TPI Polene Power Public Company Limited remains committed to becoming a leader in the renewable energy industry by responding to the growing demand for clean energy driven by economic expansion and increasing environmental awareness. The Company is one of the leading organizations that prioritizes sustainable growth in all dimensions by aligning its strategies with those of the TPI Polene Group to support the Sustainable Development Goals (SDGs). The Company integrates ESG (Environmental, Social, and Governance) principles and the BCG Economy (Bio-Circular-Green Economy) into its business strategy to support the goals of Carbon Neutrality and Net Zero Emissions at both the organizational and national levels while simultaneously mitigating the impacts of climate change.

Operating Results for the Year 2024

In 2024, the Company and its subsidiaries generated total revenue of Baht 11,097 million, with earnings before interest, taxes, depreciation, and amortization (EBITDA) amounting to Baht 4,788 million. The net interest-bearing debt to EBITDA ratio (Net IBD/EBITDA) stood at only 5.24 times, reflecting a stable cash flow position.

Expansion of Clean Energy Generation Capacity and Implementation of Cost Reduction Technologies

In 2024, the Company invested in various projects to reduce costs, particularly by upgrading power plants to fully utilize municipal waste fuel as a substitute for coal. This transition is expected to lower fuel costs, as municipal waste fuel is more affordable than coal. The project is anticipated to be completed in 2025, with cost-saving measures expected to take full effect and generate profits for the Company starting in 2026. Additionally, the Company is in the process of developing several power plants, including a 94-megawatt solar power project to supply electricity to TPI Polene Public Company Limited and a 16-megawatt municipal waste power plant project to supply electricity to the Provincial Electricity Authority. Furthermore, the Company has planned the implementation of a 20 MWh Battery Energy Storage System (BESS) in its solar farm projects to enhance power supply stability and reduce energy losses. The Company is also improving the efficiency of various machineries to optimize operations.

These projects not only reduce costs and generate profits for the Company but also contribute to carbon reduction in all dimensions. They can decrease carbon dioxide emissions by 0.92 million tons of CO₂ equivalent per year and generate 1.39 million tons of CO₂ equivalent in Carbon Credits annually. These Carbon Credits represent hidden assets that have not yet been recorded in the Company's financial statements.

In 2024, the Company successfully registered 1,559,229 tons of CO₂ equivalent in Carbon Credits with the Thailand Greenhouse Gas Management Organization (TGO). Additionally, the Company obtained Renewable Energy Certificates (RECs) from the Electricity Generating Authority of Thailand (EGAT). Furthermore, the Company's power plants have been registered under the International REC Standard (I-REC), with a total issuance of 2,504,658.94 RECs.

ESG and BCG Implementation

The Company prioritizes reducing direct greenhouse gas emissions from its business activities (Scope 1) and minimizing indirect greenhouse gas emissions from energy consumption (Scope 2). Additionally, it recognizes the importance of mitigating other indirect greenhouse gas emissions (Scope 3), which arise from activities beyond the Company’s direct control. To promote clean energy usage among employees and stakeholders, the Company has implemented various initiatives, such as conducting surveys on employees’ commuting patterns to assess greenhouse gas emissions and encouraging eco- friendly transportation options, launching energy conservation campaigns in the workplace to raise awareness among employees about reducing excessive energy consumption and utilizing renewable energy sources. Furthermore, the Company is committed to integrating clean energy solutions across its supply chain by collaborating with business partners to support greenhouse gas reduction in their business activities.

Beyond carbon reduction efforts, the Company places great emphasis on biodiversity conservation in water ecosystems by monitoring aquatic biodiversity and implementing initiatives to prevent and mitigate environmental impacts on water ecosystems. Measures include water quality monitoring, wastewater treatment, and the restoration of natural water sources,ensuring the sustainability of water resources for future generations.

The Company's Corporate and Debt Instrument Credit Rating is "A-" (Single A Minus) with a "Negative" Outlook

On February 21, 2025, the Company’s corporate and debt instrument credit rating has been assigned at "A-" (Single A Minus) with a Negative outlook, while received a Stand-alone Credit Profile (SACP) rating of "a" from TRIS Rating Co., Ltd. (The Company’s credit rating is constrained by the credit rating of its parent company, TPI Polene Public Company Limited, which holds a rating of "A-/Negative").

The Company's stand-alone credit profile (SACP) reflects its stable cash flow generation from its power generation business, supported by long-term power purchase agreements (PPAs) with the Electricity Generating Authority of Thailand (EGAT), a highly creditworthy entity. Additionally, the Company benefits from cost-effective and environmentally sustainable fuel sources, primarily municipal waste-derived fuel and waste heat recovery from cement production operations, both of which offer a more sustainable and lower-cost compared to coal.

