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“Recycling is integral to achieving zero carbon emissions”: B. Padmanabha, Toyota Kirloskar Motors

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Toyota Kirloskar Motor (TKM) is setting new standards in environmental sustainability through its wide-ranging initiatives. At the heart of their efforts is the Toyota Ecozone, an innovative project designed to educate the public on environmental conservation. Beyond that, TKM has committed to achieving carbon neutrality by 2050 under its Toyota Environment Challenge 2050 roadmap.

In their quest for a zero-waste, circular economy, TKM boasts a recycling rate of 96% for end-of-life vehicles, achieved through waste segregation, recycling practices, and even a pilot facility for eco-friendly dismantling.

In this interview with TheCSRUniverse, Mr. B. Padmanabha, Associate Executive Vice President and Director at TKM, discusses the company’s holistic approach towards building a sustainable future.

Scroll down to read the full interview:

Q. Tell us about the Toyota Ecozone initiative. How do you blend the idea of a theme park with learning? Also, what kind of learning outcomes do you anticipate achieving from this initiative?

A. The Toyota Ecozone initiative is a one of its kind eco learning projects designed to raise environmental awareness and educate the public about sustainability in an engaging and interactive manner. It blends the concept of environmental theme park with educational experiences by offering various exhibits, interactive displays, and hands-on activities that focus on different aspects of ecology, waste management, renewable energy,water conservation, sustainable living and more. Through ecozone, TKM focuses to cultivate good eco behavior amongst young minds and develop them to become eco champions who further influence the community around them to protect the environment.

The activities at ecozone such as interactive games, simulations, and real-life demonstrations help convey complex environmental concepts in effective, simple and easily understandable methods.

Ecozone Learning Outcomes:

- Increased awareness and understanding of environmental issues and sustainable practices.
- Enhance deeperknowledge about various elements of eco concepts through interactive engagement methods
- Encouragement of eco-friendly behaviour and lifestyle choices among visitors.
- Development of a sense of responsibility towards environmental conservation inculcate positive behaviour and influence the community to adopt sustainable living and practices.

Q. Environmental sustainability is rapidly becoming a crucial component of business strategy, more so for the automotive industry. What are the most important steps taken by TKM in this direction?

A. Toyota's commitment to environmental conservation is deeply embedded in our culture. Our vision, philosophy, and guidelines reflect our dedication to a sustainable future. In line with the principle of ‘Respect for the Planet,’ Toyota launched the ‘Toyota Environment Challenge 2050’ in October 2015. This initiative comprises six environmental challenges, including achieving lifecycle zero carbon (CO2) emissions, which extend beyond our vehicles and manufacturing activities to encompass the entire value chain, and creating a net positive impact by establishing a recycled-based society in harmony with nature.

Toyota Kirloskar Motor (TKM) is committed to harmonising its manufacturing activities with the environment based on the concept of ‘a plant that optimally utilises natural resources while operating in harmony with the natural environment.' TKM has achieved 100% renewable energy utilisation for grid electricity by installing in-house solar panels, a Group Captive Solar and Wind Renewable Energy Project through a Joint Venture, and a Power Procurement Agreement. We have installed solar reflectors, along with heat pumps replacing boilers, accelerating our progress towards zero carbon emissions from manufacturing.

We have reduced freshwater usage in manufacturing by 89% through water consumption optimisation, wastewater recycling, and rainwater harvesting systems with a total capacity of 51,000 m3.Significant progress has been made in reducing CO2 emissions across the entire vehicle lifecycle (compared to 2013 levels) by promoting activities such as the Green Supply Chain, Eco-Dealerships, and Green Logistics.

Recycling is integral to achieving zero carbon emissions. We have adopted effective waste management practices at our plants, enhancing the recyclability of waste to 96% for end-of-life vehicles. Additionally, TKM has established a pilot facility for eco-friendly dismantling, ensuring that 96% of each vehicle is recycled.Large-scale afforestation efforts within TKM premises have resulted in over 328000 trees across 112 acres, encompassing more than750 plant species.

On the technological front, we follow a multi-pathway approach, working towards the rapid introduction of a full range of electrified and alternative energy vehicles. These include Strong Hybrid Electric Vehicles, Plug-in Hybrid Electric Vehicles, Battery Electric Vehicles, Fuel Cell Electric Vehicles, and Electrified Flex-fuel Vehicles. This strategy supports mass electrification with a focus on ‘Make in India’ and carbon emission reduction, aligning with national goals.

