21 in the spaces of Energy Management Services, Smart Grids and Utility Systems
- The total revenue opportunity of $ 302 Mn. over the 5 year period; $184 Mn. from the finance portfolio which includes solutions in financial modeling/pricing for climate insurance, natural resources valuation, carbon /embedded water trading and $114 Mn. from the healthcare portfolio which includes solutions for health monitoring