Combating climate change has always been an important part of Proya's sustainability program. While being committed to reducing carbon emissions from our own operation and production activities by carrying out energy-saving technological transformation, optimizing our energy structure, and using clean energy, we also actively promote the transformation of suppliers to low-carbon operations and production, and work together with them to realize a sustainable transformation of the value chain.

In order to better supervise and manage the energy consumption and carbon emission performance of suppliers, every year, we collect energy consumption and carbon emission data from suppliers of core raw materials and packaging materials and evaluate the climate change management capability of suppliers, with a commitment to working with them to reduce carbon emissions along the value chain.

Since 2021, we have been regularly collecting data from suppliers on energy consumption, carbon emissions, and practical cases of carbon reduction management, covering raw material suppliers, packaging material suppliers, original entrusted manufacturers (OEMs) and original design manufacturers (ODMs). By now, we collected data on energy consumption and carbon emission from 156 raw material suppliers, packaging material manufacturers and OEM/ODM factories. accounting for more than 90% of all of our raw material suppliers, packaging material manufacturers and OEM/ODM factories[We have not yet collected energy consumption and carbon emission data from trade and service suppliers. In the future, we will continue to improve the mechanism for the collection of energy consumption and carbon emission data from suppliers.]. Among them, 61 suppliers have set climate-related objectives such as saving energy, reducing carbon emissions, and increasing the proportion of clean energy use. Also, they continue to optimize their energy consumption structure, manage their energy use in a refined manner, and carry out energy-saving and emission reduction initiatives and campaigns to reduce carbon emissions from their production and operation activities.

Carbon reduction cases of raw materials suppliers

[Case 1] Enhance the Use of Clean Energy and Reduce Carbon EmissionA raw material supplier of Proya and O2 Renewable Energy SG PTE, a subsidiary of a leading renewable energy developer in Singapore, signed a long-term cooperation agreement to purchase renewable solar energy to increase the proportion of clean energy and reduce carbon emissions.Another raw material supplier installed a photovoltaic power generation system for raw material production, reducing the amount of purchased electricity by up to 20%.[Case 2] Carry out Refined Energy Management and Reduce Comprehensive Energy ConsumptionA raw material supplier of Proya applies refined management of energy use in production and operation activities, expecting to save 5% of liquefied petroleum gas (LPG) each year. They rationalize the use of vehicles and properly plan driving routes, expecting to save 10% of gasoline consumption each year.

[Case 3] Optimize Energy Structure and Reduce Carbon EmissionsA supplier of Proya replaced coal with electricity and gas for heating, expecting to reduce 72 tons of raw coal consumed each year.[Case 4] Carry out Energy Conservation and Efficiency Improvement to Reduce Energy ConsumptionA raw material supplier of Proya implemented systematic measures for energy conservation and efficiency enhancement. By replacing the insulation cotton of the central air-conditioning device, optimizing the standard operating procedures for water tower maintenance, and adopting the interconnection system for the air-conditioning mainframe and the cooling tower, they saved 2,006 megawatt-hours of outsourced electricity.[Case 5] Publicize Energy Conservation and Consumption Reduction and Foster A Culture of Low-carbon Practices for All EmployeesA raw material supplier of Proya actively launches promotional campaigns for energy conservation and consumption reduction, attaches energy conservation labels, and instills the culture of low-carbon practices into the mind of all employees, thus reducing power consumption by 10.44 MWh.

We will continue to encourage and motivate raw material and packaging material suppliers to reduce carbon emissions, share with them our carbon reduction practices and help them reduce carbon emissions and achieve their objectives in energy conservation and carbon reduction.