Adani Ports and Special Economic Zone Limited Sustainability Report 2016-17

Green and cLean The is one of India’s leading business houses and a global integrated infrastructure player with businesses in key industry verticals – resources, logistics, energy.

We are India’s first mining company Adani Groups’s integrated With its committed to ensure who pioneered the concept of logistics solutions provide energy security for India, Adani is Mine Developer and Operator logistical connectivity and aligned the largest Private Power Producer (MDO). Today, Adani Group is one infrastructure, thereby positioning in India. It is raising industry of the largest coal suppliers in the itself as the most preferred benchmarks for clean and green world, the largest supplier in India, maritime gateway for diversified power generation with Renewable largest revenue earner for Indian businesses. Power Generation and Solar Railways and the largest importer Photovoltaics Manufacturing. from Indonesia.

About this Report By this second year of reporting, Adani Ports and Special Economic Zone Ltd. Presents Following the leads generated by the First its Second Sustainability Report. With this APSEZ has Sustainability Report, This report talks about the we have been able to moved a step closer to its agenda of Inclusive Growth. progress on the areas that were identified at the further strengthen what we beginning of the journey of Sustainability. These have This report is in accordance with the GRI Standards: started out with - been elaborated upon later in the respective sections Core Option. It presents information about 4 Ports at in the report. Mundra, Hazira, Dahej, Dhamra and 2 Terminals at Tuna BLUE – THE NEW GREEN and Murmugao. MPSEZ Utilities Private Limited (MUPL), No restatements have been made from the Adani International Container Terminal Pvt. Ltd. and Sustainability Report (2015-16). It represents our promise Adani CMA Mundra Terminal Pvt. Ltd. are also covered in APSEZ doesn’t have a policy for external assurance to keep our waters the report boundary; there are entities which are part of however it follows a specific procedure assigning the blue, regenerative, vibrant and welcoming the consolidated financial statements of the APSEZ But job to external parties. APSEZ invites proposals from are not covered in the report. For details please refer to and our ports green – optimally utilising and authorised external agencies which are then evaluated our annual report page numbers 283-285. against technical and commercial criteria. The party preserving our resources. There is a significant change in the reporting boundary thus selected is assigned the job. in addition to the reporting guidelines since the last Adani Green Ports is our promise The Sustainability Report (FY 2016-17) report has report published on 13 October 2016 in terms of the to ourselves and all our stakeholders. been externally assured by BSI ( British Standards transition from GRI G4 guidelines to including additional Institution) an independent third party that has no ports and terminals besides at Mundra and Hazira. financial interest in the operations of APSEZ other The report covers Financial and ESG information than for the assessment and assurance of this report. for the period 1st April 2016 to 31st March 2017. The assurance statement thus issued has been It contains data and information for the identified included in the report. Material Topics for the said ports only. APSEZ produces Sustainability Report on an annual Communicating its progress across various Material basis in alignment with its annual reporting cycle, to Topics, APSEZ has given special attention towards the extent possible. stakeholder concerns. The material topics have been For your suggestions and feedback kindly write to us identified through an extensive and robust process of at: [email protected] stakeholder engagement.

102-1, 102-45, 102-48, 102-50, 102-51, 102-52, 102-53, 102-54, 102-56 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Our promise (2016)...... fulfilled (2017). ...and more...

Increased renewable energy Scope 1 emissions were Increase in renewable energy consumption. Utilised 1.5MW of solar reduced by consumption energy and installed 6 MW of Wind Energy plant 41% over 2015-16 at Mundra & 2,823 Hazira hectare Be a zero waste port by reducing Introduced new processes for waste of Mangrove Afforestation 35% waste generation & utilising the management and waste to energy (till Oct 2016). 573 hectare Green reduction in Energy Consumption waste generated more efficiently conversion. 44 tonne paper was saved Carpet area developed across all at two ports (Mundra & Hazira ) since February 2016 the ports over last year

Strengthened the stakeholder Total cargo handled across Strengthen the stakeholder engagement process in terms of all Adani Ports is engagement process by implementing reaching out to a large number of Achieved highest materiality processes at all the ports stakeholders, methodology used and coal discharge rate of 168.72 amount of responses received 1,64,000 MMT MT in Impact assessment survey will be 24 hours Handled deepest draft container analysed & learnings shall be used for Conducted the impact assessment during discharge of MV survey for our CSR initiatives incorporating necessary improvement & Marijeannie at West Basin vessel of 16.3M development of action plans terminal. surpassing the previous best of 16.2M. MV MSC Luciana is the deepest container vessel to sail out of any Indian port.

Grievance Management System will Grievance Management System be tested for its efficiency & if any becomes operational on the improvements are required shall be website of Adani Ports incorporated

4 5 Sustainability Framework Contents

With the embarking of its sustainability journey in FY determined its future course of action in its aspiration 2016, APSEZ formulated its sustainability strategy to to be a sustainable port. APSEZ has been & intends act as a governing mechanism for conducting business to continue to manage its operations and services responsibly and demonstrate accountability for responsibly, creating safe, secure and eco-friendly decisions taken. Along with this, the sustainability policy working environment at all sites & workplaces. helped demonstrate its commitment to sustainable Sustainability framework therefore acts as an overarching development, as it forms an integral part of the umbrella of a set of standards within which environmental sustainability framework at APSEZ. & social services are offered responsibly which go beyond FY ’16 marked another important development for mere compliance. All operations at APSEZ integrate APSEZ in terms of formulation of its Sustainability with the principles and standards of good governance to Charter. The Sustainability Charter serves as a policy enhance its business sustainability. On the environmental statement seeking to guide and enlighten ongoing front, all efforts are directed towards optimum utilisation voluntary programme; demonstrating the commitment & better management of natural resources. At the social of APSEZ operations and infrastructure development front, APSEZ believes in providing a conducive work to function in the most sustainable manner possible. environment to foster innovativeness & belongingness 8 34 The Charter offers a structure to APSEZ that allow amongst employees. APSEZ has over the years developed CEO’s Vision Ecological Balance stakeholders, especially operating managers at all levels, state-of-art infrastructure including institutions like to communicate key sustainability issues, set targets Adani Management Development Centre (AMDC). Various and regularly report progress in achieving short, medium programmes like Spark to Sparking Reality are organised 11 48 and long term goals. on regular basis to keep employees motivated & instil APSEZ Achieving Together skills to maintain work-life balance. The In the words of Mr. , Chairman, Adani implements CSR activities under core thematic areas of group, “Our business model is aligned with the national Education, Community Health, Sustainable Livelihood & interest.” Therefore, in its endeavour to create value for Rural Infrastructure Development. 18 52 all, APSEZ engages and collaborates with a wide variety Leading the Way Working with Care of stakeholders which may be impacted by our business To ensure good & effective governance, APSEZ has operations in different ways. APSEZ has adopted an implemented Grievance Management System and has in inclusive approach aligned to its core values which place systems like whistle blower policy, a precautionary ensures that stakeholder interests are taken into due approach that provides right to be heard to all its 25 54 consideration when making important business decisions. stakeholders. Materiality & Responsible Stakeholder Inclusiveness Value Chains The different elements of sustainability framework of We believe that our Sustainability Framework will APSEZ including sustainability strategy, sustainability accrue mutual benefit to us as well as our stakeholders policy & recently developed Sustainability Charter to enable us to conduct business in a sustainable way. It 30 56 integrate the culture of sustainability throughout will further help to strengthen environmental and social Giant Leaps Forward Ripples of Change the organisation in its decision-making process, work practices, encourage transparency and accountability, culture, employee behaviour & in the ways different and contributes to positive development impacts. Assurance 64 things are done. This has set the roadmap for APSEZ & Way Forward 68 GRI Index 70 Mapping with SEBI BRR framework 72 Mapping With UN Global Compact Principles 74 Abbreviations 75 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework the area of environmental protection, res¬ponsible the industry. A 15-year partnership with CMA CGM to CEO’s Vision labour practices, human rights and the prevention of operate our container terminal at Mundra will increase corruption. Our sustainable practices are aligned with our overall container volumes significantly and position Values, Ethics & Integrity the United Nations Sustainable Development Goals it as India’s largest container terminal with a cargo APSEZ: Integrating Scale, (UNSDG). In light of the rapidly expanding economy and handling capacity of 3.1 million Twenty-Foot Equivalent Scope & Speed Our Government of India’s focus on promoting clean energy, Units (TEUs). Further, our new Vizhinjam port, which we Leading the Way commitment we are realizing our Group’s vision of nation building by will develop in partnership with the state government Sustainability Governance developing a 5 MMTPA LNG terminal at our of Kerala, will position India as a transhipment hub of Risks & Compliance to the in Orissa, which will meet India’s increasing LNG import the Indian Ocean. Management System CEO’s requirements. environment Our commitment to the environment and the local Materiality and Stakeholder Inclusiveness and the local Being the industry leader also comes with the communities remains unshaken. We are confident responsibility of setting an example of ensuring a of improving eco-efficiency and reducing our carbon Giant Leaps Forward Vision communities secure working environment for all our employees. With footprint over the next year by scaling up our renewable Ecological Balance profound regret, I report the loss of two lives in 2016. energy consumption to 12 MW and increasing Energy & Emissions remains As I extend my deepest condolences to the bereaved investments in energy-efficient infrastructure. We will Water Management unshaken. families, this unfortunate incident is a humble reminder continue to work with the Adani Foundation to improve Waste Management that we must work doubly hard to ensure zero fatalities education, community health, livelihoods and rural

Achieving together at our locations. Our commitment to employee safety infrastructure. Our ability to achieve these targets rides remains paramount. To prevent such untoward on our young and dynamic workforce that is dedicated to Working with Care incidents from occurring in the future, we are working our vision. Therefore, we will continue to invest in learning Responsible Value Chains on better Health and Safety monitoring and reporting and innovation, ensuring safety at work at all times. Dear Stakeholders, procedures, and are devising various training programs Ripples of Change I thank all our stakeholders for helping us chart the and policies to safeguard our employees at work. It gives me great pleasure to present to you a single cargo type. We achieved this Sustainability journey these past two years. We seek Way Forward... the second Sustainability Report of Adani by commissioning the CT-4 at Mundra, As part of our goal to build a responsible business, we your continued support to enable us to achieve our GRI Index Ports and Special Economic Zone Limited. forging strategic partnerships with MSC, work alongside our CSR partner, The Adani Foundation, goals, and look forward to your feedback to improve our What began last year as a step towards CMA CGM and Maersk, and boosting our to foster inclusive growth through education, community performance. building a better future has now grown transhipment services. As the leading health, sustainable livelihood and rural infrastructure 102-14 into a driving force that complements our player in India’s Ports sector, we believe in development. We established schools across our values of Courage, Trust, and Commitment, adopting new, cutting-edge technology to locations and also worked with government schools to to guide our every thought and action. achieve ‘lean operations’. By integrating improve the quality of education. The Adani DAV Public This year, we furthered our steadfast our front-end and back-end services, we School in Dhamra spans 5 acres of campus and features commitment to build a responsible and were able to provide end-to-end logistics state-of-the art facilities, providing quality English CEO, APSEZ medium education to local students. I am delighted to sustainable business in order to not only services to our customers, making real- note that we partnered with Navchetan Vidyalaya in deliver robust economic growth but also time information available at the touch continue our efforts to improve social Hazira, boosting enrolment of female students by 50%. of a button. Automation, mechanization, welfare and environmental sustainability. We also set up Mobile Healthcare Units (MHCUs) that analytics, Internet of Things and robotics have provided timely and quality healthcare services in our everyday operations have changed APSEZ’s second Sustainability to nearly 70,000 patients. We established the Adani the way we handle cargo. These measures Report comes at a time of significant Skill Development Centre to bring world-class skill resulted in our overall revenue rising 19% transformation. Amidst global economic training programs to empower the Indian youth. We also to Rs. 8439 crore corresponding to a hike slowdown and increasing trade refurbished shelters, built toilets and provided safe and in net income of 35% to Rs. 3920 crore. protectionism, our strategy of becoming clean drinking water facilities to the local communities. an end-to-end logistics solutions provider Our market leadership stems from our has helped us weather economic At APSEZ, we stand by our commitment of nation commitment to build a sustainable and uncertainties. We ramped up our efforts to building through the triple bottomline approach of responsible business. In 2016-17, we diversify cargo mix and increase container economic, social and environmental welfare. We are became a member of the UN Global volumes in order to offset declining coal determined to continue scaling up technology to imports and reduce our dependence on Compact and are actively engaged in create greater efficiencies and set a benchmark for

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Sustainability Framework CEO’s Vision Values, Ethics and Values, Ethics & Integrity

APSEZ: Integrating Scale, Scope & Speed Integrity Leading the Way Sustainability Governance Risks & Compliance Management System A culture of...

Materiality and Stakeholder Passion Results Integration Dedication Entrepreneurship Inclusiveness

Giant Leaps Forward Working Performing Seizing new Consistently across functions Working with With opportunities Ecological Balance achieving & businesses to commitment in Enthusiasm the pursuit of with initiative & APSEZ Energy & Emissions goals create & Energy our aims ownership Water Management synergies Integrating Scale, Scope and Speed Waste Management

Achieving together APSEZ is India’s largest private sector port developer and operator company. With its ports located at strategic locations across the Indian Working with Care On the foundation of... Coast Line, It has played a major role in facilitating both National and Responsible Value Chains International maritime trade.

Ripples of Change It connects resource rich eastern coastline of India with the Anchorage consumption led north and western parts of the country. The Way Forward... COURAGE TRUST COMMITMENT unparalleled portfolio of port infrastructure encompasses 6 ports GRI Index and 4 terminals: Mundra in the Gulf of Kutch; Dahej, ; Hazira, Gujarat; Tuna – Tekra, Gujarat; Murmugao, Goa; Vizag, Andhra Pradesh; Pilotage Vizhinjam, Kerala (under development); Ennore, Tamil Nadu (under 102-16, 102-2, 102-5 development); Kattupalli, Tamil Nadu; and Dhamra Odisha.

The legal status of the ports is shown in the table below: Tug-pulling To reinforce a culture of conviction Management System and can raise Name of the company Holding Status and integrity, Adani group has laid the their concern anytime. Adani Ports and Special economic zone Public Ltd. Company foundation based on Courage, Trust & limited APSEZ’s Business Responsibility policy Berthing Commitment. These values are deeply Adani Petronet (Dahej) Port Pvt. Ltd. *Subsidiary defines its responsibility towards embedded and act as touchstones to Adani Murmugao Port Terminal Pvt. Ltd. *Wholly owned Subsidiary integration of sustainability parameters all our conduct They encourage us to in all the activities of the organisation Adani Kandla Bulk Terminal Pvt. Ltd. *Wholly owned Subsidiary have courage to accept new ideas and & communication of same through the Adani Pvt. Ltd. *Wholly owned Subsidiary Internal businesses; to have trust on each other transport business responsibility report. MPSEZ Utilities Pvt. Ltd. *Wholly owned Subsidiary including employees and stakeholders; to Adani Ennore Container Terminal Pvt. Ltd. *Wholly owned Subsidiary deliver on its commitment and adhere to APSEZ”s corporate social responsibility The Dhamra Port Company Ltd. *Wholly owned Subsidiary high standards of business practices. initiatives have proven instrumental Adani International Container Terminal *Joint Venture Stotage in integrating societal values with Pvt. Ltd. Over time, a robust governance business values. Adani CMA Mundra Terminal Pvt. Ltd. *Joint Venture system has been established that has * Subsidiary/Joint Venture/Wholly Owned Subsidiary of APSEZ stengthened our strong commitment The ‘Safety, Health & Environment’ towards business ethics & integrity. All policy acts as a guideline to work Its major services include handling of dry bulk, break bulk, cryogenic Evacuation internal as well as external stakeholders towards health and safety of all gas, POL & liquid and container cargo, dredging & marine services of APSEZ have access to the Grievance employees and other stakeholders. including coal, crude, containers, chemicals, fertilizers, agri products,

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Sustainability Framework steel & project cargo, edible oil, automobiles, minerals and timber. Its strength APSEZ has also acquired Abbot Point Bulkcoal Pty Ltd. Crossing national boundaries we have signed an MOU lies in providing end-to-end cargo handling solutions starting from anchorage, with MMC port to set up a container port in Carey Island, Malaysia. This port will be dominated by container CEO’s Vision pilotage, tug-pulling, berthing, internal transport, storage and value add to infrastructure. In addition an MoU between MMC Ports and Sime Darby Property has been signed to develop Values, Ethics & Integrity evacuation by rail or road. an integrated maritime city in Malaysia.

