ISSN : 2351-0439

EGAT Sustainability Report 2019 EGAT Sustainability Report

Electricity Generating Authority of (EGAT) 53 Moo 2 Charan Sanitwong Road, Bang Kruai, Nonthaburi 11130 Tel. +66 (0) 2436 4610, +66 (0) 2436 4613 2019 Fax. +66 (0) 2436 4695 www.egat.co.th

ENERGY for stability and sustainability

Be the country’s main organization to secure the power reliability and enhance competitiveness of the nation through innovation for Thai happiness to secure the power reliability and enhance competitiveness Content

Prosperity : 4 Message from the Governor Ensure prosperous and fulfilling lives in 04 7 About EGAT harmony with nature 11 About This Report 12 Material Topics of Sustainability Goal 7 : Ensure access to 15 Corporate Governance affordable, reliable, sustainable 21 Business Ethics and modern energy for all 22 Stakeholder Relationship Page : 55 Management 25 Risk Management Goal 9 : Build resilient infrastructure, promote Economic Performance sustainable industrialization 28 29 Supply Chain Management and foster innovation 31 Anti-Corruption Page : 47-51 33 Availability and Reliability 42 System Efficiency 44 Demand-side Management People : 47 Research and Development End poverty and hunger in all forms and ensure dignity and equality Environmental Performance Goal 2 : End hunger, achieve 52 55 Materials food security and improved 56 Energy nutrition and promote 57 Water sustainable agriculture 59 Greenhouse Gas and Page : 83-84 Air Pollution Management 67 Biodiversity 71 Effluents and Waste Planet : Social Performance Protect our planet’s natural resources and 72 73 Labor Practices climate for future generations 80 Occupational Health and Safety Goal 13 : Take urgent action 82 Local Communities to climate change and its 87 Human Rights Assessment impacts 88 Disaster and Incident Page : 59-64 Management Planning 91 Prizes and Awards Goal 15 : Sustainably manage 95 GRI Content Index forests, combat desertification, 99 External Assurance halt and reverse land degradation, Statement halt biodiversity loss Page : 67-70 Vision Mission Innovate power solutions for a better life Be the country’s main organization to secure the power reliability and enhance competitiveness of the nation through innovation for Thai happiness.

Core Values and Corporate Culture

EGAT has defined its core values and corporate culture or SPEED for all employees to adhere to as follows:

S Sense of Belonging Love, E Enthusiasm for Innovation Strive feel connected, and have a sense to look for new methods to create social of ownership and commercial benefits and develop • Protect EGAT’s interest and new processes reputation • Dare to try • Commit and devote to EGAT • Think new things, do new things • Have a strong feeling of unity • Use new technology to stay ahead

P Performance Excellence  D Devotion to Society Be professional and multi-skilled Responsibility toward the nation, society, • Strive for achievement community, and environment • Set challenging goals • Have public consciousness • Be highly responsible • Build mutual understanding with stakeholders E Ethics and Integrity Act in a way that is consistent with ethics and good governance principles • Be honest • Comply with rules and regulations • Fight against corruption • Treat others fairly and equitably Energy for stability and sustainability EGAT Sustainability Report 04 2019

Message from the Governor

Over the past five decades, since its establishment a regional energy hub, and building on its award-winning on 1 May 1969, EGAT has successfully carried out all the innovations to generate more income. A : Administration tasks assigned to complete its mission to ensure national Excellence means to strive for administrative excellence, grid security. As the world is now moving into the new high performance, and financial stability by reducing decade shaped by an accelerating pace of change, administrative costs and making the most of its available growing social expectations, environmental concerns, resources. T : Trust and Pride of the Nation means to be and a leap in technological progress, businesses and a good governance organization trusted by society and industries, including the energy industry, need to make the pride of the nation. EGAT strived to create a balance major changes to achieve transformation. EGAT will also between economic (profit), environmental (planet), and inevitably have to face such challenges. Therefore, in every social (people) sustainability. We attached importance to step it takes from here onward, EGAT has to be ready for perceived value and balanced assessment of the success changes. Building new skills and innovations needed to of the organization in three areas, including economy improve performance and open up opportunities will help (creating business growth), society (working with move the organization toward sustainable development. communities to create value) and environment (caring for the environment and efficient use of resources). In 2019, EGAT adhered to its mission to “Be the country’s Moreover, we operated with transparency and under the main organization to secure power reliability and enhance principles of good governance, which also served as key competitiveness of the nation through innovation for indicators for the organization’s success. Thai happiness” and its E.G.A.T strategies to drive the organization to achieve its “Innovate Power Solutions for In addition, EGAT had a mission to comply with the a Better Life” vision. In the four strategies, E : Electricity Thailand Power Development Plan 2018-2037 (PDP2018). Innovation means to be an organization of electric energy In PDP2018, in addition to continuing its role in maintaining innovation to maintain electric power security and build national grid security, EGAT is assigned to perform four competitiveness. G : Growth for Sustainability means to important tasks : 1) Develop main power plants with a achieve sustainable growth by seeking opportunities from combined capacity of 6,150 MW, 2) Collaborate with related and new businesses, gaining added value from hydropower plants to develop floating solar farms with existing resources and innovations, striving to become a combined capacity of 2,725 MW, 3) Improve the power

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system stability through grid modernization to support future renewable energy, and 4) Strengthen the power system and improve transmission system efficiency to support grid connectivity. EGAT was also engaged in innovative renewable energy technology projects, improved the power system stability through the use of energy storage systems, drove operational change through digital transformation, developed smart grid systems, and developed the National Energy Trading Platform (NETP) to support the use and management of big data and prepare the country for energy trading.

Furthermore, in response to government policies, EGAT purchased over 200,000 tons of crude palm oil to be used to generate electricity at Bang Pakong Power Plant under the Palm Oil Balancing Measures and procured 130,000 tons of liquefied natural gas in accordance with the Natural Gas Liberalization Policy and Third Party Access Regime. It also initiated several electric vehicle projects, such as the EV Kit & Blueprint performance efficiency. As before, we adopt the LEAN Project and Electric Motorcycle Label No. 5 Project, as practices policy, focusing on reducing unnecessary well as starting to use 10 electric minibuses and opening processes and redundancy. 23 EV charger stations in EGAT offices and power plants. Not only will these EV projects reduce carbon dioxide EGAT believes that our operational changes and emissions, they also help mitigate air and PM2.5 pollution. adaptations through digital transformation using digital As part of the efforts to drive circular economy innovations technologies to improve our performance efficiency and optimize domestic resources, EGAT and the Department and flexibility, and developing energy innovations and of Industrial Works signed a MOU to collaborate in the technologies that can cope with changing energy “Solar Panel and Battery Waste Management Study situations and increased business competition, will help Project.” This project aims to recycle end-of-life solar create power system security and stability, which is key panels and batteries for future reuse. It is hoped that the to driving the country’s economic growth. EGAT will project will lead to sustainable environmental preservation continue to create good things to improve quality of and contribute to enhancing the country’s economic life of and bring happiness to all Thai people, as stated competitiveness. in EGAT’s aspiration, which we have been committed to for the past 50 years and will continue to do be, that EGAT still needs to make many operational adjustments EGAT produces power for Thai happiness. and changes to adapt to disruptive technology. It has undertaken an organizational restructuring and devised a transformation plan to ready the organization for changes in the industry. EGAT has a successor management plan to develop talented employees and create incentives Mr. Viboon Rerksirathai for collaboration to develop innovations and improve Governor, Electricity Generating Authority of Thailand

102-14 Energy for stability and sustainability EGAT Sustainability Report 06 2019

Declaration on Social Responsibility for Sustainable Development

The Electricity Generating Authority of Thailand (EGAT) places great importance on social responsibility performance that leads to development of economic, social, and environmental sustainability, and is aware of the impacts that may occur as a result of its decision making and operations on stakeholders and the country.

