ESG Report 2021

Inner Mongolia Company complies with the enzyme, and concentrated liquid in MVR, treatment “Guiding Opinions on Improving the Capabilities of for turning them into harmless wastes was made Environmental Monitoring, Utilisation and Disposal, through the boiler comprehensive treatment system and Environmental Risk Prevention for Hazardous of Inner Mongolia Company. The used mineral oil, Wastes” and has formulated strict treatment which was sealed in barrels to ensure zero leakage, procedures to handle hazardous wastes, including was transferred to the unit qualified for hazardous hyphae slag, waste activated carbon, waste enzyme, waste treatment for subsequent treatment. The concentrated solution of phenylacetic acid, used fermented fungi residue was delivered to the mineral oil and concentrated liquid in Mechanical qualified unit to produce organic fertilisers. During Vapor Recompression (MVR). In order to reduce the the Year, the Group set a goal to dispose or utilise amount of waste discarded, Inner Mongolia all wastes in a safe and harmless manner to Company has reused the recyclable hazardous minimise the harm to the environment. Zhuhai wastes, such as concentrated phenylacetic acid, for Company also vigorously promoted waste sorting in production. For the hazardous wastes that could not response to the Group's goal. be recycled, such as waste activated carbon, waste In order to better manage the Group's sewage production management measures to further discharge process, reduce pollutant emissions and improve cleaner production strategies, which include avoid causing adverse effects to the environment, four foci: Inner Mongolia Company has developed cleaner Cleaner Production Inner Mongolia Company insists on strictly pollution. We also raise employees' awareness of implementing clean production management cleaner production, and incorporate relevant methods, and maintaining production quality while awareness into daily operations to reduce the gradually reducing resource consumption and impacts on the environment. 79 Environmental, Social and Governance Report 2021 The United Laboratories International Holdings Limited 1 2 3 4 Incorporate the results of cleaner production audit into the daily management of the company, and integrate the cleaner production awareness and methods into the company's production and quality management. Through the implementation of performance appraisal and post duty system, we establish a cleaner production incentive mechanism, and link the reward and punishment measures such as employee bonuses, wage distribution, criticism and recognition to cleaner production performance, so as to enhance employees' eagerness to participate in cleaner production. Establish a special fund for cleaner production of enterprises, and use the economic benefits generated by the implementation of cleaner production for cleaner production in the future, so as to secure the source of funds for cleaner production. This can continuously facilitate the work of cleaner production. Establish long-term cleaner production planning, and further reduce material consumption and energy consumption according to the specific conditions of the enterprise, and hence gradually recycle various energy and waste generated in the production process. Production, energy conservation and environmental protection can be equally valued.