ESG Report 2020

RESPONDING TO CLIMATE CHANGE To respond to the climate change and promote maintaining an appropriate production environment low-carbon development, the Group responds to at inland sites. On the other hand, increasingly the Paris Agreement and the Country s goal of stringent compliance and disclosure obligations, achieving carbon neutrality by 2060, actively pays such as increased responsibility for greenhouse attention to the potential climate-related risks of gas emissions reporting, may also create transition the business operation, and strives to implement risks for the Group in terms of legal liability and energy saving and emission reduction measures, increased operating costs. as well as formulate contingency plans for As the production base with the largest scale of environmental emergencies, so as to mitigate and the Group, Inner Mongolia Company strives to adapt to the potential impacts on the business reduce the risks brought by climate change by brought by climate change. saving energy and water and reducing greenhouse In order to respond more accurately to climate gas emission, with an aim to contribute to the change, we have identified the risks associated international community on mitigating climate with climate change, some of which involve change through the efforts of The United potential physical and transition risks to Laboratories. Also, Inner Mongolia Company production operations and facilities. For example, formulated a contingency plan for environmental more frequent and severe extreme weather events emergencies to strengthen the preventive and such as typhoons and heavy rains could physically control measures for extreme weather events and damage and threaten production sites in coastal enhancing the coping capacity. areas, while continued increase in temperature could increase the energy input and costs of ’ Cumulative investiment in environmetal protection nearly RMB2.1 billion Reached the energy saving target value of of coal 3,900 tonnes The amount of reclaimed water reaches around tonnes 12 million Greenhouse Gas Emission In the production and daily operations of the emitted from the disposal of waste paper, and Group, the main sources of greenhouse gas indirect emission generated from water and emissions include i. direct greenhouse gas sewage treatment. The Group has been adopting a emissions, including stationary combustion multi-pronged approach and striving to reduce sources such as fuel combustion of boilers used greenhouse gas emissions. The energy-saving and for production and heating, mobile combustion water-saving measures implemented by Inner sources like vehicle fuel combustion, and use of Mongolia Company, as well as various innovative refrigerants; ii. indirect greenhouse gas emissions energy-saving and emission-reduction projects can of energy, including purchased electricity; and iii. not only reduce energy consumption, but also other indirect greenhouse gas emissions, including minimise greenhouse gas emissions and help slow the carbon emissions generated when employees down the rate of global warming. are taking aircrafts for business trips, methane 59 Environmental, Social and Governance Report 2020 The United Laboratories International Holdings Limited