Furthermore, TKM implements a holistic approach to realising a ‘Carbon Neutral Society’ by sharing key learnings, experiences, and best practices across its value chain, including society at large. The “Eco-Zone” is an example of this effort, aiming to develop eco-champions, especially among young minds. Located at the Bidadi plant facility, this 25-acre centre features 17 theme parks and houses 750 different species, attracting over 414 faunal species. To date, the outreach has reached over 42,000+ students & other stakeholders, with future plans to engage 10,000 more students annually.

Q. Toyota Kirloskar Motor (TKM) has promised itself a target of achieving Carbon Neutrality by 2050 under the TEC 2050 initiative. Can you run us through the roadmap of your efforts in this direction?

A. TKM’s roadmap towards achieving Carbon Neutrality by 2050, under the Toyota Environmental Challenge 2050 (TEC 2050), includes various strategic initiatives. One key focus area is the adoption of renewable energy (RE) with increasing use of solar, wind, and other renewable energy sources for manufacturing operations whereinthe company has already achieved 100% RE in grid electricity (since 2021).

Another vital element is enhancing energy efficiency. TKM has been implementing energy-efficient technologies and processes across all its operations, accompanied by regular energy audits to identify and address through continuous improvements. This approach ensures that energy usage is optimised, and wastage is minimised. Furthermore, water conservation, waste management, and afforestation including eco learning concept are also an important element under TKM’s sustainable initiatives as mentioned above.

In terms of vehicle technology, the company promotes the adoption of various green mobility solutions. TKM follows a multi-pathway approach, working towards the rapid introduction of a full range of electrified and alternative energy vehicles. These include Strong Hybrid Electric Vehicles, Plug-in Hybrid Electric Vehicles, Battery Electric Vehicles, Fuel Cell Electric Vehicles, and Electrified Flex-fuel Vehicles. This strategy supports mass electrification with a focus on ‘Make in India’ and carbon emission reduction, aligning with national goals.

Notably, sustainable supply chain practices remain one of the key priorities for TKM. The company collaborates closely with suppliers to ensure sustainable practices and reduce the carbon footprint across the entire supply chain. Robust monitoring and reporting systems are implemented to track and manage supply chain emissions effectively. Such concept implementation is undertaken at the dealerships under the concept of environment management system (EMS).

Q. Industrial wastage is high in your industry. What kinds of initiatives is TKM taking to counter the waste? Do elaborate on your recycling efforts.

A. TKM strives to achieve zero waste to landfill by maximising recycling and recovery of waste materials, conducting regular audits and assessments to identify opportunities for waste reduction and recycling.TKM has implemented several initiatives to counter industrial waste and promote recycling. A comprehensive waste management system is in place, focusing on reducing, reusing, and recycling waste materials. This includes the segregation of waste at the source to ensure proper disposal and recycling.

In addition to waste management and recycling programs, TKM embraces circular economy practices. This involves designing products with recyclability in mind and encouraging the use of recycled materials in manufacturing processes. These comprehensive efforts demonstrate TKM's commitment to minimizing industrial wastage and promoting sustainability.

Q. Scope 3 emissions constitute a large part of GHG emissions. Tracking it also tends to be more complicated as it requires you to analyse your supply chain activities. How are you addressing this issue at TKM?

A. Towards environmental sustainability goals, we at TKM are actively involved with our supply chain including logistics & dealers. We have green purchasing guidelines for our suppliers based on which TKM evaluates their activities on environmental criteria. At our suppliers, dealers & logistics operations end, the carbon emissions are monitored monthly, and the targets are managed in accordance with TKM’s five-year action plans. Further, the value chain has set targets to reduce their environmental footprints, and TKM continuously engages& supports them by sharing best sustainability practices in achieving the environmental goals.

We have a dedicated subcommittee under purchase, dealers & logistics who drive emission reduction in supply chain. These subcommittees meet on a bi-annual basis to review the activities and are headed by top management of TKM.

Q. How does the organization stay informed about emerging social and environmental challenges in India? Does it foster partnerships with NGOs, government agencies, and other stakeholders to leverage diverse expertise and resources for innovative solutions?

A. TKM also fosters partnerships to leverage diverse expertise. The company collaborates with NGOs, government agencies, academic institutions, and other stakeholders undertaking various pilot studies aimed at creating widespread awareness on sustainable mobility (e.g. well-to-wheel assessment).

