Sustainability Materiality Assessment

The Group has conducted an in-depth analysis to identify key business materiality issues and has prioritized them into three levels of importance:

Focus Area

Ongoing

Watch List

This prioritization allows the Group to plan operations effectively and remain responsive to current and emerging situations. The process of determining important issues has been overseen by the Corporate Sustainability Management Working Group, chaired by the Group's top executive, and the Corporate Governance and Sustainable Development Committee. Sustainability goals and key performance indicators have been established to evaluate organizational outcomes and are linked to performance evaluations for the CEO and relevant employees. This integration of sustainability into performance management ensures greater awareness of the importance of sustainable development and fosters a sustainability culture throughout the organization.

In 2024, several new business materiality issues were introduced, with seven key topics added: Pollution Control and Environmental Stewardship, Access to Sustainable and Reliable Energy, Human & Labor Rights and Fair Working Conditions, Financial Sustainability and Access to Green Finance, Commitment to Quality and Continuous Improvement, Development of Renewable Energy Technology and Innovation, and Energy Reliability and Operational Efficiency. These issues align with the World Economic Forum (WEF) analysis of global sustainability trends, with the Group identifying them as critical priorities given their significant positive and negative impacts on stakeholders.

Double Materiality Issues for Business Year 2024

Summary of the Group's Material Issues by ESG Framework

Governance and Economic

Financial Sustainability and Access to Green Finance

Commitment to Quality and Continuous Improvement

Transparency, Accountability, and Stakeholder Trust

Development of Renewable Energy Technology and Innovation

Sustainable and Responsible Supply Chain

Energy Reliability and Operational Efficiency

Regulatory Compliance, Standards, Ethics, Anti-Corruption, and Financial Stability

