MAHINDRA & MAHINDRA LTD. | Integrated Annual Report 2021-22

Carbon Neutrality Deep decarbonisation and carbon seque- stration are the two areas we are focusing on to achieve net-zero carbon emission. In decarbonisation, we are focusing on three big drivers – energy efficiency, renewable energy and offsetting, while residual emissions are being addressed by creating carbon sinks. In F22, the sectors progressed on their carbon neutrality targets. Key Energy Efficiency Measures Ÿ Replaced high energy consuming conventional blower with energy efficient EC (Electronically Computed) blowers in Air Handling Unit applications at Mahindra Research Valley - Chennai, Auto - Nashik and Farm - Rudrapur plant. The new blowers consume around 30% less energy compared to conventional ones. Ÿ Changed 200 old air circulators with Brushless Direct Current Motor (BLDC) air circulators that consume 35-40% less energy compared to conventional air circulators. Ÿ Installed demand side controller for air compressors in the smart device which precisely maintains the compressed air pressure and eliminates losses while delivering the higher compressed air pressure to the user area. M&M mitigated 10,432 tCO 2 through energy saving measures in the reporting year. Renewable Energy Accelerating energy transition is a key factor in our ambition to achieve carbon neutrality and contribute to counteract- ing the climate crisis. At Mahindra, we are rapidly moving from hydrocarbons to including more affordable and non-polluting energy sources in our mix, including solar and wind. M&M's renewable electricity stood at 12% in F22. Increase in utilisation of total Renewable Electricity compared to F21. 55% Transitioning to Renewable Power Mahindra has adopted a 60-MWp captive solar plant located at Parbhani district in Marathwada region of Maharashtra state, which is functional from April 2022. The plant is expected to generate 100 million units of power. This plant is the Company's most recent step towards achieving carbon neutrality by 2040 and science-based targets by mitigating 79,000 tons of annual carbon emission, which is equivalent to nurturing 3.7 million trees a year. It is also enough to supply 20,650 Indian households with power annually. MAHINDRA & MAHINDRA LTD. Integrated Annual Report 2021-22 33