Climate Risk Assessment and Management
Climate Risk Assessment and Management at Greenko entails proactive and systematic identification and analysis of climate change risks to Greenko’s operations. Greenko is evaluating climate change risks at intervals across all its operating sites.
Climate Risk Governance
The Company’s climate change strategy addresses both adaptation and mitigation.
- Adaptation - The Company evaluates the impact of climate change on its operations and adopts a more modernised, innovative, flexible, and resilient system.
- Mitigation - The Company focusses on reducing greenhouse gas emissions in its operations and value chain.
Further, Greenko’s business growth is architected to mitigate emissions in Energy and Industry-addressing the challenges in hard-to-abate sectors.
Climate Risk Assessment
Greenko has performed an impact assessment of various climate change scenarios in 2020, including the policy scenario of acceleration of renewable energy adoption by the Government of India and the physical scenario of climate change RCP 4.5. This modelling output is also used for evaluating new assets and technologies.
- Physical Risk - Greenko evaluates physical climate risk to its assets and the electric system. The possible material impacts on installations, including the uncertainties in resource availability for generation constitute physical risk.
- Transition Risk - The risk associated with the process of global decarbonisation and its reflection in India (regulatory changes, market prices, technological, reputational, etc.)
Risk Mitigation Measures
Greenko’s risk mitigation measures include:
- periodically monitor and identify short-term climate changes such as temperature, precipitation, wind speeds, extreme weather events and plan mitigation measures in operations which in many cases is reinforcing disaster prevention and impact minimisation.
- proactively protect and minimise the effects of climate change on Greenko’s assets due to change in resource pattern viz., wind speeds, radiation and river flows and the surrounding community, and
- appropriate weather insurance covers to protect the assets from the extreme weather events.
- Reduce GHG Emissions as per our Net Zero by 2040 plan.