PRINCIPLE 6
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Environment : Businesses should respect and make efforts to protect and restore the environment#
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Message from Our Leadership

"Driven by our passion to care for our planet, we have set out on a mission to grow our business whilst reducing our environmental footprint. We are doing this by reducing GHG emissions in our factory operations, maintaining zero non-hazardous waste to landfill, conserving water in our own operations and incorporating sustainable packaging for our products. These initiatives, including sustainable sourcing of raw materials extend into our value chain creating a win for all in the ecosystem."

Yogesh Mishra
Executive Director - Supply Chain

PRINCIPLE 6 Highlights

0

%
Reduction in Scope 1 emissions(YoY)

0

%
Reduction in Water intensity (YoY)

0

%
Reduction in Energy intensity (YoY)

0

%
Energy consumed from renewable sources

NIL

Scope 2 emissions(net)

0

%
Waste Recovered

0

%
Suppliers covered by environmental assessment
Essential Indicators

Under 'HUL Compass ESG Goals', we have taken a commitment to improve the health of the planet with time-bound targets to protect and regenerate nature, ensure waste-free world and set out a clear pathway to achieve zero emissions in our operations by 2030 and Net Zero emissions for all our products from sourcing to point of sale by 2039. Refer link for our planet and society page (https://www.hul.co.in/) for detailed initiatives

1. Details of total energy consumption (in Joules or multiples) and energy intensity

In line with 'HUL Compass ESG Goals', we aim to grow the business, while decoupling the environmental footprint from growth and increasing the positive social impact. We monitor climate change and respond by ensuring that we reduce the environmental impact of our operations. Refer to our 'Climate Change' page for the key initiative: https://www.hul. co.in/planet-and-society/climate-action/

Parameter FY 2022-23 FY 2021-22
Total electricity consumption - Gigajoules (A) 11,52,640 10,69,599
Total fuel consumption - Gigajoules (B) 25,66,732 26,32,986
Energy consumption through other sources - Gigajoules (C) - -
Total energy consumption - Gigajoules (A+B+C) 37,19,372 37,02,585
Energy intensity per rupee of turnover (Total energy consumption/turnover in rupees)* 63.0 GJ/crore 72.4 GJ / crore

*Turnover number used in the intensity calculation is audited by our Statutory Auditors, BSR & Co. LLP. The numerator of intensity calculation i.e. total energy consumption is assured by Price Waterhouse Chartered Accountants LLP.

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

Energy intensity in GJ/crore

2. Does the entity have any sites / facilities identified as designated consumers (DCs) under the Performance, Achieve and Trade (PAT) Scheme of the Government of India? (yes/no) If yes, disclose whether targets set under the PAT scheme have been achieved. In case targets have not been achieved, provide the remedial action taken, if any

Not applicable, as we are not an energy-intensive industry as outlined under the Performance, Achieve and Trade (PAT) Scheme of the Government of India.

3. Provide details of the following disclosures related to water, in the following format: water withdrawal by source (in kilolitres)

In order to address water scarcity, it is important to undertake efforts for conservation, restoration, recharge and reuse of water. In this pursuit, at community level, we have implemented Water Stewardship Projects across 8 water stressed locations (as per ground water resource & WRI) in India. At Site level, our own manufacturing operations have witnessed a 48% reduction in water usage (cubic meter per ton of production) in FY 2022-23 as compared to the 2008 baseline. We were able to achieve this by focussing on reducing freshwater abstraction, implementing captive rainwater harvesting, and maximising the use of RO plants. The benefits include increased efficiencies, reduced risks, strengthening stakeholder relationships and building community trust.

In 2022, we embarked on a journey to align our Water Stewardship Programme to the Alliance for Water Stewardship (AWS) Framework at 2 sites. AWS is a global membership collaboration comprising businesses, NGOs and the public sector. Its members contribute to the sustainability of local water-resources through their adoption and promotion of a universal framework for the sustainable use of water - the International Water Stewardship Standard, or AWS Standard - that drives, recognises and rewards good water stewardship performance.