APSEZ: Integrating Scale, Scope & Speed Due to the presence of state of the art infrastructure and latest technologies APSEZ has national and international customers including Maruti Suzuki, Leading the Way Reliance, Hindustan Petroleum, Tata Steel and Indian Oil. Both national and Sustainability Governance international markets are served by the company. It has global partnerships with (Adani Ports and Special Economic Zone Limited) Risks & Compliance Management System organisations such as MSC – a global container shipping company and CMA CGM – Container transportation and shipping company. Materiality and Stakeholder Inclusiveness The company’s main business activity is undertaken in India. APSEZ respects Giant Leaps Forward the customer privacy by signing the contract agreement with its client; where it is agreed that no party without the prior written consent shall disclose any Ecological Balance confidential information in connection with the performance of the company. Energy & Emissions APSEZ takes all necessary steps to ensure that efficient & safe cargo handling Water Management Waste Management services are provided to the clients. It adheres to all rules & regulations in this regard. No cases regarding breach of customer privacy have been reported till date. Achieving together Working with Care Recent Developments Responsible Value Chains

Ripples of Change

Way Forward... ALL commenced GRI Index commercial Acquired Abbot operations in Point Bulkcoal 113.72 Punjab CT-4 Pty Ltd completed at 102-4, 102-6, 102-7, 418-1,103- MMT Mundra making Signed an MoU 1,103-2,103-3 of Cargo handled it India’s largest with MMC port in container- Malaysia The Mundra Port is an infrastructural masterpiece and an important handling port trade link for the country. It is the only port in India with handling and storage facilities for crude oil, containers, dry bulk, break bulk, 4% increase automobiles and liquid cargo. Mundra can berth the largest post over last year panamax vessel and can handle four million TEUs or Twenty feet APSEZ facilities have a pan-India footprint with presence in 5 maritime states Equivalent Units. Strategically situated on international maritime of India – Gujarat, Goa, Andhra Pradesh, Tamil Nadu and Odisha. Two ports routes, Mundra Port offers multiple benefits for global trade. The of tugs, dredgers and Railway Locos. / terminals are in project phase - Ennore Container Terminal in Tamil Nadu gulf acts as a natural shelter for the port, facilitating round-the- These ensure 24x7 uninterrupted and will begin operations during 2017 and in Kerala, Vizhinjam Port, India’s First clock safe berthing, unberthing and vessel operations. Compared smooth operations at the port. Various Transhipment port is expected to be operational by 2019. to other ports on the West Coast, Mundra Port enjoys distance commodities handled at Mundra port advantage to the north-west hinterland of India. This makes it the Adani Logistics Limited (ALL), a subsidiary of Adani Ports and Special Economic include Coal, Agri, Fertilizer, M&M, preferred port for the cargo hubs functioning in the northern and Zone Limited (APSEZ), has commissioned and commenced commercial operations Steel & Project, other dry cargo in dry western states and territories of India. at its Inland Containers Depot (ICD) at Kilaraipur in Punjab. ALL already operates cargo; Chemical, POL, Vegetable oil ICDs in Patli and Kishangarh and is a major player in the container train business. Mundra Port has deep draft, all weather and direct berthing in Liquid Cargo; and Containers and facilities. The berths at the port are capable of handling VLCCs, RORO. During FY 2016-17, the total During FY 2017 we have been successful in completing CT-4. Its commissioning capesize bulk carrier with draft upto 18.5 meters and container cargo handled at Mundra Port showed has made Mundra Port India’s largest container-handling port. APSEZ and CMA vessels that can carry upto 18500 TEUs. The Port has world an increase of 4% against total cargo CGM will jointly operate container terminal 4 at Mundra Port for 15 years. class support infrastructure and assets that include large fleets handled during previous year.

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Sustainability Framework (Adani Murmugao Port Terminal Private Limited - Subsidiary) CEO’s Vision Hazira Port (Adani Hazira Port Pvt Ltd - Subsidiary) Mormugao Terminal Values, Ethics & Integrity APSEZ: Integrating Scale, 1.96 Scope & Speed 15.30 Leading the Way MMT Sustainability Governance MMT of Cargo handled Risks & Compliance of Cargo handled Management System increase Materiality and Stakeholder 8% Inclusiveness 24% increase over last year over last year Giant Leaps Forward

Ecological Balance Energy & Emissions Water Management Adani Hazira Port Private Ltd. (AHPPL) is located in the gulf of Khambat and is Adani Murmugao Port Terminal Private Ltd. (AMPTPL) AMPTPL has berth length of 300 mtrs. Draft of about Waste Management proximate to the hinterland of India’s biggest chemical manufacturing corridor commenced its operations in 2014. It is a strategically 14.5m, with fully mechanised Material Handling Achieving together extending from Vapi to in South Gujarat. It commenced operations in located coal Terminal in the South-West side of India. System for coal handling with a capacity of 4.61 the year 2012. AHPPL facilitates international trade to Europe, Africa, America AMPTPL is a part of protected open type natural MMT. It is an all-weather port and has direct berthing Working with Care and the Middle East. This port is of great significance as it is situated at the core harbour on the west cost of India in the state of facilities to handle all types of coal /coke cargo. It Responsible Value Chains of the biggest chemical manufacturing corridor i.e. South Gujarat (from Vapi to Goa. The Terminal is approximately 570KMS south of is equipped with the state of the art infrastructure Vadodara). Mumbai, 300KMS north of new Mangalore and 575KMS and the latest technologies for a smooth handling of Ripples of Change north of Cochin. AMPTPL has signed a concession cargo. Commodities handled at AMPTPL include Coal Hazira Port has deep drafts, all weather and direct berthing facilities. Hazira port Way Forward... agreement with MPT for 30 Years on Design, Build, and M&M in dry cargo. The cargo handled increased has five operational berths viz. two container berths and three multipurpose GRI Index Finance, Operate and Transfer on (DBFOT) basis. by 8% over last year. berths which can handle dry as well as liquid cargo. Hazira Port boasts superior support infrastructure which include five tugs and a water injection dredger that ensures uninterrupted and round-the-clock smooth operations at the port (The Dhamra Port Company Limited - Subsidiary) The port is equipped to handle class A/B/C and non-classified chemicals to Dhamra Port facilitate import and export of liquid cargo. The tank-farm at the liquid terminal has 169 tanks. DPCL is a 100% subsidiary of APSEZ. It commenced its operations on May 6, 2011. Located in the Northern Part of Odisha, the fully Hazira container Terminal started its operations in March 2013 and became a 21.41 mechanised port at Dhamra is cherished as one of the deepest preferred gateway port for South Gujarat, Central India and North Maharashtra. seaports in South Asia and the second all weather port in Odisha. MMT Presently terminal has two container berths with installed capacity to handle The location of Dhamra is in close proximity to the mineral belt of of Cargo handled 750,000 TEUs per annum. Hazira container terminal has congestion free approach Odisha, Jharkhand and West Bengal and its dedicated connectivity roads that allow EXIM trade faster turnaround of their container shipments from helps serve this hinterland with the greatest efficiency. port that reduces cost and valuable time. Port also has on-dock EXIM yard with 45% increase facility of customs examinations, de-stuffing and stuffing which helps importers For Phase-I, DPCL has constructed two fully mechanised berths of over last year and exporters in fast clearance of their cargoes. 350 meters each along with backup facilities for handling imports of coking coal, steam/thermal coal, limestone and export of iron Various commodities handled at Hazira port include Coal, Agri, Fertilizer, M&M, ore. Phase-I also includes a 62 kilometres rail link from Dhamra to Steel & Project, other dry cargo in dry cargo; Chemical, POL, Vegetable oil in Liquid Bhadrak/Ranital Link Cabin. Presently DPCL has developed two new Cargo; and Containers. During FY 2016-17, the total cargo handled at Hazira Port berths under its expansion plan, one for mechanised coal imports showed an increase of 24% against total cargo handled during previous year. and the other berth capable of handling clean cargo like fertilizer,

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Sustainability Framework Adani Petronet (Dahej) Port Pvt Ltd, a joint venture mechanised) capable of handling up to Post Panamax between Adani Group and Petronet LNG Ltd, is the only and mini cape size vessels. also has a CEO’s Vision solid cargo handling commercial port in the GMB port dedicated facility (Ro-Ro ramp) for handling ODC/ Values, Ethics & Integrity of Dahej. Strategic positioning in Gulf of Khambhat on Project cargo. international maritime routes makes Dahej Port the APSEZ: Integrating Scale, Dahej is well connected with major metropolises Scope & Speed most preferred port for the cargo hubs functioning in Northern, Western and Central states and territories of in India via rail and roads, and plays a major role in Leading the Way India commenced its operations in Aug, 2010. development of port led industries. Dahej Port is Sustainability Governance well connected to NH 08 through a six lane SH 06. Risks & Compliance The port is equipped with state of art mechanised There is also a special railway line, BDRCL, connecting Management System automated safe coal handling facilities. In addition, Dahej port with national rail network (DMIC corridor). Materiality and Stakeholder the port is also equipped to handle non coal dry bulk Advantage of being served from the Vadodara division Inclusiveness cargo (Agri and fertilisers, minerals, steel, etc.). of Western Railway allows Dahej port to feed power Giant Leaps Forward plans and other industries located deep inside Dahej port is a deep water port offering all weather landlocked states of India. Ecological Balance and 24x7 berthing facilities. With a capacity to Energy & Emissions handle 20 MMTPA, Dahej port has two dry bulk and Various commodities handled at Dahej port include Water Management break bulk berths (viz. 1 mechanised and 1 non- Agri, Coal, Fertilizer, M&M, Steel & Project in dry cargo. Waste Management

Achieving together agro and also steel & containerized cargo. The master plan of the port envisages 15 berths, capable of handling more than 100 million MT per annum of dry bulk, Working with Care break bulk, containerised cargo, general cargo, LNG, LPG and Crude Oil. The cargo (Adani Kandla Bulk Terminal Pvt Ltd - Subsidiary) Responsible Value Chains handling plant has been designed to achieve discharge rates of over 50,000 MT/ Tuna Terminal Ripples of Change day for coal and load rates of over 40,000 MT/day for iron ore. The Bulk Material AKBTPL, the 8th port of Adani Group, is under the Concession Handling System is also capable of loading rakes in 1.25 hours and unloading fully Agreement with Kandla Port Trust (KPT). AKBTPL is equipped with Way Forward... loaded rakes in 3 hours. world class fully modernised and mechanised terminal which allows GRI Index Equipped with state-of-the-art technology and a conducive business environment, direct berthing of deep draught vessels in all weather conditions for Dhamra Port has been accredited as the biggest and most efficient port in the faster cargo discharge. East Coast of India. During FY 2016-17, the total cargo handled at Dhamra Port AKBTPL has world class infrastructure for handling of all dry bulk showed an increase of 45% against total cargo handled during previous year. cargo with fully mechanised infrastructure installed with Asia’s highest speed conveyor system running at a speed of 8.2 meter per second. The facility is installed with latest Bagging Machines to handle Fertilizer and Agro commodities, to evacuate imported bulk cargo in bagged form to the hinterland. (Adani Petronet Dahej Port Pvt Ltd. - Subsidiary) Dahej Port AKBTPL started its operations from 10th Feb 2015, and successfully 4.46 handled all bulk commodities including Coal, Fertilizer, Pet Coke, Sugar and Agriculture commodity (CSM – Export & Barley – Import). MMT This sets high standard of handling dry bulk cargo with mechanised of Cargo handled 6.34 operation and technical expertise. Various commodities handled at Tuna Port include Agri, Coal, 20% increase Fertilizer, M&M, in dry cargo. During FY 2016-17, the total cargo over last year MMT handled at Tuna Port showed an increase of 20% against total cargo of Cargo handled handled during previous year.

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Sustainability Framework

CEO’s Vision Ethical Values, Ethics & Integrity Authorisation & Ownership Corporate Accountability APSEZ: Integrating Scale, Citizenship Scope & Speed Transparency Control Leading the Way Sustainability Governance Ownership Authorisation, Exemplary Risks & Compliance combined with standards of Management System to protect and enhance Transparency accountability, Freedom exercised ethical behaviour, Materiality and Stakeholder shareholder in appropriate provides within a framework both internally Inclusiveness value, as well as disclosures motivation to of appropriate within the without checks and balances. Giant Leaps Forward to ensure that perform better; organisation, as the organisation jeopardising the unleashes Control should well as in external Ecological Balance fulfils its organisation’s creativity and prevent misuse of relationships make Energy & Emissions obligations and strategic innovation ; power, facilitate the organisation Water Management responsibilities to interests and confers decision timely management more trust worthy Waste Management its stakeholders. openness & making power response to change, thus enhancing accountability and ensure that Achieving together and improves stakeholder Leading the way in conduct of its business risks are effectiveness, partnerships and Working with Care business. thereby enhancing pre-emptively and adding value to The Adani Group is a multi-faceted enterprise united by a single effectively managed. Responsible Value Chains stakeholder value. business. logo, a single vision and a single-minded inclination to succeed. Ripples of Change Over the decades, Globalisation has not only heightened the business risks, but also compelled Indian companies to adopt Way Forward... Attaching utmost importance to corporate As per our corporate governance structure, at the international norms of transparency and good governance. Since governance and transparency, APSEZ has been pinnacle is the Chairman and the Managing Director GRI Index large businesses employ vast quantum of societal resources, we proactive in following all the legal requirements. The along with the Board of Directors. The Board currently believe that the governance process should ensure that business Company has complied with all the requirements comprises of 8 (eight) Directors out of which 5 (five) are managed in a manner that meets stakeholders’ aspirations of Corporate Governance under the SEBI (Listing Directors are Non-Executive Directors. Independent 102-18 and societal expectations. APSEZ has placed clear & effective Obligation & Disclosure Requirement) Regulation Directors are non-executive directors as defined under corporate governance mechanism which determines the way 2015. It follows a top down approach where corporate Regulation 16(1)(b) of the SEBI Listing Regulations. organisations work & interact with its stakeholders in all its governance standards are initiated by the top The maximum tenure of the Independent Directors business related matters. management and percolate down the organisation. is in compliance with the Companies Act, 2013. All Our Corporate governance mechanism helps us to be accountable For more information on Corporate Governance refer the Independent Directors have confirmed that they & transparent, not only to the providers of capital but to all those our annual report FY 2016-17. meet the criteria as mentioned under regulation 16(1) who have been a resource in shaping up what we are today. The (b) of the SEBI Listing Regulations and Section 149 Ensuing to the philosophy and core values, Corporate key elements of APSEZ’s governance philosophy include ownership; of the Companies Act, 2013. The present strength of Governance in APSEZ shall take place at three transparency; empowerment and accountability; and control and the Board reflects judicious mix of professionalism, intertwined tiers, namely, ethical corporate citizenship. We believe that the practice of each competence and sound knowledge which enables the of these leads to the inculcation of right corporate culture in an • Strategic direction by the Board of Directors Board to provide effective leadership to the Company. organisation. • Policymaking and Management by the corporate The Board of Directors met five times during the level management committee year under review. The details of board meetings and the attendance of the Directors are provided in the • Planned Management and execution by the Corporate Governance Report which forms part of this Strategic Business Units’ Chief Executives Report. assisted by the site level management committee.

