At the heart of our operational effectiveness lies a robust ESG commitment Overview At the Adani Portfolio, we are dedicated to doing the right thing in ways that generate superior value for all of our stakeholders. This is the foundational philosophy of our approach to governance in a sustainable way. The Customer must benefit through an enhanced product or service The Employee must derive pride, remuneration and career growth The Investor must generate a superior return on employed capital over alternative investments The Community must benefit from our presence The Government must benefit through taxes and livelihood creation The Vendor must benefit through the outsourcing of products and services. This stakeholder-centric approach is creating value across all areas at Adani: Financial capital, Manufactured capital, Human capital, Intellectual capital, Social & Relationship capital and Natural capital. ESG and Adani At Adani, environment-social- governance (ESG) represents a long- term growth platform. The environment component addresses a growing priority that businesses consume environmentally responsible resources, consume an optimal quantum, recycle waste, reduce reliance on fossil fuels and build resistance to climate change, moderating their respective carbon footprints. The social component addresses the need to invest in employees, vendor/customer relationships and community welfare. The governance component enunciates strategic clarity, prioritises values cum conduct codes, selects a prudent Board of Directors and indicates alignment with UNGC principles, evoking a responsible expectation across stakeholders. ESG principles have emerged as the cornerstone of ethical conduct, reshaping the way organisations operate. The Adani Portfolio of companies adheres to these principles, showcasing a commitment to environmental stewardship, social impact, and robust governance. Rigorous assessments guide the identification of key focus areas, enabling efforts to minimise the environmental footprint and reinforce dedication to sustainability. We recognise that excelling in ESG criteria exhibits resilience, adaptability, and maintain societal trust, underscoring the importance of these principles for long-term success and a sustainable future within the Adani Portfolio. Charting our path to ESG excellence Some ESG principles comprise the following Integrity: We emphasise the highest standards of integrity. This is reflected in a compliance with regulatory standards, gender respect, zero tolerance for sexual harassment, impatience with ethical transgressions, unprejudiced recruitment, impartial appraisal, people respect, environment integrity and respect for the laws of the lands of our presence. Discipline: Our businesses operate around disciplined compliance, documentation, reporting, transparency and operating standards. Board of Directors: We believe that our respective Boards (Directors) are strategic ‘pilots’ navigating our strategic direction. In view of this, we place a premium on Board composition, with a high proportion of Independent Directors who facilitate a broader view of the world. Pro-active investments: We make investments in equipment, certifications, people and initiatives directed to moderate carbon footprint. Long-term: Our investments are inspired by sustainable long- term value creation, validated by nascent spaces of our investment that will progressively mature. Controlled: We have balanced growth appetite with prudent caution, marked by extensive derisking, Balance Sheet safety and adequate buffers leading to long0term sustainability. Process-driven: Our growth is the outcome of empowerment, processes, audits, systems, scalable foundation, checks, balances and de-risking. Key priorities Environmental commitments Renewable Energy Expansion: We have made significant investments in renewable energy expansion projects, contributing to the growth of clean energy generation, and reducing carbon emissions. Sustainable Infrastructure Development: Our focus lies in developing sustainable infrastructure projects. These projects adhere to green building practices and integrate energy- efficient technologies to minimise environmental impact. Biodiversity Management: We are dedicated to preserving biodiversity by implementing sustainable practices, protecting ecosystems, and promoting wildlife conservation in our operations. Water Conservation: Through water harvesting, water recycling, and efficient management systems, we actively reduce water consumption. Waste Management: Committed to environmental responsibility, we implement effective waste management strategies, minimizing waste production and promoting recycling and responsible disposal practices. Social commitments Human Capital Development: We have been instrumental in creating employment opportunities and human capital development by fostering a balanced mix of skills and expertise. We actively invest in skill development programmes. These efforts are aimed at enhancing the employability of individuals and fostering sustainable socio- economic development. Community Development: We have undertaken various community development projects focused on healthcare, education, and infrastructure development. Our diverse business portfolio has contributed to economic growth, supporting local communities and livelihoods. These initiatives are designed to improve the quality of life and well-being of communities residing near our operational sites. Governance commitments Accountability: We emphasise accountability by adhering to strong corporate governance practices. Transparency: We demonstrate our commitment to transparency by regularly providing updates on our ESG performance. We publish annual sustainability reports that highlight our progress, targets, and initiatives related to environmental and social responsibilities. Stakeholder Management: We actively engage with our stakeholders, including investors, employees, communities, and regulators, to understand their concerns, gather feedback, and incorporate their perspectives into our decision-making processes. Establish a leading position as an incubator for innovative ventures in the New Energy Ecosystem, promoting growth and innovation. Efficiently implement greenfield projects, emphasizing competitiveness and seamless integration for sustainable initiatives. Integrate sustainability organically into the core business strategy, ensuring that it is a fundamental element of the Company’s vision. Research and adopt eco-friendly alternatives for essential resources, minimizing environmental impact while ensuring availability. Drive continuous efforts to reduce waste, freshwater usage, energy consumption, and greenhouse gas emissions, emphasizing eco- conscious practices. Uphold rigorous ethical standards, prioritise workplace safety, and actively engage in community development programs, demonstrating a commitment to social responsibility and environmental stewardship. ESG Report 2022-23 85 84 Adani Group