Sasol Limited Integrated Report 2021 - Book - Page 3
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ABOUT THIS REPORT
Our Integrated Report aims to provide a
balanced and accurate reflection of our strategy,
performance, opportunities and future outlook
in relation to material financial, economic, social
and governance issues. The intent of the report is
primarily to address value-creation considerations
of long-term investors but also provides
appropriate information to all our key stakeholders.
We aim to preserve, create and deliver sustainable value for all our stakeholders through the six
capitals. Our unique processes are key inputs and we produce value-adding outputs by using an
integrated approach. Our material matters are continuously monitored as they have the potential
to substantially affect – both positively and negatively – our ability to create and preserve value.
This is undertaken through the triple bottom line of People, Planet and Profit.
MM Our material matters
Internal control framework and assessment
The Board of Directors of Sasol Limited (the Board), with the support
of the Audit Committee, is ultimately responsible for Sasol’s system
of internal control, designed to identify, evaluate, manage and provide
reasonable assurance against material misstatement and loss. We apply
a combined assurance model, which seeks to optimise the assurance
obtained from management as well as internal and external assurance
providers while fostering a strong ethical context and mechanisms to ensure
compliance. Through the risk management process approved by the Board,
management identifies key risks facing Sasol and implements the necessary
internal controls.
Our combined assurance model
Reporting boundary for the Integrated Report
(risks, opportunities and outcomes)
ZERO
Safety
Financial reporting entity
(control and significant influence)
Pursuing
zero harm
People
Attracting and
retaining talent
Decarbonising
Trust
Sasol 2.0
Decarbonising for
sustainability
Rebuilding
credibility and
trust
Delivering
Sasol 2.0
SASOL
Subsidiaries
Other
investments
Joint ventures
Employees and organised labour | Shareholders and providers of
capital | Customers | Governments and regulators | Communities
and societies | Non-governmental organisations (NGOs) | Suppliers
| Media | Organised business and industry
Our key stakeholders
Six capitals
Our ongoing engagement with stakeholders enhances
our reputation and improves our understanding of
stakeholders’ needs and interests to best position us for
Future Sasol.
HC
Employees and organised labour
Shareholders and providers of capital
Our suite of reports complies with the
following reporting standards and
frameworks
SC
Customers
The International Integrated Reporting
Framework
Governments and regulators
NC
South African Companies Act 71 of
2008, as amended (Companies Act)
Communities and societies
Johannesburg Stock Exchange (JSE)
Listings Requirements
King IV™ Report on Corporate
Governance for South Africa, 2016
Non-governmental organisations (NGOs)
International Financial Reporting
Standards (IFRS)
Global Reporting Initiative (GRI)
Our risks
Task Force on Climate-related Financial
Disclosure (TCFD)
The main purpose of risk management is to adequately
position the organisation to understand and respond
to the potential risks that could materially impact the
execution of our strategy and value creation.
United Nations (UN) Sustainable
Development Goals (SDGs) and
reporting criteria
United States Securities and Exchange
Commission (SEC) rules and
regulations
Sarbanes-Oxley Act of 2002
Reports
IR
SR
CCR
AFS
20-F
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FC
MC
Financial – including capital investments
Safety and operational
Legal, regulatory and governance
Information management – including cyber threats
Market
Sustainability
People
Geopolitical
Stakeholders – including stakeholder activism
COVID-19
IC
To grow and steer our business and operate our facilities
safely and efficiently, we require high-performing,
innovative and diverse people with the right skills and
experience. We focus on being an inclusive organisation,
building and retaining critical skills and developing our
leadership capabilities.
The process is monitored and evaluated under the direction of internal audit,
while external audit teams covers key controls and accounting matters in the
course of its audits. Other levels of external assurance are obtained as and
when required. The Board and Audit Committee assessed the effectiveness of
controls for the year ended 30 June 2021 as satisfactory, primarily through
a process of management self-assessment, including formal confirmation
from executive management and also considered reports from internal audit,
external audit and other assurance providers. The consolidated financial
statements present fairly, in all material respects, our financial position,
results of operations and cash flows as of and for the period.
Social capital
Directors’ approval
Human capital
To create an enabling environment for operations and
investment, we integrate the needs of our stakeholders
into our business and we deliver on our commitments.
We actively engage stakeholders to ensure we progress
on strategy and have a multi-stakeholder approach to
solve challenges.
Natural capital
We require natural gas, coal and crude oil as well as air,
water, land and energy to convert hydrocarbon reserves
into value-adding product streams, while minimising our
environmental footprint.
Financial capital
We are disciplined in the way we allocate our financial
capital. We use cash generated by our operations,
divestments, debt and equity financing to sustain
our business and fund growth.
The Board is ultimately responsible for ensuring the integrity of Sasol’s
integrated reporting. The Board gave attention to management’s evaluation
of the effectiveness of the disclosure controls and procedures. Other than
the material weaknesses reported in the Annual Financial Statements and the
Form 20-F, we believe Sasol has designed such internal controls over financial
reporting to provide reasonable assurance regarding the reliability of financial
reporting and the preparation of financial statements for external purposes in
accordance with International Financial Reporting Standards.
Notwithstanding the material weaknesses, we confirm that the 2021
Integrated Report addresses all material issues and matters which affect the
Group’s ability to preserve and create value and fairly represents the Group’s
integrated performance. The Board approved this report and its publication
on 20 September 2021.
The Board confirms that Sasol is in compliance with the provisions of the
Companies Act relating to its incorporation and is operating in conformity
with its Memorandum of Incorporation.
Signed by the Directors:
Manufactured capital
By investing in plant and equipment, we are able to
convert hydrocarbon resources into high-value products
and operate reliably. These investments also help manage
our environmental footprint and assist in complying with
regulatory requirements.
Sipho Nkosi
Fleetwood Grobler
Chairman of the Board
President and Chief
Executive Officer
Paul Victor
Vuyo Kahla
Chief Financial Officer
Executive Vice President
Colin Beggs
Manuel Cuambe
Muriel Dube
Martina Flöel
Nomgando Matyumza
Moses Mkhize
Intellectual capital
Our proprietary and licenced technologies, software,
licences, procedures and protocols support our competitive
advantage. Through various initiatives that include
operational excellence and digitalisation, we enhance
our robust foundation.
Katherine Harper
Mpho Nkele
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Sasol Integrated Report 2021
Beatrix Kennealy
Peter Robertson
Stanley Subramoney
Stephen Westwell