Sustainable Growth and Market Expansion

Environmental

Climate Change Mitigation and Resilience & Carbon and Emission Reduction

Environmental Management, Resource Efficiency, and Sustainable Use

Waste Management and Circular Economy

Pollution Control and Environmental Stewardship

Biodiversity and Ecosystem Protection

Social

Access to Sustainable and Reliable Energy

Customer Empowerment and Satisfaction

Empowering Human Capital for Sustainable Growth

Safety, Health, and Well-being

Community Development and Economic Empowerment

Human & Labor Rights and Fair Working Conditions

Identification of 10 Main Focus Material Topics for Business

This table can be scrolled horizontally

Main Material Topic	Double Materiality		Importance of the Issue		Supports to the SDGs
Main Material Topic	Impact Materiality	Financial Materiality	To the Organization	To the Economy, Society, and Environment	Supports to the SDGs
E1 Climate Change Mitigation and Resilience & Carbon and Emission Reduction	Greenhouse Gas Emission Reduction Net Zero 2050 Goal Environmental Protection Enhancing Community Resilience Stakeholder Expectations Supply Chain Impact	Compliance Costs ESG Reporting for Access to Green Finance Cost Savings Market Competitiveness Risk Management Revenue Growth	Achieving business sustainability, reducing risks, and accessing green investment opportunities by reducing greenhouse gas emissions, accelerating the development of low-carbon technologies, and improving energy efficiency or market competitiveness.	Impacts of climate change, including extreme weather, global warming, floods and droughts, driven by greenhouse gas emissions, causing to health risks and causing environmental degradation.
E2 Environmental Management, Resource Efficiency, and Sustainable Use	Environmental Impact Reduction Promoting Circular Economy Community Well-being Impact on Partners Climate Resilience	Cost Savings Regulatory Compliance Access to Green Finance Operational Resilience Competitive Advantage Revenue Growth	Reducing operational costs, minimizing environmental impact, and enhancing long-term energy security through improved energy and water efficiency.	Water management, especially in water-scarce areas, to ensure an adequate supply of water without negatively impacting the community.
E5 Biodiversity and Ecosystem Protection	Habitat Protection Climate Resilience Resource Conservation Community Income Generation	Regulatory Compliance Operational Continuity Access to Green Finance Reputation and Brand Value Avoiding Long-Term Costs	Maintaining environmental balance, complying with regulations, and ensuring sustainable operations by preserving natural habitats and minimizing ecosystem impact.	Biodiversity damage, such as deforestation during construction or pollution emissions during operations.
S1 Access to Sustainable and Reliable Energy	Access to Energy Climate Change Improved Quality of Life Resilient Energy Systems	Revenue Growth Government Incentives Cost Optimization Investor Confidence Risk Management	Providing access to electricity for communities, building trust with communities/ society, expanding renewable energy capacity, and improving power grid stability.	Local communities without electricity will miss development opportunities and face lower quality of life. Access to electricity fosters economic growth and accelerates the transition to clean energy.
S3 Empowering Human Capital for Sustainable Growth	Employee Development Social Well-being Economic Equality Innovation and Knowledge Sharing	Increase of Work Efficiency Employee Retention and Attraction Operational Resilience Cost Optimization and Investor Confidence	Driving innovation, improving efficiency, and fostering long-term sustainable growth by investing in employee development and promoting a culture of continuous learning.	If employee development doesn't keep pace with business and economic growth, retaining employees will become increasingly difficult.
S7 Human & Labor Rights and Fair Working Conditions	Employee Benefits Social Equality Impact on Communities Industry Standards	Regulatory Compliance Reputation and Trust Employee Retention and Attraction Operational Efficiency Access to Green and Social Finance	Conducting business ethically, creating a positive work environment, and adhering to international labor standards by focusing on employee welfare, diversity, and fair practices.	Creating employee well-being and social equality by addressing challenging human rights issues. Increasing diversity or future stakeholder groups may lead to disparities and have negative impacts.
G1 Financial Sustainability and Access to Green Finance	Reduction of Carbon and Greenhouse Gas Emissions Renewable Energy Production Capacity (Solar, Wind, and Biomass) Renewable Energy Technology Innovation Circular Economy and Efficient Resource Use Community and Stakeholder Engagement (Local Social Projects)	Access to Green Finance and Sustainability-Linked Loans Policy and Regulatory Benefits (Subsidies, Carbon Credits) Market Demand for Renewable Energy Infrastructure and Renewable Energy Technology Costs Energy Price Volatility and Long-Term Power Purchase Agreements (PPAs*)	Long-term growth, expansion of renewable energy, and maintaining market competitiveness by accessing low-cost financing and aligning financial strategies. This strengthens business resilience and leadership in sustainability.	Widespread use of renewable energy, with financial support for investors, will lower electricity costs, making it more accessible to communities and society, driving economic development, and improving quality of life.
G2 Commitment to Quality and Continuous Improvement	Customer Satisfaction Employee Engagement Supply Chain Collaboration Community Trust	Customer Retention and Loyalty Repeat Purchases and Revenue Growth Cost Optimization Brand Reputation Regulatory Compliance	Enhancing operational efficiency, driving innovation, and creating stakeholder satisfaction by focusing on quality improvement and flexible growth.	Maintaining and enhancing customer satisfaction by delivering products and services that meet expectations for safety, durability, and reliability. durable products and services.
G3 Transparency, Accountability, and Stakeholder Trust	Stakeholder Trust Community Engagement Ethical Business Practices Industry Standards	Investor Confidence Regulatory Compliance Brand Reputation Cost Efficiency Access to Funding	Conducting business ethically, building investor confidence, and maintaining long-term credibility by adhering to good governance and transparent communication.	Building and maintaining trust, as well as fostering confidence among stakeholders, through good governance and ethical practices.
G6 Energy Reliability and Operational Efficiency	Community Benefits Environmental Conservation Stakeholder Confidence Energy Security	Revenue Stability Cost Optimization Market Competitiveness Risk Reduction Access to Investment	Creating stability in electricity production, improving resource efficiency, and reducing operational costs by enhancing system and technology performance.	Ensuring reliable power supply, energy security, and access to electricity, which boosts confidence among communities and society.

