We are transitioning to a net zero carbon portfolio by increasing the use of clean and sustainable energy and reducing carbon emissions across our assets and their associated lifecycles. In line with our sustainability efforts, we design and operate buildings aligned with LEED (Leadership in Energy and Environmental Design) requirements certified by the United States Green Building Council (USGBC).
Our goal to achieve water neutrality across all our businesses is based on the tenets of reducing, reusing, and recycling. All our assets are equipped with Sewage Treatment Plants (STP) and rainwater harvesting systems. We are committed to minimizing wastewater discharge and promoting water recycling across our office parks.
In line with our goal of being a zero-waste campus, we have partnered with authorised vendors to treat hazardous waste and ensure that the waste is discarded as per regulatory guidelines. We aim to achieve 100% waste diversion from landfills by reducing, recycling and reusing the waste generated at our properties.
Mindful of the environmental implications of our projects, we have incorporated flora and fauna in all our parks. The tree plantation drives around our properties add to an increase in urban greenery and aid in decarbonisation. New landscape designs incorporating an increasing share of green walls, native greens and biophilic elements are in the pipeline.
In a bid to improve the sustainability performance across our supply chain we train and encourage our 700+ suppliers to adopt green initiatives and disclose their sustainability performance transparently. ESG clauses are incorporated in our agreements and contracts with major suppliers. We conduct audits and continually monitor and review their performance to ensure ESG compliance across our value chain.
To enhance the socio-economic well-being of communities near our operations and reduce our environmental footprint, we have defined a 1,000 km radius around our respective sites to evaluate the availability of local materials. We are developing a ‘Local Sourcing Data Tracker’ and incorporating a Local Sourcing Clause in all our major contracts.
To manage, monitor and regulate the use of green and eco-certified material usage in our portfolio, we have initiated the tracking of material certificates and have developed a certifications database. Our initiative to use EPD (Environmental Product Declaration) or HPD (Health Product Declaration) materials as well as third-party certified wood-based materials helps enhance the sustainability aspects of our projects.
Renewable energy consumption share
TARGET
75% by FY2025
FY2023 PROGRESS
52%
USGBC LEED certified portfolio (% of operational area)
TARGET
100% by FY2023
FY2023 PROGRESS
100%
Complete the 20 MW rooftop solar project
Evaluate installing new solar plants across Bengaluru and NCR
Energy audit for the portfolio to identify opportunities for energy efficiencies and savings
Maintain USGBC LEED Platinum O+M certification for the portfolio
Water consumption reduction
TARGET
7% by FY2025
FY2023 PROGRESS
37%1
Water audit for the portfolio to identify opportunities for water efficiencies and savings
OWC capacity increase
TARGET
25% by FY2025
FY2023 PROGRESS
4%
Upgrade the capacity of existing OWCs
Re-align waster program target to align with ‘zero to landfill’ goal
Improve biodiversity in our properties
FY2023 PROGRESS
Butterfly parks created across multiple properties
Biophilic designs and native greens incorporated in two development projects
Develop biophilic designs and promote native greens in all ongoing constructions
Continue to support local flora fauna by promoting native plants and herbs within our operational properties
Adherence to Supplier Code of Conduct
TARGET
100%
FY2023 PROGRESS
100%
Continuous performance monitoring and regular ESG audits of identified key suppliers
Local sourcing share
TARGET
70% by FY2025
H1 FY2023 progress
92%2
Continue evaluation and adoption of local vendors for sourcing materials
Increase usage of certified and eco-labeled materials
FY2023 PROGRESS
Created database for certified building materials
Identify more certified materials to be included in our database
Note: Targets set against baseline of FY2020 actuals for the portfolio (including Embassy TechVillage acquisition)
Studies
We have set a target to increase our renewable energy share to 75% by FY2025. In line with this target, we have launched a project to install rooftop solar panels across 8 of our properties. With a scale of more than 20 MW and an expected annual generation of over 30 MU and an offset potential of 23,700 tonnes of CO2 emissions, this is one of Asia’s largest solar rooftop projects.
With an expectation of 30%+ IRR, we have already secured green financing at sub-6% for this project and are targeting to complete installation by early 2023. Post commissioning, over 40% of our total baseline power consumption (considering FY2023 as the baseline year) across our business parks will be serviced by renewable energy.
Embassy Manyata in Bengaluru has 11.8 msf Grade A office space already operational, and another 3 msf under development. The adjacent Outer Ring Road (ORR) is used by park occupiers and general public. It also serves as a vital link to the airport, Yeshwanthpur railway station, and other cities such as Mumbai and Hyderabad. This has resulted in traffic congestion at and near the entry and exit gates, obstructing ORR traffic and vehicle movement to and from Embassy Manyata.
