Environmental Responsibility and Biodiversity

Management Approach and Value Creation

Environment Management Approach

The Company systematically integrates environmental considerations into its corporate strategy while increasing the proportion of clean energy generation in order to reduce impacts on ecosystems and address climate change. The Environmental and Climate Change Management Policy is established and reviewed annually to ensure alignment with the Company’s business context, risk landscape, and stakeholder expectations.

The Company adopts the ISO 14001:2015 Environmental Management System as the framework for environmental governance. The system is implemented across high-voltage electrical equipment manufacturing facilities, wind power plants, and solar power plants, and is also applied to engineering and turnkey project activities. This framework supports the control, prevention, and mitigation of environmental impacts while improving resource efficiency. In addition, the Company promotes the participation of employees and stakeholders in continuously improving environmental management processes. Preventive measures are implemented to minimize potential environmental impacts, accompanied by systematic monitoring and performance evaluation. These practices support the Company’s environmental sustainability objectives and contribute to stable long-term business growth.

Environmental Issue	Mitigation & Improvement Measures
Air Quality	Select eco-friendly raw materials and chemicals; store in sealed containers under controlled conditions to minimize volatile emissions and hazardous pollutants. Implement high-efficiency technologies and machinery in production processes to reduce dust and pollutants at the source. Promote the use of electric vehicles and equipment (e.g., electric forklifts) to eliminate exhaust emissions from internal combustion engines. Provide appropriate personal protective equipment (PPE) and enhance employee capabilities through pollution control and environmental standards training. Perform regular facility cleaning and equipment maintenance to prevent the accumulation of industrial dust. Conduct continuous workplace air quality monitoring in compliance with regulatory requirements and ensure transparent performance reporting.
	Establish and maintain green zones within project areas to enhance soil stabilization, prevent erosion, and naturally reduce dust dispersion. Control dust dispersion during solar panel cleaning through appropriate and efficient cleaning methodologies. Implement regular maintenance for equipment, machinery, and vehicles to prevent emissions exceeding regulatory standards caused by engine wear and tear. Construct and maintain firebreaks around project perimeters to prevent and contain external fires, mitigating the risk of smoke and air pollutant generation. Conduct continuous workplace air quality monitoring in compliance with regulatory requirements to ensure a safe operational environment.
	Provide training for employees and contractors on efficient machinery operation and strict dust control protocols during construction phases. Install water misting and moisture control systems in high-dust activity areas to suppress and limit the dispersion of airborne particulates. Implement scheduled inspections and maintenance for construction machinery and engines to minimize air pollutant emissions and maintain peak operational efficiency. Enforce daily site cleaning post-operation to reduce dust accumulation within project boundaries and surrounding communities.
Noise Level	Optimize production layouts by isolating high-noise machinery from general workspaces and nearby communities to minimize acoustic impact. Install sound barriers or acoustic insulation in high-noise areas (e.g., cutting, grinding, or welding) to suppress noise propagation to surrounding areas. Select and utilize machinery equipped with vibration reduction technology and noise control features. Conduct regular preventive maintenance to prevent noise disturbances caused by equipment wear or operational malfunctions. Provide training to raise awareness on noise control, proper use of hearing protection, and long-term health impacts of noise exposure. Regularly monitor and measure noise levels within production areas to ensure legal compliance and support occupational health risk assessments. Enforce the use of personal hearing protection (e.g., earplugs) and implement job rotation in high-noise zones to limit cumulative exposure.
	Conduct regular inspections and maintenance of electrical systems to mitigate noise caused by vibration, equipment degradation, or operational malfunctions. Coordinate the operation of high-noise machinery and maintenance equipment by avoiding simultaneous usage to limit cumulative acoustic impact. Measure and monitor noise levels within operational areas to ensure full legal compliance and protect the well-being of personnel.
	Conduct regular maintenance of core machinery to minimize noise pollution resulting from equipment degradation or operational malfunctions. Develop noise contour maps for project vicinities during the operational phase to facilitate risk assessment and proactive noise management. Continuously monitor noise levels at wind turbines and operational sites to ensure legal compliance and protect the well-being of the surrounding environment. Establish natural buffers by planting tree lines around project perimeters to suppress noise propagation while enhancing local biodiversity.
