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Home Sustainability

Sustainability: Cipla to become carbon neutrality and water positive by 2025

India CSR by India CSR
August 28, 2021
in Sustainability
Reading Time: 5 mins read
CSR: Cipla spends Rs. 36 Cr towards community development projects in FY 2020

CSR: Cipla spends Rs. 36 Cr towards community development projects in FY 2020

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Cipla Limited, an 86-year-old global pharmaceutical company has set a sustainability goal to become carbon neutral and water positive by 2025, aiming to replenish more water than the company uses.

The company established in 1935 is committed to achieving carbon and water neutrality by 2025.

“At Cipla, we believe in living by our ethos of contributing towards a greener environment and sustainable value creation. We recognise the impact of our business activities on the environment and consistently strive to ensure responsible environmental management and conservation to encourage sustainable profits for people and the planet. This year, we set for ourselves bold aspirations towards our sustainability journey.”, the company said in its latest annual report. 

This year, the company sets for its bold aspirations towards its sustainability journey: 

  • Carbon Neutrality
  • Water Neutrality
  • Zero Waste to Landfill
  • AMR Stewardship
  • Green Chemistry & Making it Right
  • The wellbeing of employees and partners

Water management

Water is a critical resource essential for the sustenance of life and health. Its management and conservation are crucial aspects of Natural Capital management at Cipla. It has set a target to become water neutral by 2025. Its approach to water neutrality rests on three pillars, i.e., to reduce the usage of blue water, enhance the use of rainwater and treated water, and support communities through water conservation programs.

  • 30 MW captive solar plant commissioned in FY 2020-21
  • 1,864 TJ of energy consumed
  • 19,98,811.63 KL of water used for manufacturing processes.
  • Commitment towards carbon and water neutrality by 2025
  • Strong policy framework to govern 
  • Environment Health and Safety (EHS) practices 
  • Commitment towards efficient operations resulting in reduced environmental footprint

Sustainability Progress

  • 15% energy from renewable sources
  • Emissions intensity declined by 4%
  • Greenhouse Gases emission reduction by 8%
  • 83% of the wastewater generated was recycled
  • 99% of liquid hazardous and 75% of solid hazardous waste recycled 
  • 12,282 MT plastic waste collected and responsibly channelised, equivalent to 100% of post-consumer plastic waste 
  • Rainwater Harvesting potential: 76,368 M3

These six goals outline its vision to bring various partners, customers, suppliers together for smarter solutions and augment purpose ‘Caring for Life’, to people, nature, and the planet.

  1. Carbon Neutrality: Renewable Energy usage at 15%
  2. Water Neutrality: Total water recycled: 32%
  3. Zero Waste to Landfill
  4. One-third of Cipla facilities is Zero Waste to Landfill sites
  5. Waste generated reduced by 15%
  6. AMR Stewardship: Achieved 70% score, highest in generic pharma manufacturing in Access to Medicine Foundation’s AMR Benchmark Report 2020. 

Further AMR stewardship with the acquisition of key anti-infective ZEMDRI™ (IV Plazomicin) and acquisition of novel anti-infective Elores.

Strategic Partnership with SIGA technologies to support innovation and provide access to novel antibacterial drugs against biothreats.

Green Chemistry and Making it Right

Harmful substances elimination hierarchy developed 103 HAZOP studies conducted in the year.

Cipla pledged support to TerraCarta, an Earth charter that puts sustainability at the heart of the private sector. Launched in Davos 2020, the charter is part of HRH’s The Prince of Wales’ Sustainable Markets Initiative.

30 MW solar power

Cipla championed its commitment to carbon neutrality by setting up a 30 MW solar plant in Maharashtra, in partnership with AMP Energy India. The project supports the green energy requirements for our Kurkumbh and Patalganga manufacturing units in Maharashtra. Spread across 115 acres, the project is one of the largest captive solar open access projects in the state set up by a corporation.

  • Total renewable energy: share of our operations is 15%
  • 83% of generated wastewater recycled, and discharged wastewater reduced by 57% as compared to FY 2019-20

Purpose-led, Future-fit agenda

It recognises moral and ethical responsibility towards each other, future generations, and other species to sustain environment and consistently strives to ensure responsible environmental management. This year, It sets for ourselves bold aspirations towards the Environmental, Social & Governance (ESG) journey. 

“By 2025, we aim to achieve carbon and water neutrality, zero-waste to landfill, champion antimicrobial resistance (AMR) stewardship and green chemistry and ensuring wellbeing of employees and partners.”, the company said.

Its Sustainability Goals 2025 are aligned to the operating context of the sector and its impact on various capitals. 

Sustainability Governance

Responsibility for sustainability performance within Cipla sits with the Sustainability Council, chaired by the Chief Technology Officer (CTO). The Council was created in FY 2020-21, specifically to capitalise on the intrinsic link between sustainability and innovation in the operating model. Responsibility for the performance of climate goals also sits with the Sustainability Council. 

To ensure robust governance, the CTO reports directly to the CEO, oversees the Environmental, Health, Safety (EHS) function, and appraises the Board of Directors on matters of sustainability. The Council consists of a group of highly engaged leaders and Management Council members representing the following functions – EHS, Engineering, Procurement, Quality, Manufacturing Operations – API & Formulations, Manufacturing Strategy & Operational Excellence, Integrated Product Development (IPD) and Research & Development, Logistics, Finance, Internal Audit, Company Secretary, Human Resources, Corporate Communication and Corporate Social Responsibility. 

Sustainability

The Company sustainability program aims to achieve carbon neutrality, water neutrality, and zero waste to landfills by 2025 Sustainability Council consisting of cross-functional team members formed to monitor the progress and accomplishment of sustainability commitments Increase in the usage of and investments in renewable energy. 

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