We set up Hindustan Unilever Foundation (HUF) in 2010 to support and amplify scalable solutions that can help address India's water challenges - specifically for rural communities that intersect with agriculture. HUF established its 'Water for Public Good' programme that is anchored in the belief that water is a common good and must be governed by citizen communities. The aim was to catalyse effective solutions to India's water challenges involving the government, communities, experts, and mission-based organisations. HUF's programmes has reached over 14,000 villages since inception. HUF also supports several knowledge initiatives in water conservation and governance.

We also have project Prabhat- our sustainable community initiative that has been implementing water conservation projects in water-stressed sites across the country, focusing on ensuring water security. Water conservation structures, such as check dams, farm ponds, farm bunds, water absorption trenches were constructed in programme villages to enhance access to water. The programme also supports agricultural communities with water conservation solutions helping in achieving better water efficiency.

Through these initiatives, HUF along with its partners has created a cumulative and collective water potential of over 2.6 trillion litres** since its inception over the last decade. To underscore the importance of the water potential created by HUF; 2.6 trillion litres of water is more than the quantity required to meet the drinking water needs of India's population for nearly two years.

Parameter FY 2022-23 FY 2021-22
Water withdrawal by source (in kilolitres)
(i) Surface water - -
(ii) Groundwater 19,21,329 18,81,457
(iii) Third party water 9,26,494 8,57,161
(iv) Seawater / desalinated water - -
(v) Others - -
Total volume of water withdrawal (in kilolitres) (i + ii + iii + iv + v) 28,47,823 27,38,618
Total volume of water consumption (in kilolitres) 27,95,743 26,79,932
Water intensity per rupee of turnover (Water consumed/turnover)* 47.4 KL/crore 52.4 KL/crore

* Turnover number used in the intensity calculation is audited by our statutory auditors,BSR & Co. LLP. The numerator of intensity calculation i.e. total water consumption is assured by Price Waterhouse Chartered Accountants LLP

** Assured by external independent firm

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

Water intensity in KL/crore

4. Has the entity implemented a mechanism for Zero Liquid Discharge? If yes, provide details of its coverage and implementation

Our approach is to maximise recycling and re-use of treated wastewater within the sites, thereby reducing intake of fresh water. As on 31st March, 2023, 26 out of 29 of our factories recycle and reuse 100% of their wastewater within the site. Such recycled water is used in cooling tower, as a boiler feed, in fire tanks, external area cleaning, toilet flushing, gardening etc. Remaining three factories discharge water in common effluent treatment plant (CETP)/municipal drainage as per the consent to operate conditions issued by the Pollution Control Board.

5. Please provide details of air emissions (other than GHG emissions) by the entity, in the following format

Parameter Please specify unit FY 2022-23 FY 2021-22
NOx MT 315 317
SOx MT 225 362
Particulate matter (PM) Mg/Nm3 55 61
Persistent organic pollutants (POP) Not applicable
Volatile organic compounds (VOC) Not applicable
Hazardous air pollutants (HAP) Not applicable

POP, VOC and HAP are not included in the Factory's Consent to Operate issued by pollution control board and therefore not applicable.

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

6. Provide details of greenhouse gas emissions (Scope 1 and Scope 2 emissions) & its intensity, in the following format

To reduce our carbon footprint, we are investing in new technologies, switching to renewable sources, and innovating to transform our factory operations. We have set ambitious targets and are working to eliminate carbon emissions from our operations by 2030 and reach Net Zero emissions for all our products from sourcing to point of sale by 2039. Refer to our https://www.hul.co.in/ planet-and-society/climate-action/

Parameter Unit FY 2022-23 FY 2021-22
Total Scope 1 emissions (Break-up of the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if available)* tCO2e 20,165 32,056
Total Scope 2 emissions (Break-up of the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if available) tCO2e Gross: 2,19,650
Net: 0**
Gross: 2,06,819
Net: 54**
Total Scope 1 and Scope 2 emissions tCO2e 20,165 32,110
Total Scope 1 and Scope 2 emissions per rupee of turnover*** tCO2e/Crore 0.34 0.63

* We report our emissions with reference to the latest Greenhouse Gas Protocol Corporate Accounting and Reporting Standard (GHG Protocol). Energy conversion and emission factors are used as per the UN's Intergovernmental Panel on Climate Change (IPCC).

** The above numbers are after deducting the International Renewable Energy Certificate (IREC) purchased for grid electricity.

