Social and Relationship Capital Insights

Our performance in Social and Relationship Capital has a significant influence across all other capitals.

Impact

Relationships with our customers play a crucial role in our value-creation journey. The focus of our operations revolves around our statement, “To earn the affection of customers by delivering superior value and superior experience, thereby making them our ambassadors”.

We also have a 3D approach to incorporate our ‘Customer Promise’, which is communicated through our Corporate Customer Service Policy. This resonates with our commitment to continuously exceed customer expectations and be the most admired organisation in the power sector.

Our 3D approach to inculcate ‘customer promise’

Develop

Insights into customer needs

Deliver

Quality products and services

Delight

Customers with great experience

Developing insights into customer needs

We conduct Customer Satisfaction Surveys to systematically measure the satisfaction and dissatisfaction levels of our customers. These surveys are conducted through a third-party market research agency annually across all customer segments, i.e., commercial, industrial and residential. Feedback is captured in detail, collated, analysed and shared with respective Business Heads for implementation to enhance customer satisfaction.

Furthermore, this process also enables us to capture customer satisfaction levels on our value-added services like energy conservation measures, energy audits, safety audits, and demand responses. We arrive at our CSAT score by calculating the percentage of customers rating us 2 or higher (on a 5-point scale).

Caring for our customers

Caring for our customers is engrained in our DNA and forms a bedrock of all our business endeavor. It starts with addressing our customers’ data privacy concerns. We have a privacy policy (https://www.tatapower.com/) in place to address concerns about data storage and outline the measures taken to safeguard our customer information. Customers can also submit their complaints or concerns regarding data privacy through our various grievance redressal channels, which are regularly monitored. During the reporting period, we did not receive any complaints regarding customer privacy breach, or leak, theft or loss of customer data.

We also conduct mandatory annual health check ups. In addition, we ensure health and safety communication for 100% of our products and services through safety signage in and around our substations in customer premises and public places as a continuous procedure.

All our product and service categories are assessed for health and safety impacts across the lifecycle of electricity supply from generation to distribution. Safety signages are displayed at prominent locations, including the sub-stations. We also provide appropriate information to market and label our products and services with relevant regulations, laws and codes. For FY20, there have been no incidents of non-compliance with regulations or voluntary codes concerning product information and labelling as well as marketing communication.

Valuing Health and Safety of Our Customers

With Safety being one of our core ‘SCALE’ values, we extend our value-added services to our key customers to improve their health and well-being as well as create awareness on safety at the workplace. We conducted a safety training for 13 technicians of CRISIL to improve safety skills and practices.

We organised a medical camp at the Vitrum Glass Factory, where 105 employees availed medical check-ups and consultation. The camp was customised to include Lung Function Tests specifically for workmen in the glass factory. A similar camp was organised for 85 personnel of Supreme Housing & Hospitality, in association with L. H. Hiranandani Hospital and Titan Eye Plus in Powai. The camps also included additional tests in consultation with doctors for specific ailments.

Deliver quality products and services

In order to enhance value creation with our customers, we are transitioning from a B2B or a B2G towards a B2C enterprise. With unique differentiation as well as value-added services, B2C businesses will enable direct interaction with our customers.

Working with customers to improve product and service delivery

We customise our product and service delivery according to customer needs (e.g., built an aesthetic substation aligned with the design and architecture of the Mumbai International Airport) and offer customers a combination of power supply sources to minimise costs (e.g., providing solar rooftop EPC solutions to customers who draw power from the distribution grid), among others. We have also created a WhatsApp group with other utilities to swiftly communicate faults and outages.

During our interactions with customers, the key issues raised were voltage fluctuations for HV customers, higher tariff and reliability, as well as power quality. Accordingly, technical solutions based on a study conducted by IIT, Mumbai were implemented to reduce voltage fluctuations. We also implemented measures to reduce cost, which was reflected in the reduced tariff in the Multi-Year Tariff (MYT) proposal.

Our initiatives to improve product and service delivery

Issues/Concerns

Initiatives

Availability of lines

Failures and tripping of lines; quality of power

Clearances at metro crossings

Nurturing relationships through transformation

In our constant endeavour to transform the power sector, we aim to build our service business comprising distribution, rooftop, microgrids and solar pumps. We have launched several value-added services to improve energy efficiency and drive our sustainability objectives.

EV Charging

We have made significant impact in developing the EV ecosystem and encouraging EV adoption in India. We are committed to playing a key role in the nation’s transition to electric mobility.

