2.1. Assessment of the suppliers' sustainability practices

An approach to assess the suppliers' sustainability practices takes into account stakeholder expectations, standards, and the regulatory recommendations, such as:

• queries of the Company's customers as regards a responsible supply chain;
• EcoVadis rating platform to assess corporate social responsibility, sustainable procurement, and practices of building a responsible supply chain;
• Standard for Responsible Mining ( Initiative for Responsible Mining Assurance IRMA), which covers suppliers of goods, works and services, among others;
• IFRS S1 and S2 developed by the ISSB (International Sustainability Standards Board), including requirements on supply chain transparency;
• the Global Reporting Initiative (GRI) standard that creates a sustainability reporting framework, including indicators on supplier relations and making supply chains more sustainable;
• A Guide for Issuers: How to Comply with Best Sustainability Practices drafted by the Moscow Exchange, including responsible supply chain management practices;
• Recommendations for Public Joint‑Stock Companies to Disclose Non‑Financial Information Regarding Their Operations issued by the Bank of Russia, including recommendations on disclosures related to the management of a sustainable supply chain;
• the RAEX rating agency, which issues an ESG ranking covering the responsible supply chain.

Hence, Nornickel expanded the range of suppliers subject to assessment against ESG criteria. To this effect, the Company developed a self‑assessment questionnaire (the “Questionnaire”) that allows it to evaluate suppliers’ sustainability practices. The results will help identify areas of improvement of supplier activities related to the responsible supply chain.