Sustainability R Eport 2018
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Sustainability Report 2018 Sustainability Report Positive matters En+ Group Sustainability Report 2018 ABOUT THE REPORT GRI 102-5 102-32 102-45 About the 102-48 102-49 102-50 Report 102-51 102-52 102-54 The 2018 En+ Sustainability Report (hereinafter This is the Company’s first Sustainability Report The Health, Safety, and Environment Committee referred to as the “Sustainability Report” since listing on the London Stock Exchange (the “HSE Committee”) of the Board and or the “Report”) is a comprehensive review which demonstrates En+ Group's commitment the Board itself have reviewed and approved of the Company’s progress and achievements to transparency by providing a comprehensive the Sustainability Report to ensure that all in sustainable development. disclosure of important non-financial material topics have been covered. information on an annual basis. By publishing Whilst En+ Group included a section this Sustainability Report, En+ Group highlights This Sustainability Report covers the period on Sustainable Development in its 2018 Annual its commitment to transparency with all its from 1 January 2018 to 31 December 2018 Report, the Company has now made the decision stakeholders and investors around the most and, in certain instances, discloses significant to publish a separate Report dedicated entirely material environmental, social and governance sustainability events during first six months to sustainability to reflect the Board's focus (“ESG”) issues. of 2019. It has been prepared in accordance on this area. with the Global Reporting Initiative The Company understands that providing (“GRI”) Standards: Core option, including regular information on the economic, the Mining & Metals and Electric Utilities Sector governance, social and environmental aspects supplements, as this is the most widely used of its business to internal and external standard for sustainability reports worldwide stakeholders, and receiving their feedback, and the Board considers the GRI standards is central to building stable and sustainable relevant to the Company’s operations. relationships based on trust. Boundaries of the Report In this Report the terms “En+”, “En+ Group”, Report 2018 is presented and calculated based “we”, “the Company” and “the Group” in various on the consolidated financial statements as forms shall mean EN+ GROUP IPJSC1 and its of 31 December 2018, prepared in accordance subsidiaries, the economic results of which are with International Financial Reporting detailed in the Group’s consolidated financial Standards (IFRS). statements. Performance management data covers all En+ The Sustainability Report 2018 discloses Group’s business units, unless stated otherwise. information about En+ Group’s two segments2: Metals (represented by RUSAL) and Power Due to rounding, some totals in the tables, (represented by the Company’s power assets charts and diagrams in this Report may not such as JSC EuroSibEnergo, PJSC Irkutskenergo correspond with the sum of segmental results. et al3). Unless otherwise indicated, financial information included in the Sustainability | 2 1. Before 9 July 2019 — EN+ GROUP PLC. 2. For more detailed information about En+ Group's segments please refer to pp.22-23, At a glance 3. For a list of significant subsidiaries please refer to Consolidated Financial Statements for the year ended 31 December 2018 https://www.enplusgroup.com/en/investors/results-and-disclosure/. EN+ GROUP EN+ COMPANY’S OVERVIEW OUR SUSTAINABILITY APPROACH 2018 PERFORMANCE The principles of the Report We were guided by the following principles during the production of the Report: Stakeholder Inclusiveness Sustainability Context The Company strives to meet or exceed expectations of a wide range En+ Group’s sustainable development activities are based on global best of stakeholders who are affected by its operations. practices in this area, international and Russian standards and principles, including the United Nations Sustainable Development Goals. Materiality Completeness En+ Group assessed material topics based on stakeholders’ The Report reflects the key outcomes of the Company's sustainable expectations and management priorities. development activities and describes its management approaches and measures, as well as the results achieved. Principles for defining Report quality The following principles were used to define the Report’s quality. Principle: Description: Balance The Report reflects positive and negative aspects of the organisation’s performance to enable a reasoned assessment of overall performance. Comparability The reported information is presented in a manner that enables stakeholders to analyse changes in the organisation’s performance over time, and makes comparison