In FY20, we partnered with Tata Motors and JLR for developing EV charging infrastructure for their customers and dealers, present in 20 cities across India. In FY20, we launched the Beta version of our software platform and mobile app which enable customers to locate EV charging stations, charge EVs and make bill payments. As on 31st March, 2020 we have installed 170 EV charging points in 20 cities. We expect to expand our network of EV charging points to 700 by 2021.

ESCO

With the accreditation of Grade 1 ESCO by the Bureau of Energy Efficiency, Government of India, we have been providing energy services for more than 10 years to the Commercial, MSME and Industrial segments. In addition to enabling customers to lower their energy consumption, we provide an entire range of energy efficiency services – from investment grade energy audit to project management, financial support and operation of energy conservation measures.

This aids our strategy to reduce wastage of energy, ensure cost efficiency for our consumers by leveraging analytics, Internet of things (IoT) and installing energy-efficient systems such as Waste Heat Recovery. The ESCO vertical also helps to substantially reduce carbon footprint.

Home Automation

Even with arrangements in place for adequate power, balancing the increasing gap between base load and peak load is very challenging for Discoms. The availability of power is uncertain due to the lack of fuel resources or congestion of the transmission network. This also results in tariff increase for customers to offset higher power purchase cost. To address this problem, we offer an IoT-based Demand Side Management (DSM) solution to both Discoms and customers for efficient management of electricity demand.

Our home automation business encourages customers to implement efficient and cost-effective solutions to minimise electricity consumption. We plan to launch the business in Delhi and Mumbai, starting with IoT devices for remote control and monitoring of home appliances like lights, fans, ACs, geysers, etc., through our mobile app, ‘EZ Home’.

Demand side management

Tata Power is a torchbearer in propagating energy conservation and efficiency, which results in substantial benefits for customers. To optimise utilisation of services provided, we proactively engage in Demand Side Management (DSM) initiatives. Together with the utility and customers, along with energy service companies or trade allies, we explore options to increase efficiency of energy utilisation and provide support for implementing appropriate solutions.

Benefits across domains

Under the ‘Be Green’ initiative, we offer Mumbai customers an opportunity to purchase energy-efficient appliances at a discount along with extended warranty and doorstep delivery. More than 8,700 such appliances were provided to consumers in FY20 with the Maharashtra Electricity Regulatory Commission (MERC)-approved rebate of ` 85 lakh. This led to cumulative energy savings of more than 6,000 MWh.

Additionally, 93 customer-owned rooftop solar plants, with 5.4 MWp capacity, were integrated with the grid. For bulk consumers, energy audits are carried out by the Bureau of Energy Efficiency (BEE) accredited auditors to provide actionable recommendations for energy savings. For FY20, energy saving recommendations of more than 3,900 MWh were provided with MERC-approved rebate of ` 12 lakh.

Delight customers with a great experience

Customer engagement and feedback

At Tata Power, we have numerous touchpoints for customers to raise their queries and concerns as well as a structured process of tracking complaints and ensuring resolution within pre-defined timelines. A mechanism of obtaining feedback post-transaction and upon complaint closure has also been established.

Our systematic complaint management process ensures that corrective action is taken on priority basis and the complaint is resolved within 24 hours.

We also have an Internal Grievance Redressal Cell, which can be approached if the customer finds the resolution unsatisfactory through the regular channels. All complaints are captured in the SAP-CRM system and are routed to appropriate departments for resolution. The stages of the complaint are also monitored with automated system generated reminders and escalation mechanisms. As of 31st March 2020, there were no customer complaints or consumer cases pending beyond the turnaround time.

Customer-centric technology development

Innovation and digitalisation are vital to sustainable growth in the power sector as well as to address our customers’ key issues and challenges. Technology also provides us a competitive edge by integrating customer centricity in our business activities. From this perspective, we have developed and implemented various initiatives.

Our Responsible Supply Chain Management (RSCM) Policy (https://www.tatapower.com/corporate/policies.aspx) is an important indicator of our commitment to sustainable and responsible growth. It is another indicator of our commitment to uphold key ESG parameters while striving for sustainable and responsible growth. Our suppliers and contractors, both domestic and international, are required to comply with the RSCM policy, covering Environment, Health & Safety, Human Rights, and Ethics & Compliance parameters. We ensure that they adhere to our policies on emission, environmental regulations, provisioning a safe and healthy work environment, and prohibiting child labour, among others.

The Tata Code of Conduct also covers our relationships with our stakeholders, including our suppliers. It acts as a guiding principle ensuring fair and transparent selection of suppliers and the criteria that govern their selection. Supply chain management at Tata Power is also governed by a procurement policy which caters to multiple business requirements.

