| C |
Sustainability and Resilience
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22/22 |
| C.1 |
Sustainability-related disclosure should be consistent, comparable and reliable, and include retrospective and forward-looking material information that a reasonable investor would consider important in making an investment or voting decision |
6/6 |
| |
Material Sustainability-related information should be specified |
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| C.1.1 |
Does the company identify/report ESG topics that are material to the organization’s strategy? |
Yes. Page 216-219 of the Annual Integrated report disclose the method of determining material sustainability topics and the list of materials topics for sustainability reporting.
Also, page 200 of the Annual Integrated Report disclosed the ESG strategy orientation of the Company
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Annual Report 2023
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YES |
| C.1.2 |
Does the company identify climate change as an issue?
|
Page 155 of the annual report stated that climate change is a material issues
Page 205 mentions how the company address climate risk
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Annual Report 2023
|
YES
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| C.1.3 |
Does the company adopt an internationally recognized reporting framework or standard for sustainability (i.e. GRI, Integrated Reporting, SASB, IFRS Sustainability Disclosure Standards)? |
Yes, Page 194 of the Annual Integrated Report mentions that the report is prepared in reference to GRI 2021 Universal Standards, SDG, IFA and FAO guidelines. |
Annual Report 2023
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YES
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| |
If a company publicly sets a sustainability-related goal or target, the disclosure framework should provide that reliable metrics are regularly disclosed in an easily accessible form |
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| C.1.4 |
Does the company disclose quantitative sustainability target? |
Page 236 of the Annual Integrated Report mentioned that by 2025 PVCFC will strive to reduce 5% of energy consumption from the baseline of 2022. |
Annual Report 2023
|
YES
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| C.1.5 |
Does the company disclose sustainability-related performance progress in relation to its previously set targets? |
Yes, page 236 of the Annual Integrated Report disclose the progress of the implementation of the Energy Consumption Target. |
Annual Report 2023
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YES
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| C.1.6 |
Does the company confirm that its Sustainability Report / Reporting is reviewed and /or approved by the Board or Board Committee? |
Page 206 of the Annual Integrated Report mentioned that the Board "approves information disclosure on sustainable development"
The BOD reviewed and approved the 2023 Sustainability Report (please see the Decision 2688/QD-PVCFC on the approval of the 2023 Sustainability Report)
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1. Annual Report 2023
2. 2023 Sustainability Report
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YES
|
| C.2 |
Corporate governance frameworks should allow for dialogue between a company, its shareholders and stakeholders to exchange views on sustainability matters |
2/2 |
| C.2.1 |
Does the company engage internal stakeholders to exchange views and gather feedback on sustainability matters that are material to the business of the company? |
"PVCFC interacts with internal stakeholders (e.g. employees) through various methods such as survey, interview, workshop or online platforms to collect their contributed opinions, feedback, concerns and expectations.". See page 214 of the Annual Integrated Report
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Annual Report 2023
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YES
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| C.2.1 |
Does the company engage external stakeholders to exchange views and gather feedback on sustainability matters that are material to the business of the company? |
"We analyze the input information collected from stakeholders to identify common themes, trends, and priorities. Then, we rely on factors such as the importance of the issue, the impact of the issue on PVCF Candits stakeholders, urgency and feasibility to determine the priority level of the concerns of stakeholders." See page 210-215 of the Annual Integrated Report
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Annual Report 2023
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YES
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| C.3 |
The corporate governance framework should ensure that boards adequately consider material sustainability risks and opportunities when fulfilling their key functions in reviewing, monitoring and guiding governance practices, disclosure, strategy, risk management and internal control systems, including with respect to climate-related physical and transition risks |
1/1 |
| |
Boards should assess whether the company’s capital structure is compatible with its strategic goals and its associated risk appetite to ensure it is resilient to different scenarios |
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| C.3.1 |
Does the company disclose that the board reviews on an annual basis that the company's capital and debt structure is compatible with its strategic goals and its associated risk appetite? |
"As a yearly activity, BOD evaluates its capital resources, its capital structure of PVCFC to ensure appropriateness with the company’s long-term business strategy as well as risk appetite identified by the company". See page 155 of the Annual Integrated Report
|
Annual Report 2023 |
YES
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| C.4 |
The corporate governance framework should recognise the rights of stakeholders established by law or through mutual agreements and encourage active co- operation between corporations and stakeholders in creating wealth, jobs, and the sustainability of financially sound enterprises. |
7/7 |
| |
Does the company disclose a policy and practices that address: |
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| C.4.1 |
The existence and scope of the company's efforts to address customers' welfare? |
Farmer/ customer welfare is a sustainable materials topic as defined in the Annual Integrated Report of PVCFC which also includes how PVCFC protect customer rights. Please see page 212-213 and page 247-251; page 256-259 of the Annual Integrated Report |
Annual Report 2023
|
YES |
| C.4.2 |
Supplier/contractor selection procedures? |
"Impacts of business and production activities of PVCFC on environmental and social issues not only come from internal activities at the plant. We are fully aware of environmental and social impacts caused by business and production activities and process of material, chemical supply as well as input services for business and production
activities. Therefore, in the process of selection of suppliers, it is required to select suppliers who fully comply with environmental and social regulations. In the following
years, we will step by step work out deeper assessment criteria on environmental and social issues to evaluate suppliers."
