HCLTech surges ahead in sustainability: 25% emission reduction achieved, aims for net-zero by 2040

In a remarkable milestone for sustainability, HCLTech has reported a substantial 25% reduction in its Scope 1 and 2 emissions during the fiscal year 2024 (FY24), as part of its long-term commitment to achieving net-zero emissions by 2040. This reduction, calculated from the company’s 2020 baseline, has outpaced the Science-Based Targets initiative (SBTi)-verified reduction pathway by 5%, highlighting its dedication to environmental stewardship.

Moreover, HCLTech has also recorded a 29% reduction in Scope 3 emissions, which covers indirect emissions from activities such as employee commuting and purchased goods. These figures signify the tech giant’s aggressive push towards meeting and exceeding global climate action standards. By reducing both direct and indirect emissions, HCLTech is positioning itself as a sustainability leader in the technology industry.

Alongside these emission reductions, HCLTech has made notable strides in energy management. The company achieved a 26% decrease in overall energy consumption and now meets 19% of its energy needs through renewable sources. By 2030, HCLTech aims to transition 80% of its electricity consumption to renewable energy and plans to reach zero waste to landfill by 2025 at all owned facilities.

In India, the company’s operations are notable for their water management efforts. HCLTech replenished 32 times the water it consumed, a staggering contribution towards water conservation. The tech firm also planted 2.1 million trees and harvested over 81 billion liters of water, emphasizing its commitment to enhancing community and environmental health.

These sustainability efforts are underpinned by HCLTech’s broader corporate initiatives. For instance, its HCLTech Sustainability School, launched in 2022, has provided over 15,700 training hours to employees, helping to foster a culture of environmental responsibility across the company. The HCLFoundation has also been instrumental in advancing community initiatives, positively impacting over 6.5 million lives across India.

HCLTech’s contributions extend globally, with the launch of the HCLTech Americas Grant Program. The program will invest $5 million over five years to support nonprofit organizations working on innovative projects aimed at combating climate change, restoring ecosystems, and enhancing biodiversity across the Americas.

Beyond environmental actions, the company has been recognized for its strong governance practices. Its AI Risk Management framework and a dedicated AI Governance Committee reflect its focus on ethical technology practices, ensuring compliance with global standards. With recognition from leading ESG rating agencies such as CDP, MSCI, and S&P, HCLTech continues to earn accolades, including an ‘A-‘ rating for climate change efforts and a place among the World’s Most Ethical Companies for 2024.

Expert Insight: The Significance of HCLTech’s Achievements

Environmental experts agree that the actions taken by major corporations like HCLTech are crucial in meeting global climate goals. HCLTech’s success in exceeding SBTi-verified pathways is not only a technological achievement but also a powerful statement about the importance of aligning corporate sustainability with global climate science. The transition to renewable energy sources and the focus on zero waste initiatives show that the company is building long-term sustainability into its business model.

HCLTech’s journey to net-zero emissions by 2040 demonstrates a leadership position within the technology sector. Industry watchers are eager to see if HCLTech’s model can be replicated by other large corporations as the world seeks more aggressive climate actions.