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Sustainability Framework Sustainability Governance CEO’s Vision For sustainability to be embedded into APSEZ’s organisational strategy, a board level CSR & Sustainability team Values, Ethics & Integrity Board of Directors has been formed during the reporting period by merging with existing CSR Committee. APSEZ: Integrating Scale, Scope & Speed Sustainability Governance Structure Leading the Way Gautam S Adani, Promoter & Executive Director Sustainability Governance Rajesh S Adani, Promoter & Non-Independent Director Risks & Compliance Management System Dr Malay Mahadevia, Whole TIme Director CSR and Sustainability Committee Prof G Raghuram, Independent & Non Executive Director Materiality and Stakeholder Rajesh S Adani, Chairman Inclusiveness G K Pillai, Independent & Non Executive Director Sanjay Lalbhai, Member

Giant Leaps Forward Sanjay Lalbhai, Independent & Non Executive Director Dr Malay Mahadevia, Member

Ecological Balance Radhika Haribhakti, Independent & Non Executive Director Energy & Emissions Karan G. Adani, CEO & Whole TIme Director Sustainability Leadership Committee Water Management CEO, Chairman Executive Dir., Adani Foundation, Member Waste Management Jt. President, Member Director, Adani Foundation, Member Achieving together CFO, Member Head-Occupational Health Safety, Member Working with Care Head-HR, Member Head-Environment, Member Management committees Responsible Value Chains Sustainability Steering Committee (Site Level) Management committees have been constituted by the board to enable a focused Ripples of Change Chief Executive Officer, Chairman and quick decision making in the organisation. Each committee is responsible for Head-Corporate Relations, Member Way Forward... handling a specific area. These committees are under direct supervision of the Chief Operation Officer, Member GRI Index Board. Various management committees at APSEZ are: Head-Human Resources & Administration, Member Head-Corporate Social Responsibility, Member Head-Finance & Account, Member 102-18 Finance Head-Environment and Safety, Member Committee

Risk Audit Management Committee Roles and Responsibilities of the CSR & Sustainability Committee Committee a. Review from time to time Corporate Social e. To review overall sustainability performance and Responsibility (CSR) policy in the light of sustainability reporting of the company. emergent situation and statutory frame work. f. The authority to decide disclosure on Nomination b. Recommend the amount of investment to be management approach and steering management Sustainability and made on CSR activities. approach in Sustainability Performance is Remuneration & CSR delegated to CEO of the Company. Committee Committee c. Monitor the implementation of CSR policy and review overall performance in CSR Programme. g. Review from time to time different aspect of Sustainability Performance such as environmental d. Review from time to time Sustainability policy Stakeholder achievements, review of safety performance, Transfer Relationship in the light of emergent situation and statutory Committee review of water and energy use etc. Committee frame work.

20 21 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework To provide directions & guidance to both Leadership Committee in strategic

CEO’s Vision the teams, a top level Sustainability sustainability decision making, Risks and Compliances Management System Leadership Committee (SLC) was encourage long-term planning and takes place or any incident takes place. Values, Ethics & Integrity constituted during FY ’16 comprising facilitate sustainability initiatives of APSEZ has developed a Risk Management framework which APSEZ: Integrating Scale, of CEO APSEZ and few other members. sites. extensively uses excel based platform for tracking risks and The risk management framework takes Scope & Speed The SLC also has a representation from 4. To develop and recommend corresponding documentation. The Risk Management framework into account different types of risks i.e. emphasises on identification of risks, regular assessment as well Leading the Way each of the key divisions of APSEZ to Sustainability Leadership business risks as well as operational Sustainability Governance to facilitate smooth integration of Committee for approval of development of response plan for the identified risks. APSEZ has risks, internal risks as well as external Risks & Compliance sustainability across the organisation. sustainability strategy (including taken a step further to monitor the implementation of response risks. Typical categories / sets of risks Management System The Sustainability Leadership a sustainability management plans as well, on regular basis. monitored and managed are: Economic, Committee acts to provide direction, Financial & Compliance, Market & Materiality and Stakeholder framework and policy), targets and The risk and compliance management framework acts as a Inclusiveness oversight, and guidance throughout Customers, Competition, Regulatory / plans. precautionary mechanism adopted by APSEZ to anticipate various APSEZ to implement sustainability Policy Environment, Assets, Operations, Giant Leaps Forward 5. To review and report progress in environmental, social and economic risks as well as compliance related projects. Various other roles Socio-political, Partners, Environment, respect of sustainability strategy, related issues thereby planning corrective actions for same. Ecological Balance performed by SLC include: Employees, Local Communities, Media targets and plans of sites. Energy & Emissions The risk management framework allows identification of business Perception, and Brand Image. Each of Water Management • explanation of the economic, 6. To prepare and recommend to risks in various segments & tracking of applicable laws in the relevant these categories / sets comprises of Waste Management environmental and social impacts the Sustainability Leadership areas supported by legal compliance tracking system “Legatrix”. APSEZ various specific risks. Furthermore, this related to material aspects to the Committee for approval of annual Achieving together has also put in place strong internal control systems to evaluate classification and the risks identified Board that subsequently influence sustainability report and disclosure compliance, efficiency & effectiveness of key processes and risks. The there in are also updated from time Working with Care the assessments and decisions of as appropriate for the sites. to time to make it stay relevant with stakeholders formal risk assessment and management system driven by Board level Responsible Value Chains 7. To promote the integration of Audit Committee helps to periodically review the risk areas, evaluate respect to the time. The below table • promote integration of sustainability into business the consequences, initiate risk mitigation strategy and implement provides the functions accountable for Ripples of Change sustainability impacts and activities across sites. corrective action wherever required. The risk assessment standards various categories of risks: Way Forward... considerations into the APSEZ risk are reviewed regularly or as and when any change in system or process management framework APSEZ has established strong internal GRI Index mechanism for the implementation, • review the progress with respect to monitoring & review of sustainability action plans developed to meet the Risk Category / Set Function Accountable report by the top management of the organisational strategic objectives 102-56; 102-11; 103-1,103-2; organisation. The top management is Economy Strategic Planning 103-3; 419-1 At the onset of sustainability journey updated regarding various sustainability Financial & Compliance Finance during FY 2016, APSEZ constituted site developments including sustainability Market & Customers Marketing Teams & Strategic Planning level Sustainability Steering Committees reporting to seek their guidance (SSC) at Mundra and Hazira ports. & support. At various stages of Competition Marketing Teams & Strategic Planning During the reporting period, SSCs development, the top management Regulatory / Policy Environment Strategic Planning have also been formed at all other reviewed and guided the sustainability operational ports. report of APSEZ. Assets CEO Office & Site Heads Operations CEO Office & Site Heads Major responsibilities of the SSCs The site level steering committees include: as well as sustainability leadership Socio-political CEO Office & Site Heads committee members play a critical 1. To set out in detail the roles and Partners CEO Office & Marketing Teams responsibilities of Sustainability role in the external assurance of the Environment Environment & Sustainability Teams Steering Committee. report by a third party by being a part of discussions /interviews/meetings etc. 2. To assist the Sustainability Employees Human Resource They also help to develop the roadmap Leadership Committee in fulfilling for making necessary improvements as Local Communities Adani Foundation & Site Heads its oversight responsibilities relating suggested during the process. There are to APSEZ strategy, policy and Media Perception Corporate Communication well established roles & cross-linkages practices. Brand Image Corporate Communication between the teams at all the levels. 3. To formally engage Sustainability

22 23 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework APSEZ follows a mix of decentralised APSEZ has also established a well-

CEO’s Vision and centralised approach for risk structured IT-enabled compliance management by a person or institutions management system that provides Values, Ethics & Integrity that are best able to evaluate risks, comprehensive matrix on all applicable

APSEZ: Integrating Scale, identify mitigation actions and legal, statutory & regulatory laws and its Scope & Speed implement the actions. Responsibilities management. The system enables the are therefore decentralised. A management to track the compliance Leading the Way centralised approach is used to keep status through comprehensive Sustainability Governance track of all risk management aspect in a compliance dashboards & immediately Risks & Compliance Management System unified manner to get a comprehensive get cognizance of non-compliances. view and ensure suitable escalation. Based on the nature of task, there are Materiality and Stakeholder Apart from CEO APSEZ, CFO and Audit updates on an annual to a daily basis – Inclusiveness Committee Head, the head of CEO Office for conditional tasks on occurrence of Giant Leaps Forward and Chief Operating Head keep track of any incident; and, for preliminary tasks,

Ecological Balance all risk management functions. during pre-construction, construction and operation stages. These are then Materiality & Energy & Emissions Each site maintains a separate set of Water Management reviewed by the reviewer (functional risk registers pertaining to business, Waste Management head) & chief compliance officer. operations, safety & environment, while Achieving together each department also has a separate APSEZ engages external experts to Stakeholder Inclusiveness and detailed operational risk register carry out independent reviews of Working with Care which is used to monitor and manage the effectiveness of various business Responsible Value Chains operational risks specific to that processes. All internal audit processes department. are web enabled and managed on- Stakeholder engagement finds its Ripples of Change line by our Audit Management System place at the core of business strategy The Board reviews risk management Way Forward... (AMS). Necessary compliance reports of APSEZ. It thrives for inclusive process at least once every six months. are generated and submitted to various development and believes that the GRI Index We have put an escalation mechanism in regulatory authorities. For instance, essence of a business is wealth place based on two critical parameters – environmental compliance reports to creation for all its stakeholders. Probability of Risk Materialising and Level MoEF/SPCBs/CPCBs and, Annual Report 307-1 of Impact of Risk. Based on intensity, including BRR, to financial institutions, Beginning in FY 2015-16, APSEZ risks and their status along with suitable investors & other stakeholders. established and implemented a robust mitigation plans is escalated to CEO Stakeholder Engagement process APSEZ and then to the Board. As per the NGT order of January 2016 specifically to map the concerns of against the PIL, AHPPL had deposited The decentralised approach for stakeholders & address them through Rs. 25 Crores before the collector, , risk identification, monitoring and systematic managerial action. The following the directive of the Hon’ble management itself serves as a big process relied on development of new Supreme Court. Also the environment & driver for promoting effective risk as well as existing mechanisms. It CRZ Clearance for Phase III expansion of management culture throughout the facilitated identification of needs and APDPPL granted by MoEF&CC has been organisation. The right messages are concerns of selected stakeholders. challenged in NGT during FY 2016-17. emphasised from time to time through Apart from deriving the material There was no further hearing on both the CEO communication, newsletters and topics, the entire process was also matters during the reporting period. conclaves. The emphasis on safety and beneficial in developing mitigation security of people, cargo and machinery There have been no significant fines plans for the identified sustainability forms one of the critical elements in and non-monetary sanctions for non- risks & challenges from stakeholder’s developing a risk conscious culture in compliance with laws and regulations in perspective. In order to further the organisation. For identified roles, the social and economic area during the streamline the process, APSEZ risk management is also made part reporting period. developed a detailed stakeholder of larger process of defining roles engagement report for the FY 2016-17. and performance measurement of individuals and teams.

24 25 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework presented to the stakeholders to seek their opinion. This exercise helped to prioritise the topics with reference to ‘what’ matters CEO’s Vision 1 & ‘where’ it matters. The selection of the entities ‘along value Values, Ethics & Integrity chain’ was done using same parameters as those for selection of Identification of stakeholders to be engaged. Therefore, all the relevant stakeholder APSEZ: Integrating Scale, Addressing stakeholders groups/ individuals were included in the materiality analysis. Scope & Speed the concerns 2 8by systematic Prioritisation The most important outcome from the above mentioned process Leading the Way managerial of stakeholders has been the emergence of list of Material business topics (24 Sustainability Governance actions and according to well Risks & Compliance communicating laid down criteria topics) significant for APSEZ. The topics thus collected were further Management System discussed with the Sustainability Steering Committee and the final

Materiality and Stakeholder topics were selected after application of following principles: those Inclusiveness which were prioritised by the stakeholder groups engaged; those Discussion with Development which were reflecting the sustainability context of the organisation; Giant Leaps Forward top management Stakeholder of engagement those which were representing the significant material topics; regarding Engagement Ecological Balance plan those which had complete information in all respects. The idea 7 concerns process methodology 3 Energy & Emissions received at APSEZ was to ensure that comprehensive & required information goes Water Management into the report so that it meets the information needs of engaged Waste Management stakeholders at large. The overall selection of final material topics

Achieving together was done considering the impacts that each one could create across the value chain, thereby rendering a particular topic material Working with Care Development of Mapping the to be included in the report. materiality matrix concerns Responsible Value Chains The contents of the report derived from this analysis have been Ripples of Change Analysis of covered in the report in varying degrees. As a result of the 6 information received 4 stakeholder engagement process 12 most significant topics Way Forward... identified were Occupational Health and Safety, Training & GRI Index Development, Supplier assessment, Local communities, Grievance Mechanism, Procurement Practices, Economic Performance, 5 Compliance, Energy, Water, Emissions, Effluents & Waste.

102-40; 102-43; 102-46; 102-49 The number of material topics included in this report has Selection & Prioritisation of Stakeholders significantly reduced from last report due to various reasons such as better awareness amongst our stakeholders on sustainability In order to further strengthen its stakeholder engagement process, during the aspects has lead to selection of the most import material topics ; reporting period, APSEZ continued engagement with its key internal and external few topics were reported last year to showcase our management stakeholders including customers, suppliers, civil society organisations, local approach like forced/child labour etc. which have not been included communities, shareholders etc. This year combination of different methods were in this report. (For further details please refer our sustainability used to derive maximum information from these consultations for example, report 2015-16). customers were engaged through online sustainability questionnaires as well as These significant Material topics have been covered in the report focussed group discussions at Hazira, Dahej, Mundra, Tuna, Goa and Dhamra. in terms of data as well as Management Approach while the other relevant material topics have been covered in the form of narrative Identification of Material Topics sections. For additional topics, data has been provided wherever necessary. This report does not contain any data on the material The preliminary identification of the material topics at the topics from the value chain entities but includes description of organisational level was done keeping in mind the negative as well necessary systems & procedures to manage the same. as positive impacts that the these topics could create on the value chain, so that they represent the range of sustainability impacts of APSEZ. During the next stage, relevant material topics were

26 27 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Materiality Matrix In alignment with its approach & ambition to improve the stakeholder engagement process, awareness sessions regarding sustainability for various stakeholders were conducted which resulted in higher number of CEO’s Vision responses as compared to last year. The action plans with reference to concerns received from stakeholders Values, Ethics & Integrity were initiated and informed through various means along with this report. More details have been included in internal stakeholder engagement procedure. APSEZ: Integrating Scale,

Scope & Speed

ssessment A Training & Supplier Over the year the process has also seen major changes in design and implementation in terms of the methods Procurement E Practices

Leading the Way ducation ommunities C of Engagements, number of Stakeholders engaged, and the volume of responses received. However, the

Sustainability Governance Local ambition to make stakeholder engagement process furthermore inclusive continues at APSEZ. Risks & Compliance Occupational Management System Health & Safety Stakeholder Consultation Process: Summary Materiality and Stakeholder Inclusiveness Criteria For Key Concerns/Information Reference Stakeholder Engagement Method Frequency Selection Needs Page Nos Giant Leaps Forward Timely redressal of customer 10, 66 Ecological Balance Economic Grievances Energy & Emissions Performance Regular feedback from Water Management 25-27 Customers Waste Management More than 2 years of Yearly Awareness on Anti-corruption Achieving together Customers association or Personal Interviews (Specifically Mechanisms and Grievance 23-24 the volume of for reporting) Management System of Working with Care Grievance Business APSEZL Mechanisms Responsible Value Chains Infrastructure at Ports 11-17

Ripples of Change Transparency 19 Competitive Pricing Way Forward... Economic Vendor meet Annual Supplier Appraisal mechanism 54-55 GRI Index Environment Annual Awareness on Grievance Social More than Group Discussions (Specifically 54-55, 10 Compliance Suppliers/ Management System 2 years of for reporting) Common Aspects Vendors association 102-46; 102-47; 103-1; 102-42; Annual Better communication 54-55 102-43; 102-44 Vendor Audits (Specifically for reporting) Payment terms 54-55 Annual Efffluents Online Surveys (Specifically Employee Well Being 48-51 & Wastes for reporting) Annual Employees Random Group Discussions (Specifically Training & Development 50-51 for reporting) I nve sto ders Individual performance rs/Sharehol Annual Occupational Health & Safety 52-53 Emissions appraisals C Employment of Locals 56-63 ommunity Annual Local Random Group Discussion (Specifically Training and Development 56-63 communities Cust for reporting) Water omers Infrastructure Development 56-63 S Annual uppliers/Vendors On-line Surveys by Op (Specifically Governance 18-22 erat Investors/ third party ions nt) for reporting) (Empl geme Shareholders Energy oyees & Top Mana All Ethical operations 10 Annual General Annual Compliance / Business Meeting 23-24 Investments

