Adaniupdates, Author at Adani Updates

Embracing The Gandhian Philosophy of Trusteeship

The trusteeship model proposed by Mahatma Gandhi is a practical approach to development that seeks to achieve economic equality in society. By emphasising an equitable distribution of work and wages, valuing both manual and mental labour equally, encouraging people to work for their own bread, and fostering a society where everyone is only entitled to as much wealth as is necessary to meet their basic needs and have free time, trusteeship aims to end the conflict between labour and capital. It encourages affluent individuals to willingly give up their riches for the less fortunate, replacing rivalry with collaboration. It is a practical way to guarantee steady advancement in the modern era.

Drawing inspiration from the Gandhian concept of trusteeship, the Adani Foundation works to establish sustainable possibilities. It accomplishes this by supporting infrastructure development, fostering a healthy community, empowering kids with skills that may generate revenue, and facilitating high-quality education. The Adani Foundation is advancing the global goal of achieving the Sustainable Development Goals (SDGs) to support the comprehensive development of communities.

Global business executives have encountered a new management hero in Mahatma Gandhi, the Father of the Indian Nation. Gandhi led the country in the fight for independence and served as a model for several essential management techniques in the modern corporate environment. These days, the Mahatma is being rediscovered as more than just the nation’s political leader who secured independence. He is regarded as a role model and a master strategist whose concepts and tactics are very significant for the corporate sector, especially in India. The definition aligns well with Gautam Adani, the visionary leader who is strategising India’s growth trajectory.

Gandhi’s Trusteeship Theory Associated with Management

In Gandhi’s Theory of Trusteeship, capitalists were obliged to view their money as being held in trust for the benefit of the underprivileged. Trusteeship is a notion that is halfway between pure capitalism and absolute communism. Gandhi remarked that those who are wealthy are the Trustees or Custodians of their riches and that this wealth is to be used for the betterment of their less fortunate fellow humans. His trusteeship theory is supported by both philosophical and religious authority. According to him, a Trustee is someone who voluntarily takes on the duty of maintaining, safeguarding, and wisely using everything they own, obtain, or earn. He held that the needs of the underprivileged and the community should always come before personal gain or self-interest.

The Adani Foundation, the Adani Group’s CSR division, has been steadfastly devoted to improving the lives of the underprivileged by making calculated social investments for long-term results across India since 1996. The Foundation has worked in the main fields of health, education, skill development, sustainable livelihood, and community infrastructure. The global Sustainable Development Goals (SDGs) and national priorities are the foundation for its strategies.

The goal of trusteeship was to create self-sufficient communities built on collaboration and self-governance, which is similar to Adani’s concept of ‘self-reliance’. Adani responds to the spirit of “Atmanirbhar Bharat” with a two-pronged approach. Adani Ports manages record-breaking cargo volumes from the bottom up, guaranteeing more seamless domestic trade. Adani Green Energy, which powers the country, uses solar energy to light up millions of households while lowering reliance on foreign fuels. Adani Defence, which seeks to produce advanced weaponry domestically, strengthens India’s defence.

The Adani Group is taking Gandhi’s philosophy of trusteeship from spinning charkhas to building solar chakras (quite literally) – a modern twist on an age-old idea that might just light the way for a more equitable future.

Cementing green initiatives for a sustainable world

With a rise in demand for buildings and rapid urbanisation, production and consumption of cement is on the rise. Billions of tonnes of cement are produced annually worldwide, leading to copious carbon dioxide emissions and a significant rise in air pollution. We need an environment-friendly approach to minimise the carbon emissions caused by cement manufacturing.

India is the second-largest market for cement in the world, and it is predicted that the demand will more than double between 2020 and 2030, according to the World Economic Forum. So, it is imperative that we address the climate change concerns.

In the last few years, the industry has seen positive changes, with more and more focus on sustainable practices to make cement manufacturing eco-friendly. According to World Cement’s report, the Indian cement sector’s contribution to carbon emissions is less than the global average. “The industry has shown phenomenal performance in terms of improving air quality. Dust emissions are reduced and cement plants conform to the environmental parameters set by statutory bodies. Government policies have energised and motivated the industry to take innovative actions to protect the environment and improve the lives of people working in the plant and living nearby,” states the report.

As per the Nationally Determined Contributions (NDCs), India is committed to reducing the emission intensity of its GDP to 45% by 2030 from the 2005 level. NDCs are the commitments that the Paris Agreement requires each country to make to reduce greenhouse gas emissions. The cement industry is aligned with India’s NDC targets and already has a low-carbon technology roadmap in place that aims to reduce direct carbon emission intensity by 45% by 2050, as per the Indian Cement Review.

Ambuja Cement and ACC Ltd, which are part of Adani Cement, are pioneers when it comes to management of natural resources, energy and waste, carbon emissions reduction, and conservation of water resources and biodiversity. Ambuja has been certified eight times water positive, which means it gives back eight times the water it consumes. The company takes pride in saying that “from using clean technology to energy conservation and reliance on green energy solutions, from institutionalised mechanisms to strict adherence to sustainable supply chain solutions ― sustained, multi-pronged efforts have helped ingrain a sustainability agenda in the company’s DNA.”

