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HPCL SR 2020-21 For Web

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Contents

2 About this Report


4 From Chairman &
Managing Director’s Desk
10 Message from Directors

12 About HPCL
The year was indeed challenging for the 14 Organisation Profile
nation and its people due to the pandemic.
22 Vision, Mission and Values
The incredible courage and selfless service of
the frontline workers, dedication and tireless 23 Corporate Governance
efforts of the employees and channel partners
26 Internal Systems and Controls
and unwavering faith of our stakeholders helped
HPCL exhibit a high degree of agility, resilience 31 Supply Chain
and responsiveness during the crisis.
32 Memberships and Affiliations
We remain committed to continue meeting the
33 Awards and Recognitions
energy needs of the people and the economy.
We aim at remaining concentrated on delivering
consistent, competitive and responsible value
creation through sustainable business models
with an optimal mix of strengthening the core
business areas while leveraging new opportunities
in a cleaner and environmental friendly way.
Our unwavering focus on our myriad ESG
initiatives is the testimony to our belief that
responsible growth thrives on sound ESG
practices. Illustration used on the cover page
of this years’ Sustainability Report depicts the 36 Stakeholder
universe of a few initiatives that forms a part of
ESG in our business practices.
Engagement and
Materiality
37 Governance & Policies
Registered Office and
38 Stakeholder Engagement
Corporate Headquarters
Hindustan Petroleum Corporation Limited,
Petroleum House, 17, Jamshedji Tata Road,
Mumbai – 400 020, Maharashtra, India

Marketing Headquarters
Hindustan Petroleum Corporation Limited,
Hindustan Bhawan, 8, Shoorji Vallabhdas
Marg, Ballard Estate, Mumbai – 400 001,
Maharashtra, India
48 Economic 72 People 100 Corporate Social
Performance Performance Responsibility
49 Financial Performance 74 Our People 100 CSR Approach
50 Physical Performance 76 Growing the Talent Pool 102 Our CSR Impact
51 Strategic Planning 77 Capability Building:
Initiatives Enabling Performance
81 Performance Management
81 Employee Welfare
82 Motivation
through Recognition
83 Employee Engagement
84 Human Rights
86 Safety at HPCL
90 Hale and Hearty HPCL

112 Alignment of
our Business
Practices to the
112 Sustainable
Development Goals
114 India’s Nationally
Determined Contributions
114 UNGC Principles

54 Environmental 92 Delighting the 115 Independent


Performance Customer Assurance
57 Energy Performance 93 Research & Statement
Development (R&D)
60 GHG and Air Emissions
63 Harnessing
96 Quality Assurance
118 GRI Content Index
Renewable Energy 96 Quality Control
64 Water Conservation 98 Customer Focus
and Management 122 Abbreviations
66 Managing
Wastes Responsibly
68 Promoting Environmental
Sustainability through
Start-ups
70 Leading the Green Path
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About this Report

Hindustan Petroleum Corporation


Limited (“HPCL”, “We”, “The
Corporation”) started its sustainability
reporting journey commencing
its maiden report for FY 2011.
The sustainability report for FY 2020
marks a decade of sustainability
reporting at HPCL. The Report covers
our management approach, initiatives
and performance on the identified
material topics under the economic,
environmental, social and governance
aspects of the organisation’s activities.
It contains information pertaining to
the period between April 1, 2020 and
March 31, 2021. It has been developed
in accordance with the comprehensive
option of the Global Reporting
Initiative (GRI) Standards, including
the Oil and Gas Sector Supplement.

2
We align our sustainability agenda with the
United Nations Global Compact (UNGC)
Principles on Environment, Human Rights,
Labour and Anti-corruption, United Nations’
Sustainable Development Goals (UN SDGs)
and India’s Nationally Determined Contributions
(NDCs). A presentation of our sustainability
initiatives aligned to these requirements have
been provided in the report.
The information contained in this report has
undergone appropriate internal reviews and
has been subjected to independent assurance
by a third-party, M/s. Bureau Veritas India Pvt.
Ltd. in accordance with the AccountAbility
Assurance Standard AA1000AS version 03
Type 2 assurance. For further details on the
independent assurance statement, please refer
to the annexure in this report.
The Corporation has robust internal
management systems governing all facets of
operations. Data/information which forms part
of this report is collected from these internal
systems at the corporate and operative level.
The data presented in the report has been either
sourced from our Enterprise Resource Planning
(ERP) system and IT applications or directly
from the operations included within the report
boundary. The data measurement techniques
and underlying assumptions/calculations have
been duly mentioned in the relevant sections of
the report.
The report boundary remains unchanged
from our previous reports and encompasses
all fully-owned operations of the Company.
This includes our refineries at Mumbai and
Visakhapatnam and the operations of the
Strategic Business Units (SBUs) under
marketing: Aviation, Direct Sales, LPG, Lubes,
Natural Gas and Renewables, Operations and
Distribution, Projects and Pipelines and Retail
(Company-owned and Company-operated
outlets only). This report does not include
joint ventures, subsidiaries and international
operations.
The most recent previous Sustainability
Report for 2019-20 and all our previous
Sustainability Reports are available at http://
www.hindustanpetroleum.com/CSRPolicys
Constructive comments can provide new
ways of looking at things as we traverse the
path of sustainable development and ensure
that our sustainability reports continue to
disclose information most relevant to our
stakeholders. We welcome your queries or
suggestions at: corporatehse@mail.hpcl.
co.in or online on the HPCL website at:
https://crminterface.hpcl.co.in/CRMInterface/

3
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

From Chairman &


Managing Director’s Desk

Dear Stakeholder,
This year marks a decennium of Sustainability
reporting at Hindustan Petroleum Corporation Limited.
True to its vision of being a model of
I am pleased to present to you the sustainability
excellence in meeting social commitment, highlights of HPCL for 2020-21, a significant step in
HPCL ensured uninterrupted supplies of our effort to ensure that we contribute in creating the
much-needed equilibrium in the environment while
essential commodities like cooking gas and contributing to our country’s economic development
transport fuels across length and breadth through energy supply. It also provides an overview
of the country in spite of constraints on of our social responsibility initiatives and portrays
our endeavour to provide greater transparency
the movement of men and materials due and disclosures on our Environmental, Social and
to the pandemic. Governance (ESG) initiatives.

4
The year gone by has been challenging and has in and associates is quintessential. At HPCL, there is clear
real sense tested the sustainability of each one, be it focus on ensuring 'Zero Accident' for its stakeholders
an individual, a company or the economy as a whole. through various proactive safety initiatives,
The COVID-19 pandemic had multifold and cascading management systems and surveillance audits.
effects on business continuity, supply chains and
health & safety concerns of the people. It is in these HPCL lays special emphasis on conducting its affairs
times of adversity that HPCL and its HP warriors within the framework policies, internal and external
adapted to the evolving scenarios and stepped out to regulations in a transparent manner. The skills, expertise
serve and protect others. True to its vision of being and competencies of the Board of Directors and the
a model of excellence in meeting social commitment, Senior Management Team in the Company’s business
HPCL ensured uninterrupted supplies of essential and sector are essential drivers for ethical business
commodities like cooking gas and transport fuels conduct, prosperity and environmental excellence.
across length and breadth of the country in spite of Being a Central Public Sector Enterprise, HPCL’s
constraints on the movement of men and materials due activities are subject to review by several external
to pandemic while ensuring the safety and wellbeing agencies like the Comptroller & Auditor General
of its workforce and the customers. HPCL also helped of India (CAG), the Central Vigilance Commission
in strengthening the healthcare infrastructure in the (CVC), Parliamentary Committees, Statutory Auditors
country to combat COVID-19 pandemic in addition to etc. Being a listed company, HPCL is also guided by
helping the needy and the migrant workers. applicable listing guidelines of SEBI.

ESG Approach at HPCL


Robust Economic Performance
HPCL has been making significant strides in its quest
to discover new horizons of growth and sustainability. Outbreak of a global pandemic led to significant
The Corporation’s goal for building a secure, demand contraction in the first quarter of the year
sustainable and inclusive future for all its stakeholders which was followed by a smart recovery in the later
emanates from its commitment to environment, social part of the year leading to an aggregate demand
and governance aspects of responsible business contraction for the petroleum products of about 9%
conduct. HPCL is enhancing capabilities of its in 2020-21 over the previous year. Already volatile
workforce in alignment with the requirements of ESG. crude oil market witnessed sharp price fluctuations
on the back of demand contraction, inventory
With the increasing focus on climate change, the overhang and the efforts by the major oil producers to
challenge for the oil and gas industry is not only to regulate the supplies.
engage and adapt to changing business requirements
and investment landscape, but also to evolve in ways During 2020-21, HPCL recorded its highest
which contribute and lead efforts to minimise impacts ever Profit after Tax (PAT) of ` 10,664 Crore as
on climate and decarbonisation of the energy system. compared to ` 2,637  Crore for the previous year.
Being a major energy supplier to the nation, HPCL Gross sales for the year 2020-21 was ` 2,69,243 Crore
sees itself addressing quadruple facets: supporting as compared ` 2,86,250 Crore during the previous
rapid demand growth, maintaining secure supplies, year. Robust operational performance, improvement
ensuring sustainable air, water & land management in refinery margins helped by inventory gains and
and actively gearing up for the transition to a low favourable exchange rate variations resulted in
carbon path to achieve scale dimensions in other enhanced profitability. In its constant endeavour to
energy related fields. create value for the stakeholders, HPCL has initiated
a ‘Share Buy Back’ programme in November 2020
Being a signatory to the United Nations Global which has been completed.
Compact (UNGC), HPCL supports the ten principles
of the UNGC in the areas of Human Rights, Labour,
Environment and Anti-Corruption.

Given the nature of products being handled by the


oil and gas industry, creating a work culture that
` 10,664 Crore
encompasses safety and well-being of its employees Achieved highest ever Profit After Tax

5
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

From Chairman &


Managing Director’s Desk

During 2020-21, HPCL refineries at Mumbai and


Visakhapatnam achieved combined refining
throughput of 16.42 Million Metric Tonnes (MMT)
with capacity utilisation of 104%. Effective crude
sourcing plans, optimising day to day crude run
rate, efficient logistics management and regulating Caring for the Environment
product procurements from other sources enabled
Environment is the source of all of mankind’s
HPCL to achieve more than 100% capacity utilisation
prosperity and we derive tangible value by
in Refineries in spite of overall demand contraction.
converting the natural resources into value added
The combined GRM for HPCL Refineries for 2020-21
products. HPCL is aware and committed to reduce
was US$ 3.86/bbl compared to US$ 1.02/bbl in the
its environmental footprint with a special focus on
corresponding previous year.
carbon reduction through various location – specific
as well as corporation-wide measures.
During the year, HPCL achieved sales volume of 36.6
MMT compared to previous year’s sales of 39.64 MMT. Major installations at HPCL have adopted Environment
HPCL registered market share gain for transport fuels Management Systems (EMS) to ensure continuous
and recorded the least de-growth of 6.6% in domestic improvement in environment protection. HPCL has
sales among the industry, industry de-growth for state-of-the-art Effluent Treatment Plants for treating
2020-21 being 8.4% compared to the previous year. and recycling effluent water. Volatile Organic
HPCL continued to be India’s largest lube marketer Compound (VOC) monitoring and Leak Detection and
and second largest LPG marketer during the year. Repair (LDAR) programmes have been implemented
for monitoring and controlling fugitive emissions

36.6 MMT
at major installations. Gaseous emissions to the
environment and ambient air quality is continuously
monitored using Continuous Stack Monitoring Stations
(CSMS) and Continuous Ambient Air Monitoring
2020-21 Sales Volume Stations (CAAMS) which transfer real time data to
pollution control boards. Hazardous waste treatment
HPCL’s Visakh Refinery Modernisation Project (VRMP) and disposal systems are in place at various locations
and Mumbai Refinery Expansion Project (MREP) in line with the best practices in industry.
are in the advance stages and are progressing
Environment awareness is disseminated among
well for completion during the financial year
employees through celebration of important
2021-22. Resid Upgradation Facility at Visakh is
environmental events as well as online learning tools.
also likely to achieve mechanical completion in the
Considering the importance of water in present times,
calendar year 2022.
HPCL has undertaken water audits at its locations
and various initiatives for Rainwater harvesting and
HPCL has worked out a detailed Digital Transformation
constructing Artificial Recharge structures at its
strategy and is actively working on harnessing the
premises in line with National Water Mission.
potential of new age technologies in its various areas
of operations. In order to enhance the operational HPCL has been making constant efforts to make
efficiencies and customer value, 50 POL terminals of products which are more environmental friendly.
HPCL have been converted to ‘Smart Terminals’ with Upgradation of transportation fuels to BS-VI MS
full automation. The process of rolling out of ERP and HSD (Bharat Stage-VI fuels) standards, which
Modernisation initiative, to accelerate digital agility, contain only 10 ppm sulphur will result in lesser
have greater business flexibility and improved internal sulphur di-oxide emissions. HPCL produces IMO-2020
efficiencies is underway. compliant Very Low Sulphur Fuel Oil (VLSFO) meeting
Residual Marine Grade (RMG) 0.50 Specification and
ISO 8217:2017 Standard requirements. This product
HPCL has worked out a detailed Digital helps shipping companies to respond to the stringent
Transformation strategy and is actively regulation on Sulphur dioxide emissions.
working on harnessing the potential Towards reduction of carbon intensity in transportation
sector, HPCL is actively pursuing blending of biofuels
of new age technologies in its various (ethanol and biodiesel) with fossil fuels. In 2020-21,
areas of operations. HPCL achieved an ethanol blending of 6.18%.

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HPCL has been utilising renewable energy sources to HPCL has a green cover within its location
reduce the carbon footprint across the value chain
and continuously expanding the wind and solar power
premises having variety of native and
generation capacities. During 2020-21, HPCL has adaptive species of trees and shrubs which
installed about 11.4 MWp capacity of Solar PV power
form local micro eco-systems attracting
plants across the country at different installations
in the value chain. This has brought the cumulative numerous species of domestic and
Renewable Energy installed capacity to 100.9 MW
migratory fauna.
for Wind power and 43.95 MWp for Solar Power as
on March 31, 2021. The wind power plants generated
about 17.05 Crore kWh in 2020-21. The solar plants
also led to substantial savings in terms of electricity
purchase cost for various depots, LPG plants, Pipeline
Locations and Retail outlets. In order to promote safe, economical, environment
friendly, low carbon evacuation and transportation
Enhancing its presence in Natural Gas value chain, a of petroleum products, HPCL continuously strives to
cleaner fuel, HPCL acquired the balance 50% stake expand its pipeline network. The major ongoing cross
held by M/s SP Ports Pvt. Ltd. in the Joint Venture country pipeline projects - Vijayawada to Dharmapuri
Company HPCL Shapoorji Energy Pvt Ltd (HSEPL) product pipeline, Hassan-Cherlapalli LPG Pipeline and
and accordingly, effective March 30, 2021, HSEPL Barmer - Palanpur product pipeline are progressing
has become a wholly owned subsidiary of HPCL. well in spite of pandemic situation due to close
The company was incorporated to set up and operate coordination by the project teams. HPCL has 3,775 km
a Liquefied Natural Gas (LNG) regasification terminal of product pipelines which transported 19.1 MMT of
at Chhara, Gujarat. The construction work for Chhara products during the year.
LNG terminal is in full swing.
HPCL has a green cover within its location premises
Towards ensuring availability of alternate fuels and having variety of native and adaptive species of
offering more choices to customers, CNG dispensing trees and shrubs which form local micro eco-systems
facilities were provided at 203 retail outlets, taking attracting numerous species of domestic and
total number of outlets dispensing CNG to 674 as of migratory fauna. Our locations also involve their
March 2021. EV Charging facilities were provided at stakeholders in mass plantation activities and
84 retail outlets. In a first, street lamp integrated EVCS environmental celebrations propagating the message
were commissioned at retail outlets in Mumbai and of sustainability to the masses.
Delhi. To meet the requirement of select customers
for getting diesel delivered at their premises, total
369 Mobile Dispensers are commissioned as of
March 2021. HPCL released Letters of Intent (LOI) for
setting up 100 Compressed Bio-Gas (CBG) Plants with
a capacity of 634.8 ton/day, taking the cumulative
to 151 LOIs with capacity of 840.6 ton/day, across
the country to increase usage of biofuels in the
energy and transportation sectors. Work on City Gas Caring for the Society
Distribution (CGD) projects in various geographical
areas authorised to HPCL and its JVs are in progress. HPCL remains committed to act in unison with the
national agenda and serve the nation not only in filling
HPCL Green R & D Centre at Bengaluru (HPGRDC) the void that pandemic has brought but also to propel
received 44 patents during the year for the new it towards greater heights of development thereby
products, technologies developed by it. In consonance “Delivering Happiness” to its citizens.
with the green initiatives being undertaken by HPCL,
Rising to the clarion call given by Hon’ble Prime Minister
HPGRDC has developed additives for various products
of India to support the nation, HPCL contributed ` 120
which are aimed at improving different operating
Crore to PM CARES Fund and made other COVID-19
parameters of the products thereby improving
related interventions amounting to ` 3.42 Crore.
efficiency and reducing consumption of chemicals.
It has also commissioned 2 Green Hydrogen Generators HPCL delivered a total of 3.81 Crore refills to the PMUY
wherein the hydrogen is produced using solar power beneficiaries as of March 31, 2021 under ‘Pradhan
and PEM electrolyser. Mantri Garib Kalyan Yojana (PMGKY)’ announced by

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

From Chairman &


Managing Director’s Desk

Government of India in April 2020. PMUY also has a transformation of Human Resource (HR) priorities and
consequential positive impact on reducing the carbon approaches so as to be aligned to the objectives of
emissions in the environment as well as the health of the corporation. HPCL encourages an environment
rural households of the country. that is based on merit and inclusiveness.
HPCL provided support to district administrations, The pandemic completely changed the context of
municipal corporations, police personnel, hospital normal working for employees. HPCL management
administration, sanitation workers and disaster showed exceptional agility and resilience in responding
management authorities by providing masks, to the challenge and connecting with employees to
sanitisers, relief materials, PPE etc. Food packets and meet the objective of enhanced employee engagement.
relief / ration kits were distributed by HPCL locations The corporation demonstrated sensitivity in curating
to migrant workers across the country. HPCL also initiatives towards ensuring physical and mental health
supplemented cold chain equipment requirements & well-being of employees and their family members
across Punjab, Chandigarh, Rajasthan and Maharashtra through provision of hygiene kits, immunity boosting
by delivering various cold storage equipment to the supplements, online counselling sessions among
respective State Governments. others. HPites managed the manufacturing sites and
business processes with optimum physical presence
HPCL positively impacted the society through
of manpower without compromising on safety, quality,
its CSR initiatives with overall contribution of
quantity and customer service.
` 156.35 Crore during the year under focus areas of
Childcare, Education, Environment & Community Various awareness session and health talks were
Development and Healthcare with focus on COVID-19 conducted to encourage contractors and contract
related necessities. workmen working at HPCL locations to adopt
preventive measures. HPCL provided the frontline
HPCL exceeded the MSE procurement target of
workforce like LPG deliverymen, forecourt salesmen
25% specified in Government of India guidelines
at retail outlets, tank truck drivers and crew members
by registering 28.49% procurement from MSEs
with hygiene kits for maintaining continuous operation
in 2020-21. HPCL has also been fully abiding by
of essential services and ensuring their own safety
the government policies and guidelines related to
and customer safety. In addition, a Special Ex-Gratia
promoting indigenisation of products and services.
Scheme and floater group mediclaim policy was also
provided by HPCL to extended workmen engaged

28.49%
by our stakeholders and their family members (not
covered by ESIC) for Hospitalisation for any diseases
including COVID-19.
Procurement from MSEs Process Safety Management (PSM) is well integrated
with the HPCL’s Safety and Environment policies
and its work culture. The corporation provides its
HPCL Start Up initiative ‘Udgam’, aims at promoting employees with regular training on operational
start-ups having solutions and applications in safety, security, emergency preparedness and crisis
energy and other allied areas having a technological management. They are well acquainted with safe
or societal impact. Udgam received cumulatively operating practices and protocols, thereby mitigating
300 applications in varied areas like E-mobility, bio the risks during emergency and crisis.
Fuels, use of municipal plastic waste, converting
used cooking oil, advanced analytics, robotics etc.
Following a robust screening process, 23 start-ups
were given acceleration by HPCL with disbursement
of ` 14.15 Crore as of March 31, 2021.
Process Safety Management (PSM) is well
At HPCL, we believe a vibrant workforce is the key
value creator for our organisation. The constantly
integrated with the HPCL’s Safety and
evolving business landscape necessitates continual Environment policies and its work culture.

8
Indian Petroleum Industry (FIPI). HPCL have also
received several awards for their CSR initiatives
throughout the year.
We recognise and are committed to the cause of
sustainable development and the goal of creating a
Recognitions
better tomorrow. We look forward to your continued
For outstanding performance across various support in our journey of 'Delivering Happiness'.
spheres of business, HPCL was recognised with
several prestigious awards during the year including
Thanking you,
'Oil Marketing Company of the Year' for leadership
in oil marketing business in India by Federation of Mukesh Kumar Surana

Then Hon’ble Minister of Petroleum & Natural Gas and Steel, Shri Dharmendra Pradhan presenting the
FIPI ‘Oil Marketing Company of the Year Award’ to HPCL

9
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Message from Directors

Our people are our inherent strength and the most important enabler
in our resolve to deliver happiness. HPCL is committed to providing
its workforce a challenging, engaging and safe environment for the
sustainable growth while creating opportunities for personal progress.
Referred to as the “green economy”, the marketplace is undergoing a
systemic transformation that will require new competencies and HPCL is
enabling its employees to adapt and upskill to the future requirements.
Our HR practices are aimed at achieving diversity and inclusion;
work-life balance; employee engagement; anti-discrimination,
amicable labour-management relations and have helped to incorporate
sustainability into the core of our business.
We believe that learning is an essential step for sustainable value
creation and a corporate culture of learning cannot exist without the
desire to create value for the business and society. During the year,
HPCL transformed its approach from training culture to learning culture
by offering at convenience online training access to employees.
HPites embodied our Corporate mission to see the organisation
succeed amid the pandemic while supporting the society and the
nation. HPCL laid special emphasis on physical and mental well-being of
employees and extended workforce for maintaining business continuity
and sustenance of livelihood. We continued to serve the community
with our varied people-centric initiatives in our focus area in addition to
covid related assistance with provision of safety kits etc.
PUSHP KUMAR JOSHI
Director - Human Resources

HPCL stands steadfast in its commitment of being an energy provider


to the nation in good and challenging times. The business environment
during the year posed insurmountable challenges due to lockdowns
and uncertainties leading to demand contractions and disruptions in
execution of projects.
However, the resolute and synergetic performance of all the line and
support functions along with the guidance from the board of directors,
robust enterprise management framework coupled with financial
prudence led HPCL to achieving its maiden net profit exceeding
INR  10,000 Crore mark, a testimony of the focus HPCL lays on the
economic pillar of sustainability. While risks are assessed and managed
as a part of normal business practice, with the onset of COVID-19,
HPCL revisited its risks for mitigation and building resilience to newer
business challenges.
HPCL has been fostering business growth by proactively managing
impacts on the environment and social front, for its employees,
customers and communities in the value chain, while adding value
to the providers of capital and society at large. HPCL is also driving
environmental impact reduction through major investments at its
refineries which feature facilities such as bottom upgradation as
well as logistics improvement projects which aim to reduce costs
and carbon impact.

R. KESAVAN
Director - Finance

10
HPCL refineries at Mumbai and Vizag have continued to demonstrate
sound physical performance with combined capacity utilisation of
about 104 % despite constraints emanating from Covid-19 pandemic and
reduced product demand during first half of FY 2020-21. Refineries have
recorded a combined refining throughput of 16.42 MMTPA
HPCL is expanding its refining capacities to meet increasing demand
of cleaner and environment-friendly fuels through its modernization
projects. Visakh Refinery Modernization Project (VRMP) to enhance
the capacity of Visakh refinery from 8.3 to 15 MMTPA and Mumbai
Refinery Expansion Project (MREP) to enhance the capacity from 7.5
to 9.5 MMTPA, are in final stages of execution.
Health, safety and environment form an integral part of refinery
operations in HPCL. Mumbai refinery has achieved best ever safety
performance by clocking 30.08 million man-hours of safe operations in
FY 2020-21. On environment front, Mumbai refinery has installed roof
top solar panel with capacity of 305 KW during the year. Mumbai refinery
continues to source about 70% of its power requirement from the grid.
Energy Conservation has always been an important focus area for our
refineries. We have been consistently working towards developing
and implementing strategies for efficient use of energy in our
refineries. Consistent implementation of recommendations on energy
conservation has helped in achieving energy savings year after year
for our Refineries.
VINOD S. SHENOY
Director - Refineries

The promise of the business is to increase wellbeing of humankind


and HPCL is committed to continual improvement in its products and
services keeping deeper concern towards environment, social and
governance issues. We are continuously embracing new processes &
technologies with the ever-changing needs of business ecosystem to
remain ahead of the performance curve.
Despite worldwide disruption, economic shocks and extreme challenges
faced by business during the year, HPCL Marketing team exhibited
resilience to meet the energy requirements of the nation and achieved a
sales volume of 36.6 MMT.
During the pandemic year, our committed workforce delivered highest
ever number of LPG cylinders (46.55 Crore) to the kitchens of our
citizens by maintaining end-to-end safety protocols.
HPCL is taking various low carbon initiatives in the areas of clean
energy new energy and nature-based solutions. HPCL is also providing
alternate energy solutions to customers such as charging facilities/
battery swapping for electric vehicles. To reduce the carbon foot print
and also to enhance safety in product movement HPCL is expanding the
existing network of product pipelines.
With a view to provide best in class experience and value to our
customers and stakeholders, HPCL is actively pursuing digitalisation
in all aspects of its business while enhancing innovation, operational
excellence and safety. HPCL is dedicated to conduct business aligned
RAKESH MISRI with the National and International imperatives of Sustainability towards
Director - Marketing a greener future.

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

RESHAPING A SUSTAINABLE
ENERGY FUTURE
HPCL is one of the largest public sector
enterprises under the administrative
control of the Ministry of Petroleum and
Natural Gas, Government of India with
a ‘Maharatna’ status. HPCL ranks 111th
and 109th by market capitalisation as on
March 31, 2021 on the BSE and the NSE,
respectively. It has strong presence in the
petroleum refining and marketing sector
with a market share of ~21% among Indian
public sector oil marketing companies
(OMCs), as on March 31, 2021.
HPCL refineries at Mumbai and Visakhapatnam
process crude oil into many value-added products
that go into making more than 300 grades of
lubricants, specialties and greases. We remain the
largest producer of base oils with capability to
produce Group I, Group II and III base oils. In addition,
we source our product requirements from the
11.3 MMTPA capacity Guru Gobind Singh Refinery at
Bathinda, which is a joint venture between HPCL and
Mittal Energy Investments Pte. Ltd., Singapore with
equity holdings of 48.99% each. We also hold 16.96%
equity in Mangalore Refinery and Petrochemicals
Ltd. (MRPL) – a schedule ‘A’ Miniratna, Central Public
Sector Enterprise (CPSE) and operates a 15 MMTPA
refinery at Mangaluru.
HPCL currently operates a petroleum product
pipeline network of 3,775 km with mainline capacity
of 32.55  MMTPA and branch line capacity of
15.57 MMTPA. Our pan-India marketing network
comprises 133  regional offices. This network is
supported by a supply and distribution infrastructure
comprising Terminals, Pipeline Networks, Aviation
Service Facilities, LPG Bottling Plants, Inland Relay
Depots, Retail Outlets, SKO/LDO, Lube and LPG
Distributorships.

3,775 km
Operating petroleum product
pipeline network

12
Our Refining and Marketing Infrastructure in Number:

2
Refineries
2
LPG Import
80
Terminals, TOPs
51
LPG Bottling
Locations and Depots Plants

6
Lube Blending
46
Aviation Fuel
6
Pipelines (Main
4
Pipelines (Branch
Plants Stations Lines - POL) Lines - POL)

2
Pipelines (Main
2
Specialty Product
31
Exclusive Lube
18,634
Retail Outlets
Line - LPG) Pipeline (Lube Oil/ATF) Depots (COLD/COD)

6,192
LPG Distributorships
1,638
SKO/LDO Dealerships
186
Auto LPG Dispensing
674
CNG Outlets
Stations (ALDS)

121
Clearing and Forwarding
280
Lube Distributors
Agents (CFA)

Our Green R&D Centre at Bengaluru, setup with the sector customers. It closely interacts with Army, Air
objective of providing advanced technological support Force and other agencies, which enabled a number of
to Marketing SBUs and Refineries, develops and new product approvals during the year.
adopts innovative and path-breaking technologies and
We have a network of 47 Quality Control (QC) labs for
products within the energy sector. Over the years, it
Marketing SBUs for assuring the quality of products
has developed several new products and technologies.
of various business units such as Supply, Operations
Our Lube R&D Centre continues to play a crucial role in and Distribution, Retail, Direct Sales, Lubes, Aviation
developing new products for government and private and Pipelines etc.

13
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Organisation Profile
HPCL is proud to be one of the major providers of vital energy solutions for India.
The energy products that we provide steer the nation towards a better future and
enhance the quality of life for its people. We have always strived to build a world‑class
company that is known for good governance, quality products, innovative services,
customer centricity, environment management, safety performance, employee
relations and welfare, and community engagement. Over the decades, we have
expanded our presence to serve various local, national and international markets.
Moving ahead with the latest developments in the energy space, we are proliferating
into newer and cleaner lines of energy business. Our portfolio comprises two major
refineries producing a variety of petroleum products and a vast marketing network
across the country with the addition of cleaner energy offerings in recent years.
We are continuously exploring and implementing initiatives to enhance customer
experience and are also deploying cutting-edge enterprise level digital technologies
towards the same.

Refineries
HPCL refineries at Mumbai and Visakhapatnam with
capacities of 7.5 MMPTA and 8.3 MMTPA, respectively,
process a variety of crude oils into value‑added
products while focussing on maximum asset utilisation
and reliability improvement. Our Mumbai Refinery has
the highest lube oil production capacity in India.

16.42 MMT
2020-21 Refining throughput

14
Following are Our Refineries' Major Products: Despite the unforeseen challenges posed by the
COVID-19 pandemic, our Mumbai and Visakhapatnam
Major Products Refineries recorded a combined refining throughput
of 16.42 MMT, which translates to a combined capacity
Light Middle Heavy
utilisation of 104%. Effective crude sourcing plans,
Distillates Distillates Distillates
optimising day-to-day crude run rate, efficient logistics
management and reducing product procurements
from other sources enabled us to achieve such capacity
utilisation despite overall demand contraction.
Our ambitious capacity expansion projects at
Liquefied High Speed Bitumen
both Refineries are in the advance stages and are
Petroleum Gas Diesel
Furnace Oil progressing well for completion with the capacity
Motor Spirit Superior of Mumbai Refinery being increased to 9.5 MMTPA
Low Sulphur
Kerosene Oil and that of Visakh Refinery to 15 MMTPA, along with
Naphtha Heavy Stock
state-of-the-art complexity enhancements, including
Light Diesel Oil
Hexane Others residue upgradation facilities.
Aviation Turbine
Propylene
Fuel
Solvent
Mineral
Turpentine Oil
JBO

2020-21 Highlights ƒ Installed specialised valves in water draw off lines of


product and intermediate storage tanks, leading to
Mumbai Refinery
reduction in slop generation during water draw off
ƒ Achieved throughput of 7.37 MMT with capacity and reduced VOC emissions
utilisation of 98.3%
ƒ Completed 3D modelling for all the units
ƒ Commissioned routing of DHT naphtha to HSD ƒ Implemented Document Management System (DMS)
instead of routing to Naphtha export pool
across all departments as part of the digitalisation
ƒ Launched the 37th new product – Solvent 3,275 initiative to address the business need and scale to
futuristic knowledge management
ƒ Implemented scheme for inline dosing of
de-emulsifier in PG crude receipt line Visakh Refinery
ƒ Completed trial of dispersant chemical HPDUCER ƒ Achieved throughput of more than 9.05 MMT with
(developed by R&D) in DIU capacity utilisation of 109%
ƒ Commissioned NHT-CCR dispersant chemical ƒ Developed digital twin AOL models for CDU-3 and
HPDUCER dosing scheme FCCU-1 for real-time plant optimisation
ƒ Effectively applied in-house developed HXN ƒ Developed innovative facility for simulator training for
MODEL for fouling monitoring and proactive DCS panel operators from field room itself on 24x7
cleaning of FRE crude pre-heat exchangers basis for training/learning/troubleshooting
ƒ Optimisation of MS blend to maximise production, ƒ Implemented real-time Process KPIs SMS alert system
Butane to MS scheme was developed and to monitor process deviations and sustain productivity
implemented
ƒ Developed a new inferential to predict DHT product
ƒ Added new crude grade Basrah Medium to diesel sulphur in BS-VI operation using PIN interface
Refinery crude basket after testing of crude assay
ƒ Developed HN 95% inferential for CDUs with the
in the R&D lab
objective of improving the monitoring of feed
ƒ Reviewed MS blend for BS VI implementation and quality to NHT-CCR
started Gasoline Sulphur Reduction Additives
ƒ Installed new feed filter system in DHDS for
(GSR) in NFCCU to reduce LCN sulphur. In addition,
improving reliability
routed low sulphur FBS to NHT CCR to sustain
CCR feed at the desired level ƒ Commissioned Amipur skid in DHDS block for
improving Amine quality by removing Heat Stable
ƒ Commissioned scheme of provision of strainer
Amine Salts (HSAS)
at DIU product coalescer upstream, leading to
increased life of coalescer elements with reduction ƒ Maximised HN processing in DHT-HGU PDS which
in rock salt consumption enabled HN absorption into diesel stream

15
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Marketing
HPCL serves the energy needs of millions through
its widespread marketing network. End users of our
products include domestic, automotive, commercial
and industrial segments. Our business verticals include
Retail, LPG, Lubes, Direct Sales, Aviation, Natural Gas
and Renewables, Operations and Distribution, Projects
and Pipelines. During the year, despite the challenges
posed by the COVID-19 pandemic, we ensured the
availability of petroleum products for essential
Retail
services while maintaining the safety and well‑being Retail constitutes the major portion of HPCL’s total
of our stakeholders and the workforce. market sales. Through a wide network of retail outlets,
we address not only the customer’s fuel needs but
HPCL achieved total sales volume of 36.6 MMT
also vehicle‑related requirements. Our Club HP and
(including exports) during 2020-21.
Club HP Star outlets offer differentiated services.