28 29 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Today, APSEZ is India’s largest important input to creation of a CEO’s Vision commercial port developer and world-class port infrastructure. APSEZ operator. It manages the complete Values, Ethics & Integrity believes in the contrarian approach of logistics chain – from vessels investing to grow and create markets, APSEZ: Integrating Scale, management to anchorage pilotage- rather than merely servicing demand. Scope & Speed tug pulling-berthing-goods handling- Aided by demand revival globally, Leading the Way internal transport-storage and handling/ APSEZ has been leading across all Income Sustainability Governance processing and final evacuation by the fronts and Mundra Port continues increased by Risks & Compliance road or rail. From a company focused to be the largest commercial port in Management System on creating port capacity, APSEZ has India by handling 113.72 MMT of cargo 20.89% Materiality and Stakeholder evolved into a provider of integrated in financial year 2016-17 and total Inclusiveness port infrastructure services. APSEZ’s cargo handled across all Adani Ports Giant Leaps Forward evolution has enabled it to enter into is 168.72 MMT during FY 2016-17. alliances with leading Indian businesses APSEZ maintained better than industry Ecological Balance to provide complete logistics solutions. growth record and registered a 11% Energy & Emissions APSEZ’s port services include marine, Water Management growth in cargo volumes in financial handling intra-port transport, storage, Waste Management year 2016-17. PAT Giant Leaps Forward other value-added and evacuation Achieving together services for a diverse range of Over last year , APSEZs income increased by increased by 20.89% from Rs. 7,841.32 Working with Care customers, primarily terminal operators, 35% shipping lines and agents, exporters, crores in 2015-16 to Rs. 9,479.46 crores Responsible Value Chains Presence in importers and other port users. This in 2016-17. Profit after Tax increased by Ripples of Change helps APSEZ to diversify its income 35% from Rs. 2,913.72 crores in 2015-

Eight 7500 sources, eliminate revenue leakage, 16 to Rs. 3,919.94 crores in 2016-17. Way Forward... ports and terminals km long coastline Five maritime states reduce financial risk and compete more Earning per Share (EPS) for the year GRI Index effectively. Consequently, APSEZ’s cargo increased by 35% from Rs. 13.99 in 2015-16 to Rs. 18.89 in 2016-17. and service mix has a significant effect EPS on its results of operations. For FY 2016-17, APSEZ’s Equity Share 103-1; 103-2; 103-3 increased by Government’s infrastructure push Capital was Rs 414.19 crores and Debt was Rs. 19543.67 crores. 35% 44 13000 to build a modern economy is an berths metres of quay length

Shareholding pattern APSEZ operates eight ports and terminals across the 7,500 km long coastline Indian Public/ of India. APSEZ facilities have a pan-India footprint with presence in 5 maritime Foreign Institutional HUF: 2.91% Others: 2.12% Investors / Portfolio states of India viz. Gujarat, Goa, Andhra Pradesh, Tamil Nadu and Odisha. Two Investor: 25.40% ports / terminals are in project phase - Ennore Container Terminal will begin operations during 2017 and Vizhinjam Port which is India’s First Transhipment port Promoter Holding: is expected to be operational by 2019. 61.30%

The eight ports and terminals consist of 44 berths spanning across 13,000 metres Banks/FI/Central Govt./ State Govt./ of quay length and two single point moorings to facilitate the handling of Dry, Trusts & Insurance Companies: 4.57% Liquid, Crude oil, Containers, RoRo and Project Cargo. The operational facilities

are equipped with the latest cargo handling facilities which are not only best in Mutual Funds: 3.69% class but capable of handling the largest vessels calling at Indian ports. APSEZ has added ‘SHANTI SAGAR 17’, a Trailing Suction Hopper Dredger, to its dredging fleet. Out dredging fleet stands at nineteen dredgers. Others include NRI/Foreign Nationals, Foreign Companies, Other Corporate Bodies and Clearing Member

30 31 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Adani Logistics Limited (ALL), This will effectively contribute to the Direct Economic Value Generated and distributed (INR Crore) CEO’s Vision a subsidiary of Adani Ports and landmark “make in India” initiative of the Special Economic Zone Limited, Government of India. Particulars 2014-15 2015-16 2016-17 Values, Ethics & Integrity has commissioned and commenced A Direct Economic Value Generated Deep draught berths, minimum pre- Revenues from Operations 3,909.36 4,619.17 4,878.86 APSEZ: Integrating Scale, commercial operations at its Inland Scope & Speed Containers Depot (ICD) at Kilaraipur berthing delays and fast turnaround Revenues from Other Sources 738.16 1,172.77 1,284.67 of vessels are the factors which make Total 4,647.52 5,791.94 6,163.53 Leading the Way in Punjab. ALL already operates ICDs APSEZL stand out from its competitors. B Economic Value Distributed Sustainability Governance in Patli and Kishangarh and is a major player in the container train business. Other attributes like state-of-art Operating Expenses (Excluding Employee Wages Risks & Compliance 885.54 816.33 781.84 Management System The Company also provides other port infrastructure facilities, domain and Benefits expertise in the port services industry, Employee wages and benefits 157.56 178.92 210.99 Materiality and Stakeholder services, including infrastructure, Inclusiveness leasing and logistics services at the specialised infrastructure constructed Payment to providers of Capital 982.86 1,128.63 1,522.43 Mundra Port through its surrounding to handle specific commodities, Payment to government 450.60 624.34 704.24 Giant Leaps Forward infrastructure, including the Mundra established customer relationships, Total 2,476.56 2,748.22 3,219.50 Ecological Balance SEZ, which the Company has developed ability to facilitate port based Economic Value Retained (A-B) 2,170.96 3,043.72 2,944.03 Energy & Emissions and operates. Mundra SEZ is one of development, consistent high-quality Profit Before Tax 2,148.17 3,106.27 3,292.94 Water Management the largest operating port based multi- service and our ability to flexibly meet Profit After Tax 2,183.14 2,964.50 3,100.61 Waste Management product special economic zones in our customers’ requirements including Earnings per share (INR) 10.55 14.31 14.97 # Achieving together India. flexibility in tariffs support APSEZL Payment to provider of capital to compete with state-run as well as Finance cost 708.79 854.45 1198.4 Working with Care APSEZ’s Multi-product SEZ at Mundra is private ports. Dividend including DDT 274.07 274.18 324.03 Responsible Value Chains the largest notified SEZ in the country Total 982.86 1128.63 1522.43 Despite common hinterland in with notified area of 8481.28 Hectares. The above table consists of standalone results of APSEZ - Mundra Port. The other ports details are covered in consolidated results Ripples of Change Exports from Mundra SEZ upto March, northwest India which is shared in Annual Report FY 2016-17 on page numbers 283-285 with these ports, APSEZL has been Way Forward... 2017 was about Rs.14,423 crores Revenue (INR Crore) Net Profit (INR Crore) Volume Handled (MMT) (cumulative). Mundra SEZ with its successful in attracting substantial GRI Index cargo increase year after year and 168.72 multi-modal connectivity including road, 6163.53 3100.61 5791.94 rail, sea port and airport is expected to the trend is expected to continue in 2964.50 4647.52 2183.14 attract more and more investments in the future as well. With its state of 151.51 102-7; 201-1 the coming years. art container handling, storage and 144.25 evacuation infrastructure, APSEZ’s As part of strategy for cluster Mundra and Hazira Ports have emerged based development, an Electronics as preferred ‘Port of Call’ to key global Manufacturing Cluster (EMC) including liners. solar energy equipment & its ancillary 2014-15 2015-16 2016-17 units is being developed within the SEZ The Port Sector in India offers over an area of 259.70 Hectares. immense growth potential based on the anticipated growth in international In addition to the 16 co-developers trade and costal shipping in India. approved by Government of India With increased vessel sizes, liners for providing various infrastructure prefer ports with deep draft, longer facilities, as at March 31, 2017, total quay, lengths, high mechanisation and 37 entities have obtained approval for developed evacuation infrastructure. setting up of their units in the SEZ. For an integrated ports development Some of them have already started and operation like APSEZ, there are operations & export activities. Some are ample opportunities to grow organically under construction. These units have as well as inorganically. already invested about Rs. 2,524 crores. # APSEZ Stand alone

32 33 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework

CEO’s Vision

Values, Ethics & Integrity Energy & Emissions

APSEZ: Integrating Scale, Of all the material topics identified by APSEZ during the reporting Scope & Speed period, Energy & Emissions continue to be the significant ones Leading the Way from the previous reporting period. Ports are associated with Sustainability Governance energy demand for rendering various commercial services along Risks & Compliance with domestic consumption, which may be minimal though. The Management System activities performed at ports like crane operations for loading/un- Materiality and Stakeholder loading cargo, transportation of goods within the port premises Inclusiveness through trucks, conveyer belts etc., and the official work performed Giant Leaps Forward on computers, all consume energy either in the form of fuel or electricity. Moreover, various strategic initiatives taken by APSEZ Ecological Balance Energy & Emissions in the past few years like automation of cargo handling systems & Water Management provision of electricity to tug boats waiting at the shore while cargo Waste Management is unloaded, has led to increase in the consumption of electricity. Achieving together Ecological Balance For APSEZ, equally important are the GHG emissions which are directly related to the amount of energy consumed, which is Working with Care Ports are a key component of the economic development of the country. While impacted by the increase in total volume of cargo handled every year. Responsible Value Chains they provide an efficient and fast means of moving large quantities of cargo, several related issues like handling of cargo, movement of vehicles in and around Environmental impacts from GHG emissions caused by consumption Ripples of Change port premises, effluents from port activities and noise pollution may lead to of electricity are lower as compared to those caused by fuel Way Forward... various negative environmental impacts. For instance, handling of large quantities consumption like petrol, diesel etc., for carrying out the above of dry bulk cargo may emit dust, handling of liquid cargo through pipelines poses mentioned activities. GRI Index the potential risk of leaks and spillages and transportation of cargo to and from While we continue to strengthen the best practices to lower the port premises leads to significant air emissions. Working responsibly and energy consumption and emission, identification of new areas of keeping all the potential environmental hazards at bay, is sometimes a challenge. 103-1; 103-2; 103-3 improvement remains on the radar of the management. In this section on environment sustainability, we endeavour to bring out all The energy conservation initiatives undertaken by APSEZ are also such issues faced and the strategies developed to overcome or eliminate such attributed to national as well as international agenda like National challenges, tracing back to what we identified through materiality process in Action Plan on Climate Change & SDGs. As a result of energy direct or indirect consultation with our stakeholders. consumption, impacts are created amongst energy suppliers, The deep blue sea and the green environs around our ports is testimony to customers (who are provided off-shore electricity to prevent our efforts towards development & maintenance of our ports in a sustainable fuel consumption) as well as on APSEZ itself, owing to direct way. “Sustainability” is a continuous journey and “to be a sustainable port” is an implications on the cost as well as GHG emissions. aspiration for APSEZ. APSEZ has a defined plan of action to handle energy & GHG While Mundra and Hazira Ports are ISO 14001 certified, Tuna, Dhamra Dahej related issues. The monitoring systems have been installed at Ports have initiated the ISO certification procedure. The certification audit significant places at all the ports which help to measure the energy are completed and ISO certificates are awaited. The policies direct the various consumption patterns & analyse the same for drawing future environmental protection initiatives like energy conservation, waste utilisation interventions. The plans are reviewed by dedicated management etc. on regular basis. The company also has a dedicated horticulture department personnel at regular intervals to estimate the execution status, to look into both, marine and terrestrial greening related aspects. improvement made & decide the future course of action. Based on the data reported in FY’16 sustainability report that acts as ` During the reporting period 19.78 Crores were spend on environmental activities a baseline for Energy & GHG Emission parameters, several new including Legal & Statutory expenses, Mangrove Plantation, Horticulture Expenses, initiatives have been taken during the reporting period. Environment Day Celebration etc. across all the ports.

34 35 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework To meet its energy requirements, APSEZ relies majorly on electricity. Some covered in previous sustainability report, GHG part of energy requirement is also fulfilled through fuels like diesel, petrol, etc. inventorisation study has been carried out with the CEO’s Vision These fuels are used to perform functions including crane operations, dumper, help of external agency at all the operational ports Values, Ethics & Integrity loader operations, etc. In addition to this, petrol is utilised in two-wheelers for covered in the report during the reporting period. A transportation within the port. The actual energy source from which electricity is structured approach has been adopted to monitor APSEZ: Integrating Scale, Scope & Speed produced is difficult to predict since it is purchased from the grid. The fuels that GHG emissions & take necessary actions to mitigate we use in our processes are the non-renewable ones. the same. The study was guided by the Corporate Leading the Way Accounting and Reporting Standard under the Sustainability Governance In its efforts to rely on renewable energy sources APSEZ has commissioned Solar GHG Protocol of WBCSD which covers all the seven Risks & Compliance Roof-top plant of 1.5 MW installed capacity at Mundra. As a result 807 GJ energy Management System GHGs covered by the Kyoto Protocol. As per the requirement at Mundra Port has been met through solar energy. In addition, Wind study, during FY 2017, Scope 1 emission was 95703 Materiality and Stakeholder Turbines of 6 MW (3 turbines of 2 MW each) at Rojmal Site, Jasdan (Gujarat) tCO e and Scope 2, 158467 tCO e (including 3 major Inclusiveness have been installed to cater to the captive energy requirements of Tuna, Dahej 2 2 gases – CH , CO & N O), collectively for all the ports. and Hzira facilities respectively. This will help reduce our dependence on non- 4 2 2 Giant Leaps Forward Considering the total cargo volume (147MMT) handled renewable sources of energy from April 2017. As far as energy consumption is Therefore, considering the total cargo volume Ecological Balance during the reporting period as the denominator, the concerned, total energy consumption within the organisation (including electricity (147 MMT) handled during the reporting period as the Energy & Emissions GHG Scope 1 emission intensity was 651 tCO e/MMT as well fuels) during the reporting period was 19,29,883 GJ, combined for all the denominator, the total energy consumption intensity 2 Water Management of cargo handled & GHG Scope 2 emission intensity ports covered in the report. is 13,128.45 including electricity as well as fuels, Waste Management was 1078 tCO e/MMT of cargo handled during the during the reporting period. 2 Achieving together reporting period. APSEZ intends to bring down its From 1.5 MW solar 3 turbines of 2 MW Aligned with its plan to initiate GHG study at all the energy intensity in future by being more efficient & Working with Care ports, except Mundra & Hazira which were already rigorous in implementing future interventions. Responsible Value Chains rooftop plant each have been

Ripples of Change operation during installed to cater to Energy Conservation Initiatives Way Forward... March 2017, 807 the captive energy

GRI Index GJ energy was requirements of produced & used for facilities atTuna, Mundra: Dahej: Mundra Port Dahej and Energy reduction achieved Overall air consumption 302-1; 302-3; 305-1; 305-2; 305-4 reduced Hazira 16 ERTGs and 15 HM towers inside the terminal were Identified & implemented converted to more energy energy saving project “Reduction efficient LED lighting in reclaiming system air Details of Energy consumption in 2016-17 (GJ) solutions consumption”. Modification carried out in existing Type of Energy 2016-17 Source of Energy Dahej: Energy saving running system Electricity 6,95,709 Non-renewable operating power & distribution Solar Roof-top 807 Renewable transformer in sequential Fuel manner to control the no load losses. As loading on existing Tuna: HS Diesel 12,29,834 Non-renewable installed transformers is less, we Reduction in energy Petrol 2891 Non-renewable have started to utilise it achieved by reducing on 1 running + 1 standby FO 806 Non-renewable RPM of VFD Drive sequence LPG 643 Non-renewable conveyor KC-2C

Note: The data has been collected from inventories/log books maintained by respective departments at the port locations.