***Turnover number used in the intensity calculation is audited by our statutory auditors, BSR & Co. LLP. The numerator of intensity calculation i.e. total emissions is assured by Price Waterhouse Chartered Accountants LLP.

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

7. Does the entity have any project related to reducing Greenhouse Gas emission? If Yes, then provide details.

In alignment with the Paris Agreement - 2015, we embraced the most important aspect of 'Care for Environment and Planet' and thus embarked on a journey to halve greenhouse gas impact of our products across the lifecycle by 2030 and net zero emissions for all our products from sourcing to point of sale by 2039.

As on March 2023, the renewable energy percentage (for both Electrical and Thermal combined) is 93% for our own manufacturing sites.

100% of our electricity is from renewable sources with a combination of solar/wind and IREC green certification. We have started buying renewable energy through solar power plants and invested in windmills to reduce the real time requirement of grid power.

We have also embarked on a journey to substitute the fossil fuel requirement by green fuels and already eliminated coal from our operations. We have introduced Biomass instead of Coal, Bio fuel in place of Furnace Oil and High Speed Diesel (HSD). We have also adopted the usage of various energy saving projects, such as heat pumps, energy efficient motors, Variable Voltage and Frequency Drive (VVFD) usage etc. to reduce the overall requirement of energy in the factories.

We have significantly reduced our per tonne GHG emission by 97% and energy consumption by 44% in our own manufacturing operations in FY 2022-23 compared to 2008 baseline.

8. Provide details related to waste management by the entity, in the following format

We are taking steps towards a waste-free world through various initiatives. We wish to create a waste-free future, and are already taking preventive measures by implementing minimalistic use of plastic and reducing the waste from our factories. Refer our 'Climate Action' page for detailed initiatives https://www.hul.co.in/planet-and-society/waste-free-world/

Parameter FY 2022-23 FY 2021-22
Total Waste generated (in metric tonnes)
Plastic waste (A) 12,055 11,451
E-waste (B) 93 97
Bio-medical waste (C) 18 14
Construction and demolition waste (D) 5,086 2,107
Battery waste (E) 53 12
Radioactive waste (F) - -
Other Hazardous waste (G) 383 264
Other Non-hazardous waste generated (H) 72,880 70,976
Total (A + B + C + D + E + F + G + H) 90,568 84,921
For each category of waste generated, total waste recovered through recycling-using or other recovery operations (in metric tonnes)
Category of waste
(i) Recycled 65,658 58,441
(ii) Re-used 24,181 25,665
(iii) Other recovery operations 293 509
Total 90,132 84,615
For each category of waste generated, total waste disposed by nature of disposal method (in metric tonnes)
Category of waste
(i) Incineration 279 173
(ii) Landfilling* 157 133
(iii) Other disposal operations - -
Total 436 306

*Hazardous waste is disposed of through Pollution Control Board authorised/licensed vendors in line with Consent to Operate condition.

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

9. Briefly describe the waste management practices adopted in your establishments. Describe the strategy adopted by your company to reduce usage of hazardous and toxic chemicals in your products and processes and the practices adopted to manage such wastes.

Our factories have identified innovative ways to reuse various non-hazardous waste streams and maintain the status of zero non-hazardous waste to landfills across our operations. We have achieved this by maximising the reuse and recycling of all non-hazardous waste in environmentally friendly ways, such as reusing jumbo bags, carbon cartons, and process waste, such as soap; reusing sludge waste as boiler fuel; upcycling plastic; and using food waste for animal feed. Additionally, the R&D teams are improving materials selection and product design to reduce waste at the source. We also use recycled materials in our packaging and collect and safely dispose of more plastic waste than we sell (per our EPR). As a result, the total waste generated from our factories in FY 2022-23 has decreased by 55% (per tonne of production) compared to the 2008 baseline. All our factories are equipped with pre-processing facilities, such as waste segregation and waste reduction at source, thus improving recyclability. Further, our factories are being continuously equipped to eliminate usage of hazardous chemicals used for cleaning and disinfection process by upgrading the hardware with latest technologies.

10. If the entity has operations/offices in/around ecologically sensitive areas (such as national parks, wildlife sanctuaries, biosphere reserves, wetlands, biodiversity hotspots, forests, coastal regulation zones etc.) where environmental approvals / clearances are required, please specify details in the following format:

None of our operating sites are in ecologically sensitive areas.

