Climate Change Data

Environmental Metrics

ESG Focus Areas

• Affordable, Reliable, Eco-friendly energy
• Climate Change
• Community Engagement
• Occupational Health and Safety
• Corporate Governance
• Supply Chain Management
• Human Rights

Environmental Achievements

• Achieved 94.07% availability factor for 3 CHP plants in China (exceeding target)
• No significant environmental incidents
• Reduced NOx emissions intensity to 0.0414 tonnes/GWh
• Reduced particulate matter emissions intensity to 0.0030 tonnes/GWh
• Reduced SO2 emissions intensity to 0.0258 tonnes/GWh
• Luannan CHP Plant Phase 3 (52 MWe) commenced commercial operation
• Jixin Solar Power Plant (25.22 MW) commenced operation
• Kurokawa Solar Power Plant (18.9 MW) commenced operation
• Investment in 4 new solar power plants in Japan (6.32 MW total)

Social Achievements

• Zero fatalities and zero lost time injury frequency rate (LTIFR)
• No significant community complaints
• Employee engagement scores: Thailand 68%, China 94%, Japan 50%
• Implemented various community engagement and CSR projects
• Established Hongsa Agricultural Cooperative in Laos

Governance Achievements

• Received a 4-star CG Rating from the Corporate Governance Report of Thai Listed Companies 2019
• Certified as a member of Thailand’s Private Sector Collective Action Coalition Against Corruption (CAC)
• Developed and revised Corporate Governance Policy and Code of Conduct
• No significant corporate governance complaints

Climate Goals & Targets

Environmental Challenges

• Trade war impacting steam demand, resulting in higher GHG emission intensity
• Changes in environmental regulations
• Earthquake in Hongsa, Laos
• COVID-19 pandemic
• Reducing government financial support for renewable energy
• Decreased feed-in tariffs (FIT) and shift to auction scheme model in Japan
• Changes in regulations for solar power plant development in Japan
• Water shortages in China

Mitigation Strategies

• Established climate change committee
• Developed risk management and business continuity management systems
• Improved risk management and business continuity standards
• Used Ultra-Super Critical (USC) technology in new projects
• Increased renewable energy production capacity
• Implemented biodiversity, sustainable supply chain, and corporate philanthropy policies
• External certification of sustainability report data
• Established Banpu NEXT to focus on renewable energy
• Adjusted growth target to 5,300 MW by 2025 (4,500 MWe base-load, 800 MWe renewable)
• Improved water treatment system at Luannan Power Plant (Zero Discharge)
• Implemented various measures to cope with COVID-19 pandemic

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Sustainable Supply Chain Policy
• Emphasis on local procurement (87%)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather (typhoons, floods)
• Earthquake

Transition Risks

• Changes in energy policies and regulations
• Decreased demand for steam
• Carbon pricing

Opportunities

• Investment in renewable energy
• Development of energy-efficient products
• Energy trading and retail electricity

Reporting Standards

Frameworks Used: GRI Standards: Core Options, AA1000 AccountAbility Principles

Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 22301

Third-party Assurance: Lloyd's Register Quality Assurance Limited (Limited assurance)

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 8 (Decent work and economic growth)
• Goal 9 (Industry, innovation, and infrastructure)
• Goal 13 (Climate action)
• Goal 16 (Peace, justice, and strong institutions)

Initiatives contribute to these goals through sustainable energy production, community development, ethical business practices, and climate change mitigation

Awards & Recognition

• Thailand Sustainability Investment (THSI) for two consecutive years
• 4-star CG Rating
• Various awards for subsidiary power plants

Environmental Metrics

ESG Focus Areas

• Climate Change
• Environmental Quality
• Corporate Governance
• Occupational Health and Safety
• Community Engagement
• Business Ethics
• Anti-corruption
• Risk Management
• Supplier Management
• Renewable Energy

Environmental Achievements

• GHG emissions intensity of 0.620 tonnes CO2e/MWh, decreasing by 11.7% compared to 2012 and 8% compared to 2019.
• Renewable energy generation capacity of 347 MW (12.6% of total power generation).
• Three CHP plants in China received special financial grants from the Chinese government due to excellent air quality control.
• Improved water treatment systems and increased recycled water.

Social Achievements

• No work-related accidents.
• No incidents related to environment, social, and governance.
• Established a THB 500 million fund with Banpu group and alliance to aid society on COVID-19.
• Luannan Banpu Special Education School supported for 13 years, resulting in 128 graduates, 5 admitted to universities, and 25 successfully employed.

Governance Achievements

• Received a 5-star CG Rating from the Corporate Governance Report of Thai Listed Companies (CGR) project.
• Member of the Collective Action Against Corruption (CAC).
• Implemented a risk management system covering all business entities.
• Developed risk management applications ‘C-Rim’ in conjunction with real-time legal compliance.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on operations.
• Maintaining power plant availability and efficiency during the pandemic.
• Varied customer demand for steam affecting energy consumption and GHG emissions.
• Coal quality variation affecting power production costs and efficiency.