36 37 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Water Management Water Conservation Initiatives CEO’s Vision Mundra: Values, Ethics & Integrity Mundra: With fast emerging ill-effects of climate Reduction of fresh water Reuse of water for APSEZ: Integrating Scale, change over the past few decades, consumption from 5.0 MLD hydro-testing Scope & Speed water has become an important issue. to 2.5 MLD Leading the Way Inadequate availability of water may Recollection and Reuse Installation of wind screens to Sustainability Governance affect different port activities like tank of water provided for prevent frequent fire and Risks & Compliance cleaning, workshop cleaning, vehicle 150 ML of wastewater hydro testing through Management System Mundra: fugitive dust emissions washing, etc. Furthermore it may water Bowser was re-used and Water consumption resulting in reduced fresh Materiality and Stakeholder hamper the ability to minimise the reduced to 150 KL/month water consumption Inclusiveness environmental impacts caused due to approximately 5% of from 400 KL/month Mundra: Giant Leaps Forward operational activities which need water treated wastewater 40 KL of fresh water to combat the same, like coal dust Water released during testing Ecological Balance was used for greening is saved every month suppression. of Fire Fighting system is now Energy & Emissions activities being collected and used for Instead of supplying water Water Management Water is also needed for domestic recirculation, thus resulting to tugs and coast guard Waste Management consumption & horticulture. Water in reduction of fresh water vessels through pipeline, Achieving together being shared resource is also an issue consumption use of bowser has led to amongst various stakeholders. Working with Care saving of water APSEZ has a dedicated water Responsible Value Chains management plan approved by the Ripples of Change management which outlines various During the previous reporting period, APSEZ had installed 76 water-free urinals water conservation initiatives and three ‘water-free urinals’ at Mundra port on a trial basis. Having Way Forward... to re-use at different locations within targets adopted by all the ports. All ports successfully tried these out, APSEZ has installed another 76 ‘water- installed at Mundra and the ports after appropriate treatment GRI Index also have their own water conservation free urinals’ at Mundra and Hazira locations leading to substantial in ETP and STPs. Approximately 5% Hazira plans keeping in mind the resource water conservation during FY 2017. of treated wastewater has been requirements & water availability. The used for plantations and for greening Water Management Process 303-1; 303-2; 103-1; 103-2; 103-3 plans are reviewed on quarterly basis by activities during FY 2017 at all the ports management. APSEZ has given special collectively, thereby reducing the fresh Almost Cargo (Coal No waste attention to re-utilisation of waste 95% Industrial water consumption. dust suppression) water water within its premises which helps reduce its dependency on fresh water. For capturing the water consumption Liquid The utilisation of treated waste water as and waste water data, we have water tank and pipeline per the prescribed standards prevents meters installed at various locations at washing pollution of natural water bodies while the port and the data is based on actual Water Use reducing demand for fresh water for figures maintained by the Environment Ro-Ro/ different activities. department. Truck tyre washing Domestic During the reporting period, total 2817 As far as the sources of water is Approx. ML of water was consumed at Mundra, concerned, surface water accounts for 5% Tuna, Dahej, Hazira, Goa and Dhamara major consumption at all our locations. Sewage Treatment ports, the primary source of water being In Dhamara, a small part of water Effluent Plant (STP) Treatment surface water. Out of this, 151 ML of consumption was also met by ground Plant (ETP) effluent (wastewater) has been put water sources.

Treated water is entirely reused for horticulture purpose; there is no discharge of water!

38 39 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework 1. Adopting strategies to minimise impacts during operations

CEO’s Vision 2. Adopting appropriate means of waste management using 5R principles.

Values, Ethics & Integrity Effective waste management plan incorporating methods for waste minimisation and appropriate 5R APSEZ: Integrating Scale, techniques was put in place by APSEZ at Mundra and Hazira ports during the previous reporting period. Scope & Speed This has been extended to Tuna, Dahej, Dhamra and Goa ports as well during FY 2017 for appropriate waste

Leading the Way minimisation, segregation and better waste management. The waste management plan has been given full Sustainability Governance support and commitment by the top management. Risks & Compliance Management System The dedicated waste management plan entails following key steps:

Materiality and Stakeholder Inclusiveness With respect to compliance and waste management 1 practices, the topic is material for the regulatory Port Giant Leaps Forward 2 Selection authorities as well as all the port locations. Besides, Sea Water Management Oil Spill Preparedness Detailed Ecological Balance study & it is also important for the vendors in the value chain inventory of Energy & Emissions In order to maintain the quality of sea APSEZ has a well-trained and fully of APSEZ, as the way they dispose-off/recycle/reuse 3 various types Water Management water at ports the following is ensured: equipped Marine department which is the waste material collected from port premises Application of wastes Waste Management responsible for combating Oil Spill at sea. of 5Rs to generated determines the complacency of overall waste • All wastewater generated is treated They have been trained by authorised identify the management plan adopted by the organisation. Achieving together in decentralised treatment plants most suitable agencies for carrying out Oil Spill option and reused for in-house horticulture During port operations different kinds of hazardous Working with Care response activities. APSEZ has a valid purpose. No wastewater is and non-hazardous wastes are generated. Hazardous Responsible Value Chains Oil Spill Contingency Plan which has discharged into the sea. wastes generated at ports include pig waste, cotton been approved by the Coastguard. The 4 Ripples of Change Monitoring & waste, used oil and tank bottom sludge while non- • Dredged material is used for Marine team at APSEZ conducts regular reporting for hazardous wastes include paper, plastic, metal, glass Way Forward... reclamation / level raising within the mock-drills for Oil spill contingencies continuity and rubber and scrap. 1,496 metric tonnes of non- independently and in conjunction with 5 Assessing GRI Index project area. After settling of the the results hazardous waste and 537 MT of hazardous waste was dredged spoil, excess water carrying various government agencies. achieved Replicating disposed during the reporting period. The details of silt returns to the sea and it does not 6 The 6th NATPOLREX, a national level the initiative various wastes generated along with their disposal carry any impurities. at other 306-2; 103-1; 103-2; 103-3 Oil Spill Response Exercise which locations method has been given in the table below: • Monthly sampling and analysis is is aimed at testing the readiness of carried out along the entire waterfront the Pollution Response Teams of where all operations are carried out. Indian Coastguard (ICG) and other Oil Reprocess / Landfill to Incineration Reuse Recycle Analysis is done for physico-chemical, Handling and Resource Agencies was Composting TSDF to CHWIF carried out at Mundra last year on biological and microbial parameters. Non-Hazardous Waste 0 1232 90 174 0 The monitored data is recorded and 21st December 2016. The aim of the (MT) exercise was to integrate and validate submitted to the concerned statutory Hazardous Waste (MT) 184 211 0 8 134 authorities as part of six monthly Oil Spill response at sea and shoreline compliance reports. response preparedness. Disposal of Hazardous Waste (MT, percent) Disposal of Non-Hazardous Waste (MT, percent)

Dispossed to Dispossed to TSDF / Reuse: 184 TSDF/CHWIF: CHWIF: 142 (34.26%) 174 (11.63%) Waste Management (26.44%) Reprocess: 90 (6.02%) APSEZ has continued devoting efforts towards its vision for Zero Waste by Recycle: 1232 Recycle: 211 (82.35%) implementation of 5R principles of waste management (Reduce-Reprocess- (39.29%) Reuse-Recycle & Recover), aligned with Prime Minister’s ‘Clean India Mission’. At APSEZ, there are two approaches of dealing with the environmental impacts:

40 41 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Waste to Wealth Reprocess CEO’s Vision APSEZL generated 1.2 MT of organic waste per day

Values, Ethics & Integrity from port canteens from occupants of Samudra Take Make Waste Township and Shantivan Colony. In order to divert this APSEZ: Integrating Scale, waste from landfill, APSEZ has taken up a pilot project Scope & Speed and installed a small-scale biomethanation plant Leading the Way at Kishan Kanaiya Canteen near MRF Site, Mundra. Sustainability Governance Closing the loop Energy generated is utilised in the same canteen. Risks & Compliance Management System Considering the success of the project, APSEZ has planned to establish a large scale plant at the central Materiality and Stakeholder Recycled 40MT of 6MT of waste kitchen location. This plant will be sufficient to Inclusiveness 119MT of compost created sent for manage 1.2 MT food waste generated from the central Giant Leaps Forward kitchen, townships and cafeterias of the Port. Solid Waste from food waste co-processing Ecological Balance APSEZ has also developed a pilot scale Energy & Emissions vermicomposting facility at Samudra township STP Water Management Digressing from the conventional approach of “Take, Make, Waste”, APSEZ has area to manage the composting of food waste, STP Waste Management moved to embrace the concept of “Closing the loop” where waste is considered as a resource which can be used judiciously to create wealth. sludge and soil material/dung. With a successful trial Achieving together of composting of 8:1:1 ratio of dung, sludge and food APSEZ in its endeavour to become a Zero Waste organisation has taken a number Working with Care waste, high quality saleable manure is prepared. of initiatives to Reduce, Reprocess, Reuse, Recycle and Recover waste. From April Responsible Value Chains 2016 to March 2017, APSEZ has successfully recycled 119 MT of Solid Waste, created Gas Generation Capacity (m3/day) 2.0 Ripples of Change compost of 40 MT from food waste and have sent 6 MT of waste for co-processing. Kg of kitchen waste feed/day 15

Way Forward... Estimated cooking time (hour) 4

GRI Index Recover Reduce APSEZ has established a Material Recovery Facility for environmentally sound management of Dry Solid Active supporter of Digital India, APSEZ substituted tree-free paper. Instead, Waste. Presently manual sorting is being done for has reduced the use of paper in its daily agro-based products such as wheat sorting of different types of solid waste. Sorted Bioneer for composting of Organic Waste operations. We have taken a Paperless straw is used in manufacturing of paper. out different stream of recyclable material – paper, office initiative which has enabled us to plastic, cardboard, PET bottles, glass, etc – is sent for On June 2016, APSEZ launched another save 23,524 kg paper since Feb 2016. recycling. Whereas remaining non-recyclable waste is drive to eliminate the use of plastics at bailed and sent to cement plant for co-processing as This has been made possible by Mundra and Tuna ports. As a result the Reuse RDF (Refused Derived Fuel). introducing new systems in addition use of plastic commodities including APSEZ generated different types of scrap materials to improving some of the existing polythene bags, water pouches, tea such as conveyor belt, Empty plastic barrels, GI sheet, ones. For instance, the transition from cups and food parcel containers Recycle used tyre, Tarpaulin, waste oil, wire rope and wooden paper base workforce management reduced and the use of alternatives Approximately 5 MT of e-waste is generated each year ply scrap etc. All these scrap materials have been to an online workforce management such as cotton bags, increased. from port and residential colonies. This includes used used to develop various sculptures. These sculptures system. This process alone reduced the gadgets and electronic equipment like computers, are placed at various locations at APSEZ, Mundra consumption of approx. 1 lack papers a laptops, etc. These are recycled as per norms by port adding to the aesthetics of the place. During the month. Other initiatives such as thermal 44 tonne paper saved authorised agencies. reporting period 6 such sculptures were prepared printing for gate pass at Mundra and using metal & Tyre scrap. SMS-based gate pass for truck drivers, since February 2016 have been implemented. In areas where it is necessary to use paper, APSEZ has

42 43 From Litter...... to Glitter Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Each employee at APSEZ shares a common purpose and collectively works towards achieving a common objective. Over the years we have grown both in scale and scope. During the reporting period 146 new CEO’s Vision employees joined us and 111 employees bid adieu. Values, Ethics & Integrity Attrition at APSEZ 2016-17 APSEZ: Integrating Scale, Scope & Speed 15 Employees Left >50 Employees Joined Leading the Way 2 Sustainability Governance

Risks & Compliance 56 (1F Left) Management System 30-50 58 Materiality and Stakeholder Inclusiveness 40 (1F Left) <30 86 Giant Leaps Forward

0 10 20 30 40 50 60 70 80 90 100 Ecological Balance Energy & Emissions Water Management Dahej Dhamra Goa Hazira Mundra Tuna

Waste Management New Hire Gender J L J L J L J L J L J L Achieving together Achieving Together M 6 1 14 1 1 1 16 9 43 27 6 0 <30 Working with Care F 0 0 0 1 0 0 0 0 0 0 0 0 Employees are our most valuable asset and it is through their hard work, Responsible Value Chains M 0 1 10 7 4 2 11 5 31 36 2 4 diligence and perseverance that APSEZ is able to carve a niche for itself in this 30-50 Ripples of Change challenging business landscape. Our employees are our biggest strength. For us F 0 0 0 1 0 0 0 0 0 0 0 0

Way Forward... the parameters of growth are not only limited to achieving profits but also closely M 0 0 1 4 0 0 0 0 1 11 0 0 linked to employee development. We believe in growing together. As on March >50 GRI Index 31st, 2017 we are a family of 1870 proud Adanians (1860 males and 10 female F 0 0 0 0 0 0 0 0 0 0 0 0 employees including 1 differently-abled employee). Out of these employees 389 J - Joined; L - Left operate from our corporate office. 1434 contractual employees (1428 males Although we constantly search for talented and processes related to hiring, promotion and other 102-7; 102-8; 103-1; 103-2; 103-3; and 06 female employees) were hired during the reporting period. A significant 102-41; 401-1; 103-1; 103-2; 103-3 creative individuals, our focus remains to grow talent growth opportunities are non-discriminatory and portion of our activities such as horticulture, construction activities, loading- from within; enabling us to create a team of motivated transparent. Discrimination of any kind based on age, unloading the cargo, stevedoring etc. are performed by temporary workers leaders and employees to accomplish Adani Vision gender, race, religion or caste is strongly discouraged employed on short service contracts. and Goals and to drive GROWTH & SUSTAINABILITY by at APSEZ. There have been no reported cases of leveraging their full potential. discrimination during the reporting period. Permanent and contractual employee details by gender and region: To introduce new employees to the organisation, an APSEZ strives to create a workplace where employees Region/Gender Mundra Dahej Dhamra Goa Hazira Tuna initiative ‘Parth-Sarthi’ was launched. It is a structured are treated with dignity and respect. During the Total (Permanent) 966 132 121 29 196 37 induction and training programme designed with an reporting period a survey known as “Respect and objective to improve the wellbeing and productivity Dignity survey“ was launched. It was based on M (Permanent) 964 132 119 29 196 37 of employees. This provides a platform to the observable behaviours of the employees. Through this F (Permanent) 2 0 2 0 0 0 employees to imbibe ethics, values and culture of the survey employees were given the opportunity to both organisation. receive and give feedback to their reporting managers Total (Contractual) 923 63 108 6 283 47 and co-workers observable behaviours related to APSEZ has a multi-channel hiring process that M (Contractual) 923 63 102 6 283 47 respect and dignity. In addition APSEZ allows its enables hiring through various avenues including job F (Contractual) 0 0 6 0 0 0 employees to express themselves and raise concerns. portals, employee references, external consultants The issues are addressed by employees through and relevant industries. On being shortlisted, the common platforms as a result there are no trade unions candidate undergoes an interview with a panel at APSEZ. There are various committees such as health of experts before final selection. The systems and and safety committee to address employee concerns.

