GHCL Ltd

1. Review public policy advocacy positions by the governance structure for consistency with Principles of these Guidelines: a. Frequency b. Month/year of last review. Yes. During the financial year 2019-20, GHCL has participated in various discussion / initiatives taken by trade associations and chambers on the issues pertaining to Governance and Administration, Economic Reforms and sustainable business principles as and when they are organised. The participations and discussions is done through associations or groups GHCL is part of which is reviewed by [...] 2. Names of trade and industry chambers and associations that you are a member/affiliate of. GHCL is a member of Alkali manufacturers Association of India, Indian Chemical Council, The All India Glass Manufacturer's Federation and the Southern India Mills' Association besides other business association like CII, PHD Chambers, and FICCI . [...] 4. Monetary contributions (if any) that have been made to political parties. During the financial year 2019-20, monetary contributions of H 5 Cr. Were made by the company to the political parties."
"The Company's Banking & Operations Committee determine the policies and procedures for both recurring fair value measurement, such as derivative instruments and unquoted financial assets measured at fair value, and for non-recurring measurement, such as assets held for distribution in discontinued operations. At each reporting date, the Audit Committee analyses the movements in the values of assets and liabilities which are required to be remeasured or re-assessed as per the Company's accounting policies. For this analysis, the members of Banking & Operations Committee verify the major inputs applied in the latest valuation by agreeing the information in the valuation computation to contracts and other relevant documents. The Banking & Operations Committee also compares the change in the fair value of each asset and liability with relevant external sources to determine whether the change is reasonable. On an interim basis, the members of Banking & Operations Committee present the valuation results to the Audit Committee and the Company's independent auditors This includes a discussion of the major assumptions used in the valuations.

At GHCL, we have a Risk & Sustainability Committee, which comprises of Independent, Non-Executive and Executive Directors. This committee is headed by Independent Director. The Risk & Sustainability Committee's functions and responsibilities are outlined by the Board. The committee is responsible for formulating Risk Management Policy and framework for identification of internal and external risks including cyber security and ensuring appropriateness of the sustainability management system and its framework. The company manages risk through a well-defined, integrated framework that facilitates awareness of different risks and its intensity. Additionally, we interact with our stakeholders and industry experts on a regular basis and understand global risk trends and their implications. Consequently, we proactively review and update our business models, execution plans and risk profiles. [...] The Board is ultimately responsible for identifying and analysing the nature of internal and external risks that may threaten our ability to achieve our strategic goals. The Board is also in charge of assessing the Company's risk appetite, overseeing the development, implementation of Risk Management framework and maintenance of a suitable monitoring and reporting structure. Our Internal Audit Program is equally in line with the Company's risk profile and in charge of providing independent assurance as well as risk management in specific areas. The Risk & Sustainability Committee evaluates the Company's multiple implications on a routine basis and reports to the Board of Directors regularly."
"The Board of Directors of the Company are responsible for risk oversight functions. The Risk & Sustainability Committee provide guidance for implementing the risk management policy across the organisation. The operational heads of each business units are primarily responsible for implementing the risk management policy of the company and achieving the stated objective of developing a risk intelligent culture that helps to improve the company's performance. [...] Our Risk Management Committee has been constituted as per the requirement of Regulation 21 of the Listing Regulations. In order to strengthen Company's position in governance, risk management, sustainability, and compliance (GRC) and for the developing framework for risk management and stakeholders' value creation on sustainable basis, the Board of Directors in their meeting held on July 29, 2021, had extended the scope of the Committee, and renamed it to "Risk & Sustainability Committee". [...] The Risk Management Committee consists of five members, including some Executive and Non-Executive directors. The committe comprises of Mr. Arun Kumar Jain (Chairman), Mr. Anurag Dalmia (Member), Mr. R S Jalan (Member), Mr. Raman Chopra (Member) and Mr. Neelabh Dalmia (Member). Furthermore, Mr. Bhuwneshwar Mishra is the secretary of the committee. The details of Committee and other particulars are mentioned in the Corporate Governance Report which is a part of the Board's Report. The policy on Risk Management as approved by the Board is uploaded on the Company's website - https://ghcl.co.in/corporate-governance-reports. [...] The business responsibility performance of the company is assessed on a regular basis by the Managing Director, CFO& Executive Director (Finance) and, Sr. GM-Sustainability & Company Secretary along with respective business heads. Each business units' updates on various initiatives taken at their respective locations towards responsible business conduct which are reviewed during the operational review meeting on monthly basis."
"The Audit & Compliance Committee keeps under review the independence and objectivity of the statutory auditors and the effectiveness of the audit process. On occasions, the nature of non-audit advice may make it more timely and cost effective to select M/s S. R. Batliboi & Co. LLP and its affiliates EY, who already have a good understanding of the Company. M/s S. R. Batliboi & Co. LLP, Chartered Accountants and its affiliates may also be appointed for consultancy work, but only after rigorous checks, including competitive tender, to confirm they are the best provider. Where non-audit work is performed by M/s S. R. Batliboi & Co. LLP and its affiliates, ensure robust processes to prevent auditor objectivity and independence from being compromised. All non-audit work performed by EY, is put to the Audit & Compliance Committee for consideration and approval, regardless of size. M/s S. R. Batliboi & Co. LLP, is also subject to professional standards which safeguard the integrity of the auditing role performed on behalf of shareholders.

