JB Pharma’s Sustainability & DEI Efforts: In Conversation With Nikhil Chopra, CEO

The pharmaceutical industry has a crucial role in shaping a sustainable and equitable future, aligning with global sustainability development goals (SDGs) to address pressing environmental, social, and governance (ESG) challenges. As organisations in this sector strive to balance business growth with responsibility, sustainability and Diversity, Equity, and Inclusion (DEI) have emerged as pivotal pillars driving transformation. JB Pharma, guided by the overarching theme "Building a Sustainable Future for Good Health," has taken significant strides in advancing its ESG and DEI initiatives. With their latest sustainability report, the company has set ambitious targets, including achieving carbon neutrality by FY 2032-33, zero waste goals, and enhancing gender diversity across its workforce.

In an exclusive conversation with BW Healthcare World, Nikhil Chopra, CEO & Whole-Time Director of JB Pharma, shared insights into the company’s sustainability vision, key milestones, and strategies for advancing DEI. He also discussed how the pharmaceutical sector can innovate to contribute to India's broader SDG goals. Here are a few excerpts from the interview:

What is the overall strategy & goal behind JB Pharma Sustainability efforts? Highlight some key actions you are planning on taking to achieve carbon neutrality by FY-2032 - 2033

At JB Pharma, this year our sustainability efforts are guided by the overarching theme, ‘Building a Sustainable Future for Good Health.’ We firmly believe that sustainability and public health are deeply interconnected. Our strategy focuses on creating long-term value for both our stakeholders and the broader community by addressing the most impactful Environmental, Social, and Governance (ESG) criteria. 

To reach the target of achieving carbon neutrality in our direct operations (Scope 1 and 2 emissions) by FY 2032-33, we have laid out a clear roadmap, which includes:

1. Comprehensive Emissions Assessment:
   
   By evaluating emissions across Scope 1, Scope 2, and Scope 3, we have identified critical areas for improvement. This approach has already resulted in a 13.9 per cent absolute reduction in Scope 1 and Scope 2 emissions, demonstrating the effectiveness of our targeted actions.

We’ve also taken a proactive approach by implementing a wide array of initiatives to improve our energy efficiency like:

• Replaced DX Coils in Air Handling Units with Chilled Water Coils: This has significantly reduced energy consumption and our carbon footprint by leveraging a more efficient cooling system.

• Installed Air and Water Pre-Heaters and Effi-Max Systems in Boilers: These high-efficiency systems have further reduced energy consumption, leading to lower greenhouse gas (GHG) emissions.

2. Physical and Transitional Climate Risk Assessment:
   We recently conducted our first-ever climate risk assessment, marking a significant milestone. This enables us to anticipate challenges posed by climate change and equips us with the tools to manage risks effectively, ensuring the long-term resilience of our operations.

By integrating sustainability into the core of our operations and decision-making, we aim to drive meaningful change and lead by example. This year, with the launch of our third sustainability report, we have announced our ESG commitments, marking a significant step forward in our ongoing dedication to sustainability, aimed at driving environmental and social progress.

How did JB Pharma reduce Scope 1 & 2 emissions by 13.9 per cent last year, and what’s next in your renewable energy plans?

We achieved a reduction in Scope 1 and 2 emissions last year through strategic investments in renewable energy and operational efficiency. Key initiatives included sourcing power from solar and wind energy, installing solar rooftops, and procuring steam from third-party sources to reduce our reliance on non-renewable energy. These efforts allowed us to meet 12.1 per cent of our total energy demand (46,341 GJ) through renewable sources, avoiding 9,216.7 tCO₂ emissions.

A notable example is our partnership with PTC India ., [VB1] which established a medium-term agreement for renewable hybrid power supply at our Panoli operations. This partnership includes 4 MW each of solar and wind power, with 2.7 MW of wind and 0.63 MW of solar capacity already installed. Through this initiative, we have successfully sourced over 13.1 million kWh of electricity, helping us achieve over 10 per cent renewable energy in our current electricity consumption—a remarkable improvement from negligible levels just a few years ago.

Looking ahead, we are targeting to meet 40 per cent of our power demand with renewables by FY26-27 and achieve 100 per cent renewable energy by FY32-33. Our commitment to detailed tracking of Scope 1, 2, and 3 emissions ensures we continue to identify opportunities to enhance energy efficiency and reduce our carbon footprint, paving the way for a sustainable future.

What steps are you taking to meet your zero waste goals by FY 2032-33

We are committed to achieving zero waste by FY 2032-33 by adopting a holistic waste management approach (waste reduction, waste minimisation and pollution prevention through a strategic combination of innovation, resource optimisation, and circular economy initiatives. Below are the key steps we are taking to reach this goal: [can also include the highlight points of waste]

We optimise raw material usage, replace hazardous substances with safer alternatives, and eliminate toxic materials to reduce waste at the source. Our packaging management has achieved significant results, with 67.32% of materials now recyclable, and we continue to develop eco-friendly packaging solutions. We also implement innovative ‘waste-to-wealth’ techniques, embedding sustainable practices across product life cycles to go beyond regulatory compliance and minimise waste generation.

