ONGC receives "adequate" ESG rating for FY225, CDP score of "B"

Oil and Natural Gas Corporation Limited (ONGC) has disclosed its ESG Rating Report from NSE Sustainability Ratings and Analytics Ltd. and its "Scores on Climate Change" Report from CDP. For FY2025, ONGC received an "Adequate" ESG Rating with an overall score of 61, an increase from FY2024's score of 58. The company's Environment Score for FY2025 is 51, its Social Score is 73, and its Governance Score is 63. NSE Sustainability Ratings and Analytics Ltd. independently prepared this report based on publicly available information.

The Environmental pillar's score of 51 is influenced by factors such as greenhouse gas emissions and energy consumption exceeding industry averages, a 31% increase in carbon footprint from Scope 3 emissions compared to the previous year, and the company lagging in renewable energy adoption. Positively, water intensity performance decreased by 22% and waste generation per unit of production decreased by 12% year-over-year. The Social pillar's score of 73 is driven by a low lost-time incident rate and lower-than-average employee turnover, though women are underrepresented and two fatalities were reported. The Governance score of 63 highlights that the board's composition does not meet the required percentage of independent directors, but the company meets regulatory requirements for women on its board.

CDP's "Scores on Climate Change" Report shows ONGC achieved an overall score of "B" for Climate Change, indicating good management of climate-related issues. The company also received a "B" for Business Strategy and "A" for Public Policy Engagement and Industry Collaboration within the Climate Change categories. It did not disclose scores for Forests or Water Security when requested.