Mitigation Strategies

• Implemented Business Continuity Management (BCM) system.
• Proactive health protective measures for employees and subcontractors.
• Innovations to improve power plant efficiency and resource utilization.
• Developed a coal blending optimization system application.

Supply Chain Management

Responsible Procurement

• Sustainable Supply Chain Policy
• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Opportunities

• Investment in renewable energy and energy technologies.

Awards & Recognition

• Listed on Thailand Sustainability Investment (THSI) list for three consecutive years.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Greenhouse Gas (GHG) Emissions
• Energy Efficiency
• Air Quality
• Water Resources
• Waste
• Biodiversity
• Labor Practice
• Talent Attraction and Retention
• Employee Engagement
• Human Capital Development
• Occupational Health and Safety
• Community Engagement
• Corporate Governance
• Business Ethics
• Risk Management
• Supplier Management
• Customer Management
• Human Rights

Environmental Achievements

• GHG emissions intensity was 0.609 tonnes CO2e/MWh, decreasing 9.9% when compared with the target set.
• Renewable energy generation capacity of 288.1 MWe, representing 36% progress of the year 2025 target.
• Water consumption intensity was 0.818 cubic meters/MWh.
• The quality of released water was in accordance with standards required by laws.
• Proportion of fly ashes disposed by reusing and recycling equaled to 100%.
• Proportion of synthetic gypsums treated through reusing or recycling represented 100%.

Social Achievements

• Employee engagement scores were 74% and 96% in Thailand and China, respectively.
• No incidents relating to violations of labor laws and practices.
• The working-environment examination results were in line with the standards set by laws.
• No significant community complaints.
• None of incidents related to business disruption caused by community complaints.

Governance Achievements

• BPP’s CG assessment result is in the excellent level, while its membership in Thailand Private Sector Collective Action Coalition Against Corruption (CAC) is renewed.
• No significant incidents associated with non-compliance, including significant fines.
• The CG assessment result was in the excellent level, representing 94% while BPP’s CAC membership has been renewed.
• No significant CG complaints.
• None of incidents related to CG, code of conduct violations and corruption.

Climate Goals & Targets

Environmental Challenges

• Risks related to productions and investments were well-rounded mitigated so as to be flexible to change, especially the volatile fuel prices.
• Maintaining a balance between the energy security and the environmental preservation was the significant challenge in the past year.
• The COVID-19 outbreak remained a challenge for the power plants in China to continuously generate power and steam for the industrial sector and local communities.
• Rapid and unpredictable changes from natural disasters, such as the COVID-19 outbreaks and human actions including terrorisms, cyberattacks, protests, fires and chemical spills and leakages, etc. are all risks affecting BPP’s production operations.

Mitigation Strategies

• Risks related to productions and investments were well-rounded mitigated so as to be flexible to change, especially the volatile fuel prices.
• Innovations were used for continuous improvement, making BPP successful in operating business and maintaining its stability in power production and distribution.
• Implementing efficient production and maintaining the AF of electricity and other energy forms as specified to supply affordable and accessible energy according to customers’ needs.
• Preparing the business continuity management plan to ensure continuous delivery of products and services without interruption even amid crises.
• Implementing the ISO 9001 quality management system.
• Deploying high efficiency, low emissions (HELE) technology in project design and the improvement of the production process.
• Establishing an efficient environmental management and monitoring system. Using clean technology for limiting pollutant level to ultra-low emissions.
• Carrying out corporate social responsibility (CSR) projects; paying taxes as required by laws; promoting local procurement and employment.
• Collaborating and supporting sustainability related projects from government agency.
• Optimal utilization of natural resources.
• Carrying out environmental projects to minimize resource utilization and waste generation.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Changes in climate patterns and seasonal fluctuations
• Severe natural disasters
• Rising sea level
• A decrease of rainfall and a fresh water shortage

Transition Risks

• Policy and legal changes
• Demand for clean energy is increasing
• Rising prices of coal and other fossil fuels
• Restriction of water consumption and rising water prices
• Higher insurance costs

Opportunities

• Investing in power plants designed to withstand higher/lower than normal temperatures
• Assessing the project’s worthiness before making an investment
• Investing in storm and flood prevention
• Designing and constructing the projects by putting top priority to natural disaster factors
• Procuring property damage insurance and business interruption insurance
• Improving the power plant efficiency to maximize energy consumption capabilities and reducing GHG emissions
• Looking for opportunities to convert the use of fossil fuels
• Adjusting a business plan to be an integrated electricity supplier and provider
• Conducting a feasibility study to invest in Carbon Capture, Utilization and Storage (CCUS) technology
• Using expenses incurred from carbon taxes to calculate investment worthiness of each project
• Looking for opportunities to sell carbon credits from clean energy production
• Investing in energy technologies, such as energy storage systems
• Employing digital technology to analyze data for forecasting energy production and consumption
• Investing in energy with high-technology and low-emissions
• Investing in demand-side management technology
• Investing in power plants using different fuels
• Managing coal purchases by using applications
• Looking for opportunities to use other fuels
• All three CHP plants have taken steps in reducing water loss in the system
• BLCP Power Plant produces fresh water from seawater
• HPC Power Plant manages its water sources
• Temple I Gas-fired Power Plant was designed to have reservoirs
• Investing in renewable energy and energy technology
• Seeking opportunities in GHG emission reduction technologies, such as CCUS and Hydrogen

