Grupa LOTOS S.A. - Integrated Annual Report 2012
Commitment to sustainable development
An important element of the system designed to assess the performance, opportunities and risks of Grupa LOTOS, which ensures that the Company’s actions in the sustainability area remain transparent, is the Supervisory Board along with its committees.
In order to meet the internationally adopted standards of sustainable development, the Supervisory Board reviews the core issues and areas of Grupa LOTOS’ operations, both from the point of view of access to natural resources, as well as the Company’s social and environmental impacts.
In 2012, the Supervisory Board met eight times and adopted 52 resolutions, five of which were voted by written ballot, in accordance with Par. 12.3 of the Company’s Articles of Association.
Key matters pertaining to the Company’s performance, opportunities and risks in the area of sustainable development put under discussion by the Supervisory Board in 2013 included:
- upstream opportunities,
- delivery of strategic objectives and financial performance of Grupa LOTOS and its subsidiaries,
- refinancing/financing of the Company’s inventories and securing of crude oil supplies for the refinery,
- changes in the LOTOS Group’s structure,
- preparing the Company to bring its business in line with the climate package requirements,
- financing of CSR projects, and
- corporate sponsorship.
In 2012, the committees of the Supervisory Board - carrying out their supporting, advisory and consultative roles, viewing sustainability as an essential process for the Company and appreciating the importance of responsible approach to business - put the following matters under discussion:
- delivery of strategic objectives and strategic cooperation between the Company and other entities,
- results of the audit and review of financial statements,
- the Company’s 2013 budget and debt service projections,
- management of current assets,
- internal audit and risk management at the Company,
- review of the Company’s operating costs, along with planned and ongoing investments,
- review of remuneration and structure of the LOTOS Group,
- restructuring of the LOTOS Group.
The activities of the Supervisory Board are evaluated by the General Meeting, which has the authority to grant discharge to members of the Supervisory Board in respect of performance of their duties. The basis for granting such discharge is the report containing an assessment of the Company’s standing, covering the sustainable development issues detailed above, which is presented annually by the Supervisory Board pursuant to the Rules of Procedure for the Supervisory Board and the Code of Best Practice for WSE Listed Companies.