Looking Forward to Next Level of Growth By Effectively Addressing Material Issues

Materiality assessment enables Hindustan Zinc to identify topics of relevance to stakeholders, like sectoral outlook, megatrends, and risk perspectives with relevant mitigation strategies. We are convinced that companies that grow must do so responsibly, and openness to continually collaborate and improve can be effective in building reputation and trust among stakeholders, which in turn supports growth.

The last extensive review of our materiality analysis was carried out in FY 2018-19. This comprised reaching out to relevant stakeholders about the most important sustainability issues for Hindustan Zinc. We additionally consulted subject specialists, brainstormed with a business function heads, and mapped out relevant potential issues. Particular attention was paid to positive and negative financial impact due to emerging ESG risks and opportunities. We have established an enterprise risk management framework that enables the Company to identify strategic, financial, and operational ESG risks. The ESG risks occupy a central place in our assessment process as they can have a significant impact on the Company’s business model and value drivers, such as revenue growth, margins, and required capital.

Although, a formal process of consultation could not be conducted in FY 2021-22, the top management did review material issues for consistency and relevance with the prevailing situation. Key material topics that featured predominantly at most locations were prioritised for strategising, management, and execution.

The illustration below shows the feedback of our senior leadership and business strategy on the most important sustainability topics.

*Two material issues – Diversity and Equal opportunity and Learning and Development – were clubbed and combined with Human Capital Management.

MATERIALITY TOPICS IMPORTANT FOR STAKEHOLDERS

Please refer page 231 of our Business Responsibility and Sustainability Report (BRSR) for details of our material issues and our approach to mitigate the risk from identified material issues