Reporting Standards

Frameworks Used: GRI Standards 2021, Electric Utilities Sector Disclosures 2010, UN Sustainable Development Goals, Thai Financial Reporting Standards, TCFD

Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 22301, ISO 27001

Third-party Assurance: Moderate level of assurance

UN Sustainable Development Goals

• 7
• 8
• 9
• 12
• 13
• 16

BPP’s ESG performance targets have been aligned and supported the United Nations Sustainable Development Goals (SDGs)

Awards & Recognition

• Commended Sustainability Awards
• Thailand Sustainability Investment (THSI) stock
• Sustainability Yearbook 2022
• Corporate credit rating of “A+” with a “Stable” outlook
• Excellence CG Scoring
• ASEAN CG Scorecard

Environmental Metrics

ESG Focus Areas

• Climate Change and Greenhouse Gas (GHG) Emissions
• Electricity Generation
• Energy Efficiency
• Human Capital Development
• Safety
• Succession Planning
• Talent Attraction & Retention
• Corporate Governance
• Customer Management
• Cybersecurity
• Innovation
• Process Improvement & Digital Transformation
• Risk Management
• Supplier Management

Environmental Achievements

• GHG emissions intensity (Scope 1 & 2) was 0.469 tonnes CO2e/MWh, down 30.6% when compared with the target set, and 25.7% lower than the 2012 baseline.
• 100% of fly ashes disposed by reusing or recycling.
• 100% of synthetic gypsum eliminated by reusing and recycling.

Social Achievements

• Zero Lost Time Injury Frequency Rate (LTIFR) in employee and contractor
• Banpu Heart score Thailand 87%, China 91%
• No significant human rights complaints

Governance Achievements

• Established the Environment, Social and Governance Committee (ESG Committee)
• Received the Excellence CG Scoring for the fourth consecutive year from the 2023 corporate governance survey of listed companies carried out by the Thai Institute of Directors (IOD).
• Key ESG issues are part of senior management’s KPI.

Climate Goals & Targets

Environmental Challenges

• Economic crisis, high interest rates, geopolitical tensions affecting industrial growth and economic development.
• Climate change challenges in the energy business.
• Rapidly changing environments and situations, especially in ESG, affecting business operations.
• Risks associated with new business and technology investments.
• Geo-economic confrontation risks.

Mitigation Strategies

• Focus on risk management and innovations to improve operations.
• Established ESG Committee to support the Board of Directors in supervising ESG-related operations.
• Focus on managing existing power plants efficiently and stably.
• Investment in renewable energy business and clean energy technology solutions.
• Implementing business continuity management system.
• Thorough risk assessment of investment returns and ESG issues for new projects.
• Closely monitoring and analyzing trends on changing and developing innovations regarding new technologies.
• Studying economic trends and developing business plans to accommodate uncertain situations.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• ESG criteria in supplier selection
• Transparent procurement processes
• Regular monitoring of supplier ESG performance

Climate-Related Risks & Opportunities

Physical Risks

• Changes in climate patterns
• Severe natural disasters
• Rising sea level
• Fluctuations in rainfall volumes

Transition Risks

• Policy and legal changes
• Increasing demand for clean energy
• Rising prices of fossil fuels
• Restriction of water consumption

Opportunities

• Investment in renewable energy and energy technology
• Carbon capture, utilization, and storage (CCUS)
• Selling carbon credits

Reporting Standards

Frameworks Used: GRI Standards 2021: Core Options, United Nations Sustainable Development Goals (SDGs), TCFD

Certifications: ISO 14001, ISO 45001, ISO 22301, ISO 27001

Third-party Assurance: External agency, moderate level of assurance

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 8 (Decent work and economic growth)
• Goal 9 (Industry, innovation, and infrastructure)
• Goal 12 (Responsible consumption and production)
• Goal 13 (Climate action)
• Goal 16 (Peace, justice, and strong institutions)

BPP's initiatives contribute to these goals through investments in renewable energy, energy efficiency improvements, sustainable supply chain management, and ethical business practices.

Awards & Recognition

• SET ESG Ratings at AAA Level
• Commended Sustainability Awards
• Outstanding Company Performance Awards
• Outstanding CEO Awards
• Excellent CG Scoring (5 Star)
• Full 100 scores for Annual General Meeting of Shareholders