Identification of 7 Ongoing Material Topics for Business

This table can be scrolled horizontally

Main Material Topic	Double Materiality		Importance of the Issue		Supports to the SDGs
Main Material Topic	Impact Materiality	Financial Materiality	To the Organization	To the Economy, Society, and Environment	Supports to the SDGs
S5 Community Development and Economic Empowerment	Economic Growth Improved Quality of Life Social Equality Community Resilience	Brand Reputation and Value Social Operating License Market Opportunity Cost Savings Access to Funding	Creating shared value, supporting employment, and improving the quality of life for society and renewable energy projects, enhancing economic stability, community prosperity, and long-term stakeholder trust.	Supporting community development in project areas, improving quality of life, and fostering strong relationships.
G5 Sustainable and Responsible Supply Chain	Stakeholder Trust Community Engagement Ethical Business Practices Industry Standards	Investor Confidence Regulatory Compliance Brand Reputation Cost Efficiency Access to Funding	Improving efficiency, reducing risks, enhancing business resilience, sourcing resources ethically, and complying with environmental regulations by promoting transparency, fair labor practices, and environmentally-friendly procurement.	The lack of long-term business partners and companies in the supply chain creating long-term social and environmental impacts.
G8 Sustainable Growth and Market Expansion	Workforce Development Community Growth Innovation and Knowledge Sharing Social Equality	Improving Work Efficiency Employee Retention and Attraction Operational Flexibility Cost Optimization Investor Confidence	Enhancing competitiveness, expanding the use of renewable energy, and creating long-term profitability by investing in clean energy innovation and strategic partnerships.	The growth of the clean energy and renewable energy markets will increase access to electricity, expand coverage areas, and make prices more accessible, leading to improved quality of life.
E3 Waste Management and Circular Economy	Waste Reduction Resource Conservation Climate Change Impacts Community Quality of Life Supply Chain Impacts	Cost Reduction Regulatory Compliance Revenue Generation Opportunities Access to Green Finance Operational Efficiency	Reducing environmental impacts, improving resource efficiency, and supporting sustainability goals by promoting recycling, waste reduction, and responsible disposal.	Minimizing health risks to local communities from waste and ensuring the environment remains safe and free from waste.
G4 Development of Renewable Energy Technology and Innovation	Climate Change Mitigation Greenhouse Gas Emissions and Energy Access Economic Growth Promotion of Sustainable Technology Development Industry Collaboration	Revenue Growth Cost Efficiency Competitive Advantage Risk Reduction Access to Green Finance	Improving efficiency, reducing costs, and driving sustainable growth through investment in advanced clean energy solutions and digital transition, creating a competitive edge and ensuring long-term energy transition.	Expanding business opportunities in clean energy technology, renewable energy, improving efficiency, and increasing the adoption of renewable energy.
S4 Safety, Health, and Well-being	Employee Well-being Community Health Stakeholder Trust Industry Leadership	Cost Reduction Regulatory Compliance Production Efficiency Reputation and Investor Confidence Employee Retention and Attraction	Creating an effective workforce, reducing risks, and promoting a healthy work environment by focusing on workplace safety, health promotion programs, and fostering a strong safety culture to increase employee satisfaction and operational efficiency.	Managing employee health and well-being, particularly for those working in high-risk environments, such as working in dangerous conditions that may lead to health deterioration, injuries, or fatalities due to poor working conditions.
G7 Regulatory Compliance, Standards, Ethics, Anti-Corruption, and Financial Stability	Organizational Integrity Stakeholder Trust Social Equality Industry Leadership	Risk Reduction and Regulatory Compliance Investor Confidence Cost Efficiency Market Reputation Access to Capital	Maintaining organizational integrity, investor confidence, and long-term sustainability by promoting transparency, responsibility, and responsible financial management, which can strengthen business resilience and trust from regulatory bodies.	Eliminating corruption issues will build confidence and trust from stakeholders, create a strong ethical culture within the organization, and instill integrity as a core value among employees.

Identification of 2 Watch List Material Topics for Business

This table can be scrolled horizontally

Main Material Topic	Double Materiality		Importance of the Issue		Supports to the SDGs
Main Material Topic	Impact Materiality	Financial Materiality	To the Organization	To the Economy, Society, and Environment	Supports to the SDGs
E4 Pollution Control and Environmental Stewardship	Pollution Reduction Ecosystem Conservation Community Health Sustainable Practices through Environmentally Responsible Operations	Regulatory Compliance Cost Efficiency Access to Green Financing Brand Value and Reputation Operational Continuity	Reducing environmental impacts, complying with regulations, and promoting sustainability through the use of clean energy technologies and responsible resource management can enhance environmental stewardship and operational efficiency.	Managing air pollution, reducing health risks to local communities, and providing education on prevention, such as wearing masks to protect against PM 2.5 dust.
S2 Customer Empowerment and Satisfaction	Energy Access Customer Quality of Life Sustainable Behavior - Empowering customers and promoting efficient energy use Trust and Engagement	Revenue Growth Competitive Advantage Cost Efficiency Investor Confidence Innovation and Service Quality	Driving business growth, strengthening brand loyalty, and maintaining a competitive edge by delivering high-quality renewable energy solutions and excellent services. This fosters long-term trust, customer retention, and market leadership.	Delivering the best services and products to customers by prioritizing their needs (Customer-Centric) and building relationships through actively listening to their needs, while intensifying employee development in service improvement.

Sustainability Materiality Assessment

Focus Area

Ongoing

Watch List

Double Materiality Issues for Business Year 2024

Summary of the Group's Material Issues by ESG Framework

Identification of 10 Main Focus Material Topics for Business

Identification of 7 Ongoing Material Topics for Business

Identification of 2 Watch List Material Topics for Business

Related Documents

Double Materiality Assessment Report 2024