to other organisations possible. Accuracy The reported information is sufficiently accurate and detailed for stakeholders to assess the organisation’s performance. Timeliness Starting this year, En+ Group will report on an annual basis so that information is available in time for stakeholders to make informed decisions. Clarity The information in this Report is presented in a manner that is comprehensible to stakeholders with 3 | a reasonable understanding of the organisation and its activities. EN+ GROUP EN+ Reliability Stakeholders should have confidence that the Report can be checked to establish the veracity of its contents and the extent to which it has appropriately applied Reporting Principles. ABOUT THE REPORT Limitation Continuance of Liability Unless otherwise indicated, the information as a result of their ownership by a sanctioned With effect from 9 July 2019 (the “Continuance presented in this Sustainability Report only party, are frozen, and U.S. persons are Date”), the Company has been registered reflects the Company’s position during generally prohibited from dealings with them. as an international company in the Unified the review period from 1 January 2018 Additionally, non-U.S. persons could face State Register of Legal Entities of the Russian to 31 December 2018 (the “Review Period”). sanctions for knowingly facilitating significant Federation. Accordingly, all forward-looking statements, transactions for or on behalf of the individuals analyses, reviews, commentaries and risks or entities blocked today.” Shareholders and With effect from the Continuance Date presented in this Sustainability Report potential investors should be aware that the Company’s memorandum of association and (save for this section, or unless otherwise the information presented in this Sustainability articles of association governed by Jersey laws specified) are based upon the information of Report (save for this Warning) does not take are superseded by the charter that is available the Company covering the Reporting Period into account the OFAC Sanctions or any on the Company’s website at only and not thereafter. Shareholders and potential impact, which the OFAC Sanctions https://www.enplusgroup.com/en/investors/ potential investors should be aware that on 6 may have had on the Company or the Group. corporate-documents/ (the “Charter”). Inter alia, April 2018, the Office of Foreign Assets Control Accordingly, the information presented in this the Charter establishes authority of the General of the Department of the Treasury of the United Sustainability Report (save for this Warning), Shareholder Meeting and the board of directors States of America (the “U.S. Treasury”) including but not limited to all forward-looking (the “Board”) and provides that the CEO1 has designated, amongst others, the Company to be statements, analyses, reviews, commentaries the authority to act on any matters outside added to its Specially Designated Nationals and risks, does not necessarily reflect the latest the scope of the authority of the General List (the “OFAC Sanctions”). A press statement position (financial or otherwise) of the Group. Shareholder Meeting and the Board. issued by the U.S. Treasury in respect of On 27 January 2019, the OFAC Sanctions were the OFAC Sanctions on 6 April 2018 stated lifted. Shareholders and potential investors The Company’s name was changed as follows: that: “All assets subject to U.S. jurisdiction of should exercise caution when making the designated individuals and entities, and of an assessment or dealing in the Company’s • The full name in Russian: Международная any other entities blocked by operation of law shares. If in doubt, they are strongly advised компания публичное акционерное to consult their stockbrokers, bank managers, общество «ЭН+ ГРУП»; solicitors and/or other professional advisers before dealing in the Shares. • The short name in Russian: МКПАО «ЭН+ ГРУП»; • The full name in English: EN+ GROUP International public joint-stock company; • The short name in English: EN+ GROUP IPJSC. | 4 1. The Charter uses the term “General Director” which is used interchangeably with the term “CEO” in public disclosures made by the Company. EN+ GROUP EN+ COMPANY’S OVERVIEW OUR SUSTAINABILITY APPROACH 2018 PERFORMANCE Continuance Contact information To provide your feedback, suggest a comment or ask a question please contact: For investors • IR Department • Tel: +7 495 642 7937 • Email: [email protected] For media • PR Department • Tel: +7 495 642 7937 • Email: [email protected] 5 | EN+ GROUP EN+ Contents Company's Our sustainability overview approach About the Report 2 Statements 11 Strategy and sustainability management 56 Boundaries of the Report 2 Message from the Executive Our challenges and alignment The principles of the Report 3 Chairman