ESG Report 2023

104 10.5.1 Green Factory Achieve an advanced level in intensive use of land, cleaner production, utilisation of wastes and low carbon energy sources Green Factory Adopt cleaner production to minimise generation of pollutants Enhance the Company’s resource efficiency, including reduction in the average energy consumption per product and water and raw materials consumption, bringing the Company’s resource efficiency to a leading level High level of waste recycling and reuse Inner Mongolia Company is a national “Green Factory”, which vigorously promotes cleaner production, improves production processes, formulates emergency plans for environmental emergencies and provides training on environmental protection. It actively promotes environmental protection, and gradually incorporates the concept of green production into its corporate culture. Inner Mongolia Company has established an implementation plan for the construction of green factories. It has invested a lot of resources in the realms of “intensive land use, turning raw materials into harmless, cleaner production, waste recycling, and low-carbon energy” to systematically formulate corresponding work measures and targets, normalise green factory operation mode and green development management, hoping to reach the advanced level of the industry in the various objectives of green factories. In order to effectively manage and maintain the characteristics of green factories, the Company has implemented assessment and reward methods for employees to carry out green environmental protection work in an orderly and efficient manner. The Group will guarantee the investment of funds in Inner Mongolia Company, strengthen technological innovation, and ensure that production technology, equipment, inputs of energy resources, products, environmental protection emissions, performance, etc. all meet the standards of national green factories. Inner Mongolia Company has always attached great importance to energy measurement management, and advocated energy conservation, emission reduction and energy consumption control. From the standardized collection network to the measurement and flow of internal audit energy, Inner Mongolia Company adopts a rigorous attitude and establishes a sound energy management system. During the Year, the energy measurement review group, which was jointly formed by the Institute of Measurement and Testing of Inner Mongolia Autonomous Region and the Administration for Market Regulation of Bayannur City, conducted on-site review of the energy measurement of Inner Mongolia Company, which highly affirmed the Company's energy measurement management. To cultivate the habit of energy conservation among all employees, the Group regularly conducts electricity-saving activities. Leaders of each company carry out publicity campaigns on electricity conservation, lead by example, and enhance the awareness of all employees about saving and using electricity scientifically. When there is sufficient natural light, they try to turn off lighting or reduce the number of light sources and always turn off lights when leaving a room to eliminate the use of daytime lights or lights left on overnight. Air conditioning is set at 26°C or higher, and its usage time is reduced. Office equipment and household appliances are promptly turned off when not in use to minimize standby power consumption. They also try to reduce the use of elevators. High-power electrical appliances are not used during peak electricity consumption periods. Rational control of streetlights and unnecessary lighting is practiced, and energy-saving products are used reasonably while eliminating high-energy-consuming equipment. The Group supports and cooperates with various departments to manage electricity usage scientifically. Printers and copiers, among other office equipment, are turned off when not in use for extended periods. When leaving the office, staff members turn off lights, air conditioning, office equipment, and instrument power. Daylighting is utilized by promptly turning off corridor lights and restroom lighting during the day, as well as using energy-efficient lamps and appliances as much as possible, and optimizing all electrical equipment for energy-saving mode. Environmental, Social and Governance Report 2023 The United Laboratories International Holdings Limited

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