Since 2013, EGAT has integrated guidelines on social responsibility based on international standards to be understood and applied by employees in every line of work by 2016 in accordance with the Social Responsibility Master Plan 2012-2016.

That is a crucial beginning we must continue to improve to create better results for both EGAT and stakeholders especially communities located around power plants, near dams, and along high voltage transmission lines, as well as the general public under the pledge of “EGAT generates power for happiness of the Thai people”.

In 2017, amidst the challenges of moving forward under the Power Development Plan and meeting stakeholders’ expectations, we ask all employees to continue complying with guidelines on social responsibility with the following emphases :

1. Corporate Governance which complies with EGAT Good Governance and Code of Ethics, laws, regulations, and solutions to complaints.

2. Human Rights Protection which ponders, examines, and assesses risks that may result in violation of rights of people who are affected by power plant and transmission line construction projects, avoid complicity in human rights violations, and protect fundamental rights of EGAT employees and employees of contractor companies.

3. Environmental Protection which focuses on greenhouse gas reduction, environmental protection and restoration, sustainable use of resources, and pollution prevention.

4. Fair Operating Practices which respond to EGAT Anti-Corruption Policy.

In this regard, every employee should take it as their duty to pay attention to and comply with these guidelines in order for EGAT to become an organization with sustainable development recognized nationally and internationally.

Mr. Kornrasit Pakchotanon EGAT Governor 27 April 2017 EGAT Sustainability Report Energy for stability and sustainability 2019 07

About EGAT

The Electricity Generating Authority of Thailand In 2019, the power plants in the EGAT system had a (EGAT) was established on 1 May 1969 under the Electricity total contracted capacity of 45,298.25 MW. EGAT’s power Generating Authority of Thailand Act B.E. 2511 and plants had a total contracted capacity of 15,130.83 MW presently operates under the B.E. 2535 revision of the or 33.40 percent of the total capacity in the EGAT’s Act. It is a state-owned enterprise that operates energy system. The remaining electricity was purchased from business under the management of the Ministry of independent and small power producers, affiliated Energy with the Ministry of Finance as its major shareholder. companies, and neighboring countries in accordance EGAT engages in generating, acquiring and supplying with the enhanced single-buyer model, which provides electricity to the Metropolitan Electricity Authority (MEA), opportunities for the private sector to participate in the Provincial Electricity Authority (PEA), legal power power production and sell power to EGAT as a single user and neighboring countries. EGAT is also responsible buyer, as well as a system controller and operator, under for power related activities and services, producing and the power purchase contract. selling lignite and its by-products under the EGAT Act B.E. 2511 (1968) and its amendment B.E. 2535 (1992).

Enhanced Single Buyer Model (ESB)

Independent Small Very Small Power Producer Purchase from Power Producer Power Producer Energy Regulatory(ERC) Commission Generation EGAT (IPP) overseas (SPP) (VSPP)

Policy State agencies and EGAT Transmission System Transmission System Operator

Distribution MEA PEA Regulation

Direct Customers Power Users Power users customers in industrial estates

In addition, EGAT also operated business in line with Nam Lik 1 Power Company Limited, Nam Ngiep 1 Hydropower its strategy that stresses generating income from the Project, and Nam Ngum 2 Power Company Limited. existing expertise and resources, by providing quality Transmission System Maintenance : EGAT is known electric power services for other organizations as follows. for its expertise and experience in high voltage power Operation and Maintenance Services : EGAT provided transmission system countrywide. It is the policy of operation and maintenance services for other companies EGAT to provide quality service to the independent and such as Chubu Ratchaburi Electric Services Company small power producers, as well as industrial and general Limited, Mitr Phol Bio-Power Group, BLCP Power Company customers, in order to promote the security and reliability Limited, the Airports of Thailand Public Company Limited, of the electricity system of the country.

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Energy sale in 2019 Customer Million kWh Percentage Metropolitan Electricity Authority (MEA) 55,002.17 28.43 Provincial Electricity Authority (PEA) 134,605.47 69.59 Direct customers 1,213.23 0.63 Neighboring countries (Lao PDR, Malaysia and Cambodia) 2,394.64 1.24 Standby power supply 133.36 0.07 Others 90.26 0.05 Total 193,439.13 100

Telecommunication Business : EGAT has used its dark By-Product Business : EGAT recovered by-products fiber optic network to provide telecommunication services from lignite-fired power generation at Mae Moh Power under the supervision of the National Broadcasting and Plant, such as lignite fly ash, lignite bottom ash, and Telecommunication Commission (NBTC), which is the synthetic gypsum. EGAT has ventured into in a by-product licensing agency that granted the Telecommunication business, focusing on product innovation and development Business Type Three License to EGAT. Services provided of by-products’ efficiency and property to better meet by EGAT include domestic and international bandwidth the needs of customers. It has collaborated with leading and dark fiber services. EGAT is ready to support the educational institutes in the country, as well as researchers expansion of 4G, 5GIoT, and other telecommunication and experts from various fields, to study and improve infrastructure improvements that may take place in the quality of by-products. the future. Moreover, it is also ready to support the Engineering Services : EGAT was trusted by other implementation of the government’s digital economy organizations such as Gulf SRC Company Limited, Nam Theun 1 policy to drive the country toward Thailand 4.0. Company Limited, the Government Savings Bank, and the government of Lao PDR, to provide engineering services.