11. Details of environmental impact assessments of projects undertaken by the entity based on applicable laws, in the current Financial Year:

S.No. Name and brief details of project EIA Notification No. Date Whether conducted by independent external agency (Yes / No) Results communicated in public domain (Yes / No) Relevant Web link
1 Nabha Production Expansion Project 2006 EIA Notification July 2022 Yes Submitted to PCB -

12. Is the entity compliant with the applicable environmental law/ regulations/ guidelines in India; such as the Water (Prevention and Control of Pollution) Act, Air (Prevention and Control of Pollution) Act, Environment protection act and rules thereunder (yes/no)?. If not, provide details of all such non-compliances, in the following format:

Yes, the Company's operations/offices comply with applicable environmental law, regulations of the country and operate as per Consent to Operate conditions from the Central and State Pollution Control Boards. Our dedicated trained and qualified Environment, Health and Safety representative at each site co-ordinate the overall implementation of the site environmental management system. This includes the environmental performance of individual activities, co-ordinating environmental matters within the organisation, advising line management in environmental matters and contacts with regulatory authorities, residents, etc.

S.No. Specify the law / regulation / guidelines which was not complied with Provide details of the non-compliance Any fines / penalties / action taken by regulatory agencies such as pollution control boards or by courts Corrective action taken, if any
1 None
Leadership Indicators

1. Provide break-up of the total energy consumed (in Joules or multiples) from renewable sources, in the following format:

Parameter FY 2022-23 FY 2021-22
From renewable sources
Total electricity consumption (A)* 11,52,640 10,68,4689
Total fuel consumption (B) 23,31,926 22,63,217
Energy consumption through other sources (C) - -
Total energy consumed from renewable sources (A+B+C) 34,84,566 33,31,685
From non-renewable sources
Total electricity consumption (D) - 1,131
Total fuel consumption (E) 2,34,806 3,69,769
Energy consumption through other sources (F) - -
Total energy consumed from non-Renewable sources (D+E+F) 2,34,806 3,70,900

*Sources of renewable electricity include solar energy, wind energy and offsets though International Renewable Energy Certificate (IREC) purchased for grid electricity

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

Energy consumed from renewable sources

2. Provide the following details related to water discharged: Water discharge by destination and level of treatment (in kilolitres)#

Parameter FY 2022-23 FY 2021-22
Water discharge by destination and level of treatment (in kilolitres)
(i) To Surface water
- No treatment - -
- With treatment - -
(ii) To Groundwater
- No treatment - -
- With treatment - -
(iii) To Seawater
- No treatment - -
- With treatment - -
(iv)Sent to third parties
- No treatment - -
- With treatment (Secondary Treatment) 52,080 58,686
(v)Others
- No treatment - -
- With treatment - -
Total water discharged (in kilolitres) 52,080 58,686

*Wastewater is treated in the Company's own Effluent Treatment Plants through Secondary treatment and then discharged in line with consent requirements of the Pollution Control Board.

#Water discharge has been reported for owned manufacturing sites

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

3. Water withdrawal, consumption and discharge in areas of water stress (in kilolitres):

(i) Name of the area: As per central groundwater authority below areas are located in water stress area:
Bhuj, Chhindwara, Etah (Instant Tea), Etah (Packet Tea), Nabha, Nashik, Pondicherry, Rajpura, and Sonepat

(ii) Nature of operations: Manufacturing

3. Water withdrawal, consumption and discharge in areas of water stress (in kilolitres): Water withdrawal, and consumption in the following format:

Parameter FY 2022-23 FY 2021-22
Water withdrawal by source (in kilolitres)
(i)Surface water - -
(ii)Groundwater 10,00,604 9,50,144
(iii)Third party water 2,63,667 2,41,069
(iv)Seawater / desalinated water - -
(v)Others - -
Total volume of water withdrawal (in kilolitres) 12,64,271 11,91,213
Total volume of water consumption (in kilolitres) 12,64,271 11,90,479
Water intensity per rupee of turnover (Water consumed / turnover)* 21.4 KL/crore 23.3 KL/crore
Water discharge by destination and level of treatment (in kilolitres)
(i) Into Surface water
- No treatment - -
- With treatment - -
(ii) Into Groundwater
- No treatment - -
- With treatment - -
(iii) Into Seawater
- No treatment - -
- With treatment - -
(iv) Sent to third-parties
- No treatment - -
- With treatment (Secondary treatment) - 734
(v) Other
- No treatment - -
- With treatment - -
Total water discharged (in kilolitres) - 734

* Turnover number used in the intensity calculation is audited by our statutory auditors, BSR & Co. LLP. The numerator of intensity calculation i.e. total water consumption is assured by Price Waterhouse Chartered Accountants LLP.

Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (yes/no) If yes, name of the external agency
Yes, an independent assurance has been conducted by Price Waterhouse Chartered Accountants LLP

4. Please provide details of total Scope 3 emissions & its intensity, in the following format:

We are committed to Net Zero emissions for all our products from sourcing to point of sale by 2039. Unilever PLC (Parent Company) measures group level (includes HUL) Scope 3 emissions along the value chain using a proprietary GHG footprint model from sourcing to disposal. The model is developed using lifecycle analysis and industry databases, and actual data from suppliers where available. For us, Scope 3 includes emissions, which are embedded in the raw materials and their inbound and outbound logistics. The largest contributor to Scope 3 emissions is the carbon footprint of raw materials incorporated in our products. This footprint is a function of the embedded carbon per ton of the raw material and the total volume purchased.

Unilever PLC has carried out simplified LCA to estimate various Scope 3 emission sources. This approach also takes into account the source of the carbon for organic molecules and the fate (i.e., biodegradation) of organic materials. Our analysis indicates that the largest emissions are from raw materials like Linear Alkylbenzene Sulphonic acid, Total Fatty Matter/Soap, Tea, Sodium Carbonate, Sodium Lauryl Ether Sulphate, Milk and milk solids. We are working with our suppliers to set up a mechanism for measuring HUL specific Scope 3 emissions.

5. With respect to the ecologically sensitive areas reported at Question 10 of essential indicators above, provide details of significant direct & indirect impact of the entity on biodiversity in such areas along-with prevention and remediation activities.

Not applicable, as none of the manufacturing units is in ecologically sensitive zones.

6. If the entity has undertaken any specific initiatives or used innovative technology or solutions to improve resource efficiency, or reduce impact due to emissions / effluent discharge / waste generated, please provide details of the same as well as outcome of such initiatives, as per the following format:

Sr.No Initiative undertaken Details of the initiative (Web-link, if any, may be provided along-with summary) Outcome of the initiative
1 Water stewardship We have implemented Water Stewardship Projects across 8 water stressed locations (as per ground water resource and WRI) in India. In 2022, we embarked on the journey to align our Water Stewardship Programme to the Alliance for Water Stewardship (AWS) Framework for 2 sites.

We set up Hindustan Unilever Foundation (HUF) in 2010 to support and amplify scalable solutions that can help address India's water challenges - specifically for rural communities that intersect with agriculture. HUF established its 'Water for Public Good' programme that is anchored in the belief that water is a common good and must be governed by citizen communities. The aim was to catalyse effective solutions to India's water challenges involving the government, communities, experts, and mission-based organisations. HUF's programmes has reached over 14,000 villages since inception. HUF also supports several knowledge initiatives in water conservation and governance.

We also have Project Prabhat- our sustainable community initiative that has been implementing water conservation projects in water-stressed sites across the country, focusing on ensuring water security. Water conservation structures, such as check dams, farm ponds, farm bunds, water absorption trenches were constructed in programme villages to enhance access to water. The programme also supports agricultural communities with water conservation solutions helping in achieving better water efficiency.

Please refer https://www.hul.co.in/planet-and-society/protect-and-regenerate-nature/ for more details
At Site level, our own manufacturing operations have witnessed a 48% reduction in water usage (cubic meter per tonne of production) in FY 2022-23 as compared to the 2008 baseline. We were able to achieve this by focussing on reducing freshwater abstraction, implementing captive rainwater harvesting, and maximising the use of RO plants. The benefits include increased efficiencies, reduced risks, strengthening stakeholder relationships and building community trust.

