Adani Ports Bags Top Spot For Climate Actions, Environmental Performance

Adani Ports and Special Economic Zone Ltd (APSEZ) has achieved the highest ranking for its climate initiatives and environmental efforts in evaluations conducted by four international rating agencies.

According to a statement from the group, APSEZ has been awarded a leadership band A- by the CDP, acknowledging the company's commitment to adopting the most effective strategies to address the challenges and opportunities related to climate change. The assessment, conducted by the CDP on behalf of investors with assets under management totaling more than USD136 trillion, involved around 23,000 companies, representing over half of the global listed market cap.

APSEZ was awarded an A rating for its efforts in reducing emissions, climate governance, and risk management. Only a few companies achieve this level of leadership recognition annually.

APSEZ has achieved first place in the environmental category of the S&P Global Corporate Sustainability Assessment (CSA) 2023, outperforming 324 top companies in the Global Transportation and Transportation Infrastructure sector, encompassing marine ports, shipping, air, road and rail transport, logistics, mass transit system, and other transport-related enterprises, as mentioned in the statement.

The environmental aspect accounts for 56 percent of the climate indicators and strategy, with APSEZ showing improvement for the third year in a row to claim the top spot. In the comprehensive ESG evaluation, APSEZ ranks in the 96th percentile, placing it among the top 15 companies in the sector worldwide. It seems to be the sole port operator included in the list.

The latest update from January 2024 has positioned APSEZ at the top of the ports industry according to the Sustainalytics Low Carbon Transition Rating.

The indicator assesses how closely the company's projected emissions align with the global net zero goal. Sustainalytics determined that the company's current projected emissions are in line with a 1.7oC increase in global temperature. However, APSEZ has pledged to achieve net zero by 2040, ten years ahead of the global requirement for greenhouse gas emissions to reach net zero to limit the temperature increase to 1.5oC.

Sustainalytics has given APSEZ a low to negligible risk rating for its environmental practices, including biodiversity, land use, emission control, pollution control, and waste management, due to the company's strong risk management framework.

APSEZ was also given a 'Advanced' rating in the recent Energy Transition Rating by Moody's, indicating its strong leadership position.

In addition, Moody's assessed APSEZ based on environmental, social, and governance criteria in 2022. The company achieved the top position in the Transport and Logistics sector and ranked ninth across all sectors/industries in the Global Emerging Markets.

In India, APSEZ secured the top spot for ESG performance across all sectors. Rating agencies assessed 4,885 companies worldwide based on various ESG indicators, policies, processes, and systems. Moody's is expected to conduct the next evaluation later this year.

Adani Ports and Special Economic Zone Ltd, which is a component of the widely varied Adani Group, has transformed from a port company to a comprehensive Transport Utility that offers a complete solution from its port entrance to the customer's entrance.

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