Indian companies have already embarked on their journey towards a low carbon economy and a high number have demonstrated that it is possible to decouple business growth from carbon emissions, according to a new report released on Wednesday.
The India 200 Climate Change Report 2014 by CDP, an international non profit organisation, says that 24 per cent of the companies surveyed have reduced their absolute emissions while driving business growth and profitability. An additional 26 per cent have reduced their emissions intensity while driving business growth and profitability.
This report analyzes responses from the top 200 Indian companies by market capitalization. This year, 59 companies (30 per cent) responded to CDP compared to 55 in 2013. Over 90 per cent of the companies state that climate change opportunities are driven by change in regulation. About 15 per cent of the responding companies have reduced their emissions intensity despite a tough business situation.
Over 60 per cent of surveyed companies are introducing process energy efficiency initiatives, consequently, 24 per cent have reduced their absolute emissions and an additional 26 per cent have reduced their emissions intensity while driving business growth and profitability, the report said.
Indian companies are using their increased commitment to climate change action to drive innovative sustainable businesses processes. In terms of global ranking, CDP said five Indian companies have made it to the Global A-list, on par with Australia and Canada and more than any other emerging economy except South Africa. Wipro, Essar Oil, Tech Mahindra, Larsen & Toubro and Tata Consultancy Services have shown the world that they can match the best in world when it comes to fulfilling their global challenge action on climate change.
The research is published in The A List: The CDP Climate Performance Leadership Index 2014, which has been created at the request of 767 investors who represent more than a third of the world’s invested capital. Wipro leads the Climate Disclosure: Leadership Index (CDLI) in India. The responding Indian companies have acknowledged the role of governments and regulations as the primary driver of climate change opportunities and investments.