investments and the assets held by the Group. These systems are designed to manage rather than eliminate risks and therefore provide reasonable rather than absolute assurance against material losses, misstatements, or other significantly adverse consequences. The Board Committees The Board acknowledges the pivotal role of maintaining robust risk management practices and establishing sound internal controls in upholding corporate governance standards. The following Board Committees have been established with clear mandates fostering a culture of structured oversight and operational excellence: Board Audit Committee Board Finance and Investment Committee Board Tender Committee Board Nomination and Remuneration Committee Board Sustainability and Risk Committee (previously BRC until 25 August 2023) Board Long Term Incentive Plan Committee Board Integrity Committee The Management Committees TNB Management is accountable to the Board to ensure effective implementationof the Group’s risk management and internal controls. The Management is responsible for implementing the processes to assess, monitor and report risk exposures and ensuring effectiveness of internal controls, taking appropriate and timely action as required. The following Management Committees are in place to implement and execute the Group’s risk management and internal control systems for the achievement of short- and long-term business objectives. Group Executive Management Committee Information & Communication Technology Governance Committee Group People Committee Regulatory Council Group Management Tender Committee TNB Sustainability and Energy Transition Council Green Lane Tender Committee Electric Vehicle Council Commodity Procurement Executive Committee Technology Council Investment Executive Committee Smart Meter Council Energy Supply Committee Health, Safety and Environment Council Integrity Council TENAGA NASIONAL BERHAD Integrated Annual Report 2023 184 STATEMENT ON RISK MANAGEMENT AND INTERNAL CONTROL RISK MANAGEMENT Risk Management Framework