16.01.2026 04:00 PM तक

₹446.00

NSE

₹448.65

BSE

16.01.2026 04:00 PM तक
₹446.00NSE
₹448.65BSE

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English

Materiality Assessment Process

आखरी अपडेट : 13 January, 2026

Oil India Limited (OIL) conducts a comprehensive materiality assessment to identify and prioritize key Environmental, Social, and Governance (ESG) issues that impact both the organization and its stakeholders. The process follows the principle of double materiality, considering both the internal impact on business and the external impact on society and the environment. The materiality assessment is conducted in the following steps:

Identification of Topics

OIL generates a long list of ESG topics based on international standards, including Global Reporting Initiative (GRI) and Sustainability Accounting Standards Board (SASB).
The list is benchmarked against industry peers and optimized through the merging of related issues, narrowing it down to 25 key topics.
A desk review is conducted to analyze potential impacts, dependencies, risks, and opportunities relevant to oil and gas operations.
Contextual factors such as business model, geographic location, regulatory environment, and stakeholder expectations are considered.

Stakeholder Engagement

Inputs are gathered from over 200 internal and external stakeholders to assess the significance of the 25 identified topics.
Internal Stakeholders: Employees across various levels (executives, non-executives, and senior leadership) participate through workshops and surveys conducted across 40+ departments.
External Stakeholders: Engaged through one-on-one interactions and workshops, including:
- Suppliers
- Customers
- Customers
- Joint Ventures (JVs) and subsidiaries
- Local communities
- Regulatory bodies
Stakeholders provide inputs on the external impact (economy, environment, people, human rights) and financial risks/opportunities for OIL.

Analysis of Topics

Stakeholder inputs are analyzed to determine double materiality:
- Impact materiality: The effect of each topic on external factors like economy, environment, society, and human rights.
- Financial materiality: The economic implications of each topic for OIL, including operational, reputational, and compliance risks.
Scale, scope, and likelihood of impact are assessed, and both positive and negative impacts are mapped.
Irremediability is considered only for negative impacts.

Prioritization of Material Topics

The material topics are prioritized based on their impact and financial materiality, then plotted on a materiality matrix.
Discussions with OIL’s senior leadership further refine the prioritization.
The 25 topics are categorized into three levels:
- 1. Lead – 12 topics that are highest priority where OIL aims to be a best-in-class industry leader.
- 2. Compete – 8 medium-priority topics where OIL adopts best practices.
- 3. Comply – 5 topics classified as compliance-based, ensuring regulatory adherence.
Final validation and approval: The results of the materiality assessment are signed off by the Board to ensure alignment with the company’s strategic priorities and sustainability goals.

Materiality Matrix

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25

Impact materiality

Financial Materiality

- 1
  Ecology & Biodiversity
- 2
  GHG Emissions
- 3
  Physical climate Risk
- 4
  Energy Transition
- 5
  Waste Management
- 6
  Energy Management
- 7
  Water Management
- 8
  Air Quality
- 9
  Circular Economy
- 10
  Diversity & Inclusion
- 11
  Community Social impact
- 12
  Employee Health and Safety
- 13
  Employee Recruiting
- 14
  Human Capital Management
- 15
  Human Rights
- 16
  Labour Relations
- 17
  Long Term Business Growth & Sustanibility
- 18
  Innovation & Reseach
- 19
  Enterprise Risk Management
- 20
  Data Privacy & Cyber Risk
- 21
  Digitalisation
- 22
  Regulatory Compliance
- 23
  Corporate Ethics
- 24
  Sustainable Supply Chain
- 25
  Client Experience & Satisfaction