Revenue, net profit and levies

576,412,302,651.00 523,244,137,189.64 Revenue 493,149,912,436.70 495,208,128,578.46 45,738,130,782.00 Net profit 39,263,478,564.16 51,491,701,110.66 41,072,947,879.06 2019 (Baht) 22,443,365,299.26 2018 (Baht) Levies/ 20,850,100,000.00 State Remittance 25,275,000,000.00 2017 (Baht) 21,660,110,000.00 2016 (Baht)

102-2, 102-6, 102-7 EGAT Sustainability Report Energy for stability and sustainability 2019 09 Company Subsidiary EGAT International Co., Ltd. Associate Joint venture EGAT Diamond Service Co., Ltd. % Shareholding International Proportion Ratch Group PCL 99.99% Electricity Generating PCL District Cooling System and Power Plant Co., Ltd. 45% 45% 35% 25.41% Registered Capital (Million Baht) 14,500 12,197.4 623 5,300 1,670

EGAT is a member of national and international EGAT operation sites organizations, including: Thailand Business Council for 1. HEADQUARTERS : Sustainable Development, which was established by BANG KRUAI, NONTHABURI a group of business leaders to promote the concept of “sustainable development” among the business leaders, 2. TRANSMISSION SYSTEM OPERATION OFFICE : and encourages the business sector to play a role in There are five offices ; two in Nonthaburi, determining environmental policies that will lead to one in Phitsanulok, one in Khon Kaen, sustainable development and preventing and solving and one in Krabi. environmental problems of the country. It also builds 3. POWER PLANTS : environmental awareness in business organizations. EGAT OWNS 11 POWER PLANTS, INCLUDING International Transmission Operation and Maintenance Study 1. Mae Moh Power Plant, (ITOMS), which was formed by transmission companies 2. Bang Pakong Power Plant, Chachoengsao across the world. ITOMS attempts to build a foundation for 3. North Bangkok Power Plant, Nonthaburi the assessment of service and performance, as well as the 4. Krabi Power Plant, Krabi spending efficiency in transmission activities in order to 5. South Bangkok Power Plant, Samut Prakan 6. Surat Thani Power Plant, Surat Thani identify, develop and compile the best practices. EGAT uses 7. Chana Power Plant, Songkhla the information obtained from benchmarking with other 8. Lan Krabue Power Plant, Kamphaeng Phet ITOMS members to further improve its operating efficiency. 9. Wang Noi Power Plant, Ayutthaya 10. Lamtakong Jolabha Vadhana Power Plant, 14 Nakhon Ratchasima 1 2 3 8 11. Nam Phong Power Plant, Khon Kaen 2 8 7 4 11 3 4. DAMS : EGAT OPERATES 14 DAMS, INCLUDING : 9 6 1 1 1. Srinagarind Dam, Kanchanaburi 5 1 10 9 2. Bhumibol Dam, Tak 13 1 3 2 5 3. Sirikit Dam, 4. Ubol Ratana Dam, Khon Kaen 12 5. Vajiralongkorn Dam, Kanchanaburi 6. , Ubon Ratchathani 7. Chulabhorn Dam, Chaiyaphum 6 8. Nam Pung Dam, Sakon Nakhon 10 9. Pak Mun Dam, Ubon Ratchathani 4 10. Rajjaprabha Dam, Surat Thani 4 7 11. Bang Lang Dam, Yala 12. Kaeng Krachan Dam, Phetchaburi 11 13. Tha Thung Na Dam, Kanchanaburi 14. Mae Ngat Somboon Chon Dam, Chiang Mai

102-3, 102-13 Energy for stability and sustainability EGAT Sustainability Report 10 2019

Net energy output and contracted capacity (total installed capacity) broken down by energy source and region Total Power Plant/Energy Source Metropolitan Central Northeast South North Output % (MW) (MW) (MW) (MW) (MW) (MW) 1. EGAT power plants 1.1 Firm • Fuel oil 0.00 0.00 0.00 315.00 0.00 315.00 0.70 • Natural gas 3,086.00 3,298.00 650.00 1,476.00 0.00 8,510.00 18.79 • Lignite 0.00 0.00 0.00 0.00 2,220.00 2,220.00 4.90 • Hydropower from large dams 0.00 1,090.00 237.20 324.00 1,321.20 2,972.40 6.56 • Others (pumped-storage hydropower) 0.00 0.00 1,000.00 0.00 0.00 1,000.00 2.21 Total 3,086.00 4,388.00 1,887.20 2,115.00 3,541.20 15,017.40 33.15 1.2 Non-Firm • Wind power 0.00 0.00 26.50 0.19 0.00 26.69 0.06 • Diesel 0.00 0.00 0.00 26.00 4.40 30.40 0.07 • Solar energy 0.00 5.02 1.26 0.01 0.51 6.80 0.02 • Hydropower from large dams 0.00 16.82 8.31 1.28 22.82 49.23 0.11 • Geothermal energy 0.00 0.00 0.00 0.00 0.30 0.30 0.00 Total 0.00 21.84 36.07 27.48 28.04 113.43 0.25 Total net energy output produced by EGAT 3,086.00 4,409.84 1,923.27 2,142.48 3,569.24 15,130.83 33.40 2. Private power producers 2.1 Independent power producers (IPP) and EGAT Group • Natural gas 0.00 12,012.00 0.00 930.00 0.00 12,942.00 28.57 • Bituminous coal 0.00 2,006.50 0.00 0.00 0.00 2,006.50 4.43 Total 0.00 14,018.50 0.00 930.00 0.00 14,948.50 33.00 2.2 Foreign power producers 2.2.1 Lao People's Democratic Republic (Lao PDR) • Hydropower 0.00 0.00 3,947.60 0.00 0.00 3,947.60 8.71 • Lignite 0.00 0.00 0.00 0.00 1,473.00 1,473.00 3.25 2.2.2 Federation of Malaya • Others (Thailand-Malaysia 0.00 0.00 0.00 300.00 0.00 300.00 0.66 HVDC Interconnection Project) Total 0.00 0.00 3,947.60 300.00 1,473.00 5,720.60 12.63 2.3 Small power producers (SPP) 2.3.1 Firm • Natural gas 900.00 4,997.00 180.00 0.00 0.00 6,077.00 13.42 • Coal 0.00 369.50 0.00 0.00 0.00 369.50 0.82 • Renewable energy (bagasse, 0.00 161.80 113.30 29.00 25.00 329.10 0.73 rice chaff, biomass, palm bunch, black liquor, rubber wood chips) Total 900.00 5,528.30 293.30 29.00 25.00 6,775.60 14.96 2.3.2 Non-Firm • Natural gas 65.00 205.00 0.00 0.00 0.00 270.00 0.60 • Coal 8.00 0.00 0.00 0.00 0.00 8.00 0.02 • Renewable energy (bagasse, 30.00 641.00 1,169.00 126.00 478.72 2,444.72 5.40 natural gas from crude oil production, waste gas, waste, wind power, solar energy and hydropower from large dams) Total 103.00 846.00 1,169.00 126.00 478.72 2,722.72 6.01 Total net energy output produced by small 1,003.00 6,374.30 1,462.30 155.00 503.72 9,498.32 20.97 power producers Total net energy output produced by private 1,003.00 20,392.80 5,409.90 1,385.00 1,976.72 30,167.43 66.60 power producers Contracted capacity (total capacity) 4,089.00 24,802.64 7,333.17 3,527.48 5,545.96 45,298.25 100.00 EU1, EU2 EGAT Sustainability Report Energy for stability and sustainability 2019 11 About This Report

This EGAT Sustainability Report 2019 is the eleventh edition of the sustainability report series, which has been published by EGAT every year since 2009. It discloses information on management and the results of economic, environmental, and social performances during the period from 1 January to 31 December 2019. The reporting scope covers the performance of EGAT and does not include operating activities conducted by its suppliers, business partners, contractors, or the five affiliated companies that include Ratch Group Public Company Limited, Electricity Generating Public Company Limited, EGAT International Company Limited, District Cooling System and Power Plant Company Limited, and EGAT Diamond Service Company Limited.