These processes are implemented by distinctive structuring of verticals for Fuel Sourcing, Material & Services Procurement, Material Management and Inventory Management. We follow a stringent selection process of business associates based on credentials and past services and/or material quality. For FY20, there were no significant changes to the organisation’s size, structure, ownership or supply chain.

Our supplier screening/assessment process

We, at Tata Power, recognise that our customers, employees and partners have a subsequent impact on the environment and community. Our ESG evaluation ensures that our suppliers endorse the need for adherence to environmental, social and governance policies that are also consistent with the values of Tata Power. In order to implement this, we make sure that our vendors/contractors/suppliers are on the same platform and undertake sustainable practices in their business activities.

Vendors are assessed based on specific ESG parameters with a preferred above average score greater than 50 eligible for onboarding. For FY20, 100% of our new suppliers, with a purchase order (PO) value above ` 5 crore were screened through these ESG criteria. These vendors represent 83% of the total value of POs issued in FY20. None of the suppliers were found to have significant actual and/or potential negative social impacts.

We also take initiatives to enhance skill and capacity development of the local workforce and community that are present in our supply chain. For example, the contract workforce is trained at TPSDI on multiple industrial vocations and safety aspects to enhance their skill and efficiency in work practices. We thus contribute to the capability building of our contractors and their workforce, so that they are adequately trained to safely perform the job along with a higher level of productivity and quality standards.

As part of our Affirmative Action (AA), we ensure inclusion of vendors from SC/ST communities in business opportunities, which is driven by the Corporate Contracts department with a single point of contact at the corporate level as well as division/site level. The AA process for vendor enlistment and ordering was primarily deployed to encourage and evolve entrepreneurship skill among the communities and enable them to be part of the ecosystem.

Sustainable and local sourcing

Tata Power practises responsible sourcing with respect to environment, safety, human rights and ethics, apart from economic considerations. Strict conformation to labour principles and related laws are mandatory requirements for all our suppliers to qualify. Work method and standards, along with performance of supply and services, form a critical part of our technical evaluation. In addition, safety evaluation and qualification are an integral part for the award and online vendor registration process.

Tata Power’s CSR programmes and impact assessments

Our Corporate Social Responsibility policy guides our CSR activities. Feedback on our CSR programmes are incorporated through independent monitoring and evaluation frameworks that have been adopted to ensure refinement of our initiatives. The overall impact of our CSR initiatives is measured through the Community Engagement Index (CEI) tool, which is used to determine engagement levels of various stakeholders across the stages of CSR intervention. The CEI survey conducted in FY19 showed 84% achievement against the score of 82% in the previous year. Additionally, we have also conducted an Independent Social Return on Investment study for three flagship initiatives, and year-on-year trend analysis indicated an increase in return by ` 5.04 on every rupee spent (70% improvement on y-o-y basis). The methodology used was based on the global framework of Social Value – The SROI Network, UK.

Our CSR initiatives are categorised into five thrust areas through which we also aim to improve the quality of life at the household level. These programmes reach out to 27.10 lakh beneficiaries across 348 villages and 220 urban clusters spanning 15 states. We focus on achieving synergy, scale and simplification for process improvements.

Financial inclusion forms an essential aspect of our vision to augment inclusive growth. The initiatives under this thrust area are aligned with various government schemes for benefits towards communities below poverty line (BPL).

The Adhikaar programme is an interlinked socio-economic and scheme-based initiative that aims to inform, enable and empower marginalised communities. The programme also involves self-help groups (SHGs).

Under this thrust area, our initiatives include:

The Vidya initiative focuses on remedial coaching for school children as well as digital education and training of teachers. This has also strengthened the transformation of school management committees.

Tata Power was recognised for promoting maternal and child health initiatives as part of the World Breastfeeding Week (August 2019) by the World Agency on Breastfeeding Alliance (WABA). We also observed the National Nutrition Week across locations at Anganwadi centres for promoting local food models.

Community Led Total Sanitation (CLTS)

CLTS is a behavioural change programme that follows an integrated approach to enabling and sustaining an open defecation free (ODF) status in villages. It focuses on behavioural change and community mobilisation, rather than on hardware/ monetary support/subsidy approach. It brings about a change in the community thought process to analyse their sanitation and waste situation to influence collective decision-making and stop open defecation. Awareness is increased through sensitisation and strong messages on the negative outcomes and ill impacts of open defecation and unhygienic living conditions. This is communicated through art, street plays, storytelling as well as capacity building for masons.

