Case study: How ATGL creates economic value for its stakeholders
Established in 2005, ATGL is one of the pioneers in offering environment-friendly Piped Natural Gas (PNG) and CNG to customers in India, committed to, among others, providing clean, safe and affordable domestic gas connection to more than half a million households. ATGL’s growth model is designed to create shared long-term value for all its stakeholders Tweet This!, leading to economic growth, social development, and positive environmental impacts.
This case study is based on the 2021-22 Sustainability Report by ATGL, prepared in accordance with the GRI Standards, that can be found at this link. Through all case studies we aim to demonstrate what CSR/ ESG/ sustainability reporting done responsibly means. Essentially, it means: a) identifying a company’s most important impacts on the environment, economy and society, and b) measuring, managing and changing.
Abstract
ATGL focuses on holistic development with sustainable business being the focal point of everything it does, so as to create sustainable value for all its stakeholders. In order to create economic value for its stakeholders ATGL took action to:
- create economic value for employees
- create economic value for the state
- create economic value for shareholders and banks
- create economic value for communities
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With this case study you will see:
- Which are the most important impacts (material issues) ATGL has identified;
- How ATGL proceeded with stakeholder engagement, and
- What actions were taken by ATGL to create economic value for its stakeholders
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What are the material issues the company has identified?
In its 2021-22 Sustainability Report ATGL identified a range of material issues, such as infrastructure reliability and business continuity, access to gas, regulatory compliance, business ethics, integrity and transparency. Among these, creating economic value for its stakeholders stands out as a key material issue for ATGL.
Stakeholder engagement in accordance with the GRI Standards
The Global Reporting Initiative (GRI) defines the Principle of Stakeholder Inclusiveness when identifying material issues (or a company’s most important impacts) as follows:
Stakeholders must be consulted in the process of identifying a company’s most important impacts and their reasonable expectations and interests must be taken into account. This is an important cornerstone for CSR / sustainability reporting done responsibly.
Key stakeholder groups ATGL engages with:
| Stakeholder Group | Method of engagement |
| Customers
| · Online survey · E-mails · Online grievance mechanism · Reports and brochures · Feedback mechanism · Customer meets · Website · Customer support cell |
| Suppliers/Vendors
| · Online survey · E-mails · Vendors meet · Online grievance mechanism · Site visits · One-to-one interaction · Reports and website |
| Investors
| · Reports · Website · Investor meets · One-to-one interaction · Annual General Meeting · Online grievance mechanism · E-mails |
| Government and Social Partners
| · Reports · Website · One-to-one interaction · Events · E-mails and letters |
| Communities
| · Focus group discussions · One-to-one interactions · Media · Website · Online grievance mechanism |
| Employees
| · Online surveys · Magazines · Internal e-mails · Intranet · Reports · Websites · Online grievance mechanism · One-to-one interactions · Town Hall meetings and brochures |
How stakeholder engagement was made to identify material issues
To identify and prioritise material topics ATGL engaged with its stakeholders through a questionnaire.
What actions were taken by ATGL to create economic value for its stakeholders?
In its 2021-22 Sustainability Report ATGL reports that it took the following actions for creating economic value for its stakeholders:
- Creating economic value for employees
- In FY 2021-22, ATGL paid ₹ 55 Crores for employee wages.
- Creating economic value for the state
- In FY 2021-22, ATGL paid ₹ 316 Crores in tax.
- Creating economic value for shareholders and banks
- In FY 2021-22, ATGL paid ₹ 28 Crores in dividends and ₹ 53 Crores in interest (bank and others).
- Creating economic value for communities
- In FY 2021-22, ATGL spent ₹ 10 Crores in community investments.
Which GRI Standards and corresponding Sustainable Development Goals (SDGs) have been addressed?
The GRI Standard addressed in this case is: Disclosure 201-1 Direct economic value generated and distributed
Disclosure 201-1 Direct economic value generated and distributed corresponds to:
- Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth
- Targets: 8.1, 8.2
- Sustainable Development Goal (SDG) 9: Industry, Innovation and Infrastructure
- Targets: 9.1, 9.4, 9.5
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References:
This case study is based on published information by ATGL, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original please revert to the following link:
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