A key initiative is our pilot project to replace wooden pallets with recycled plastic ones for exporting goods, aligning with circular economy principles. These pallets are sourced from post-consumer plastic waste, creating a closed-loop system that reduces environmental impact while conserving natural resources. Through these focused efforts, JB Pharma is driving meaningful progress toward zero waste, setting a benchmark for sustainability in the pharmaceutical industry.

How is your DE&I framework shaping JB Pharma’s workplace culture and driving innovation across the organisation?

JB Pharma’s Diversity, Equity, and Inclusion (DEI) framework is central to shaping our workplace culture and driving innovation. We are committed to building a diverse, inclusive environment where every individual has the opportunity to thrive, both personally and professionally. 

Operating in a male-dominated industry, JB Pharma prioritises gender diversity from the outset of recruitment. We are committed to bridging the gender gap by seeking a diverse pool of candidates and ensuring our hiring practices reflect our dedication to diversity and inclusion.

• During hiring: This is reflected in our hiring practices, where we prioritize gender diversity. Today, 16.66 per cent of our top management positions are held by women and 14.76 per cent of our total workforce (permanent + contractual) constitutes women. Additionally, 7.81 per cent of women hold junior management positions, and we have 20 employees with disabilities across our offices and plants.

• During employment: Our efforts extend beyond representation, as we focus on culture building, training, and policies that foster respect and understanding across the organization. Future initiatives include maternity support, sensitization workshops, and women’s leadership programs, which will help drive further inclusion and equity.

A cornerstone of our approach is the OneJBWay leadership program, launched with our Senior Leadership Team in 2022, which fosters our values and culture. This has led to the creation of the LEAP (Leadership Excellence & Acceleration Programme), designed to develop future leaders equipped with the skills needed to navigate JB Pharma toward its vision for 2027. Through these initiatives, DEI is not only enriching our workplace but also driving innovation and success across the organization.

We have also announced our target of enhancing women representation in workforce (permanent) to 15 per cent by FY26-27 and across cadres to 25 per cent by FY 2032-33

Your ESG targets are comprehensive, from carbon neutrality to water positivity. How do these targets align with JB Pharma’s overall strategy for long-term sustainability?

JB Pharma’s ESG targets are deeply integrated into our long-term strategy for sustainability, based on the Double Materiality Assessment conducted with our senior leadership team, which focuses on creating lasting value for both the environment and society. Our commitment to environmental stewardship drives us to address critical issues such as carbon neutrality and water positivity, while our social initiatives aim to improve access to healthcare, education, and empowerment. These targets align with our broader goal of fostering a healthier, more resilient world.

Our sustainability efforts are guided by a thorough assessment of environmental and social impacts, ensuring that we focus on the most pressing issues for both, our business and stakeholders. By transitioning to renewable energy sources and reducing emissions, we are actively contributing to mitigating climate change. Our strategy also includes enhancing operational efficiency and resilience, with a focus on long-term value creation. Through these integrated efforts, JB Pharma is shaping a future that balances business growth with responsible environmental and social impact.

How do you see the pharmaceutical sector contributing to India's broader ESG goals, especially in terms of environmental sustainability?

The pharmaceutical sector plays a vital role in advancing India’s environmental sustainability goals by adopting eco-friendly practices that minimise its environmental impact while supporting public health. With concerns over pollution from pharmaceutical manufacturing, waste, and disposal, there is an urgent need for sustainable approaches. The pharmaceutical industry contributes significantly to environmental contamination which can harm ecosystems and human health.

To address these challenges, the industry is increasingly adopting green chemistry, which focuses on using renewable resources and reducing hazardous chemicals. Pharma companies are also enhancing waste management practices, such as recycling programs, proper disposal of expired drugs, and wastewater treatment technologies to prevent environmental damage. Eco-friendly packaging solutions, including biodegradable and recyclable materials, are being prioritized to reduce landfill waste.

India's government has supported the sector through initiatives like the Biomedical Waste Management Rules and the National Action Plan for Antimicrobial Resistance. These policies encourage better waste disposal, antibiotic stewardship, and the use of renewable energy in manufacturing. Furthermore, research on green chemistry and renewable energy technologies is being promoted to help companies reduce their environmental footprint.

While the sector faces challenges like high initial investment costs, technological limitations, and awareness gaps, the pharmaceutical industry's commitment to sustainability is driving positive change. By overcoming these hurdles through innovation, education, and collaboration, the industry can help India achieve its environmental sustainability goals, ensuring a healthier future for people and the planet.

Arya Rakshita

BW Reporters Trainee Correspondent