ESG Risk Management
Risk management, functioning as a central safeguard,
is vital to maintaining operational stability through risk prevention and resolution.
Our risk prevention and control system encompassed ESG-related
risk factors and employed a three lines of defense approach across all identified risks.
ESG Risk & Management
Procedures
-
Environment
· Climate Change Risk
· Pollution and Poor Emission Management
· Inadequate Emissions and Waste Management
-
Social
· Talent Acquisition and Retention Risk
· Product Quality and Safety Issue
· Human Rights Violations in the Supply Chain
· Procurement Management Risk
· Strategic Investment Risk
-
Governance
· Compliance and Business Integrity
· Corruption and Bribery Risk
· Stakeholder Disputes
Climate Change Risks
Climate change poses significant threats to the environment, ecosystems, and human well-being. We follow the process below to identify, analyze, and mitigate the adverse impacts of climate-related risks.
-
Optimistic Scenario (SSP1-2.6)
SSP1-2.6Pessimistic Scenario (SSP3-7.0)
SSP3-7.0Considering risk factors recommended by the Task Force on Climate-related Financial Disclosures (TCFD), reports from the Intergovernmental Panel on Climate Change (IPCC), and other relevant sources -
Climate Change Risk Database
· Physical Risk
· Transition Risk -
Climate Change Risk Analysis
· Business Impacts
· Financial Impacts
· Time Horizon -
Climate Change Risk Response Measures
· Compile the Climate Change Management Measures
· Promote energy conservation and emission reduction in operations
· Conduct extreme weather event drills regularly
· Implement diversified sourcing strategies
· Disperse tobacco cultivation regions
· Adopt renewable energy sources
(For details, please refer to the annual ESG report)
Guidelines For Extreme Weather
Events In Brazil
