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Home > Stakeholder Engagement and Materiality Assessment > Materiality

MATERIALITY

IDENTIFYING MATTERS MOST RELEVANT

To gain insight into challenges, perceptions, expectations and interests in a dynamic social landscape, Vedanta Limited prioritises conducting materiality exercises through effective stakeholder engagement that ultimately helps to shape our sustainability strategy. For this financial year, we undertook a detailed engagement exercise to identify new material issues that involve various ESG KPIs under Vedanta's three pillars and nine aims.

Materiality matrix

Highly material issues

M1 Community Engagement & Development
M2 Water Management
M3 Health, Safety & Wellbeing
M4 Business Ethics & Corporate Governance
M5 Climate Change & Decarbonisation
M6 Diversity & Inclusion
M7 Air Emission & Quality

Material issues

M8 Biodiversity & Ecosystems
M9 Waste Management
M10 Labour Practices
M11 Long Term Growth & Profitability
M12 Innovation & R&D
M13 Tailings Management
M14 Responsible Advocacy
M15 Talent Attraction & Retention
M16 Learning & Development
M17 Sustainable and Inclusive Supply Chain
M18 Indigenous People & Cultural Heritage
M19 Land Acquisition, Rehabilitation & Closure
M20 Human Rights

Important issues

M21 Data Privacy & Cyber Security
M22 Pandemic Response & Preparedness
M23 Material Management & Circularity
M24 Product Stewardship
M25 Macro-economic & Geopolitical Context

Sr. No	High Priority Issues	Key KPI's	FY 2023 Performance	Targets/Initiatives for FY 2024	SDG Alignment
1	Community Engagement and Development	Total community spend Total outreach Nand Ghars in operations	₹ 454 crore Outreach - ~44 million total beneficiaries Nand Ghars - 4,533	Outreach to 5.5 million direct beneficiaries Nand Ghars - >9,000

2	Water Management	Recycling % Freshwater reduction Water positivity ratio	Water recycling at 29.4% 11.7% YoY reduction in fresh water consumption 4 sites water positive Water positivity ratio - 0.62	Water positivity ratio - 0.7

3	Health, Safety and Well-Being	Zero fatalities TRIFR LTIFR CAPA compliance target	13 fatalities TRIFR = 1.20 LTIFR = 0.52 CAPA compliance 91%	Zero fatalities TRIFR - 0.76

4	Business Ethics and Corporate Governance	Zero issues related to corporate governance Transparent disclosures	Zero issues related to corporate governance Transparent disclosures done through Sustainability, TCFD, IR, and BRSR reports	No major issues in corporate governance Include TNFD in the disclosures list

5	Climate Change and Decarbonisation	GHG emissions RE power in operations Biomass usage	GHG emissions 65.7 million tCO₂e RE PDAs in place - 788 MW RE RTC 78,000 tonnes of Biomass	RE RTC - >1,000 MW RE RTC Biomass usage - ~1,25,000 tonnes

6	Diversity and Inclusion	Women employees in organisation Women employees in leadership positions	14.0% 9.1%	18% 16%

6	Air Emissions and Quality	SOx emissions NOx emissions SPM	All operations conforming to statutory limits for SOx & NOx HZL has introduced Battery Electric Vehicles in underground mining which will help to reduce SPM and other emissions VAL J is operating the largest fleet of electric forklifts which has helped reduce diesel consumption	Maintain all operations below statutory limits of air emissions Increase deployment of EVs at site FGD installation at VAL-L new power units