Embassy REIT engaged traffic experts to come up with a solution that could ease the congestion. The intent was to allow traffic heading towards Hebbal or KR Puram to pass through, while also allowing unhindered passage for traffic entering or exiting Embassy Manyata. With the support of government authorities, Embassy REIT built a 1-km flyover at Embassy Manyata costing around ₹1.8 billion. This massive public infrastructure upgrade is expected to decongest traffic on the stretch by up to 70%, curtail travel time by 15 minutes for over 200k daily commuters and significantly reduce pollution in the area. The ORR has been upgraded to five lanes from the previous three, resulting in a 67% increase in carriage capacity. The most rewarding result for Embassy REIT has been the reduction of carbon emissions by 10,000 metric tons equivalent per year.
Embassy Manyata at Bengaluru is one of our marquee assets and one of the largest business parks in India. The operational area of 11.8 msf hosts more than 50 global companies and their 150,000 employees. The Nagavara Lake and Hennur Lake in close proximity to the Manyata campus make the area rich in several species of different flora and fauna. This has been aided by the horticulture and landscaping efforts done by Embassy REIT inside the tech park.
A biodiversity survey was envisaged for Embassy Manyata, which could help list the different species of birds, insects, butterflies, reptiles and plants within the ecosystem of the park and to assess the current status as per International Union for Conservation of Energy (IUCN). We also expected the survey to identify biodiversity hotspots within the campus, which would also improve the awareness and importance of biodiversity among stakeholders. The biodiversity survey was completed after seven days of enumeration and observation. The survey identified 35 species of birds, 21 butterfly species and 15 species of flora. The survey recommended that green cover be increased by planting more local trees, and also recommended the construction of a butterfly garden.
Butterfly park at Embassy Manyata: The results of the biodiversity survey identified a number of butterfly species in and around Embassy Manyata. In line with the recommendations of the survey, we wanted to create a park for the butterflies in their natural habitat without displacing them. This included identifying host and nectar plants for all 21 butterfly species discovered during the survey. We also identified a small pond that could serve as a watering zone and marshy areas. All of the plants in the butterfly park have name tags and boards with information about the butterfly species that depend on the host plants.
Following the success of the butterfly garden, we launched two more pilot projects with to the goal of enriching the ecosystem around us. The first was to set up bird shelters with feeders that would attract birds from surrounding areas. The second was to set up an apiary for breeding bees which would help in pollination of trees in and around our campus. Both these pilot projects are expected to provide our occupiers further opportunities to connect with nature.
Miyawaki plantation at Embassy Manyata: Miyawaki is a Japanese technique for planting native trees in a small area to create a dense foliage in a few years. Trees of various heights and thicknesses are chosen. After about three years, the area has different categories of trees ranging from smallest shrub layer, to the small sub-tree layer, the average tree layer, and the large canopy layer. The use of native trees also ensures that they require little to no maintenance. This was a very effective way for us to create dense greenery within our limited space.
We hope that the Miyawaki forest at Embassy Manyata will restore the ecological balance of the area and help to further lower the ambient temperatures.
Almost 80% of the plastic produced in India is discarded after a single use. Some of it is burnt, causing air pollution. The rest ends up in landfills or clogs drains. It also chokes animals that eat plastic bags, etc. Plastics found in fields blocks germination and prevent rainwater absorption. The use of plastic in laying roads is an innovation that helps to reuse some of the discarded plastic. The additional benefit is that roads made using plastic have been found to be more durable. These roads have a higher load-bearing capacity and are more resistant to rain.
We implemented this technology when repaving roads inside Embassy Manyata, and added 8% of shredded plastic to the bitumen per the design mix.
The Express Towers building in Mumbai was built in 1973 when STP installation was not mandatory as the building came up before the Environmental Impact Assessment (EIA) notification published in 2004. However, keeping our ESG-led operations in mind, we installed an STP in Express Towers in FY2022, going beyond compliance obligations.
Constructing the STP in the building was not without its challenges. The basement where the STP was to be built offered little space and had a low ceiling. Therefore, we had to shift the existing MEP store in the basement to another location to make space. The compact bio cast technology used for construction helped us complete 80% of the effort off-site in the factory, with only 20% of the activities being done on-site. This helped minimise the disruptions caused by on-site civil work to business as usual operations.
We commissioned the 65 KLD MBBR STP in May 2021. It has been operating at close to optimal capacity since June 2021. This recycled water is used in the toilet flushes, cooling towers, and gardens, thereby reducing our dependency on tankers and other fresh water sources.