Ambuja Cement has devised innovative ways to better manage valuable resources and use them judiciously to promote sustainable development. The company’s multi-pronged strategies include the use of low-grade limestone, synthetic gypsum waste from other industries, agricultural biomass, and different industrial wastes as alternative fuel, according to a company release.

Ambuja and ACC have created social value for more than 4.6 million people by contributing to fields like healthcare, education, employment, and sustainable livelihood. They have pledged to plant 8.3 million trees by 2030, in line with the Adani Group’s ambitious plan to plant 100 million trees. Together, Ambuja and ACC used more than 21 million tonnes of resources derived from waste in FY 24, thus contributing to a circular economy. The companies reduce their carbon footprint when they recycle waste.

Geoclean, the waste management arm of the cement business, enables a green economy by safely managing solid and liquid waste and by diverting them from landfills, leading to resource conservation. It provides sustainable waste management solutions to municipal, agricultural, and industrial sectors. Leveraging state-of-the-art technology, Geoclean expertly co-processes waste from these sectors, leaving no residue behind and contributing to a regenerative circular economy.

It is time to rethink the kind of structures we build, the materials we use for building them and the impact they are going to have on our surroundings. The green steps we take today will shape a sustainable for us tomorrow.

Greening the power grid

Around 90% of the world’s power needs should come from renewable energy (RE) by 2050, according to an estimate by the International Renewable Energy Agency (IRENA). This would require an investment of more than $4 trillion globally on an annual basis – RE forming the larger chunk of the energy mix, states a report prepared under India’s G20 Presidency.

Would this mark the end of fossil fuels? Maybe it is already the “beginning of the end for the fossil fuel era”, feel some climate analysts. According to them, “Annual emissions may have peaked in 2023 as the net zero mission intensifies.” Ahead of COP28, the United States and China agreed to triple the global RE capacity by 2030. Their aim is to replace fossil fuels with RE in power generation and realise significant cuts in power sector emissions, according to their joint statement. After the U.S. and China, India is the third-largest global emitter of CO_2.

India has set an ambitious target of achieving 500 GW by 2030. To reach this milestone, it will have to add at least 50 GW of renewable energy capacity annually for the next six years, say experts. In 2023-24, we added 18.48 GW. The number maybe half the expected figure but it is over 21% higher than 15.27 GW a year ago, as per data from the Ministry of New & Renewable Energy.

By the end of this decade, 50% of the country’s energy needs would be met by renewable sources, including solar and wind power, Prime Minister Narendra Modi has said. He pledged in 2021 that India would achieve net zero emissions by 2070. As a growing major force in the global energy economy, India’s energy consumption has more than doubled since 2000, propelled by a growing population. In less than two decades, over 900 million citizens have gained a power connection, as per the IEA’s Energy India Outlook report. Rapid growth in industrialisation and urbanisation will increase the demand for energy in the coming years.

The Adani Group’s shift to clean energy is in line with India’s ambitious climate targets. Adani Green Energy Limited (AGEL) aims to contribute 9% to the government’s target of 500 GW. The world’s largest solar developer and the country’s largest renewable energy company plans to generate around 30 GW from its Khavda project – the world’s largest energy park – in Gujarat. The company has already operationalised 1,000 MW of solar energy at this plant. A robust power transmission infrastructure is taking shape in the form of a green energy corridor.

AGEL has surpassed 10,000 megawatts (MW) of operational portfolio, delivering reliable, affordable, and clean power to the national grid. “What started as a mere idea to explore clean energy has now achieved a phenomenal 10,000 MW in installed capacity in less than a decade,” said Adani Group Chairman Gautam Adani. “This achievement is a demonstration of the rapidity and scale at which the Adani Group aims to facilitate India’s transition to clean, reliable and affordable energy.”

AGEL’s operational portfolio has the capacity to power millions of homes and simultaneously avoid millions of tonnes of CO₂ emissions. It is setting a precedent for how innovative technology, execution capabilities, digitisation, a robust supply chain network, and long-term infrastructure financing, combined with sustainable practices, can drive the clean energy transition and decarbonisation on a giga scale.

India will require a huge amount of energy to fulfill its economic development plans in the coming years. As the country grows and develops, the demand for power is bound to shoot up. The government has introduced initiatives to promote renewable energy. Government policies, particularly financial support, are hugely influential in determining how the sector develops, including the direction of private sector investments, energy access, and the benefits and costs for the people, say analysts.

Changing landscape, benefiting lives

By bringing children back to classrooms, skilling women and youth for gainful employment, addressing health issues, and developing rural infrastructure, corporates are adopting activities that bring about holistic development in communities around them. From being voluntary to mandatory, corporate social responsibility (CSR) has moved on from a mere list of activities companies highlight in their reports.

The good news is that corporates understand that CSR contributes to socio-economic development of a country, and are striving towards making a positive change by working to uplift the underprivileged. They are pitching in to support the government and civil society to address problems. According to the Thomson Reuters Foundation, profit with purpose is becoming the new norm. Now, leaders of companies, both big and small, want to be recognised as “forces for good”. Corporate responsibility is becoming more widely accepted as businesses are moving beyond compliance.