Greenhouse Gas Emissions	Regularly assess and report GHG emissions (Scope 1, 2, and 3) with a commitment to third-party verification by international standards to ensure data transparency and accuracy. Prioritize renewable energy adoption and internal energy-saving initiatives while transitioning to low-emission transportation through electric vehicle (EV) integration. Procure eco-friendly raw materials, products, and services, and collaborate with business partners to co-develop sustainable solutions across the value chain. Enhance employee competencies through specialized training on sustainability and GHG reduction to establish clear, organization-wide practices. Drive employee engagement in adopting positive behavioral changes to collectively reduce the environmental footprint from GHG emissions.
Water Usage	Promote water stewardship awareness and employee engagement to foster efficient and responsible water usage across the organization. Install high-standard water-saving innovations and fixtures within office buildings to optimize water consumption.
	Enhance and control wastewater effluent quality through high-efficiency wastewater treatment systems in full compliance with legal requirements and relevant standards. Implement water recycling initiatives, utilizing treated wastewater for green space maintenance and site cleaning to reduce raw water withdrawal. Conduct annual discharge water quality analysis by certified third-party laboratories to ensure compliance before discharging into public water sources.
	Construct retention ponds to capture surface runoff, enabling the reuse of harvested rainwater for internal activities such as dust suppression on road surfaces.
Drainage	Design and install high-efficiency drainage systems to manage stormwater, prevent localized flooding, and mitigate soil erosion. Construct drainage channels or waterways to control flow direction and velocity, ensuring no adverse impacts on adjacent land and properties. Expand green zones and implement ground cover (e.g., grasses or native vegetation) to stabilize soil and minimize erosion caused by rainwater runoff. Monitor and control excavation and backfilling during construction to minimize disturbances to natural water flow patterns. Conduct regular drainage impact assessments on natural water bodies and surrounding areas to mitigate risks of local hydrological changes.
Energy Consumption	Promote renewable energy adoption across manufacturing facilities, power plants, and construction sites to reduce fossil fuel dependency. Optimize energy efficiency in production by utilizing high-performance machinery and technologies, such as low-energy equipment and energy recovery systems. Procure energy-efficient tools and electrical equipment certified by recognized international standards to ensure resource efficiency throughout their lifecycle. Foster an energy conservation culture by raising employee awareness and launching ongoing campaigns to encourage efficient energy use.
Non-Hazardous Production Waste	Promote waste reduction at source through employee awareness campaigns and engagement activities centered on the 3Rs principle (Reduce, Reuse, Recycle). Provide standardized waste bins for four categories: general, recyclable, hazardous, and organic, with clear labeling and secured lids to prevent environmental contamination. Ensure proper waste collection and transportation for sanitary treatment or disposal by authorized and licensed service providers in full legal compliance. Segregate and collect recyclable waste to be reintegrated into recycling or repurposing processes, effectively minimizing the total volume of waste sent to landfills.
Hazardous Production Waste	Maintain a comprehensive hazardous waste inventory to classify and define protocols for storage, transportation, and disposal in strict accordance with legal standards. Provide secure, designated storage areas with secondary containment systems for hazardous items such as damaged solar panels and electrical equipment prior to disposal by authorized contractors. Ensure full traceability of hazardous waste collection and disposal processes by partnering with licensed providers and maintaining all required manifests and documentation. Deliver specialized training and communication to employees on proper segregation and handling techniques to mitigate environmental and safety risks.
Biodiversity	Conduct corporate-wide biodiversity risk assessments and biodiversity risk assessments for new projects through Environmental and Social Impact Assessments (ESIA) for significant projects. These assessments evaluate potential risks and impacts on ecosystems and biodiversity across both the construction and operational phases, and include the establishment of appropriate mitigation measures and systematic monitoring. Implement the Mitigation Hierarchy (Avoid, Minimize, and Restore) to manage impacts on biodiversity-sensitive areas, supported by continuous monitoring and governance. Promote green space expansion and reforestation initiatives to conserve natural resources, restore ecosystems, and maintain environmental balance within and around project vicinities.

