Vedanta has grown at a rapid pace in the last decade and is poised to
maintain industry-leading growth rates as our capacities in Aluminium,
Power, Iron ore, Zinc and Silver ramp up. Our commitment is to deliver
excellence and create greater value for all our stakeholders, while our
strategic priorities remain unchanged.
Reflecting on another productive year, we are well-positioned to
capitalise on India''s abundant natural resource opportunities.
The sector witnessed a challenging and volatile year with unprecedented
decline in prices of oil and iron ore, though zinc and aluminium prices
were relatively more resilient. The substantial drop in oil prices
during the year has led to a one-time, non-cash impairment charge of
acquisition goodwill largely relating to the oil and gas business of
Rs. 19,956 Crore. This is reflecting the reality of oil prices today
and doesn''t affect our strategy in anyway. Our diversified portfolio of
businesses continues to remain fundamentally strong and structurally
low cost. The Company has implemented a series of cost-effective
measures to maintain financial strength, while preserving a strong
resource position and a portfolio of assets with attractive long-term
Vedanta''s strategy has been to vastly enhance India''s existing
resources and to invest in exploration to drive long-term value with
technological advancements and its world-class team of professionals.
We continue to take significant steps to further augment the rich
heritage of Vedanta and strategically position our operations to
facilitate economic growth of our communities. Sesa Sterlite Limited
renamed Vedanta Limited, is a significant step to align the group
identity, strengthening the linkage between our global businesses,
stakeholders and communities.
My vision for the future is to continue to strive hard to fulfil
Vedanta''s potential and contribute to the growth of the world''s largest
democratic nation, economically, socially and sustainably. We are
working with our employees, communities, Government of India and the
State governments to support India''s exponential growth.
The election of a new government in India has indeed had a positive
impact on the business environment we operate in and we are enthused by
the transformation we are witnessing under the leadership of Hon''ble
Prime Minister Shri Narendra Modi. I am sure the country will benefit
from the progressive reforms being proposed by the Government.
In FY 2014-15, Vedanta contributed Rs. 27,900 Crore, making us one of
the largest corporate contributors to the Indian exchequer. Vedanta is
also one of the largest employers in India and empowers and supports
the communities it operates in, through its CSR activities.
We believe that the destinies of India and Vedanta are closely
interwoven. India has been steadily strengthening its position on the
global map with a promise of socio-economic development. So has Vedanta
with its ability and commitment to develop India''s richly-endowed
natural resources that can fuel the country''s future growth and raise
the living standards of its 1.2 billion people.
At Vedanta, creating sustainable, long-term value for our stakeholders
is through our core assets; our people. We have a global team of
professionals, and they collectively drive excellence, led by our newly
appointed CEO, Tom Albanese. Tom has held leadership roles in global
organisations and his dedication, knowledge and leadership is an
inspiration to his peers in the mining industry.
I am confident of his role in consolidating our strengths and creating
more opportunities for a sustainable value.
While we made substantial progress in improving safety in the Group
this year, I am saddened that we still experienced five fatalities. Our
efforts to deliver our core value of Zero Harm remain a key priority.
Our commitment to Zero Harm environment is extended to the communities
in which we have our operations. We are also focused to do more than
what the law mandates to sustain our ''Licence to operate''.
Vedanta as a caring organisation emphasises on extensive community
engagements. We are committed to complete transparency. Our principles
of community dialogue and mutual respect entail taking prior informed
consent to access natural resources. Our community investment is Rs.
171 Crore this year, providing support for schools, hospitals, health
centres and farmers hence, benefiting about 2.8 million people
We recognise that diversity is a social and business imperative. We are
committed to increase our gender diversity by setting a target of 15%
women in key executive roles and workforce, building on the strong
management team, with diverse backgrounds we have today.
Ms. Anuraddha Dutt was recently welcomed to the Vedanta Board as a
Non-Executive Director. Through her commitment and passion for law,
she has earned a reputation as a prominent member of the legal
community in India. Her appointment will bring in diversity in thought,
knowledge and perspective to further help the Board in discharging its
responsibility and meeting the expectations of our stakeholders. She is
the second woman member inducted into the Vedanta Board.
In 2014, we lost our board member, Mr. Gurudas Kamat. Mr. Kamat was a
valued and respected member of the team, contributing significantly to
the Company as a board member. We will greatly miss his guidance and
And finally, I would like to thank our energetic and hardworking
Vedanta team - I am amazed at what we have achieved over the past years
and their contribution is immense. Together we have created a
value-based and empowered organisation that is well-positioned for the
next stage of its growth. I''d also like to acknowledge all my fellow
directors for their sound guidance and contribution.
Let me conclude by sharing Shakespeare''s quote, It is not in the stars
to hold our destiny but in ourselves.
So let''s build our destiny and let''s build our nation, together.