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Materiality enables us to identify, prioritise, track and report the most important sustainability issues. To identify the top 20 environmental, social and governance (ESG) issues, we conducted an extensive stakeholder engagement exercise in FY 2018-19. These issues were rated as ‘high priority’ by stakeholders, in addition to being key to business success in the short, medium and long term. The material economic issues were revisited through various stakeholder engagement processes and business reviews by the senior leadership.


Material Issue Output Metrics Impact Valuation Impact Metrics Linked SDGs
1. Climate Change & SDecarbonization
  • CO₂ emission intensity (tCO₂/tcs)
  • Total absolute emissions (Scope 1+2+ 3) (million tCO2e)
  • % share of Renewable energy in total power mix
  • Renewable energy consumption (GJ)
  • Total energy consumption (GJ)
  • Energy intensity (GJ/tcs)
  • Reduction of Absolute emissions
  • CO₂ emission intensity reduction (tCO₂/tcs)
SDG 7, 9, 13
2. Water Stewardship & Zero Discharge
  • Specific freshwater consumption (m³/tcs)
  • Effluent discharge intensity (m³/tcs)
  • Number of Water harvesting structures created
  • Number of Drinking water structures created and repaired
  • Groundwater storage created (million cubic feet)
  • Reduced freshwater withdrawal and discharge volumes
  • Improved water availability for local communities
  • Number of of zero-discharge sites
  • Water storage capacity created through water harvesting structures (million cubic feet)
  • Number of Beneficiaries gained access to drinking water
  • Number of lives impacted through water conservation projects
SDG 6
3. Safety, Health & Well-being
  • Lost-time Injury (LIT)
  • Lost-time Injury Frequency Rate (LTIFR)
  • Fatalities
  • Total Recordable Injury Frequency Rate (TRIFR)
  • Organisational Health Index
  • Safety audits / training
  • % of Training given to employees and workers on health and safety measures
  • Safety Performance Index (SPI)
  • % of Sites with Safety Management System (ISO 45001)
  • Improved workplace safety
  • Reduced safety incidents
  • Increase awareness on safety
  • Improved safety standards and systems
  • Achieving a zero-harm workplace
SDG 3, 8
4. Community & Social Impact
  • Lives impacted through CSR initiatives (millions)
  • CSR spend (Rs. Crore)
  • No. of employee volunteers for CSR Programmes
  • No. of employee volunteering hours for CSR Programmes
  • Water harvesting structures (Nos.)
  • Total CSR Projects (eg - education / health / livelihood etc.)
  • Increasing Agriculture and allied activities
  • Increasing community enterprises
  • Education and Skill development
  • Increased lives impacted through drinking water programme
  • Increased drinking water structures created and repaired
  • Infrastructure development (solar system)
  • Gender Inclusive Gram Panchayat Development Plans preparation
  • Improvement in public health and well-being
  • Incluison of PwDs and tribal communities into the system
  • Farmer households impacted through agriculture and allied activities (nos.)
  • Average increase in household income (Rs.)
  • Increase in additional income of women entrepreneurs (Rs.)
  • Women engaged in micro enterprises (Nos.)
  • Trainees placed/self-employed through long and short-term courses (Nos.)
  • Youth and children covered through Computer and English courses (nos.)
  • Children from Particularly Vulnerable Tribal Group enrolled (% of girls and total nos.)
  • No. of villages and hamlets saturated by solar lighting system
  • Trained women in selected decision-making positions in institutions (nos.)
  • People reached through outreach healthcare services (nos.)
  • Eligible PwDs linked to government schemes
  • Lives impacted through tribal language classes (nos.)
SDG 1, 3, 4, 5, 8, 10, 11
5. Responsible Supply Chain & Procurement
  • % Critical suppliers ESG-assessed
  • Supply chain partners assessed on Responsible Supply Chain Policy (RSCP)
  • % of value chain partners assessed for environmental impact
  • Suppliers assessed on Safety
  • Number of supplier partners covered under the VCAP (Vendor Capability Advancement Program)
  • % local procurement
  • Stakeholder grievances addressed
  • Increasing commitment by suppliers towards sustainable sourcing
  • Improved supplier ESG performance scores
  • Increasing supplilers engagment
  • Increasing no. of of biofuel vessels and LNG vessels used for shipments
  • Increasing no. of alternative fuel vehicles deployed for finished goods transport
  • Increaseing deployment of Electric Vehicles (EVs) in warehouse and delivery operations
  • Resilient and ethical supply chain
  • Number of Suppliers with improved performance band in ESG scoring (5-scale)
  • Lower Scope 3 emissions
SDG 8, 12, 13
6. Governance, Ethics & Transparency
  • Number of Whistleblower cases (Received, Closed, Open)
  • Number of Sexual harassment cases (Received, Closed, Open)
  • Number of instances of data breaches
  • Trainings on TCoC (Officers, Frontline employees, Contract employees) (Person-hours)
  • Number of Business associates trained on TCoC
  • Training and awareness programmes held (Nos.)
  • Reduced ethics related cases
  • Strong governance culture
  • Higher commitment to ethical business practices
  • Higher stakeholder trust
  • Reduced compliance risk
  • Award & Recognition received
  • Risk Maturity Assessment score
SDG 16, 17

Note –

Output metric: This refers to the environmental or social direct results caused by a company’s business activities in terms of operations, products/services, and/or supply chain. The metrics must be directly linked to the material issue.