12,032 KL
2020-21 Highlights
ƒ Achieved sales volumes of 22 MMT and gained
market share in both Motor Spirit (MS) and
Highest MS Sale among High Speed Diesel (HSD), marking the 14th
industry retail outlet by consecutive year of TMF market share increase
among PSUs
COMCO Millenium, Visakhapatnam
ƒ COMCO Millennium at Visakhapatnam became
the highest MS selling Industry retail outlet in
India, clocking sales volume of 12,032 KL
ƒ Achieved substantial sales volume in MS and HSD
in Bhutan through our outlet in partnership with
State Trading Corporation of Bhutan (STCBL)
ƒ Commissioned 2,158 new retail outlets, the
highest in a year, taking the total to 18,634
ƒ Commissioned highest ever 203 CNG stations in
a year, taking the total to 674
ƒ Commissioned 369 door-to-door mobile
dispensers
ƒ To increase operational efficiency and
productivity, 100% automation was ensured
across the retail outlet network
ƒ Launched HP LubXpres – home delivery of HP
Lubes brands on HP Pay; released new version of
HP Pay with LPG pay code implementation, new
LPG connection request and LPG profile Map
ƒ Rolled out Club HP Lubes Stations, branded lube
oil change stations, across India in co-ordination
with Lubes SBU
ƒ Rolled out Club HP Connect – fully automated
branded smart outlets with Integrated Payment
Solution; upgraded over 5,100 outlets
ƒ Launched additives under the poWer Petrol Plus
and Turbojet Diesel Plus brands
ƒ Launched PoWer 99 at 12 outlets; now available
at 40 outlets in 22 cities

16
ƒ Carried out solarisation at 1,146 outlets, taking ƒ Commissioned 112 new regular distributorship,
the total to 4,648 taking the total to 6,192 and the highest ever,
53 new ND distributorships
ƒ Set up EV charging facilities at 55 outlets, taking
the total to 84 ƒ Achieved highest ever sales of 7.41 MMT with
growth of 5.3%
ƒ Installed Stage I Vapour Recovery Systems
(VRS) at all outlets and Stage II VRS at outlets in ƒ Recorded highest ever sales in non-domestic Bulk
NCR/NCT/Chembur area of Mumbai. In addition, LPG including Propane and Butane
Stage II VRS were provided in 114 retail outlets at
ƒ Surpassed 3 Million APPU cylinder sales (in
46 cities across India
package sizes of 5kg/2kg) with a 45% market
ƒ Commissioned the first Bulk DEF dispensing share
facility at Ankleshwar
ƒ Highest ever bottling of 6.9 MMT with productivity
ƒ Onboarded major OEMs of commercial vehicles, of 1,615 cylinders/hour
aggregators, NBFCs, large fleet transporters,
ƒ Commissioned 120 TMTPA Champaran LPG
small fleet owners, etc., on the Drive Track Plus
Bottling Plant which was dedicated to the
platform which helped garner additional volumes
nation by the Hon’ble Prime Minister of India in
ƒ Signed agreement with renowned banks for September 2020
fuelling/purchase of lubricants through FASTag;
ƒ Commissioned 60 TMTPA new LPG bottling plant
HPCL is the first company to provide this facility
at Rayagada, Odisha
at all its retail outlets
ƒ Commissioned LPG Master Godown in Leh to
ƒ Implemented Integrated Payment Solution (IPS)
meet demand during winter months
at 6,924 outlets, deploying Point of Sale (POS)
machine with dispensing units and launched the ƒ Commissioned 5 kg skid mounted facility at Usar
HPCL-UBI co-branded contactless credit card on LPG Plant – the first fully automatic filling facility
the Rupay network with complete downstream facility and the first
among OMCs
ƒ Launched Mera HP Pump on various social media
platforms ƒ Launched HP GAS FLAME PLUS for commercial
and industrial customers offering quicker heating,
reduced gas consumption, reduced process time
and savings
ƒ Augmented bottling capacity at Gandhinagar,
Jabalpur, Bahadurgarh, Yediyur and Pampore
plants; commissioned Mounded Storage Vessels
at the Unnao plant
ƒ Commissioned a new LPG rake under the
Liberalised Wagon Investment Scheme of
railways for reducing logistic costs and product
transportation carbon footprint
ƒ Recorded highest ever digital transactions of 25%
LPG in March 2021
ƒ Achieved substantial cost savings due to
HP Gas is synonymous with the aroma of warmth and
secondary market realignment
the freshness of clean air in a household. Our LPG SBU
remains committed to providing clean energy solutions ƒ Launched various customer-centric digital
to domestic, commercial establishments and industries initiatives for facilitating refill booking, payments
through LPG cylinders and bulk supplies through and relationship management
tankers. HPCL is the second largest LPG marketer in
ƒ Major LPG projects for setting up new bottling
India during the reporting year.
plants at Gonda (Uttar Pradesh); Goalpara (Assam);
Barhi (Jharkhand); Patalganga (Maharashtra); Abu
2020-21 Highlights Road (Rajasthan) and Sitaraganj (Uttarakhand)
are in progress
ƒ Delivered 3.81 Crore refills under the Pradhan
Mantri Garib Kalyan Yojana providing free LPG
refills to PMUY beneficiaries (3 per beneficiary) to
mitigate the hardships faced by BPL households
due to the global pandemic

17
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

ƒ Fulfilled requirement of HPCL supplies to


Defence, Railways, and other critical core sectors
such as coal and power; fulfilled requirements
of HPCL Pipeline BU, LPG SBU and Mumbai
Refinery during the COVID-19 period
ƒ Achieved highest feedback score (3.6) and
lowest closure time (1.2 days) on Customer
Lubes Relationship Management Module – Rishtey
HP Lubricants manufactures a variety of lubricants, ƒ Became the first OMC to launch a full range
specialties and greases in state-of-the-art blending of lubricants for BS VI-compliant engines, and
plants across India and markets them nationally lubricants and specialty fluids for EVs
and internationally. These grades find application
ƒ Became the first OMC to execute
in automotive, industrial, mining and construction,
Lubricants ATs (Acceptance of Tender)
agriculture, fishing, defence and railways, among
under the coveted ‘Green Channel Status’,
others. HP Lubricants is supported by a country-wide
launched by MOD (DGQA)
network of warehouses, distributors, CFAs and offices
with highly‑qualified sales and technical personnel. ƒ Continued customer engagement during the
COVID-19 lockdown: AVs on Car Care; Lube
Recommendation App for helping customers
with lubricants selection
2020-21 Highlights:
ƒ Under the Make in India initiative, indigenised
ƒ Retained leadership in lube marketing in India
and achieved sole proprietorship status of
for the eighth year in a row and surpassed
Hydraulic Oil for specialised applications in
overall sales volume of 600 TMT
the Indian Army
ƒ Retained market leadership position in Finished ƒ Receivedprestigious OE approvals for
Lube Sales for the third year in row
passenger cars (Mercedes-Benz, Volkswagen,
ƒ Achieved leadership position in After Market Porsche) and commercial vehicles
Sales among OMCs (Mercedes-Benz and Volvo)
ƒ Achieved highest ever sales of value-added ƒ Conducted significant channel partner connect
lubes of 545 TMT, representing a growth of 6% activities, One Family Retail Dealer’s Meet
and recognised channel partners achieving
ƒ Exported 14.8 TMT of Lubricants to 16 countries
exceptional growth during the lockdown period
and established presence in six new countries
ƒ Conducted more than 300 technical
ƒ Brand RACER helped HPCL become the largest
seminars/conferences covering more than
player in the highly competitive Motor Cycle
3,500 participants
Engine Oils (MCO) category with growth of 21%
ƒ Reduced Off-Spec lubricants by 100% under
ƒ HP DEF (Diesel Exhaust Fluid) became a
Project Pratibimb; sustained improvement
significant volume builder brand with sales
in First Pass ratios for lube blending plants;
crossing 12.5 TMT – the highest among OMCs

18
maintained more than 98%, resulting in better ƒ Collaborated with ASC Centre and College of
time and resource utilisation Indian Army to make the campus ‘Net-Zero’
ƒ Carried out rationalisation of lube storage ƒ Distributed hand sanitisers, made by HP Green
locations leading to better inventory R&D Centre, Bengaluru to police chowkies
management, improved product coordination and to ADGP, Admin, Police HO for onward
and reduction of overhead expenses distribution to police stations
ƒ Developed and launched module for online ƒ Inaugurated HP Shine – packed MTO packaging
channel partner selection and conducted and loading facility at Bengaluru
online selection process with issuance of LOIs
ƒ Rolled out digital Fixed Asset Management
to selected candidates
Solution platform at consumer locations in Pune
ƒ Rolled out Road Transport Management System
(RTMS) for city bus transport utility, Pune
ƒ Developed railway portal for better monitoring
of sales and collections

Direct Sales (Industrial &


Consumer Sales)
HPCL’s Industrial & Consumer (I&C) business line
caters to institutional sales of fuels, bitumen, naphtha
and other bulk products for mining, road construction,
infrastructure projects, power plants, shipping, Aviation
chemicals and petrochemicals in both private and
HP Aviation provides aviation refuelling (Aviation
government sectors. It also exports products to
Turbine Fuel – ATF) services at various airports in India,
various overseas markets.
complying with the stringent international regulations
for handling ATF. We remain an important ATF supplier
2020-21 Highlights to major domestic, international customers and other
scheduled and non-scheduled airline operators.
ƒ Achieved overall sales volume of 4.8 MMT
‘Quality Fuel in the Aircraft, Safely on Time; through
ƒ Achieved 1 MMT plus sales in FO, HSD, Bitumen processes aimed at enhancing Customer Delight’
for the sixth year in a row serves as a guiding principle for HP Aviation.
ƒ Achieved highest ever sales in LDO,
Mineral Turpentine Oil (MTO) and Jute 2020-21 Highlights
Batching Oil (JBO)
ƒ Achieved sales volumes of 398 TMT with
ƒ Achieved highest Low Sulphur Heavy Stock market share gains
(LSHS) volumes in the last 6 years and
ƒ Secured 11 new scheduled and non-scheduled
exceeded Hexane sales volumes over historical
airline customers
in spite of constraints
ƒ Commissioned new ASFs at Shirdi and Kurnool
ƒ Executed agreements with major corporates
and competed re-location of ASFs at Delhi
for supplying various POL products like FO,
Terminal-1 and Trichy airport
LDO, MTO, Hexane, Naphtha, etc.
ƒ Carried out various rationalisation and
ƒ Signed MoU with the Border Roads
negotiation activities at locations leading to
Organisation (BRO) and paramilitary forces
substantial cost savings
(BSF, ITBP, SSB, CRPF) for supplying products
like MS, HSD, ISKO and Bitumen ƒ Carried out refuelling of repatriation flights
across India under the Vande Bharat mission
ƒ Commissioned 36 HSD consumer pumps and
during the COVID-19 lockdown adhering to
commenced HSD supplies through Bowser
all precautionary measures, received special
under Kolkata and Mumbai DS ROs
appreciation for prompt refuelling services
ƒ Supplied industrial kerosene to Indian Army to ƒ Participated in transportation of COVID-19
keep warm during winter
vaccines across India while being on the
ƒ Started marketing (as Allied Direct Sales forefront of COVID-19 vaccination drive of the
Business – ADSB) of personal hygiene Government of India
products like sanitisers, soaps, among others

19
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Gas Marketing
ƒ Marketed gas to various industrial customers
such as chemical plants and urea manufacturing
fertiliser plants

ƒ Facilitated procurement of gas for Mumbai


Natural Gas and Renewables Refinery, resulting in substantial cost savings

Our country is poised to grow on a low-carbon path, Compressed Biogas


and we aim to leverage this potential opportunity.
ƒ Released 100 LoIs for CBG plants with
To align our business with these changing patterns,
production capacity of 231.7 TMTPA;
we are strengthening our presence in natural gas
cumulatively, 151 LoIs released with CBG
and renewables. We are focussing on the entire
production capacity of 306.8 TMTPA
gas value chain – from sourcing LNG from the
international market, building regasification terminal,
ƒ Commissioned CBG plants in Vellore (Tamil
and laying cross-country gas pipelines to marketing
Nadu) and Birbhum (West Bengal)
gas to consumers. We are expanding our renewable
power generation capacities to reduce our carbon
Renewable Energy
footprint across the value chain and adopting cleaner
sources of energy. ƒ Installed captive solar power capacity of
11.4 MWp across various locations, taking total
solar power capacity to 43.95 MWp
2020-21 Highlights ƒ Total of 100.90 MW wind power capacity
generated 17.05 Crore kWh electricity
City Gas Distribution
ƒ Signed short-term power sale agreement with
ƒ HPCL is operating City Gas Distribution (CGD)
Maharashtra State Electricity Distribution
networks in 8 Geographical Areas (GAs) in the
Company Limited (MSEDCL) for 3.75 MW
states of Andhra Pradesh, Telangana and Madhya
wind farm at Dhule
Pradesh through Joint Venture companies
Aavantika Gas Limited (AGL), Bhagyanagar
Gas Limited (BGL) and Godavari Gas Pvt.
Limited (GGPL). HPCL is also operating a CNG
network in Ahmedabad on a standalone basis.
Towards further enhancement of the presence
in the sector, HPCL is setting up CGD networks
in 10 GAs in the states of Haryana, Uttar
Pradesh, Uttarakhand and West Bengal on a
standalone basis. In addition, HPCL is setting up
CGD networks in GAs of Ambala - Kurukshetra
(Haryana) and Kolhapur (Maharashtra) districts Supply, Operations and
through joint venture company HPOIL Gas Pvt.
Limited (HOGPL)
Distribution (SOD)
Our SOD vertical extends support to Marketing
ƒ Achieved Last Mile Connectivity (LMC) for SBUs through a country‑wide network of terminals
5,075 domestic households in Sonipat; laid and depots for product movement, which forms the
110 km MDPE pipeline in Jind Sonipat; rolled backbone of our supply chain. With consistent focus
out software for household registration for on quality, quantity and safety, it ensures adequate
PNG connections product availability to customers at all times.
Keeping pace with the evolving technologies, the SOD
ƒ Commenced CNG sales in 8 geographic areas; SBU deploys the latest technologies to make terminals
commissioned 51 CNG stations smart with enhanced operational efficiencies.

Sourcing and Marketing


2020-21 Highlights
ƒ Receivedour maiden international LNG
Cargo in October 2020 and further imported ƒ Achieved throughput of 47.30 MMT
3 more LNG cargoes
ƒ Achieved Ethanol Blending of 6.18% with
an approx. blending of 58.84 Crore litres of
ƒ Secured gas from RIL-BP and ONGC through
ethanol in MS leading to forex saving and
bidding for 3-4 years; commenced gas supply
reduction in GHG emissions; also blended
through all these contracts
4.1  Crore litres of biodiesel in HSD

20
2020-21 Highlights
ƒ Implemented Electromechanical Locking
at 34 locations ƒ Recorded a pipeline throughput of 19.1 MMT
ƒ Commissioned bottom loading facilities ƒ Achieved throughput of 1.5 MMT in LPG
at 14 locations pipelines, registering a robust 38% growth
ƒ Converted 18 locations to smart terminals ƒ Achieved consolidated Specific Energy
Consumption (KWH/MT-KM) of all pipelines of
ƒ Achieved savings at locations through various
0.0161 with an improvement by 3% over historical
cost optimising initiatives such as optimising
security and contract workmen at locations, ƒ Implemented mobile/web application for
innovative maintenance schedule and maintenance data recording at all pipelines
optimising electricity consumption
ƒ Developed and implemented Online Security
ƒ Achieved substantial cost savings in the supply Index under project EKAGRA
chain though various initiatives: leveraging
ƒ Completed mechanical works and obtained Oil
infrastructure for MS/HSD coastal industry
Industry Safety Directorate (OISD) clearance
terms from other companies; commissioning
for Hisar depot
online Transmix facility at Jaipur; innovative
product sourcing such as Oxy MS and ƒ Commissioned VRU facilities at 8 locations
orange dye coupled with secondary logistics
ƒ Completed revamping of TAS at Visakh new
optimisation; loading of 45 TKL Gasohol rakes
black oil terminal
ƒ Conceptualised Project Sangrah for managing ƒ Completed construction of Phase – III of
documents, achieving paperless office
Technical Training Institute at Talegaon and
allied facilities at Jabalpur IRD
ƒ Commissioned railway siding facility at
Madurai IRD
ƒ Biofuel project activities such as 2G Ethanol
refinery at Bathinda, Punjab and Compressed
Biogas (CBG) plant at Badaun, UP are in progress

Project and Pipelines Functions such as Audit, Corporate Strategy and


Planning, Finance, International Trade and Shipping,
Pipelines are a cost‑effective, safe and
Legal, Refinery Coordination Department, Market
environment‑friendly mode of transportation of
Research, Analysis and Planning, HSE and others
petroleum products having multiple advantages over
create a collaborative environment for the SBUs,
rail and road. HPCL has a pipeline of 3,775 km with a
aiding the Corporation to surpass previous milestones.
mainline capacity of 32.55 MMTPA and a branch line
capacity of 15.57 MMTPA.
Major Ongoing Pipeline Projects
We have undertaken major projects to augment our
pipeline network and increase the safety and reliability
of pipeline operations. These projects are expected
to increase our pipeline capacity to over 41 MMTPA
and network length to about 5,300 km, thereby
significantly strengthening our position in key markets.
We achieved all government MOU milestones
for the pipeline projects within time and the
ongoing pipeline projects were ahead of schedule.
These projects include:
ƒ Extension of VVSPL from Vijayawada to
Dharmapuri and construction of marketing
terminal at Dharmapuri
ƒ Hassan-Cherlapalli LPG pipeline
ƒ Barmer-Palanpur pipeline
These projects will not only lower vehicular
emissions and thus GHG emissions, but also enable
Construction work in progress at one of our marketing terminals
safer and faster placement of the product to
meet market demand.
21
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Vision, Mission and Values


Our values lie at the heart of the organisation and mark the genesis of our vision
and mission that steer the Corporation’s business and operations. We believe that
performance is multi-faceted and needs to be assessed quantitatively and qualitatively,
incorporating the stakeholders’ concerns and aspects impacted with reference to the
current business dynamics.

Vision Mission
To be a world-class energy company known for HPCL, along with its joint ventures, will be a fully
caring and delighting the customers with high quality integrated Company in the hydrocarbons sector of
products and innovative services across domestic exploration and production, refining and marketing;
and international markets with aggressive growth focusing on enhancement of productivity, quality and
and delivering superior financial performance. profitability; caring for customers and employees;
The Company will be a model of excellence in meeting caring for environment protection and cultural heritage.
social commitment, environment, health and safety
It will also attain scale dimensions by diversifying
norms and in employee welfare and relations.
into other energy related fields and by taking up
transnational operations.

HP ‘FIRST’
Building an ‘Enabling Culture’ is key to realise our vision and fulfil our mission. Our cultural motto ‘HP FIRST’
instils pre-eminence of HPCL’s vision and mission above all else and guides in all our professional endeavours and
engagements. Our corporate values define who we are as well as who we will continue to be. Nothing less will do.

F I R S T
Free, Frank Integrity Respect for Sustainable Team Spirit
and Fair Individual Performance

22
Corporate Governance
HPCL believes in good corporate governance Board of Directors
practices, ethics, fairness, professionalism and
The Board of Directors is the highest governing
accountability to continue building on the trust
body at HPCL. They exercise powers subject to the
and confidence of its stakeholders and enhance
provisions of the Companies Act, 2013. The Board
value creation. Corporate governance is to follow
sets the policies, strategies and goals pertaining to
systematic processes, policies, rules, regulations and
the Corporation’s triple bottom line performance in
laws by which companies are directed, controlled
alignment with its vision, mission, values and business
and administered by the management in meeting the
strategies through strategic supervision. The Board
stakeholder aspirations and societal expectations.
also provides direction and exercises appropriate
HPCL lays special emphasis on conducting its control to ensure that the Corporation achieves its set
affairs within the framework of policies, internal goals. All the statutory and other significant material
and external regulations, in a transparent manner. information are placed before the Board to enable
Being a government company, our activities are it to discharge its responsibility in an effective and
subject to review by several external authorities like efficient manner.
the Comptroller & Auditor General of India (CAG),
The Board constantly endeavours to set new
the Central Vigilance Commission (CVC), and the
goals and targets that complement the vision and
Parliamentary committees. We are a member of the
mission of the Company so that the interests of
Global Compact Network India, which is a unit of
stakeholders are protected.
the UN Global Compact. We focus on principles of
Human Rights, Labour Standards, Environmental Being a government company, HPCL Directors are
Norms and Ethical Practices of UNGC. These areas appointed by the Government of India (GoI) through
receive constant attention from the management to the administrative ministry, i.e., Ministry of Petroleum
ensure compliance. & Natural Gas (MoP&NG), after assessment as per
guidelines. Whole‑time Directors having specified
Thus, corporate governance at HPCL is based on the
skills/expertise/competencies in the context of the
following principles and practices:
Company’s business and sector to function effectively
ƒ Well-developed internal control, systems and are selected by the Public Enterprises Selection
processes, risk management and financial reporting Board (PESB), a high-powered body constituted
by the GoI and appointed by the MOP&NG as duly
ƒ Full adherence and compliances of laws, rules
approved by the Appointments Committee of
and regulations
Cabinet. Independent Directors are selected by
ƒ Timely and balanced disclosures of all material Search Committee constituted by the GoI from a mix
information on operational and financial matters to of eminent personalities having requisite expertise
the stakeholders and experience in diverse fields.
ƒ Clearly defined management performance The Board holds periodic meetings to review and
and accountability evaluate matters of business, policy and strategic
importance for the Corporation and provides insights,
ƒ Enhanced accuracy and transparency in business
guidance and approvals across various aspects of
operations, performance and financial position
business, including human resources, refining, finance,
HPCL has a well-defined policy framework for accounting, marketing, strategy, projects, technology
effective implementation of corporate governance. and operations, among others. The outcome of Board
The framework comprises: meetings is implemented and executed by respective
functionaries. In addition to new items of discussion
ƒ Code of Conduct for Directors and Senior
based on agenda, progress review of actionable items
Management Personnel
from previous meetings is undertaken and discussed.
ƒ Integrity Pact to enhance transparency in Key decisions of the Board and its Committees are
business operations communicated to the stock exchanges.
ƒ Public Grievance Redressal Mechanism The MoP&NG undertakes performance evaluation
of the Directors at the end of each financial year.
ƒ Whistleblower Policy
This is done through the process of MoU on specified
ƒ Limits of Authority Manual economic, environment and social parameters.
The MoU ratings directly affect the performance
ƒ Procurement Manual
related pay of the Directors.

23
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

The Chairman and Managing Director and other Whole-time Directors are generally appointed for a period
of five years from the date of their taking over charge or till the date of their superannuation or until further
orders from the GoI, whichever is earlier. Independent Directors are usually appointed for a period of three
years. Government Nominee Directors continue on the Board at the discretion of the Nominating authority or till
ceasing to be officials of such nominating authority.

The Following Directors Served on the Board of HPCL During 2020-21:

Whole-time Directors

(Clockwise from Center)

Shri Mukesh Kumar Surana Shri Vinod S Shenoy Shri Rakesh Misri
Chairman & Managing Director Director – Refineries Director – Marketing
(DIN: 07464675) (DIN: 07632981) (DIN: 07340288)

Shri R Kesavan Shri Pushp Kumar Joshi


Director – Finance Director – Human Resources
(DIN: 08202118) (DIN: 05323634)

24
Government Nominee Directors

Shri Sunil Kumar Shri Subhash Kumar


Ex-Officio Director Part-time Director
(DIN: 08467559) Representative of ONGC
(DIN: 07905656)

Independent Directors

Shri G Rajendran Pillai Shri Amar Sinha Shri Siraj Hussain


(DIN: 08510332) (DIN: 07915597) - (Upto 20.09.2020) (DIN: 05346215) - (Upto 20.09.2020)

Board Committees Board-level Committees as on March 31, 2021


In accordance with the provisions contained under ƒ Audit Committee
the Companies Act, 2013 and the SEBI (Listing
ƒ Nomination and Remuneration Committee
Obligations and Disclosures Requirements)
Regulations, sub-committees of the Board have been ƒ Stakeholders’ Relationship Committee
formed, which focus on specific areas and make
ƒ Corporate Social Responsibility & Sustainability
informed decisions within the delegated authority.
Development Committee
They are also involved in making recommendations
to the Board on various matters, if required. ƒ Risk Management Steering Committee
Observations, recommendations and decisions of
the Committees are placed before the Board for
information and approval. The Board is also apprised
of the developments in the Sub-committee meetings.

25
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Nomination, Selection Processes and per Company rules. Remuneration payable to officers
Remuneration below the Board level is also approved by the GoI.
The Corporation has constituted a Nomination and Independent Directors are paid sitting fees for Board
Remuneration Committee as required under the Act, meetings and Board Committee meetings attended
SEBI LODR and DPE guidelines. by them. HPCL does not pay commission on profits to
any of the Directors of the Company.
HPCL being a government company, the remuneration
payable to its Whole-time Directors is approved by The annual total compensation ratio of highest-paid
the GoI and advices thereof are received through the individual to the median annual total compensation for
MOP&NG. Remuneration of Whole-time Directors all employees (excluding the highest paid individual)
includes basic salary, allowances and perquisites as was 5.33:1 in 2020-21. The ratio of percentage increase
determined by the GoI. Moreover, they are entitled to in salary of the highest paid individual to the median
Provident Fund and Superannuation Contributions as percentage increase of all other individuals, excluding
the highest paid individual, was [minus (-)0.148:1].

Internal Systems and Controls


The Corporation gives utmost importance to compliance with corporate governance
requirements including compliance of regulations, transparent management processes
and adherence to both internal and external value norms. We have established policies
and mechanisms, such as Code of Conduct, Vigilance, Integrity Pact, Whistle Blower
Policy, CDA-Conduct, Discipline and Appeal Rules to ensure that our decisions, actions
and conduct are ethical and transparent. These mechanisms strengthen our commitment
to conduct business in an ethical manner, thereby creating a sustainable business.
In line with the requirements of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015,
HPCL has formulated policies on material subsidiaries and material related party transactions. These are
publicly available on our website. Material related party transactions were approved in line with the provisions
contained in the relevant act/policies.

Risk Management
Risk is inherent to all businesses and the key to HPCL understands that it is imperative to continuously
success is to anticipate risks, pick the right risks identify and embrace the upside risk opportunities
and manage them. In today’s volatile, uncertain and and enable the business to achieve the short-term
complex world, the external and internal environment and long-term strategies by leveraging these
is changing at an ever-increasing pace, which, in turn, opportunities. HPCL has created a sustainability
requires businesses to not only manage the existing risk-aware culture across the organisation, thereby
risks but to also anticipate emerging risks and deploy ensuring the identification and monitoring of key
mitigating strategies on a continuous basis. sustainability risks on an ongoing basis. The Risk
Management Steering Committee (RMSC) constituted
As a leading oil and gas company, we are subject
under the Risk Management Charter and Policy 2007,
to risks, including sustainability risks arising out of
guides and monitors the risk management process
economic issues, environmental impact and social
across the organisation. The risk assessment and
responsibility. HPCL accords utmost importance to
mitigation procedures are apprised to the Board.
sustainability considerations in its daily operations
and decision-making.

26
All the purchase policies and procedures currently
prevalent in the Corporation, as also the guidelines
issued by the GoI from time-to-time, are incorporated
in the manual in a comprehensive and lucid manner.
It details the procurement procedures while
undertaking and finalising procurement contracts.
Delegation of Authority and Roles and
It also clearly provides procurement authorities at
Responsibilities
multiple levels for procurement activities.
The Members of the Board, Executive Directors, Chief
Over and above this, there are manuals at corporate
General Managers and General Managers constitute
and SBU levels, which form the basis of guiding
the Senior Management of the Corporation. The head
decisions and administrative functionalities across
of SBU/Department is accountable for activities and
business domains.
performance of the respective SBU/Department.
The provisions contained in the Limits of Authority
Manual guide decisions pertaining to various levels
of officers. The decisions related to key concerns
requiring approval from the Committee of Functional
Directors (CFD) or the Board as per the LAM are put
up for the consideration of the CFD or the Board.
The Corporation has detailed manuals and guidelines Code of Conduct (CoC)
to facilitate decentralised decision-making at multiple
HPCL has a ‘Code of Conduct for Board Members and
levels. Some of these are as follows:
Senior Management Personnel of Hindustan Petroleum
Limits of Authority Manual (LAM): The Limits of Corporation Limited’ in compliance with the terms of
Authority Manual serves as a reference guide for Regulation 17 (5)(a) of the SEBI (Listing Obligations
employees at all levels. It stipulates the authorities and Disclosure Requirements) Regulations, 2015,
along with the monetary limits, where necessary, that including the duties of Independent Directors as
can be exercised by the various levels of officers in the envisaged in Regulation 17 (5) (b) of the SEBI (Listing
Corporation in their day-to-day functioning. Obligations and Disclosure Requirements) Regulations,
2015. The Code aims to further enhance ethical and
It defines the scope of authority for the Board,
transparent process in managing the affairs of the
Committee of Functional Directors and the Executive
Corporation. This Code has been made applicable to:
Committee, the Contracts Committee, the Bids
Committee and the senior individual positions. a) All Whole-time Directors
Separate chapters on different functions, such as Sales,
b) All Non-Whole-time Directors including
Crude and Shipping, Capital Projects, Operations and
Independent Directors and
Distribution, Finance, HR and inter-functional groups,
guide transparent decision-making process, leaving c) Senior management personnel
no room for any ambiguity.
The Code would be read in conjunction with the
Procurement Manual: The Procurement Manual Conduct, Discipline and Appeal Rules for Officers
is a handbook developed with the objectives of applicable to Whole-time Directors and senior
outlining policies and procedures governing the management personnel. All Board members and
following functions: senior management personnel provided the Annual
Compliance Certificate duly signed by them as on
1. Purchase of materials and supplies and award of
March 31, 2021. During 2020-2021, there were no
construction/service contracts
materially significant related party transactions with
2. Disposal of obsolete, surplus, unserviceable and Directors or their relatives having potential conflict
slow-moving materials and equipment with the interest of the Company.

27
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Vigilance Mechanism
To ensure fair and transparent practices within the
organisation, HPCL has a full-fledged Vigilance
Department headed by Chief Vigilance Officer
(CVO) who administers supervision and control
on all vigilance matters within the Corporation.
The department focusses on preventive and proactive
measures to minimise or eliminate deviations from
HPCL’s values, policy and procedures to uphold the
integrity of business operations.
Vigilance mechanism at HPCL is based on the
guidelines from Central Vigilance Commission (CVC)
on vigilance management in public sector enterprises
and instructions issued from time-to-time by the
Department of Personnel and Training (DoPT) as well
as the MoP&NG. Vigilance complaints are handled as
per the complaint handling policies stipulated in the
Vigilance Manual 2017 of the CVC.
Vigilance activities are periodically reviewed by the
CVC, the apex integrity institution in the country,
along with the vigilance wing of the MoP&NG.
We focus on preventive vigilance which enables
us to review procedures and practices, identify
vulnerable areas and fine tune business processes
based on constantly changing and dynamic scenarios.
Awareness creation and dissemination of information to various stakeholders. The e-Integrity pledge was
is a crucial activity for keeping every employee abreast taken by employees and other stakeholders in large
of the latest developments, enabling them to respond numbers through e-kiosks, corporate website, LPG
proactively to every situation. IVRS, etc., resulting in enrolments of over 56,000
Integrity Pledges.
All procurement for supplies are governed by the
provisions enumerated in the Procurement Manual of The Vigilance Officers conducted 38 interactive
the Corporation which include various anti-corruption sessions covering 1,013 employees primarily through
policies based on the broad principles outlined in the WebEx due to the pandemic wherein focussed
GFR of GoI. Further, purchase orders of value above groups were sensitised on ethical standards in various
` 1 Crore placed for contracts for goods and services aspects of procurement, MDG, retail, LPG, route setup,
includes an Integrity Pact in line with the directions of operations, etc.
the CVC on the subject.
We developed Preventive Vigilance Training Module
During the reporting year, as a part of preventive for officers during induction and for mid-career as per
vigilance outreach activities, various campaigns were the guidance of the CVC. A training programme based
undertaken for administering the e-Integrity Pledge on a newly developed training module was conducted
for 134 newly-confirmed officers.
Also, we conducted preventive vigilance sessions
in 18 schools and colleges covering 1,085 students.
Preventive vigilance sessions were conducted for
dealers and vendors covering 5,400 participants.
Surprise inspections were carried out in various
locations as a part of the preventive vigilance activities.
We coordinated with agencies like the CBI, the CVC,
the vigilance wing of MOP&NG apart from carrying
out investigations of complaints received from offices
of the MOP&NG, the CVC, the CBI and other sources.
Periodical updates were provided to various SBUs/
HR-Legal/CPO on CVC/CTE/MOP&NG guidelines.

28
The Vigilance Awareness Week-2020 (VAW-2020)
was celebrated from October 27, 2020 to
November 2, 2020 with ‘Vigilant India-Prosperous
India’ as the central theme. Our C&MD administered the
integrity pledge to all employees online. Multiple talks
by eminent personalities were organised during the
awareness week. Various outreach activities viz., Ethics and Integrity
focussed group presentations, quiz, drawing/painting
HPCL is committed to achieving economic, ecological,
competitions, skits/street plays, workshops, technical
social and governance objectives of a sustainable
talks, grievance redressal camps, gram sabhas,
business through a balance in its varied operations
school/college programmes, among others were also
and activities. We strongly believe in conducting
undertaken. The activities were widely shared on
business in a fair and transparent manner by adopting
social media platforms.
the highest standards of professionalism, honesty,
Review of several operating areas of the Corporation integrity and ethical behaviour. We have several
for systemic improvements were also carried out mechanisms in place to ensure the same.
during the year.
Public Grievance Redressal Mechanism
The ninth edition of the in-house vigilance publication,
We strive for excellence in delivering services,
Jagaran was published during the Vigilance Awareness
customer delight, and sustainable business conduct,
week. Jagaran included a collection of articles covering
thereby targeting minimal grievances to the public.
diverse subjects with focus on vigilance awareness,
Our public grievance redressal system has designated
such as system improvements implemented,
officers at specified times at our major locations to
thought-provoking insights, essays and illustrations
facilitate redressal of grievances. The details of the
promoting integrity, transparency and efficiency.
Grievance Redressal Officer are available on our
HPCL had 16 vigilance-related complaints pending corporate website. We have toll-free helpline numbers
as on April 1, 2020. A total of 321 complaints were for registering customer complaints. We have
received during 2020-21. Of these, 305 complaints customer complaint management systems embedded
were resolved during the year while the balance 32 in our SBUs to handle specific queries, feedback
are under investigation as on March 31, 2021. or complaints. We also promote the use of the

29
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Centralised Public Grievances Redress and Monitoring Integrity Pact


System (CPGRAMS), a web-enabled grievance
In order to ensure high transparency and ethical
redressal system of the Department of Administrative
standards in dealings with domestic and international
Reforms & Public Grievances (DARPG) through a link
contractors and vendors of goods and services, the
on our corporate website. We attend to and promptly
Corporation has introduced the Integrity Pact (IP) to
redress grievances of citizens in a meaningful manner
enhance transparency in awarding contracts. An MoU
through effective coordination and qualitative
has been signed with Transparency International on
disposal. Root cause analysis of grievances and
July 13, 2007. The Integrity Pact was made applicable
necessary updation of service standards are done to
in the Corporation effective September 1, 2007 for
eliminate recurrences.
contracts of ` 1 Crore and above. The Integrity Pact is
HPCL had 44 public grievances pending as on now a part of tender documents to be signed by the
April 1, 2020. We received 4,751 public grievances Corporation and by vendors/bidders.
during 2020-21 and resolved 4,719 of the pending
The references received from the Vendors are placed
grievances. The closing number of public grievances
before the Independent External Monitors (IEM) for
as on March 31, 2021 is 76. The average disposal
their review and recommendation of their decision to
time for the complaints was 11 days, well within
the Management for compliance. Meetings of the IEMs
the permissible timeline of 30 days as per the
are held regularly to brief on the purchase process of
directive of (DARPG)/Prime Minister’s Office (PMO).
the Company and review orders covered under the
Grievances received under the specially carved out
Integrity Pact.
category, i.e. COVID-19 Category, wherein 108 were
registered and resolved within 48 hours as against the During 2020-21, the Corporation received 4
72-hour directive. complaints from vendors, which were referred to and
resolved by the IEM.
Right to Information (RTI)
Whistle Blower Policy
The basic objective of the Right to Information Act is
to set out the practical regime of right to information The whistle blower policy is approved by the Board and
for citizens to secure access to information under is available to stakeholders through the Corporation’s
the control of public authorities, in order to promote website. The policy is a mechanism for employees to
transparency and accountability in the working of every report to the management concerns about unethical
public authority. An informed citizen is better equipped behaviour, actual or suspected fraud or violation
to maintain vigilance over governance instruments of the Company’s code of conduct or ethics policy.
and make the government more accountable to the This mechanism also provides for adequate safeguards
governed. The Act is a big step towards making citizens against victimisation of employees who avail the
informed about the activities of the Government. mechanism and for direct access to the Chairman
The Right to Information Act, 2005 (RTI), which of the Audit Committee. It provides protection from
became effective October 12, 2005, is complied with unfair treatment or victimisation for genuine whistle
by the Corporation. The Corporation provides detailed blowers while warranting disciplinary action against
information on its website www.hindustanpetroleum. misuse of the policy. It aims to build an environment
com and updates the same regularly. Officers across where employees feel safe and empowered to raise
the country, representing different departments, have concerns regarding non-compliance with laid rules,
been appointed as Public Information Officers and regulations and policy directives.
Appellate Authorities to deal with the queries received
from Indian citizens under RTI.