This report has been prepared in accordance with the GRI Standards : Comprehensive option and Electric Utilities Sector Disclosure. For the GRI Content Index Service, GRI Services reviewed that the GRI content index is clearly presented and the references for all disclosures included align with the appropriate sections in the body of the report. Furthermore, EGAT sought external assurance to perform a limited assurance engagement on the sustainability information and key performance indicators, as described on pages 99-100 of this report.

As part of our efforts to care for society and the environment, this report is printed with soy ink on eco-friendly paper, and also published in electronic format which can be downloaded at EGAT’s website. If you have any questions or suggestions, please contact :

Sustainability Strategy Division Electricity Generating Authority of Thailand (EGAT) Head Office, Bang Kruai, Nonthaburi 11130 Tel : 0 2436 4610, 0 2436 4613 Fax : 0 2436 4695 Website : www.egat.co.th

102-45, 102-50, 102-51, 102-52, 102-53, 102-54, 102-56 Energy for stability and sustainability EGAT Sustainability Report 12 2019 Material Topics of Sustainability

The steps EGAT has followed to identify and select the caused by EGAT that affects stakeholder decision about material topics of sustainability are in accordance with the organization. To clarify, the identified material topics the GRI Sustainability Reporting Standards as follows : are selected and prioritized by executives at the assistant governor level or higher and EGAT’s stakeholders by 1. Identification means of an opinion survey. Material topics in the Sustainability Report 2018 are reviewed and compared with international and national 3. Validation and Review sustainability trends such as UN Sustainable Development The inclusiveness and completeness of the identified Goals, and topics concerned by leading organizations material topics are then validated and reviewed before in similar industries, in order to adjust EGAT’s material being submitted to the Strategic Steering Committee, topics to be more inclusive and up-to-date. which comprises executives at the assistant governor level and level 11 representatives from all lines of work and the 2. Prioritization Deputy Governor–Strategy as the chairman, for approval. The identified material topics are prioritized from the perspectives of both stakeholders and the organization. EGAT 2019 materiality comprises 23 topics, including : Topics material to EGAT take into account the impacts, 4 organizational management topics, 6 economic topics, opportunities, and risks that may occur to EGAT, and 7 environmental topics and 6 social topics. System topics material to stakeholders are considered based on Efficiency topic, which is related to EGAT’s core missions, the level and significance of each impact that may be is added.

8.00

7.50 Availability and Reliability

7.00

Corporate 6.50 Governance Business Ethics System Efficiency Anti-Corruption 6.00 Risk Management Stakeholder Engagement Materials Energy Occupational Health Compliance with 5.50 and Safety Environmental Laws Supply Chain Importance to Stakeholders to Importance Research and Demand-side Management Development Local Compliance with Social Management Communities and Economic Laws 5.00 Labor Practices Disaster/ Emergency Planning and Biodiversity Response 4.50 Human Rights Water Effluents and Waste Greenhouse Gas Emissions 4.00 4.00 4.50 5.00 5.50 6.00 6.50 7.00 7.50 8.00 Importance to Business

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Information Disclosure Topic Boundary No. Material Topics Sector Inside of GRI Topic GRI Standard Disclosures Organi- Outside of Organization Disclosures (Electric Utilities) zation Organizational Management 1 Corporate - 102-18 - 102-37 - EGAT Public sector and regulators Governance 2 Business Ethics - 102-16, 102-17 - EGAT Public sector and regulators/ Communities around power plants and transmission systems/Scholars, NGOs, and Civil Society Sector/ Major customers/Electricity users and overall society/Business partners and allies/Financial institutions/Mass media 3 Risk Management - 102-11, 102-15 - EGAT Public sector and regulators/ Major customers/Electricity users and overall society 4 Stakeholder - 102-40, 102-42, - EGAT Public sector and regulators/ Engagement 102-43, 102-44 Communities around power plants and transmission systems/Scholars, NGOs, and Civil Society Sector/ Major customers/Electricity users and overall society/Business partners and allies/Financial institutions/Mass media Economic 1 Availability and EU : Availability - DMA (former EU6), EGAT Public sector and regulators/ Reliability and Reliability EU10 Major customers/Electricity users and overall society/ Business partners/allies 2 Anti-Corruption GRI 205 : 205-1, 205-2, - EGAT Public sector and regulators/ Anti-corruption 205-3 Business partners and allies 3 Demand-side EU : Demand-side - DMA (former EU7) EGAT Public sector and regulators/ Management Management Major customers/Electricity users and overall society/ Business partners and allies 4 Research and EU : Research and - DMA (former EU8) EGAT Major customers/Electricity users Development Development and overall society 5 Supply Chain GRI 204 : 102-9, 204-1 - EGAT Public sector and regulators Management Procurement Business partners/allies Practices 6 System Efficiency EU : System - EU11, EU12 EGAT Public sector and regulators/ efficiency Major customers/Electricity users and overall society/ Business partners/allies