Our CSR programme has adopted a dual approach to address water availability for drinking and household purposes. It also aims to undertake demand and supply-side management for agriculture through Participatory Ground Water Management (PGWM) and efficient use of water through innovative conservation techniques.

The PGWM system deals with water management and supply with programmes to harvest rainwater and maintain water level, which is scaled across eight locations in seven states. We utilised funds worth ` 2.5 crore from NABARD and Win Watsan Foundation to demonstrate PGWM at the Kankavati Sandstone Aquifer of coastal Kutch in collaboration with ACT, Coastal Gujarat Power Limited (CGPL), and Geo Science Services (GSS).

Under this thrust area, our initiatives include:

Initiative in focus: DHAAGA

Dhaaga is a women-based micro-enterprise initiative of Tata Power. This initiative has led to the promotion of local talent and conservation of traditional art form. It also facilitates skilling for garment and handicraft making to augment household income. The Rabari women artisan and tribal Santhal women of Gujarat and Jharkhand, respectively, are engaged in this initiative. We also launched Dhaaga retail outlets in November 2019 in Delhi and Pune and formed market linkages with Okhai Indian Hotels, Tata Motors, Amar Kutir Society, Kalaraksha, and other corporate offices. We have augmented the outreach digitally via Amazon Saheli and the Dhaaga Instagram page.

Initiative in focus: DAKSH

The initiative aims to augment skill building among the unskilled youth who represent a substantial number of dropouts. Various vocational courses such as beauticians, industrial trading and nursing, among others, are imparted. Daksh covers 11 locations primarily focusing on girl trainees. Post-training placement is at 80% with an average salary of ` 8,000 - ` 10,000 a month.

Initiative in focus: SAMRIDDHI

The initiative creates opportunities for communities, particularly farmers, to build assets, adopt new livelihoods and seek new opportunities for themselves and their families. These opportunities are provided through agricultural practices and employability for farmers and fishermen.

Delight Mushroom and X-Compost address farm-based livelihoods. The objective of Delight Mushroom is to increase mushroom cultivation. The objective of X-Compost is to empower farmers and SHGs by scaling up vermicompost practices for better agri yield.

With focus on skill building to meet job market needs, promoting sustainable agriculture and fishery practices, and channelling energy through sports, the initiative has had significant beneficial impact on the livelihood of youth, farmers and fishermen.

The following actions were taken to ensure active awareness of our people and help communities during the COVID-19 pandemic:

Awareness generation on social distancing and distribution of hygiene kits to villagers and migrant workers across 13 states
Uninterrupted water supply through water ATM run by community
Facilitation of 53 Hunger Relief Support Centres to ensure provision of essential items and food packets
Two mobile dispensary vans deployed to create awareness among slum clusters
Uninterrupted supply of drinking water for transient fishermen and other migrants
Coordination with local authorities for converting academic institutes into quarantine and isolation centres
Supply and spray of disinfectant in peripheral villages of Jharkhand
Distribution of grocery items (flour, salt, sugar, tea, spices, lentils and potatoes) for daily wage workers

Affirmative Action Policy

As part of our Affirmative Action (AA) policy, we work with the marginalised and disadvantaged communities. It covers tribal villages, vulnerable children who need care as well as communities in need of protection and improvement in the quality of life. Tata Power works towards upholding rights and entitlements through various initiatives for the socio-economic development of communities. The initiatives under this policy are in addition to the five thrust areas of the CSR programme and focus on the five prime areas of Education, Employability, Employment, Entrepreneurship and Essential Amenities.

Reaching beyond its neighbourhood, Tata Power implemented an integrated community empowerment programme in Kadachimate village of Jawhar Block (Palghar district). Being primarily a Tribal dominated area with poor development indicators, we undertook the following initiatives:

Volunteerism at the heart of our community welfare

At Tata Power, we encourage volunteers in our CSR initiatives. We launched an employee volunteering portal, ARPAN, which resulted in a 250% increase in volunteering hours. ARPAN was launched with the objective of providing our employees an avenue to actively participate and contribute to social causes across all locations.

FY20 volunteering highlights

Beyond our thrust areas: Club Enerji

The Tata Power Club Enerji, launched 12 years ago, is a sustainability initiative that aims to create awareness among school students on energy and resource conservation.

The programme is based on the four-stage model of Educate (sensitise school children about energy conservation practices), Engage (empower energy champions to spread awareness among peers and the community), Enhance (enthuse schools to participate and contribute to Club Enerji initiatives), and Empower (create self-sustaining mini clubs to lead the movement).