30
Supply Chain
Value chains which form the backbone of any are involved in various stakeholder engagement
manufacturing business are becoming increasingly workshops to raise awareness on the important
complex, demanding management of suppliers sustainability issues.
(primary, secondary and sometimes tertiary), product
We use best-in-class optimisation tools to plan and
quality and processes. Ensuring sustainability at
optimise the sourcing, transportation linkages and
all levels throughout the value chain is of central
long-term infrastructure needs. It reduces carbon
importance to us. We have an Integrated Margin
footprint by maximising product movement through
Management department, which acts as a nerve
energy-efficient modes like pipelines, coastal and rail
centre and takes end-to-end view on critical
over road transportation, which also reduces cost.
processes for planning, enhancing and delivering the
Six fully-owned dedicated rakes have been procured
net corporate realisation. We also have an integrated
and deployed in LPG transportation service.
procurement system, which helps us ensure cost
effectiveness, prompt delivery, reliability, responsible As the Corporation is engaged with various local and
sourcing of raw materials and inventory management. small vendors for procurement, it encourages them to
Suppliers, distributors, dealers and transporters participate in the green initiatives undertaken.
have been identified as important stakeholders and

Imported Refineries Pipeline Lube Lube Bazaar


Crude Blending Distributors Lubes
Plants

Clearing and Industrial


Forwarding Agents Customers

Vessel

Indigenous POL Terminal Terminals/ Aviation Service Aircrafts


Crude Depots Facilities

Rail

Retail Outlets Automotive

Finished LPG Import Road LPG Plants LPG Domestic


Product Imports Facilities Distributorships Customers

31
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

Memberships and Affiliations


HPCL participates in consultative committee meetings Safety Directorate (OISD), the Petroleum and Natural
for setting up policy frameworks as and when asked by Gas Regulatory Board (PNGRB), the Centre for High
the Government or regulatory departments. In addition, Technology (CHT) towards the advancement of public
HPCL engages with the Ministry of Petroleum & good and nation building.
Natural Gas and other bodies such as the Oil India

Some of our Institutional Memberships:

All India Association All India Management The Associated Chambers of


of Industries Association (AIMA) Commerce and Industry of India
(ASSOCHAM)

Bombay Chamber of Commerce Bombay First Bombay Management


and Industries (BCCI) Association

Chemicals & Petrochemicals Confederation of Council for Fair Business


Manufacturers Association Indian Industry (CII) Practices

Federation of Indian Chamber of Federation of Indian Petroleum Global Compact Network India
Commerce & Industries (FICCI) Industry (FIPI) (GCNI)

IMC Chamber of Commerce Indo German Chamber of Maharashtra Economic


& Industry Commerce Development Council

Press Club of India Standing Conference of Public The Energy and Resources
Enterprises (SCOPE) Institute (TERI)

The Indian Society Vigilance Study Circle World LPG Forum


of Advertisers

Indian Biogas Association (IBA) International Energy Agency


(IEA) Bioenergy

With Hon'ble Chairman and Respected Members of the Standing Committee on Petroleum and Natural Gas

32
Awards and Recognitions
HPCL received multiple awards and recognitions during 2020-21 at various national
and international forums.

Business 5. ‘Digital Tech Sabha Award’ in ‘Enterprise’ category


for ‘Smart LPG Plant’ project
1. ‘Oil Marketing Company of the Year’ for leadership
in oil marketing business in India by Federation of 6. ‘Certificate of Excellence’ to HP Gas for UMANG
Indian Petroleum Industry (FIPI) App Bronze Partner by Ministry of Electronics &
Information Technology
2. ‘National Quality Award’ in the Gold category
to Proficiency Testing Project of Quality Control
HR and CSR
Department (Marketing) by Quality Control
Council of India 7. First Prize for ‘Swachhta Hi Sewa’ 2019
campaign and ‘Outstanding Contribution’
3. CII SCALE Award ‘Excellent’ category in Oil, Gas and
award for Swachhta Pakhwada 2020 campaign
Petrochemical Category for digital interventions
by Ministry of Petroleum and Natural Gas and
at various customer interface points, last mile
Ministry of Jalshakti
logistics planning, and productivity and process
improvements through process digitisation 8. Felicitation by Hon’ble Governor of Telangana
and Lieutenant Governor of Puducherry, for
4. ‘Tech Circle Award’ for Excellence in Digital
ensuring smooth supply of petrol, diesel and
Execution by Mosaic Digital
LPG refill to consumers in Telangana during the
COVID-19 pandemic

33
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

About HPCL

10

9. 59th ABCI Awards 2020 by Association of Business


Communicators of India for (i) HP Corporate
Website, (ii) Annual Report 2017-18, (iii) HP
Samachar under the Indian Language Publication,
(iv) Expressions under the Photo Feature category
and (v) Sustainability Report 2017-18
10. Felicitation by Hon’ble Governor of Maharashtra
for humanitarian services rendered during
COVID-19 pandemic
11. ‘Innovation in Capability Building’ award by AIAC
(All India Achievers Conference) towards the
various learning platform and training modules
12. PRSI National Awards 2020 by Public Relations
Society of India for (i) Best Corporate Website for
second consecutive year, (ii) Best House Journal
in ‘English Category’ to HP News, (iii) Best House
Journal in ‘Hindi Category’ to HP Samachar,
(iv) Best use of Social Media, (v) Best Corona
Awareness Campaign

Safety
13. ‘Shrestha Suraksha Puraskar’ to Visakh Refinery
Modernisation Project (VRMP) – Full Conversion 11
Hydrocracker Unit (FCHCU) construction site by
National Safety Council of India (NSCI)
14. ‘International Safety Award 2020’ bestowed on
Delhi Terminal, Ramamandi Rewari Pipeline and
Coimbatore IRD by British Safety Council
15. Various Awards under HSSE to LPG plants
at Aurangabad, Usar, Chakan, Raipur, Loni,
Khapri, Goa, Mysore, Panagarh, Bhatinda,
Yediyur and MLIF

34
16. Gold Awards to Panagarh and Usar LPG Plant
and Platinum Award to Yediyur LPG Plant in
petroleum storage and transportation by Apex
India Foundation
17. MLIF and Yediyur LPG Plants declared the ‘Best
industries under oil and gas sector’ by Factories
Inspectorate, Karnataka.
18. Apex Gold Award 2020 to SOD SBU for Trainings
– an essential for Safe Work Place
19. Golden Peacock Award and Apex India
Foundation Gold Award in Occupational Health
15
and Safety Category and Apex India Foundation
Platinum Award in Fire Safety & Security Cat

Environment and Sustainability


20. ‘Exceed Platinum Award’ under the category
‘Environment Sustainability’ in Oil Refining Sector
by Sustainable Development Foundation of ‘Ek
Kaam Desh Ke Naam’
21. Saksham Award 2020 to State Level Coordinator,
Chandigarh for ‘Best Overall Performance’
among small states & UTs category for Oil
& Gas Conservation activities carried out
during Saksham 2020
22. Bhopal LPG Plant, Calicut ASF, Kanpur Terminal
and Mundra Terminal awarded Greenco Platinum
Rating at the 9th Virtual Greenco Summit
organised by the Confederation of Indian Industry
Green Business Centre (CII-GBC)
20
23. ‘Renewable Energy Award’ to Mundra Delhi
Pipeline (MDPL) by CII
24. Platinum Rating to newly constructed regional
office at Bathinda by Indian Green Building Council
egory to Mumbai Pune Solapur Pipeline (MPSPL)

Research and Development


25. Apex ‘Gold Award, 2020’ to HPGRDC for Safe
Workplace in R&D Sector
26. Product Innovator of the year award for
development of ‘HP-THERMOPRO’ by FICCI
27. Golden Peacock award for development of
‘HP-CoSoL’

35
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Stakeholder Engagement and Materiality

FOSTERING INTERNAL AND


EXTERNAL TRUST
Identifying and reporting on the most relevant, material issues for a company and
its stakeholders are the foundation of sound disclosures. In today’s evolved business
environment, materiality extends beyond financial reporting to encompass environment,
social and governance parameters. As we strive to take the multi-faceted approach
in the new energy paradigm, we are aware that development, and its concomitant
impact on society and environment, need to be balanced optimally with clear focus on
making the Corporation ready for the transition to a low-carbon path. Such realisations
guide our decisions and actions to keep the activities and initiatives of the Corporation
relevant to the changing times and aligned to the new developments in energy and allied
arena. This section summarises the issues that HPCL and its stakeholders holds crucial
and important for a sustainable future.

Our Sustainability Approach Encompasses the Following Steps for Effective Implementation:

Setting Formulating Mobilising Tracking Reviewing


goals roadmap to resources performance plans,
achieve goals processes and
projects

The fossil fuel-based energy sectors have been the mainstay of the economic and technological progress
witnessed over the past century and remain so in current times. However, with the increasing impact of
GHG emissions associated with fossil fuels, a closer look at decoupling energy with GHG emissions becomes
imminent. Companies in the Oil and Gas sector need to traverse the low-carbon journey while maintaining
business relevance, advocating for and aligning with major policy decisions, and performing on increasingly
stringent environmental standards. Incorporating stakeholders’ concerns into the sustainability strategy thus
becomes all the more important. HPCL is focussing on a strategy to address the quadruple aspects: supporting
the nation’s rapid demand growth; maintaining stable and secure supplies; ensuring sustainable air, water and
land management; and preparing for the transition to a low-carbon path to achieve scale dimensions in other
energy-related fields. We are strengthening the core businesses of refining with bottom upgradation, marketing
and distribution; scaling the natural gas business; diversifying into petrochemicals; and strategically participating
in renewables and upstream businesses.

36
Governance and Policies
We believe that the evolution of corporate strengthen relationships with external stakeholders
governance is vital to sustained value creation by and ensure overall accountability across ESG aspects.
seamlessly integrating environmental and social risks
The Board has constituted Corporate Social
and opportunities into long-term business strategy.
Responsibility and Sustainability Development
We recognise that the successful integration and
(CSR&SD) Committee, headed by an Independent
effective management of sustainability depends on
Director. The subcommittee defines the sustainability
committed leadership, clear direction and strategic
vision, reviews the sustainability strategy, identifies
influence. Successfully embedding sustainability into
projects aligned with our sustainability approach and
everyday actions requires establishing accountability
provides leadership and direction. It also conducts a
at the highest levels of governance and commitment
periodic review of progress and performance across
from the senior management to drive the
identified focus areas in sustainability. The Corporate
sustainability agenda.
HSE Department formally carries out the process of
HPCL has instituted a governance structure to focus material topics identification, reporting on identified
on embedding the ESG aspects within our strategy, material topics, review and approval of Sustainability
organisational culture and business verticals. Report. During the process, regular feedback is taken
This governance structure helps scan the risk and from the Committee of Functional Directors (CFD),
opportunity, build a sustainability strategy across the Strategic Business Unit (SBU) Heads and other
business, manage goal setting and reporting processes, officers concerned.

Sustainable Development Policy


We have implemented a Sustainable Development Policy, applicable across business verticals and functions.
Every business unit is expected to adhere to the objectives, commitments and guiding principles
enshrined in the policy.

Sustainable Development Policy


We at HPCL, are committed to achieve the economic, ecological and social responsibility objectives of
sustainable development consistently through our varied operations and activities.
We will strive to contribute to sustained overall economic growth by continually improving the efficiency
and productivity of our operations. We will execute our business activities in such a way that the ecological
balance is not impacted. We will develop and conduct programmes for the community, suitably designed
towards building their individual capabilities. We will:

Promote sustainable Integrate the sustainable Deploy efficient and clean


development concepts amongst development objectives technologies towards
our employees, customers, and considerations in all our realising minimal impact
stakeholders and others. business plans. on environment.

Develop and implement Continuously monitor Endeavour to provide a clean,


good practices for optimal and control our healthy and safe working
usage of natural resources. activities to minimise environment to our employees,
carbon footprint. neighbours, customers,
consumers and stakeholders.

Sustain appropriate Incorporate customised Remain committed to


development programs for management systems disseminate information on our
our employees, customers and to monitor and control sustainability performance.
neighbouring communities. progress of Sustainability
development objectives.

37
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Stakeholder Engagement and Materiality

Stakeholder Engagement
An important aspect of creating shared value is effective communication and dialogue
with our stakeholders. We have an extensive network of people, organisations,
businesses and communities whose inputs help us better understand our material
sustainability topics. At HPCL, we have developed a well-respected approach towards
corporate responsibility which reflects our commitment to the economic, ecological,
social and governance objectives of sustainable development. The key sustainability
issues are identified based on their impact on our business, stakeholders and value
chain. Our process for identifying the key material issues is structured, which takes
into account key concerns and priorities of all of our internal and external stakeholder
groups. We interact with our stakeholders using various methods of engagement
such as one-on-one as well as segmental interactions, annual general meetings, press
releases, trainings, group discussions, surveys and grievance redressal mechanisms.
Additionally, the Sustainability Division of the Corporate HSE Department and other line
management representing different SBUs engage with stakeholders regularly through
structured mechanisms.

Approach
To evaluate the issues raised by our stakeholders, process through review and inputs received from
we adopt a structured approach through effective stakeholders. This two-way dialogue effectively
discussions at various levels. To achieve this, we identifies opportunities for value creation, helps
undertake stakeholder engagement workshops/ in appreciating the perspectives and challenges
meetings/interactions to sensitise our stakeholders of stakeholders, and in the process, builds lasting
on sustainability issues as well as to garner feedback. relationships. We analyse concerns that have a
These workshops provide an opportunity to obtain potentially high impact and that helps us work
perspectives and help us strengthen our partnerships. towards our sustainability priorities. While developing
The stakeholder inputs are considered for deliberation our previous Sustainability Reports, we reached out to
and redressal at the appropriate levels. We aim to internal and external stakeholders, ensuring adequate
continually improve the stakeholder engagement representation.

Interaction with Shri. Tarun Kapoor (IAS), Secretary, Ministry of Petroleum & Natural Gas, Govt. of India
at our Corporate Headquarters, Petroleum House

38
The process followed for Stakeholder Identification
stakeholders’ expectation
We identify stakeholders key to our business through their impact on the
and compliance is:
organisation and the value we create for them in return. We have identified
distinct stakeholder categories for our business.
Internal and External Stakeholder Groups*

Stakeholder Internal Stakeholders Employees


Identification ƒ Management
ƒ Non-Management
External Stakeholders Customers
Dealers and Distributors
Stakeholder Suppliers/Contractors
Prioritisation
Transporters
Forecourt Staff at Retail Outlet
LPG Delivery Person/Staff
Contract Workmen
Stakeholder
Competitors
Engagement
Investors
Local Community
Regulatory Departments
Local Administration
Managing Stakeholder
Expectations Shareholders
* In no order of preference

Stakeholder Prioritisation
The precursor to establishing the mode and periodicity of stakeholder engagement is stakeholder prioritisation.
The periodicity and engagement mode can span from one-on-one interaction at various frequencies to annual
group level meetings to enhance strategic collaborations. To formulate an effective strategy, we assess the
nature and depth of the impact that these stakeholders may have on our business and the extent to which our
business decisions will make an impact.

Responsibility Influence Proximity Dependence Representation


Directly or Representing
Towards whom With influence Who regularly
Stakeholder Group indirectly communities,
the Company has or decision interact with the
dependent on employees and
a responsibility -making power Company
the Company others

Management Employees X X X X X
Non-Management Employees X X X X X
Dealers and Distributors X X X X X
Suppliers/Contractors X X X X X
Transporters X X X X
Forecourt Staff at Retail Outlet X X X
LPG Delivery Person/Staff X X X
Contract Workforce X X X
Competitors X
Investors X X X X
Local Community X X X X X
Regulatory Departments X X X
Local Administration X X X X
Shareholders X X X X

39
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Stakeholder Engagement and Materiality

Stakeholder Engagement Sustainability is an expansive lens, and it is important


that we identify our key priorities so that we can
Stakeholder engagement serves as a tool to
align time, resources and investment to deliver the
understand the reasonable expectations and interests
triple-bottom-line impact. Our detailed materiality
of stakeholders, and their information needs.
assessment included customised surveys for each of
Each stakeholder can have differing knowledge, views
our identified stakeholder group.
as well as appreciation about a particular subject in
context of our corporation. Hence, we have developed We explained subjects such as sustainable
and refined our stakeholder engagement process development, environmental issues, latest trends, best
through years of conducting engagement workshops practices, regulatory landscapes and future scenarios
across the length and breadth of the country. during the stakeholder engagement sessions and
The learnings have been factored into the mode of materiality assessment exercises.
engagement and the methodology has been devised
to bring in useful outcomes, which provide valuable
insights for business and stakeholders.

Managing Stakeholder Expectations

Key Topics Modes of Engagement Our Response

Management and
Non‑Management Employees

COVID-19 Response ƒ Virtual engagement ƒ We have created a safe working environment by adhering to
at varying frequencies all COVID-19 related protocols set in place by the Government
(daily, weekly) Departments and Statutory Authorities
ƒ We hold online counselling sessions for guidance to employees on
physical and mental well-being
ƒ We provide employees with nutritional supplements, appropriate
PPEs, sanitisation facilities at workplace
ƒ Employees are provided with medical equipment for preventive
and diagnostic measures such as pulse and oxygen monitors, BP
monitors, thermometers etc.
ƒ Employees are provided with appropriate hardware and software
and training for enabling them to work from home

Focus on health ƒ Monthly/quarterlysafety ƒ We strive for an incident-free workplace through regular safety
and safety committee meetings trainings, health check-ups and awareness sessions
ƒ There is a periodic medical check-up that covers our employees
under the Periodical Medical Examination (PME) Scheme and is
defined by the age profile and nature of work
ƒ We conduct various safety training programmes to internalise
safety and make it a part of culture, we also conduct behavioural –
based safety (BBS) training programmes

Aspirations for career ƒ Annual performance ƒ We provide timely performance reviews and appraisals to our
progression and higher reviews and employees through appropriate feedback mechanism, via online
education appraisal system performance review and appraisal system
ƒ Education ƒ We have devised an education growth plan for our employees to
Growth Plan (EGP) enable them to fulfil their higher education ambitions

Grievance redressal ƒ Regular interactions ƒ We have effective online grievance redressal mechanisms, such as
ƒ E-platforms ICS E-Care, HR Direct, Reflexion etc. These are made available to
our employees to address their concerns

40
Key Topics Modes of Engagement Our Response

Ecosystem based and ƒ Regular in-house ƒ With a strong focus on initiatives and programmes to enable
need-based trainings technical and our employees to gain competency and enhance their skills, we
behavioural trainings organise technical and behavioural trainings
ƒ Nomination to ƒ We adopted a learning culture leveraging online mode of learning
external trainings, for our employees
conferences ƒ Some of the capability development initiatives that are available
and seminars to our employees include courses through collaboration with
premium institutes, HP Academy, nomination of employees to
international conferences and seminars and so on

Work-life balance ƒ Regular interactions ƒ During the time of COVID-19, we have undertaken various online
ƒ Employee-connect engagement initiatives such as online learning, online fitness and
forums yoga sessions, online competitions among others
ƒ We counsel and extend our support to our employees and their
family members through Paramarsh
ƒ We modified existing HR policies related to leave and
compensation in light of COVID-19 pandemic

Rewards and ƒ Annual/biannual ƒ In order to motivate our employees to higher levels of


recognition recognitions schemes performance, we provide incentives like Performance Related
Pay (PRP) to management employees and productivity incentive
schemes to non-management staff
ƒ To reward our deserving employees, we have schemes like HP Icon,
Outstanding Achievers Awards, HP Gaurav Award, among others

LPG Distributors

Product quality and ƒ Regular ƒ We closely examine quality parameters during different phases of
product delivery distributor meets our complete value chain
ƒ Regular visits ƒ We are supporting development of novel solutions and utilising
and inspections technologies, such as a Vehicle Tracking System (VTS), Optimised
Logistics Assistant (OLA), online inventory monitoring, online LPG
connection, etc. to ensure timely product delivery
ƒ Our operating workforce carries out regular inspections

Safety (including ƒ Training programmes ƒ The distributors are consistently guided on safe
COVID-19 measures) on safety management of products
ƒ Regular inspections ƒ Timely safety audits and reviews are carried out at retail outlets
and safety audits and LPG distributors
ƒ We have provided a Special Ex-Gratia Scheme and Floater
Group Mediclaim Policy to extended workmen engaged by our
stakeholders and their family members (not covered by ESIC) for
Hospitalisation for any diseases including COVID-19

Competition from ƒ One-to-one meetings ƒ Appropriate solutions are identified and executed based
peers on the situation.

41
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Stakeholder Engagement and Materiality

Key Topics Modes of Engagement Our Response

Retail Dealers

Upgradation of outlet ƒ One-to-one ƒ We keep on upgrading the DUs with up-to-date configuration, and
and dispensing units discussions the same are provided to our dealers
ƒ Regular dealer meets

Improvement in vendor ƒ Regular ƒ We have established a portal to lodge, review and settle
services meetings with grievances within a definite period. Also, action is taken against
vendors and dealers defaulting vendors
ƒ An effective monitoring system is established for compliance

Supplier and Vendors

Health and safety ƒ Training programmes ƒ The suppliers and contractors are frequently involved in training
(including COVID-19 on safety programmes and fire drills planned by the working locations
measures) ƒ Regular health ƒ Timely health check-ups are arranged with the support of
check-ups renowned hospitals
ƒ Regular meetings ƒ To stress on secure and safe driving practices, safety parameters,
trainings and awareness campaigns, such as Sadak Suraksha
encompassing technical and behavioural aspects are carried out
for our transporters and their crew regularly
ƒ We supported our suppliers and contractors through regular
guidance on COVID-related aspects
ƒ We have provided a Special Ex-Gratia Scheme and Floater
Group Mediclaim Policy to extended workmen engaged by our
stakeholders and their family members (not covered by ESIC) for
hospitalisation for any diseases including COVID-19

Higher running and ƒ Trainings ƒ To bring about awareness on fuel conservation and defensive
maintenance costs ƒ Tank truck driving habits, regular training programmes are arranged
health check-up ƒ Through co-ordination with leading OEMs, we organise camps for
tank truck fleet. We also reward the top performing drivers
ƒ Programmes like SAKSHAM focussing on fuel conservation are
organised involving transporters and TT crew

Complaint redressal ƒ Online platforms ƒ We have a strong grievance mechanism for our suppliers and
mechanism ƒ One-on-one meetings contractors. Complaints can be directed to the unit heads at the
operating locations

Improved RTKM ƒ Regular meets ƒ We have implemented the improved Online Logistics Assistant
transportation rates and discussions (OLA) in-line with local requirements and necessities
ƒ One-on-one
interactions

42
Key Topics Modes of Engagement Our Response

Increased transparency ƒ Regular supplier ƒ In order to ensure transparency and reliability in the bidding
meets at process, we have a real-time tendering process
operating level ƒ We arrange panel meetings with select representatives
ƒ One-on-one meetings
ƒ Panel meetings
ƒ Pre-bid meetings

On-time payments ƒ Email communications ƒ To cater to online payments, a robust system has been setup,
ƒ One-on-one meetings which enables transporters to check their payment status, taxes
ƒ Online platforms and amount of TDS deducted

Payment process ƒ Online platforms ƒ We have an integrated disbursement module, which is a platform
ƒ Need-based through which bills can be submitted and tracked by the vendors
communications ƒ In our thrust to reduce cycle time and enhance transparency, we
ƒ Vendor trainings are constantly automating and upgrading existing processes

Delivery Men

Customer retention ƒ Regular ƒ To help our delivery staff enhance their knowledge and instil an
training sessions attitude to create differentiated customer experiences, customised
training programmes are undertaken

Training needs ƒ Regular interactions ƒ We have specific SOPs for delivery men, both in LPG and Retail, on
ƒ Training safe use and handling of products
sessions on safety ƒ Training sessions are organised for the delivery men at
regular intervals

Health and safety ƒ Regular interactions ƒ We keep on guiding the extended workforce on appropriate
COVID-19 related protocols to be adhered to
ƒ We have provided a Special Ex-Gratia Scheme and Floater
Group Mediclaim Policy to extended workmen engaged by our
stakeholders and their family members (not covered by ESIC) for
hospitalisation for any diseases including COVID-19

Contract Workers

Health and safety ƒ Annual ƒ We arrange health check-ups of our contract workforce and
(including COVID-19 health check-ups organise frequent sessions on healthy living
measures) ƒ Regular ƒ We look forward to enhancing the well-being and productivity of
wellness sessions our workforce by promoting good health and safety practices.
ƒ Regular interactions ƒ We keep on guiding the extended workforce on appropriate
COVID-19 related protocols to be adhered to
ƒ We have provided a Special Ex-Gratia Scheme and Floater
Group Mediclaim Policy to extended workmen engaged by our
stakeholders and their family members (not covered by ESIC) for
Hospitalisation for any diseases including COVID-19

43
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Stakeholder Engagement and Materiality

Key Topics Modes of Engagement Our Response

Regular payment ƒ Regular interaction ƒ We disseminate awareness on Provident Fund and ESI-related
ƒ Need-based matters among others, thus enabling the contract workforce to
communication understand minimum wages in a more detailed way

Training needs ƒ Regular trainings ƒ We carry out regular trainings on workplace safety and
emergency preparedness

Regulators

Compliance ƒ Regular interactions ƒ We make sure that timely compliance with applicable statutory
with government regulations and local laws is fulfilled
departments and ƒ We ensure that there is regular interaction with various
statutory bodies government departments and statutory bodies on
compliance-related matters

Disaster management ƒ Training on safety ƒ We engage with members from nearby communities and
issues and mock neighbouring industries during on-site and off-site mock
drills for emergency drills to augment their level of preparedness and instil a
preparedness sense of confidence
ƒ Mutual-aid meetings
ƒ Meetings with
local authorities

Communities

Community ƒ Regular interaction ƒ We constantly engage in CSR activities in areas of childcare,


development with the community education, healthcare, environment, community development, skill
through our development etc.
CSR initiatives ƒ We undertook various initiatives during the year including
provision of cold chain equipments to State health Department,
mask distribution, health camps, COVID-19 awareness drives,
donation to the needy and underserved in the society etc.
ƒ Many of our operating locations supported the communities in
their vicinity and migrant labour by providing free food, medical
help, PPEs etc during the reporting year

Meeting project ƒ Meetings with local ƒ We closely work with local administration, NGOs and
deadlines administration, NGOs implementing agencies to enlighten them on the process and
and implementing perspectives of each project
agencies ƒ Timely follow-up is ensured for completion of identified projects
within the defined time period

More support and ƒ Regular meetings ƒ We are in regular contact with the local communities to upgrade
regular meetings in with communities and improve the facilities provided to them
healthcare

44
Key Topics Modes of Engagement Our Response

Shareholders and Investors

Financial performance ƒ Annual Report ƒ We apprise our shareholders and investors on the existing business
ƒ Periodic press environment and the Corporation’s strategy to encounter new
releases challenges in the future
ƒ Annual General
Meeting
ƒ Analyst meet

Good corporate ethics ƒ Regular meetings ƒ We have a Stakeholders Relationship Committee to address the
and compliance ƒ Online platform grievances of security holders
ƒ To better recognise the apprehensions of our shareholders, we
also seek their feedback

Customers

Awareness on safety ƒ Periodic campaigns ƒ We promote awareness sessions on safety to enhance customer
and environment on safety and awareness on safe usage of products
aspects resource conservation ƒ We disseminate awareness to LPG consumers, including PMUY
consumers on safe handling of LPG
ƒ To sensitise the masses and raise awareness among them, we
conduct programmes on conservation of Oil and Gas (SAKSHAM)
at various locations, retail outlets and LPG distributorships

Product quality and ƒ Periodic customer ƒ To avoid any degradation in quality and maintain products of
service standards satisfaction surveys highest quality standards right from refining to distribution, we
and customer meets have established adequate systems and processes
ƒ Through efficient planning and logistics, we ensure product
availability at customer touchpoints
ƒ We are constantly upgrading to products with minimum
environmental impact
ƒ We regularly interact with customers to understand their
perspective on our service standards

Resolving complaints ƒ One-on-one meetings ƒ By means of multi-language online applications, we ensure


ƒ Need-based customer connect is strengthened
communication ƒ To attend to our customer complaints on a timely basis, we have
ƒ Online complaint effective complaint management systems in place
management system ƒ We also ensure alignment with the Centralised Public Grievances
Redress & Monitoring System (CPGRAMS)

45
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Stakeholder Engagement and Materiality

Materiality
Materiality assessment is the foundation of sustainability reporting. It helps identify an
organisation’s and its stakeholders’ most ‘material issues’ and determine what should be
reported. The process of identifying these issues involves reaching out to internal and
external stakeholders to get their feedback on a wide range of relevant sustainability
topics. This provides an opportunity to solicit inputs on designing an effective
sustainability strategy that is responsive to stakeholder expectations..

We engaged with large number of internal and external interviews covering over 1,000 relevant stakeholders,
stakeholders and captured their feedback on material including employees, retailers and distributors,
concerns. The materiality assessment exercise typically suppliers, vendors and transporters, and validated
involved explaining different stakeholder categories in 2019. We did not identify any major change in
of the relevance of the issues and requesting them to materiality for the reporting year..
rank them in order of importance.
This year, we continued with our material sustainability
issues identified previously based on surveys and

Engagement with internal and external stakeholders leads to strengthened partnerships

46
Materiality Matrix

1 Product safety

Occupational
Reducing carbon emissions health & safety
2

5
Importance to Stakeholders

Safety and security of


critical assets
Business integrity

6 4

Customer 3 Product and service quality


relationship 7
experience and
satisfaction Renewable energy

11
Transparency 8 Water management

Waste management

9 Energy efficiency

13
14 10 Research & Development

16 12
15 Transport safety

Efficient project management


Regulatory 17
issues and Grievance redressal
compliance mechanisms

HPCL's Business Priorities

Revalidated Material Topics.


Sr No. Material Topic GRI Standards Boundary
1 Product Safety GRI 416 and 417 Internal/External
2 Occupational Health & Safety GRI 403 - 2018 Internal
3 Product and Service Quality OG 8 Internal/External
4 Safety and Security of Critical Assets Non-GRI Internal/External
5 Reducing Carbon Emissions GRI 305 Internal/External
6 Business Integrity GRI 205 and 206 Internal/External
7 Renewable Energy GRI 302, OG 2, OG 3 and OG 14 Internal
8 Water Management GRI 303 - 2018 Internal
9 Energy Efficiency GRI 302 Internal
10 Research and Development Non-GRI Internal
11 Customer Relationship Experience and Satisfaction Non-GRI External
12 Efficient Project Management Non-GRI Internal
13 Waste Management GRI 306 Internal/External
14 Transparency GRI 102 Internal
15 Transport Safety Non-GRI Internal/External
16 Regulatory Issues and Compliance GRI 307 and 419 Internal/External
17 Grievance Redressal Mechanisms Non-GRI Internal

47
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Economic Performance

CREATING VALUE
RESPONSIBLY
The COVID-19 pandemic affected the world economy in 2020. Governments across the
world implemented several restrictions like lockdowns, quarantine and social distancing
to ‘flatten the curve’, which resulted in a contraction of over 3% in global economic
output. The Indian economy was also impacted by the unprecedented crisis in 2020‑21
due to the pandemic. The lockdown measures imposed to contain the pandemic
affected economic activities resulting in contraction of the real Gross Domestic Product
(GDP) by 7.3% in 2020-21 as per first advance estimate. Backed by several proactive
and mitigating measures taken by the Government, the Indian economy recorded a
rebound in the third quarter of 2020 with real GDP growth turning positive. The health
crisis is subsiding, and economic activities are gathering momentum, supported by an
aggressive vaccination programme and fiscal stimulus.

` 10,664 Crore
The pandemic impacted the energy sector on the back
of high contraction in demand. For the first time in
the 21st century, primary energy consumption in India
declined by 5.9% in 2020, mirroring the decline in GDP Highest ever PAT
by about 7.3%. The largest decline in energy demand
occurred in oil at 9.9%, reflecting reduced road and air
transportation activities.
Despite the severe challenges, we ensured
uninterrupted availability of LPG, petrol and diesel
for essential services and the general public while
prioritising the safety and well-being of our workforce
and other stakeholders. We recorded a stellar financial
performance, with our highest ever Profit After Tax
(PAT) of `  10,664 Crore, crossing the `  10,000  Crore
mark for the first time. This was a result of efficient
planning, robust operational performance and
effective supply chain management, helped by
favourable exchange rate variations and inventory
gains. This performance is a testimony to the tireless
efforts of all employees, channel partners and
unwavering faith of all our stakeholders.
We dedicate this success to the service of all the
COVID-19 warriors who associated themselves in one
way or the other during the year with the Corporation.
Our credit ratings remain strong, and we have deployed
comprehensive systems and processes to monitor our
financial performance.

Flag-Off Ceremony of RUF Reactors for Visakh Refinery


Modernisation Project

48
Financial Performance
(` Crore)

Economic Value Generated 2020-21 2019-20 2018-19

Total Revenue 273,115.05 2,89,255.10 2,98,621.32

Profit After Tax 10,663.88 2,637.26 6,028.66

Economic Value Distributed

Operating and Service Cost 8,116.69 9,270.28 8,259.81

Employee Wages and Benefits 3,188.38 3,193.46 2,936.91

Payment to Providers of Capital 2,400.45 2,808.54 2,379.28

Contribution to Exchequer 95,332.94 76,133.41 73,350.33

Community Investment 156.35* 182.24 159.81

*` 156.35 Crore i.e. (2.41%) of Average Net Profit of the company for last three financial years. The mandatory
spending being 2%, additional expenditure of ` 26.38 Crore is carried forward to 2021-22 and the same is avaiable
for set-off.

Shareholding Pattern* % of Total


Issued Shares

53.50 1.26
Oil and Natural Gas Other
Corporation Ltd. Bodies Corporate

16.33 0.46
FPI (Includes Foreign
OCBs, FII Nationals (Includes NRI)
and Foreign Banks)

14.29 0.22
Mutual Financial Institutions
Funds (Includes AIF)

8.54 0.03
Public Banks

4.39 0.98
Insurance Others
Companies

*as on March 31, 2021

49
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Economic Performance

Physical Performance
Refineries
During 2020-21, HPCL refineries at Mumbai and Visakhapatnam maintained sound physical performance despite
pandemic-induced challenges. They achieved a combined capacity utilisation of 104%, aided by close monitoring
of crude sourcing plans, optimisation of day-to-day crude run rate, and efficient management of logistics.
(MMT)
Crude Throughput Refinery 2020-21 2019-20 2018-19
Mumbai 7.37 8.07 8.67
Visakh 9.05 9.11 9.77

Operating performance in 2020-21


Crude Capacity Specific Energy Distillate
Refinery Fuel and Loss
Throughput Utilisation Consumption Yield
MMT % MBN % %
Mumbai 7.37 98.3 97.85 8.18 77.4
Visakh 9.05 109 80.96 7.93 74.5

Marketing
We achieved sales volume of 36.6 MMT (including exports) with a market share of around 21.3% in the PSU
category. We maintained strong market position in comparison to our peers through continuous efforts to
ensure customer satisfaction. During pandemic-induced travel restrictions, we supplied POL products and LPG
to critical establishments and the society at large.