To ensure effective environmental and biodiversity management, the Company has established preventive and mitigation measures to address potential impacts on ecosystems throughout all stages of project implementation, as summarized in the table above. In addition, biodiversity considerations are systematically integrated into the Company’s risk management and project development processes. Key implementation approaches include the following:

Biodiversity Commitment

The Company recognizes the importance of conducting its business while maintaining the integrity of ecosystems. In line with the Environmental and Climate Change Management Policy, the Company is committed to supporting the protection of ecosystems and biodiversity while systematically controlling, preventing, and mitigating environmental impacts arising from its operations. Environmental and biodiversity considerations are integrated into project development from the early stages in order to avoid and minimize potential impacts on natural habitats and legally protected areas. In addition, the Company promotes natural resource restoration and efficient resource management to help maintain ecological balance and support long-term positive environmental outcomes.

Biodiversity Risk Assessment

Corporate Biodiversity Risk Assessment

The Company conducts biodiversity risk assessments across all operational areas, including existing operations and projects under development. These assessments reference internationally recognized definitions of protected areas, as established by the International Union for Conservation of Nature (IUCN), and utilize the WWF Biodiversity Risk Filter (BRF) to systematically identify and analyze location-specific biodiversity risk factors.

Assessment Scope and Key Risk Indicators

The Company focuses on analyzing biodiversity risks across two key dimensions in order to establish management approaches that are appropriate to the ecological context of each operational area:

1. Physical Risk: Assessment of surrounding ecosystem conditions and natural environmental characteristics that may influence the long-term sustainability of projects.
2. Reputational Risk: Assessment of the proximity of project locations to protected areas and Key Biodiversity Areas (KBAs) that may present biodiversity-related reputational risks.

In 2025, the Company operated a total of 40 project sites, including the headquarters, high-voltage electrical equipment manufacturing facilities, wind power plants, and solar power plants (excluding rooftop solar installations that do not involve significant land use). All projects underwent biodiversity risk assessment.

Number of Sites by Risk Type

Number of Sites by Risk Type

WWF Biodiversity Risk Filter Levels

Very low (1.0-1.8)

Low (1.8-2.6)

Medium (2.6-3.4)

High (3.4-4.2)

Very High (4.2-5.0)

Spatial analysis using geographic data indicated that none of the projects are located within protected areas as defined by the International Union for Conservation of Nature (IUCN). Overall, most sites were assessed as having low to moderate biodiversity risk, and no locations were identified as having very high risk. However, when analyzed by risk dimension, 5 projects (12.50%) were identified as having high physical risk. In terms of reputational risk, 42.50% of projects were classified as requiring monitoring due to their proximity to environmentally sensitive areas. The assessment results are used to prioritize sites that require enhanced biodiversity management measures and to support the design of impact mitigation measures in accordance with the Mitigation Hierarchy, including avoidance, minimization, and restoration or offsetting.

Biodiversity Risk Assessment for New Projects

Environmental and Social Impact Assessments (ESIA) are conducted for projects under development to ensure that business operations are carried out responsibly with respect to ecosystems and biodiversity. In 2025, detailed biodiversity assessments were conducted as part of the ESIA process for several solar power projects, including the NRTW3 Project in Narathiwat (60.8 MW), the PTN Project in Pattani (78.6 MW), and the STN Project in Satun (91.3 MW), all of which are scheduled to commence commercial operations from 2026 onwards. The assessments utilized the Integrated Biodiversity Assessment Tool (IBAT) together with field surveys conducted by independent third-party experts to evaluate biodiversity risks in accordance with IFC Performance Standard 6 (PS6) and IFC Guidance Note 6. Key findings from the biodiversity assessments include:

1. Habitat Assessment: Field surveys indicate that most project areas are classified as modified habitats, primarily consisting of agricultural land and abandoned rice fields, which generally exhibit low ecological sensitivity.
2. Species of Conservation Concern: Biodiversity surveys conducted within the project areas and surrounding environments identified the following species diversity:

To ensure that biodiversity risks identified through these assessments are effectively managed, the findings are incorporated into the Company’s biodiversity impact management process. The Company applies the Mitigation Hierarchy, including avoidance, minimization, restoration, and offsetting, to manage potential impacts, support positive outcomes for nature, and maintain ecological balance in project areas.

Biodiversity Impact Mitigation and Engagement

Biodiversity risk assessment results are used to prioritize areas that require proactive biodiversity management measures. Particular attention is given to areas identified as requiring monitoring, where enhanced management measures and monitoring plans are established for both existing operations and new project developments. By applying the Mitigation Hierarchy alongside systematic environmental governance, the Company aims to mitigate potential impacts and maintain the long-term integrity of ecosystems.