102-47 Energy for stability and sustainability EGAT Sustainability Report 14 2019 Information Disclosure Topic Boundary No. Material Topics Sector Inside of GRI Topic GRI Standard Disclosures Organi- Outside of Organization Disclosures (Electric Utilities) zation Environmental 1 Compliance with GRI 307 : 307-1 - EGAT Public sector and regulators/ Environmental Environmental Communities around power plants Laws Compliance and transmission systems 2 Material GRI 301 : Materials 301-1, 301-2, - EGAT Public sector and regulators/ 301-3 Major customers/Electricity users and overall society 3 Energy GRI 302 : Energy 302-1, 302-3, - EGAT Public sector and regulators/ 302-4 Business partners and allies 4 Effluent and Waste GRI 306 : Effluents 306-1, 360-2, - EGAT Public sector and regulators/ Management and Waste 306-3, 306-4, Communities around power plants 305-5 and transmission systems 5 Water GRI 303 : Water 303-1, 303-2, - EGAT Public sector and regulators/ 303-3 Communities around power plants and transmission systems 6 Greenhouse Gas GRI 305 : Emis- 305-1, 305-2, EU5 EGAT Public sector and regulators/ Emissions sions 305-3, 305-4, Communities around power plants 305-5, 305-6, and transmission systems/ 305-7 Electricity users and overall society 7 Biodiversity GRI 304 : 304-1, 304-2, EU13 EGAT Public sector and regulators/ Biodiversity 304-3, 304-4 Communities around power plants and transmission systems Social 1 Local GRI 413 : Local 413-1, 413-2 EU22 EGAT Public sector and regulators/ Communities Communities Communities around power plants and transmission systems 2 Disaster/ EU : Disaster/ - DMA (former EU21) EGAT Public sector and regulators/ Emergency Emergency Major customers/Electricity users Planning and Planning and and overall society/Communities Response Response around power plants and transmission systems 3 Occupational GRI 403 : 403-1, 403-2, - EGAT Public sector and regulators/ Health and Safety Occupational 403-3 Employees and labor union Health and Safety 4 Compliance with GRI 419 : 419-1 - EGAT Public sector and regulators Social and Socioeconomic Economic Laws Compliance 5 Human Rights GRI 412 : Human 412-1, 412-2, - EGAT Public sector and regulators/ Rights Assessment 412-3 Employees and labor union/ Business partners and allies 6 Labor Practices GRI 401 : 102-7, 102-8, EU15, EU17, EU18 EGAT Public sector and regulators/ Employment 102-41, 401-1, Employees and labor union/ GRI 402 : Labor/ 401-2, 401-3, Business partners and allies Management 402-1, 404-1, Relations 404-2, 404-3 GRI 404 : Training and Education 102-47 EGAT Sustainability Report Energy for stability and sustainability 2019 15 Corporate Governance

The structure of EGAT’s corporate governance EGAT’s Executive Committee consists of the EGAT consists of the Board of Directors appointed by the Governor as the Chairman of the Committee and Deputy Cabinet and is responsible for developing policies and Governors as directors, responsible for managing day-to-day ensuring compliance with the principles of corporate activities of the organization and making decisions governance. To ensure effective management and on administrative matters in line with the policies of supervision of key operations, the Board of Directors regulatory agencies, policies and directives of the EGAT has set up 12 committees and a working group, including Board of Directors, and strategies of EGAT. The Executive eight scrutinizing committees, three ad hoc committees, Committee also makes decisions on the mitigation of and one ad hoc working group. social, economic, and environmental impacts caused by EGAT’s activities.

Board of Directors

Scrutinizing Ad hoc Ad hoc Committees Committees Working Group

Executive Audit Nomination Committee Governor’s Remuneration Working group on Committee Committee for Governor Committee the Improvement of EGAT’s Operation to Cope with Changes Corporate Governor’s Risk Management Governance and Social Performance Committee Responsibility Committee Assessment Committee

Compliance Human Resources Committee Committee

Nomination Committee for Deputy EGAT Relations and Assistant Governors Committeet

Governor

Assistant Governor-Internal Audit Office

Deputy Deputy Deputy Deputy Deputy Deputy Deputy Deputy Governor- Governor- Governor- Governor- Governor- Governor- Governor- Governor- Power Plant Administration Strategy Finance and Generation Fuel Transmission Power Development Accounting System Business and Renewable (CFO) Energy

102-18 Energy for stability and sustainability EGAT Sustainability Report 16 2019

Composition of the Board of Directors The Board of Directors consists of the Chairman of possess specialized knowledge and skills beneficial to the Board and not more than 10 other directors, including the state enterprise. the EGAT Governor, who serves as an ex officio member. The board members are appointed for a three-year term. The positions of Chairman of the Board and the highest- In 2019, there were six outside independent directors who ranking executive are not held by the same person in order made independent decisions and expressed independent to ensure transparency and a separation of duties. The views. Among these six directors, two were selected from Chairman of the Board acts as the Chief Governance six candidates listed in the Director’s Pool. This procedure Officer while the Governor serves as the Chief Executive is in accordance with the Guidelines on Corporate Officer. However, to ensure interconnection between Governance of State Enterprises 2019, published by the management and governance, the Board of Directors has State Enterprise Policy Office, Ministry of Finance, which appointed the Governor to serve as the Secretary to the requires that at least one-third of the board of a state Board, in accordance with EGAT Rule No. 373 Concerning enterprise be outside independent directors to ensure the Meetings and Performances of the EGAT Board of enough independent directors who can affect the board’s Directors, Clause 6, which requires the Chairman of the decision making and allow the exercise of objective and Board to appoint the secretary with approval from the independent judgment. Independent directors should board members.

List of EGAT Board of Directors

Experience No. Name Position on the Board Independent DP in Business of Directors/Other Position Director Sector 1 Mr. Kulit Sombatsiri Chairman/Permanent Secretary to the Ministry of Energy  2 Gen. Somsak Roongsita Director/Secretary-General of the National Security Council  3 Ms. Nantika Thangsuphanich Director (Representative from the Ministry of Energy)/  Director-General, Department of Energy Business 4 Mr. Suthon Boonprasong Director/Former EGAT Deputy Governor of Transmission System    5 Mr. Pornpoth Penpas Director/Deputy Permanent Secretary to the Ministry of Interior  6 Prof. Pisut Painmanakul Director/Vice Dean for Innovation Strategy, Faculty of   Engineering, University 7 Mr. Pakorn Apaphant Director/Chairman of the Board, Next Point Public Company    Limited 8 Ms. Niramarn Laisathit Director/Vice President, Bangkok Bank Public Company   Limited 9 Mr. Pornchai Thiravet Director (Representative from the Ministry of Finance)/  Financial and Economic Advisor, Ministry of Finance 10 Mr. Viboon Rerksirathai Ex Officio Director and Secretary/EGAT Governor  Notes : 1. No. 1 was appointed by the Cabinet Resolution passed on 15 October 2019. 2. No. 2-10 were appointed by the Cabinet Resolution passed on 19 March 2019.

102-22, 102-23 EGAT Sustainability Report Energy for stability and sustainability 2019 17

Nomination and selection The nomination and selection of Board of Directors appointed as a member of the board of a state enterprise and Committees are in accordance with the Guidelines to protect the interests of the Ministry as a shareholder on Appointment of Directors of State Enterprises set by of a state enterprise and to comply with the Regulation the State Enterprise Policy Office, which was approved by of the Office of the Prime Minister on the Policy and the Cabinet on 18 July 2017. The guidelines require that : Supervision of State Enterprises B.E. 2557 and amendments.

