Independent Assurance Report to the Directors of Sasol Limited

We have been engaged by the directors of Sasol Limited (the “Company”) to perform an independent assurance engagement in respect of Selected Sustainability Information reported in the Company’s Supporting Information to the Integrated Report for the year ended 30 June 2017 (the “Report”). This report is produced in accordance with the terms of our contract with the Company dated 10 February 2017.

Independence, quality control and expertise

We have complied with the independence and other ethical requirements of the Code of Professional Conduct for Registered Auditors issued by the Independent Regulatory Board for Auditors (IRBA Code), which is founded on fundamental principles of integrity, objectivity, professional competence and due care, confidentiality and professional behaviour. The IRBA Code is consistent with the International Ethics Standards Board for Accountants Code of Ethics for Professional Accountants (Part A and B).

The firms applies International Standard on Quality Control 1 and, accordingly, maintains a comprehensive system of quality control including documented policies and procedures regarding compliance with ethical requirements, professional standards and applicable legal and regulatory requirements.

Our engagement was conducted by a multi-disciplinary team of environmental and assurance specialists with extensive experience in sustainability reporting.

Scope and subject matter

The subject matter of our engagement and the related level of assurance that we are required to provide are as follows:

Reasonable assurance

The following was selected for an expression of reasonable assurance:

  • Recordable Case Rate (RCR), including employees and service providers here
  • Total Greenhouse Gas (GHG) (CO2 equivalent kiloton) here
  • Total Scope 1: direct GHG emissions (kiloton) here
  • Total Scope 2 and 3: indirect GHG emission (kiloton) here
  • Total methane (CH4) (kiloton) here
  • Total direct nitrous oxide (N2O) (kiloton) here
  • GHG intensity rate here
  • Total energy use (thousand GJ) here
  • Total material use (kiloton) here
  • Atmospheric emissions: Particulates Fly Ash (kiloton) (here
  • Atmospheric emissions: Nitrogen oxides (NOx) (kiloton) here
  • Atmospheric emissions: Sulphur oxides (SOx) (kiloton) here
  • Total production (external sales) (kiloton) here
  • Total production (external sales) (kiloton) here
  • Number of fatalities (employees and service providers) here
  • Number of significant fires, explosions and releases here

Limited assurance

The following was selected for an expression of limited assurance:

  • Total water use (thousand m3) here
  • Water recycled (thousand m3) here
  • Total hazardous waste (kiloton) here
  • Total non-hazardous waste (kiloton) here)
  • Total waste (kiloton) here
  • Number of significant transport incidents here
  • Employee turnover here
  • Number of employees in Sasol’s maintenance artisan learner pools here
  • Number of employees receiving leadership training here

We refer to this information as the “Selected Sustainability Information”.

We have carried out work on the data reported for the year ended 30 June 2017 only and have not performed any procedures with respect to earlier periods, except where specifically indicated, or any other elements included in the Report and, therefore, do not express any conclusion thereon. We have not performed work in respect of future projections and targets.

Respective responsibilities of the directors and PricewaterhouseCoopers Inc. and Indyebo Inc.

Sasol’s directors are responsible for delegating to management, and overseeing and approving, the selection, preparation and presentation of the Selected Sustainability Information in accordance with the criteria set out in the Company’s Group Procedure for sustainable development reporting definitions set out on the corporate website www.sasol.com, referred to as the “Reporting Criteria”.

Sasol’s directors are also responsible for delegating to management, and overseeing, the designing, implementing and maintaining internal controls as the directors determine is necessary to enable the preparation of the Selected Sustainability Information that are free from material misstatements, whether due to fraud or error.

Management provides regular reports to the directors at the Risk and SHE Committee on progress and areas of concern. The directors obtain external assurance on certain Selected Sustainability Information which is reported on at the Risk and SHE Committee.

Our responsibility is to form an independent conclusion, based on our reasonable assurance procedures, on whether the Selected Sustainability Information for reasonable assurance has been prepared, in all material respects, in accordance with the Reporting Criteria.

We further have a responsibility to form an independent conclusion, based on our limited assurance procedures, on whether anything has come to our attention to indicate that the Selected Sustainability Information for limited assurance has not been prepared in all material respects, in accordance with the Reporting Criteria.