Operating Performance of Marketing SBUs


(MMT)
Year Total Sales Volume
2020-21 36.6
2019-20 39.6
2018-19 38.7

50
Strategic Planning Initiatives
We continued monitoring the progress of the 5-year strategy roadmap to traverse
through the uncertainties and challenges of future business environment, and
enhance performance across the triple bottom line of people, planet and profits.

With the formulation of strategy for deploying various


digital and technological innovations in businesses,
we are taking a focussed approach and have identified
key focus themes in leveraging emerging technologies,
conversion of enterprise data into insights and
streamlining of business processes, among others, for
implementation.

Central Procurement Organisation


The Central Procurement Organisation (CPO) at HPCL
is an innovative and collaborative centre of excellence,
We are focussed on expanding our refineries and which maximises value through best-in‑class sourcing
marketing infrastructure towards strengthening practices and services to stakeholders while
the existing business as envisioned in the roadmap. maintaining transparency.
The greenfield and brownfield refinery expansion
Amid the disruption caused by COVID-19,
projects are in advance stages and are expected to
CPO-Marketing at HPCL ensured enhanced
be progressively commissioned from the second
standardisation, efficiency and transparency
quarter of 2021-22. Various marketing infrastructure
compliances in procurement for various Marketing
expansion projects were commissioned during
SBUs on a centralised basis. CPO ensured the adoption
the year to enhance capacities and market reach.
of various government directives/policies of providing
Towards building a diversified and flexible business
relief to MSMEs, and promoting indigenisation of
portfolio aligned with the needs of changing market,
products and services.
natural gas and petrochemicals are recognised as new
growth drivers. HPCL and its JVs are strengthening 2020-21 Highlights
their presence with the availability of authorisation
ƒ Finalised purchase orders worth `  7,900 Crore,
for setting up a CGD network in 20 geographic areas
recording savings of `  325 Crore @ 4.11% over
in nine states with planned participation in the entire
benchmarked price through strategic procurement
value chain of natural gas. Large-scale investments are
underway for building petrochemical manufacturing ƒ Finalised purchase orders worth `  174.6 Crore
capacities through the Joint Venture route to through GeM platform
capitalise on growth opportunities. The marketing
ƒ H an dle d approx. `  6 , 5 00 Crore of ethano l
strategy for petrochemicals has been formulated and
procu re me n t an d `  20  Crore of bio-di esel
the pre-marketing plan is under implementation amid
procurement
factors like changing industry dynamics, demand
pattern, and global trade flows, among others. ƒ D i s p o s e d s c r a p o f ~ `   8 5 C r o r e , i n c l u d i n g
` 80  Crore of CVR scrap
We are enhancing our R&D capabilities along with the
expansion of R&D infrastructure for covering new-age All approval processes in CPO for various committees,
products and technologies. Expansion of business non-committee approvals by category managers, cost
footprints in overseas geographies shall help in more estimation and vendor management have been made
opportunities and six new countries have been added completely online fully dispensing with use of paper.
in 2020-21 in the portfolio. E-PO has been rolled out, eliminating the issuance of
physical copies of POs.
We are exploring new avenues of value creation in
the EV ecosystem, including battery swapping and Promotion of Local Enterprises
energy storage solutions in collaboration with various
CPO is actively driving various GoI initiatives to
technology start-ups and OEMs. HPCL incubated 23
strengthen the ecosystem for MSMEs.
start-ups, which is a step towards exploring emerging
opportunities in the business portfolio. We are 2020-21 Highlights
also leveraging our vast retail network for non-fuel
ƒ HPCL has achieved 28.49% of procurement of
allied businesses.
goods & services (other than Crude Oil, Petroleum

51
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Economic Performance

Products, Logistics (Marine, Railway & Pipeline)) as restrictions on mobility reduced demand from the
from Micro and Small Enterprises (MSEs) in 2020-21 transportation sector, which contributes more than
against a target of 25% 50% to total oil demand.
ƒ Continued efforts to onboard MSME vendors under For sustaining Net Corporate Realisation (NCR) under
TReDS (Trade Receivable Discounting System) such a low-margin scenario, the Integrated Margin
resulted in vendors’ invoices bill discounting worth Management (IMM) group continued to drive various
` 162.88 Crore through this platform initiatives taken by the Corporation in key performance
areas of crude throughput optimisation in refineries,
ƒ Conducted dedicated virtual workshops/webinars
leveraging margin improvement opportunities in crude
on Aatmanirbhar Bharat
oil and product sourcing, enhancing value-added
ƒ Added new 862 MSMEs as vendors products and improving capacity utilisation of
cross-country pipeline network.
CPO also conducted various vendor meets with focus
on MSEs, SC/ST MSEs and women MSEs. It ensured Crude throughput at both Mumbai and Visakh
compliance of the Public Procurement Policy and Refineries were optimised during the lockdown
extended benefits like exemption of EMD, allowed to considering various factors, such as lower product
supply a portion quoting within +15% on matching L1 cracks, heavy export discounts, opportunities to take
rates and up to 25% of requirement, among others. process units maintenance shutdowns, commitment
Regular orders including developmental orders/ on term crude lifting, among others.
trial orders were also released to improve capacity
In view of high volatility in product demand, the entire
and capability of local vendors, including MSEs.
planning process was shifted from monthly to weekly
Various government directives/policies to provide
basis. Weekly demand was assessed by tracking
relief to MSMEs and promote indigenisation of
lockdown position and opening situation at district
products and services were extended by HPCL.
level and retail outlet operation.
Integrated Margin Management
Product purchases from other sources were cut down
During 2020-21, the petroleum sector witnessed by cancellation of imports and reduction in indigenous
major impact of COVID-19 due to price and demand product sourcing
destruction, with Q1 being the worst hit. The entire
Pipeline pumping, flow rates, batch sizes and quality
period remained significantly volatile in terms of
specs were dynamically changed to suit evacuation
projection versus actual sales materialisation for motor
from TOPs and availability at refineries. Coastal and
fuels. In 2020, Global GDP contracted by 3.5%, global
rail linkages were dynamically changed for achieving
industrial production fell 4.4% and trade volume was
maximum loading from refineries for raising inventory
down 5.3%. Oil demand was significantly impacted,
levels to sustain refinery crude processing.

52
For sustaining continual improvement, the margin Information Systems
improvement ideas generated across the Corporation
HPCL’s business processes are effectively managed
were driven through a structured Initiative
by its Enterprise Resource Planning (ERP) system
Management Office, called Idea Junction that regularly
and a large number of other applications, including
tracks the execution of these ideas and reports to
workflow applications and portals to address
the Management. The idea generation activity was
specific requirements.
enhanced during the year through idea workshop
and training sessions. A total of 60 idea workshops/ We continue to focus on deriving benefits from digital
sessions were conducted across SBUs/Functions, technologies. During the year, the government’s
generating over 3,000 ideas. A module on ‘What’s mandate for e-invoice was successfully implemented
a Good Idea’ was developed and hosted as a new by integrating our ERP system with GSTN, for
course in the HP Academy. Employee participation in generating e-invoice with Invoice Reference Number
idea submission increased to 25% on overall basis and (IRN) embedded in the QR code printed on the
40% for management employees. The processing of invoice. Our bill tracking system (BTS) was modified
ideas by all stakeholders in SBUs/Functions across the to enable vendors to upload e-invoices with valid IRN
idea funnel has led to significant additional revenue embedded in the QR code. Vendors were also enabled
generation across the value chain, thereby inculcating to upload a digitally signed invoice, thus eliminating
a culture of innovation. the need to submit paper invoices.

60
As the lockdown restrictions affected regular
working in various operating locations and plants,
the IS team implemented significant technology
solutions to facilitate employees to work seamlessly
Idea workshops conducted from remote locations/home to ensure business
across SBUs/functions continuity, including provisions for virtual meeting,
upgradation of existing IS infrastructure, acquisition
For stabilising margins, the Oil Price Risk Management of licences, among others.
(OPRM) group, as an integral part of IMM, continued
Process and productivity enhancements are being
its activities towards formalising hedging strategies
achieved by continuously leveraging advancements in
for refinery margin and providing hedging
the area of digital technologies. Applications leveraging
solutions for crude, products and intermediates.
artificial intelligence and machine learning using
During the COVID-19 outbreak, when product cracks
Robotic Process Automation (RPA) and Chatbots were
were at record lows, the opportunities to hedge
scaled up during the year. The Customer Relationship
refinery margins at such low levels were limited.
Management (CRM) tool has been rolled out across
Thus, various innovative hedging strategies were
the Corporation to effectively engageas well as
adopted to increase the hedge ratio.
manage relationship and interaction with existing and
For long-term business sustenance, IMM carried out potential customers.
studies on supply-demand scenarios post Mumbai
ERP Modernisation
and Visakh Refineries expansion projects and
post Rajasthan Refinery availability. Studies were We have undertaken the project of modernisation
undertaken for future infrastructure requirements for of the existing ERP system towards greater business
pipelines/LPG with detailed economic analysis and flexibility, higher digital agility and enhanced
recommendations were provided to SBUs for planning efficiencies. The ERP modernisation project is gaining
capex accordingly. momentum with the procurement of software
solutions during the year.
The year 2020 witnessed global concerns about
climate change. There were a spate of pledges to Digital Initiatives
achieve net zero emissions from China, Japan, South
We embarked on a digital transformation exercise and
Korea and Canada in the very long term, along with
are implementing various initiatives for leveraging
greater climate ambition from Europe. At HPCL,
new-age technologies like Analytics, Artificial
we made significant efforts to maximise NCR while
Intelligence (AI), Internet of Things (IoT), Machine
optimisation of multimode product transportation,
Learning, Augmented and Virtual Reality (AR &
efforts are made to maximise pipeline transfers and
VR), among others.
rake utilisation vis-à-vis road movements for reducing
carbon emissions. Despite a drop in sales in 2020-21 Information Security and Compliance
due to the pandemic, the pipeline throughput
Information security continues to be a key focus area
continued to be maximised and around 83% of the
for us. Our data centres are certified with latest ISO
total product sales were fed via pipelines. In addition,
27001 security standards.
HPCL share for more long-lead LPG movements such
as Mangalore to Cherlapalli and Vishakhapatnam We have implemented advanced security solutions
to Raipur via rail was increased over road, thereby to accurately identify Advanced Persistent Threat
minimising overall emissions. (APT) attacks to protect core information assets.
Stringent security controls were put in place during
the year to ensure data privacy.

53
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

TOWARDS A
LOW-CARBON FUTURE
Nature provides the resources that are essential for our well-being and also serves as
a sink for waste/effluents/emissions we generate. The ever-increasing consumption
pattern of humanity is stressing the delicate balance of our earth’s ecosystem.
While humanity still heavily relies on conventional methods of achieving economic
progress, i.e. utilisation of the finite resources for value creation, majority of the risks
perceived to be likely and having major impact related to climate change, e.g., climate
action failure, extreme weather, human environmental damage, biodiversity loss, natural
resource crises among others are concomitant. This crystallises the need for aligning
business priorities with environmentally sustainable methods.

HPCL, as a responsible corporate citizen is committed Our vision is to strategise and implement programmes
to caring for the environment and managing its and practices that help us minimise the impact of our
carbon footprint. We have adopted a Climate business operations on the environment. We adopt
Change Policy, available in the public domain. With a processes that help us strike a profitable balance
focus to go beyond environmental compliance and between our business targets and environmental risk
achieve best-in-class performance, our actions mitigation. To gain an understanding on the way our
are guided by our Board-approved policies on businesses impact climate change, we participated
environment and sustainable development. We strive in a comprehensive study on ‘Climate Change Risk
to incorporate adaptation and mitigation measures and Preparedness for the Oil and Gas Sector in India’.
to counter probable impacts of climate change on The outcomes of the study provided insights into the
our infrastructure, operations as well as upcoming climate resilience of critical assets and infrastructure
projects. Our management systems focus on the and provided recommendations on short and
Health, Safety & Environment (HSE) aspects of the long-term interventions to mitigate the consequences
business. Our major installations are certified with of climate change. We continuously strive to explore
environmental management systems. effective ways of integrating climate resilience and
adaptation into our business strategy.

54
Environment Policy
The Corporation is committed to conduct its operations while staying aligned with the conservation of the
environment and economic development of the community. Its aim is to sensitise our people about the importance
of conservation of environment by ensuring equal participation. The employees are encouraged to focus on
leveraging operational best- practices, philosophy and training which are better suited for the environment.
Objectives of this policy are:

Adopt environmentally-sound Strive to progressively bring Establish procedures and devise


operating systems, about an improvement in the suitable methods for disposal
practices and procedures environmental performance of our of toxic, other hazardous
facilities by adopting eco-friendly waste and scrap
techniques/processes for optimal
use of energy and to reduce
hazardous emission and wastes

Create environment awareness Comply with the relevant Maintain highest standards of
amongst its employees and statutory rules & regulations and vigilance and preparedness
develop programmes for devise appropriate standards on to respond to emergencies
environment protection other cases wherever required supplemented with mutual aid
of neighbouring facilities and
Government agencies

Endeavour to associate with and Programme reviews and


support R&D on environment evaluation to measure progress of
by government agencies and compliance with the policy
reputed research institutes

Key Environmental Highlights


Our refineries and locations celebrate important days to spread awareness and sensitise internal and external
stakeholders on important issues.

Our Mumbai Refinery Our SOD SBU carried out Environment Compliance
Audits of 25 POL locations by a multidisciplinary team
ƒ Celebrated World Environment Day on June 5,
aimed at enhancing environmental performance
2020 with message from Executive Director - MR
and other environmental awareness programmes
Corporate HSE Department
conducted for employees
ƒ Released process for e-audit and environment
ƒ Conducted ISO 14001:2015 awareness training
compliance audit for marketing locations
sessions virtually for employees
ƒ Released Common Environment Guidelines
Visakh Refinery for Environment Compliance, i.e. for managing
fresh water, effluents, air emissions, waste and
ƒ Celebrated World Environment Day on June 5,
sustainability initiatives for all Marketing locations
2020 with programmes like online quiz competition
conducted for employees on environmental ƒ Carried out environment compliance audit along
awareness along with distribution of bird nests to with HSE Index for MR & VR
the zoological park
ƒ Carried out mass awareness campaign for
ƒ Observed World Ozone Day on September 16, 2020 environment compliance and sustainability
by taking up programmes like administering pledge, throughout the year
playing video clippings on importance of ozone
ƒ Carried out awareness programme in line with
layer, displaying digital posters on Refinery portal
National Water Mission ‘Catch The Rain’ campaign
and in control rooms
for providing rainwater harvesting structure and
ƒ Conducted ISO 14001:2015 awareness training artificial recharge structure at locations
sessions virtually, which were attended
by 242 employees

55
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

Materials Management
At HPCL, we focus on optimum utilisation of resources for delivering energy and
non‑energy products in our portfolio. We are undertaking myriad initiatives to optimise
material consumption in our processes and are also working to innovate products that
helps consumers achieve resource efficiency.

Material Consumption in Refineries Material Consumption in Marketing Locations


Materials Unit Total Materials Unit Total
Additives, Chemicals and Catalyst MT 24,303 Bottling Cylinders MT 88,841*
Hydrogen MT 28,694 Brass Valves MT 969*
Liquid Nitrogen MT 11,574 Additives and Chemicals MT 42,040
Caustic MT 8,245 HFHSD MT 2,194
Lube Oil KL 207.2 Pressure Regulators MT 1,525.5
Greases MT 2.2 MTO MT 569
Dry Chemical Powder MT 7.5 O-rings MT 32.1
Cotton Waste MT 3.9 Dry Chemical Powder MT 62.3
Foam KL 19.6 Lube Oil and Greases MT 76.4
Corrosion Inhibitors KL 46.4 Conkote MT 697.2
Filters Nos. 3,619 Cotton Waste MT 24.2
Rubber Hoses Nos. 286 Caustic MT 23.5
Batteries Nos. 78 Base Oils KL 6,07,400
Metal Containers Nos. 4,585 Paint & Primer KL 1,251.1
Orange Dye KL 20 Corrosion Inhibitors KL 698
Ethyl Mercaptan MT 11.9 Foam KL 163.2
Blue Dye KL 15
Cartons Nos. 43,42,456
Associated Material Consumption in Refineries
Plastic Seals and Caps MT 530.6
Materials Unit Total Filters Nos. 2,456
Refrigerant MT 0.6 Rubber Hoses Nos. 2,674
Wooden Pallets Nos. 3,808
Metal Containers Nos. 4,51,654
Plastic Containers Nos. 4,37,23,281
In consonance with the green Glass Containers Nos. 965
initiatives undertaken by HPCL, Batteries Nos. 2,482
our Green R&D Centre (HPGRDC) Ethyl Mercaptan MT 15.5

has developed additives for LPG: * Since these materials undergo reuse multiple times (subject to
testing) before completing their service life, quantities of new
HP Gas Flame Plus, for BS VI-HSD: materials put into service are reported.
HP‑DFA (Dual Functional Additive),
Recycled/Reused Materials in Refineries
for VLSFO: HP PPD (Pour Point
Depressant) which are aimed at Materials Unit Total
Catalyst MT 129
improving the different operating
parameters of the products, thereby Recycled/Reused Materials in Marketing Locations
improving efficiency and reducing
Materials Unit Total
consumption of chemicals. Lube Blending Interface (Oil) MT 1,384

56
Energy Performance
We are a prominent organisation serving We measure and monitor our energy
the energy needs for mobility and other consumption and derive insights for
sectors. We manufacture high-quality, action through process modifications,
value-added products (fuel and non-fuel), use of energy-efficient equipment and
which are used by millions of citizens. technologies and adoption of best
The manufacturing and distribution of practices at our refineries and marketing
these products is energy intensive, and we locations. Energy conservation is one
are highly focused on energy efficiency in of the major contributing factors in
our operations and distribution. controlling operating cost of refineries
and they accord highest priority to it.

Direct Energy Consumption at our Refineries and Marketing Locations

Refineries (Million GJ) Marketing (Million GJ)

49.36 49.08 0.25


47.40 0.23 0.23

2020-21 2019-20 2018-19 2020-21 2019-20 2018-19

Indirect Energy Consumption at Our Refineries and Marketing Locations

Refineries (Million GJ) Marketing (Million GJ)

2.14 2.10 1.03


2.00 0.97
0.92

2020-21 2019-20 2018-19 2020-21 2019-20 2018-19

Local conversion factors are used for energy consumption calculations.

57
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

Energy Consumption outside the Organisation


This year, we estimated 9.21 Million GJ of energy consumption towards product movement of Marketing SBUs.
(*energy consumption accounted for product movement by road).

Energy Intensity (Direct and Indirect) at our Refineries and Marketing Locations

Refineries* (GJ/MT) Marketing* (GJ/MT)

0.0145 0.0142
3.40 0.0138
3.05
2.92 2.72 2.88 2.69

2020-21 2019-20 2018-19 2020-21 2019-20 2018-19

MR VR

* For Refineries: per MT of crude processed; For Marketing: per MT of product throughput

Saksham 2021 - Encouraging our Tank Truck fleet to drive fuel efficiently

58
Energy Conservation at Refineries of 27,125 SRFT/year (standard refinery fuel tonnage
per year), comprising 14,069 SRFT/year for Mumbai
Both Mumbai and Visakh refineries have taken a
Refinery and 13,056 SRFT/year for Visakh Refinery.
proactive role in the area of energy conservation and
achieved significant improvement. Energy Conservation at Marketing Locations
The major energy conservation measures undertaken We primarily use electrical energy for powering our
during this year include: distribution terminals and plants. Apart from regular
upkeep to maintain the health of the equipment, we
ƒ Implementation of Comprehensive Energy
continually scan for opportunities in improving specific
Monitoring Systems
energy consumption. Measures for the identified areas
ƒ Optimisation of feed quality of secondary units upon implementation aid in achieving significant
energy savings.
ƒ Frequent insulation and steam leak surveys
During the reporting period, our marketing locations
ƒ Implementation of chemical programme for
took several initiatives to achieve energy savings.
de-fouling of exchangers
Few initiatives are mentioned below:
ƒ Maximising use of off-gases in furnaces ƒ Measurement and close monitoring of energy
ƒ Frequent energy surveys to ensure timely interventions consumption
to improve efficiency of various equipment, such as
ƒ Installation of high efficiency prime movers and
furnaces, steam generators and power generators
associated equipment
Both Mumbai and Visakh refineries celebrated
ƒ Conducting periodic energy audits to identify
Sanrakshan Kshamata Mahotsav (SAKSHAM) from
energy-saving opportunities
January 16, 2021 to February 15, 2021 under the auspices
of PCRA to generate mass awareness among the public ƒ Maintaining power factor near unity by using
for conservation of petroleum products. capacitor banks
Capital investment on energy conservation equipment ƒ Replacing conventional lighting with LED lights
during 2020-21 was ` 11.1 Crore for Mumbai Refinery and
ƒ Educating stakeholders on energy conservation
` 98.25 Lakh for Visakh Refinery.
ƒ Supplies, Operations and Distribution (SOD) SBU
Various energy conservation measures undertaken by
has taken up deployment of Energy Management
both the refineries during 2020-21 resulted in savings
System across 25 major locations

Mumbai Refinery
ƒ The Stage I and II audits for ISO-50001 (Energy Management System) were successfully completed by M/s
IRQS for recertification/upgradation. Mumbai Refinery is awarded ISO-50001:2018 certificate, which is valid
till March 2024
Visakh Refinery
ƒ Organised a free Pollution Under Control (PUC) check-up for 4 wheelers and 2 wheelers in coordination with
the marketing division. Created awareness among employees, students and general public on controlling
vehicular emissions in the environment as well as fuel conservation

Asset Security
Safe and dependable assets are crucial to maintaining the continuity of our operations.
We deploy best-in-class technology, maintenance practices, trainings on maintenance of
equipment and reliability improvement measures to maintain reliability of our assets.

Reliability improvement and maximising asset centre, were carried out during the year in Mumbai
utilisation have always been a priority of refineries. and Visakh refineries, respectively.
In this direction, we ensured the time bound
At marketing locations, our M&I teams inspect our
turnaround of existing units i.e. Propane Dewaxing
facilities and carry out timely maintenance of assets.
Unit at Mumbai refinery and catalyst replacement
They also assess potential risks, prepare mitigation
of DHDS unit at Visakh refinery. In addition, trials
plans and identify the need for new investments
of dewatering and sludge inhibiting chemical and
towards improving asset integrity with the aim of
corrosion inhibitor, developed by HP Green and R&D
achieving safe, incident-free and efficient operations.

59
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

GHG and Air Emissions

We recognise that we have a responsibility and Our sustainable development policy puts great
opportunity to contribute to finding solutions emphasis on carbon footprint measurement and
for reducing global greenhouse gas emissions. mitigation when it says, “Continuously monitor and
We keep a check on our carbon footprint by taking control our activities to minimise carbon footprint”.
remedial measures, such as reducing specific energy We have been measuring our GHG emissions and
consumption, switching to environment-friendly monitoring the same. We have plans in place to reduce
modes of fuel transportation, optimising utilisation of GHG emissions, and our refineries and marketing
fleet, implementing biofuels and augmenting green locations are undertaking various projects aimed at
cover in and around our refineries and locations. carbon footprint reduction.
We are investing in innovative, low-carbon emission
technologies. The deployment of these technologies
helps build the nation’s energy security and carbon
emission reduction.

The table below displays a comparative analysis of Scope 1 and Scope 2 emissions for the last three
financial years:

Scope 1: Direct GHG Emissions at Our Refineries and Marketing Locations

Refineries (Million tCO2e) Marketing (Million tCO2e)

3.433 3.305 3.436


0.0182 0.0180
0.0171

2020-21 2019-20 2018-19 2020-21 2019-20 2018-19

Scope 2: Indirect GHG Emissions at Our Refineries and Marketing Locations

Refineries (Million tCO2) Marketing (Million tCO2)

0.479
0.469 0.240
0.461 0.220
0.201

(INDC 5, 8)
2020-21 2019-20 2018-19 2020-21 2019-20 2018-19

60
Estimation of Scope 3 Emissions

The emissions due to product movement of marketing This year we have expanded our scope of reporting of
SBUs is estimated at 0.99 Million tCO2 (includes scope Scope 3 emissions by including emissions happening
of transportation of product by rail, road and ship) on account of crude transportation by ships.
against last year emissions of 1.04 Million tCO2. These emissions are estimated at 0.37 Million tCO2.

GHG Emissions Intensity at our Refineries and Marketing Locations

Refineries* (tCO2e/MT) Marketing* (tCO2e/MT)

0.0029 0.0028
0.267 0.0026
0.241 0.231
0.213 0.200 0.196

2020-21 2019-20 2018-19 2020-21 2019-20 2018-19


MR VR

* For Refineries: per MT of crude processed; For Marketing: per MT of product throughput

The standards, methodologies and assumptions Guidelines for National Greenhouse Gas Inventories),
(based on operational control) used for the Central Electricity Authority (CEA) - CO2 Baseline
purpose of our calculations were obtained from the Database for the Indian Power Sector, Version 16.0,
Intergovernmental Panel on Climate Change (IPCC), March 2021, India GHG Programme, Version 1, 2015
Guidelines for National Greenhouse Gas Inventories (emission factor for material transport by rail) and UK
– 2006, the IPCC AR5 Assessment Report, (with Govt. GHG Conversion factors for Company reporting
consideration of 2019 Refinement to the 2006 IPCC 2021 (for ship transport).

Significant Air Emissions for Refineries in 2020-21*


Emission Type Unit Total
Suspended Particulate Matter (SPM) MT 355
Nitrogen Oxides (NOx) MT 4,090
Sulphur Oxides (SOx) MT 3,873

* Measured Values

Air Pollution Control Measures and Other ƒ Upgraded the existing environmental display board
Environmental Initiatives at refinery main gate with new LED board for display
of various environmental parameters like stack
Mumbai Refinery
emissions, quality of ambient air and liquid effluent
ƒ Installed and commissioned CCR NOx analyser at
CEMS in compliance with CPCB online emission ƒ Leak Detection and Repair (LDAR) programme
monitoring system carried out for monitoring and controlling the
hydrocarbon emission in the refinery
ƒ Commissioned revamp of IETP VOC system for
enhanced capacity and efficiency Marketing
ƒ Recorded overall Ethanol Blending Percentage
Visakh Refinery
(EBP) of 6.18% by blending 58.84 Crore litres of
ƒ Installation of dedicated stack analysers completed Ethanol in Petrol during 2020-21. In addition, we
for 7 of 8 stacks also recorded blending of 4.1 Crore litres of Biodiesel
during the year

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

ƒ Achieved pipeline throughput of 19.1 MMT leading under Pradhan Mantri Garib Kalyan Yojana (PMGKY)
to logistics cost optimisation and reduction scheme to help them mitigate the hardships during
in GHG emissions pandemic period

ƒ Released Letters of Intent (LOIs) for setting up ƒ HPCL is constructing a Second Generation Ethanol
of 100 CBG plants with estimated production bio refinery at Bathinda, Punjab with 100 KL per day
capacity of 232 TMTPA taking total LOIs to 151 ethanol production capacity from biomass
numbers with capacity of 307 TMTPA in order to
increase usage of biofuels in the nation’s energy and ƒ HPCL is also setting up a Compressed Biogas
transportation sectors (CBG) plant of 15 MT/day capacity at Badaun, Uttar
Pradesh. CBG produced from the plant shall be sold
ƒ Delivered a total of 3.81 Crore refills to the through HPCL retail outlets
beneficiaries of Pradhan Mantri Ujwala Yojana

Green Cover
Tree plantation and conservation have always been important for absorbing carbon dioxide,
reducing biodiversity loss, promoting natural habitats for fauna, preventing soil erosion among
others. Increasing terrestrial carbon sequestration by increasing green cover is an instrumental
tool in countering global warming. India in its Nationally Determined Contribution committed
to create an additional carbon sink of 2.5 to 3 billion tonnes of CO2 through additional forests
by 2030. We have increased our green cover over the years by implementing comprehensive
guidelines on green belt development. We have a green cover of over 1,200 acre inside our
premises as on March 31, 2021. We focus on planting tree species, which are native to the
location, have low water requirement and offer high carbon sequestration.

62
Harnessing Renewable Energy
HPCL is leveraging renewable energy sources to reduce its carbon footprint and
electricity cost across the value chain and is continuously expanding renewable power
generation capacities. We are aware of the potential in renewable energy as an answer
to the energy requirements of the future and its role in aligning our activities with the
reduced carbon emission levels anticipated in the future.

During the year, we added 11.4 MWp of solar power capacity to our renewable energy portfolio. Our total
wind power and solar power installed capacity is 100.9 MW and 43.95 MWp, respectively.

Key Highlights 2020-21

Signed Short Term Completed 1,580 KW of


Generated about Power Sale agreement Installed solar power solar power projects in
17.05 Crore with Maharashtra State facility at 1,146 Pipelines SBU (260 KW
kWh electricity Electricity Distribution retail outlets, taking at MPSPL Talegaon, 500
through our Company Limited the total to 4,648 KW each at VVSPL IPS-1
wind power farms (MSEDCL) for 3.75 MW & IPS-3 and 320 KW
wind farm at Dhule at RBPL Barwala)

HP Green R&D Centre Released Letters of


commissioned green Intent (LOIs) for setting
Mumbai Refinery Installed EV charging
hydrogen generators. up 100 CBG plants
installed roof top facilities at 55 retail
‘Green hydrogen’ is with an estimated
solar panel with a outlets, taking
produced using solar power production capacity
capacity of 305 KW the total to 84
and PEM electrolyser and of 232 TMTPA, taking
used for operation of R&D total LOIs to 151 with
pilot plants capacity of 307 TMTPA

Inauguration of 'Green Hydrogen Generators' at HP Green R&D Centre

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

Water Conservation and


Management
The oil industry is dependent on water for its process, cooling and fire-fighting readiness
needs and consuming water in the most efficient way so as to have the least impact
on this shared resource is the need of the hour. We always look forward to adopting
newer ways and technologies in water harvesting and conservation. In our refinery
operations, we try to optimise our water consumption in boilers, cooling circuits and
water‑utilising processes.
We map our water consumption to identify the areas in a low-medium water stress area whereas our
of improvement and implement methodologies to Visakh Refinery is located in a low water stress area.
reduce its usage, including water efficient fixtures, Despite being located in low-water stress areas, we
avoidance of wastage, water reuse and recycling, are aware of the importance of recycling in water
among others. We employ mechanical and electronic conservation and both our refineries are focussed on
measuring techniques for measurement of water wastewater recycling, water efficiency and rainwater
(meters, water tank levels, among others). We lay harvesting. The discharges of both refineries are
emphasis on rainwater harvesting techniques and monitored for quality parameters.
strive to implement these measures in our operating
We consider water withdrawal quantity as water
locations with a focus to enhance their reach in the
consumption. Currently, monitoring of TDS of water
nearby communities as well.
withdrawn and water discharge is being conducted by
Presently, we have mapped the location of our some of our locations. We ensure that our withdrawal
refineries with respect to water stressed areas does not significantly impact water sources. During the
based on Aqueduct Water Risk Atlas of World reporting period, there were no significant effect on
Resources Institute. Our Mumbai Refinery is located water bodies due to discharge from our operations.

Water Withdrawn by Refineries Water Discharge by Refineries


(by freshwater and other water)
Source Qty in
Mega Liters Qty in
Destination
Third-party water - Municipal (Fresh water) 9,685.6 Mega Liters
Third-party water - Supply through 6.5 Fresh water 1,977
tanker (Fresh water) Other water 1,467
Sea water (Other Water)* 90,170.7 Total water discharge* 3,444
Total 99,862.8 * Destination of water discharge - Seawater

* Primarily for industrial cooling purpose

Water Withdrawn by Marketing Locations


Source Qty in
Mega Liters
Surface water 82.4
Ground water 890.3
Third-party water - Municipal 260.4
Third-party water - Water from other 174.1
organisation
Third-party water - Supply through tanker 261.5
Total* 1,668.7
* Type of Water – Fresh Water

64
Water recycled/reused/recirculated:
Type of Water Qty in Mega Liters
Refineries
Treated water from ETP Used within Premises 737.2
Condensate Recovered 3,291
Reuse of water in processes (Bearing Cooling) 59,258
Sub Total 63,286.2
Marketing Locations 194.9
Total 63481.1

Some of our Water Management initiatives are:

Mumbai Refinery recycled Mumbai Refinery harvested Visakh Refinery commissioned


7,37,177 KL of water thereby 17,000 KL of rainwater routing of VRCFP stripped
saving equivalent quantity of during the year water to CDU-II as part of
natural resources water conservation

Recycling of water
Installation of water-efficient Reuse of water in processes
through ETP and STPs and
fixtures at locations like cylinder washing, TT
reusing treated water
calibration, among others

Enhancement of employee
Capturing rainwater through
awareness through
rainwater harvesting structures
contact programmes,
at operating locations
newsletters, technical
bulletins, among others

Celebrating 'Catch the Rain' Campaign with stakeholders to emphasise the message of water conservation and harvesting

65
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

Managing Wastes
Responsibly
Proper waste management is necessary to prevent untoward effect on human and animal
life and the environment. As a responsible corporation, we have undertaken various
applicable measures to minimise our impact on the biota.

