Integrated Annual Report 2024 SECTION 5 • DELIVERING SUSTAINABLE VALUE FOR OUR STAKEHOLDERS 97 At the highest level, the Board holds ultimate responsibility for sustainability governance and oversight, setting corporate governance standards and policies with the support of the RMC. The RMC manages sustainability-related risks and opportunities, including those linked to climate change and human rights. The Board conducts regular reviews of the Group’s risk management and internal control systems, integrating sustainability considerations into these processes. This approach reinforces the Group’s commitment to ethics, integrity and corporate responsibility, aligning its strategy with core values and culture. To address material sustainability issues and embed sustainability into operations, the Board is guided by the SC. Chaired by an Independent Non-Executive Director and comprising the Executive Vice Chairman and two (2) other Independent Non-Executive Directors, the RMC plays a critical role in embedding ESG considerations into the Group’s risk management framework. It provides quarterly updates to the Board on sustainability risks and opportunities to ensure appropriate management. The RMC is supported by the Risk Management Team (“RMT”), which is responsible for developing risk management policies and reporting on risk profiles. At the management level, the SC, led by the Group CEO, formulates and drives sustainability strategies, policies and initiatives. The Group CEO is accountable for the effective execution of sustainability strategies, overseeing sustainability at a strategic level while implementation is driven by management. The SC reports quarterly to the RMC and Board on sustainability initiatives, ESG targets and other significant matters, ensuring alignment with the Group’s long-term objectives. To support these efforts, the CSD Team and various SWGs work closely across the organisation. The CSD Team, based at corporate headquarters, cascades sustainability targets and prepares monthly performance reports for the Group CEO. It also provides technical support to the SWGs, which are responsible for implementing, monitoring and reporting on sustainability initiatives at the operational level. These working groups set entity-specific targets that align with the Group’s overarching sustainability objectives. Performance Review, Training and Development At its quarterly meetings, the Board receives regular updates from the SC on the Group’s sustainability performance, covering key areas including GHG emissions, resource use, safety, diversity, employee well-being and CSR contributions. These updates provide visibility on ESG-related developments and initiatives, enabling the Board to oversee sustainability progress effectively. To stay informed on emerging sustainability issues, the Board also participates in relevant training sessions. Read more about the Board’s training sessions in the Corporate Governance Overview Statement section of this IAR 2024. Linking ESG To Remuneration Designed to integrate ESG metrics into remuneration components, the ESG Remuneration Framework focuses on material matters most relevant to the Group’s business and stakeholders. It also incorporates these ESG metrics into various incentive plans, with Malus and Clawback provisions included to reinforce accountability and alignment with long-term sustainability goals. Performance is assessed using a combination of the balanced scorecard and modifier approaches. The compensation of the Group CEO, a Key Senior Management, and selected Key Operating Management are guided by this framework. Approach to Sustainability
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