To the Management of Neste Oil Corporation
We have been engaged by the Management of Neste Oil Corporation (hereinafter also the “Company”) to perform a limited assurance engagement on the numeric information on economic, social and environmental responsibility for the reporting period of 1 January 2013 to 31 December 2013, disclosed in the “Sustainability” section of Neste Oil Corporation’s online Annual Report 2013 (hereinafter “Sustainability information”).
Furthermore, the assurance engagement has covered Neste Oil Corporation’s adherence to the AA1000 AccountAbility Principles with moderate (limited) level of assurance.
The Management of Neste Oil Corporation is responsible for preparing the Sustainability information in accordance with the Reporting criteria as set out in the Company’s reporting instructions and the G3 Sustainability Reporting Guidelines of the Global Reporting Initiative.
The Management of Neste Oil Corporation is also responsible for the Company’s adherence to the AA1000 AccountAbility Principles of inclusivity, materiality and responsiveness as set out in the AccountAbility’s AA1000 AccountAbility Principles Standard 2008.
Our responsibility is to express a conclusion on the Sustainability information and on the Company’s adherence to the AA1000 AccountAbility Principles based on our work performed. Our assurance report has been prepared in accordance with the terms of our engagement. We do not accept, or assume responsibility to anyone else, except to Neste Oil Corporation for our work, for this report, or for the conclusions that we have reached.
We conducted our work in accordance with the International Standard on Assurance Engagements (ISAE) 3000 “Assurance Engagements Other than Audits or Reviews of Historical Financial Information”. This Standard requires that we comply with ethical requirements and plan and perform the assurance engagement to obtain limited assurance whether any matters come to our attention that cause us to believe that the Sustainability information has not been prepared, in all material respects, in accordance with the Reporting criteria.
In addition, we have conducted our work in accordance with the AA1000 Assurance Standard 2008. For conducting a Type 2 assurance engagement as agreed with the Company, the AA1000AS 2008 requires planning and performing of the assurance engagement to obtain moderate (limited) assurance on whether any matters come to our attention that cause us to believe that Neste Oil Corporation does not adhere, in all material respects, to the AA1000 AccountAbility Principles and that the Sustainability information is not reliable, in all material respects, based on the Reporting criteria.
In a limited assurance engagement the evidence-gathering procedures are more limited than for a reasonable assurance engagement, and therefore less assurance is obtained than in a reasonable assurance engagement. An assurance engagement involves performing procedures to obtain evidence about the amounts and other disclosures in the Sustainability information, and about the Company’s adherence to the AA1000 AccountAbility Principles. The procedures selected depend on the practitioner’s judgement, including an assessment of the risks of material misstatement of the Sustainability information. Our work consisted of, amongst others, the following procedures:
- Interviewing senior management of the Company.
- Interviewing employees from various organisational levels of the Company with regards to materiality, stakeholder expectations, meeting of those expectations, as well as stakeholder engagement.
- Assessing stakeholder inclusivity and responsiveness based on the Company’s documentation and internal communication.
- Assessing the Company’s defined material sustainability topics as well as assessing the Sustainability information based on these topics.
- Performing a media analysis and an internet search for references to the Company during the reporting period.
- Visiting the Company’s Head Office as well as one site in Finland.
- Interviewing employees responsible for collection and reporting of the information presented in the Sustainability information at the Group level and at the site where our visit took place.
- Assessing how Group employees apply the reporting instructions and procedures of the Company.
- Assessing the systems and practices used for the collection and consolidation of quantitative information.
- Testing the accuracy and completeness of the information from original documents and systems on a sample basis.
- Testing the consolidation of information and performing recalculations on a sample basis.
Based on our work described in this report, nothing has come to our attention that causes us to believe that Neste Oil Corporation does not adhere, in all material respects, to the AA1000 AccountAbility Principles.
Furthermore nothing has come to our attention that causes us to believe that Neste Oil Corporation’s Sustainability information has not been prepared, in all material respects, in accordance with the Reporting criteria, or that the Sustainability information is not reliable, in all material respects, based on the Reporting criteria.
When reading our assurance report, the inherent limitations of accuracy and completeness of sustainability information should be taken into consideration.
Observations and recommendations
Based on our work described in this report, we provide the following observations and recommendations in relation to Neste Oil Corporation’s adherence to the AA1000 AccountAbility Principles. These observations and recommendations do not affect the conclusions presented earlier.
- Regarding Inclusivity: Neste Oil Corporation continues to demonstrate a strong commitment to inclusivity and stakeholder engagement. The Company regularly engages in dialogue with diverse stakeholder groups, and it has a good understanding of stakeholder expectations and concerns. We recommend that the Company continues to develop internal cooperation in the implementation of its sustainability program.
- Regarding Materiality: Neste Oil Corporation has a process in place to evaluate and determine the materiality of sustainability topics. The Company has continued to develop the focus areas of the sustainability program according to its plans. We recommend that the Company develops further its approach on how to monitor and communicate the results of the implementation of the sustainability program.
- Regarding Responsiveness: Neste Oil Corporation continues to be committed to being responsive to its stakeholders, which is evident from the use of different channels to engage in dialogue and convey messages. We recommend that the Company increases transparency on how it has made progress in implementing the sustainability program. This provides stakeholders further opportunities to assess the Company's performance in the areas of material sustainability themes.
Practitioner’s independence and qualifications
We comply with the independence and other ethical requirements of the Code of Ethics for Professional Accountants issued by the IESBA (the International Ethics Standards Board for Accountants).
Our multi-disciplinary team of corporate responsibility and assurance specialists possesses the requisite skills and experience within financial and non-financial assurance, corporate responsibility strategy and management, social and environmental issues, as well as knowledge of the energy industry, to undertake this assurance engagement.
|Helsinki, 28 February 2014|
|Sirpa Juutinen||Maj-Lis Steiner|
|Partner||Director, Authorised Public Accountant|
|Sustainability & Climate Change||Sustainability & Climate Change|