Our operations generate both hazardous and toilets and 250 sources of clean drinking water were
non-hazardous wastes. The hazardous waste generated constructed/renovated during 2020-21. Apart from
in our locations and refineries are disposed through providing sanitation infrastructure, mass awareness
MoEF&CC/CPCB registered recyclers or re-processors campaigns were undertaken under Swachhta
as per the statutory requirement. Systems are also in Pakhwada focused on spreading awareness on
place to handle non-hazardous waste. COVID-19 appropriate behaviour.
We comply with the statutory norms and regulations During the year, one incident of loss of containment
stated by the MoEF&CC, CPCB and SPCB. of MS occurred at Haldia Terminal involving product
loss of approx. 68 KL, which was contained within
To take forward the Government of India’s flagship
location premises.
programme of Swachh Bharat Abhiyan, around 100

Hazardous Waste Generation in Refineries Non-Hazardous Waste Generation in Refineries


Type of Waste Unit Total Type of Scrap/Waste Unit Total
Oily Sludge Metal Scrap MT 8,639.7
MT 7,858
(including ETP Oily Sludge) Plastic Scrap MT 4.2
Spent Charcoal (including Coke) MT 178 Plastic Containers Nos. 6,130
Spent Catalyst MT 2,818 Metal Containers Nos. 4,496
Spent Resin MT 30 Scrap Equipment Nos. 8
E-waste MT 1
Chemicals MT 7
Non-Hazardous Waste Generation at Marketing
Locations
Hazardous Waste Generation in Marketing
Type of Scrap/Waste Unit Total
Type of Waste Unit Total Metal Scrap* MT 9,701
Oily Sludge Paper Waste MT 74.4
MT 790
(including ETP oily sludge) Wooden Scrap MT 283.1
Paint Sludge MT 76.5
Plastic Waste MT 126.3
Insulation Wool Waste MT 6
Plastic Containers Nos. 4,763
Oily Soaked Cotton Waste MT 9.3
Metal Containers Nos. 26,240
(including gloves)
Scrap Equipment Nos. 1,392
E-waste MT 3.1
Chemical Containers Nos. 4,862 * includes scrap from LPG cylinders, self-closing (SC) valves,
Scrap Batteries Nos. 1,290 domestic pressure regulators and miscellaneous item

Filter Elements Nos. 977


Tyres and Other Rubber Scrap MT 7.7
(including Hoses and O rings)
Used Oil KL 28.3

66
ƒ Established connectivity of ETP-1 effluent analysers
Waste Management Measures
to APPCB/CPCB servers
Mumbai Refinery
ƒ Signed MoU with VPT and oil companies for
ƒ ‘Consent to Operate’ renewal approved by Consent
combating oil spills in Visakhapatnam Port Area
Appraisal Committee of MPCB for the period
(excluding SPM) with a validity of 5 years
August 2020 to August 2025
ƒ Processed 9,883 KL of high oily sludge during the year
ƒ Implemented enhanced systems for sustaining
effluent quality
ƒ Bioremediation of 306 m3 of low oily sludge
is in progress
ƒ Implemented improved systems during tank
operations to reduce slop generation
ƒ Disposed 1,308 MT of various hazardous
waste materials
ƒ Oily sludge quantity of 2,500 cubic metres is
undertaken for bioremediation by ONGC-TERI
Marketing
Biotech Ltd. (OTBL)
ƒ Disposal of waste generated through
ƒ Online robotic cleaning continuous operation SPCB-authorised Common Hazardous Waste
in place for improving API separator separation Treatment, Storage and Disposal Facility
efficiency and minimising sludge generation (CHWTSDF)

ƒ Disposed 1,820.2 MT of hazardous waste and 18.4 ƒ Deployment of composting pits and organic waste
MT of metal bearing spent catalyst within stipulated converter machines at various locations to convert
norms of disposal organic waste to manure

ƒ Recovered 1,600 cubic metres of oil from various ƒ Treatment of effluent and sewage through ETPs and
solidified sample drums collected from different STPs at our locations
units of the refinery and blended the same in
IFO, thereby saving on equivalent amount of ƒ Reuse of scrap material
generation of slop oil
HP Green R&D Centre
ƒ 100% service factor for Flare gas Recovery ƒ Organic waste converters are installed at HPGRDC
compressor minimising flare loss
to convert the canteen waste into organic manure
and vermicompost pits in the campus contribute
Visakh Refinery
sufficient manure for R&D horticulture needs
ƒ Renewed consent for operation of Visakh Refinery
with a validity of 5 years till 2025 ƒ Plastic waste generated within R&D is being
converted into useful products, such as bricks,
tiles and coasters

Donation of Waste Collection vehicle to local administration at Pune

67
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

Brief note on fines and progress of ongoing railway loadings/unloading facilities and airports in
cases pertaining to show cause/legal notices NCR region. NGT disposed the matter by order dated
received from CPCB/SPCB: 28.9.2018 directing OMCs to ensure installation of VRS
giving timelines. OMCs filed Civil Appeal before Hon’ble
Case: Before Supreme Court – HPCL
Supreme Court of India and the Supreme Court vide
Vs. Charudatt Koli & Others
its Order dated 14.02.2019 disposed of the Appeals by
Mr. Charudatt Koli and certain other individuals have extending the timelines for installation of VRS up to
alleged that industries in Mahul, Mumbai are polluting 31.03.2020 for Outlets selling > 300 KL/M and upto
and creating health hazard to the nearby residents. 30.09.2020 for Outlets selling < 300 KL/M. While VRS
On 18.12.2015, Hon’ble National Green Tribunal, Pune has been installed at Outlets, the pre-commissioning
had directed Maharashtra Pollution Control Board and testing checks on VRS at Installations involving
(MPCB) to prepare action plan to control pollution Foreign Parties could not take place due to COVID-19
and conduct health assessment study etc. HPCL has restrictions. Hence an application was moved before
complied with the directions of MPCB, passed pursuant the Hon’ble Supreme Court for time extension and
to NGT’s orders. Thereafter, an Execution Application on 08.04.2020, the Hon’ble Supreme Court allowed
was filed by Mr. Charudatt Koli and others at NGT HPCL’s application and granted further 6 months’
New Delhi (where the matter was transferred to). time to complete the activities. HPCL has completed
In this EA by order dated 13.08.2020 the NGT installation of VRS Stage I-A (installation of a device
assessed damages to environment to the tune of ` 142 at filling depots/terminals), Stage I-B (installation
Crore, ` 76.50 Crore, ` 67.50 Crore, and ` 0.20  Crore of device on the tanks of retail outlets) and Stage-II
to be borne by Aegis, HPCL, BPCL, and Sealord (installation of device in the dispensing units of each
respectively. This amount was directed to be kept in retail outlet on all nozzles if DU has more than one
separate accounts by HPCL and BPCL. A 10-member nozzle), within the timelines in all districts of NCR.
committee was appointed and directed to prepare an
Promoting Environmental Sustainability
action plan for restoration measures spread over a
through Start-ups
period of 5 years and further that these amounts will
be used for such remedial measures. This Order was ‘Start-up India’ scheme, a flagship initiative of the
challenged before the Hon’ble Supreme Court, and Government of India is intended to build a strong
the Hon’ble Court by Orders dated 27.10.2020 granted ecosystem to nurture innovation and start-ups in
stay of the order of NGT. The matter is pending before the country, drive sustainable economic growth and
Hon’ble Supreme Court. generate large-scale employment opportunities.
In alignment with the same, our start-up initiative –
Case: Before NGT (SZ) – Visakha Pawan Praja
Udgam aims at promoting start-ups having solutions
Karmika Sangham Vs. Union of India & Others
and applications in energy sector or start-ups,
This application has been filed before NGT-South Zone which are making a technological or societal impact.
bench (Chennai), inter alia complaining about odour Our Start-up India Scheme envisages promotion
emanating from HPCL’s refinery at Visakhapatnam. of the start-ups aimed at developing business
The applicant has alleged that other government solutions such as:
bodies have not implemented recommendation of
Advanced Analytics using Artificial Intelligence;
studies conducted to reduce odour and pollution
Robotics (for inspection of equipment in our
in the area, and that A.P. Pollution Control Board
refineries, pipelines, among others); Digitalisation;
has not implemented the directions of the Hon’ble
Skill Development; Bio-fuels production from biomass,
Andhra Pradesh High Court. On 25.02.2021, NGT
non-recyclable municipal plastic, used oils, and so on
has admitted the application and constituted a
E-mobility; Renewable Energy and other open areas
5-member committee to inspect the premises/area
having applications in oil and gas/energy industry
and submit a report by 12.04.2021. The committee
has sought one-month further time, which has been We collaborated with and supported the following
granted. HPCL has filed its reply before the NGT initiatives in the start-up space to promote
stating that it has the required “consent to operate” environmental sustainability.
under the environmental laws, and complies with
ƒ Harvesting Solar Energy for Household Cooking
all the applicable law, rules, regulations, consent
conditions, etc. There are no violations from HPCL’s We are supporting a start-up engaged in the
side. The matter is pending hearing. development of a revolutionary compact thermal
storage-based solution, which aims to satisfy all
Details of cases regarding Vapour Recovery
energy needs for household cooking with superior
System
experience and performance than gas and electric
CPCB issued circular dated 12.2.2016 directing OMCs cooktops. With over 10 patents filed on concept,
to install Vapour Recovery System (VRS) at all retail technology and process, the start-up has already
outlets with capacity of 300 KL/M or more, in cities achieved the critical milestone of developing an
with million plus population. Petition was filed before intermediate prototype and is now working towards
NGT for directions to MOP&NG and OMCs to install developing a final prototype, which shall be used
VRS at all fuel stations, distribution centres, terminals,

68
for further testing by laboratories and institutions, ƒ 2G Bio-ethanol from Agricultural Biomass
before commercial production
A start-up in the process of onboarding by us,
is engaged in development of 2G bioethanol
ƒ Aggregation and Utilisation of Surplus Biomass
from agricultural biomass like corn cobs, rice
One of the start-ups funded by us is actively engaged husk, duckweed and so on. The Company holds a
in reconstructing the agriculture supply chain for patent for the process of producing Biofuel from
assured and efficient aggregation and supply of Laminacae – duckweed/horseweed. The firm is
surplus biomass. The project includes establishing currently pioneering continuous process to produce
POC for Centralised Threshing Centre (CTC) for Bioethanol, which is a very unique technology in the
aggregation of biomass and cane-thumper‑based country today. The start-up is currently collaborating
cane harvesting technique using diversified with reputed institutions in design and developing
cropping pattern. The milestones achieved include this continuous process of scaling up technology.
design, fabrication and testing of a hydraulic baling
press to compress biomass into bales. The start-up
Initiatives for Development of EV Eco-System
is actively engaged with agriculture universities to
in India
form strategic partnerships for harvesting and post
harvesting work for their research projects. We are exploring new avenues of value creation in
the EV ecosystem, including battery swapping and
ƒ Reducing Plastic Pollution energy storage solutions in collaboration with various
technology start-ups and OEMs.
Funded by HPCL, this start-up provides an
alternative to plastic straws in the form of leafy ƒ Despite the unprecedented situation of COVID-19,
straws that are 100% organic, biodegradable commissioned 55 fixed Electric Vehicle Charging
drinking straws made of fallen and dried palm Stations (EVCS) at various retail outlets across
leaves. They require no external coating, stay intact the country taking the total number of fixed EV
in liquid for hours and have a one-year shelf life. charging stations to 84
The start-up has patented solutions for regular,
ƒ Collaboratively launched the first dedicated
thick shake, cocktail and tetra-pak forms for leafy
2-wheeler battery swapping station at Bangalore
straws. By converting the fallen dried palm leaves
and commissioned another 3 battery swap stations
waste to useful leafy straws, also helps in reducing
for 3 wheelers at Jaipur and Lucknow
air pollution. The start-up provides sustainable
work and business to women’s self-help groups, ƒ Commissioned the first-of-its-kind street lamp
small farmers and other micro entrepreneurs. In the integrated EVCS at retail outlets in Mumbai and Delhi
year 2020-21, despite the pandemic situation, the in association with a start-up supported by HPCL
start-up has gained traction and is now supplying to
ƒ We have tie ups with major players in the E-Mobility
big clients in UAE and Canada.
ecosystem for various pilots and studies to promote
The start-up also won the prestigious Big Leap the adoption of electric mobility
Awards – 2020 for Best Business Plan and bagged
ƒ In the field of Energy Storage, HPCL with the help
the Grand Winner position of CIJ by The Circular
of its R&D Centre and through collaboration with
Innovation Network – 2020. The start-up was also a
start-ups and technological agencies is actively
finalist in the National Start-up Award – 2020
exploring various newer materials for batteries

69
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Environmental Performance

Leading the Green Path


Continuing our quest to make our operations greener, we have continued with the
implementation of Greenco Rating System at our marketing locations. Despite the
pandemic restrictions and disruptions in normal way of working, two of our
locations were certified with Greenco Rating promulgated by CII.

HPCL has the distinction of being the first PSU and company in the Oil and Gas
sector in the country to adopt GreenCo rating.

Anantapur LPG Plant Patna IRD


Platinum Gold

70
Reduction in Specific
Green belt Energy Consumption
area of 23 acres by more than 8%.
GHG emissions
reduction by 13% during
last three years

Plantation of
1380 trees
120 kWp
Solar Power Plant

Green
initiatives of
Anantapur
Robotic Arm for LPG Plant Reduction in
valve replacement
Specific Water
in Online Valve
Consumption by
Changing Machine
more than 15%
during last three
years

Around 22880 KL ETP recycling quantity


per annum of Rain of 2280 KL per year
water harvesting

Reduction in Specific Reduction in Specific 295kWp Solar Power


Energy Consumption Water Consumption by Plant
by more than 20%. more than 12% during
GHG emissions reduction last three years
by around 22% during
last three years

Green initiatives of Patna New IRD

Around 13500 KL per Plantation of 1400 trees ETP recycling quantity


annum of Rain water of 700 KL per year
harvesting

71
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

LEVERAGING TALENT
FOR SUSTAINABLE GROWTH
We attribute our stupendous success stories to our dedicated workforce who keep the
wheels of development rolling. The diverse backgrounds of HPites bring to the table a set
of uncompromising, unique and propelling beliefs that brings in a resilient, vibrant and
growth-oriented culture in the corporation.

Recruiting, training, developing, empowering and


retaining value driven, high-performing creative HR STRATEGY 2025
employees is essential to ensure longevity and
Team HR internally co-created the strategy for
competitiveness in a dynamic business environment.
2025 where-in officers across Marketing, HQO and
Our Human Resources department paves way for our
Refineries were involved. The officers worked on
business operations and helps enhance performance
various domains like technology, neuroscience,
parameters for employees and stakeholders. Our HR
behaviour economics, among others, and gave
policies empower employees to enrich their personal
domain-wise presentations to the Senior HR
lives, to develop their personal and organisational
Management during the first Virtual Annual
skills, knowledge and abilities as well as pursue
HR Meet. Further, the teams took inspiration
avenues of growth in the personal and professional
from the research and ideas of the domains to
domain. Our HR focus includes diverse facets, such as
develop vertical-wise strategic outcomes and
leadership development, capability building, employee
action plans around the same. The domain teams
welfare and engagement, career development,
developed whitepapers based on their research
performance management, coaching, mentoring,
and ideation under the banner ‘Exemplar’.
succession planning, work life transition, among others.
The complete strategy process is based on a
The year 2020-21 started with uncertainties and model, which was designed in-house by the core
unprecedented challenges in view of the nationwide team based on bottom’s up approach, collective
lockdown imposed in the last week of March 2020. intelligence and amalgamation of various
HPCL continued its operations to ensure uninterrupted perspectives of business, science and people.
supply of petroleum products and displayed
exceptional agility and resilience in responding to the
challenge, simultaneously ensuring the well-being
of its employees. The challenging times provided an
opportunity to pause, reflect, unlearn, relearn and
come back with renewed force. Our HR function
played a pivotal role in aligning the key drivers of
HPCL’s organisational success …. its people, with
the new normal.

72
Unfazed by the pandemic, HPites maintained uninterrupted
supplies of essential petroleum products throughout the country

73
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

Our People
The geographical spread of our country and the demography of people is the foundation of our diverse and vibrant
culture and the depth of our business. Our diverse talent pool fosters innovation, creativity and enthusiasm that
enables sustenance and propels growth. A diverse workforce has its own advantages as it brings a lot of different
paradigms to the table. As an employer, we provide equal employment opportunities for all. As of March 31, 2021,
we are a team of 9,448 people.

Workforce Matrix Basis Region, Age and Gender 2020-21


Total Number of Employees by Region
Senior Middle Junior
Employee Category Non-Management Total
Management Management Management
North Zone 18 184 405 243 850
South Zone 6 116 190 188 500
West Zone 20 207 499 640 1,366
East Zone 5 132 269 230 636
North West Zone 8 112 305 167 592
North Central Zone 8 90 268 103 469
South Central Zone 20 256 500 403 1,179
Corporate HQO 109 279 376 150 914
Marketing HQO 65 150 105 65 385
Mumbai Refinery 20 179 385 740 1,324
Visakh Refinery 29 154 451 599 1,233

Number of Employees by Age and Gender


<30 years 30-50 years >50 years
2,233 3,314 3,901

33 275
963 896
1,900
1,541 312
333 777 2,418

Number of Employees by Age and Gender

8,532 916
Senior Management
301 7
Middle Management
1,734 125
3,178 575 Junior Management
3,319 209 Non-Management

74
Employee Turnover Statistics
Senior Middle Junior
Employee Category Non-Management Total
Management Management Management
North Zone 6 6 12 26 50
South Zone 1 4 9 28 42
West Zone 3 20 13 79 115
East Zone 0 7 4 28 39
North West Zone 0 3 5 14 22
North Central Zone 1 1 3 11 16
South Central Zone 3 13 21 45 82
Corporate HQO 15 8 11 18 52
Marketing HQO 10 9 3 6 28
Mumbai Refinery 1 14 4 51 70
Visakh Refinery 5 18 13 17 53
Turnover includes retired, resigned, terminated employees and those who have passed away during the reporting year

Employee Turnover by Age and Gender


<30 years 30-50 years >50 years
51 14 504

45
2 101
48
9 41
3 3 317

Employee Turnover by Age and Gender

531 38
Senior Management
43 2
Middle Management
98 5
84 14 Junior Management
306 17 Non-Management

Contract workforce is engaged through contractors for non-core activities at HPCL locations. The number of
contract workers engaged across locations/units of HPCL under various contractors is 44,728 during 2020-21;
15 workers are on casual basis. The numbers of permanent and contractual/casual workforce are derived from
internal monitoring systems.

75
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

Growing the Talent Pool


HPCL being a Maharatna Oil & Gas PSU and consistently ranked in The S&P Global
Platts Top 250 Global Energy Company Rankings, has a strong brand presence and
resonance across leading engineering, management and professional institutes which
helps us attract highly skilled talent pool. We normally recruit at entry levels, however
for specialised and unique skillset at Middle and Senior Management levels, specific
lateral entry drives are also conducted as per corporation’s requirements.

We adopt a fair, objective and transparent recruitment Marketing/Corporate location based on placement
policy that attracts passionate individual with desire to proximity. This year’s Samavesh was enriched by:
succeed. In addition, during the current pandemic we
ƒ SBU overview sessions, Yuvantage Session and
have adopted digitally enabled selection processes,
Location Virtual Tours conducted in online format.
which has further enhanced our agility and reliability.
Online Foundation Programmes on Operations
This has also enhanced the stakeholder delight by
Management, Project Management and Sales &
ensuring workforce augmentation and minimising the
Marketing imparted to the joinees of respective verticals.
travel movements for candidates.
ƒ NEEV - Campus to Corporate Programme conducted
through IIT – Bombay for new joinees
Our recruitment processes encourage diversity and
inclusion, and hires talent from different genders,
transgender, caste and community, ethnic and
economic backgrounds. We actively recruit talented
individuals from scheduled castes, scheduled tribes,
economical weaker sections, other backward classes
and person with benchmark disabilities and aim to
continue creating job opportunities for marginalised
individuals in future too. The inclusive and HP First
culture help us integrate new hires into HPCL ethos
and culture and provides an equal opportunity to
dream, rise and succeed.

Samavesh
Smooth transition from college to a corporate mindset
entails many changes in the life of any recruit and our
flagship induction programme 'Samavesh' has been
designed to ensure a seamless shift for the recruits into
our culture. Samavesh engages the recruits through
presentations and interactions with experienced Recruitment of Technicians at Visakh Refinery
internal and external faculty who introduce them to the
This year, 92 technicians were recruited by
infrastructure, systems, beliefs and practices at HPCL.
conducting  a  Computer Based Exam (CBT) and
The year saw the induction of 282 new officers in a skill test. Skill tests were conducted at different
Samavesh through Virtual platform and the joining academic  institutions involving internal/external
of officers was planned at the nearest possible experts at Visakhapatnam.

282
New Officers inducted
during 2020-21

76
Capability Building:
Enabling Performance
The talent and tenacity of our people enable us to achieve our business vision and
aspirations. We consider it our responsibility to enhance the knowledge pool of our
employees through effective training programmes. Our training needs are identified
across the business regularly and priorities are analysed to ensure that learning plans
are aligned to our business strategy. These programmes help our employees gain
new skills and experiences through formal training sessions, on-the-job experience,
coaching and mentoring.
During 2020-21, learning and development continued
Holistic Capability Building
to be a key strategy to keep employee’s engaged,
unlock their growth potential and upskill them to Imparted Holistic Capability Building spanning
perform in the ‘New Normal’. We quickly developed six paradigms – Technical, Functional, Business,
adaptive learning strategy, focused on delivering Leadership, Behavioural and Well-being, to address
learning anytime-anywhere to employees, established the diverse and dynamic needs of business as well as
digital learning as primary mode of learning and specific learning needs of our employees.
transformed the basic approach from training culture
to learning culture, which enabled employees to
Enriching and Engaging Learning Experiences
acquire desired learnings out of the available quantum
of capability building efforts. Multi-modal training methodologies and development
approaches like webinars, web-series, simulations,
With the impetus on ensuing digital transformation,
drama based workshops were used during the
we introduced various strategic initiatives like
financial year. strong communication strategy through
weekly digest, converting all flagship interventions
‘Weekly Digest’ and enabling employees to self-enrol
viz., onboarding, first time manager programme,
for webinars supplemented the effort.
retirement planning, among others to virtual platform
and hosting 1,800+ hours of learning content on
HP Academy for self-paced learning. HP Management
Development Institute continued to remain functional

1,800+ hours
through active participation in execution of virtual
training programmes.
The two strategic themes to achieve the capability
building objectives are Holistic Capability Building
Learning content on
and Enriching & Engaging Learning Experiences. HP Academy

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

We introduced several interventions in following e-modules on remote working, bite-sized technical


focus areas: courses, Digital Self-Harm animated video and
Learning Bites on HR Analytics rolled out during
ƒ Establishing digital learning as primary mode of
the financial year. Additionally, programmes
capability building: We successfully transitioned to
on digital technology capabilities like business
digital learning by leveraging virtual platform and
analytics, AI/ML, IOT, cloud computing and culture
HP Academy. Almost all programmes in current
building programmes on digital orientation to drive
financial year imparted through digital mode
successful digital transformation imparted to all
ƒ Promoting self-directed learning: Self-driven officers across the organisation
and self-directed learning brings best results.
Other key interventions
We transitioned the focus from top-down approach
of training to bottom-up approach of learning as part ƒ HP-Management Development Institute at Nigdi:
of work. Encouraged employees for self-enrolment Secretary, Ministry of Petroleum & Natural Gas
to varied options enabling opportunities in (MoP&NG) inaugurated the Vivekananda Smart
all interest areas Training Hall, a newly created smart classroom at
HPMDI. This shall provide learning opportunities
ƒ Identifying experts and customising learning
to our officers located across the country through
content: Capability building interventions
virtual platform providing them remote access to
delivered through exclusive in-company
the live sessions at the Institute
programmes by experts and nominations to open
external programmes ƒ Collaborated with various premier instritutes, such
as IIMs, IIFT, XLRI, IIT-Bombay, among others for
ƒ Academic Collaborations: Collaborated with premier
conducting in-house specialised programmes to
institutes to impart in-house specialised programmes
enhance technical/behavioural competencies
on relevant topics to enhance technical/behavioural
competencies of employees at all levels ƒ Projects through Summer Interns: Offered
internships to students of IITs, IIMs, TISS, UPES,
ƒ Programmes through Internal Faculties: Developed
RGIPT, among others to undertake short duration
internal subject matter experts as faculty for
(2 months) identified projects
delivering online capability building interventions
through virtual facilitation programmes ƒ EBSCO: Digital library of research databases inclusive
of reports, journals, e-books, among others recorded
ƒ N o m i n a t i o n s
to ex te r n a l p ro g ra m m e s :
more than 7,500 searches per month on an average
Employees nominated to external
in 2020-21. Utilisation of this digital library grew by
Seminars/conferences/Training Programmes on
47% as compared to last year. In 2020, EBSCO was
need basis with recommendations from respective
made available on the mobile application, with not
department heads
only access to reading material but also to a limited
ƒ Decentralised responsibility: We imparted number of audio books that users can listen to, even
future-focused interventions based on business while travelling
strategy and employee aspirations in a centralised
ƒ SWAYAM: Women officers actively nominated to
manner while capability-building interventions
attend workshops and online training programmes
targeting current performance needs of both
on developing women leadership, well-being and
business and employees were imparted in a
empowerment throughout 2020-21. On International
decentralised manner
Women’s Day, we conducted a short talk by
ƒ Effective participation in e-learning interventions: eminent women leaders
We enabled employees for effectively taking
ƒ An interactive theatre based online experience
ownership of their learning through addition of new
session - Queens of India scheduled under the aegis
features in Capability Building Portal. This enabled
of SWAYAM. This programme was designed to
officers to identify and pursue learning opportunities
celebrate the achievements of queens of India
relevant to them and track their progress
ƒ Corporate HSE Department conducted sessions
ƒ Training Calendar: All scheduled learning
with Capability Building on Road Safety Awareness
programmes with option for officers to self-nominate
by National Safety Council with more than 700
or nominate subordinates
attendees in each session
ƒ Training Tracker: Employees monitor and track their ƒ An expert talk on Disaster Management in Oil and Gas
learning progress. They have option to add certificate
Sector by National Institute of Disaster Management
programmes attended by them on their own
(NIDM), New Delhi imparted to 848 participants
ƒ Training Analytics: Graphical dashboards related ƒ Conducted an expert talk on Constitution Day:
to key training statistics, viz., internal and external
Total 605 employees attended the session
programmes, person hours, among others
ƒ An insightful webinar on An introduction to the
ƒ Innovative approaches to learning delivery: Virtual
Vedas - Our heritage was conducted wherein 245
drama based sessions for imparting HP FIRST
employees and their families attended the session
Values and Micro-learning programmes viz.; short

78
Trainings Man–days by capability building department in 2020-21

Male Female

35,954 5,368 Management


2,380 181 Non-Management

Trainings Man-days by Refineries and Marketing Locations in 2020-21


Male Female

27,005 1,520 Management

10,315 367 Non-Management


72,324 3,200 Contract Workforce
50,231 1 Transport Workforce

Development of new training programmes based sales equation, market mapping, customer
on the identified training and learning needs of the categorisation, channel partner categorisation,
employees continues to be an ongoing process whole product concept, channel partner objective
at HPCL. We take feedback from the ongoing template, and negotiation planner.
programmes and incorporate the same to improve the
A series of webinars was organised for the Sales
upcoming programmes.
team with a coverage of 10 person hours per
Learning Interventions for Senior Management officer. With the objective of enabling the Sales
teams to internalise the usage of scientific sales
• Masterclass for Directors
tools, 'Sales Coaching' was introduced on a pilot
Institute of Directors conducted a Masterclass basis at select regional offices with coaching
for Directors through live virtual training sessions planned in a staggered manner.
programme. The individual training modules As an enabler in adapting to the new normal, an
used in the programme were tailor-made in interactive ‘Pragatipath’ discussion was organised
line with the regulatory updates on Companies for all the lube distributors and CFAs in batches.
Act, Boardroom Sustainability and Corporate
• Lakshya
Governance. The programme was interactive and
well-received by 25 senior management officials. This initiative  aims at strengthening the sales
ecosystem of the DS SBU by enhancing the
• Digital Transformation Change Management
capabilities of stakeholders through scientific
With the objective of providing contemporary, inputs, tools and templates to aid in different sales
state-of-the-art inputs on global standards processes. Since its inception, various sales tools
standards on digital transformation, a programme like Sales Equation, Market Mapping, and Account
on change management conducted by an Mapping have been implemented in the DS SBU.
internationally renowned coach, keynote speaker In order to ensure sustainable implementation
on digital culture change and a published author. of these tools, Sales Coaching was initiated at 18
The programme was conducted as a web-series, regions across the country.
where 166 senior leaders attended.
• Knowlex
Ecosystem based Interventions
Knowlex, which means knowledge plus excellence,
• Kshitij is an exclusive initiative for LPG projects aimed
at various people and process improvement
Aimed at developing the stakeholders in the
initiatives. This is based on an extensive diagnostic
Lubes, project Kshitij introduces various sales tools
study of more than 105 hours to understand
to streamline planning and execution. These include
the team dynamics, process flows, bottlenecks,

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

culture, and other aspects of the team. In 2020-21, assessments. Content development for modules is
15 learning sessions were conducted by in-house, under development.
peer-to-peer Subject Matter Experts (SMEs)
Interventions for Non-Management Employees
leading to 2,148 man-hours of training.
We conducted multiple training programmes for
• Sarvottam
non-management employees designed to enhance
It is a longitudinal development intervention their technical and behavioural capabilities and help
that aims to enable our Sales team in all their them in handling professional duties and career
endeavours and realise its potential. In 2020-21, a transitions. Some of these are:
structured training on ‘Channel Sales Excellence’
• Path of Light
was designed for the sales officers for enhancing
their competencies in handling the distributors. It is a pre-retirement programme for non-management
The programme was customised to the LPG employees intended to prepare them to deal with
business context and to ensure sustained learning, retirement from a psychological, physical, and
some engaging post-training touchpoints have financial perspective. The first phase of input is
been identified based on all 4 levels of Kirk provided when the employee completes the age
Patrick’s model of learning effectiveness. of 55 and the second phase at 59 years of age.
For the current year, the sessions were conducted
Case Study, Quiz, Feedback tracker from Reporting
through video conferencing mode.
Officers, weekly email insights, and practice
plans structured in a ‘Read-Watch-Do’ format. • Project Utkarsh
A total of 141 officers were covered leading to a
It is a longitudinal and integrated initiative of
total of 1,128 training man-hours. Another session
LPG SBU, aimed at bringing about significant
on ‘Advanced Business Analysis’, which was
productivity improvements by fostering
customised to LPG requirements, was conducted
collaboration, building ownership and imparting
for the intended audience amounting to a total of
knowledge and skills. Since its implementation in
1,114 person hours contributed by Sarvottam.
2009, the average production rate of LPG plants
• Competency Development of LPG Officers has increased substantially.
In order to provide the Operations Officers at LPG • Project Utkrisht
Plants focused developmental inputs in a phased
It is aimed at improving the overall efficiency of
manner, enabling them to make a positive and
Supply, Operations and Distribution locations.
sustainable impact on plant performance, the
This project has resulted in improvement in
Competency Development programme focuses
number of productivity parameters like increase
on equipping the Operations Officers with
in bay filling rate and decrease in Tank Truck
cutting-edge technical skills.
turnaround time.
A comprehensive and structured competency
Interventions for Extended Workforce
development programme was rolled out for all
LPG operations officers across various batches We conducted the following training programmes
in 2 different phases. More than 19,000 hours for extended workforce to enable them to function
of trainings were conducted for 252 officers more effectively.
leading to an average of 3.14 learning days per
• Surakshit
officer. Assessments were conducted before
and after the learning programme to track the Surakshit is an in-house, designed training
progress in learning. initiative focusing on the learning needs of
security guards posted at terminals/depot across
Learning Ecosystem Development
our locations. In 2020-21, pilot training was
A comprehensive exercise of revising and creating conducted through respective contractors, basis
new job descriptions, competency frameworks, and which all India rollout was done in December.
learning agenda for all positions under the Marketing As of date, a majority of the locations have been
Division was initiated by HR - Marketing team. The team covered. For reinforcement of the learnings,
reached out to the role holders for designing the an online Hindi e-Module was developed and
basic documents for 41 unique front-line positions in uploaded on Sahyog Portal dedicated to the
Marketing SBUs, which were then validated at various extended workforce.
levels, across locations/zones.
Apprenticeships
In 2020-21, the team has focused on
Visakh Refinery inducted Graduate Apprentice
standardisation of documents across job families
Trainees and Sandwich Trainees in order to provide
and SBUs, content development of training and
hands on training.

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Performance Management
HPCL has institutionalised a robust Performance Management System with the objective
of ensuring that all employees contribute effectively towards organisational goals
and enable the Corporation to make rational and objective promotion and placement
decisions. This involves identification of strengths/weaknesses and giving feedback/
training/rotational inputs to ensure that all Management positions are handled by
personnel having the requisite exposure and competence.

HP-HR is focused on creating high performance Standardisation of Key Performance Indicators is


work culture through a structured process of goal emphasised upon to enhance the robustness of
setting and performance reviews as well as rewarding performance management by aligning all employees
employees for their efforts through objective towards common organisational objectives, with more
performance assessment. The existing Performance than 80% officers are covered under standardised
Management System in the Corporation is based on KPI templates. The following environment and social
the Balanced Score Card concept developed by Robert parameters are available under the standardised KPI
Kaplan. Business scorecards have been developed at templates depending on role and responsibility of
Corporate/SBU/Department levels. These scorecards the individual:
have been developed based on the four perspectives
ƒ Stakeholder Management
of the concept namely Financial/Physical perspective,
Customer perspective, Learning and Growth ƒ Corporate Social Responsibility
perspective and Business Process Improvement
ƒ Energy Efficiency
perspective in line with the organisational strategies.
The scorecards formed at the Corporate/SBU/ ƒ Environment Stewardship
Department levels are cascaded to the individual
ƒ Health & Safety
level where various Key Performance Indicators
(KPIs) and measurement standards to assess each of ƒ Support towards sustainability efforts
them have been identified for each positions in the
During 2020-21, all our employees received regular
Corporation. These KPIs act as a guide for setting the
performance and career development reviews.
individual targets in the employees of the Corporation.

Employee Welfare
We promote a conducive work environment with a good work‑life balance. We extend
our support to our employees through several schemes and programmes, such as
performance-related profit‑sharing scheme, superannuation benefits, leave encashment,
gratuity, during‑service and post-retirement medical benefits, posthumous benefits for
family members of employees, housing loan, vehicle loan, furniture loan, LFA, transfer
benefits, employees’ children education loan, computer loan well as monthly vehicle
allowance and leaves such as Maternity, Adoption, Surrogacy, Child Care and Paternity.
For helping our employees and other stakeholders during COVID-19 pandemic, existing policies, systems and
procedures were remodelled, and several additional measures were taken to upskill employees to work and
perform in the new scenario. We undertook a host of initiatives to ensure their safety and health, which are
described in the health section of this report.

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

Motivation through Recognition


We understand the importance of appreciating our employees for their good work and
it has a direct correlation with their performance thereafter. We have several reward and
recognition schemes to encourage and appreciate employee contributions at all levels.
For executives in the Senior/Middle Management, 'HP ICON Awards' have been instituted since 2010, which aims
to identify and recognise People Managers i.e. Officers who place the interests of their teams before individual
contributions. For officers in the junior management category, 'HP Outstanding Achievers Awards' have been
instituted to recognise outstanding contributions, while 'HP Gaurav Awards' recognise outstanding effort,
sustained excellence in work, commitment, adherence to safety measures, and adherence to high standards of
conduct in discharge of duties among Non-Executive category of employees.
While HP ICON Awards are a bi-annual affair, the HP Outstanding Achievers Awards and HP Gaurav Awards are
given away on an annual basis.
Outstanding Achievement Award
During the year, 60 officers received this award under various categories for their outstanding achievements.
HP Gaurav Awards (For Non-Management) 2020
During the year, 101 employees were felicitated with HP Gaurav Award.

HP Gaurav Award

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Employee Engagement
Employee engagement programmes play a key role in making the workforce more
involved and engaged about the part they play in the Company’s success. We endeavour
to enhance our employee engagement across all demographics. Towards enhancing the
engagement levels and building team spirit, with employees and their families, various
employee engagement initiatives were conducted during the year. These initiatives
were tailor-made towards specific target audience and were instrumental in enhancing
engagement levels even during the testing times of the pandemic.

Hamara Pariwar Other Employee Connect Programmes in 2020‑21


With the objective of creating an enabling, participative, Chetana
nurturing and winning work culture at HPCL and to
The programme ‘Chetana’ – meaning 'Consciousness'
reach out to the families of our employees to build
was the communication initiative launched as part
a stronger bond with the HP Family even during the
of the response strategy to challenges faced by the
COVID-19 times, team HP Pariwar organised more than
employees and the Corporation.
30 online competitions for different target groups
viz. 21 one day gratitude practice intervention, clay Humrahee
modelling workshops mandala workshop, fitness and
Launched in August 2020, virtual group sessions are
workout sessions, science education series on spiders,
held as part of Humrahee wherein employees share
dinosaurs, among others.
their learnings, concerns, fears, insights, experiences
Reboot @35+ related to COVID-19 in the spirit of providing mutual
support and caring.
Reboot@35+ was launched for officers between
the age group of 35 and 50 years, with an aim to Paramarsh
operationalise the vision of engaging self, immediate
We have an Employee Assistance Programme (EAP)
family members, and also fostering and building
named Paramarsh to provide counselling services to
common interest networks across the Corporation.
employees, their spouses, and dependent children.
During the year, 12+ initiatives were conducted Apart from one-to-one counselling, webinars were
covering 330+ participants. Major initiatives were: also conducted for spreading awareness where more
than 175 employees had participated.
ƒ Vitamin-M workshop for kids
HP ke Sitare/HP Warriors
ƒ Financial planning workshop for youth
In order to highlight and recognise the selfless
ƒ Gardening workshop
contribution at work by our officers at all locations,
ƒ Communication and interpersonal skills a flipbook was compiled where stories of all such HP
COVID Warriors were invited. More than 350 lockdown
ƒ Reboot Biz Wiz
stories of the brave HPites were received and every
ƒ Heartfulness meditation story talked about the hardships and achievements
of our employees.
ƒ National painting and photography contest
HR team at Visakh Refinery undertook various
employee related initiatives, such as improvement
in residential infrastructure, organising Samavesh
Premier League and Waltair Park League for enhanced
employee engagement.

