Business Ethics and Sustainability

GROUP ASSIGNMENT

POST GRADUATE DIPLOMA IN MANAGEMENT

(Term-III; Batch 2021-23)

Under the Supervision of:

Dr. Tavishi Tewary

JAIPURIA INSTITUTE OF MANAGEMENT

A-32 A, Sector 62, Institutional Area, Noida- 201309 (U.P.)

Submitted by: GROUP 2

Dipannita Sadhukhan (PGFB2121)

Adarsh Jain (PGFB2104)
Nipun Maheshwari (PGFB2137)
Muskan Madhwani (PGFB2134)
Shivam Bansal (PGFB2147)
Introduction-
GAIL (India) Limited is India's major natural gas firm, having broad interests in trading,
transmission, LPG production and transmission, LNG re-gasification, petrochemicals, city
gas, E&P, and other areas of the natural gas value chain. It owns and manages a natural gas
pipeline network spanning the length and width of the country, totaling 13,340 kilometres. It
is also executing many pipeline projects at the same time in order to increase the spread.
GAIL has a 70 percent market share in gas transmission and a 50 percent market share in gas
trading in India. GAIL and its subsidiaries/joint ventures control a sizable portion of the city
gas distribution market. GAIL has a sizable portfolio in the liquefied natural gas (LNG)
sector. GAIL is also increasing its renewable energy portfolio, which includes solar, wind,
and biofuel.

Sustainability at GAIL-
GAIL’s attitude to sustainability is ingrained in the way they run the company. The company
thinks of sustainability as a way of generating long-term value by analysing our company's
activities in terms of the environment's ecological, economic, and social aspects. They've
included sustainability criteria into the business plan to ensure the company's long-term
viability and to maintain the leadership position in all areas.
Through effective product delivery and operational performance, they responsibly meet the
needs of consumers and other stakeholders. The sustainability strategy is carefully created
based on stakeholder needs, national goals for affordable energy and energy security, and the
country's expanding natural gas consumption.

Sustainability Policy-
Sustainable Development Steering Committee-
The Sustainable Development Steering Committee backs up the Sustainable Development
Policy directives and is responsible for carrying out the company's sustainability goals as well
as risk and performance management. They also take adequate steps to guarantee policy
compliance, including direct oversight of all sustainability projects.

E-Pragati-
GAIL has also established a digital platform called 'E-Pragati' to track the efficacy and
development of the company's sustainability activities. Using the unique ID and a list of
milestones reached during the project, they follow the success of a sustainability. Details such
as the project's start and finish dates, geographic location, future targets/milestones, and so on
are automatically presented on this platform.

Sustainability initiatives at GAIL FY19-20-

In FY 19-20, a total of 120 sustainability initiatives were filed across locations, with
approximately INR 80 crore invested.
GAIL used the CII Green Co Rating System. Green Co Rating is a comprehensive framework
that uses the life cycle method to evaluate firms on their environmental friendliness. It is the
"first of its type in the world." Green Co rating implementation gives firms with leadership
and direction on how to make their goods, services, and processes more environmentally
friendly.
Green Co has been named one of the top 50 best practises in the world for supporting green
industry activities by the United Nations Industrial Development Organization (UNIDO).
Exclusive seminars for top executives from GAIL Sites were held at the CII-Green Business
Centre in Hyderabad to help them go forward with the implementation. Several sites had
already begun the process of implementing it. Several efforts, such as carbon neutral
meetings, the elimination of single-use plastics, and staff knowledge and sensitization on
sustainability and biodiversity, have also been implemented across locations.
Major sustainability Initiatives FY19-20-