48 49 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework ‘Vartalap: the Annual meeting’ and ‘Town Hall Meetings’ continue to provide a APSEZ encourages a culture that During 2016-17 training programmes were organised for employees CEO’s Vision platform for employees to engage with the Top Management. During the reporting nurtures talent, provides opportunities and contractual workforce. Details of training hours are as follows: period 5 Town Hall meetings were conducted at Mundra, Dhamra and . to learn, unlearn and relearn. We Values, Ethics & Integrity No. of Avg. Training Close interaction with almost 1500 employees encouraged sharing of experiences understand that constant upgradation Category Gender Employees hours/Employee APSEZ: Integrating Scale, and thoughts. Based on feedback, specific HR initiatives were launched. For of skill and knowledge is a crucial Scope & Speed instance, new people-related policies were developed and were appreciated by prerequisite for all professionals to Male 1860 27.29 the employees. Employees Leading the Way excel in their jobs. At APSEZ, employees Female 10 12.10 Sustainability Governance are given liberty to choose their career Risks & Compliance paths and we act as a catalyst in Male 1428 12.13 Management System Contractual helping them realise the same. Female 6 13.33 Materiality and Stakeholder Inclusiveness APSEZ focuses on providing and honing APSEZ has developed a framework to strategically plan the the right skills for its employees. In line development of an indivisual employee. As a long term strategy, Giant Leaps Forward with this, unique customised workshops APSEZ will focus on these 6 pillars of capacity development to align Ecological Balance are conducted. One such workshop with business requirements. Energy & Emissions ‘Hire Right Hire bright’ was conducted Water Management with an aim to enhance competency of 1 Waste Management hiring managers. Other workshops on Align learning Achieving together issues such as building HR capacities, were also conducted. with Working with Care 6 business 2 Holistic development of our employees Support Responsible Value Chains e-learning is given prime importance at APSEZ. Integrate at the learning Ripples of Change This year we have initiated a structured workplace training-needs-identification process Way Forward... to identify training needs of all our L&D Need GRI Index employees. Analysis In a first of its kind endeavour to Manage Create a 404-3; 102-8; 404-1; 404-2; improve coverage and quality, we have learning learning 103-1; 103-2; 103-3 published a consolidated calendar for effectively culture technical and behavioural programmes Provide across all locations, enabling employees appropriate to leverage from a wide range of 5 learning 3 options learning opportunities. 4 APSEZ equips its employees with such skills that in addition to improving their work performance, also builds their capacity, enabling them to manage their career endings resulting from After the implementation of the new paternity Policy, 35 employees took paternity retirement or termination of employment. Trainings programmes leave during the reporting period and resumed work thereafter. are conducted in technical and non-Technical areas such as courses on soft skills, Technical trainings including pump & compressor: APSEZ encourages its employees to perform better and aspire to achieve greater Operation & maintenance, Container lashing etc. heights in their career. Regular performance appraisal is a medium through which performance of employees is assessed on the basis of certain parameters and During the reporting period various programmes were conducted discussions regarding trainings and skill development are undertaken. During for employee well-being under IPAD (Inner peace for advanced 2016-17, 100% employees on the pay-roll at the ports have undergone the annual determination, and IPOD (Inner peace for outer-determination). performance appraisal.

The data has been compiled as per the records available with Human Resource Department and Users Department

50 51 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework APSEZ and subsequently the wrong practices are replaced by the right and safe practices at all locations, so that we do not have any CEO’s Vision incidents and nobody suffers an injury at any of our locations for Values, Ethics & Integrity the same reason.

APSEZ: Integrating Scale, Scope & Speed Being an active space, in port sector a number of operations including container lifting, shifting and transferring of shipped Leading the Way goods etc. takes place simultaneously. Considering this workers are Sustainability Governance exposed to various risks such as road traffic, handling of hazardous Risks & Compliance Management System materials, cargo handling, hot work, chemical handling etc. which may render them prone to various occupational diseases and serious Materiality and Stakeholder body injury unless proper care is taken & adequate precautions Inclusiveness observed. As a step towards injury and accident prevention, APSEZ Giant Leaps Forward equips all employees with the necessary skills to execute their

Ecological Balance duties / tasks in a healthy and safe manner by imparting trainings Energy & Emissions like basic safety training, material handling, chemical handling, Water Management followed by job specific training and certification. Training needs Waste Management are identified through training matrix that takes into account the current function, risk profile, accident history, statutory Achieving together Working with Care requirements and previous training to employees. Based on the Working with Care details collected customised training programmes are designed. At APSEZ, Occupational Health and safety is not a set of rules. It is a way of life Responsible Value Chains for us. It is about imbibing a culture where safety is given prime importance. This Various training programmes that are conducted includes Ripples of Change culture drives down from a proactive and committed leadership at the Pinnacle Behaviour based safety training, OHS legal requirements, HSE under whose guidance the Occupational Health and safety policy was developed Management systems, First aid and emergency response, accident Way Forward... and implemented. investigation etc. GRI Index APSEZ aspires to become a globally admired OHS leader in Infrastructure space. Occupational With state of the art technology, systems and streamlined processes, APSEZ has Injury Lost Day Rate Absentee Rate Region Injury Rate (IR) Disease Rate Fatalities worked its way to implement a world class OHS framework. During the reporting Type (LDR) (AR) 103-1; 103-2; 103-3; 403-2 (ODR) period ports at Dahej, Dhamra, Tuna and Goa successfully implemented the integrated management systems whereas Ports at Mundra and Hazira were 2015-16 2016-17 2015-16 2016-17 2015-16 2016-17 2015-16 2016-17 2015-16 2016-17 recertified to IMS. Dahej LTI 0.52 0.39 0 0 1037 9 0 0 0 0

In order to inculcate a safety behaviour, various initiatives are taken by the Dhamra LTI 0.00 0.18 0 0 0 25 0 0 0 0 management. In addition to Safety walk the talk, SMS (Safety Management Goa LTI 0.00 0.00 0 0 0 0 0 0 0 0 System), Monthly OHS Newsletter “Sparsh” various other initiatives were taken during the reporting period. Some of the initiatives includes: Hazira LTI 0.23 0.07 0 0 936 444 0 0 2 1 Mundra LTI 0.26 0.21 0 0 2 147 0 0 0 1 OHS Shikhar, a biannual event when all the OHS fraternity at APSEZL comes together and share their experiences and the challenges faced while facilitating Tuna LTI 0.23 0.19 0 0 3 0 0 0 0 0 implementation of various aspects of Occupational Health and Safety, SMS and IMS Implementation, Behaviour Based Safety, Cost of accidents etc. from their There were no reported cases of any occupation-related ailments at any of the locations. Despite our various respective work places. During 2016-17, OHS Shikhar programmes were organised efforts, unfortunately 2 fatalities had taken place amongst our contractual workforce – one each at Mundra at Dahej and Dhamra Ports. & Hazira Ports. The information for accident statistics etc. is captured as per national and international During the reporting Period the OHS team came up with the OHS calendar with applicable laws and regulations such as factories act. an aim to plan out yearly OHS campaigns /activities in advance. In addition OHS APSEZ is proactively working on Health & Safety monitoring & reporting as well as devising various incident learning quiz (WWW Competition) is one of many initiatives to ensure programmes & policies for continual improvement in Health & Safety performance. that the reason for every serious incident is understood by all stakeholders at

52 53 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework in collaboration, to meet the business objectives. APSEZ has also got the process of vendor grievance CEO’s Vision Performance evaluation of 31 “A” category suppliers redressal as a part of vendor relationship management (Suppliers with whom the business volume is higher Values, Ethics & Integrity process well documented in its Agile Process according to spend analysis) was conducted in documents. APSEZ: Integrating Scale, coordination with users and operations teams for various Scope & Speed sustainability, EHS and Operational aspects. There also There is no significant change w.r.t. supply chain of Leading the Way exists the process of vendor blocking and blacklisting APSEZ in the current reporting period. In future new Sustainability Governance which is well documented in Agile and Ignite process suppliers will be added to our supply chain depending Risks & Compliance documents. In the year 2016-17, none of our vendors / upon the expansion plans Management System suppliers has been terminated. There have been no By engaging with the supply chain APSEZ has moved Materiality and Stakeholder changes in the location of suppliers, the structure of the Inclusiveness from the conventional service driven supply chain supply chain during the reporting period. strategy towards a more comprehensive concept Giant Leaps Forward APSEZ communicates with its suppliers on a regular where profits and social-environmental benefits are Ecological Balance basis through a formal communication channel realised simultaneously. Energy & Emissions including vendor meets, group discussions etc. During Water Management these meetings the concerns facing the suppliers Waste Management are discussed and corrective actions are taken In a vendor satisfaction survey Achieving together Responsible Value accordingly. In the FY 2016-17, 136 suppliers were covering more than 80 vendors, engaged. Engaging with supplier’s results in an increase Working with Care in business efficiency in addition to better vendor APSEZ received an overall rating of Responsible Value Chains relations. During the year 2016-17 APSEZ successfully 4.4 and of 4.5 in CSR and EHS criteria Chains Annual Vendor Meet as a part of stake holder’s Ripples of Change engagement process. A Vendor satisfaction survey was on a scale of 1 to 5 Way Forward... The supply chain decisions by the levels of screening to ensure that conducted in order to measure APSEZ performance GRI Index organisation determines its success to a capable & potentially capable vendors towards it’s vendor covering more than 80 vendors. large extent. It is vital to both business are selected to provide a service APSEZ was rated at average 4.4 in overall score and 4.5 and economy. In the current business categorised by the level of criticality. in CSR and EHS criteria on the scale of 1 to 5. landscape, it becomes imperative for 102-9; 102-10; 308-1; APSEZ considers “India” as local. Since our ports 103-1; 103,2; 103-3; 414-1; 102-9; the organisations to transfer skills and As a responsible business partner 102-10; 204-1 are spread across the country, we have common knowledge to its supply chain leading APSEZ screens its new suppliers on suppliers spread across the country. to multiple benefits to the business, various sustainability parameters including social and environmental society and environment. Procurement budget used for significant locations of criteria. During the reporting period operation APSEZ closely works with its suppliers 697 new suppliers commenced their and vendors to ensure that they are journey with us. 100% of them were Location Local Procurement Budget equipped to deal with issues relating to screened on social issues such as child (Rs. Crore) carbon emissions, work safety, and fair labour, discrimination etc. along with Mundra 490 wages. To the extent possible it tries to environmental issues such as effluents, Tuna 24.3 mitigate the impact of its supply chain wastes, environmental compliance etc. Goa 28 on the society and environment. Regular monitoring of the suppliers/ Dhamra 194 APSEZ has a systematic process known vendors performance is carried & Dahej 44.6 as ‘Vendor Relationship Management’ feedback is provided to help them Hazira 112.8 (VRM). This involves 3 steps – vendor improve their performance. At APSEZ, TOTAL 893.7 identification & on-boarding; vendor Value Relationship Management is performance management; & a key to optimise value through cost vendor issue management. Vendor reduction, innovation, risk mitigation, & Identification process requires multiple continuous growth achieved by working

54 55 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework through focused group discussions. This helped us initiatives more relevant, the unit adopted a cluster

CEO’s Vision design/improve the existing community development based and domain specific approach. programmes with an objective to meet their needs in Values, Ethics & Integrity The CSR Unit is supported by committees constituted an efficient manner. A need assessment study was to give direction to an effective CSR model. Village APSEZ: Integrating Scale, conducted at Mundra, Hazira, Dahej and Dhamra. development committee and cluster development Scope & Speed Some of the concerns raised by the villagers include advisory committee form an integral part of most Leading the Way the need for sports Infrastructure at Hazira & Dahej, initiatives. All The communities within the vicinity of Sustainability Governance transport facility for schools at Hazira, availability of 10 km around the port operations are covered under Risks & Compliance potable water & sewage system for villages near Dahej. our community development programmes. In addition Management System Villagers also require training in areas specific to local APSEZ is involved with multiple activities pan India. Materiality and Stakeholder foods such as papad making, etc. Inclusiveness During the reporting period, APSEZ conducted an To streamline the process the company has devised a impact assessment for the activities carried out at Giant Leaps Forward decentralised approach for CSR. It has different teams Mundra, Hazira & Dahej covering a large number Ecological Balance working at different levels. At the apex is the senior of people from the community. The batch included Energy & Emissions level corporate CSR team followed by the CSR Unit women, children, people with disability, ST/SC etc. Water Management Head who works with Project Officers and Community The objective of the study was to gauge the impact Waste Management Mobilisers (CM). These project officers and CMs that APSEZ has been able to make in the lives of the Ripples of Change engage with the communities at the ground level, Achieving together people through its initiatives in its thrust areas. understanding their needs and concerns. To make the Working with Care Community Responsible Value Chains Heath Sustainable Livelihood Development Ripples of Change

Way Forward...

GRI Index

Imparting Rural Infrastructure

413-1; 103-1; 103-2; 103-3 Knowledge Development

APSEZ is driven by its vision to improve the quality of life of the communities. It works to fulfil a broader objective of inclusive development. Its well-defined CSR Policy gives an essence of the company’s commitment towards the society. The CSR committee is responsible for monitoring the implementation of the CSR policy and plan. During FY 2017 the Company spent 47.78 Crores on CSR activities aggregating 2% of average profit for the previous three years with respect to standalone financial statements.

APSEZ through the Adani Foundation has been working on various thrust areas that it believes need immediate attention – Education, Community Health, Sustainable Livelihood Development and Rural Infrastructure Development. Within these four thrust areas, the projects and activities are planned in consultation with the beneficiary groups and local communities.

A structured process to identify the needs of the community is carried out through participatory rural appraisals, village development committee meetings, and local level consultations. During the reporting period the communities were engaged

56 57 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework Public School, Dhamra supported by Adani Foundation CEO’s Vision is providing quality English medium education at a

Values, Ethics & Integrity subsidised cost to the students from the periphery villages. Apart from this the Foundation has initiated APSEZ: Integrating Scale, and implemented several educational programmes Scope & Speed Imparting Knowledge aiming at improving quality of education in the Leading the Way government schools. Sustainability Governance Risks & Compliance Besides these ongoing projects, APSEZ through Adani Management System AVM Navchetan Project Foundation entered into an agreement with Kalinga Udaan Materiality and Stakeholder empowered Vidyalaya Institute of Social Science for building a residential benefitted Inclusiveness 395 meritorious enrolled 304 school for a thousand tribal students from Baripada students students 24,950 students area of Odisha. Giant Leaps Forward

Ecological Balance Energy & Emissions Water Management The Foundation believes that Education is the stepping stone to improve the Waste Management quality of life. Adani Vidya Mandir (AVM) Ahmedabad and Bhadreshwar provide

Achieving together “Free of Cost” quality education to the deserving young minds coming from the weaker economic backgrounds. Currently, AVM, Bhadreshwar is empowering 395 Community Heath Working with Care meritorious students with primary education out of which 137 students belongs to Responsible Value Chains fisher-folk communities. Senior Ripples of Change Adani Public School in Mundra, established in 2001 now caters to of 1480 MHCUs Citizens treated approx. Health Card students from nursery to 12th standard. The school provides value based quality Way Forward... 70,000 scheme education and is affiliated to the CBSE board. The school was awarded the patients 7487 senior GRI Index prestigious International School Award by British Council citizens

At Hazira, Navchetan Vidyalaya, has gained recognition with 304 enrolments with 50% Female students. The school is equipped with Smart Classes, sports ground In its endeavour to provide affordable and accessible health care to and other amenities that are required for student’s overall development. DPCL DAV all, the Foundation has established rural clinics in its functional areas. Mobile Healthcare Units (MHCU) have been deployed to cater to the health needs of the remote rural areas. Till date MHCUs have provided approximately 70,000 treatments at Mundra, Dahej and Dhamra ports. In addition, The Foundation has facilitated awareness campaigns, medical support, primary health care and financial assistance benefitting un-privileged patients in Mundra, Dahej, Dhamra and Hazira.

In one of its kind scheme, Foundation has provided senior citizens with a Senior Citizen Health Card. The scheme primarily focusses on the rural senior citizens with a quest to support them with necessary health based assistance. The Senior Citizen Health Card scheme currently is spread across 66 villages in Kutch District with a total of 7487 senior citizens.

In Dahej, Foundation conducts Hygiene and Sanitation awareness drives with School & Aanganwadi Children and Adolescent girls. These campaigns directly benefitted more than 4000 students from 11 schools and 13 aanganwadi, who will take these messages to their families and communities.