• Directors of a state enterprise shall possess a skill • A representative from the affiliated ministry of a matrix in four areas, including finance, accounting, law, state enterprise who is a full-time official in that ministry, and information technology. In order to make sure that but not a regulator of that state enterprise, shall be EGAT Board of Directors possess the knowledge and appointed as a member of the board of that state enterprise. expertise needed to manage and supervise EGAT’s activities, the Board of Directors, in the Meeting No. • The qualifications of the candidates nominated 13/2559 held on 28 November 2016, required that EGAT for the EGAT Board of Directors shall be in accordance Board of Directors have a skill matrix in seven other areas, with Section 14 of the Electricity Generating Authority including energy business, business administration, of Thailand Act B.E. 2511, which requires that a director science, engineering, economics, treasury, and innovation. must be a Thai national with adequate knowledge and Having been approved by the State Enterprise Policy proficiency in business administration, sciences, engi- Office, the EGAT Board of Directors is now required to neering, economics, finance, or law, and must possess possess a skill matrix in a total of 11 areas. the relevant qualifications and have no prohibited char- acteristics as required by the Qualification Standards • At least one-third of the board of a state enterprise for Directors and Officials of State Enterprises Act (No. shall be non-ex officio directors selected from qualified 6) B.E. 2550. In addition, the Regulation of the Office of candidates with work experience in the business sector the Prime Minister on the Policy and Supervision of State listed in the Director’s Pool. Enterprises B.E. 2557 requires that a representative from the Ministry of Finance serve as a director in every state • No member of the National Legislative Assembly enterprise, including the EGAT Board of Directors. The of Thailand, political official, or political office holder nominated candidates for the EGAT Board of Directors shall be appointed as a member of the board of a state must complete and sign the form required by the Secretariat enterprise in accordance with the spirit of the Constitution of the Cabinet to certify that they possess the full qualifications, of the Kingdom of Thailand B.E. 2560. and have no prohibited characteristics as required by laws. The nominated candidates, who are public servants or • A representative from the Ministry of Finance who work in state enterprises or organizations, must obtain is a full-time official in the Ministry of Finance shall be consent or approval from their affiliated organizations.

Prevention of conflict of interest EGAT takes prevention of conflict of interest seriously. to stakeholders in the EGAT annual report and website. It requires that a member of the EGAT Board of Directors Furthermore, Directors shall disclose their interests to shall not have material interests, whether directly or stakeholders in the EGAT annual report and website. indirectly, in contracts with EGAT or tasks performed for In addition, EGAT Regulation No. 346 Concerning EGAT, pursuant to the Electricity Generating Authority Corporate Governance requires the EGAT Board of Directors of Thailand Act B.E. 2511 and the Qualification Standards to monitor and manage conflicts of interest that may occur for Directors and Officials of State Enterprises Act B.E. between management, directors, and employees and 2518. Furthermore, Directors shall disclose their interests investigate the improper use of EGAT’s assets.

102-24, 102-25 Energy for stability and sustainability EGAT Sustainability Report 18 2019

Roles of the Board of Directors Role in setting organization’s goals, values, and The Corporate Strategic Steering Committee consisting strategies : The EGAT Board of Directors and executives, of the Deputy Governor-Strategy as the Chairman ; as well as chief executives of affiliated companies, hold Deputy Governors-Administration, Generation, the Top Team Meeting (TTM) annually to review EGAT’s and Transmission System as the Vice Chairmen; and vision, missions, and strategies. The review takes into representatives of Deputy Governors-Finance and consideration government and shareholder policies, the Accounting, Fuel, Power Business, and Power Plant needs and expectations of customers and stakeholders, Development and Renewable Energy as Directors, to internal and external situations, strategic challenges drive EGAT strategies in an integrated manner. If it is and advantages, and the organization’s labor force found that an operation significantly fails to meet the and economic, social, and environmental competency, strategic objective, the Corporate Strategic Steering to develop frameworks and guidelines for operations. Committee shall report to the Executive Committee to Additionally, a review of strategies and operations will consider urgent action to be taken in order to accomplish be conducted every time significant changes in external the objective. Moreover, EGAT has appointed the Deputy factors take place. In 2019, after identifying three factors- Governor-Strategy to be directly in charge of strategy, government policies, disruptive technology, and the innovation and sustainability areas, covering the economic, future trends of the power industry-that were critical environmental and social dimension, in accordance with to EGAT’s operations, the EGAT Board of Directors and the organization’s objectives, mission and vision. executives confirmed EGAT’s vision, “Innovate Power Solutions for a Better Life” that was defined in 2017. Role in risk management : The Risk Management Moreover, they determined four strategies to achieve such Committee is appointed by the Board of Directors to vision, including 1) Electricity Innovation (E), 2) Growth be in charge of ensuring that EGAT has an adequate for Sustainability (G), 3) Administrative Excellence (A), and effective risk management framework and that all and 4) Trust and Pride of the Nation (T), or E.G.A.T. for possible risks are identified and covered in the policies short. Recognizing the importance of fostering values to and activities of EGAT. It is also responsible for reviewing build a strong corporate culture, the Executive Committee policies and control systems to assess the effectiveness reviewed EGAT’s core values, SPEED, defined in 2017 and of risk management and control and supervise to ensure concluded that they were still appropriate and consistent compliance with the risk management framework. Moreover, with the current situation. the Committee reviews disclosure of risk information to regulators and the public, approves risk appetite and risk Role in economic, social, and environmental management : tolerance, and manages the organization’s risk within The Risk Management Committee which is the subcommittee the risk appetite. of the Board of Directors has reviewed economic, social, and environmental impacts, as well as their risks and Role in communication : EGAT has set up various opportunities, reported by the Corporate Strategic communication channels to support direct and indirect Steering Committee, and reported the review results to discussion about social, economic, and environmental the Board of Directors every quarter. issues between stakeholders and the Board of Directors in order to understand the needs and expectations of stakeholders and to provide appropriate responses efficiently.

102-19, 102-20, 102-21, 102-26, 102-29, 102-30, 102-31 EGAT Sustainability Report Energy for stability and sustainability 2019 19

The responsible unit shall report critical concerns understanding of the projects and reduce redundant to the Executive Committee for consideration before operational activities. In addition, other critical concerns submitting them to the relevant committees and the reported to the Board of Directors at the EGAT Board’s Board of Directors for consideration or acknowledgement. Meeting No. 4/2562 on Monday 22 April 2019 are In the event of an unforeseen incident that may have concerns about disruptive technology and renewable serious impacts on society and the country, the EGAT energy that affect EGAT’s operations and power plant Governor will communicate the incident and report the management. The mechanisms used to address these action taken to resolve such incident to the Board of concerns include improvement of power plant operations Directors without delay through various communication and competitiveness by using digital technology to channels. support machine operation and maintenance, increase analytical and diagnostic capability, and enhancing the The critical concerns that have been reported by ability to forecast power plant maintenance to reduce the management to the Board of Directors are related to probability of damage. Moreover, EGAT has expedited public acceptance of new power plant development. a survey of areas for development of new power plants The mechanisms used to resolve these concerns in response to the government’s policy of promoting include a public hearing and cooperation from relevant power generation from renewable energy and to create organizations in the power plant construction areas to opportunities for competition. communicate with local communities to ensure a clear

Development and promotion of knowledge EGAT has developed and promoted the social, of Independent Directors. Moreover, EGAT has organized environmental, and economic knowledge of the Board the Introduction Program to brief relevant activities, laws of Directors by providing board members with training and rules, as well as internal systems, for newly-appointed courses, seminars and other educational activities, such Directors. It has also prepared a Director's Handbook, as study trips within the country and overseas, visits to which contains information necessary to enable directors EGAT facilities to observe actual operations, and meetings to perform their duties efficiently and effectively.