At GHCL, sustainability is a top priority that has been completely integrated into our operations in order to generate long-term value. Our goal is to achieve market excellence while fostering community and industry harmony. We uphold a strong sustainability governance structure with cross-functional representation, wherein, the senior leadership oversees at the board level, facilitating the embodiment of sustainability vision into all facets of our business. [...] Our established internal sustainability committee is a part of our sustainability governance structure that oversee activities relating to Corporate Social Responsibility (CSR) and Environmental, Health & Safety (EHS) aspects. To help meet our sustainability goals, the primary responsibility of the sustainability governance committee is to implement environmentally friendly interventions across all our operations. The committee believes in a holistic approach as well as responsible and informed choices that lead to sustainable solutions. It works towards achieving environmental stewardship including energy and water efficiency, waste management, renewable energy and greener manufacturing processes and technologies. Mr. Bhuwneshwar Mishra Sr. GM – Sustainability & Company Secretary is heading the sustainability functions of the company under guidance of Mr. Raman Chopra, Executive Director (Finance) & CFO and Mr. R S Jalan, Managing Director of the Company. [...] The sustainability committee is accountable to the Managing Director. The permanent members of the sustainability committee include the group CEO, CFO, Business Heads, Head of Human Resource, Head of GHCL Foundation, Head of Sustainability & Company Secretary, who review and approve targets, roadmap, and implement procedures for a sustainable vision."
"The managing director, through the functional heads of the departments / unit heads of the Company are empowered to ensure the implementation of the policies. [...] Each business units present updates on various initiatives taken at respective locations towards responsible business conduct, every month during operational review meeting and the same is reviewed by the Managing Director, CFO& Executive Director (Finance) and Executive Director (Textiles), Sr. GM-Sustainability & Company Secretary along with respective business heads. [...] The list of committees is provided in the Integrated Report on page 24 [...] GHCL has robust system of compliance management through a software developed by E&Y. [...] Total 182 owners and approvers are identified who are responsible for compliance of statutory requirements and making update in the compliance tool. Sr. GM - Sustainability & Company Secretary is the super administrator who administers the compliance tool with his secretarial team and present monthly report in operational review meeting headed by the managing director. Thereafter, the findings and compliance status are also reported to the audit committee. [...] GHCL would further strengthen the linking of statutory compliances with the conditions of compliance of BRR principles with an objective to develop robust compliance system."
"The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs. [...] The Company's Banking & Operations Committee determine the policies and procedures for both recurring fair value measurement, such as derivative instruments and unquoted financial assets measured at fair value, and for non-recurring measurement, such as assets held for distribution in discontinued operations. [...] At each reporting date, the Audit Committee analyses the movements in the values of assets and liabilities which are required to be remeasured or re-assessed as per the Company's accounting policies. For this analysis, the members of Banking & Operations Committee verify the major inputs applied in the latest valuation by agreeing the information in the valuation computation to contracts and other relevant documents.

5. lmplementation: i. The policy shall be appropriately communicated within the Company across all levels and shall be displayed on the Company's intranet.

ii The Managing Director, through the Functional Heads of the Departments/ Unit Heads of the Company shall be responsible for ensuring that the policy is implemented throughout the Company.

iii. Compliance with the Policy shall be monitored and evaluated by the Company Secretary on a regular basis.

IV Any grievances/ complaints with respect to violation of the policy shall be reported to the Company Secretary.

V Company Secretary shall report the non-compliance of code to the Board of Directors or duly constituted committee of the Board. The Board / Committee shall take appropriate action against the wrongdoer.

Describe the process(es) your organization has in place to ensure that your external engagement activities are consistent with your climate commitments and/or climate transition plan?[…]Business wise policy advocacy is in place to address and ensure the business specific engagement activities consistent with overall climate change strategy.

Does your organization have a public commitment or position statement to conduct your engagement activities in line with the goals of the Paris Agreement?[…]Yes