58 59 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework CEO’s Vision Sustainable Livelihood Values, Ethics & Integrity Development APSEZ: Integrating Scale, Scope & Speed

Leading the Way 2285 fishermen Sustainability Governance ASDC benefitted from Risks & Compliance trained 2986 Welfare Management System women programmes

Materiality and Stakeholder Inclusiveness

Giant Leaps Forward APSEZ through Adani Foundation and Adani Skill Development Centre (ASDC) is Ecological Balance working towards building capacities of the people in the community. Its various Energy & Emissions Water Management training programmes are designed keeping in mind the needs of each group in Waste Management the society including women-folk, youth, etc. In the year 2016-17, ASDC trained 2986 candidates out of which 578 were women. Most of the trainees trained Achieving together at ASDC have been able to secure jobs in various organisations. The fisher- Working with Care folks have been provided with employment during non-fishing months through trainings on mangrove plantations and avenues of painting works to generate Responsible Value Chains alternate source of income. A total of 3375 and 5068 man-days of employment, Rural Infrastructure Development Ripples of Change in mangrove plantation and painting works respectively, have been provided to the community members during the Financial Year. Apart from these, 2285 Way Forward... New fishermen have benefitted through various welfare and support programme of the 140 School Shelters 2300 m GRI Index Building Foundation. Exposure visits and trainings have been initiated in Preparatory phase refurnished road developed on 21655 sq m for introduction of cage culture and poly culture as alternative livelihood for fisher land folk at Mundra.

APSEZ through adani foundation also supported Self-Help Groups (SHGs) to empower women in rural areas. At Mundra six SHGs are producing various APSEZ is supporting the community with the infrastructure development. cleaning materials and two groups at Hazira have started Upahaar canteen Based on the needs of the community various village development activities are services for truckers. Dhamra groups are involved in production of handicrafts. designed, planned and built for the betterment of education, community health & sanitation, Water conservation and in turn improving living standards of the communities. During the reporting period an amount of Rs. 14.24 crores out of the total CSR expenditure was spent on Rural Infrastructure Development. The services provided are primarily for the benefit of the community.

Some initiatives such as construction of Individual household toilets, safe drinking water facilities have been built for the benefit of the community. In addition based on the requirements of a particular area construction activities are undertaken. During the reporting period 140 shelters were refurbished and a road measuring 2300 meters was developed at Juna Bandar.

Adani Foundation during 2016-17 hastened the process of construction of a new school building for ADANI-DAV Public school on a land measuring 21655 Smt. at Kuamara village at Dhamra site. The works of landmark school building in the district is nearly completed. It is expected to complete in July 2017.

60 61 Sustainability Report 2017 Adani Ports and Special Economic Zone Limited

Sustainability Framework

CEO’s Vision SAKSHAM awareness on cleanliness amongst the Values, Ethics & Integrity community as an acknowledgement of uniqueness of behaviour change ‘SAKSHAM’ is an initiative the of and working to expand the City IMPACT APSEZ: Integrating Scale, communication, Swachhagraha has also Adani Skill Development Centre to based Gas Grid Network of PNG Scope & Speed featured on UNESCO green initiative website. bring World Class Skills Trainings to connections of Adani Gad Ltd. Indian Youth through partnerships Leading the Way Adani Skill Development Centre has A plan is in place to launch with various Corporates and other ‘SAKSHAM’ is now being Sustainability Governance set a target of making 3,00,000 Swatchhagraha across 15 more states organisations. expanded to 8 different locations Risks & Compliance during the coming year. Indian Youth “SAKSHAM” on various in India. This programme is being Management System Various Adani group companies trades by 2022. Towards this, ASDC supported by Adani Gas Ltd. and have extended support to this signed an MoU with National Skill Materiality and Stakeholder Indian Oil Adani Gas Pvt. Ltd. Inclusiveness initiative. Job opportunities Development Corporation (NSDC) IMPACT ASDC is moving in the direction Swachhagraha is inspired by India’s are also provided to suitable in presence of Hon’ble Prime phase-wise. In the First Phase Giant Leaps Forward first and the largest mass movement candidates. Minister of India, Shri Narendra Ahmedabad, Mundra & Surat in Satyagraha led by Mahatma Gandhi. In Modi and Shri Rajiv Pratap Rudy Ecological Balance One such training programme Swachhagraha has been implemented in (Hon’ble Minister of State Skill Gujarat, Tiroda in Maharashtra, line with the Honourable Prime Ministers was conducted with support Energy & Emissions 6 cities & 3 towns of Gujarat. During the Development & Entrepreneurship) Surguja in Chhattisgarh, Vizhinjam “Swachh Bharat Abhiyan”. APSEZ has from Adani Gas Ltd. Under the Water Management year more than 650 schools are active on 19th December 2016. ASDC also in Kerala and Indore & Bhopal in initiated project “Swachhagraha”. The training programme candidates Waste Management as Swachhagraha Schools with over signed an MoU with Government Madhya Pradesh are targeted to core focus is to create a Culture of were imparted customised and 13,500 active Swachhagrahis (a person of Gujarat to establish 2 Skill be operational by end of 2017. Achieving together Cleanliness amongst the citizens with specialised training on PNG who practices Swachhagraha). And 1350 Development Centres in Gujarat on a special emphasizes on the younger connections to expand City based Preraks in Gujarat state. The awareness 12th January 2017 during Vibrant Working with Care population that has the potential to act Gas Grid Network of Adani Gas Ltd. and behaviour change communication Gujarat 8th Global Summit 2017. as agents of change. 23 trained candidates are employed Responsible Value Chains has reached to almost 325,000 students CEE- Centre for Environment Education, and outreach to community is more than Ripples of Change a Centre of Excellence supported by the 150, 000. More than 70 schools from 15 Ministry of Environment and Forests, Way Forward... states are implementing Swachhagraha Government of India was roped in as too. Under the school intervention GRI Index knowledge and implementing partner for programme, a gambit of activities took the school intervention programme. place including essay writing competitions, To reach out to mass audience, various online campaigns such as ‘Safai ke Sitare’, campaigns were launched to generate ‘Gandagi se Azadi’, etc.

SuPoshan project aims at working with pregnant women, lactating mothers & children 0-5 years of age and adolescent girls as well as reproductive age women in general. Sangini, a village health volunteer plays a pivotal role in spreading awareness, referral and promoting behaviour change among Udaan is a project inspired by the life-changing story of target groups for achieving project objectives of curbing malnutrition and anaemia. Mr. Gautam Adani, the Chairman of the Adani Group. After Training of Trainers during May 2016, SuPoshan is being implemented at 10 business sites Under this project, a free-of-cost exposure tour is covering 232 villages and 5 municipal wards. The project has selected 194 Sanginis and build their organised wherein students are given a chance to visit capacity for household survey, taking anthropometric measurement, identification Severely Acute the Adani group facilities such as Adani Port, Adani Malnourishment (SAM) & Moderate Acute Malnutrition (MAM) using ‘Measurements of mid Upper Arm Power & Adani Wilmar facilities at Mundra, Hazira, Circumference’ (MUAC) tapes. Sanginis were also trained for conducting focused group discussion Kawai, Tiroda, Dhamra and Udupi, to get an insight After successful launching and family counselling for behaviour change. into the large-scale business activities carried out at Mundra on Dec 2010, 1.96 there. The primary objective is to encourage young lakhs students/participants in- 148 children are referred to government facility of Child Malnutrition minds to develop an interest in all sorts of enterprises spired till March 2017 including Treatment Centre. Out of which, 120 children have moved to healthy status and to encourage them to dream big in life. The Adani all the six locations PAN India. Foundation believes that when young students are successfully and remaining are still undergoing the treatment. given exposure, it helps them to understand their own In FY 2016-17 almost 25000 412 SAM children are receiving ‘Ready to Use Therapeutic Food’ (RUTF) for home- IMPACT potential and get motivated to work towards the same. students and 1490 teachers based treatment under ‘Community Management of Malnutrition’ approach. from 364 educational insti- Presently project Udaan is inspiring students/ From October 2016, HB screening of Adolescent girls and women has started tutes have been benefitted participants at Mundra (Gujarat), Hazira (Gujarat), using non-evasive technique with apparatus toucHB. So far, 8933 women and through Udaan at port sites of Kawai (Rajasthan), Tiroda (Maharashtra), Dhamra 8948 adolescent girls have been screened. Mundra, Hazira and Dhamra. (Odisha) and Udupi (Karnataka).

62 63

Way Forward Appendix: Conversion Factor

APSEZ has consistently poised itself as a sustainability at global benchmarks. This also gives us a strategic foothold leader in ports and logistic industry, while keeping its deep enhancing our experience of handling world-class fully Parameter Conversion Factor commitment towards nation building. Today entire Indian automated terminals 1 kWh-0.0036 GJ ports and logistics industry is witnessing paradigm shift, Energy We have identified technology as a critical enabler we are observing changes in traditional commodity basket 1 kCal-4.18 kJ factors for business transformation and operational cost of India, new logistics player’s entrants in market, regional reductions; hence we will be continuously investing in a new Net calorific Value (NCV): 43 overcapacities and government massive investment plans technologies. Apart from developing an integrated IT system under Sagarmala with the help of private players. All these Diesel Density: 1KL=0.8325 MT landscape, we are also focusing on innovation & performance developments are creating fierce competitions in market, improvement through IoT based operations and automation. Emission Factor (tCO2): 2.65 which is going to be more intense in coming years. Going Given the demand in India, we are developing LNG and LPG forward, our key thrust area will be Financial Management; Net calorific Value (NCV): 47.3 facilities at Mundra and Dhamra and intend to expand further Customer Delight; Building the Future Ready Organization in the respective value chains. For future, our strategy Liquefied Petroleum Gas Density: 1KL=0.557 MT and; Health-Safety- Environment Protections. is to invest heavily in port based industrial infrastructure Emission Factor(tCO2): 1.66 On the economic front, Fitch continues to see APSEZ development and container businesses, especially in Ports as being well-positioned to benefit from India’s growth terminals and Inland container depots to offer complete Net calorific Value (NCV): 40.4 and related cargo opportunities. Fitch believes that the logistic solution to our clients. APSEZ target is to handle over Low Sulphur Heavy Stock Density: 1KL=0.926 MT company’s growth will be at 14% (CAGR), profits will improve 300 MMT cargo in FY 21 from current level of over 167 MMT. positive cash flows and APSEZ is committed to recover the Emission Factor(tCO2): 2.90 On the social front, to make logistics management hassle- related party loans & advances gradually. The rating would free, we are building the organizational capacity to offer Net calorific Value (NCV): 44.3 enable APSEZ to continue to tap international markets for our customers complete logistic solutions, right from E2E long term and low cost funds. Fitch’s BBB- Stable Outlook Motor Gasoline (Petrol) Density: 1KL=0.7475 MT logistics services to providing all real time information on to APSEZ is a testimony to our overall strength in the their fingertips. We also wish to develop a future ready infrastructure space and our leadership position in the Ports Emission Factor(tCO2): 2.29 organization by inculcating learning and innovation culture Sector”. Net calorific Value (NCV): 40.4 in workforce. We shall be rolling out succession planning, Adani Ports & SEZ Ltd (APSEZL), also has expansion plan for technical and behavioral training programs in organization to Residual Fuel Oil Density: 1KL=0.95 MT its existing terminal Adani International Container Terminal promote the performance driven culture to meet the need of Emission Factor(tCO2): 2.97 Private Limited (AICTPL) at its flagship Mundra port. AICTPL the businesses. will emerge as India’s largest container terminal with a total As far as environmental commitments are considered, we NCV: http://www.ipcc-nggip.iges.or.jp/public/2006gl/pdf/2_Volume2/V2_1_Ch1_Introduction.pdf quay length of 1,460 meters and cargo handling capacity will continually strive to reach our target “Mission Zero”, of 3.1 million TEUs. It will be equipped with 15 super post especially with respect to CO2 emission, waste water panamax quay cranes, capable of handling 18,000 TEU discharge, waste generation and accident free workplaces container vessels at the terminal. (zero fatality) through adoption of new technologies, fuel Continuing with its spirit to enhance its operational shift mechanism, robust focus on renewables and inculcating foothold, APSEZ has signed an agreement to acquire “Abbot safety culture. APSEZ has focus on moving towards Green Point Bulkcoal Pty Ltd (APB)”, Queensland, Australia. The Port. This shall be achieved by installing renewable energy acquisition of APB shall give APSEZ an access to operate 50 projects including solar & wind plants for its port operations. mmtpa capacity in a developed economy on a cost plus basis APSEZ will continue to increase the green cover by planting with no capital investment. This acquisition is a testimony more trees within the project boundary and also mangrove of Adani Ports’ experience and expertise in operating ports afforestation.

68 69 GRI Disclosures Index

GRI Standard Page GRI Standard Page GRI Standard Page GRI Standard Page Disclosure Disclosure Disclosure Disclosure 2016 No 2016 No 2016 No 2016 No

Economic Performance Effluents and Waste GRI 103-2: The management 102-1 Name of the organization 2 GRI 103: 51 Management approach and its components 102-2 Activities, brands, products, 103-1 Explanation of the material 103-1 Explanation of the material 11 30, 28 28, 41 Approach GRI 103-3: Evaluation of the and services GRI 103: topic and its boundaries GRI 103: topic and its boundaries 51 2016 management approach (Back Management GRI 103-2: The management Management GRI 103-2: The management 102-3 Location of headquarters 30 41 Disclosure 404-1 Average hours of Cover) Approach approach and its components Approach approach and its components 51 2016 2016 training per year per employee 102-4 Location of operations 12 GRI 103-3: Evaluation of the GRI 103-3: Evaluation of the 30 41 Disclosure 404-2 Programs for management approach management approach GRI 404: 102-5 Ownership and legal form 11 upgrading employee skills and 51 GRI 201: GRI 306: Training and Disclosure 306-2: Waste by type and transition assistance programs 8 102-6 Markets served 12 Economic Disclosure 201-1 Direct economic Effluents and 41 Education 33 disposal method 12, 33, Performance value generated and distributed Waste 2016 Disclosure 404-3 Percentage 102-7 Scale of the organization 2016 of employees receiving regular 48 Environmental Compliance 50 performance and career 102-8 Information on employees and Procurement Practices 48, 51 103-1 Explanation of the material 23, 24, development reviews other workers 103-1 Explanation of the material 28, 54, topic and its boundaries 28 GRI 103: Local Communities topic and its boundaries 55 102-9 Supply chain 54-55 GRI 103: Management GRI 103-2: The management Management GRI 103-2: The management 23,24 103-1 Explanation of the material 102-10 Significant changes to the 54, 55 Approach approach and its components 28, 56 54-56 Approach approach and its components GRI 103: topic and its boundaries organization and its supply chain 2016 GRI 103-3: Evaluation of the 2016 GRI 103-3: Evaluation of the 23,24 Management GRI 103-2: The management 102-11 Precautionary Principle or 54-55 management approach 56 23 management approach Approach approach and its components approach GRI 307: Disclosure 307-1 Non-compliance 2016 GRI 103-3: Evaluation of the 102-12 External initiatives 74 GRI 204: Environmental 56 Procurement Disclosure 204-1 Proportion of with environmental laws and 24 management approach 55 Compliance 102-13 Membership of associations 74 Practices spending on local suppliers regulations Disclosure 413-1 Operations with 2016 GRI 413: Local 2016 local community engagement, 102-14 Statement from senior Supplier Environmental Assessment Communities 56-63 8, 9 impact assessments, and decision-maker Energy 2016 103-1 Explanation of the material development programs 102-16 Values, principles, standards, 28, 54 103-1 Explanation of the material topic and its boundaries 10 28, 35 GRI 103: Supplier Social Assessment and norms of behavior topic and its boundaries GRI 103: Management GRI 103-2: The management 19, 20, 54 103-1 Explanation of the material 102-18 Governance structure Management GRI 103-2: The management Approach approach and its components 28, 54 GRI 102: 21 35 topic and its boundaries Approach approach and its components 2016 GRI 103: General GRI 103-3: Evaluation of the 2016 GRI 103-3: Evaluation of the 54 Management GRI 103-2: The management Disclosures 102-40 List of stakeholder groups 26 35 management approach 54 management approach Approach approach and its components 2016 GRI 308: 2016 102-41 Collective bargaining Disclosure 302-1 Energy GRI 103-3: Evaluation of the 49 36, 37, Supplier Disclosure 308-1 New suppliers that 54 agreements consumption within the management approach GRI 302: 69 Environmental were screened using environmental 54 102-42 Identifying and selecting organization GRI 414: 29 Energy 2016 Assessment criteria stakeholders Supplier Disclosure 414-1 New suppliers that Disclosure 302-3 Energy intensity 37 2016 54 102-43 Approach to stakeholder Social were screened using social criteria 26, 29 Water Employment engagement Assessment 103-1 Explanation of the material 102-44 Key topics and concerns 103-1 Explanation of the material 28, 48 Customer Privacy 29 28, 38 topic and its boundaries raised GRI 103: topic and its boundaries GRI 103: 103-1 Explanation of the material Management GRI 103-2: The management 12, 28 102-45 Entities included in the Management GRI 103-2: The management 48 ,49 GRI 103: topic and its boundaries 2 38 Approach approach and its components consolidated financial statements Approach approach and its components Management GRI 103-2: The management 2016 2016 GRI 103-3: Evaluation of the 12 102-46 Defining report content and GRI 103-3: Evaluation of the 48, 49 Approach approach and its components 27, 28 38 management approach topic Boundaries management approach 2016 GRI 103-3: Evaluation of the GRI 401: 12 Disclosure 303-1 Water withdrawal Disclosure 401-1 New employee management approach 102-47 List of material topics 28 38 Employment 49 GRI 303: by source hires and employee turnover Disclosure 418-1 Substantiated 102-48 Restatements of information 2 2016 GRI 418: Water 2016 Disclosure 303-3 Water recycled and complaints concerning breaches 38 Customer 12 102-49 Changes in reporting 27 reused Occupational Health & Safety of customer privacy and losses of Privacy 2016 103-1 Explanation of the material customer data 102-50 Reporting period 2 Emissions 28, 52 GRI 103: topic and its boundaries Socio-economic Compliance 102-51 Date of most recent report 2 103-1 Explanation of the material 28, 37 Management GRI 103-2: The management 103-1 Explanation of the material GRI 103: topic and its boundaries 52 28,23 102-52 Reporting cycle 2 Approach approach and its components topic and its boundaries Management GRI 103-2: The management 2016 GRI 103: 102-53 Contact point for questions 37 GRI 103-3: Evaluation of the Management GRI 103-2: The management 2 Approach approach and its components 52 23,24 regarding the report management approach Approach approach and its components 2016 "GRI 103-3: Evaluation of the 37 2016 102-54 Claims of reporting in management approach GRI 403: Disclosure 403-2 Types of injury and GRI 103-3: Evaluation of the 2 Occupational rates of injury, occupational diseases, 23,24 accordance with the GRI Standards 53 management approach Disclosure 305-1 Direct (Scope 1) Health & lost days, and absenteeism, and 102-55 GRI content index 37 GHG emissions Safety 2016 number of work-related fatalities GRI 419: GRI 305: Socio- Disclosure 419-1 Non-compliance 102-56 External assurance 2 Disclosure 305-2 Energy indirect Emissions 37 Training and Education economic with laws and regulations in the 23,24 (Scope 2) GHG emissions 2016 GRI 103: Compliance social and economic area Disclosure 305-4 GHG emissions Management 103-1 Explanation of the material 2016 37 28, 51 intensity Approach topic and its boundaries 2016