TKM stays informed about emerging social and environmental challenges in India through regular engagement with industry forums, conferences, and seminars. This proactive approach ensures that the organization remains updated on the latest trends, challenges, and opportunities in the sustainability landscape. Monitoring policy developments and regulatory changes is another crucial aspect, enabling TKM to ensure compliance and adaptability to new regulations. Conducting stakeholder consultations and community feedback sessions also helps TKM understand local issues and concerns, allowing for more informed decision-making. Having said that, every environmental sustainability and social efforts are independently driven and implemented by TKM.

Q. What are the long-term sustainability goals of TKM?

A. TKM is committed to sustainability, environmental responsibility, and innovation, striving for carbon neutrality and aligning with national objectives be it shifting away from fossil fuels, contributions to lowering import bills, achieving energy independence, and reducing CO2 emissions. The company continues to enhance clean mobility by adopting multiple vehicle technology pathways, including alternative fuels. Stakeholder engagement is central to TKM’s environmental advocacy, integrating ecologically sound practices across its business ecosystem. Initiatives encompass eco-consciousness campaigns, plantation and clean-up drives, the ‘No Plastic’ campaign, water usage reduction, recycling efforts, and lowering carbon footprints across the entire value chain, products, services, and manufacturing operations. TKM aims to achieve ‘Zero Carbon Emission in its Manufacturing Operations’ before the globally set target year of 2035.

Guided by Toyota’s core principles, TKM continues to steer towards the creation of a carbon-neutral society “Leaving no one behind”. This commitment is key to providing sustainable mobility to all and delivering ‘Mass Happiness’

Q. Are there any specific areas you focus on in terms of your CSR activities?

A. CSR has been integral to TKM's philosophy, focusing on scalability and sustainability across key themes: Education, Environment, Hygiene, Health, Road Safety, and Skill Development. Over the years, TKM has undertaken numerous initiatives to enhance access to quality education in Karnataka. Through various efforts, TKM also provided safe and conducive learning environments by focusing on early childhood care, strengthening capacity building to deliver quality education through “Anganwadis,” promoting inclusive education for special needs children, and building modern school infrastructure in rural areas of Karnataka.  TKM remains committed to introducing more enriching and sustainable CSR projects aimed at the holistic development of community.

Some of the recent initiatives include in line with its commitment to support the growing healthcare needs of the local include a recently constructed Primary Health Centre (PHC), Community Health Centre in Bidadi, Karnataka with exclusive oxygen-generating plant, delivering specialized care. Additionally, school-based health and hygiene programs like ABCD (A Behavioural Change Demonstration), installation of water purification units and Toyota Shaale Arogya Program, have significantly enhanced the health outcomes within the community. In the fiscal year 2022-23 alone, TKM made a positive impact covering over 64,000 individuals. Till date, TKM has positively touched the lives of more than 2.3 million beneficiaries (cumulative) through its various CSR interventions.

Q. One of your key CSR initiatives in terms of skill development is the Toyota Technical Training Institute. Could you elaborate on the in initiative?

A. On the skilling front, one of the key initiatives is the Toyota Technical Training Institute (TTTI), which was launched in 2007. TTTI has been committed to providing advanced technical education and fostering overall development among rural youth. It reinforces TKM’s commitment to empowering economically challenged students, creating world-class technicians, enhancing societal development, and employment. One of the recent initiatives to promote admission of female students, 'Toyota Kaushalya,' has been well-received by students. It offers a unique opportunity for youth to acquire skills relevant to the manufacturing industry, combining theoretical learning with on-the-job training (OJT) enhancing their employability. Furthermore, many of our employees after been trained at TTTI and TKM get the opportunity to be trained in Japan to gain hands-on experience in global environment. Moreover, the students from TTTI are performing exceptionally well in the India Skills Competition organised by the National Skill Development Corporation (NSDC). The competition, held every two years, serves as a platform for young talents to showcase their skills at regional and national levels.

The winners from TTTI have also won laurels at the World Skills Competition. One notable success is Mr. Akhilesh Narasimhamurthy, a TTTI alumnus and Mechatronics Bronze Medal winner at the 2022 World Skills Contest, who had the honour to interact with the Hon’ble Prime Minister of India, Shri Narendra Modi, during the celebration of the 3rd Anniversary of the National Education Policy program at Pragati Maidan, Delhi, on 29th & 30th July 2023 organized by the Ministry of Skill Development & Entrepreneurship. Through various skill interventions (TTTI, GTTC, ITIs, Gurukul, TITP, etc), our outreach stands at 150,000 members, so far.

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