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

Human Rights
We are committed to ensuring that there is strict adherence to human rights and the
relevant laws. We believe that a diverse workforce brings in different paradigms and
we embrace diversity and inclusion, thereby upholding a culture of empowerment for
all. We are an equal opportunity employer and practice zero tolerance towards any
kind of discrimination based on religion, origin, gender and/or status, and have strict
mechanisms to deal with such cases.
All efforts are made to ensure that our employees challenges posed by the pandemic while ensuring
thrive in a conducive environment. We conduct the safety of employees. During 2020-21, it was with
business in an ethical and transparent manner. the cooperation from the union fraternity across our
We conduct regular trainings to generate awareness divisions, we have inked the Long-Term Settlements
among our employees. on wage revision of all three divisions in presence of
Statutory Labour Authorities and implementation in its
We believe that our policies incorporate the ten
true spirit. Structured union meetings were conducted
principles of the UN Global Compact (UNGC) and
during the year and various matters on business
we are committed to upholding internationally
operations, expansion, manpower redeployment,
proclaimed human rights. To ensure that the human
the introduction of new technology, productivity,
rights of every individual is safeguarded, a robust
etc. were discussed in line with the overall business
grievance mechanism has been created to deal with
strategy. Meetings were also held with various
any cases of human rights violation. In the reporting
employee associations at various zones.
year, there were no incidents of discrimination on
the grounds of race, colour, gender, religion, political
opinion, nationality, extraction or social origin.
Freedom of Association and Collective
Bargaining
HPCL strongly upholds Freedom of Association
and Collective Bargaining rights and takes pride
in maintaining cordial and harmonious relations
with its Unions for more than two decades.
Progressive approach, effective grievance
management system, fairness and emphasis on
transparency, have all resulted in alignment of Unions
and the workforce with the Corporation's vision.
We have formal agreements with trade unions to deal
with issues related to labour laws, health and safety of
our employees, training and education and grievance
redressal. Currently, 94% of our non-management
employees are a part of unions, which enable them
to voice their concerns. Before implementing any
management initiatives that affect or concern
non-management employees, we engage in
constructive dialogue with trade unions to understand
their perspectives and arrive at a mutual agreement.
Even as the COVID-19 pandemic engulfed business
operations across the globe, our Corporation stood
in the forefront of achieving the desired productivity
with cooperation of all its employees in the most
unprecedented work environment, sustaining all the Shri Raja Kulkarni Samman

84
HPCL has formed a Trust called “HPCL Trust for established. Through MERC channel, employees can
Promoting Industrial Harmony” which has instituted log in grievances in any of the following matters:
prestigious Shri Raja Kulkarni Samman to recognise
ƒ Grievances arising out of Performance Management
outstanding contribution of Union Leaders in the
(PM) related matters
arena of Industrial Relations. During 2020-21, Shri Raja
Kulkarni Samman was awarded to One (1) Senior Union ƒ Grievances arising out of non-receipt of eligible
Leader in appreciation for his outstanding contribution Compensation and Benefits (C&B) under the
towards promoting Industrial Harmony in HPCL. Corporation Policy
The Corporation took proactive steps regarding ƒ Grievances arising out of any other Employee Relations
contract workforce, and ensured that they are covered (ER) related matters at the workplace
under Pradhan Mantri Jan Dhan Yojana and Pradhan
The salient features of the same are as follows:
Mantri Suraksha Bima Yojana. To promote Digital India
and cash-less economy, it was ensured that Contract ƒ E-enabled platform through HP Portal for
Labours deployed across the Corporation are paid their submission of grievances
wages through NEFT. Further, various programmes
ƒ De-centralised, two-tier structure of grievance
across the Corporation were organised for Contract
redressal with MERCs and appellate authority as per
workforce/stakeholders so that they can use various
the Salary Grade of the aggrieved officer and the
modes of cash-less payments. The Corporation
nature of grievance
extended the benefit of Special Medical Insurance
Scheme and Special Ex-Gratia Scheme for contract ƒ Cross-functional constitution of MERCs to ensure
labour and their dependents during COVID-19. objective grievance handling
Various awareness session on COVID-19 and health
ƒ Systematic review and discussions with concerned
talks were conducted to encourage contractors and
person as required
contract workforce to adopt preventive measures.
Inoculation drives were conducted at our major ƒ There is a provision of appeal in case the aggrieved
locations for contract workforce. officer is not satisfied by the decision of MERC

The Corporation extended the Prevention of Sexual Harassment (POSH)


benefit of Special Medical Insurance To inculcate appropriate workplace behaviour and
promote gender sensitisation, a number of online POSH
Scheme and Special Ex-Gratia workshops were organised across the Corporation
Scheme for contract labour and their during 2020-21. Internal Complaint Committees (ICC)
were also reconstituted for marketing zones and
dependents during COVID 19. refineries in view of the reassignment, superannuation,
separation or completion of 3 years as a member.
Management Employee Relations Committee
In coordination with a specialised trainer, we
(MERC)
conducted online webinars for our employees across
HPCL believes in effective Grievance Redressal system locations with an aim to sensitise on the nuances of
for ensuring employee satisfaction as well as a fair, the act, behaviours that constitute an act of sexual
productive and safe work environment. Employees of harassment, acceptable and unacceptable behaviour,
HPCL have access to the grievance redressal system process of complaint, role of Internal Complaints
to settle their individual grievances. The process for Committee (ICC), among others. Subsequently,
grievance handling through Management Employee procedural changes related to the implementation
Relations Committee (MERCs) has been in-place have been uploaded in HP Academy portal for
for ensuring effective and expeditious handling of creating awareness and accordingly all employees are
grievances. Detailed guidelines for timely grievance encouraged to complete the POSH course.
redressal through decentralised mechanism for
process implementation and online workflow
application for effective implementation have been

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

Safety at HPCL
Our approach to safety is encapsulated in our Safety Policy, which states, “As an integral
part of its business, HPCL believes that no work or service or activity is so important
or urgent that safety be overlooked or compromised”. This serves as a beacon for us
in ensuring a safer workplace and a healthy environment in and around our refineries,
plants, facilities and other premises. Our efforts go well beyond our operational areas as
we strive to instil a culture of safety in daily life among all our employees, their families,
our stakeholders and the community at large.

Safety Management participative management process. While to objective


is to learn from experiences and case studies, the
We believe that safety is an integral part of every job
committees also identify specific training needs of the
we carry out and it is tool to enhance productivity.
employees/locations.
Driven towards a goal of ‘Zero Incident’, we constantly
endeavour to maintain high standards of safety in our Emergency Response and Crisis Management
operations. The safety culture is accorded priority
The nature of the products have an inherent property
by the top management and driven through HSE
of catastrophic impact while handling, hence safety
systems and procedures. We focus on inherently
becomes core value to perform job safely. We adhere
safe design, safety awareness creation, fostering of
to PNGRB ERDMP regulations to standardise our
safety rules and safe operating procedures, ensuring
preparedness for emergencies. We have implemented
statutory compliance and being vigilant and prepared
industry-best safety practices and security systems
for emergencies. Our top management periodically
at all our operational facilities to identify and manage
reviews progress on compliance of various statutory
hazards, risks and emergencies.
audits and time-bound action plans for implementation
of the safety observations. Our employees wholeheartedly participate in the
management of HSE aspects and are provided regular
Health, Safety and Environment
training on operational safety, security, emergency
We have Health, Safety and Environment (HSE) preparedness and crisis management. They are
departments at multiple levels, starting from the acquainted on safe operating practices and protocols,
headquarters office, including Corporate, Marketing thereby mitigating the risks during emergency
and SBU level, Refineries, Zonal Offices and at operating and crises. To enhance the confidence of our local
level i.e. all locations, across the country. They monitor communities and neighbouring industries, we also
and assess the safety mechanisms through regular engage them in our offsite and onsite mock drills.
audits, create awareness among stakeholders and
Locations require additional resources and external
also engage with government officials for relevant
help for mitigation of major incidents through Mutual
matters and time-to-time amendments. During the
Aid Response Groups (MARG). During such disasters
pandemic, we maintained all protocols and utmost
clear role and responsibilities of various levels of
precautions for all employees and stakeholders,
Corporation is well defined viz. locations, zonal and
ensuring uninterrupted operations.
corporate level. This enables better communication
Safety Committees and resource mobilisation. We have a Crisis
Management Plan (CMP) in place with clear roles
To encourage proactive participation and involvement
and responsibilities and communication details of
of the workforce in matters pertaining to HSE, Safety
officials of locations, zones, corporate offices and
Committees are active at our locations, with equal
external authorities in case of major incident/disaster
representation of management and non-management
to respond and mitigate with additional coordination.
employees. These committees ensure adherence to
The CMP is in addition to location specific Emergency
the Corporation’s HSE policies and compliance with
Response Disaster Management Plan (ERDMP).
regulations, such as Factories Act, OISD Standards
The emergency plans like DMP, CMP and ERDMP are
and PNGRB ERDMP regulations at the workplace.
amended periodically. ERDMP regulations have been
The committees obtain feedback from the workforce,
amended by PNGRB with effect from September,
discuss matters related to the HSE context pertaining
2020. Our locations are implementing the same by
to the location and remedial recourses for further
incorporating the changes in the ERDMP manual.
strengthening of safety sustainability through

86
Regular mock drills at our locations ensure preparedness for emergencies

Process Safety
investment programmes to upgrade the equipment to
Process Safety Management (PSM) is well integrated
improve productivity and safety. HSE indexing of our
in the Corporation’s Safety and Environment
process provides us opportunity to identify the gaps
management system. PSM implementation enables
and improve the system implementation. We share
us to review engineering design standards, improve
learning of incidents to employees and stakeholders
safety control systems, enhance capabilities,
for enhancing awareness regularly.
understand complex systems and undertake

Safety Performance
Mumbai Refinery Visakh Refinery Marketing Locations
Employee Contractor Employee Contractor Employee Contractor
No. of Fatalities Nil Nil Nil 1 Nil Nil
Lost time Injury Frequency Per Million Hours Worked Nil 0.063 Nil 0.033 Nil Nil
Total Number of Recordable Injury Incident Rate Per Nil 0.189 Nil 0.067 Nil 0.108
Million Hours Worked
Notes:
ƒ All above injuries/fatalities are under male category, female category- Nil
ƒ The absenteeism rate for MR, VR and Marketing employees is 0.68%, 0. 54% and 1.09%, respectively. It is calculated by dividing absent
man-days due to loss of pay by total days worked and expressed as percentage. The occupation disease rate is reported as nil

ƒ Lost time Injury Rate includes fatalities + cases of lost workdays


ƒ Total No. of recordable injury incident rate includes fatalities + cases of lost workdays + restricted workdays + medical treatment

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

HSE Highlights ƒ Conducted Project Shapath – Phase IV, a


techno-behavioural training programme followed
MUMBAI REFINERY
by assessment through online test for all the
ƒ Achieved 30.08 Million man-hours of safe operation non-management employees
and completed 14.75 Million safe man-hours of
ƒ Conducted 85 on-site DMP, 15 off-site DMP and 20
contract workers
bomb threat drills across the LPG locations
ƒ Completion of 2,351 days without major fire ƒ Various LPG locations received prestigious awards
HSE during the year for their outstanding performance in
ensuring safe operations.
ƒ Board-level periodic review of safety audit
implementation status SOD SBU
ƒ Board appointment of director to ensure compliance ƒ Achieved best external safety audit compliance
of ERDMP Regulation in the corporation status among industry and appreciated by OISD
ƒ Active participation in OISD Technical Standards ƒ Completed ERDMP certifications for all POL
reviews locations, obtained Board approvals and submitted
to PNGRB within the timelines
ƒ Use of virtual platform for safety audits and
inspections during COVID-19 ƒ In spite of restricted travel, conducted 47 MDSA
inspections on e-platform
ƒ Safety awareness programmes through e-learning
covering 10,469 participants and road safety training ƒ Received PESO recognition for 5 officers as
‘Sadak Suraksha se Jeevan Raksha’ covering 13,973 competent persons for tank inspection and testing
tank truck crew. under Rule 160, 130 of Petroleum Rules 2002
LPG SBU ƒ Conducted two-day, virtual OISD workshop on
enhancing HSE awareness and OISD-GDN-180 for
ƒ Conducted competency development programmes
officers of POL terminals in coordination with OISD
for officers of LPG locations
and internal faculty

Mock drill in progress at one of our location with remotely operated fire fighting equipment

88
LUBES SBU HPGRDC
ƒ Ensured continuous operation with COVID-19 SOP ƒ Achieved 100% completion of PHA and external
at all locations safety audit recommendations
ƒ Recorded Nil major incident ƒ Finalised process SOPs for 143 experiment
based projects
ƒ Received approval for ERDMP at Mazgaon and
Ramnagar from PNGRB approved certification ƒ Conducted safety perception survey internally for all
agency employees and fixed-term associates
ƒ Received Integrated Management System ƒ Carried out workplace ergonomic assessment by
certification at Mazgaon and Silvassa plant (includes External Ergo Expert
ISO 9001:2015, ISO 14001:2015, ISO 45001:2018 and
ƒ Developed training module for defensive driving
ISO 50001:2018)
training for all drivers
PIPELINE SBU
ƒ Coordinated two meetings of Institutional Biosafety
ƒ Achieved 11 Million Safe Man Hours without any LTI Committee (IBSC)
ƒ Developed and implemented online security index ƒ Indoor air quality was monitored across HPGRDC by
and mobile/web application for maintenance data external agency
recording in all pipelines
ƒ Conducted Internal audits covering various
ƒ Various pipeline locations received multiple aspects of Safety
prestigious awards during the year for their
outstanding performance in ensuring safe operations Targeted Safety Interventions
Ekagra
In an endeavour to ensure absolute security and
safety of cross-country pipelines, Ekagra was
launched in 2018-19. In the year 2020-21, the Existing
(old) Security Index for all pipelines was revamped
and the online security index was implemented in
November. The theme of 2020-21 was Digitalisation &
Technology with a focus on the upcoming big data
analysis project in pipelines along with an online
performance-monitoring card for security personnel.
To recognise the efforts of security personnel basis
their performance, Suraksha Shresth badges were
designed and contractors distributed the same for
rewards and recognition of the security personnel.
Ekagra – Monthly Theme presentations (including
2 Webinars) continued each month with varied
themes for use and applicability across locations for
all stakeholders. A Centralised Disaster Management
Document (version 1 and 2) was developed as a ready
reckoner for resource mobilisation in case of any
untoward incident on ROU. Ekagra – Pocket Handbook
containing basic information on pipeline security
and safety was designed for security personnel
across pipelines and rolled out. As part of Sachet,
handholding meeting/training of 640 Man-hours was
conducted for all HSE Officers across pipelines.
Project Shapath- Our Safety Promise
As part of phase IV of “Project Shapath”, the technical
assessment was conducted for 100% non-management
employees across 45 LPG plants within a period
of 15 days. The Behavioural Event Interviews (BEI)
were conducted by the Safety Officers as well as the
Plant Managers, which were scored on 4 different
key competency areas namely – Responsibility,
Conscientiousness, Reliability and Trustworthiness.

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

People Performance

Hale and Hearty HPCL


HPCL focusses on achieving excellence in occupational and personal health of
employees at all manufacturing sites as well as at its offices. With this objective,
employee ‘wellness’ programme is undertaken to improve and maintain
employee health. We have set up Occupational Health Centres (OHC) at refinery
locations. Besides emergency medical services, the OHCs also offer preventive
and curative health services to its employees. These OHCs are equipped with
diagnostic and therapeutic equipment and are handled by qualified occupational
health specialists.

Our employees and their dependants are covered Spreading Awareness on COVID-19
under a comprehensive health insurance policy.
Customised sessions were conducted for spreading
We have also facilitated a health insurance policy for
awareness on various aspects of COVID-19, and
dependants of employees not covered in the corporate
other health matters covering more than 30,000
health insurance policy. An online wellness portal
participants for Management and non-management
provides latest articles, news and other information on
employees, Location In charges, Safety Officers, TT
topics of health and well-being.
Crew and Contract Workforce.
Our workforce undergoes periodic medical
Other types of sessions conducted include mental
examination to root out any developing ailments.
well-being sessions, COVID-19 vaccination awareness,
Designated physicians are provided at major
precautions while on business travel, and during home
marketing locations, while smaller locations have
isolation, among others. Apart from COVID-19, many
tie-ups with local hospitals to ensure accessibility to
other health camps and health talks were also planned
health services. We also have empanelled hospitals to
for awareness on other health matters.
provide superior medical care to our employees and
their dependants.
Contract workers and TT crew working at our locations
are facilitated with health camps and guided on health
issues. In these check-ups, the workers are made aware
of their current health status and are advised suitable
measures to maintain normal health and avoid illness.

COVID-19 RELATED INITIATIVES


Handling Infrastructure, Sanitisation and Hygiene
The reporting and case management of all live cases
was tracked daily. Extensive sanitisation and hygiene
drives were regularly carried out at all locations.
SOPs briefing the guidelines for handling offices,
business travel, among others were released.
More than 10 Lakh disposable masks were procured
and distributed across locations. Many offices
took to distributing COVID-19 kits for the safety
of the employees.
Ex-Gratia payments were rolled out for extended staff
viz. truck drivers, LPG deliverymen, etc. Being into
the essential services category, tie-ups are made with
various hospitals to get the employees vaccinated
across locations. Many of the HR Officers at locations
assisted the employees and their family members in
getting admissions and other aid from the hospitals.

90
to learn yogasana and practice the same correctly.
Other Health Initiatives during 2020-21
A total of 268 yoga sessions covering 5,526 participants
International Yoga Day, 2020 were conducted during 2020-21. An e-learning module
on yoga was added to HP Academy.
HPMDI Organised Special Virtual Yoga Session on 21
June wherein top and senior management along with FIT Indian Movement
396 employees and their families attended live webinar
Collaborated with the world’s largest online fitness
and learnt various yoga aasanas as per Common Yoga
and nutrition community FITTR. An online FITTR
Protocol (CYP).
app-based competition and series of 18 online training
Online Yoga Sessions at HPMDI sessions during the year enabled participants to stay
active fit and fine, in a competitive manner. More than
HPMDI, Nigdi conducted daily online yoga sessions
1,750 employees attended sessions.
during 2020-21 with an objective to provide our
employees and their family members an opportunity

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Delighting the Customer

BUILDING LIFELONG
RELATIONSHIPS
The year was very challenging for the country and its people due to the pandemic.
HPCL exhibited high degree of agility, resilience and responsiveness during the crisis
to serve its customers and the public at large. Our business units supported ably by
our functions, contractors and business partners played a pivotal role in maintaining
a robust supply chain especially during difficult market conditions following the
pandemic outbreak.
We are continuously innovating, developing and To align with the technological transitions and
deploying new technologies for enhancing operational emerging customer preferences, we are concentrating
excellence, customer value and convenience. on value creation by leveraging the emerging digital
We have formalised our ethos in the form of our technologies for transformation and enhancing IT
vision statement, which sets our aspirations to be a capabilities. Implementation of Customer Relationship
world-class energy company known for caring and Management (CRM) tool has ensured enhanced
delighting the customers with quality products and customer orientation and superior service standards.
innovative services across domestic and international
Our endeavour is to provide a clean, healthy and
markets with aggressive growth and delivering
safe environment to our employees, neighbours,
superior financial performance. It sets the path for
customers, consumers and stakeholders. We provide
us to be a model of excellence in meeting social
regular trainings to our point-of-contact personnel
commitment, environment, health and safety norms
to enhance their knowledge and instil an attitude to
and in employee welfare and relations.
create differentiated customer experiences.
Our mission statement stresses upon imparting
In order to enhance awareness on safety and
continued focus on enhancement of productivity,
environmental aspects we promote awareness
quality and profitability as well as caring for
sessions through periodic campaigns on safety and
customers and employees.
resource conservation.
We continuously strive to implement innovative ideas
We share and communicate information pertaining to
and solutions to achieve in operating efficiencies, be it
customer safety through website, booklets, newsletters,
improvement in supply chain management, logistics,
specification, Material Safety Data Sheets (MSDS).
solutions to ensure availability of quality products and
services to the remotest geographical locations and all Our products are in line with BIS specifications,
customer segments as also ease of transactions and internationally accepted and customer specific
business interaction through adoption of innovative standards. All lubricant packages/labels must comply
technological solutions in our processes. with Legal Metrology (Package Commodities) Rules,
2011. As per the rules, lube packages label should
contain declaration of Quantity, MRP, Manufacturing
Date, Manufacturer Name and Address, Customer
To align with the technological transitions Contact Details, Generic Name of product and so
and emerging customer preferences, on. Relevant information as per applicable national
and international laws is displayed on our product
we are concentrating on value creation labels. We have not recognised any non-compliance
by leveraging the emerging digital pertaining to applicable legal requirements of product
labelling regulatory codes.
technologies for transformation and
There was no non-compliance related to unfair trade
enhancing IT capabilities. Implementation practices or irresponsible advertising as per applicable
of Customer Relationship Management regulatory codes in the reporting year, however,
there are five pending cases related to alleged
(CRM) tool has ensured enhanced customer anti-competitive behaviour, as on March 31, 2021. We do
orientation and superior service standards. not market any product that is banned or disputed.

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Research & Development (R&D)

Research & Development remains to be of paramount importance for HPCL to


develop, demonstrate and deploy novel and innovative products and technologies.
We are on a continual journey towards enhancement of our Research & Development
capabilities to create new levers for achieving growth and cost leadership through
indigenous development of new products, processes and technologies.
We also endeavour to associate with and support construction of Petrochemicals and Polymers Lab,
R&D by government agencies and reputed Lubes Research Lab, Corrosions Studies Lab and
research institutes and academia in the areas of oil, Green Hydrogen generators with PEM electrolyser
gas and energy. were completed during the year.
Hindustan Petroleum Green Research & Development During the year 2020-21, HPGRDC filed 28 patents
Centre (HPGRDC) has been set up with an objective taking the cumulative Indian and International Patent
to provide advanced technological support to applications to 287. Continued focus on research and
Marketing SBUs and Refineries. HPGRDC aims to innovation across various areas in energy sector has
provide operational excellence, develop and adopt enabled HPCL to receive 44 patents during the year
innovative, path-breaking technologies and become taking the cumulative patents granted to 90 as on
a knowledge hub. March 31, 2021.
The research centre is provided with state-of the-art

44
infrastructure facilities comprising energy-efficient
green buildings with built-up area of three lakh square
feet in a sprawling campus of 120 acres. The Phase-I of
the research centre is set up with nine laboratories and
the Phase-II of research centre is under construction
Patents received in 2020-21
for seven new laboratories. Under Phase II programme, by HPGRDC

Our HPGRDC provides advanced technological support to Refineries and Marketing SBUs, develops and adopts path breaking technologies

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Delighting the Customer

During the year, 8 HPGRDC papers were published in ƒ ROG-PSA Technology: BDEP developed in house for
various international journals. demonstration of ROG-PSA unit at Mumbai refinery
for recovering pure hydrogen from refinery off-gases
Our Green R&D Centre Highlights
ƒ HP- SAP: Super Absorbent polymer is developed at
Technologies Demonstrated
10 kg scale. Further, scale up studies is in progress
ƒ Hydrotreating catalyst scaled up to 2-ton level, ƒ HP-PPD: Developed Pour Point depressant for LSFO
meeting the BS VI HSD specifications
at 100 kg scale
ƒ HP-Ethers Technology (Process for production ƒ [HP]2 FCC: 68 MT of [HP]2 catalyst has been
of Alkyl ethers developed at Pilot scale) is ready
supplied to MR and 100 tons to VR for long duration
for demonstration
performance assessment. 400 Tons of catalyst has
been supplied to HMEL for demonstration
Products Developed/Launched
ƒ Vacuum PSA: Revamp BDEP developed in house
During the year, nine products/technologies were
for demonstration of vacuum regeneration system
developed and launched. The key products and
at CCR PSA of VR for enhancement in feed
technologies developed include:
capacity/product recovery
ƒ HP Gas Flame Plus –Additive to improve ƒ Novel and highly efficient gas-liquid distributor
LPG efficiency
designed, fabricated and successfully tested in
ƒ HP DEWA – Crude Dewatering Additive cold flow unit. Distributor design is provided for
MR-Hexane unit Bensat reactor (revamp study) and
ƒ HP DWA – Dewaxing Aid
KHT unit for revamp of VR DHDS HGU PDS unit
ƒ HP THERMOPRO D – Antifoulant formulation for ƒ HP-WMA: Developed warm mix additive for bitumen
DHDS units
at 100 kg scale for field trials
ƒ HP FilmMax – Film forming amine formulation for ƒ Scaled up 1 kg HP-BCA (FCC bottom cracking
CDU/VDU
additive) meeting desired specifications
ƒ HP FilmMax HT – Film forming amine formulation ƒ Strategic tie-ups
for Hydrotreaters
ƒ Our R&D centre has been collaborating with reputed
ƒ HP DEMU – Demulsifier formulation for crude desalter
institutes and some are as follows:
Products Handed over for Commercialisation ƒ Collaborated with leading institutes like IITs, IISc,
CSIR labs for new projects in the area of refining,
ƒ [HP]2 FCC CAT, iHPFurnOKare, HP SAN, HP DEWA,
petrochemical and alternative energy
HP-PurUS, HP-Easywash, HP Gas Flame Plus
ƒ Membership continued with CISTAR Research
Technologies under Development Programme coordinated by Purdue University, USA
ƒ HP-Trijet: Pilot-scale development for production ƒ Initiated collaboration projects with IISc on using
of Bio-ATF and Green Diesel from UCO Artificial Intelligence (AI) in Petroleum industry
(Used Cooking Oil)
ƒ Taken up various collaborative projects with Centre of
ƒ R&D PLC at Visakh Refinery DHSD PSA Excellence-IITB as PhD projects
ƒ HP-MELST: High melt strength polypropylene at Other key contributions of HPGRDC
lab scale
ƒ Commissioning of dynamic activity catalyst loading
ƒ Flue gas desulfurisation scrubber nozzle: order system at Visakh Refinery
placed for fabrication
ƒ Performance evalutaion of tender e-cat for Mumbai
ƒ HP-DAK: Detailed engineering and execution of Refinery OFCCU (Old Fluid Catalytic Cracking Unit)
plant at MR. Indigenous catalyst developed in pilot and GSR samples for MR NFCCU
scale. Scale up of catalyst in progress
ƒ Performance evaluation of licensor catalysts for
ƒ HP-COAT: Crude oil to Aromatics Technology BDEP Mumbai refinery diesel isotherming unit
completed for 80 KTA for demonstration at VR
ƒ Development of BDEP (Basic Design and Engineering
ƒ HP-PolyShine: Paintable Polypropylene developed Package) for vapour recovery unit for Hasan Terminal
at lab scale. Large-scale trial is in progress
ƒ Development of Kerosene hydrotreating catalyst
ƒ Designed low pressure drop spraymax nozzle for ƒ Completion of pilot study for LVGO processing in
MR OFCCU; fabrication completed
Visakh Refinery DHT unit
ƒ HP-RAMP: A pilot plant for converting organic ƒ Development of DIU model using Aspen-Hysys
waste is set up at R&D. Biogas production process
has been standardised ƒ Development and fabrication of pouch cells and
demonstration in e-cycle

94
ƒ Development of rechargeable coin cells for During 2020-21, HPCL continued to put strong focus
use in appliances on its customers from core sectors and OEMs, further
consolidating its business with improved participation
ƒ HPGRDC observed, organised and participated in a
and renewal of partnerships. The business continues
number of events and workshops like inauguration
to be benefited immensely from the close interactions
of Compressed Biogas Pilot Plant, Battery Pouch
between OEM and R&D teams of HPCL with
Cell Assembly, HPGRDC Portal, Crude evaluation
stakeholders acknowledging the strengths and
and value addition workshop-II, workshop on
capabilities of HPCL.
FCC simulation in Aspen Hysys, Beyond Research
Activities, New generation Ideation contest, Towards enhancing customer loyalty and getting
National Science Day, National Safety Week, valuable customer insights, HPCL continued its
Corrosion workshop-I and 2nd Process Simulation engagements with customers during the year.
Workshop, among others. Over 300 technical seminars/conferences with more
than 3,500 participations were conducted during the
HPCL continued to generate interest for its niche
year with extensive usage of digital platforms.
specialty products developed by its HP Green
R&D Centre, such as HP-FurnOKare (for descaling During the year, HPCL gave further impetus in
and maintenance of furnaces), HP CORRMIT marketing of the lubricants and specific products for
(Corrosion Inhibitor), HP DLA (Diesel Lubricity BS-VI compliant engines. The commercial production
Additive), among others. and sales of Diesel Exhaust Fluid (DEF) was scaled up
with sales crossing 12.5 TMT, sold majorly through our
During the year, Lube R&D continued to play an
wide network of retail outlets.
innovative and proactive role with developments
of new products for government and private sector Continued focus on the automotive segments for
customers. Close interaction with Army, Air Force and past few years, especially in the 4-stroke engine
other agencies enabled a number of approvals for new oil lubricants segment helped HPCL to register
products. Fully equipped laboratories for testing of double-digit growth in 2020-21 in the motorcycle
various petroleum products across the country enable engine oil segment with the backing of ‘RACER’ brand
HPCL to maintain high standards of product quality. of lubricants along with other products.
Towards enhancing the number of offerings to
consumers and value creation, HPCL launched the
Expenditure Incurred on (` Crore)
high-performance, branded LPG ‘HP GAS FLAME
Research & Development
PLUS’ for its Commercial and Industrial customers
in 2020-21. The product offers quicker heating, 295.66
reduced gas consumption, reduced process time and 257.92 253.85
savings to customers.
HPCL also sustained its focus in the Free Trade LPG
(FTL) segment to meet the needs of consumers,
especially the small vendors and young professionals.
In this category, over 3 million ‘APPU’ cylinders in
package sizes of 5 kg and 2 kg were sold during the
year, and achieved market share of over 45% in this
2020-21 2019-20 2018-19
highly competitive segment.

Enhancing the offering to customers through high performance fuel - HP GAS FLAME PLUS

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Delighting the Customer

Quality Assurance
We have a dedicated Quality Assurance Cell, which is focused on providing confidence
to all stakeholders regarding fulfilment of quality requirements across all levels. This is
achieved by carrying out surprise inspections wherein compliance with various statutory
requirements and standards are verified and corrective actions are advised based
on the requirements to meet the quality parameters. Quality Assurance comprises
implementation of administrative and procedural activities in a manner so as to fulfil the
requirements and goals for product and services.
In line with the directive of the Ministry of Petroleum at locations in compliance to the contemporary
& Natural Gas (MoP&NG), HPCL has a dedicated guidelines and directives.
Quality Assurance (QA) cell with officers posted
During 2020-21, Quality Assurance (QA) cell carried
in all the zones. Its functioning is independent of
out inspections at 2,096 retail outlets, 13 Kerosene
refining and marketing functions. QA cell carries out
(PDS) distributorships, 254 LPG distributorships and
surprise inspections covering retail outlets, Kerosene
10 LPG bottling plants. Establishment of robust QA
(PDS) distributorships, LPG distributorships, supply
systems has enabled us to set high customer service
locations in compliance with the revised Marketing
benchmarks for supply locations and channel partners
Discipline Guidelines (MDG) and HQO directives.
as well as helped provide high quality products and
Some of the key parameters on which our Quality services to customers.
Assurance team focuses are quality and quantity
Capability building in area of Quality is an important
of products dispensed, safety, functioning of the
hallmark of keeping abreast with the latest
automation system, branding and visual identity,
requirements of the processes, product developments
random product samplings, among others.
and regulations. To equip Officers with the latest
An online e-inspection portal has been created to information in these areas Quality Assurance Cell
track compliance with respect to related parameters Officers conducted 78 online and physical training
and to identify the areas for continual improvement. programmes on pan-India basis, covering 1,127
Surprise inspections are conducted periodically participants on topics of quality, MDG, inspections,
automation, among others.

Quality Control
Our Marketing Quality Control Department assures quality of our products from our
various business units, such as Supply, Operations and Distribution, Retail, Direct
Sales, Lubes, Aviation and Pipelines, among others.

We have stringent quality management systems for (CRMs) production facility at Visakh and Proficiency
our varied range of businesses and products and we Testing (PT) facility at Vashi as part of 'Make in India'
adhere to Industry Quality Control Manual (IQCM) concept. Both facilities have won the award from
and other guidelines of the oil industry to manage Quality Council of India for their Make in India initiative.
the product quality at various stages of production,
dispatch, receipt and storage. Our products are tested with precision in our
laboratories as per applicable national and international
We have established a network of 47 laboratories standards. Regular audits and inspections are carried
equipped with state-of-the-art facilities across the out internally and through external agencies as well.
country. These labs are managed by well-trained QC bulletins to employees for awareness creation are
workforce, and accredited by NABL as per International published and circulated by our QC department.
standard ISO 17025. With NABL accreditation obtained
for 6 labs during 2020-21, the total number of NABL Our QC officers visit various locations for Quality
accreditation in Marketing Quality Control stands at Awareness and conduct customer connect
33. QC has established Certified Reference Materials programmes to enhance awareness on quality
among stakeholders.

96
Our Marketing QC department periodically conducts ƒ Commissioned the Drag Reducer Additive testing
QC audits of locations to establish the efficacy facility at Secunderabad Lab, first in the Industry
of Quality Management Systems. 177 audits were among marketing divisions to enable Aviation SBU to
conducted during the year. test DRA content in ATF pumped through VVSPL as
per DefStan requirement
With NABL accreditation obtained for 6 labs this year
ƒ Developed HP Swachchh Hand Rub/Hand Sanitizer as
the total number of NABL accreditation in marketing
per World Health Organization Protocols for internal
Quality control stands as 33.
use at Labs/Locations in view of COVID-19
QC Highlights for 2020-21 ƒ Coordinated with DGCA for commissioning of Visakh,
Trichy and Shirdi ASF
ƒ Laboratories tested over 1.13 Lakh product samples
and achieved highest Revenue generation by ƒ Obtained extension for absorption of ATF plug
testing external samples despite the COVID impact. material at VVSPL from CEMILAC
By use of own Certified Reference Materials and
ƒ Assisted SOD SBU for suitability of Motor Gasoline
by own calibration of equipment, substantial
(oxy/non-oxy) for either 5 or 10 % ethanol blending,
savings were achieved
thus achieving savings
ƒ Bharatiya Nirdeshak Dravya (BND) Coffee Table Book ƒ Assisted SOD SBU for handling the wagon loading of
released covering 28 Petroleum BNDs of HPCL on
gasohol and storage at HPCL locations
World Metrology Day 2020 at CSIR- NPL
ƒ Four new methods for ATF (Lubricity, FAME
ƒ HPCL Suryapet Lab was chosen for audit among oil
content, Aromatic Content by HPLC and Particulate
Industry labs and it successfully completed the ISO
contamination) written by HPCL team and submitted
17025 accreditation audit jointly conducted by NABL
to Bureau of Indian Standards for the first time
and APAC (Asia Pacific Accreditation Cooperation)
ƒ QC week was celebrated across the country for
ƒ Commissioned the testing facility at Kadapa Lab with
enhancing the QC awareness among stakeholders.
state-of-the-art equipment
Various activities viz. online QC Quiz, Awards for
ƒ Released Industry Quality Manual on Bio-diesel and SOD locations, e-learning technical quiz for QC
Blends 2020 and completed Standardization of officers, Trainings for stakeholders, Customer connect
Quality Manual and Procedure Manual (NABL) for QC programs etc. were conducted during the week
Labs as per requirements of ISO 17025:2017
ƒ The concept of ‘Smart Labs’ was facilitated by
converting existing formats to online version thereby
encouraging paperless working

Quality Council of India - Gold Award to HPCL Lube R&D

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Delighting the Customer

Customer Focus
At HPCL, we have undertaken many large-scale projects across the hydrocarbon
value chain to support the requirements of future growth and energy demand and
respond to the emerging environmental challenges. We have undertaken a number of
customer‑centric initiatives and services for delighting our customers and Delivering
Happiness in their lives and to their homes.