70 71 Mapping with SEBI BRR framework

Page Page Page Page SEBI-BRR Framework SEBI-BRR Framework SEBI-BRR Framework SEBI-BRR Framework No No No No

Principle-wise (as per NVGs) BR Policy/ Please indicate the Number of Are the Emissions/Waste generated by Section A: General information about the company 2 18-22 4 48 Not covered policies permanent employees with disabilities. the company within the permissible Not 6 by the GRI Governance related to BR Do you have an employee association limits given by CPCB/SPCB for the Corporate Identity Number (CIN) of the Covered 5 49 Standards. 1 that is recognized by management. financial year being reported? Company by GRI (a) Indicate the frequency with which Number of show cause/ legal notices standards the Board of Directors, Committee of What percentage of your permanent Not covered Not covered received from CPCB/SPCB which are the Board or CEO to assess the BR 6 employees are members of this in the GRI 7 by the GRI 2 Name of the Company 2 pending (i.e. not resolved to satisfaction) 3 performance of the Company. Within 18-22, 2 recognized employee association? Standards Standards. 3 months, 3-6 months, Annually, More as on end of Financial Year. 3 Registered address Back Cover Please indicate the Number of than 1 year (b) Does the Company complaints relating to child labour, Principle 7 4 Website Back Cover publish a BR or a Sustainability Report? forced labour, involuntary labour, Not Is your company a member of any What is the hyperlink for viewing this 7 5 E-mail id 2 sexual harassment in the last financial reported trade and chamber or association? If report? How frequently it is published? 1 70 year and pending, as on the end of the Yes, Name only those major ones that 6 Financial Year reported 2 Section E: Principle-wise performance financial year. your business deals with: Sector(s) that the Company is engaged 7 12 Principle 1 What percentage of your under Is your company a member of any in (industrial activity code-wise) mentioned employees were given Does the policy relating to ethics, 8 50-51 trade and chamber or association? If Not List three key products/services that the safety & skill upgradation training in 2 bribery and corruption cover only the Yes, Name only those major ones that reported 8 Company manufactures/provides (as in 11 the last year? 1 company? Yes/No. Does it extend to 10 your business deals with: balance sheet) the Group/Joint Ventures/Suppliers/ Principle 4 Principle 8 Total number of locations where Contractors/NGOs/ Others? Has the company mapped its internal business activity is undertaken by the 1 26-29 Does the company have specified How many stakeholder complaints and external stakeholders? Yes/No programmes/initiatives/ projects 9 Company (a) Number of International 12 1 56-63 have been received in the past Locations (Provide details of major 5) Out of the above, has the company in pursuit of the policy related to financial year and what percentage Principle 8? If yes details thereof? (b) Number of National Locations 2 29 2 identified the disadvantaged, 26-29 was satisfactorily resolved by the vulnerable & marginalized stakeholders. Are the programmes/projects Markets served by the Company – management? If so, provide details 10 12 undertaken through in-house team/own Local/State/National/International thereof, in about 50 words or so Are there any special initiatives taken 2 56-64 by the company to engage with foundation/external NGO/government Section B: Financial details of the company Principle 2 3 the disadvantaged, vulnerable and 56-63 structures/any other organization? List up to 3 of your products marginalized stakeholders. If so, provide Have you done any impact assessment 1 Paid up Capital (INR) 33 3 56-65 or services whose design has details thereof, in about 50 words or so. of your initiative? 2 Total Turnover (INR) 33 1 11 incorporated social or environmental Principle 5 What is your company’s direct 3 Total profit after taxes (INR) 33 concerns, risks and/or opportunities. contribution to community development Does the policy of the company on 4 56-66 For each such product, provide the projects- Amount in INR and the details Total Spending on Corporate Social human rights cover only the company Not following details in respect of resource 1 of the projects undertaken. 4 Responsibility (CSR) as percentage of 56 2 38 or extend to the Group/Joint Ventures/ reported use (energy, water, raw material etc.) profit after tax (%) Suppliers/Contractors/NGOs/Others Have you taken steps to ensure per unit of product (optional): that this community development List of activities in which expenditure How many stakeholder complaints have 5 62, 63 Does the company have procedures been received in the past financial year Not 5 initiative is successfully adopted by 56-67 in 4 above has been incurred 2 in place for sustainable sourcing and what percent was satisfactorily reported the community? Please explain in 50 Section C: Other details (including transportation)? (a) If yes, words, or so. 3 54-55 resolved by the management? what percentage of your inputs was Does the Company have any Principle 9 1 2 sourced sustainably? Also, provide Principle 6 Subsidiary Company/ Companies? details thereof, in about 50 words or so. Does the policy related to Principle 6 What percentage of customer Do the Subsidiary Company/ 1 complaints/consumer cases are 12 Has the company taken any steps to cover only the company or extends to Companies participate in the BR 1 34-53 pending as on the end of financial year. procure goods and services from local & the Group/Joint Ventures/Suppliers/ 2 Initiatives of the parent company? If 2 small producers, including communities Contractors/NGOs/others? Does the company display product yes, then indicate the number of such information on the product label, 4 surrounding their place of work? (a) 54-55 Does the company have strategies/ Not subsidiary company(s) 2 over and above what is mandated If yes, what steps have been taken to initiatives to address global reported Do any other entity/entities (e.g. improve their capacity and capability of 2 environmental issues such as climate 8-9 as per local laws? Yes/No/N.A./ suppliers, distributors etc.) that local and small vendors? change, global warming, etc? Y/N. If yes, Remarks(additional information) the Company does business with, 3 2 Does the company have a mechanism please give hyperlink for webpage etc Is there any case filed by any participate in the BR initiatives of the to recycle products and waste? If yes stakeholder against the company Company? If yes, then indicate the Does the company identify and assess what is the percentage of recycling 3 23-24 regarding unfair trade practices, percentage of such entity/entities? 5 41 potential environmental risks? Y/N of products and waste (separately as irresponsible advertising and/or Not Does the company have any project 3 Section D: BR information 10%). Also, provide details thereof, in anticompetitive behaviour during the reported about 50 words or so. related to Clean Development last five years and pending as on end 1. Details of Director/Directors Mechanism? If so, provide details Not 4 of financial year. If so, provide details responsible for BR (a) Details of the Principle 3 thereof, in about 50 words or so. Also, Reported thereof, in about 50 words or so. Director/Director responsible for if Yes, whether any environmental Please indicate the Total number of Did your company carry out any implementation of the BR policy/ Not 1 48 compliance report is filed? 1 employees. 4 consumer survey/ consumer 26-29 policies 1. DIN Number 2. Name 3. reported Please indicate the Total number Has the company undertaken any satisfaction trends? Designation (b) Details of the BR head other initiatives on – clean technology, 1. DIN Number 2. Name 3. Designation 2 of employees hired on temporary/ 48 contractual/ casual basis. 5 energy efficiency, renewable energy, 34-53 4. Telephone number 5. e-mail id etc. Y/N. If yes, please give hyperlink Please indicate the Number of 3 48 for web page etc. permanent women employees.

72 73 Mapping With UN Global Compact Principles Abbreviations

AHPPL Adani Hazira Port Pvt. Ltd. Kms Kilometre Page AICTPL Adani International Container Terminal Private KPT Kandla Port Trust Global Compact Principles GRI Standard Disclosures No Limited LED Light-Emitting Diode ALL Adani Logistics Limited LNG Liquefied Natural Gas Principle 1: Human Rights: Disclosure 413-1 Operations with AMDC Adani Management Development Centre LPG Liquefied Petroleum Gas Businesses should support and respect the protection of local community engagement, impact 56-63 AMPTPL Adani Murmugao Port Terminal Private Ltd. internationally proclaimed human rights assessments, and development programs M Meter AMS Audit Management System MAM Moderate Acute Malnutrition Principle 2: Human Rights Disclosure 414-1 new suppliers that were APB Abbot Point Bulkcoal Pty Ltd MHCUs Mobile HealthCare Service 54 Business should make sure they are not complicit in screened using social criteria APDPPL Adani Petronet (Dahej) Port Pvt Ltd human rights abuses. MLD Million Litre per Day APSEZ Adani Ports and Special Economic Zone Limited MMC MMC Corporation Berhad Principle 3: Labour ASDC Adani Skill Development Centre M&M Mines & Minerals Businesses should uphold the freedom of association 102-41 collective bargaining agreements 49 AVM Adani Vidya Mandir MMT Million metric tons and the effective recognition of the right to collective BBB Better Business Bureau bargaining MMTPA Million metric tons per annum BDRCL Dahej Railway Company Limited MoEF&CC Ministry of Environment, Forest & Climate Change Principle 4: Labour BSI British Standards Institution MoU Memorandum of Understanding Businesses should uphold the elimination of all forms of Not Reported BRR Business Responsibility Report MPT forced and compulsory labour. CAGR Compound Annual Growth Rate MRF Material Recovery Facility Principle 5: Labour CEO Chief Executive Officer MSC Mediterranean Shipping Company Not Reported Businesses should uphold the effective abolition of child CFO Chief Financial Officer MT Metric Ton labour. CM Community Mobilizers MW Mega watt 102-7 Scale of the organization 12, 33, 48 CMA CGM Compagnie Maritime Compagnie Générale Maritime NAPCC National Action Plan on Climate Change 102-8 Information on employees and other CNG Compressed Natural Gas NATPOLREX National Level Pollution Response Exercise Principle 6: Labour 48, 51 workers COO Chief Operations Officer NGT National Green Tribunal Businesses should uphold the elimination of CPCB Central Pollution Control Board discrimination in respect of employment and occupation. GRI 401: Employment 2016 49 NSDC National Skill Development Corporation CRZ Coastal Regulation Zone OHS Occupational Health and Safety GrI 404: Training and education 2016 51 CSR Corporate Social Responsibility PET Polyethylene terephthalate Principle 7: Environment: GrI 307: environmental compliance 2016 24 CT 4 Container Terminal – 4 POL Petroleum Oil & Lubricant DAV Dayanand Anglo Vedic Businesses should support a precautionary approach to GrI 308: Supplier environmental assessment PIL Public Interest Litigation 54 environmental challenges. 2016 DMA Disclosure on Management Approach PNG Piped Natural Gas DMIC Delhi Mumbai Industrial Corridor Principle 9: Environment RPM Revolutions per minute DBFOT Design, Build, Finance, Operate and Transfer Businesses should encourage the development and Environmental Protection Expenditure 34 RFD Refused Derived Fuel diffusion of environmentally friendly technologies DPCL The Dhamra Port Company Limited RUTF Ready to Use Therapeutic Food E2E End-to-End SAM Severely Acute Malnutrition Principle 10: Anti-corruption 102-16 Values, principles, standards, and ED Executive Director 10 SC Scheduled Caste Businesses should work against corruption in all its norms of behavior EMC Electronics Manufacturing Cluster forms, including extortion and bribery. SDGs Sustainable Development Goals ERTG Electrical Rubber Tyre Gantry Cranes SEBI Securities and Exchange Board of India ETP Effluent Treatment Plant SEZ Special Economic Zone ESG Environmental, Social and Governance SHGs Self-Help Groups Memberships EXIM Export Import SLC Sustainability Leadership Committee FI Financial Institutions SMS Safety Management System FY Financial Year SPCB State Pollution Control Board The Company is a member of the following key associations: GHC Greenhouse Gas SPM Single Point Mooring • Confederation of Indian Industry GI Galvanized Iron SR Sustainability Report GJ Gigajoules • Federation of Indian Export Organisations ST Scheduled Tribe GMB Gujarat Maritime Board SSC Sustainability Steering Committees • Federation of Indian Chamber of Commerce and Industry GMS Grievance Management System STP Sewage Treatment Plant GRI Global Reporting Initiative • The Associated Chambers of Commerce and Industry of India tCO2e Tonnes of carbon dioxide equivalent HB Hemoglobin • Ahmedabad Management Association TEUs Twenty Foot Equivalent Units HR Human Resources UNESCO United Nations Educational, Scientific and Cultural • Gujarat Chamber of Commerce and Industry HM High Mast Organization IAPH International Association of Ports and Harbours UNGC United Nations Global Compact APSEZ subscribes to the following externally developed principles: IMS Integrated Management System VFD Variable-frequency Drive • United Nations Global Compact INR Indian Rupee VLCC Very Large Crude Carriers ICD Inland Containers Depot VRM Vendor Relationship Management ICG Indian Coastguard WBCSD World Business Council for Sustainable IPAD Inner Peace for Advanced Determination Development IPOD Inner Peace for Outer Determination w.r.t with respect to ISO International Organization for Standardization WWW What Went Wrong 102-12, 102-13

74 75 Adani Ports and Special Economic Zone Limited

Adani House Mithakhali Six Roads, Navarangpura Ahmedabad 380 009

Tel: (+91-79) 2656 5555 Fax: (+91-79) 2555 6490 www.adaniports.com