Our GHG mitigation strategy consists of two key elements -
Of these, strategic RE procurement will contribute the maximum to GHG emission reductions.
The visual below depicts a graphic representation of this strategy for the reporting year.
Over the preceding five year period, we have implemented a variety of energy efficiency measures.
- Green Buildings: We were one of the early adopters of Green Building Design with 19 of our current buildings certified to the international LEED standard (Silver, Gold, and Platinum).
- Server virtualization: Since 2007, we have been working on a server rationalization and virtualization program, through which we have decommissioned old physical servers and replaced the processing capacity with virtualization technology on fewer numbers of servers. As of March 2016, we have 2088 virtual servers running on 147 physical servers – contributing to an energy savings of approximately 9 Million units annually, an increase of 3% over the previous year. This assumes a saving of 0.75 KW/hour for every physical server avoided. This, we believe, is a conservative estimate considering that many servers run for 7 days a week and the power rating ranges from 0.75 Kw to 1 Kw (we have considered the lower power rating for the savings estimate calculation).
- Operational Efficiency Measures: Over the years, significant focus has been given to reduce the energy consumption of our locations by bringing in various operational efficiency measures in our operation. Examples include switching over to energy efficient lighting across our campuses, automating our utility operations, correcting our design inefficiency through regular audits.
- Strategic procurement: For the reporting period of 15-16, we procured 75 Mn. units of Renewable energy through the PPAs (Power Purchase agreements) with private producers, which amounted to approximately 23% of our total office space energy consumption. However this fell short of our target of 82 Mn units for the reporting year. The mainstay of accessing RE for open access consumers like us has been through direct power purchase agreement from producers in select states. Each state in India has its own regulatory mechanisms in allowing open access- this is driven by either the distribution company’s finances or the infrastructure not being in place to enable large scale evacuation and storage of renewable power. This has led to a gap in meeting our renewables targets. Our assessment is that it will take a few years before the market matures. In order to avoid double accounting, we have taken adequate steps by including non-tradability of Renewable Energy Certificate (REC) for contracted power through contracts and including verification of generation in the regulators national REC registry.
- In-situ renewable energy use: The pilot rooftop Solar PV installations at 3 of our campuses followed by extensive use of solar water heaters in our guest blocks and cafeterias have resulted in equivalent savings of 1.3 Mn units of grid electricity.
Business Travel and Commute:
The IT services outsourcing model require frequent travel to customer location overseas, across the delivery life cycle. Business Travel and Employee Commute together contribute to around 21% of our overall emissions footprint. Policies on usage of different modes of travel based on distance and time taken, need based travel approval and shift towards processes which enable travel planning by employees are some of the cost and process optimization measures implemented over past few years.
Employees have various choices for commuting informed primarily by distance, flexibility, work timings, costs, city infrastructure and connectivity in the case of group or public transport. In addition to company arranged transport (30-37%), more than 45% of employees utilize public transport.