We believe that constructive feedback from our convenience and value. HPCL has been a forerunner in
customers helps us in improving our product and leveraging digitalisation opportunities to deliver value
services and maintain several communications and to the customers.
feedback channels through which we engage with them.
HPCL is actively working on the usage of technology
We understand that delighted and happy customers for further expansion of business. To enhance the
are the backbone of our sustenance and concentrated convenience of customers, faster transactions and
customer focus through differentiated services reduced waiting time, digital modes of payment are
and value contributes to enhancement of customer continually being promoted.
retention, loyalty and increase in customer footfalls
ƒ Integrated Payment System (IPS) with integration of
into our businesses. With this affirmation, we
Point of Sale (POS) machine with dispensing units
continuously strive to bring multifarious service and
(DUs) were installed at 6,924 retail outlets providing
product related initiatives for convenience of our
easy and smart payment options to the customers
customers and stakeholders.
ƒ To increase the adoption of digital modes of
Over the years, we have expanded our network in
payment by customers with more choices, HPCL
multiple folds. We commissioned the highest ever
launched the HPCL-UBI Co-Branded contactless
2,158 number of retail outlets during the year taking
Rupay Credit Card with features of ‘National
the total to 18,634, which helps us to increase our
Common Mobility’ during the year. HPCL is the first
reach and enhance the product availability to larger
amongst the Oil Marketing Companies to launch
number of consumers with convenience. Further, to
the National Common Mobility Card (NCMC),
increase operational efficiency and productivity, 100%
which is inter-operable across different transport
automation has been ensured across the retail outlet
systems in the country
network during the year.
ƒ The transactions through the unified ‘HP Pay’ mobile
In LPG business, ‘HP Gas’, the LPG brand of HPCL is
app has shown substantial increase during the year
one of the most preferred brands among domestic
providing complete fuel management solutions
and non-domestic LPG customers and serves over 8.7
to customers in the form of control, convenience,
Crore consumers through a strong support network of
security and attractive reward points
6,192 distributors.
ƒ HPCL was the first among Oil Marketing Companies
HPCL has been significantly participating in the
to enable the usage of ‘FASTag’ for payments
Pradhan Mantri Ujjwala Yojana (PMUY) and working
towards purchase of fuel/lubricants at retail outlets
for the benefits of user-friendly clean fuel to the
in 2020-21 thereby enhancing the digital payment
markets at the bottom of the pyramid.
options to consumers
During April 2020, Government of India introduced the
ƒ Multiple payment options, incentives on usage of
Pradhan Mantri Garib Kalyan Yojana (PMGKY) scheme
digital transactions, continued campaigns through
giving free LPG refills to PMUY beneficiaries (3 per
various platforms etc. resulted in achieving over
beneficiary) to mitigate the hardships faced by the BPL
40% payments through digital modes in Total Motor
households due to the economic disruption caused
Fuels (TMF) sales as of March 31, 2021
by the global pandemic. As of March 31, 2021, total
3.81 Crore refills were delivered to the beneficiaries by ƒ LPG SBU has enabled multiple options of refill
HPCL under the scheme. booking apart from IVRS, missed call, online booking,
multiple options for cashless payment through
various app-based applications like HPPAY, BBPS,
Customer Experience Enhancement Initiatives
Umang, Bhim, e-wallets (PayTM, GPay, Amazon),
Going Digital credit/debit card, digital payment options at the
doorstep of customers and various other consumer
Proliferation of the computational power, reach of
centric initiatives
internet, affordability and convenience of use are
propagating digitalisation in processes and offering ƒ To increase the adoption of digital modes of payments
businesses seamless opportunities to integrate for refill booking and towards better customer
in the current processes to enhance customer convenience, ‘HP Gas’ refill booking and payment was

98
made available on AMAZON and via its voice-assistant owners and drivers. Onboarding of major OEMs of
ALEXA. New services and features were integrated in commercial vehicles, aggregators, NBFCs, large fleet
‘HP PAY’ app and ‘HP GAS Vitran’ app for customer transporters, small fleet owners etc. in the ‘Drive Track
value maximisation. These customer-centric initiatives Plus’ platform helped in garnering additional volumes
helped ‘HP Gas’ in recording the highest ever digital during the year.
transaction of over 25% in March 2021
Customer Feedback
ƒ Our aviation SBU took up the initiative to make
WebEx calls to all customers and resellers during We understand the importance of customer feedback
pandemic times. This helped them greet, know and in improving the quality of services and connect
share their experiences and learnings during the with our customers and stakeholders. For HPCL,
pandemic. Group calls were made to customers our customers are instrumental in improving the
located in Germany, Russia, Turkey, Spain, US, Dubai, product delivery by providing valuable feedback.
France, Hungary among others for an effective We have several communication channels through
customer connect which we engage with them. The feedback helps in
understanding the interventions required to enhance
ƒ In order to maintain seamless, connect with customers
the efficacy of the system.
and other stakeholders, our Lubes SBU conducted
over 240 webinars with 400+ hours of enriching
Few of the initiatives taken up in the year for capturing
content which involved more than 3,400 participants
the consumer satisfaction sentiment are:
such as OEMs, corporate and industry bodies
Customer Surveys 2020-21
Customer Safety
Aviation:
As an integral part of the business, we believe that no
work or service or activity is so important or urgent The service-related feedback is taken from the
that safety be overlooked or compromised. We have customers on a quarterly basis at all the ASFs.
stringent systems in place to ensure utmost safety. The feedback is taken on the following parameters:
Customer awareness has been the foundation of our quality of fuel, promptness of service, appearance and
approach towards customer safety. We have been performance of refuelling equipment, safe practices
striving to achieve and maintain high standards of and responsiveness towards customer complaints.
safety in our operation. During 2020-21, there was
no incident involving non-compliance of regulations LPG:
and voluntary codes concerning health and safety
LPG SBU has provisioned feedback of consumers
impacts of products.
on LPG cylinder delivery system through its HP GAS
Loyalty Programmes mobile app and HP PAY mobile app. This gives an
indication of the satisfaction level of the consumer on
HPCL offers payment solutions at retail outlets for the
the refill delivery system. HP Gas has enabled consumer
convenience of its customers. HPCL has specifically
feedback on digital payment in its consumer mobile
designed segment specific loyalty programmes to
app i.e. HPPay App wherein consumers' feedback
cater to various categories of its customers. We have
is used to improve consumers’ digital payment
been introducing, modifying and launching various
experience. Apart from this, consumers' feedback is
schemes on loyalty and rewards programmes from
also enabled in the CRM portal wherein feedback is
time to time, some of these are:
captured while consumers register their complaints/
suggestions. During 2020-21, LPG SBU received
HP Pay
feedback from 14,284 customers through CRM Portal.
HP PAY is a powerful loyalty and payment programme HP Gas call centre executives also make outbound
that provides complete fuel management solution to calls to customers, collect feedback and record the
its owners and operators in the form of an unbeatable same for further analysis and action for improvement
combination of control, convenience, security and thereafter. During 2020-21, approximately 60,000
attractive reward points. ‘HP PAY’ mobile app launched feedbacks were taken through call centre.
last year has gained traction by clocking an average
of 6 Lakh transactions per month, providing complete Basis all these customers’ feedback, LPG SBU has
fuel management solutions to customers in the form enabled multiple options of refill booking and digital
of control, convenience, security and attractive reward payment options at the doorstep of customers and
points. New services and features were integrated in various other consumer centric initiatives. The LPG
‘HP PAY’ app during the year. SBU is in the process of rolling out of geo coordinate
based delivery route optimisation for its LPG refill
Drive Track Plus Programme delivery staff, which will further improve the experience
of consumers during refill delivery.
The flagship loyalty programme of HPCL ‘Drive
Track Plus’ continues to maintain its momentum
for customer retention and growth in commercial
vehicles segment offering a combination of control,
convenience, security and attractive rewards to fleet

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Corporate Social Responsibility

SUPPORTING THE
LOCAL SOCIETY
HPCL as a responsible corporate, under its Corporate Social Responsibility, carried
out activities which address inequality, be it social, economic, and in particular gender
inequality. HPCL aspires to improve the quality of life of the less privileged communities
through its CSR interventions.

To align ourselves to the changing requirements, we have been working with our
stakeholders by moving away from a philanthropic mode of engagement to a more
pro‑active and participative engagement with our beneficiaries. Intervention models and
programmes which have the potential to sustain the outcomes and create a long-term
impact on not only the beneficiary, but also on the root social factors, are given utmost
support and encouragement.

HPCL’s CSR model has been based on “Creating Shared Value”. The shared value model
is based on the concept that corporate success and social welfare are interdependent.

CSR Approach
Our CSR approach focuses on adapting processes that ensure sustainable business
development by delivering economic, social and environmental value to the society.
Developing capacity in the community is our Consequent to the Companies (Corporate Social
strategy with endeavour towards enhancing human Responsibility Policy) Amendment Rules, 2021 notified
excellence and improving quality of life of people with on 22.01.2021; we have incorporated the changes to
whom we engage. align the policy with new requirements.
Our Board approved CSR policy defines the We have a Board level sub-committee called the
scope, structure and guidelines for identification, CSR and Sustainability Development (CSR&SD)
implementation and monitoring of CSR projects and Committee, comprising Whole-time Directors and
initiatives. Our CSR policy is guided by our corporate chaired by an Independent Director for periodic
vision of becoming a model of excellence in meeting review, discussion and guidance on various CSR,
social commitment and interdependency of business sustainability development initiatives and measures
and stakeholders. and implementation of the BR policies.
Our CSR strategy is built around creating impactful, Additionally, we have various committees in place
long-lasting and overall development of the to design and implement CSR projects such as, CSR
community. Our CSR projects are undertaken through Management Committee, CSR Working Committee
the process of community engagement and with the who review and approve various proposals.
support of our field officers.

100
Focus Areas
HPCL’s efforts to ensure mandated expenditure on CSR reaffirm the continuing
commitment of the Corporation towards societal development.
Our CSR focus areas are inspired by our vision and mission. They are aligned with international developmental
goals and national policies and legislations on Child Rights, Child Development and Education, National Health
Policy and National Health Missions, Health Care in India-Vision 2020, National Skill Development Mission, and
policies on community or rural development.

Our CSR policy identifies our focus areas as mentioned below:

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The CSR policy of the Corporation has provision We believe in being a catalyst of transformation
that the CSR projects/activities shall be undertaken through our CSR endeavours.
for the welfare of the weaker sections of society.
In addition, initiatives have been undertaken for
We recognise the importance of monitoring and
the welfare of communities in Aspirational districts
evaluation in meeting the objectives and accord
identified by NITI Aayog.
priority to the activity of monitoring and evaluation
in our CSR projects. Periodic evaluation and feedback
Monitoring and Evaluation helps us make better decisions and gauge effectiveness
to improve the programme efficiencies and outcomes.
For impactful interventions, our CSR projects are
Third party impact assessment is also carried out.
identified in consultation with the community and
its developmental needs and opportunities available.

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Corporate Social Responsibility

Our CSR Impact


In the challenging times posed by the COVID-19 infrastructure, accelerating vaccination drive,
pandemic, HPCL reaffirmed its continued commitment providing storage and transportation facilities for
towards the society by providing assistance and relief COVID-19 vaccines and providing relief to the less
to the poor and vulnerable sections of the society and privileged and migrant workers.
undertaking interventions inter-alia aimed to support
Few of our major initiatives in this focus area
the healthcare and allied infrastructure.
are as follows:
As a responsible corporate citizen, we amplified CSR
COVID-19/Pandemic Related Interventions
efforts and collaborated with various stakeholders to
support COVID-19 relief measures. As a socially responsible Corporate, HPCL is actively
participating in the ‘Jan Andolan’ launched by
True to its purpose of ‘Delivering Happiness’, HPCL Honourable Prime Minister in October 2020 to promote
continues to undertake projects having strategic appropriate COVID-19 behaviour viz. wearing of
connect and synergising efforts with the Government masks, hand hygiene and maintaining social distance.
and other stakeholders for collective impact.
Our Chairman and Managing Director along with
A total of 172 projects/activities were approved during Director Refinery in the presence of Functional
the year in the focus areas of Education, Health Care, Directors, administered Jan Andolan pledge to
Skill Development, Child Care, Sports, Environment employees across the country through video
and Community Development. conferencing. More than 2,000 employees have also
taken the Jan Andolan pledge through e-pledge
option made available to them through HPCL
Our CSR landscape during 2020-21: internal portal.
Our expenditure on CSR related interventions during Jan Andolan Pledge is being administered physically
financial year 2020-21 is `  156.35 Crore creating to employees and staff of Retail Outlets, LPG
social capital, especially in the host communities of Distributorships, Offices and Locations of HPCL
the business, positively influencing the lives of the across the country. Over 1.5 Lakh employees and
less privileged. staff of Retail Outlets, LPG Distributorships, offices
During the financial year 2020-21, we undertook the and locations across the country have taken the Jan
following flagship initiatives: Andolan Pledge.
In order to spread awareness amongst the general
public, banners, hoardings, standees etc. about the
appropriate COVID-19 behaviour are displayed at
Healthcare Retail Outlets, LPG distributorships, various offices
and locations of HPCL spread across the length
and breadth of the country. HPCL officers, Retail
Outlet and HP Gas delivery staff are also promoting
Providing access to healthcare has been an important
appropriate COVID-19 behaviour amongst customers
goal for the Government of India. However, there
through one-to-one interactions.
are challenges involved in terms of accessibility and
affordability. These challenges are more pressing As a responsible corporate, HPCL collaborated with
in rural India. various stakeholders to support COVID-19 relief
measures by contributing to ‘Prime Minister’s Citizen
To enhance access to quality healthcare services Assistance and Relief in Emergency Situations Fund
for individuals, we are working to provide solutions (PM CARES Fund)’. HPCL also undertook various other
to health, hygiene and sanitation concerns. relief measures such as distribution of food packets
Our initiatives are aimed at the marginalised and and ration materials, provision of Personal Protective
disadvantaged communities. Equipment (PPE) kits.
This year, the pandemic posed new challenges related HPCL is also supporting COVID-19 vaccination
to business continuity, supply chain management and programme by providing Cold Chain Equipment
concerns related to health and safety of the workforce. viz. Deep Freezer (Small/Large), Walk in Freezer,
In these challenging times posed by the COVID-19 Refrigerated Trucks and Ice-Lined Refrigerator (Small/
pandemic, HPCL reaffirmed its continued commitment Large) to various state health departments.
towards the society by providing assistance and relief
Support was also extended to the district
to the poor and vulnerable sections of society and
administration, municipal corporation, police
undertaking interventions to support the healthcare
personnel, hospital administration, sanitation workers
and allied infrastructure.
and disaster management authorities by providing
HPCL has been proactively working to help fight masks, sanitizers, relief materials etc.
COVID-19 pandemic by strengthening health

102
HPCL collaborated with various stakeholders to support COVID-19 relief measures

103
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Corporate Social Responsibility

These medical vans provide basic medical attention


The frontline workforce like LPG deliverymen,
to the village populace. Through this partnership, we
Forecourt salesmen at Retail Outlets, Tank Truck
ensure medical facilities at the doorstep of villagers
drivers and crew members were provided with
and basic treatments for common ailments, health
hygiene kits for maintaining continuous operation of
awareness and necessary referrals for major ailments.
essential services and ensuring their own safety and
The majority of beneficiaries are women, children
customer safety.
and elderly whose general health is neglected due to
Mumbai Refinery: Considering the needs for migrant poverty and lack of resources, awareness and facilities.
workers stranded due to lockdown, our Mumbai
This year, under this project, we provided health
Refinery under its CSR measures distributed food and
facilities in three districts in the state of Odisha
grocery packets at locations near refinery on daily
through three Mobile Medical Vans (MMVs).
basis from April 2020. These served as not merely
distribution but also as an act of connecting with
Project Dil without Bill
people around refinery and ensuring their well-being
during the difficult times. Through this project, we aim to save lives by providing
free of cost heart surgeries to the less privileged,
Visakh Refinery: An MoU was signed with GVMC on
economically underserved and needy people,
COVID-19 items and other CSR items viz. Steel Water
particularly children.
Bottles. Masks, sanitisers and awareness pamphlets
were also distributed to the general public as a part of This project has given life and hope to thousands of
Community Service during COVID-19. families over the years.
During the year, we supported 200 patients with
Project Dhanwantari
heart surgeries.
Project Dhanwantari focuses on providing basic
The majority of beneficiaries are women, children
healthcare facilities and services at the doorsteps
and elderly whose general health is neglected
of beneficiaries in remote rural areas of the country
due to poverty and lack of resources, awareness
through Mobile Medical Vans. The key objective of this
and facilities.
project is to provide awareness as well as diagnostic
and curative services to the rural community.

HPCL supported COVID-19 vaccination programme by providing cold chain equipment to various state health departments

104
Providing healthcare facilities at the doorsteps of beneficiaries in remote rural areas through Project Dhanwantari

Childcare & Education

Caring for children and empowering them with quality education is one of the important focus areas of HPCL’s
CSR initiatives as it paves the way for healthy, strong and empowered youth for the country. We are committed
to working in this area through improved education. Other than this, we also implement projects related to
woman empowerment and education of differently abled individuals.

Some of the noteworthy activities undertaken this year are:

Project ADAPT During this year, under ‘Project ADAPT’, HPCL


endeavoured to enhance the quality of lives of
Disability is probably one of the least understood and
Children with Disabilities (CWD) through the provision
accepted conditions in society. Guiding ourselves to
of online education and individual training.
see the ability beyond the disability and ensure equal
opportunities and dignity to Persons with Disability In addition, uninterrupted therapy services were
requires effort, awareness and mobilisation beyond provided through Tele-Rehab, which emerged as a
just addressing their medical needs. It is in the spirit of key vehicle for delivery of services. This new model of
this endeavour that through this programme, we are providing online services helped the parents and the
supporting inclusive education, therapeutic needs and beneficiaries cope with the pandemic.
vocational training of children with disabilities.
We supported the holistic development of 200
The key objectives of the programme are to provide special children by providing education, therapies and
quality school education, and therapeutic support to vocational training through this project.
every disabled child enrolled in the school and provide
an enabling environment so that they may realise their
fullest potential.
Key strategies include adoption of beneficiary
perspective, rights based model, inclusive education,
trans-disciplinary team, community outreach,
200
focus on independent living skills and engagement
Children supported
with parents etc. through Project Adapt

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Corporate Social Responsibility

Project Nanhi Kali


Encouraging girl child education and building gender tribal and urban slum locations. The project addresses
equality among communities remains a pertinent challenges and constraints faced due to gender gap
social challenge. Our intervention in this growing in communities and aims to develop gender equality.
issue includes providing material support to first
This year, under Project Nanhi Kali 9,818 girls were
generation girl child learners from communities that
provided with online remedial classes, material kits,
are educationally and economically backward.
sports curriculum and other guidance and counselling
The major important component of the project is on personal hygiene and career development.
to provide academic and social support to the girl
child to continue education and meet challenges of
the modern educational setup. Through this planned
intervention, we have been able to reduce girl dropouts,
helped prevent child marriages and promoted higher
education for girls.
Project Nanhi Kali provides holistic development
and supports academic pursuit of girl children from

9,818
Girl child supported through
Project Nanhi Kali Project Nanhi Kali

Kashmir Super-30 (Medical)


HPCL has collaborated with the Indian Army to Kashmir Super 30 Project was initiated in 2017-18.
implement the third batch of ambitious project – Since then 68 students in the first two batches, have
“Kashmir Super 30 (Medical)”. The concept behind been part of this project. It is a matter of great pride,
the programme was to handpick the brightest minds that all 35 students of the first batch have cleared
through a selection process from among the less NEET and received admission in Medical and Allied
privileged in society who exemplify grit, determination Courses. The second batch of 33 students have also
and perseverance and elevate them gradually through secured stupendous result and are in the process of
this process towards prosperity. undergoing counselling for admissions this year.
This project supports the Sadhbhavna (Goodwill) Ladakh Ignited Minds
efforts undertaken by the Indian Army in Kashmir
HPCL also supported the Indian Army's initiative in
valley by providing mentoring and coaching to aspiring
‘Winning Hearts and Minds’ of the local population
medical students from Jammu and Kashmir region
of Ladakh by creating a Centre of Wellness and
giving wings to academic aspirations of the youth for
Excellence in Ladakh to support the less privileged yet
their career development. The gestation period of the
aspiring students of the region and enabling them to
project is 12-months residential coaching program,
compete in various streams like Engineering, Medical
which prepares the aspirants for National Eligibility
and other career-oriented programmes.
Entrance Test (NEET), under the overall control
and guidance of Indian Army 10 Sector Rashtriya
Rifles, Srinagar.

106
Skill Development

Skill development is the most important pre-requisite with local partners for balancing out the regional and
to meet the emerging technological and business socio-economic nuances.
requirements. Whereas India has one of the biggest
With an aim to increase employability and bridge
advantages in the form of a demographic dividend, a
skill-gap, skills training in various industry-oriented
key enabler of future growth is to equip our younger
trades were provided to school dropouts from
generation with emerging skills and tools to keep pace
socio-economically backward communities.
with the change and growth simultaneously in order
to contribute to the nation’s growth. To improve employability, HPCL supported Skill
India Mission by contributing to Skill Development
Multifarious efforts are required to equip the
Institutes at five locations based at Bhubaneswar,
personnel with relevant skills in terms of providing
Visakhapatnam, Kochi, Rae Bareli and Guwahati.
them with infrastructure support and collaboration

Contribution to nation's growth through support to Skill India Mission

Promotion of Sports Activities


HPCL plays a significant role in the promotion of sports A sports portal was developed during the year, which
and regularly participates in various tournaments enables the submission of various applications form
organised under the aegis of Petroleum Sports in online mode for participation in PSPB Tournaments
Promotion Board (PSPB) and All India Public Sector and Inter Unit Cricket Tournaments and thereby
Sports Promotion Board (AIPSSPB). speedy and easier processing of applications.
During the year, HPCL organised the All India Inter
Unit Online Bridge Tournament for employees and
Chess Tournament for employees and for their families
in online mode in view of the pandemic.

107
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Corporate Social Responsibility

Environment and
Community Development

HPCL is focused in the area of Environment conservation and have undertaken several interventions in this
area towards sustainable development.

Some of the noteworthy activities undertaken this year are:

Swachh Bharat Abhiyan Accordingly, HPCL undertook activities to rekindle mass


awareness on cleanliness, hygiene and preserving the
Observance of cleanliness related events during
environment keeping in view the various instructions
Swachhta Pakhwada was introduced with the objective
and guidelines issued by Government.
of bringing a fortnight of intense focus on issues and
practices of Swachhta and bring about qualitative As part of this campaign, HPCL carried out activities
Swachhta improvements. by involving employees, family members, Contract
Workers, Dealers, Distributors and Vendors among
In the current scenario of global pandemic of COVID-19,
others to generate mass awareness to make
the importance of activities related to cleanliness and
Swachhta a ‘Jan Andolan’. The campaign was
creating mass awareness on these issues has become
launched by administering online cleanliness pledge
more relevant and significant.
to employees by Chairman and Managing Director,
Shri Mukesh Kumar Surana and Director – HR, Shri
Pushp Kumar Joshi.

108
Some of the highlights of HPCL’s participation
in Swachhta Pakhwada campaign were:

Launch of QR Code Campaign: To administer Hygiene and Safety kits to Corona Warriors in order
e-Swachhta Shapath, HPCL launched a unique to support the fight against COVID-19 and ensure
initiative for spreading mass awareness on Swachh safe supply of essential services, hygiene and
Bharat Abhiyan by harnessing technology and safety kits were provided to Forecourt salesmen,
launched QR code campaign to enable users to LPG deliverymen and Tank Truck crew.
administer e-Swachhta Shapath. This campaign led
to sensitisation and enhanced people’s participation
Kalakari with Plastic – A unique campaign to
in the mission for cleanliness.
spread message on Plastic Waste Management:
To motivate people towards reusing plastic
Spreading awareness through automation bills at waste, a unique campaign, ‘Kalakari with Plastic’
Retail Outlets: In a unique initiative to propagate was launched during this Swachhta Pakhwada.
the message of cleanliness during this campaign This campaign recognised the contribution
among HPCL customers, Swachhta Pakhwada of individuals reusing plastic waste in unique
messages were printed on the payment receipt of ways and shared the message of plastic waste
customers visiting retail outlets. management with others.

Online awareness campaign among students, Swachhta – Ghar ki Kahani – A family saga:
teachers and community members: HPCL carried A   video making competition to involve HPCL
out community outreach initiatives through audio family members in Swachhta Pakhwada campaign
and video conferences and calls. These initiatives was also carried out. Under this initiative, HPCL
were aimed at propagating the message of employees and family members prepared and
Cleanliness, Sanitation and Hygiene among submitted short videos on the theme of cleanliness.
students, teachers and community members.
The objective of this campaign was to reach out
Our locations enthusiastically observed Swachhta
to around 50,000 students through video calls
Pakhwada and organised multiple events.
and one-to-one sessions to sensitise them towards
Mass awareness campaigns were undertaken that
community cleanliness and personal hygiene.
focused on spreading awareness on COVID-19
appropriate behaviour including display of banners,
Webinars on the theme of Cleanliness, Health administration of cleanliness pledge, organising
& Hygiene and Environment: Webinars delving of online competitions, webinars and awareness
on multi-faceted aspects of cleanliness, health sessions, Cleanliness Drives, tree plantation,
& hygiene and environment were organised for distribution of facemasks, hand sanitizers, soaps/
employees, family members, students and other hand wash liquids, hand gloves, PPE kits etc.
stakeholders like dealers, distributors and vendors. to Corona Warriors.

Online quiz competitions for employees: In order To take forward Government of India’s flagship
to raise awareness on cleanliness, Plastic Waste programme of Swachh Bharat Abhiyan, physical
Management, elimination of ‘Single Use Plastic and financial targets for Swachhta Action Plan
(SUP)’ and COVID-19, online quizzes were organised 2020-21 were surpassed during the year.
in which more than 1,500 employees participated
enthusiastically.
Around 100 toilets and 250 sources of clean drinking
water were constructed/renovated during the year.
Awareness campaign through social media
(Twitter, Facebook, Instagram): Social media
plays an important role in awareness creation and
serves as an effective mode of communication.
HPCL launched awareness campaigns through its
official Twitter, Facebook and Instagram handles
to spread messages on cleanliness during ongoing
Swachhta Pakhwada.

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Corporate Social Responsibility

Employee Volunteering efficiency and efficacy, the target was achieved much
before the target date by OMCs. In view of tremendous
HPCL encourages employee and stakeholder
success of the Yojana, a revised target of providing
participation towards ensuring inclusiveness through
8  Crore LPG connections was set up which was
volunteering in activities or involvement in projects
achieved by the OMCs much ahead of the target date.
aimed at nation building, social empowerment,
upliftment of various underserved sections of the In order to spread awareness and educate PMUY
society and capacity building, besides health and beneficiaries, ‘LPG Panchayats’ were conceptualised
environment initiatives. and launched during 2017. LPG Panchayats brought
together PMUY beneficiaries on a semi-structured
interactive platform to discuss safe and sustainable
HP Sampark
usage of LPG along with its benefits and the linkage
The aim of ‘HP Sampark’ is to provide our employees between usage of clean cooking fuel and women’s
with opportunities to make a difference in the lives of empowerment. Each and every LPG Panchayat
people. Some of our pan-India initiatives include: shared the experience of early local adopters of LPG,
an exercise on comparing the costs of alternative
Annual Winter Campaign – Odhaa Do Zindagi
biomass fuels, safety demonstration and feedback on
with one of our NGO partners where winter wear
services by the distribution network of Oil Industry.
and other clothing were collected and 50,000+
LPG Panchayats were highly impactful in achieving the
beneficiaries were covered.
set objectives, which were mainly due to wholehearted
Campaign in partnership with Akshayapatra for efforts and involvement of “LPG Didis” who were from
distribution of Happiness Kits containing dry ration to amongst the locals and provided energy services and
last for one month for the benefit of tribal children. solutions in their role as catalysts of social change.
620 employees donated a total of `  12.35 Lakh that The success of LPG Panchayats was evident as LPG
benefitted 2,245 families. usage increased gradually and steadily with LPG
becoming one of the most accepted fuels, especially
among village women.
HP Shakti Club
The HP Shakti Club is a strong network of women
Pradhan Mantri Garib Kalyan Yojana (PMGKY)
employees and female force of HP family that
endeavours to create friendships and joyful moments The advent of COVID-19 around the globe and in India
and give back to the society through philanthropic resulted in various measures by the Government of India
and social initiatives. to control the spread including countrywide lockdown
leading to new challenges for poor households.
Various branches of the HP Shakti Club have
Poor households bore maximum impact, with income
undertaken over 120 initiatives during the year
of these families getting adversely affected due
including mask distribution, health camps, COVID-19
to suspension of economic activity because of the
awareness drives, donation to the needy and deprived
nationwide lockdown to combat COVID-19.
in the society etc. touching more than 20,000 lives.
To overcome the economic impact of COVID-19,
in April 2020, Government of India introduced the
Pradhan Mantri Ujjwala Yojana (PMUY)
Pradhan Mantri Garib Kalyan Yojna (PMGKY) scheme
In order to provide environment-friendly clean giving free LPG refills to PMUY beneficiaries (3 per
cooking fuel to women especially in rural areas to get beneficiary) to mitigate the hardships faced by the BPL
rid of health hazards faced by them due to the use households due to the economic disruption caused
of traditional fuel, Pradhan Mantri Ujjwala Yojana was by the global pandemic. As of March 31, 2021, total
launched on May 1, 2016 by Hon’ble Prime Minister 3.81 Crore refills were delivered to the beneficiaries by
Shri.  Narendra Modi from Balia in Uttar Pradesh. HPCL under the scheme.
This Yojana had multipronged objectives such as
This particular initiative of door delivery of free
getting rid of hazardous traditional cooking fuel,
LPG refills to poor households in the country, has
empowering women, supporting and promoting
helped them not only to sustain their living but has
use of LPG etc.
also significantly reduced their chances of getting
A challenging target of providing 5 Crore LPG infected with doorstep deliveries, bringing smiles and
connections was set up for Oil Marketing Companies happiness in their lives in these tough times.
(OMCs) under PMUY. With tremendous display of

110
Transformation of Aspirational Districts Expenditure on CSR Projects
programme
We have reached out to the marginalised through
Aspirational Districts programme, an all-India initiative innovative, value-driven and well-designed CSR
and unique experiment in ensuring the transformation projects that brings together our collective effort to
of under-developed pockets of India, was launched positively impact lives.
by the Hon’ble PM in January 2018. Anchored in NITI
During financial year 2020-21, the Corporation spent
Aayog, the Aspirational Districts Programme intends
`  156.35 Crore in implementation of various CSR
to turn development into a mass movement,
initiatives in the focus areas of childcare, education,
facilitated by Governments at different levels: Centre,
healthcare, skill development and community
State and District. HPCL supported projects in
development, creating social capital, especially in the
27 aspirational districts.
host communities of the business. The mandatory
spending being 2%, additional expenditure of
`  26.38  Crore is carried forward to 2021-22 and the
same is available for set-off.

Total Expenditure on CSR (` Crore)


Other CSR Interventions
ƒ Support to KGH, Visakhapatnam for construction
of oncology block
182.24
ƒ Support to GVMC towards procurement of 156.35 159.81
handhold items (for collection of waste) and
Pet bottle crushing machines
ƒ Visakh Refinery distributed 800 happiness
kits to GVMC Primary School Children Scheme
initiated by HP Sampark
ƒ Support to Executive Engineer, PRI Division
Visakhapatnam towards construction of General
“Public Waiting Hall and other facilities” 2020-21 2019-20 2018-19
ƒ Support towards development of facilities and
supply of items in Purebariyar village, Sewapuri
Block, Varanasi District, Uttar Pradesh
Expense Areas ` Crore
ƒ Reconstruction and restoration of Kedarnath
town and surrounding areas Promoting Education 10.10
ƒ Construction and redevelopment of Shri
Promoting Health Care 130.51
Badrinath town as a smart spiritual hill town
ƒ Provided life-saving medical equipment to Empowerment of Socially and 6.56
AIIMS, Rishikesh Economically Backward groups

ƒ Contribution to Armed Forces Flag Day Imparting Employment by Enhancing 2.50


Fund towards welfare of the members of Vocation Skills
the armed forces
Swachh Bharat Abhiyan 3.77
ƒ Disaster Relief: Distribution of tarpaulin sheets to
Amphan cyclone affected areas Others 2.91

Total 156.35

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

ALIGNMENT OF OUR BUSINESS


PRACTICES TO THE
SUSTAINABLE DEVELOPMENT GOALS

Goal No. Sustainable Development Goal Page No.

End poverty in all its forms everywhere 48-51, 100-111

End hunger, achieve food security and improved nutrition and promote sustainable 104
agriculture

Ensure healthy lives and promote well-being for all at all ages 90-91, 102-104

Ensure inclusive and equitable quality education and promote life-long learning 77-80, 105-106
opportunities for all

Achieve gender equality and empower all women and girls 76, 84-85, 105-106

Ensure availability and sustainable management of water and sanitation for all 64-65

Ensure access to affordable, reliable, sustainable and modern energy for all 12-21, 63, 110

Promote sustained, inclusive and sustainable economic growth, full and productive 48-53, 82-85,
employment and decent work for all 90-91

112
Goal No. Sustainable Development Goal Page No.

Build resilient infrastructure, promote inclusive and sustainable industrialisation and 14-21, 48-50,
foster innovation 93-95

Reduce inequality within and among countries 102-111

Make cities and human settlements inclusive, safe, resilient and sustainable 70-71, 102-111

Ensure sustainable consumption and production patterns 54-71, 93-95

Take urgent action to combat climate change and its impacts 54-71, 93-95, 110

Conserve and sustainably use the oceans, seas, and marine resources for 64-65
sustainable development

Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably


manage forests, combat desertification, and halt and reverse land degradation and 62, 70-71
halt biodiversity loss

Promote peaceful and inclusive societies for sustainable development, provide


access to justice for all and build effective, accountable and inclusive institutions at 23-30, 84-85
all levels

Strengthen the means of implementation and revitalise the global partnership for 32, 93-95,
sustainable development 102-111

113
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

INDIA’S NATIONALLY
DETERMINED CONTRIBUTIONS
No. Sustainable Development Goal Page No.

1 Sustainable way of living 22-23, 36-37, 100-101, 110

2 Climate friendly and cleaner path to economic development 54-71, 93-95, 108-109

3 Reducing emissions intensity of GDP by 33-35% 60-62

4 40 percent cumulative electric power installed capacity from non-fossil fuel 63


based energy resources by 2030

5 Creation of additional carbon sink of 2.5-3 BTCO2e 62

6 Better adaptation to climate change 54-71, 93-95, 108-109

8 Building capacities for diffusing cutting-edge climate technology 60-62, 93-95

UNGC
PRINCIPLES
No. Category Description Page No.

