Oriental Hotels Reports Significant Gains in ESG Performance for FY2025-26; Focus Shifts Towards 2030 Green Targets

Oriental Hotels Reports Significant Gains in ESG Performance for FY2025-26; Focus Shifts Towards 2030 Green Targets​

Oriental Hotels Limited (OHL) has published its Business Responsibility and Sustainability Report (BRSR) detailing its operational performance, environmental stewardship, and social initiatives across the financial year 2025-26. The report highlights a commitment to responsible business conduct while setting ambitious targets for sustainability by 2030 across its entire portfolio of hotels.

The company operates under a standalone reporting framework covering seven properties. Its primary business activities include accommodation services, which account for 53.48% of the total turnover, followed closely by food and beverage services at 39.90%. OHL's operations are concentrated in three states across India: Tamil Nadu, Kerala, and Karnataka, with exports contributing 0.5% to the overall turnover.

Environmental Stewardship and Resource Management​

OHL continues to address material risks related to climate change and rising energy prices through targeted mitigation strategies. The company has embedded its Climate Strategy into its operations, focusing on renewable energy adoption and facility modernization, including advanced HVAC systems and efficient lighting.

A key focus area is water management and resource conservation. In the financial year 2025-26, OHL reported a total volume of water withdrawal at 432,771.96 KL, down from 4,21,514.09 KL in the previous year. The company maintains a strong focus on resource efficiency, with the water intensity per rupee of turnover standing at 842.86 KL per crore INR of revenue for FY2025-26.

In terms of pollution control and air emissions (excluding GHG), OHL recorded improvements in its operational practices. Nitrogen Oxide (NOx) emission stood at 4.39 Tonnes/year, marking a reduction from the 10.38 Tonnes/year reported in FY2024-25. Similarly, Sulphur Oxide (SOx) emissions were 0.37 Tonnes/year, down from 0.74 Tonnes/year.

The organization is actively pursuing Zero Liquid Discharge (ZLD), with a phased implementation underway aimed at achieving 100% water recycling by the target year of 2030. Currently, the company maintains a recycling rate exceeding 50%.

Waste Management and GHG Mitigation Efforts​

OHL reported that the total waste generated across its establishments in FY2025-26 was 1014.57 metric tonnes (MT). Of this, plastic waste amounted to 9.86 MT, down from 8.77 MT in FY2024-25. The company is making significant efforts towards the circular economy, with a total of 723.98 MT being recovered through recycling and re-use. This includes 720.76 MT recycled.

Regarding greenhouse gas (GHG) emissions, OHL reported total Scope 1 and Scope 2 emission intensity at 16.98 tCO2e per Crore INR of turnover for FY2025-26, reflecting a decrease from the 23.33 tCO2e/Crore INR recorded in the previous financial year.

OHL's commitment to environmental responsibility is formalized through multiple targets: by 2030, OHL aims for 75% of all electricity to be consumed from renewable sources and intends to eliminate single-use plastics beyond a list of ten mandated items across its operations.

Social Impact and Workforce Management​

The hotel group maintains stringent focus on human rights and fair employment practices. Regarding the workforce, OHL reported that among total employees (314), 92.04% were covered by training programs related to human rights issues for FY2025-26. Labor standards show strong commitment; for permanent employees in FY2025-26, 100% of male and female staff were reported as receiving wages that are equal to or more than the Minimum Wage.

The company emphasizes sustainable sourcing, with inputs from MSMEs/Small producers accounted for at 29.13% in FY2025-26 (up from 31.00% in FY2024-25). Furthermore, OHL ensures that a high percentage of its input materials are procured domestically, noting 70% of inputs were sourced within India during the current financial year.

Governance and Leadership Oversight​

The Company’s commitment to sustainability is managed through a dedicated structure, with the Corporate Social Responsibility Committee of the Board of Directors responsible for making decisions related to sustainability issues. This committee includes Mr. Vijay Sankar, Mr. Pramod Ranjan, and Mr. D Vijayagopal Reddy.

OHL has integrated these principles into its overall business strategy, adopting frameworks such as Paathya, which is based on six strategic pillars: Environmental Stewardship, Social Responsibility, Excellence in Governance, Preserving Heritage, Partner Transformation, and Sustainable Growth. This holistic approach guides the company toward realizing its long-term vision of sustainable hospitality.

ORIENTHOT Stock Price Movement​

Today, shares of Oriental Hotels Limited edged up, settling at approximately ₹138.60 and marking a gain of 0.24%. The equity saw robust trading activity during the day, with a total volume reaching 328,068 shares.