Que: Sify recently received its first independent ESG Rating. How significant is this milestone for the company and what does being ranked so high in the very first attempt mean?

Ans: It’s not every day that a first attempt sets a benchmark, but that’s exactly what happened with our inaugural independent ESG Rating by ICRA. For us, this milestone was more than a number on a scorecard — it was an affirmation that our years of commitment to sustainability, transparency, and responsible growth are being recognised on an external stage.

Being ranked this high at the first attempt underscores that our disclosures and practices are not only comprehensive but also credible and transparent. It tells our stakeholders that we are serious about integrating ESG into the way we operate and grow.

Que: What was Sify’s intent behind going for an independent ESG evaluation?

Ans: When we began preparing for our first independent ESG evaluation, our intent was simple: to let an external, unbiased lens assess how far we’ve come in embedding sustainability into our business. ESG is no longer just an optional reporting exercise; it’s becoming a critical yardstick by which investors, customers, regulators, and even employees measure companies. And in that context, receiving a score of 78 out of 100 on our very first attempt is more than encouraging — it positions us among the top tier of Indian companies for ESG disclosures, with only Shriram Finance ahead at 82.

Que: How do ESG ratings differ from traditional financial ratings?

Ans: ESG ratings are designed to evaluate a company’s performance across Environmental, Social, and Governance parameters. Unlike financial ratings that look backward at balance sheets and profitability, ESG ratings look forward — they measure how resilient and responsible a company is likely to be in the long run.

Que: Can you tell us more about the evaluation process for Sify’s ESG rating?

Ans: In our case, ICRA, one of SEBI’s approved ESG rating agencies, assessed our disclosures across three major sources: our 20F filing, our Integrated Report, and our Sustainability Report for FY 2023–24. These disclosures were reviewed against a wide spectrum of ESG factors — from energy use, renewable adoption, and waste management to diversity, governance practices, and social responsibility. The outcome was not just a number; it was an independent validation that our efforts are aligned with best practices and stakeholder expectations.

Que: What are the tangible benefits of securing an ESG rating?

Ans: Securing an ESG rating has several tangible benefits. For one, it provides a structured, comparable framework that helps us benchmark ourselves against peers. It also offers investors and partners a reliable reference point, reassuring them that we are managing not just financial capital but also environmental and social capital responsibly.

Que: How does this rating help Sify internally?

Ans: For our internal teams, the rating acts as a mirror. It highlights where we are doing well — for instance, our renewable energy adoption, which has already grown from 37 percent to 52.5 percent and was recognised as ‘very good’ by auditors — and where there is opportunity for improvement. With each disclosure cycle, we now have a baseline to improve upon, and the anticipation of stronger scores in FY 2024–25 is a powerful motivator to keep raising the bar.

Que: Beyond the score itself, what business value does an ESG rating add?

Ans: Beyond the score itself, an independent ESG rating carries real business value. Customers, especially in global markets, increasingly prefer to engage with partners who have demonstrated ESG maturity. Investors use such ratings to evaluate long-term resilience, making strong ESG performance a differentiator in access to capital. Regulators, too, are sharpening their focus on ESG compliance, and being ahead of the curve helps us manage risks better.

Que: What does this recognition mean for your stakeholders and employees?

Ans: For us at Sify, this recognition reinforces trust. It strengthens our reputation as a company that not only builds digital infrastructure but does so with a conscious commitment to people and the planet. It also signals to our employees that they are part of an organisation that is future-ready, responsible, and proud of walking the talk on sustainability.

Que: We heard that the team behind this achievement was recognised in a unique way. Can you share more?

Ans: Numbers and ratings are important, but behind them lies the human effort that makes it possible. The team that led this ESG rating exercise was recognised by our Chairman with a uniquely thoughtful gesture: a 3D-printed maple leaf memento made from eco-plastic.

Why a maple leaf? Because it symbolises renewal, growth, and resilience — qualities that mirror our own sustainability journey. Why eco-plastic? Because even in appreciation, we wanted to stay true to our ethos. The mementos were crafted from plant-based materials such as cornstarch, sugarcane, or tapioca roots, blended with recycled plastic. Each award was made from around 30 recycled bottles, turning yesterday’s waste into today’s message of sustainability.

This was not just a token of appreciation. It was a deliberate choice that reflected our environmental intent, making the very act of recognition an ESG practice in itself. By celebrating in a sustainable way, we sent a message: sustainability is not just what we report — it’s how we think, act, and even appreciate one another.