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TRANSFORMING         TRANSFORMING         TRANSFORMING
         SUSTAINABILITY REPORT  FY 2023                                                                                                                                     COMMUNITIES           THE PLANET         THE WORKPLACE









         Aim 5


         Achieving net water positivity by 2030






         Key Material Issues                                                                      One (HZL) of our four (HZL,IOB, Cairn          Efficient water management can                lower operational expenses, greater
         Water management                                                                         and BMM) water positive operations             lead to significant competitive               resilience to sudden setbacks and
                                                                                                  is located in water-stressed areas             advantage for the company given               increased buy-in from the
                                                                                                  and in coastal regions, highlighting           the importance of this resource as            community.
                                                                                                  the need for conservation, efficient           an input. We aim to be self-reliant in
                                                                                                  water use, recycling, responsible              terms of our water demand and are             To meet our sustainability goal of
                                                                                                                                                                                                                          1
                                                                                                  water treatment and discharge. We              building our capabilities through the         becoming water positive  by 2030,
         Water is a key resource for our business and ensuring water                              follow a comprehensive and holistic            implementation of water                       Vedanta is focusing on localized
         sustainability is a strategic priority for us. Since metals                              approach to water management with              conservation measures, by                     solutions. The importance that we
         production and processing is water intensive our operations                              the intent of promoting long-term              optimizing water usage, recycling             attach to water management is
         require regular supplies of significant volumes of water.                                conservation, replenishment and                water within operations to ultimately         addressed through our corporate

         Assuring access to reliable water sources is thus essential                              self-reliance. Thus, our water                 reduce the reliance on freshwater             level water policy, which is
         for continuous operations. Water scarcity can severely                                   management practices involve using             sources. Greater control over water           applicable to all our operations,
         disrupt our production commitments, supply chains and                                    less water-intensive technologies,             supplies and the minimal use of               businesses, and subsidiaries, with
         ultimately, our profitability. On the other hand, judicious use                          embedding circularity, ensuring water          freshwater from external sources              particular focus on those in water
         and management of shared water resources is equally vital,                               security and replenishing water in             has many advantages in terms of               stressed areas.
         as situations of conflict can negatively affect our Social                               watersheds and other community
         Licence to Operate within the local community.                                           sources.



                                                                                                                                                 Vedanta's corporate water policy






                                                                                                                •  Compliance with                    •  Prevent water                     •  Categorizing and
                                                                                                                  applicable national,                  pollution and                        periodically
                                                                                                                  regional and local                    maintain zero liquid                 monitoring the water
                                                                                                                  regulations                           discharge                            risk of every BU

                                                                                                                •  Monitor water                      •  Water conservation                •  Track performance
                                                                          In FY 23, we saw a                      usage performance                     through reduction,                   through indicators like
                                                                        11.32% reduction in                       using industry                        recycle and reuse                    freshwater withdrawal,
                                                                      our overall freshwater                      accepted metrics                                                           water recharge etc
                                                                               consumption
                                                                           against the 2021
                                                                        baseline. Our water
                                                                             positivity ratio
                                                                         improved to 0.62 in
                                                                        comparison to 0.51        1
                                                                          achieved in FY 22.       Vedanta defines net water positive impact as the ratio of Water Credit (water given back to natural water bodies) and Water Debit (water taken from natural water bodies). If the ratio is >1,
                                                                                                   then the site is said to be water positive.

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