Welspun is committed to taking swift and decisive action when it comes to sustainable textiles. For us, sustainability is not just a matter of prioritization, it's about acting with acceleration. As we confront the pressing challenges of environmental, social, and governance (ESG) issues, we recognize the need for agility in our approach.
As a leading home textile industry, sustainability and ESG are not just a buzzword or a box-ticking exercise. Instead, they are an integral part of our culture and business strategy.
Our goal is to ensure that ESG sustainability is integrated into every aspect of our business operations. By taking a proactive stance on sustainability, we create long-term value for our stakeholders while also making a positive impact on the world.
Welspun has undertaken several initiatives to promote environmental sustainability. We have launched initiatives that involve reducing greenhouse gas emissions by embracing sustainable alternatives to fossil fuels, the use of biomass, and other wastes to generate energy and replace fossil fuels. These efforts are a testament to our commitment to building a greener, more sustainable future for all. The efforts also include a water recycling project, waste upcycling through our SPUN initiative, and the use of ETP (Effluent Treatment Plant) sludge for energy generation.
In terms of governance, we have established an ESG & CSR committee of the board and developed a committee charter. This committee conducts quarterly reviews of our ESG performance to ensure that we meet our sustainability goals. Additionally, we implement a third-party administered whistleblower mechanism to uphold ethical standards and promote transparency.
We recognize the importance of identifying and managing environmental risks and opportunities. To achieve this, we integrate these factors into our enterprise risk management (ERM) framework. Through a comprehensive Materiality Assessment, we identified crucial material ESG issues that impact our business. We are now implementing measures based on their degree of importance to ensure that we address them effectively.
Recently, we conducted a Climate Risk and Opportunities assessment, following the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) framework. This assessment highlights ESG (environmental, social, and governance) risks facing our organization.
We present the findings of the assessment to our board committee, emphasizing the need for mitigative actions to future-proof our business. At Welspun, we initiate a series of measures to address these identified ESG risks and ensure the sustainability of our business for the long term.
Sustainalytics assessed Welspun India's ESG (environmental, social, and governance) risks and categorize them as "Low." Our score has improved significantly, decreasing from 17.9 to 14.4. Similarly, our sustainability efforts have been recognized and acknowledged by several reputable organizations like CDP, DJSI and Apex India, who have ranked, rated, and bestowed us with awards.
To ensure the long-term viability of the home textile industry, we put environmental social responsibility at the forefront. This means improving resource productivity, cost efficiency, and customer satisfaction, stakeholder engagement and supply chain management while also safeguarding the environment and promoting better health conditions for workers and wearers alike. This way, we enhance our brand reputation, increase coefficient, and lay the foundation for a more sustainable and resilient industry in the years to come.