With its pan-India presence, the Adani Group is helping people improve their living conditions through its CSR arm, Adani Foundation, by stepping up community welfare work in the areas of healthcare, education and women’s empowerment. It discharges its social obligations, for instance, by setting up schools, organising health camps, and providing skill training to youth and women, fulfilling the goals of government’s education, skill development, and ‘Make in India’ programmes.

Communities around its sites, whether ports or power plants, benefit from direct and indirect employment generated by the businesses. Youth – both young men and women – get employment or start their own ventures after being trained at the Adani Skill Development Centre (ASDC). To empower young girls and women, assistance is provided in the form of training to make them self-reliant. Adani Wilmar’s Project Suposhan, which is implemented by the Foundation, is another programme that not only empowers women but also helps fight malnutrition in children and pregnant women. Women trained under the project are known as Suposhan Sanginis (health volunteers), and counsel people on various matters like girl’s education and marriage. Their counselling and timely intervention has helped prevent several child marriages.

The Foundation also empowers women by promoting self-help help groups. With their help, several vermicompost units have been developed, benefiting local farmers. Women are actively pursuing dairy and organic farming in places like Kawai in Rajasthan and Kutch in Gujarat.

The Foundation aims to promote sustainable livelihoods and economic growth by reviving and promoting regional craft, like Sikki craft of Singrauli in Madhya Pradesh, Soonf and mud work of Mundra in Gujarat, Maharashtra’s Warli art, palm leaf products of Kattupalli in Tamil Nadu and coconut shell items of Vizhinjam in Kerala.

Education is a basic right that millions of children are deprived of due to reasons like poverty, gender, disability, and early marriage. The Foundation aims to mainstream such children in the formal education system. Its aim is to reduce the gap between educational resources and the inability to access quality learning. It has opened schools in the remotest of places to make education accessible to all.

With its strategies based on national priorities and Sustainable Development Goals, the Foundation is known for its innovative approach and focus on sustainability, which contributes to the well-being and wealth of communities surrounding the Adani Group’s businesses and beyond.

Clean Growth

Growing awareness around sustainability is making businesses become increasingly conscious of their impact on the planet. They can no longer afford to say ‘grow first and clean up later’ — a serious concern that was raised by four Massachusetts Institute of Technology scientists in their book, The Limits to Growth, in 1972. They suggested that in the absence of any intervention, there could be serious ecological crises, basing their findings on parameters like per-capita consumption, population, industrial and agricultural production, plotted against resource depletion and levels of pollution, including CO_2.The need is to focus on clean growth — goal 7 of the UN’s sustainability goals.

Over five decades later, we are experiencing a catastrophe-like situation which, if not tackled soon, may blow up. Discussions on putting the environment on the political agenda of the dialogue between industrialised and developing countries began in 1972 with the Stockholm UN meet being the first global conference on environment, as per an Multidisciplinary Digital Publishing Institute report. Then came the Earth Summit in Rio de Janeiro in 1992 to understand and acknowledge that it is essential to protect the environment. The Paris Agreement of 2015 can be considered a milestone and the first truly global treaty on climate action, says the report.

We observed Earth Day on 22 April, 2024. Some climate scientists believe all is not gloom and doom as we have made progress since we first observed Earth Day 50 years ago. We have been able to fix some major man-made environmental issues. We have also made remarkable headway with renewable energy — wind and solar power are the cheapest sources of electricity on the planet, and electric vehicles are now the new norm.

India is at the cusp of a green revolution, with the ability to preserve the environment and fully utilize the potential of solar and wind power. The country has set an ambitious target of achieving 500 GW by 2030. To reach this milestone, it will have to add at least 50 GW of renewable energy capacity annually for the next six years, say experts. In 2023-24, we added 18.48 GW. The number maybe half of the expected figure but it is over 21% higher than 15.27 GW a year ago, as per data from the Ministry of New & Renewable Energy.

Consistently adding to India’s renewable energy (RE) goals, Adani Green Energy Ltd (AGEL) has carried out the largest greenfield expansion. Recently, it surpassed 10,000 MW of operational portfolio, delivering reliable, affordable, and clean power to the national grid. AGEL’s operational portfolio consists of 7,393 MW solar, 1,401 MW wind and 2,140 MW wind-solar hybrid capacity. It represents about 11% of India’s installed utility-scale solar and wind capacity, contributing over 15% of India’s utility-scale solar installations. The company has created over 3,200 direct green jobs.

“The Adani Group aims to facilitate India’s transition to clean, reliable and affordable energy,” said Chairman Mr. Gautam Adani. “In our drive towards 45,000 MW by 2030, we are building the world’s largest renewable energy plant in Khavda — a 30,000 MW project unparalleled on the global stage. AGEL is not just setting benchmarks for the world but redefining them.”

These positive developments show that we are striving towards sustainability — encompassing economic, environmental, and social aspects of development.