Energy Efficiency and GHG Mitigation

Approach

Our approach to energy efficiency and GHG mitigation is centered on the following approach.

A robust mechanism of measuring and reporting performance metrics is a primary requirement to set scientifically valid, traceable and accountable goals. We have standardized the process for accounting of Scope 1 and 2 emissions and have also completed the valuation of externalities (all Scope 3 heads).

Our current emissions target for Scope 1 and 2 is based on SBTi (Science Based Target Initiative) from WRI (World Resources Institute), which runs from 2015-16 to 2019-20; we have suggested targets for 2025 and 2030 also but these will be subject to revision when the next five year target setting exercise is done in 2020. While we have studied and incorporated the WRI framework to the extent that is relevant, our methodology has also been driven by empirical considerations that are more pertinent to the IT industry sector and to India.

Our goals comprise five sub-targets, two on GHG and three on energy:

  • Absolute Scope 1 and2 GHG emissions – Absolute emissions reduction of 35,000 tonnes
  • Energy Intensity in terms of EPI (Energy Performance Index) - Cumulative reduction of 11% in EPI over 5 years
  • GHG Emission Intensity (Scope 1 and Scope 2) on Floor Area (FAR) basis - Cumulative reduction of 33% in GHG intensity from 140 Kg / Sq. Mt (kpsm) to 94 kpsm of CO –eq
  • Renewable Energy (RE)- Doubling renewable energy procurement of 65 Million units in 2015 to a target of 135 Million units in 2019-20

For Energy Efficiency, in line with industry standards, we are shifting from ‘Per Employee’ based metrics to Floor Area (FAR) based metrics. The accepted standard is EPI or Energy Performance Indicator which is equivalent to Energy Per Unit of Floor Area for a defined number of working hours per day.

We have deliberately not set a Carbon Neutral goal or an offset program for reducing Scope emissions due to the externalities involved in most alternatives like embedded carbon and water footprint, land use change and broader ecological and social sustainability issues involved in such programs. For example, mass afforestation of a single species over a large area may help achieve a carbon reduction goal but have a high negative impact on water sustainability, biodiversity and livelihoods. Our focus is on pushing the envelope on operational emission reduction programs across our value chain.

The full trajectory of Wipro targets till 2050 is given below.