In addition, The Board of Directors has committed that PVCFC's evaluation and selection of suppliers always focus on environmental and social factors for long-term development, in accordance with PVCFC's strategic development orientation. These factors include the actual and potential impacts of the suppliers on the environment and society. The selection of suppliers always ensures a harmonious balance between economic, environmental, and social factors (ESG). The Board of Directors has decided that PVCFC selects suppliers who comply with environmental and social legal requirements for sustainable development (ESG). (please see the Resolution 2407/NQ-PVCFC & page 25 Sustainability Report 2023)
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1. Annual report 2023
2. Resolution 2407
3. Sustainability Report 2023
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YES |
| C.4.3 |
The company's efforts to ensure that its value chain is environmentally friendly or is consistent with promoting sustainable development? |
As a fertilizer manufacturer, PVCFC's business and production activities have environmental and social impacts throughout the value chain. We are aware of the importance of identifying, evaluating and managing the impacts of PVCFC's production and business activities on environmental and social factors throughout PVCFC's value chain. Detailed analysis is provided on page 199 of the AR. Also see page 245 for the sustainable supply chain.
In addition, please see the Resolution 2407/NQ-PVCFC
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1. Annual report 2023
2. Resolution 2407
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YES
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| C.4.4 |
The company's efforts to interact with the communities in which they operate? |
PVCFC's approaches to communities:
"- Co-ordinate with local authorities;
- Disseminate and raise awareness of environmental safety;
- Promote bilateral exchanges through events"
Please see page 252-255 of the Annual Integrated Report |
Annual Report 2023
|
YES
|
| C.4.5 |
The company's anti-corruption programmes and procedures? |
"PVCFC issued the Code of Business Conduct clearly stipulated in Article 17. Anti-corruption and bribery: "PVFCFC's success is based on the product and service quality, not based on illegal actions or unethical conduct. PVCFC does not tolerate acts of corruption or bribery."
Also see page 223 of the Annual Integrated Report
We also informed the company’s anti-corruption programmes in the Report 1776/BC-PVCFC about the implementation of Resolutions of the 2024 AGM in the first half of 2024.
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1. Annual report 2023
2. Code of Business conduct
3. Report 1776/BC-PVCFC
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YES
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| C.4.6 |
How creditors' rights are safeguarded? |
PVCFC respects the legitimate interests of its creditors and commits to ensuring that these legal rights are protected. Depending on the specific situation as well as the requirements and results of negotiations with the creditors, PVCFC commits to using one or more of the following measures to ensure the creditor’s rights:
• Using the PVCFC's assets as collateral to secure the borrowing
• Using mortgage guarantees or other forms as agreed with the creditors.
• Using debt covenant including financial ratios such as Debt/Equity, Interest Coverage Ratio, Current Ratio
• Negotiating with creditors on groups of safeguard measures for assets financed by the creditors, such as purchasing insurance, asset maintenance, etc.
• Periodically reporting on the implementation of guarantee clauses as well as disclosing information about measures to ensure the creditors' rights are upheld.
• Other safeguard measures as agreed with the creditors.