This report, including the conclusion, has been prepared solely for the directors of the Company as a body, to assist the directors in reporting on the Company’s sustainable development performance and activities. We permit the disclosure of this report within the Report for the year ended 30 June 2017, to enable the directors to demonstrate they have discharged their governance responsibilities by commissioning an independent assurance report in connection with the Report. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the directors as a body and the Company for our work or this report save where terms are expressly agreed and with our prior consent in writing.

www.sasol.com.

Assurance work performed

We conducted our assurance engagement in accordance with International Standard on Assurance Engagements (ISAE) 3000 (Revised): Assurance Engagements other than Audits and Reviews of Historical Financial Information, and, in respect of greenhouse gas emissions, International Standard on Assurance Engagements (ISAE) 3410: Assurance Engagements on Greenhouse Gas Statements, issued by the International Auditing and Assurance Standards Board. These standards require that we comply with ethical requirements and that we plan and perform the assurance engagement to obtain limited assurance on the Selected Sustainability Information as per the terms of our engagement.

Our work included examination, on a test basis, of evidence relevant to the Selected Sustainability Information. It also included an assessment of the significant estimates and judgements made by the directors in the preparation of the Selected Sustainability Information. We planned and performed our work so as to obtain all the information and explanations that we considered necessary in order to provide us with sufficient evidence on which to base our conclusion in respect of the Selected Sustainability Information.

Our work in respect of the Selected Sustainability Information included the following procedures:

  • Reviewing the processes that Sasol Limited have in place for determining the Selected Sustainability Information included in the Report.
  • Obtaining an understanding of the systems used to generate, aggregate and report the Selected Sustainability Information.
  • Conducting interviews with management at head office and selected operations.
  • Evaluating the data generation and reporting processes against the Reporting Criteria.
  • Performing key controls testing and testing of accuracy of data report on a sample basis at head office and the selected operations for the Selected Sustainability Information.
  • Reviewing the consolidation of data at head office to obtain an understanding of the consistency of the reporting process compared with prior years and to obtain explanations for deviations in performance trends.
  • Reviewing the consistency between the Selected Sustainability Information and related disclosures in the Report.

A limited assurance engagement is substantially less in scope than a reasonable assurance engagement under ISAE 3000 (Revised). Consequently, the nature, timing and extent of procedures for gathering sufficient appropriate evidence are deliberately limited relative to a reasonable assurance engagement, and therefore less assurance is obtained with a limited assurance engagement than for a reasonable assurance engagement. The procedures selected depend on our judgement, including the assessment of the risk of material misstatement of the Selected Sustainability Information, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the Company’s preparation of the Selected Sustainability Information in order to design procedures that are appropriate in the circumstances.

We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our conclusion.

Inherent limitations

Non-financial performance information is subject to more inherent limitations than financial information, given the characteristics of the subject matter and the methods used for determining, calculating, sampling and estimating such information. The absence of a significant body of established practice on which to draw allows for the selection of different but acceptable measurement techniques which can result in materially different measurements and can impact comparability. Qualitative interpretations of relevance, materiality and the accuracy of data are subject to individual assumptions and judgements. The precision of different measurement techniques may also vary. Furthermore, the nature and methods used to determine such information, as well as the measurement criteria and the precision thereof, may change over time. It is important to read the Report in the context of the Company’s Group Procedure for sustainable development reporting definitions set out on the corporate website.

In particular, where the information relies on carbon and other emissions conversion factors derived by independent third parties, or internal laboratory results, our assurance work has not included examination of the derivation of those factors and other third party or laboratory information.

Conclusions

Reasonable assurance

Based on the results of our reasonable assurance procedures, in our opinion, the Selected Sustainability Information for the year ended 30 June 2017, has been prepared, in all material respects, in accordance with the Reporting Criteria.

Limited assurance

Based on the results of our limited assurance procedures, nothing has come to our attention that causes us to believe that the Selected Sustainability Information for the year ended 30 June 2017, has not been prepared, in all material respects, in accordance with the Reporting Criteria.

Other matters

The maintenance and integrity of the Sasol corporate website is the responsibility of Sasol Directors. Our procedures did not involve consideration of these matters and, accordingly we accept no responsibility for any changes to either the information in the Report or our independent assurance report that may have occurred since the initial date of presentation on the Sasol website.

PricewaterhouseCoopers Inc. Indyebo Inc.
Registered Auditor Registered Auditor
Director: Jayne Mammatt Director: Nondumiso Medupe
Johannesburg Centurion
28 August 2017 28 August 2017

 

Reporting legend

Integrated Report
Annual Financial Statements
Sustainability Reporting
Form 20-F