Responsible and Sustainable Business Practice – Tallinna Vesi – aastaaruanne 2022

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Responsible governance

Tallinna Vesi is committed to following the Corporate Governance Recommendations issued by the Financial Supervision Authority and has acted accordingly throughout 2022. Tallinna Vesi considers it crucial to be transparent in its methods of operation through its corporate disclosures and relations with stakeholders.

Business ethics

As a listed company, it is one of Tallinna Vesi’s priorities to ensure that its activities and the conduct of its directors, officers, employees or any third parties acting on its behalf observe the highest standards of integrity.

Tallinna Vesi has established its Code of Conduct and introduced the Whistleblowing Policy. The Code of Conduct sets forth the standards of business behaviour and ethics for all managers and employees of Tallinna Vesi. Tallinna Vesi did not identify any proven corruption or fraud incidents during 2022.

Our principles and membership in organisations

We deem it important to be involved and express our opinion on the issues that are relevant in society, and to contribute to the development of areas related to our activity and drafting of legal acts. To these purposes, we have joined and become a founder member of various associations, including Estonian Association of Environmental Management, Corporate Social Responsibility Forum in Estonia, Association for Quality, Estonian Waterworks Association, and other organizations.

We are responsible for providing customers with a reliable supply of drinking water and for treating wastewater and stormwater, by using safe and environment-friendly technologies. To us it is key to bear this fact in mind while performing our daily business activities. Therefore, our management practices need to consider the impact we have on our surrounding environment and the expectations of various stakeholders. Our Management Board has approved the policies and guiding principles that set the overall framework for acting in various areas, which are available on our website.

Risk and uncertainties

In everyday operations any company is a subject to a variety of risks. Risks can be threats, uncertainties or lost opportunities relating to Tallinna Vesi’s current or future operations or activities. We constantly assess and monitor our operational and financial risks. Although risks cannot be entirely avoided, we have worked out an effective system to manage them.

Risk management process is something that is integrated and embedded in Tallinna Vesi’s organizational culture and processes and supports the achievement of the Company’s strategic objectives. The Audit Committee and the Supervisory Board receive and review, once a quarter, the overview of the significant risks along with details of the current controls and any further actions that are planned, and potential financial impact when possible.

Principles of sustainability reporting (ESG)

Our sustainability and social responsibility report has been prepared according to the Sustainability Reporting Standard of Global Reporting Initiative (GRI Standards). Considering the Company’s size and scope of operations in a global context, the most suitable level of reporting is ‘core’, which includes data about the Company’s profile, stakeholders and principles, management approach and key performance indicators.

In order to place our activities in a wider context of sustainability, we will continue to link our activities to the 2030 Agenda for Sustainable Development and its 17 Sustainable Development Goals (SDG). AS Tallinna Vesi contributes to the achievement of the following SDGs:

Good health and well-being

Clean water and sanitation

Decent work and economic growth

Responsible consumption and production

Climate and action

Life below water

Peace, justice and strong institutions

To better illustrate how our activities contribute to the achievement of many of the SDGs, which are considered relevant in Estonia, we have related the relevant SDGs to our defined material topics.