The application of any safeguard measure always ensures a harmonious balance of interests between the creditors and PVCFC, and complies with legal regulations.
See more information at page 35 of the Sustainability Report 2023, page 35 (stakeholder engagement)
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1. Resolution 2407
2. Sustainability Report 2023
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YES
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| C.4.7 |
Does the company have a separate report/section that discusses its efforts on environment/economy and social issues? |
The company disclose its environment and social issues on a separate chapter in their Annual Integrated Report |
Annual Report 2023
|
YES
|
| C.5 |
Where stakeholder interests are protected by law, stakeholders should have the opportunity to obtain effective redress for violation of their rights |
1/1 |
| C.5.1 |
Does the company provide contact details via the company's website or Annual Report which stakeholders (e.g. customers, suppliers, general public etc.) can use to voice their concerns and/or complaints for possible violation of their rights? |
Yes, please see home page of the investor relation in PVCFC website. Also see page 210-215 of the Annual Integrated Report
The company has also announced the whistleblowing procedures on website.
Please also see page 45 of the Sustainability Report for the reporting channel.
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1. Annual Report 2023
2. Whistleblowing procedures
3. Sustainability Report 2023
|
YES |
| C.6 |
Mechanisms for employee participation should be permitted to develop. |
3/3 |
| C.6.1 |
Does the company explicitly disclose the policies and practices on health, safety and welfare for its employees? |
Practices & policies disclosed:
- Occupational health services
- Policy to attract talent & Employee benefits
(Page 239-245 of the Annual Integrated Report)
Please see page 240 of the Annual Integrated Report
|
Annual Report 2023 |
YES
|
| C.6.2 |
Does the company explicitly disclose the policies and practices on training and development programmes for its employees? |
- "Training & coaching policies: the Company builds human resource training and development plans including in-depth management training courses, regular training courses for working skills, foreign language as well as other internal training course for employees" (page 109)
- "The Company has set up talent attraction policies, training personnel according to expert ranks, and internship programs to supplement human resources." (page 206)
Also see page 242-243 for the actual training activities |
Annual Report 2023 |
YES |
| C.6.3 |
Does the company have a reward/compensation policy that accounts for the performance of the company beyond short-term financial measures? |
- "The salary and bonus policy for employees not only depends on the Company's business results in the year but also based on efficiency/level of job satisfaction, compliance issues with regulations related to ethics and other internal processes."
. PVCFC also reviews other long-term factors such as past performance/compliance assessment results to consider the
salary and bonus. When the Company has profits or profits exceeding the plan, a part is deducted as a reward fund and spent in the following years.
See page 107 of the Annual Integrated Report.
Also, the Board agreed that the evaluation of the Board members should also based on the sustainability criteria
|
Annual Report 2023 |
YES |
| C.7 |
Stakeholders including inpidual employee and their representative bodies, should be able to freely communicate their concerns about illegal or unethical practices to the board and their rights should not be compromised for doing this. |
2/2 |
| C.7.1 |
Does the company have a whistle blowing policy which includes procedures for complaints by employees and other stakeholders concerning alleged illegal and unethical behaviour and provide contact details via the company's website or annual report |
- "The regulation of Whistleblowing were issued according to Decision No. 204/QD-BOD dated October 02, 2023 and published in Vietnamese and English language on the Company's website."
- "PVCFC has established a specialized contact information channel managed by the Legal and Compliance pision for parties in interest to voice concerns and/or complaints about potential violations that can affect their interests. The results, after being preliminarily processed, are sent to the Whistleblowing Council for a final decision. BOD is required to ensure the independence of this Council." (page 223)
The company has also announced the whistleblowing procedures on website
|
1. Annual report 2023
2. Regulations on Whistleblowing
3. Whistleblowing procedures
|
YES
|
| C.7.2 |
Does the company have a policy or procedures to protect an employee/person who reveals alleged illegal/unethical behaviour from retaliation? |
"The whistleblower policy guarantees confidentiality of anonymous reporting, providing principles and measures to protect whistleblowers who reveal information about deemed illegal, immoral activities from retaliation" (page 223)
See Article 5 of the Whistleblowing Policy
|
1. Annual report 2023
2. Rgulations on Whistleblowing
|
YES |