Compliance is the process of ensuring that TETAS adheres to and implements the requirements of European Union and Republic of Lithuania legislation, the company’s internal documents, other legally binding documents, as well as best practice and industry standards.
For TETAS, it is particularly important to manage and ensure compliance because:
- we operate in the energy sector, which is vital to national security;
- any breach of compliance by the company or the EPSO-G group of companies may result in financial consequences, damage to reputation, disruption to operations or harm to the environment;
- we safeguard infrastructure of strategic importance to national security;
- Compliance with these requirements is an essential prerequisite for implementing the company’s strategy and objectives and for ensuring an impeccable professional reputation; therefore, the company takes all necessary measures to ensure that these requirements are met and that compliance with them is consistent with the values of the company and the EPSO-G group of companies.
Compliance management system
- the principle of accountability – Compliance is ensured by each employee in the day-to-day processes they oversee or carry out;
- the principle of applying a risk-based approach – we organise compliance management in such a way that the resources allocated to ensuring compliance are commensurate with the compliance risks arising;
- the principle of sustainability – the aim is for Compliance Management to contribute to the governance principles set out in the EPSO-G Group’s strategy, which are geared towards a sustainable future;
- the principle of integrity – Compliance management is an integral part of day-to-day operations, relating to risk management and inseparable from other processes in place within the company; it is based on the Group’s operational policies and other documents governing internal processes, as well as the Group’s values;
- the principle of documentation and traceability of activities – key Compliance Management actions must be properly recorded and retained, thereby enabling the traceability and monitoring of actions taken, as well as the improvement of Compliance Management processes;
- the principle of independence of compliance management – Compliance management is an autonomous activity that is independent of other functions. The combination of the compliance management function with other functions may be acceptable provided that this does not give rise to a conflict of interest and does not undermine the effectiveness of the compliance management function.
The "Three Lines" model
At Tetas, compliance management is carried out in accordance with the “Three Lines” model:
Line 1
Staff
Identifies requirements relating to operational activities, ensures that these activities comply with the requirements, manages compliance risks and rectifies instances of non-compliance.
Line 2
The Group’s compliance management function
Supports the Compliance Management System, oversees how Line 1 ensures compliance, carries out compliance monitoring activities, provides advice, delivers training and promotes a culture of compliance management within the company. Depending on the context and size of the company’s operations, compliance experts may also perform first-line functions.
Line III
Internal audit
Oversees how Line 1 and Line 2 monitor compliance and makes recommendations on improving the compliance management system.
For more detailed information on the Compliance Management System, its principles, process and responsibilities, please visit the EPSO-G group of companies Compliance Management Policy.