Sustainability

Overview

Our biomass power plant with a capacity of 8 MW, located in Punjab which caters to our power division.

Our biomass power plant with a capacity of 6 MW located in Punjab, operated by our wholly owned subsidiary, MPPL, which caters to our power division.

The primary raw material which we utilize at our biomass power generation facilities is paddy straw. We also utilize wheat husk, mustard straw and cotton stalk as raw material at our biomass power generation facility. These raw materials are sourced from farmers in the areas where our biomass power generation facilities are located.

Facilities for our Power Division

Abohar Biomass Power Plant

Our Abohar Biomass Power Plant spans an area of approximately 205,681.48 square meters. The aggregate capacity of our Abohar Biomass Power Plant is 8 MW which is fully contracted for under the Power Purchase Agreement (“PPA”) entered into with the Punjab State Power Corporation Limited (“PSPCL”) on March 4, 2011.

Power Purchase Agreement

The PPA is valid for 30 years from the date of commissioning of the power plant. PSPCL has permitted the Company to interconnect the Abohar Biomass Power Plant and operate it in parallel with the PSPCL’s/ Punjab State Transmission Corporation Limited’s (“PSTCL”) system. We are under an obligation to comply with directions received from the PSTCL’s load dispatch centre or any other load dispatch centre authorised to issue load dispatch instructions by PSPCL.

Muktsar Biomass Power Plant

Our Muktsar Biomass Power Plant spans an area of approximately 141,829.67 square meters. It is operated by our wholly owned subsidiary, MPPL. The aggregate capacity of our Muktsar Biomass Power Plant is 6 MW which is fully contracted for under the Power Purchase Agreement (“PPA”) entered into by MPPL with the Punjab State Electricity Board on February 19, 2004.

Power Purchase Agreement

The PPA is valid for 20 years from the date of commissioning of the power plant. PSPCL has permitted our biomass power plant to interconnect the Muktsar Biomass Power Plant and operate it in parallel with the PSPCL’s system. We are under an obligation to comply with directions received from the PSPCL’s load dispatch centre.

We endeavour to adhere to laws and regulations relating to protection of health, employee safety and the environment. Our activities are subject to the environmental laws and regulations of India and other jurisdictions, which govern, among other aspects, air emissions, waste water discharge, the handling, storage and disposal of hazardous substances and waste, the remediation of contaminated sites, natural resource damage, and employee health and employee safety.

We believe that accidents and occupational health hazards can be significantly reduced through a systematic analysis and control of risks by providing appropriate training to our management and our employees. We have adopted an employee health and safety policy to ensure compliance with legal and other requirements related to environment and occupational health safety, in addition to ensuring resource conservation, prevention of pollution, injury and ill health of employees. The policy endeavours to ensure better health and safety of our employees through training on system awareness, risk management and consistently improving our processes to mitigate risks associated with them. We aim to ensure safe and healthy environment and further provide for medical checkups and safety measures in order to achieve zero accidents on a sustainable basis. We take initiatives to reduce the risk of accidents at our manufacturing facilities including by providing training and safety manuals to our employees and by conducting safety audits periodically. Our employees are provided appropriate personal protection equipment and we have a dedicated environment, health and safety team which is responsible to ensure adherence to safety norms. We also conduct mock drills to ensure compliance with safety norms.