CSR Policy-
The organisation executes CSR initiatives primarily concentrating on target groups
recognised in the clause, such as BPL, SCs, STs, OBCs, PWDs, and communities near GAIL
labour centres, etc., based on GAIL's operational guideline to CSR Policy.
The Corporate Social Responsibility (CSR) wing plans and implements its community
interactions and projects. The internal CSR committee efficiently directs GAIL's CSR
initiatives. The committee was established in accordance with Section 135(1) of the
Companies Act of 2013. It gives direction and meticulously oversees CSR initiatives.
The GAIL CSR Committee evaluates and approves CSR initiatives based on the needs and
desires of local communities. The following are the steps involved in doing a need analysis:
 Through a field evaluation, the local CSR team identified needs.
 Requests from communities, local governments, and the district administration
 Needs assessments conducted by other parties
 International organisations and ministries issue reports, publications, and surveys.
 Representatives of the people have made requests for their respective constituencies.
CSR Initiatives-
Hriday-
GAIL's Hriday initiative's main goal is to blend in with the communities and cultures in
which we work by providing proper outreach. The goal with this programme is to address and
promote key societal issues. The company focuses on supporting the socio-economic
development of the places where they conduct the projects through GAIL's Hriday
programme. 7 initiatives taken under this programme are listed below-
1. Arogya-
The following are GAIL Arogya Initiatives:
 To enhance the local communities' health and sanitation amenities
 Water conservation and community nutrition activities will be implemented.
 To support and advocate for the government's initiatives to enhance health and
sanitation facilities.
 To run Mobile Medical Units (MMUs) in Madhya Pradesh, Uttar Pradesh, Gujarat,
Haryana, Uttarakhand, Andhra Pradesh, and Punjab, among other states.
 To increase the accessibility and availability of potable water in the targeted areas.

2. Ujjwal-
The following are GAIL Ujjwal initiatives:
 To assist in the building of infrastructure for the education of children from
impoverished and marginalised communities.
 To aid in the renovation of different government school facilities, including IT
facilities, scientific labs, and the procurement of equipment and stationery.
 Through scholarships, specialised residential coaching, and mentorship for
competitive examinations such as IIT JEE, etc., Project Utkarsh under the GAIL
Ujjwal initiative aims to encourage and assist the study of meritorious students from
underprivileged areas of society.
 Under the GAIL Charitable and Education Trusts, to pursue activities solely focused
on the sphere of education.

3. Kaushal-
The initiative of GAIL Kaushal is:
 To offer women and youth with opportunity to enhance their income via skill
development. This is accomplished through the GAIL Institute of Skills in Guna (MP)
and Nagaram (TN) (Andhra Pradesh). These institutes serve kids from rural and
backward regions with skills training in auto CAD, web design, domestic BPV/BPO,
welding, industrial electrician, CNC operator, instrument technician, retail associate,
and masonry.
 4. Unnati-
The following are GAIL Unnati initiatives:
 Empowering women from economically disadvantaged and marginalised
backgrounds. All interventions are carried out in accordance with the Department of
Public Enterprise (DPE) standards and the Companies Act of 2013.

5. Sashakt-
The following are GAIL Sashakt initiatives-
 Sashakt emphasises on areas to execute initiatives that empower women around the
country.

6. Saksham-
Initiatives of GAIL Saksham were:
 Recognize and respond to the needs of differently abled people and the elderly.
 To make every attempt to provide kids with special needs with hearing aids and other
assistive devices.

7. Harit-
The following are GAIL Harit Initiatives:
 Contribute to the planet's restoration by conserving the environment
 To lessen the harmful consequences of GAIL's operations

Critical Analysis of sustainability practices of GAIL-

The GAP-
Improvement suggestions for future-
Challenges faced by GAIL-
In the Krishna-Godavari (KG) basin in Andhra Pradesh, GAIL Ltd prioritised oil and gas
production and extraction over environmental and pollution mitigation measures, according
to a report released by the National Green Tribunal (NGT) on April 13, 2021.
 Agricultural land, water bodies polluted
After hearing a plea alleging air, sound, soil, and water contamination as a result of activities
by GAIL India Ltd and ONGC plants in Andhra Pradesh along the basin, the tribunal ordered
the formation of the joint expert committee on September 8.
According to the petition, oil leakage in the pipelines of these units — Tatipaka GGS,
Kesanapalli GGS, and Odalarevu GGS — was destroying farming land and endangering
water bodies.
The units were also accused of breaking the coastal regulation zone (CRZ) at Kesanapalli,
East Godavari, by disposing of treated effluents in the sea.
Recommendations:
It ordered the Kesanapalli GGS to stop dumping treated effluent into a marine outfall near the
coast right away. The conditions indicated in the CFO issued by the APPCB should be
followed for disposing of treated effluents.
 Poor infrastructure
The committee noted that coal tar enamel (CTE) tubes older than 30 years were still in use at
the stations; according to the report, CTE pipelines should not be utilised for more than 20
years.
Recommendations:
According to the committee, this gas must be processed to meet the Petroleum and Natural
Gas Regulatory Board's H2S concentration requirements of less than three ppm before being
sent to GAIL Ltd.