The initiative also reached out to digital audiences through its website, social media and online module themed ‘Save water’. In FY20, we initiated four new campaigns – ‘I have the Power’, ‘ILiveSimply’, ‘#SwitchOff2SwitchOn’ and 'I Can' – to further the success of Club Enerji among the youth. These campaigns were also promoted on popular social media platforms to reach to a larger section of the targeted audience.

Our accomplishments and recognitions

Excellence is at the core of Tata Power’s operations, which has been regularly recognised by the market and industry globally. Tata Power and its subsidiaries have excelled in a range of domains like Health & Safety, Employee Well-being, Gender Diversity, CSR, Quality, Energy Conservation, Risk Management, Procurement, and Skill Training.

Tata Power won multiple awards at the ACEF Asian Leaders Forum and Awards ceremony held on 28th September 2019. The awards were won for CSR, Branding and Marketing activities and took home three gold, two silver and one bronze category awards for several of our campaigns such as #ThisIsTATAPower, Tata Power Club Enerji, #SwitchOff2SwitchOn and more
Civil & Estate Division of Tata Power won gold at the International Convention for Quality Concepts 2019, Tokyo, Japan
TPDDL has been recognised amongst India's Top 75 Workplaces for Women 2019
Tata Power's Chief Sustainability Officer, Shalini Singh, named Asia's Top Sustainability Superwoman for 2019
Tata Power was awarded at the 10th CII ENCON Awards for energy conservation
Tata Power was awarded for 'Procurement Excellence' at SAP ARIBA Customer Success Day, Mumbai
Tata Power was honoured with The CSR Journal Excellence Award for Education & Skill Training
Tata Power's Mumbai Distribution team won the theme of "Digitisation" Practices in the sector of "Services" at the 7^th CII National Excellence Practice Competition 2019
Tata Power won the platinum award for Occupational Health & Safety from the Indian Chamber of Commerce
Directorate of Vocational Education & Training, Government of Maharashtra felicitated Tata Power for its efforts in vocational education and training
Tata Power recognised for addressing challenges of open defecation by Government of Netherlands
TPSDI was honoured at the 6th Global Training & Development Leadership Awards for 'Excellence in Training & Development'
Tata Power won two awards at the Global CSR Excellence & Leadership Awards 2019
Tata Power was ranked among the top 10 companies in 2019’s Indian Corporate Governance Scorecard, which is developed jointly by BSE Limited, the International Finance Corporation and Institutional Investor Advisory Services India Limited (IiAS), with the financial support of the Government of Japan
Tata Power won two awards - the 'Best Risk Management Framework & Systems - Power' and 'Business Continuity' – the 5th Edition of The India Risk Management Awards 2019
Tata Power won two awards at the 58th Annual Association of Business Communicators of India Awards
Tata Power won twin honours at the Central Board of Irrigation and Power (CBIP) Awards, 2019
Tata Power won the prestigious Global Edison Awards under "Social Innovation (Social Energy Solutions)" category for its 'Club Enerji - #SwitchOff2SwitchOn' campaign
Tata Power was ranked as One of India's Most Respected Companies by Business World
Coastal Gujarat Private Limited awarded Environment Excellence Award by the Indian Chamber of Commerce
TPSSL won the Gold Award for “Rooftop Solar EPC Company of the year” at the India Rooftop Solar Congress 2020
“Best asset management team - EPC "Utility Award" given to Tata Power Solar at the RE Asset Management Awards 2020
TPSSL was adjudged No. 1 Rooftop EPC Company six times in a row by BTI, a leading cleantech consulting and knowledge services provider
Tata Power was recognised as the Best Corporate in Promoting Employee Volunteering at National Volunteer Conclave, organised by iVolunteer, a national platform for promoting volunteering. It also bagged five awards at Tata Group Volunteering Recognition platform

Social and Relationship Capital

Strengthening our communities to build sustainable societies

90%

98%

27.10 LAKH

EXCELLENCE IN TRAINING & DEVELOPMENT

348

220

` 39.97 CRORE

` 12 LAKH

22,858

3.12 LAKH

60%

APP-BASED

2.68 LAKH

12,000+

5.41 LAKH

32.59 LAKH

11.85 LAKH

INCREASED

STRATEGIC

PGWM

1.63 LAKH

` 60 LAKH

` 20.92 LAKH

50+

DHAAGA

80%

` 8,000

ISO 29990:2010

HONOURED

ISO 9001:2015

65,600

5,000

3,00,000

1,00,000+

3,600

30,000 KG

2.41 LAKH

24.55%

1.7 LAKH

533

26.4 MN

31.8 MN

EXCELLENCE
IN TRAINING &
DEVELOPMENT