Petronet

Sustainability in Petronet

Authors

Kunal Bhagat

Kunal Bhagat

Kushagra Dudhoria

Kushagra Dudhoria

Nishant Junial

Nishant Junial

aditya bhatia

aditya bhatia

ADITYA VARDHAN

ADITYA VARDHAN

School

Goa Institute of Management

Goa Institute of Management

Professor

Divya Singhal

Divya Singhal

Global Goals

6. Clean Water and Sanitation 7. Affordable and Clean Energy 13. Climate Action

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Summary

Petronet LNG(PLL) has been working strongly for the past few years in the area of sustainability in environment, conservation and excess utilization of resources. The company has been using the three R's ( Reduce, Recycle and Re-use) philosophies in everyday working of the factory . The most major innovations have been happening in the company (both internally and externally) in the following ways:

1. Energy Conservation

2. Water Conservation

3. Air Emissions

All of the above efforts are in line with the principles of Petronet as stated below:

Principle 1: Businesses should provide goods and services that are safe and contribute to sustainability throughout their life cycle

Principle 2: Businesses should promote the well-being of all employees and environment

Principle 3: Businesses should respect the interests of, and be responsive towards all stakeholders, especially those who are disadvantaged, vulnerable and marginalized

Principle 4: Businesses should respect, protect, and make efforts to restore the environment

Principle 5: Businesses should support inclusive growth and equitable development.

Innovation

We have described the innovation undertaken by the company on the three fronts as given below:

Air Emission:

Petronet is investing in technology and is upgrading its processes to reduce its impact on the quality of air. It strives to reduce the quantity of pollutant discharge by installing optimal prevention facilities, and continuously performing efficiency enhancement activities at its plants. The various parameters measured as part of continuous monitoring include the sulphur dioxide (SO2), oxides of nitrogen (NOx), carbon monoxide (CO) and respirable particulate matter (RPM10).

Energy Conservation :

Petronet aims to reduce it's green house emissions and to have a transparent report of it's emission. The energy needs of the organization is on a growing pattern since the past decade and hence it's emission are increasing. It is a major challenge for the organization to reduce it's green house emissions whilst increasing energy consumption. To achieve this mssion, the company has reduced it's direct fuel combustion at it's operational site which has led to their operational energy requirement load to grid electricity source. Further, natural consumption is being used in the on site for generating electricity and hence is now becoming major source for energy for the company.

Water Conservation:

Sustainable water management has become a prominent global environment issue along with climate change and Petronet LNG is taking significant steps to use rainwater and reduce its dependency on municipal supply. Petronet ensured that no water sources were significantly affected as an impact of its operations. It has invested significant efforts and resources towards developing rainwater. Both the terminals are zero water discharge plants, treating and reusing internally all waste water generated on site. This treated domestic waste/water is used internally for toilet flushing, greenbelt development, dust suppression etc.

Sustainability in Petronet

Inspiration

Petronet LNG is dedicated towards the following principles:

• Business should respect the interest of, and be responsive towards all the stakeholders, especially those who are disadvantaged, vulnerable and marginalized.

• Business should respect, protect and make efforts to restore the environment.

• Business when engaged in influencing public and regulatory policy, should do so in responsive environment.

Sustainable water management has become a prominent global environment issue along with climate change. Today, an increasing number of regions are experiencing severe water stress due to the variations of river flow, urbanization and climate changes. In Kerala Periyar river the water level when way below the marker place by KWA on the bed of the river Periyar which is taken as the indicator for the another natural calamity. Whereas water the water level in dug wells on the banks of the Periyar, Pampa, Bharathapuzha and Kawani have gone down drastically.

The companies official stands over water shortage was “At PLL, we are aware of our footprint and are consciously taking steps towards reducing our water consumption. During the reporting year, we ensured that no water sources were significantly affected as an impact of our operations.”

Air condition deterioration is one of the effect of climate change. Petronet LNG considers clean air as an asset and continue to enhance the technology and upgrade processes to reduce its impact on the quality of air. Petronet in effort to reduce the emission and keep in the check of emission they are establishing the station to monitor emission.