Performance evaluation The Board of Directors is required to conduct a and an individual director assessment. The questions self-assessment annually in line with the Board of in the assessment forms cover the social, economic, Directors’ Best Practice Guidelines and the Principles and environmental roles of the Board of Directors. The of Good Corporate Governance for State Enterprises results of both self-assessments of the Board of Directors established by the State Enterprise Policy Office, which in 2019 indicated “excellent efficiency.” The Board of requires the Board of Directors of state enterprises to Directors then considered and discussed the assessment conduct a self-assessment at least once a year. In 2019, results to determine how to improve the efficiency and the EGAT Board of Directors passed a resolution to use effectiveness of the Board’s performance. two types of assessments, including a board assessment

102-27, 102-28, 102-33, 102-34 Energy for stability and sustainability EGAT Sustainability Report 20 2019

Remuneration EGAT has revised its directors’ monthly remuneration for not more than two committees and not more than and meeting allowance rates and criteria in response one allowance per month per committee. to the Cabinet Resolution on 24 April 2019. EGAT, as a large state-owned enterprise, has adhered to the 3. A committee member other than 1 and 2 appointed following criteria : to perform a task for EGAT or for the benefit of EGAT shall receive a meeting allowance of 1,000 baht per meeting. 1. A director of the EGAT Board of Directors shall Senior executives (division directors, equivalent, or receive a monthly remuneration of 10,000 baht, and higher) shall receive remuneration in accordance with the Chairman of the Board shall receive a monthly EGAT’s salary structure and a bonus at the same rate remuneration that is two times more than other directors. across the organization, depending on the operating A director shall receive a meeting allowance of 20,000 and performance results of the state enterprise in baht per month. With reasonable causes, a director may compliance with the rule set by the Ministry of Finance. The receive a meeting allowance more than once per month, Remuneration of senior executives will be determined but not more than 15 times per year and the Chairman based on their assigned duties related to economic, social, of the Board shall receive a meeting allowance that is and environmental aspects evaluated through the key 25 percent more than other directors. performance indicators of the organization.

2. A committee member appointed by law, government EGAT studies and analyzes opinions of stakeholders, regulation, cabinet resolution, or the EGAT Board of government laws and policies, management policy, Directors to perform a task for EGAT or for the benefit opinions of employees through the Labor Union, and of EGAT shall receive a meeting allowance as follows : employee engagement survey results in a remuneration (1) A member of a committee appointed by the EGAT determination process, in order to propose guidelines for Board of Directors to support its operations, such as the determining remuneration to the Executive Committee committee set up by the Board of Directors, shall receive and Board of Directors. However, collective bargaining a meeting allowance of 10,000 baht per meeting. beyond the existing financial limit must be proposed to (2) A member of the committee other than (1) shall the State Enterprise Labor Relations Committee and the receive a meeting allowance of 3,000 baht per meeting Cabinet for approval. However, EGAT does not require and the Chairman of the Meeting shall receive a meeting votes of stakeholders to determine the remuneration. allowance that is 25 percent more than other directors. However, EGAT does not require an advisor nor votes of A director appointed under (1) to serve on more than stakeholders to determine the remuneration. two committees shall receive a total meeting allowance

Ratio of annual total compensation for the organization’s highest paid 3.96 : 1 individual to the median annual total compensation for all employee 3.96 : 1

Ratio of the percentage increase in annual total compensation for 1.07 : 1 the organization’s highest paid individual to the median percentage increase in annual total compensation for all employee 1.06 : 1 2019 2018

102-35, 102-36, 102-37, 102-38, 102-39 EGAT Sustainability Report Energy for stability and sustainability 2019 21 Business Ethics

To ensure transparency, integrity, and social responsibility in business operations in line with core value “Ethics & Integrity,” EGAT has developed best practices in accordance with the principles of good governance, as well as the EGAT Code of Conduct, and has included these in the Corporate Governance Manual. These are reviewed and updated regularly to be consistent with the current situation. In addition, the Board of Directors and executives have communicated policies to employees to ensure compliance throughout the organization.

Ethics and code of conduct EGAT has established a Code of Conduct and issued their subordinates strictly comply with the Code of related rules, including the Notification of EGAT No. Conduct. Code of Conduct of the EGAT Rule No. 346 16/2545 in the EGAT Code of Conduct, which requires the Concerning Corporate Governance requires the Board of Board of Directors, executives, and employees of EGAT Directors, executives, and employees to strictly comply to comply with relevant laws and corporate governance with the Code of Conduct. Moreover, the EGAT Rule guidelines. All employees are required to provide quality No. 347 Concerning Code of Ethics for the Board of and reliable energy services, uphold integrity, and Directors, Executives, and Employees lays out guidelines treat all concerned parties equably. They shall act with for legal and policy compliance and responsibility towards responsibility towards society, communities, and the stakeholders and the environment, and sets forth ethical environment, and commit to the common good. Superiors standards, best practices, code of conduct enforcement, must set a good example and oversee to ensure that and punishment.

Core values and corporate culture EGAT has defined SPEED as its core value and corporate that the SPEED core values and corporate culture, which culture to guide all of the organization’s actions to be in consisted of S-Sense of Belonging, P-Performance line with its vision and strategies. EGAT will review its core Excellence, E-Ethics and Integrity, E-Enthusiasm for values, vision, mission statement, and strategies annually. Innovation, and D-Devotion to Society, were still relevant In 2019, EGAT conducted such a review and concluded and consistent with EGAT’s vision and directions.

Mechanisms for advice and concerns about ethics EGAT has internal and external mechanisms for seeking anonymous letters, and corruption information related advice on ethical and lawful behavior. Employees and to EGAT or its employees. If unethical or unlawful behavior external stakeholders can submit suggestions, requests, or a matter related to organizational integrity is found, and complaints via a comment and complaint management a disciplinary investigation committee will be formed to system. The Complaint Management Center will forward the investigate the matter in accordance with EGAT rules, suggestions, requests, and complaints to the responsible and report the complaint and investigation results to unit to resolve, improve, and report the results to the the Governor, EGAT Anti-Corruption Operation Center, submitters and management. Additionally, EGAT and the Corporate Governance and Social Responsibility has established the Complaint and Anonymous Letter Committee every quarter. Committee to consider and investigate complaints,

102-16, 102-17 Energy for stability and sustainability EGAT Sustainability Report 22 2019 Stakeholder Relationship Management

EGAT places importance on stakeholder engagement and management in every operational process. To meet the needs and expectations of stakeholders and to help the organization to achieve sustainable success, EGAT has assigned primary and supporting divisions which are responsible for managing relationships with each stakeholder group in accordance with EGAT stakeholder management guidelines.

