Legal & Regulatory risks

Management:

Legal and Compliance risks                  

Legal risks comprise a number of risks in, to some extent, diverse areas. Amended legislation, viola- tions of laws in the operations or errors in any agreements signed by Nobia, are some examples of legal risks that could have negative financial implications for Nobia. In cer- tain instances, they may also result in protracted and costly legal processes.

Compliance risk Non-compliance with the legal and gov- ernance requirements and globally established responsi- ble business conduct in any of the jurisdictions in which we operate and within our supply chain could expose us to significant risk if not actively managed. Failure to success- fully manage relationships with our stakeholders could dis- rupt Nobia’s operations and adversely impact the Group’s reputation. These requirements include laws relating to the environ- ment, price controls, taxation, competition compliance, data protection, human rights, and labour. More stringent environmental requirements, remedi- ation of the environment in connection with plant clo- sures or breaches of permits could incur higher costs for the Group. There is a growing demand from investor and regula- tory communities for improved financial disclosures from companies in relation to climate-related risks and oppor- tunities.

Nobia constantly monitors developments in several areas and addresses any legal risks that arise in cooperation with external advisers. By their nature, legal issues are often national, which means that local experts are also often engaged by Nobia in various issues.

We have developed and operates a Code of Conduct training programme, supported by self-certification and reporting.
Our legal and governance compliance is supported by a
centralised co-ordination of compliance related matters. We have a confidential reporting hotline, Speakup,
enabling employees, customers, suppliers, managers and
other stakeholders to raise concerns about misconduct.

Nobia has a comprehensive programme with policies and guidelines on compliance with applicable competition, Code of Conduct, anti-corruption and data protection legi- slation. All new hires must complete training in the Code of Conduct shortly after joining the company.
Ongoing and potential environmental risks are regularly monitored in our operations. Several key performance indicators (KPIs) that address resource and energy usage in order to minimise costs and impact on the environment have been developed and are regularly monitored by the management team.

Risks are managed, for example, through preventive work in the form of environmental risk inspections in con- junction with acquisitions, and remediation projects related to plant closures.