HUF along with its partners has created a cumulative and collective water potential of over 2.6 trillion litres*. To underscore the importance of the water potential created by HUF; 2.6 trillion litres of water is more than the quantity required to meet the drinking water needs of India's population for nearly two years
2 Emissions In alignment with the Paris Agreement - 2015, we embraced the most important aspect of 'Care for Environment and Planet' and thus embarked on a journey to halve greenhouse gas impact of our products across the lifecycle by 2030 and net zero emissions for all our products from sourcing to point of sale by 2039.

100% of our electricity is from renewable sources with a combination solar/wind and IREC green certification. We have started buying renewable energy through solar power plants and invested in windmills to reduce the real time requirement of grid power.

We have also embarked on a journey to substitute the fossil fuel requirement by green fuels and already eliminated coal from our operations. In the last four years, we have introduced Biomass instead of Coal, Bio diesel in place of Furnace Oil and High Speed Diesel (HSD). We have also adopted the usage of various energy saving projects, such as heat pumps, energy efficient motors, Variable Voltage and Frequency Drive (VVFD) usage etc. to reduce the overall requirement of energy in the factories. Please refer https://www.hul.co.in/planet-and-society/climate-action/ for more details
As on March 2023, the renewable energy percentage (for both Electrical and Thermal combined) is 93% for our own manufacturing sites.

We have significantly reduced our per tonne GHG emission by 97% and energy consumption by 44% in our own manufacturing operations in FY 2022- 23 compared to 2008 baseline.
3 Waste Our factories have identified innovative ways to reuse various non-hazardous waste streams and maintain the status of zero non-hazardous waste to landfills in factories and offices across the Company. This was done by maximising the reuse and recycling of all non-hazardous waste in environmentally friendly ways.

Please refer https://www.hul.co.in/planet-and-society/waste-free-world/ for more details
The total waste generated from the factories was 55% (per tonne of production) lower in our own manufacturing operations in FY 2022-23 than the 2008 baseline. All our factories are equipped with pre-processing facilities, such as waste separation and waste reduction at the source, thus improving recyclability.

*Assured by external independent firm

7. Does the entity have a business continuity and disaster management plan? Give details in 100 words/ web link.

We have a standardised procedure to maintain business continuity and ensure robust and effective management of incidents. It is based on the principles of prevention, preparedness, response, and recovery. A risk-based approach is followed to identify credible business risks and the management plan is reviewed regularly to ensure that it is up to date and effective. In addition, to safeguard our data and IT systems, we have a Data Recovery Capability Standard for the design, operation and management of any device or technology solution which stores or processes our data. The purpose of this Standard is to specify controls to ensure that our data, applications and systems can be recovered to meet business operational requirements following a disruptive cyber incident.

8. Disclose any significant adverse impact to the environment, arising from the value chain of the entity. What mitigation or adaptation measures have been taken by the entity in this regard.

We conduct a sustainability materiality assessment to identify and prioritise sustainability issues across our value chain. A sustainability issue is material to us if it is considered a principal risk or an element of a principal risk that could impact our business or performance or if our key stakeholders deem it important. In addition, we use stakeholder insights to gauge the relative importance of each issue https://www.hul.co.in/planet-and-society/sustainability-reporting-centre/ materiality-assessment/

We have set specific sustainability targets, serving as our strategy to deliver consistent, competitive, profitable, and responsible growth. We have set an ambitious sustainability agenda to tackle the issues that our consumers and stakeholders care deeply about. Details of our mitigation can be reviewed on the following websites: https://www.hul.co.in/planet-and-society/climate-action/ and https://www.hul.co.in/planet-and-society/protect-and-regenerate-nature/

9. Percentage of value chain partners (by value of business done with such partners) that were assessed for environmental impacts.

We conduct periodic risk assessment of our suppliers using country risk and commodity risk data from external third-party risk data providers. As on 31st March 2023, 77.8% of the suppliers (by value of business done) have undergone risk assessment and are compliant.

Our RPP and its Fundamental Principles embody our commitment to responsible, transparent, and sustainable business. Each fundamental principle of the RPP provides guidance on what we expects from the responsible and sustainable business partners. We are committed to working with our suppliers on this journey of continuous improvement.

We also verify alignment to and implementation of the RPP's mandatory requirements using supplier self-declarations, online assessments and - for designated high-risk countries and supplier types - independent verification, including third-party audits.

#At HUL, we have a robust process to capture environment data across our owned manufacturing sites and offices and that is the basis for the numbers reported in Principle 6.