Overall impact

The innovation done at Petronet LNG towards energy and GHG emission has both short term and long term impact. Short term is the reduction in consumption of natural gas and diesel as fuel lead to reduction in carbon footprint as well as reduction in air pollution. Other than that change in lighting system and the way company has made it energy consumption effective will help it to further reduce its energy consumption and carbon footprint. It will make Petronet LNG process highly effective and cost efficient.

Petront LNG has done significant work towards the water conservation where it has reduced its fresh water footprint to a significant amount by going through water recycle process as well as rain water harvesting. These two innovation has reduced the fresh water dependency of the company. Which is beneficial for both the company and the society close to factory as both the factory of company are located in the location which has water scarcity.

Business benefit

These innovation has both monetary as well as social social benefit. In case of energy and GHG emission the innovation helped the company to save 1.7 lac rupees per annum and 481.8 MWAh of power per annum. Power consumption reduction helps the organisation reduce its carbon footprint which has social and climate impact. Organisation moving towards better and clean energy source for its organisational use benefits it.

Water conservation process has led to reduction of water use by 917% YoY which is highly significant for any processing industry. In Kochin plant company has used 34.5% of their water. These processes change has monetary benefit what we have indicated but it also have social impact. As Kochin is suffering with water level decrease in its river bed these reduction of use of water by factory helps the society for the use of water for household and for drinking. Energy consumption not only help monetary but also help to improve the air condition as one of the major source of energy in these factories were diesel, the reduction in consumption not only benefited the money wise also helped to improve the air condition of the area. Kochin is turning out to be one of the cities with deteriorating air condition.

Social and environmental benefit

GHG Emissions

Petronet has reduced it's energy consumption from natural gas by 19.7% to 114142 MMBTU and diesel fuel by 93% to 64862 litres . More over, the consumption from grid electricity has increased by 26% to 118175809 kWh.

Water Conservations:

At PLL, we are aware of our footprint and are consciously taking steps towards reducing our water consumption. During the reporting year, we ensured that no water sources were significantly affected as an impact of our operations. In the reporting year, the total water consumption at our Terminals was 149,970 m3 . As a result, 34.5% of our total water requirement in FY 2015-16 was met through rainwater harvesting, including a massive 58% of total water requirement at the Kochi terminal. Further, to reduce their fresh water footprint we are looking at ways to recycle and reuse wastewater. In this regard, both our terminals are zero water discharge plants, comprehensively treating and reusing internally all waste water generated on site. The only effluent generated is the domestic effluent of the order of 10 KL/day that is treated in the sewage treatment plant (STP) installed at all the locations.

Interview

Prabhat Singh, Md and CEO

Photo of interviewee

Watch video on YouTube

Business information

Petronet

Petronet

New Delhi, Delhi, IN
Business Website: https://www.petronetlng.com/
Year Founded: 1998
Number of Employees: 1001 to 5000

Petronet LNG was formed as a Joint Venture by the Government of India to import LNG and set up LNG terminals in the country, it involves India’s leading oil and natural gas industry players. Its promoters are GAIL (India) Limited (GAIL), Oil & Natural Gas Corporation Limited (ONGC), Indian Oil Corporation Limited (IOCL) and Bharat Petroleum Corporation Limited (BPCL). The Company is engaged in the business of LNG import and re-gasification, including operation of LNG import terminals. It is one of the fastest growing world-class companies in the Indian energy sector, has set up the country's first LNG receiving and regasification terminal at Dahej, Gujarat, and another terminal at Kochi, Kerala.

Vision of the Company

"To be a key energy provider to the nation by leveraging company’s unique position in the LNG value chain along with an international presence."

The mission statement of the company :

 Create and manage world class LNG infrastructure

 Pursue synergetic business growth opportunities

 Continue excellence in LNG business

 Maximize value creation for the stakeholders

 Maintain highest standards of business ethics and values