1 Human Rights Businesses should support and respect the protection of 84-85
internationally proclaimed human rights

2 Human Rights Businesses should make sure that they are not complicit 84-85
in human rights abuses

3 Labour Businesses should uphold the freedom of association 84-85


and the effective recognition of the right to
collective bargaining

4 Labour Businesses should uphold the elimination of all forms of 84-85


forced and compulsory labour

5 Labour Businesses should uphold the effective abolition of 84-85


child labour

6 Labour Businesses should uphold the elimination of 76, 84-85


discrimination in respect of employment and occupation

7 Environment Businesses should support a precautionary approach to 54-71


environmental challenges

8 Environment Businesses should undertake initiatives to promote 54-71


greater environmental responsibility

9 Environment Businesses should encourage the development and 54-71


diffusion of environmentally friendly technologies

10 Anti - Corruption Businesses should work against corruption in all its forms, 23-30
including extortion and bribery

114
INDEPENDENT
ASSURANCE STATEMENT

Introduction and objectives of work


BUREAU VERITAS has been engaged by Hindustan Petroleum Corporation Ltd. (HPCL) to conduct an
independent assurance of its Sustainability Report for the year 2020-21. This Assurance Statement applies to
the related information included within the scope of work described below.
This information and its presentation in the Sustainability Report 2020-21 are the sole responsibility of the
management of HPCL. Bureau Veritas was not involved in the drafting of the Report. Our sole responsibility was
to provide independent assurance on its content.

Scope of work
The assurance process was conducted in line with the requirements of the Assurance Standard
AA1000AS version 03 Type 2 assurance. The scope of work included:
ƒ Data and information included in Sustainability Report 2020-21 for the reporting period 1st April 2020 to
31st March 2021;
ƒ Appropriateness and robustness of underlying reporting systems and processes, used to collect, analyse and
review the information reported;
ƒ Evaluation of the Report against the main principles of the AA1000 Assurance Standard
ƒ Inclusivity
ƒ Materiality
ƒ Responsiveness
ƒ Impact
ƒ Evaluation of the Report against the principles of Accuracy, Accessibility, Balance, Clarity, Comparability,
Reliability, Timeliness and Stakeholder Inclusiveness, as defined in the GRI Sustainability Reporting Standards1
“In accordance-Comprehensive”;
The level of assurance has been applied as “Moderate” for all sections of the report.
Methodology
As part of its independent assurance, Bureau Veritas undertook the following activities:
1. Audit was done remotely through video conferencing at below locations of HPCL and interviewed relevant
management personnel of HPCL.
ƒ Corporate HSE Department – Mumbai
ƒ Visakhapatnam Refinery
ƒ Silvassa Lube Plant
ƒ Rajamundary ASF
ƒ MPSPL, Talegaon
ƒ Vadodara Terminal
ƒ Anantapur LPG Plant
ƒ Auto Care Centre, Bandra

1
Published by Accountability: The Institute of Social and Ethical Accountability http://www.accountability.org.uk (AA 1000 AS version 03 is the
latest version of the assurance standard)
2
 RI Standards are published by the Global Reporting Initiative, P.O. Box 10039, 1001 EA, Amsterdam, The Netherlands and can be
G
downloaded from the GRI web site www.globalreporting.org

115
We interviewed Plant Operations & Maintenance, Health, Safety & Environment managers remotely through
video conferencing at above mentioned seven sites and also the Sustainability team of HPCL at Corporate
HSE department:
2. HPCL had submitted performance data on reported disclosures of GRI standard topics. The data management
at the above locations visited was assessed by Bureau Veritas.
3. The data management systems and procedures were assessed on a sampling basis. Data on various GRI
standard disclosures was verified.
4. Bureau Veritas reviewed stakeholder engagement activities that had been undertaken by HPCL as a part
of its stakeholder engagement process. Various records of the stakeholder engagement activities were
reviewed to confirm how topics material to HPCL’s stakeholders had been determined.
Our work was conducted against Bureau Veritas’ standard procedures and guidelines for external Assurance of
Sustainability Reports, based on current best practice in independent assurance.
The work was planned and carried out to provide a “Moderate” level of assurance and we believe it provides an
appropriate basis for our conclusions.

Our findings
On the basis of our methodology and the activities described above, it is our opinion that:
ƒ Nothing has come to our attention to indicate that the reviewed statements within the scope of our verification
are inaccurate and the information included therein is not fairly stated;
ƒ It is our opinion that HPCL has established appropriate systems for the collection, aggregation and analysis
of quantitative data such as Environmental, Health & Safety, Human Resource, Labour as well as Product and
Investor related data.

Alignment with the principles of AA1000AS version 03


Inclusivity
HPCL has processes in place for engaging with a range of key stakeholders including socially responsible
investors, Government officials, local community representatives and has undertaken stakeholder engagement
activities that have served as inputs for its Sustainability report 2020-21, covering a range of topics such as
Customer satisfaction, Employee welfare, Supply Chain, Community Welfare and Environment.
Materiality
The Report addresses the range of environmental, social and economic issues of concern that HPCL and its
stakeholders have identified as being of highest material importance. The material issues were identified by a
process of stakeholder engagement and interaction and the entire process was conducted through a survey in
which the stakeholders were requested to provide their feedback relating to various issues. The identification of
material issues has considered both internal assessments of risks and opportunities to the business, as well as
stakeholders’ views and concerns.
Responsiveness
HPCL is responding to those issues it has identified as material and demonstrates this in its policies, objectives,
indicators and performance targets. The company has taken various initiatives towards delivering environmentally
friendly services along with occupational health and safety, appropriate measures for emergency handling,
control and risk management in its operations. The reported information can be used by the organisation and its
stakeholders as a reasonable basis for their opinions and decision-making.
Impact
There is no finding from our assessment that HPCL had not monitored, measured or has not been accountable
for its actions related to its material topics and their effect on the broader ecosystem Evaluation against Global
Reporting Initiative (GRI) Sustainability Reporting Standards Bureau Veritas undertook an evaluation of HPCL
Sustainability Report 2020-21 against the GRI Sustainability Reporting Standards 2016. This included cross
checking the GRI index table against all the reference documents to provide an opinion on the self-declared GRI
reporting option.

Evaluation against Global Reporting Initiative (GRI) Sustainability Reporting Standards


Bureau Veritas undertook an evaluation of HPCL Sustainability Report 2020-21 against the GRI Sustainability
Reporting Standards 2016. This included cross checking the GRI index table against all the reference documents
to provide an opinion on the self-declared GRI reporting option.

116
Based on our work, it is our opinion that the Sustainability Report 2020-21 has been prepared in accordance
with the GRI Standards including appropriate consideration of the Reporting Principles and necessary indicators
to meet the requirements of GRI Reporting Option “In accordance-Comprehensive”.
Limitations and Exclusions
Excluded from the scope of our work is assurance of any information reported by HPCL relating to:
ƒ Activities outside the defined assurance period stated hereinabove;
ƒ Positional statements (expressions of opinion, belief, aim or future intention) by HPCL and statements of
future commitment;
ƒ Competitive claims in the report claiming “first in India”, “first time in India”, “first of its kind”, etc;
ƒ Our assurance does not extend to the activities and operations of HPCL outside India i.e. outside of the
scope and geographical boundaries as well as the operations undertaken by any subsidiaries or joint ventures
of the Company.
ƒ Our assurance of the economic and financial performance data of HPCL is based only on the audited annual
report2 of HPCL for the Financial Year 2020-21 and our conclusions rely solely upon that audited report
This independent statement should not be relied upon to detect all errors, omissions or misstatements that may
exist within the Report.

Statement of independence, impartiality and competence


Bureau Veritas is an independent professional services company that specialises in Quality, Health, Safety, Social
and Environmental management with almost 180 years history in providing independent assurance services, and
an annual turnover in excess of € 4.9 billion.
Bureau Veritas has implemented a Code of Ethics across the business to maintain high ethical standards among
staff in their day to day business activities. We are particularly vigilant in the prevention of conflicts of interest.
No member of the assurance team has a business relationship with HPCL, its Directors or Managers beyond
that required of this assignment. We have conducted this verification independently, and there has been no
conflict of interest.
The assurance team has extensive experience in conducting assurance over environmental, social, ethical and
health and safety information, systems and processes and has over 5 years combined experience in this field and
an excellent understanding of Bureau Veritas standard methodology for the Assurance of Sustainability Reports.

Bureau Veritas (India) Private Limited


72 Business Park, 9th Floor, MIDC Cross Road ‘C’, Opp. SEEPZ Gate #2, Andheri (East) Mumbai-400 093 India.

Mahesh Gharat Sanjay Patankar


Lead Assuror Technical Reviewer

Date: 11/09/2021
Mumbai

2
 he Annual Report of HPCL is available for public reference at the web link http://www.hindustanpetroleum.com/financial and can be
T
downloaded from that link

117
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

GRI CONTENT INDEX


Omission
Status of
GRI Standard Ref No. Status Disclosure Page No. Part
Assurance Reason Explanation
Omitted
GRI 101: Foundation 2016
General Disclosures
Organisational profile
102-1 Mandatory Name of the organization Cover Page Assured
Activities, brands, products, and
102-2 Mandatory 14-21 Assured
services
102-3 Mandatory Location of headquarters Cover Page Assured
102-4 Mandatory Location of operations 14-21 Assured
102-5 Mandatory Ownership and legal form 12, 49 Assured
102-6 Mandatory Markets served 16-21 Assured
12-21, 48-51,
102-7 Mandatory Scale of the organization Assured
74
Information on employees and other
102-8 Mandatory 74 Assured
workers
102-9 Mandatory Supply chain 31 Assured
Significant changes to the
102-10 Mandatory 3, 51 Assured
organization and its supply chain
102-11 Mandatory Precautionary principle or approach 26-30 Assured
102-12 Mandatory External initiatives 3, 32 Assured
102-13 Mandatory Membership of associations 32 Assured
Strategy
102-14 Mandatory Statement from senior decision-maker 49 Assured
102-15 Mandatory Key impacts, risks, and opportunities 26 Assured
Ethics and integrity
Values, principles, standards, and 22-23,
102-16 Mandatory Assured
norms of behavior 27-29
Mechanisms for advice and concerns
102-17 Mandatory 28-29 Assured
about ethics
Governance
102-18 Mandatory Governance structure 23-30 Assured
102-19 Mandatory Delegating authority 27 Assured
GRI 102: Executive-level responsibility for
General 102-20 Mandatory economic, environmental, and social 23-25, 37 Assured
Disclosures topics
2016 102-21 Mandatory
Consulting stakeholders on economic,
35-37 Assured
environmental, and social topics
Composition of the highest
102-22 Mandatory 23-25 Assured
governance body and its committees
102-23 Mandatory Chair of the highest governance body 23-25 Assured
Nominating and selecting the highest
102-24 Mandatory 23 Assured
governance body
102-25 Mandatory Conflicts of interest 27 Assured
Role of highest governance body in
102-26 Mandatory 23-25, 37 Assured
setting purpose, values, and strategy
Collective knowledge of highest
102-27 Mandatory 23 Assured
governance body
Evaluating the highest governance
102-28 Mandatory 23 Assured
body’s performance
Identifying and managing economic, 23-25,
102-29 Mandatory Assured
environmental, and social impacts 35-47
Effectiveness of risk management
102-30 Mandatory 26 Assured
processes
Review of economic, environmental,
102-31 Mandatory 46-47 Assured
and social topics
Highest governance body’s role in
102-32 Mandatory 37 Assured
sustainability reporting
102-33 Mandatory Communicating critical concerns 37 Assured
Nature and total number of critical Confidentiality Confidential being a
102-34 Mandatory - Assured
concerns Constraints business information

102-35 Mandatory Remuneration policies 26 Assured


102-36 Mandatory Process for determining remuneration 26 Assured
Stakeholders’ involvement in
102-37 Mandatory 26 Assured
remuneration
102-38 Mandatory Annual total compensation ratio 26 Assured
Percentage increase in annual total
102-39 Mandatory 26 Assured
compensation ratio

118
Omission
Status of
GRI Standard Ref No. Status Disclosure Page No. Part
Assurance Reason Explanation
Omitted
Stakeholder engagement
102-40 Mandatory List of stakeholder groups 39 Assured
102-41 Mandatory Collective bargaining agreements 84 Assured
102-42 Mandatory Identifying and selecting stakeholders 38-39 Assured
102-43 Mandatory Approach to stakeholder engagement 38-45 Assured
102-44 Mandatory Key topics and concerns raised 40-45 Assured
Reporting practice
Entities included in the consolidated
102-45 Mandatory 3 Assured
financial statements
Defining report content and topic
GRI 102: 102-46 Mandatory
Boundaries
3 Assured
General
102-47 Mandatory List of material topics 47 Assured
Disclosures
2016 102-48 Mandatory Restatements of information - Assured
102-49 Mandatory Changes in reporting 3 Assured
102-50 Mandatory Reporting period 3 Assured
102-51 Mandatory Date of most recent report 3 Assured
102-52 Mandatory Reporting cycle 3 Assured
Contact point for questions regarding
102-53 Mandatory 3 Assured
the report
Claims of reporting in accordance with
102-54 Mandatory 3 Assured
the GRI Standards
102-55 Mandatory GRI content index 118-121 Assured
102-56 Mandatory External assurance 115-117 Assured
Material Topics
GRI 200 Economic Standard
Anti-corruption
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 23-30 Assured
Approach components
2016 Evaluation of the management
103-3 Material 23-30 Assured
approach
Operations assessed for risks related
205-1 Material 26-30 Assured
to corruption
GRI 205: Communication and training
Anticorruption 205-2 Material about anti-corruption policies and 28-29 Assured
2016 procedures
Confirmed incidents of corruption and
205-3 Material 29 Assured
actions taken
Anti-competitive Behavior
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 92 Assured
Approach components
2016 Evaluation of the management
103-3 Material 92 Assured
approach
GRI 206:
Legal actions for anti-competitive
Anti-
206-1 Material behavior, anti-trust, and monopoly 92 Assured
competitive
practices
Behavior 2016
GRI 300 Environmental Standards Series
Energy
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 57 Assured
Approach components
2016 Evaluation of the management
103-3 Material 57 Assured
approach
Energy consumption within the
302-1 Material 57 Assured
organization
Energy consumption outside of the
302-2 Material 58 Assured
GRI 302: organization
Energy 2016 302-3 Material Energy intensity 58 Assured
302-4 Material Reduction of energy consumption 57-58 Assured
Reductions in energy requirements of
302-5 Material 94-95 Assured
products and services

119
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

GRI Content Index

Omission
Status of
GRI Standard Ref No. Status Disclosure Page No. Part
Assurance Reason Explanation
Omitted
Water and Effluents 2018
GRI 303: 303-1 Material
Interactions with water as a shared
64 Assured
Management resource
Approach
Management of water discharge-
Disclosures 303-2 Material 64 Assured
related impacts
2018
GRI 303: 303-3 Material Water withdrawal 64 Assured
Water and 303-4 Material Water discharge 64 Assured
Effluents 2018 303-5 Material Water consumption 64 Assured
Emissions
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 60 Assured
Approach components
2016 Evaluation of the management
103-3 Material 60 Assured
approach
305-1 Material Direct (Scope 1) GHG emissions 60 Assured
Energy indirect (Scope 2) GHG
305-2 Material 60 Assured
emissions
Other indirect (Scope 3) GHG
305-3 Material 61 Assured
emissions
GRI 305:
305-4 Material GHG emissions intensity 61 Assured
Emissions
2016 305-5 Material Reduction of GHG emissions 60-61 Assured
Emissions of ozone-depleting
305-6 Material 56 Assured
substances (ODS)
Nitrogen oxides (NOx), sulfur oxides
305-7 Material (SOx), and other significant air 61 Assured
emissions
Effluents and Waste
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 64, 66 Assured
Approach components
2016 Evaluation of the management
103-3 Material 64, 66 Assured
approach
Water discharge by quality and
306-1 Material 64 Assured
destination
GRI 306: 306-2 Material Waste by type and disposal method 66 Assured
Effluents
306-3 Material Significant spills 66 Assured
and Waste
2016 306-4 Material Transport of hazardous waste 66 Assured
Water bodies affected by water
306-5 Material 64 Assured
discharges and/or runoff
Environmental Compliance
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 54-55 Assured
Approach components
2016 Evaluation of the management
103-3 Material 54-55 Assured
approach
GRI 307:
Environmental Non-compliance with environmental
307-1 Material 68 Assured
Compliance laws and regulations
2016
GRI 400 Social Standards Series
Occupational Health and Safety
Occupational health and safety
403-1 Material 46-47 Assured
management system
Hazard identification, risk assessment,
GRI 403: 403-2 Material 86-87 Assured
and incident investigation
Management
403-3 Material Occupational health services 86-87, 90 Assured
Approach
Disclosures Worker participation, consultation, and
2018 403-4 Material communication on occupational health 86 Assured
and safety
Worker training on occupational
403-5 Material 86 Assured
health and safety

120
Omission
Status of
GRI Standard Ref No. Status Disclosure Page No. Part
Assurance Reason Explanation
Omitted
86-87,
GRI 403: 403-6 Material Promotion of worker health
90-91
Assured
Management
Prevention and mitigation of
Approach
occupational health and safety
Disclosures 403-7 Material 86 Assured
impacts directly linked by business
2018
relationships
GRI 403: Workers covered by an occupational
Occupational 403-8 Material health and safety management 86 Assured
Health system
and Safety 403-9 Material Work-related injuries 87 Assured
2018 403-10 Material Work-related ill health 87 Assured
Customer Health and Safety
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 92 Assured
Approach components
2016 Evaluation of the management
103-3 Material 92 Assured
approach
Assessment of the health and safety
GRI 416: 416-1 Material impacts of product and service 92 Assured
Customer categories
Health and
Incidents of non-compliance
Safety
416-2 Material concerning the health and safety 99 Assured
2016
impacts of products and services
Marketing and Labeling
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its
103-2 Material 92 Assured
Approach components
2016 Evaluation of the management
103-3 Material 92 Assured
approach
Requirements for product and service
417-1 Material 92 Assured
information and labeling
GRI 417:
Incidents of non-compliance
Marketing
417-2 Material concerning product and service 92 Assured
and Labeling
information and labeling
2016
Incidents of non-compliance
417-3 Material 92 Assured
concerning marketing communications
Socioeconomic Compliance
Explanation of the material topic and
103-1 Material 46-47 Assured
GRI 103: its Boundary
Management The management approach and its 48-49,
103-2 Material Assured
Approach components 100-101
2016 Evaluation of the management 48-49,
103-3 Material Assured
approach 100-101
GRI 419:
Non-compliance with laws and
Socioeconomic
419-1 Material regulations in the social and 84 Assured
Compliance
economic area
2016
Oil and Gas Sector Supplement (OGSS - GRI G4)
Total amount invested in renewable
OG 2 Material 63 Assured
energy
GRI G4 OGSS OG 3 Material
Total amount of renewable energy
63 Assured
- Oil and generated by source
Gas Sector Benzene, Lead and Sulphur content
OG 8 Material 5, 61-62 Assured
Supplement in fuels
Volume of Biofuels produced and
OG 14 Material 62 Assured
purchased

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Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

ABBREVIATIONS
Sr No. Abbreviation Full Form Sr No. Abbreviation Full Form
1 ABCI Association Of Business 38 CGD City Gas Distribution
Communicators Of India 39 CHT Center For High Technology
2 ADSB Allied Direct Sales Business 40 CII Confederation Of Indian Industry
3 AIAC All India Achievers Conference 41 CMP Crisis Management Plan
4 AIMA All India Management Association 42 CNG Compressed Natural Gas
5 AIPSSPB All India Public Sector Sports 43 COD Contractor Operated Depot
Promotion Board
44 COLD Contractor Operated Lube Depot
6 ALDS Auto LPG Dispensing Station
45 COMCO Company Owned Managed By
7 APAC Asia Pacific Accreditation Company Officer
Cooperation
46 CPCB Central Pollution Control Board
8 API Application Program Interface
47 CPGRAMS Centralised Public Grievances
9 APT Advanced Persistent Threat Redress And Monitoring System
10 ASF Aviation Service Facility 48 CPM Certified Petroleum Manager
11 ASSOCHAM The Associated Chambers Of 49 CPO Central Procurement Organisation
Commerce And Industry Of India
50 CPSEs Central Public Sector Enterprises
12 ATF Aviation Turbine Fuel
51 CRM Customer Relationship
13 BBL Barrel Management, Certified Reference
14 BBPS Bharat Bill Payment System Material
15 BBS Behaviour Based Safety 52 CSIR Council Of Scientific & Industrial
16 BCA Bottom Cracking Additive Research

17 BCCI Bombay Chamber Of Commerce 53 CSR Corporate Social Responsibility


And Industries 54 CTC Centralised Threshing Centre
18 BDEP Basic Design And Engineering 55 CVC Central Vigilance Commission
Package 56 CVO Central Vigilance Commission
19 BEI Behavioral Event Interview 57 CVR Cylinder, Valve, Regulator
20 BIS Bureau Of Indian Standards 58 CWD Children With Disabilities
21 BPCL Bharat Petroleum Corporation 59 DARPG Department Of Administrative
Limited Reforms & Public Grievances
22 BPL Below Poverty Line 60 DCS Distributed Control System
23 BRO Border Roads Organisation 61 DEF Diesel Exhaust Fluid
24 BS Bharat Stage 62 DHDS Diesel Hydrodesulfurization
25 BSF Border Security Force 63 DHT Diesel Hydro Treating Unit
26 BTCO2e Billion Tonnes Of Carbon Dioxide 64 DLA Diesel Lubricity Additive
Equivalent
65 DMA Disaster Management Act
27 BTS Bill Tracking System
66 DMP Disaster Management Plan
28 C&B Compensation & Benefits
67 DMS Document Management System
29 C&MD Chairman And Managing Director
68 DOPT Department Of Personnel And
30 CAG Comptroller And Auditor General Training
Of India
69 EAP Employee Assistance Program
31 CBG Compressed Bio Gas
70 EBP Ethanol Blending Percentage
32 CCR Continuous Catalytic Reformer
71 EGP Education Growth Plan
33 CDA Conduct, Discipline And Appeal
Rules 72 EMD Earnest Money Deposit

34 CDU Crude Distillation Unit 73 ERDMP Emergency Response Disaster


Management Plan
35 CEA Central Electricity Authority
74 ERP Enterprise Resource Planning
36 CFA Clearing And Forwarding Agents
75 ESG Environmental, Social, And
37 CFD Committee Of Functional Directors Governance

122
Sr No. Abbreviation Full Form Sr No. Abbreviation Full Form
76 ESI Employees' State Insurance 117 LNG Liquefied Natural Gas
77 ETP Effluent Treatment Plant 118 LOI Letter Of Intent
78 EV Electric Vehicle 119 LPG Liquefied Petroleum Gas
79 EVCS Electric Vehicle Charging Station 120 LSFO Low Sulphur Fuel Oil
80 FCC Fluidised Catalytic Cracking 121 LTIFR Lost Time Injury Frequency Rate
81 FCCU Fluid Catalytic Cracking Unit 122 MDG Marketing Discipline Guidelines
82 FII Foreign Institutional Investors 123 MDPL Mundra Delhi Pipeline
83 FO Furnace Oil 124 MERC Management Employee Relations
84 FY Fiscal Year Committee

85 GDP Gross Domestic Product 125 MLIF Mangalore LPG Import Facility

86 GeM Government e-marketplace 126 MMT Million Metric Tonne

87 GHG Green House Gas 127 MMTPA Million Metric Tonne Per Annum

88 GJ Gigajoule 128 MoEF&CC Ministry Of Environment, Forest &


Climate Change
89 GRI Global Reporting Initiative
129 MoP&NG Ministry Of Petroleum & Natural Gas
90 GST Goods And Services Tax
130 MOU Memorandum Of Understanding
91 HFHSD High Flash High Speed Diesel
131 MPCB Maharashtra Pollution Control
92 HGU Hydrogen Generation Unit Board
93 HMEL HPCL Mittal Energy Limited 132 MPSPL Mumbai Pune Solapur Pipeline
94 HPCL Hindustan Petroleum Corporation 133 MR Mumbai Refinery
Limited
134 MRPL Mangalore Refinery And
95 HPGRDC Hindustan Petroleum Green Petrochemicals Ltd.
Research & Development Centre
135 MS Motor Spirit
96 HPMDI HP Management Development
Institute 136 MSDS Material Safety Data Sheet

97 HQO Head Quarters Office 137 MSEs Micro And Small Enterprises

98 HR Human Resource 138 MSMEs Micro, Small And Medium


Enterprises
99 HSD High Speed Diesel
139 MT Metric Tonne
100 HSE Health, Safety & Environment
140 MTO Mineral Turpentine Oil
101 ICC Internal Complaint Committees
141 MW Megawatt
102 IFO Industrial Furnace Oil
142 MWp Megawatt Peak
103 IMM Integrated Margin Management
143 NABL National Accreditation Board
104 IPCC Intergovernmental Panel On For Calibration And Testing
Climate Change Laboratories
105 IQCM Industry Quality Control Manual 144 NDC Nationally Determined
106 IRD Inland Relay Depot Contributions
107 ISO International Organization For 145 NDMA National Disaster Management
Standardization Authority
108 IVRS Interactive Voice Response System 146 NEFT National Electronic Funds Transfer
109 JBO Jute Batching Oil 147 NFCCU New Fluid Catalytic Cracking Unit
110 JV Joint Venture 148 NGO Non Governmental Organisation
111 KPI Key Performance Indicators 149 NGT National Green Tribunal
112 kWh Kilowatt Hour 150 NOX Nitrous Oxides
113 LAM Limits Of Authority Manual 151 NRI Non Resident Indian
114 LDAR Leak Detection And Repair 152 NSCI National Safety Council Of India
115 LDO Light Diesel Oil 153 OCB Overseas Corporate Body
116 LED Light Emitting Diode 154 OEM Original Equipment Manufacturer

123
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

Abbreviations

Sr No. Abbreviation Full Form Sr No. Abbreviation Full Form


155 OFCCU Old Fluid Catalytic Cracking Unit 177 SBU Strategic Business Unit
156 OHC Occupational Health Center 178 SDG Sustainable Development Goals
157 OISD Oil Industry Safety Directorate 179 SEBI Securities And Exchange Board Of
158 OMC Oil Marketing Company India

159 ONGC Oil And Natural Gas Corporation 180 SOx Sulphur Oxides

160 PAT Perform, Achieve And Trade 181 SPCB State Pollution Control Board

161 PDS Predesulphurisation Section 182 SPM Suspended Particulate Matter

162 PLC Programmable Logic Controller 183 SRFT Standard Refinery Fuel Tonnage

163 PME Periodic Medical Examination 184 STP Sewage Treatment Plant

164 PMGKY Pradhan Mantri Garib Kalyan Yojana 185 tCO2e Tonnes Of Carbon Dioxide
Equivalent
165 PMUY Pradhan Mantri Ujjwala Yojana
186 TDS Tax Deducted At Source
166 PNGRB Petroleum And Natural Gas
Regulatory Board 187 TKL Thousand Kilo Litre

167 POSH Prevention Of Sexual Harassment 188 TMT Thousand Metric Tonnes

168 PRP Performance Related Pay 189 TReDS Trade Receivables Discounting
System
169 PSA Pressure Swing Adsorption
190 UNGC United Nations Global Compact
170 PSPB Petroleum Sports Promotion Board
191 VLSFO Very Low Sulphur Fuel Oil
171 QA Quality Assurance
192 VOC Volatile Organic Compounds
172 QR Quick Response
193 VR Visakh Refinery
173 R&D Research & Development
194 VRS Vapour Recovery System
174 RMSC Risk Management Steering
Committee 195 VRU Vapour Recovery Unit

175 ROU Right Of Use 196 VTS Vehicle Tracking System

176 RTI Right To Information 197 VVSPL Visakh Vijayawada Secunderabad


Pipeline

124
Sustainability Report 2020-21
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भयारत सरकयार

मंत्रिमंडल सत्िवालय
लोक त्िकायत त्िदेिालय
क्या आप अनसूलझी शिकया्तों से परे ियान हैं ?
आप लोक शिकायत निदे िालय के काय्य क्ेत्र के अंतर्यत मंत्रालयों /विभागों और संगठिों से
संबंधित शिकायतों के समािाि के शलए लोक शिकायत निदे िालय की सहायता ले सकते हैं।
वपछले कुछ सालों में , इस निदे िालय दिारा उठाई गई लगभग िबबे प्रनतित शिकायतों का
संतोषजिक समािाि ककया गया है ।

अपनी शिकया्त दर्ज करयाने से पहले कृप्या नीचे दी गई िततों को ध्यानपूरक


्ज पढें :-
• आपिे अपिी शिकायतों को समबधित विभाग के समक् समािाि हे तु प्रसतुत कर शलया हो।
• आपकी शिकायत सेिा मामले ( ग्ेचयुटी,जीपीएफ इतयादद जैसे सेिांत दहतलाभों के भुगताि के अलािा) संबंधित विभाग
के मंत्री के सतर पर निपटाए गए मामले, िाणिज्यक अिुबंि,नयायािीि मामले. ऐसे मामले जहां निि्यय लेिे के शलए
अद्यिनयानयक पधदनत और अपीशलय प्रकरियाएं नििा्यररते की गई है . आरटीआई मामले, िाशम्यक मामले से संबंधित ि हो।
• ककसी भी प्रकार के सुझाि को शिकायत रुप में िही मािा जाएगा।

लोक शिकया्त ननदे ियाल् के कया््जक्ेत्र के अंतग्जत आने रयाले मंत्रयाल्ों/ वरभयागों/संगठनों की सूची

(क) रे ल मंत्रालय (ज) साि्यजनिक क्ेत्र के बैंक

(ख) डाक विभाग (झ) साि्यजनिक क्ेत्रों की बीमा कंपनिया

(ग) बीएसएिएल और एमटीएिएल सदहत दरू संचार (त्र) वित्त मंत्रालय की राष्ट्ीय बचत सकीम
विभाग

(घ) ददलली विकास प्राधिकरि, भूशम और विकास का- (ट) श्रम और रोजगार मंत्रालय के अंतग्यत कम्यचारी
या्यलय, सीपीडबलयूडी और समपदा निदे िालय सदहत रा्य बीमा निगम नियंत्त्रत ईएसआई असपताल और
िहरी विकास मंत्रालय | औषिालय |

(ठ) कम्यचारी भविष्य निधि संरठि

(ङ) पेट्ोशलयम और प्राकृनतक गैस मंत्रालय, इसके साि्य- (ड) विदे ि मंत्रालय के अंतग्यत क्ेत्रीय पासपोट्य प्राधिकरि
जनिक क्ेत्र के उपरिम सदहत

(च) भारतीय विमािपत्ति प्राधिकरि और एअर इंडडया (ढ) सिास्थ और पररिार कलयाि मंत्रालय के अंतग्यत
सदहत िागर विमािि मंत्रालय केंद्ीय सरकार सिास्थ योजिा

(छ) केंद्ीय माधयशमक शिक्ा बोड्य, केंद्ीय विदयालय (ि) पय्यटि मंत्रालय
संगठि, राष्ट्ीय मुकत विदयालयीय संस्थाि, ििोदय
विदयालय सशमनत, केंद्ीय विशिविदयालय समविशि- (त) युिक काय्यरिम मंत्रालय
दयालय(केंद्ीय) और मािि संसािि विकास मंत्रालय
(्थ) पोत पररिहि, सडक पररिहि और राजमाग्य मंत्रालय
की छात्रित्त
ृ ी सकीमें ।

िोट: आप हमारी िेबसाइट हमसे यहां संपक्य करें :-


http:// dpg.gov.in पर सधचि
अपिी शिकायत दज्य कर सकते है । लोक शिकायत निदे िालय
आप अपिी शिकायत, संपूि्य सूचिा दस ू रा तल, सरदार पटे ल भिि, संसद माग्य, िई ददलली- 110001
और संगत दसतािजों के सा्थ दरू भाष : 011-23743139, 011-23741228, 011-23363733
हमें डाक/फैकस फैकस : 011-23345637
या ईमेल दिारा भेज सकते है । िेबसाईट : http://dpg.gov.in

127
Hindustan Petroleum Corporation Limited | Sustainability Report 2020-21

GOVERNMENT OF INDIA

CABINET SECRETARIAT
DIRECTORATE OF PUBLIC GRIEVANCES
Unresolved Grievances Bothering You ?
You may seek help of Directorate of Public Grievances [DPG] in resolution of
Grievances relating to Ministries / Departments and Organizations under its
Purview. In last few years, nearly ninety percent of the grievances taken up by the
Directorate have been resolved favourably.

Please read carefully the conditions listed below before lodging your grievance :
• You should have exhausted the Departmental remedies for individual grievances
• Your grievance should not relate to service matter[other than payment of terminal benefits like gratuity,
GPF etc.], a case disposed off at the level of Minister of the concerned Department, commercial contract,
a subjudice case, a case where quasi-judicial procedures and applellate mechanisms are prescribed for
decision making, RTI matter, Religious matter.
• Suggestion of any sort will not be treated as grievance.

List of Ministries /Departments/Organizations under DPG’s purview


[a] Ministry of Railways [i] Public Sector Banks
[b] Department of Posts [j] Public Sector Insurance Companies
[c] Department of Telecommunications including [k] National Saving Scheme of Ministry of Finance
BSNL and MTNL
[d] Ministry of Urban Development including Del- [l] ESI Hospitals and Dispensaries directly con-
hi Development Authority, Land & Develop- trolled by Employees State Insurance Corpo-
ment Office, SPWD and Directorate of Estates ration under Ministry of Labour and Employ-
ment
[e] Ministry of Petroleum and Natural Gas includ- [m] Employees’ Provident Fund Organization
ing its Public Sector Undertakings
[f ] Ministry of Civil Aviation including Airports [n] Regional Passport Authorities under Ministry
Authority of India and Air India of External Affairs
[g] Ministry of Shipping, Road Transport and [o] Central Government Health Scheme under
Highways Ministry of Health and Family Welfare
[h] Ministry of Tourism [p] Central Board of Secondary Education, Ken-
driya Vidyalay Sangathan, National Institute of
Open Schooling, Navodaya Vidyalaya Samiti,
Central Universities, Deemed Universities
[Central] and Scholarship Schemes
[q] Ministry of Youth Affairs

Note : You can lodge your Contact us at :


Grievance online on our website The Secretary
http://dpg.gov.in. Directorate of Public Grievances
You may also 2nd Floor, Sardar Patel Bhawan, Sansad Bhawan, New Delhi 100001
send your grievance to us by post or Tel : 011-23743130, 011-23741228, 011-23363733
fax with complete information and Fax : 011-23345637, e-mail : secypg@nic.in
relevant documents Website : http://dpg.gov.in

128
SUSTAINABILITY
PERFORMANCE 2020-21
Environmental
27,125 SRFT 43.95 MWp 19.1 MMT
Energy conservation Solar power Pipeline
at refineries capacity throughput

6.18% 17.05 Crore kWh 100 LOIs


Ethanol blending Wind energy Released for
achieved generation setting up
CBG Plants

Social
30.08 Million Project Nanhi
Safe Man-Hours Kali: 9,818
Best ever safety record Girl children supported
at Mumbai Refinery in backward areas

28.49% Project Adapt: 200


Procurement Special children provided education,
achieved from MSEs therapies and vocational training

` 156.35 Crore 3.81 Crore Refills


Expenditure Delivered to beneficiaries
on CSR activities of PMGKY scheme

Economic
` 2,73,115 Crore ` 10,664 Crore 16.42 MMT
Total Revenue Profit After Tax Crude Thruput

` 95,333 Crore 104% 36.6 MMT


Contribution to Achieved combined Sales Volume
Exchequer capacity utilisation
at refineries
Hindustan Petroleum Corporation Limited

Petroleum House, 17, Jamshedji Tata Road,


Churchgate, Mumbai – 400 020

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