Impact valuation: This refers to the process of valuing and quantifying the external damages and/or benefits (positive/negative externalities) to the society and the environment that are caused as a result of the direct environmental and/or social outputs generated by a company’s business activities.

Impact metric: This is the quantitative (monetary or non-monetary) metric used to measure the impact caused on external societal stakeholders or the environment.

Economic - Material issue Key actions
Business growth
  • Focus on organic and inorganic growth
  • Scaling of adjacent businesses
  • Entering into new market segments
Long-term profitability
  • Attain and retain leadership in chosen segments
  • Raw material security
  • Enhance operational efficiency
  • Shikhar25 cost management initiatives
Product and service quality
  • Product and process innovation
  • Value engineering and customer service teams
  • Innovative routes to market
Environmental - Material issue Key actions
CO2 emission
  • 5 Tonne Per Day (TPD) carbon capture pilot plant commissioned at TSJ – captured CO2 being utilised for water treatment at a steelmaking unit
  • Collaboration with SHELL and Council for Scientific and Industrial Research (CSIR) to explore decarbonisation technologies
Air pollution
  • Upgradation of existing air pollution control equipment and installation of state-of-the-art dust control technology
Water consumption and effluent discharge
  • Minimising freshwater consumption by upgradation of existing water treatment and cooling tower systems to increase efficiency
  • Reusing treated waste water from sewage and effluents for industrial purpose
Energy efficiency
  • Initiatives such as waste heat recovery systems, top recovery turbine by-product gas utilisation
Renewable and clean energy
  • Feasibility analysis for solar projects completed and projects initiated
Waste management
  • Enhance steel scrap usage in steelmaking
  • 100% solid waste utilisation
  • Enhance value from by-products
Supply chain sustainability
  • Identification of critical supply chain partners and engagement with them on Tata Steel Responsible Supply Chain Policy
Biodiversity
  • Biodiversity Management Plans (BMPs) for Jamshedpur and Kalinganagar developed (BMPs developed for 11 locations cumulatively till FY 2020-21)
  • Over 2.98 lakh saplings of native species planted across locations in FY 2020-21
Circular economy
  • Steel scrap processing unit commissioned at Rohtak, Haryana with a 0.5 MnTPA capacity
  • Advocacy with various government and industry bodies to build scrap utilisation networks
Social - Material issue Key actions
Occupational health & safety (OHS)
  • Build Safety Leadership capability at all levels to achieve zero harm
  • Improve competency and capability for hazard identification and risk management
  • Achieve zero harm to contract employees by strengthening deployment of Contractor Safety Management Standard
  • Reduction in safety incidents on road and rail to ensure zero fatalities inside plant premises
  • Excellence in Process Safety Management (PSM)
  • Establishment of industrial hygiene and improvement in occupational health
Labour relations
  • Concluded wage revision with structural changes
  • Introduction of Connected Workforce Management, POD working system (for COVID-19) and People Care to ensure employee safety
Drinking water
  • Enabling community-led access to safe drinking water for identified households
Local sourcing of labour
  • Recruiting indigenous (SC/ST) people in the workforce
  • Improving vendors’ share of business from SC/ST communities by training them to match our requirements for various products and services
Talent retention
  • Provide flexibility to employees through agile working policy
  • Creating an inclusive workspace to attract and retain diverse talent including Persons with Disabilities (PWDs) and LGBTQ+ community
  • Development of workforce capability through various programmes
Governance - Material issue Key actions
Technology, product and process innovation
  • Focus on technology, digital and disruptive innovation overlaid on a culture of continuous improvement
  • Addressing environmental concerns by developing and implementing breakthrough technologies progressively at larger scale
  • Building a sustainable business portfolio, which is resilient against steel business cyclicality
Going beyond compliance and setting trends for future regulations
  • Setting up Steel Recycling Business (SRB) for foray into organised scrap play in India
  • Adoption of best available technologies and implementing projects for resource efficiency and reducing carbon footprint
  • Strengthened collaborations with technical institutes, technology start-ups and academia for technology leadership, climate change and other environmental issues
  • Diversity and Inclusion Policies for women in workforce, persons with disabilities (PWDs) and LGBTQ+ community; for example, women in all shifts in mines
Greater sustainability disclosures
  • Consistent improvement in our disclosures through the Framework, worldsteel indicators and UNGC Communication on Progress
  • Engagement with ESG rating agencies for improving disclosure practices and enhance access to sustainable finance
  • Updating Tata Steel website periodically to enhance transparency and meet stakeholder requirements
Greater stakeholder engagement
  • Enhancement of specialised channels such as public meetings, vendor-focussed committees, ‘Speak Up’ toll-free number, platforms such as conference and construction conclave, zonal and similar events
  • Setting up special COVID-19 care helplines and medical facilities
Responsible advocacy for the steel and mining sector
  • Effective policy formulation to improve the ease and cost of doing business in our areas of operation by ensuring a level playing field and advocating global best practices.
Technical knowledge transfer and capacity building for relevant partners
  • Collaboration with suppliers through Supplier Relationship Management Programme
  • Conduct Vendor Capacity Advancement Programmes (VCAP) for suppliers
  • Engagement with customers through Early Vendor Involvement (EVI) and Value Analysis and Value Engineering (VAVE) initiatives
  • Awareness sessions for suppliers, Steel Processing Centres (SPCs) and distributors on Ethics, Health and Safety, Responsible Supply Chain Policy and other relevant issues


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