Enhancing Community Well-Being, Social Quality, and Employee Potential

The Company is committed to enhancing community well-being, social quality, decent employment, and employee potential across all aspects of its operations. This commitment aligns with the Company’s goal of fostering long-term sustainability, economic growth, and improveed quality of life, while creating shared value for stakeholders. Furthermore, the Company actively encourage sustainable consumption and production practices, and strengthens climate resilience within its business operations.

The Company prioritizes the well-being of communities surrounding its facilities by efficiently utilizing resource and fostering harmonious, sustainable co-existence. Efforts focus on minimizing business-related impacts by implementing air, water, and noise quality control measures in adjacent areas, thereby establishing a healthy and supportive environment for local residents. Additionally, the Company seeks to enhance economic opportunities by supporting local employment, fostering partnerships with local businesses, and engage with community members through dedicated communication channels designed to listen to and address their needs. Integrating renewable power generation into its operations with social development initiatives, the Company reduces greenhouse gas emissions through environmentally friendly production processes and supports a circular economy by minimizing waste and maximizing resource recovery.

Recognizing that employees are the organization’s most valuable asset, the Company has implemented comprehensive initiatives to develop workforce capabilities at every level. It provides training and knowledge development programs focused on energy management and climate change, as well as efforts to create a sustainable corporate culture that encourage innovation and collaborative work practices. For example, the Company has enhanced fuel system efficiency in waste-fueled power plants, which not only improves operational skills but also increases awareness of the broder impact on community and the environmental. Additionally, the Company has actively promotes employee engagement through initiatives such as paper reduction campaigns and internal plastic bottle collection programs. Instead of disposing of plastic bottles in community waste bins, they are collected separately to streamline waste sorting and be repurposed as fuel for the Company’s power plants.

Sustainability-Driven Governance Aligned with SDGs

In 2024, the Company has implemented sustainbility strategies and business operations in accordance with the sustainability policy approved by the Board of Directors. This policy integrates three key material aspects covering environmental, social, and economic, along with good corporate governance, as core drivers to achieve the Company’s sustainable development objectives. The material topics identified and endorsed by the Board have been incorporated into the 2024 Sustainability Report, prepared in accordance with the Global Reporting Initiative (GRI) Standards and aligned with the United Nations Sustainable Development Goals (SDGs).

In addition, the Company has disclosed its climate-related financial information in alignment with the Task Force on Climate-related Financial Disclosures (TCFD) principles. This disclosure enables stakeholders and investors to gain insights into the Company's climate risk management strategies, which position climate change as a critical business factor. The Company employs a low-carbon strategy to mitigate climate-related risks, reinforcing its commitment to reduce greenhouse gas emissions and achieving carbon neutrality.

Success in Sustainable Development Operations

With a strong commitment and emphasis on work processes for sustainable growth, the Company received awards and certifications from recognized organizations in 2024 for its efforts in promoting sustainable development and good corporate governance, including the following:

1. The Company was selected as one of the top 100 listed companies with outstanding performance in Environmental, Social, and Governance (ESG), earning a place in the ESG100 Index for 2024 for the fifth time (2018, 2021, 2022, 2023, and 2024). Additionally, the Company was recognized as a notable investment option in the resources sector, based on an assessment by the Thaipat Institute.
2. The Company received a SET ESG Rating of AAA (the highest level) for 2024 from the Stock Exchange of Thailand. This recognition reflects the Company’s commitment to Environmental, Social, and Governance (ESG) practices, ensuring sustainable benefits for all stakeholders.
3. The Company received a 5-star “Excellent” rating (Excellent CG Scoring) in the 2024 Corporate Governance Report of Thai Listed Companies (CGR), an assessment conducted by the Thai Institute of Directors (IOD).
4. The Company was awarded a plaque of honor as one of 34 pioneering power plants that successfully passed the sustainability assessment across five key areas, based on 42 sustainability indicators, under the Pilot Project for the Development of Power Plant Sustainability Indicators for Thailand. This recognition reflects the Company’s commitment to becoming a model for modern power plants, integrating sustainable development with energy security to support Thailand’s long-term economic growth.

On behalf of the Board of Directors of TPI Polene Power Public Company Limited, we would like to express our sincere gratitude to our shareholders, debenture holders, financial institutions, executives, employees, and all stakeholders for their support of the company's operations over the past year. The collaboration of communities, employees, investors, and business partners has been a key driver in advancing the company toward its sustainability goals. Looking ahead, the company remains committed to expanding renewable energy projects and clean energy innovations, while enhancing power generation capacity to meet growing demand and support sustainable development goals at both the corporate and national levels.