ESG Report 2020

Under a well-established energy management has been enhanced. During the Year, apart from system, Inner Mongolia Company implements continuing the strict implementation of regular energy conservation work from different aspects energy conservation measures in factories and every year. Through regular inspections of the offices, I nner Mongolia Company also factories machinery operation, investigation of implemented different types of energy-saving the feasibility of various technological updates optimisation projects to improve energy a n d t r a n s f o r m a t i o n s a n d p r a c t i c a l efficiency and provide new ways of reducing implementation of energy conservation consumption and conserving energy. measures, the efficiency of energy consumption ’ Energy Conservation Measures in Production Plants Energy Conservation Measures in Offices Innovated the production processes to reduce energy consumption Formulated feasible and rigorous performance assessments, and refined the company s energy saving and consumption reduction assessment and reward mechanism through analysis of energy consumption in production plants ’ Prioritised the purchase of the energy conservation equipment or products with national certifications, adopted environmentally-friendly and energy-saving electrical appliances and equipment, and gradually eliminated the equipment with high energy consumption and low efficiency Reduced the power consumption of lighting equipment, turned on lighting only when necessary, and no lighting was turned on persistently, under the absence of workers, or during daylight Set computers, printers, copiers and other office equipment to low-consumption sleeping mode automatically when they were not in use, so as to reduce standby power consumption Made requirements on the operating temperature of the air conditioner, and not turning on air conditioning during holidays or when there were only few people working overtime Energy Conservation Optimisation Projects of the Year The production plants have introduced the advanced “ Smart Pharmaceutical Company Special Device ” to control the concentration of dissolved oxygen throughout the fermentation process by capturing the oxygen consumption of microorganisms during the fermentation of antibiotics. This not only ensures the fermentation productivity but also reduces energy consumption, saving a total of approximately 34.96 million kWh of electricity for the two production plants annually. In order to ensure the best energy saving effect of the pumps, the circulation pumps, cooling water circulating pumps and brine pumps of the plant adopted the energy efficient “ Ternary Flow ” technology. The “ Ternary Flow High Efficiency Impeller ” was custom-made according to the optimal operating parameters to replace the current inefficient operating impellers of the pumps and improve the transmission efficiency, saving a total of about 59.16 million kWh of electricity for the two plants annually. Some of the production plants were installed with a power saving device called “ Electric Superman ” , which adjusted the circuit of the power supply equipment to make the current flow more smoothly and stabilise the voltage, thereby lowering the temperature of the circuit and equipment, as well as ensuring the safety of the equipment. At the same time it achieved power conservation by saving a total of about 2.4 million kWh of electricity for the two workshops annually. The environmentally-friendly workshop has also installed a magnetic levitation centrifugal blower to replace the original blower of high consumption and low efficiency, achieving an energy saving rate of over 30% and improving the economic and environmental benefits of the enterprise, saving a total of about 3.66 million kWh of electricity for the workshop annually. Incorporated energy consumption indicators into the annual assessment of each production plant Acknowledged the production plants or individuals with outstanding performance in carrying out energy conservation work 61 Environmental, Social and Governance Report 2020 The United Laboratories International Holdings Limited

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