PTT’s materiality assessment process is conducted in alignment with the Sustainability Reporting Guidelines of the Global Reporting Initiative Version 4 (GRI G4), to identify economic, environmental, social, and stakeholders’ issues that have potential impacts on the organization’s business operations and significant influence in stakeholders’ decision-making.
The materiality assessment is undertaken every year for the preparation of PTT’s Sustainability Report, in order to review any changes in the issues that are important to the organization and its stakeholders.
Materiality Assessment Process
The process includes identifying issues, defining reporting boundaries, prioritizing material issues, verifying findings and engaging in continuous development. Details of the process are summarized as follows:
Issue Identification: Material sustainability issues are considered and identified in collaboration with relevant functions in the organization. Issues are selected based on alignment with corporate risks, strategic direction and sustainability management, and stakeholders’ expectations.
Reporting Boundary: PTT determines the scope of material sustainability issues based on their impacts to business operations along the entire value chain, covering internal (e.g. PTT Group Companies, Joint Ventures) and external (e.g. suppliers, contractors, customers) impacts.
Issue Prioritization: The identified issues are screened to assess their level of significance from two dimensions: opportunity and impact to business, and stakeholder interests and impacts.
Verification: The PTT Group Sustainability Alignment Committee (SAC) is responsible for monitoring and verifying the report development process by reviewing results of the materiality assessment and report content, and approving the content for disclosure to ensure the report’s completeness, balance, and coverage. The SAC further provides comments and suggestions on specific issues that should be reported depending on relevant stakeholder interests, such as current issues and global reporting trends. External parties are engaged to verify the materiality assessment process, stakeholder engagement process, data collection and analysis, and the organization’s performance against indicators to confirm completeness, accuracy, reliability and transparency of the report.
Continuous Development: To ensure continuous improvements in reporting and information disclosure, PTT incorporates additional information into the report’s content based on comments and suggestions received from various channels. These include comments from external parties that have verified PTT’s sustainability reports in previous years; and opinions, interests and expectations of different stakeholder groups as determined through diverse engagement activities, such as interviews from sustainability experts, investors’ recommendations, corporate reputation survey results, stakeholder relations, visitors to PTT’s website, and recommendations from the SAC.