Beyond Policy: How NTPC Is Embedding Sustainability Across the Organisation

NTPC’s Vision (“To be the world’s leading power company, accelerating India’s growth & energy transition) and Mission (“Provide reliable power and energy transition solutions in an economical, efficient and environment friendly manner, driven by innovation and agility”) embody its commitment to creating a sustainable future! 

Through the following modalities, NTPC is ensuring that Sustainability is ingrained throughout the organization: 

Materiality Assessments

Materiality assessment is key to identifying, refining, and assessing potential environmental, social and governance issues that could have a significant impact on a business and its stakeholders. This is an integral aspect of NTPC’s integrated reporting process and it enables NTPC to short-list and prioritize relevant ESG topics basis its relative importance to NTPC’s business and stakeholders. The NTPC Materiality Survey is a key step to gathering stakeholder feedback and it helps NTPC redefine the company’s priorities based on its stakeholder expectations. NTPC conducts the materiality survey periodically (once every 3-4 years) owing to sectoral changes, product and service diversification and developments, changes in the business and external environment, business growth and global megatrends.

NTPC Brighter Plan 2032

Uniquely built on NTPC’s vision, its sustainability strategy i.e. The Brighter Plan 2032 aims to accelerate NTPC’s efforts in leading the energy transition to a decentralized, decarbonized and digitalized energy future on Triple Bottom Line framework and setting new benchmarks in sustainability along the entire energy value chain. Brighter Plan 2032 is an integral part of NTPC’s core business strategy i.e. Corporate Plan 2032 and aligned with the UN Sustainable Development Goals and India’s INDCs and other commitments for Sustainability. It provides a broad framework for NTPC’s priorities to meet the challenges in seven focus areas (priority material issues) i.e. Decarbonization & Air emissions control, Water & Biodiversity Conservation, Circular Economy, Health and Safety, Community Development, Strong Finance & Ethics and Sustainable Supply Chain. 

The plan focuses on ensuring the sustainability of NTPC’s business operations through co-creating innovative and sustainable solutions for better and greener energy future, leading to profitable business growth, reduced costs and mitigating risks of doing business in VUCA world. This will enable NTPC in delivering a Progressive Business, Greener Environment and Enriched Lives to create shared value for all. 

ESG Policy

NTPC ESG Policy fortifies its commitment to sustainable power generation while protecting the environment, enabling societal good and adhering to good corporate governance standards. NTPC ensures that its stakeholders are guided by an effective ESG framework across all business operations. NTPC promotes transparency and accountability on ESG-related matters through periodic reporting and disclosures. NTPC aims to adopt an integrated ESG approach, where economic goals will be attained through conscious efforts to conserve the planet and its natural resources while improving the quality of life for current and future generations. NTPC endeavors to integrate ESG principles into core decision-making processes and governance structures. The principles are also regularly monitored with key performance indicators to ensure effective implementation across operations. NTPC ensures compliance with applicable laws of the land and is responsive to existing and emerging global ESG concerns on a proactive basis. 

To demonstrate its approach and commitment to ESG, NTPC aims at the integration of the following core principles across its operations:

• Ensure compliance with all relevant and applicable statutory rules and regulations. 

• Integration of environmental, social, and ethical governance criteria within its operations and business decisions. 

• Demonstrate accountability to ESG-related concerns of all stakeholders. 

• Embrace key international ESG standards and guidelines, relevant to its business and jurisdiction, and strive to adopt best practices to make the entire power generation value chain sustainable. 

• Allocate resources towards training the workforce on ESG policy and commitments, and to instill an ESG conscious organization-wide culture.   

• Regularly review ESG and associated policies considering new and emerging risks as well as stakeholder concerns. 

Principles for environmental sustainability:

• Ensure optimal use of resources across the entire power generation value chain to improve productivity and preserve air quality, water, and biodiversity.  

• Rolling out environmental management initiatives across operations. This includes the provision of facilities and educational and engagement resources that encourage energy efficiency, waste management, and sustainable water consumption.   

• Acknowledge the growing concern of climate change and reduce greenhouse gas emissions.  

• Minimize the waste footprint of own operations, by recycling and reusing materials where practicable. 

Principles for social sustainability and occupational health and safety:

• Promote and encourage, a safe and healthy working culture by engaging with its workforce, customers, and other stakeholders periodically.  

• Respect the human rights of all stakeholders (employees & workers, suppliers, vendors, local communities including indigenous people, customers, etc.) in line with NTPC’s human rights policy, across NTPC’s operations.  

• Offer equal employment opportunities to all and ensure zero tolerance to discrimination or harassment in any form.  

• Establish and maintain effective grievance redressal channels for stakeholders.  

• Prevent child labor and forced labor in any form, within own operations.  

• Strive to identify and mitigate the risks related to child Labor / forced labor within supply chains by putting in place adequate risk assessment procedures and raising awareness among the value chain stakeholders about child Labor / forced labor.  

• Ensure all employees are responsible for the promotion of and adherence to health and safety measures in the workplace. 

Principles for good governance: 

• Develop and implement a robust and effective corporate governance framework, adhering to applicable national regulatory requirements, and in line with leading global guidance on good corporate governance.  

• Establish robust internal controls to ensure compliance with policies and practices. 

• Ensure transparency and objectivity in dealing with all its stakeholders. 

NTPC’s ESG Policy applies to all business units of NTPC including subsidiaries and joint ventures that are under its control.  It applies to and is communicated to staff at all levels and all functions of the organization. NTPC allocates appropriate resources and conduct in-house training to ensure the effective implementation of the ESG policy.  Disclosure of this policy is maintained on NTPC’s website for general viewing.