EGAT stakeholder management includes Plan-Do-Check-Act processes, in line with AA1000 Stakeholder Engagement Standard 2015. This consists of the following six stages.

Identify major and minor stakeholder Determine material issues groups relevant to the organization’s to serve as a guideline for missions, and review EGAT’s stakeholder relationship stakeholder list. management/engagement. 1 2

Improve the stakeholder management on Develop a stakeholder a quarterly basis and relationship management submit proposals to the 6 3 plan relevant to the needs Corporate Governance and expectations of Committee. stakeholders.

5 4 Monitor the stakeholder Implement the stakeholder management process. relationship management plan.

In 2019, EGAT has carried out the following activities. • Undertook a review and revision of its stakeholders, which consisted of eight key groups. They were the public sector and regulators ; mass media ; communities; scholars, NGOs, and civil society sector ; major customers, electricity users, and overall society ; business partners/allies ; employees and labor union ; and financial institutions. • Set the Stakeholder Guidelines for four groups of stakeholders : the public sector and regulators, communities, major customers/electricity users/overall society, and business partners/allies. The Guidelines are intended to guide EGAT’s internal units to develop the formats and methods that allow them to effectively engage stakeholders and to select suitable persons to implement stakeholder engagement activities to achieve the organization’s goals in a sustainable manner. • Made preparations for stakeholder management, such as conducting an interview with executives to obtain suggestions for improving stakeholder management and collecting information related to stakeholder management and analyzing it to find ways to improve stakeholder engagement activities and processes in next year. As the State Enterprise Assessment Model (SE-AM) : Stakeholder and Customer Management (SCM) set by the State Enterprise Policy Office, Ministry of Finance, will be put in place in 2020, EGAT hopes that this model will serve as an apparatus for driving EGAT to improve its performance standards and efficiency.

102-40, 102-42 EGAT Sustainability Report Energy for stability and sustainability 2019 23 Stakeholder Stakeholder Engagement Stakeholder Need Group Channel and Expectation EGAT’s Response Public • Meetings, discussions and joint • Accurate and complete power • Set up a work unit to integrate Sector and activities. generation information. laws and acts into organization’s Regulators • Annual satisfaction and engagement • Compliance with laws and acts. strategies. survey. • Cooperate with, and support, • Regularly communicate to build • Comment and complaint channels. government activities, and pay understanding of EGAT’s missions. • Communication through public required taxes and fees. • Organize projects together with relations media, including social • Government policy to promote public agencies and regulators. media. electricity generation by power • Promote compliance with standards • Call Center 1416. producers (IPPs and SPPs). to achieve sustainability. • EIA/EHIA report. Mass Media • Meetings, discussions and joint • Accurate and up-to-date information, • Regularly communicate to build activities. transparency and accountability. understanding of EGAT’s missions. • Annual satisfaction and engagement • Engagement activities. survey. • Comment and complaint channels. • Communication through public relations media, including social media. • Call Center 1416. Communities • Meetings, discussions, engagement • Manage resources and the • CSR projects and community activities. environment, occupational health, engagement activities to promote • CSR projects to promote public and safety efficiently. quality of life. participation. • Improve the quality of life, respect • Set up a working group to promote • Annual satisfaction and engagement community rights, and promote power plants as a tourist attraction survey. public domains and simple and develop community products. • Comment and complaint channels. technologies in communities. • Communication through public • Feedback, two-way communication, relations boards and local media. discussion and information disclosure. • Call Center 1416. Scholars, • Feedback and knowledge sharing • Disclose factual and appropriate • Regularly communicate to build NGOs, and via discussions, research and information in a timely manner. understanding of EGAT’s missions. Civil Society collaboration. • Manage resources and the • Discussions and public forums. Sector • Annual satisfaction and engagement environment efficiently. • Provide appropriate accesses to survey. • The public is concerned about information on EGAT’s operations • Comment and complaint channels. power supply security and availability, such as EIA/EHIA report. • Communication through public e.g., secure grid and no power relations media, including social outages. media. • Call Center 1416. Major • Meetings, discussions, and joint • Fair, transparent, and accountable • Develop quality and safe products Customers, activities. contracts. and services that meet the market Electricity • Visit customers or inquire about • Provide quality and environmentally- needs. Users, and their needs and expectations. friendly services, accurate and • Product and service cost Overall • Annual satisfaction and engagement complete service information, and management. Society survey. good after-sales service. • Measures for complaint response. • Comment and complaint channels. • Measures to keep customer • Communicate to build understanding • Communication through public information confidential and of EGAT’s missions and promote relations media, including social respond to complaints. energy efficiency. media. • Build sustainable consumption • Sustainability report. awareness. • Call Center 1416.

102-40, 102-43, 102-44 Energy for stability and sustainability EGAT Sustainability Report 24 2019 Stakeholder Stakeholder Engagement Stakeholder Need Group Channel and Expectation EGAT’s Response Business • Visit customers or inquire about • Fair selection process and contract • Develop a green procurement Partners/ their needs and expectations. management. policy and business partner code Allies • Annual satisfaction and engagement • Sustainability issues in supply chain, of conduct. survey. such as human rights. • Improve practices and processes • Comment and complaint channels. • Ability to deliver, fair procurement to make it easier to work with • Communication through public contracts/conditions, and partners. relations media, including social transparency equitability in • EGAT code of conduct and partner media. procurement and biddings. ethics assessment form. • Sustainability report. • Procurement rules, audit, and • Encourage partners to recognize • Call Center 1416. assessment that take society, social responsibility. community and the environment • Promote local suppliers into consideration. (community products) to become • Participate with the organization partners. in product/service development, resource management, and skills development, and respect intellectual property rights. Employees • Executive-employee meetings. • Employment security and • Happy Workplace Project. and Labor • Synergy activities. compliance with labor laws. • Integrate human rights and Union • Annual satisfaction and engagement • Fair compensation and welfare international standards such as survey. benefits beyond legal requirements. ISO26000 into employee treatment • Comment and complaint channels. • Provide skills development practices. • Communication through public opportunities. • Two-way communication between relations media, including social • Professionalism and equality. superiors and subordinates. media. • Anti-corruption promotion both • Plan to develop personnel suitable • Sustainability report. inside and outside the organization, for the assigned tasks. • Call Center 1416. responsible political participation, • Improve employee welfare to be protection for groups with special relevant to the current situation. needs, collective bargaining, access • Encourage employees to take part to management, and complaint in volunteer activities and social channels and responses. responsibility. Financial • Annual report and sustainability • Pay debt on time. Institutions report. • Transparent and accountable • Annual satisfaction and engagement operations. survey. • Manage risks appropriately. • Comment and complaint channels. • Compliance with financial • Communication through public transaction agreements between relations media, including social EGAT and financial institutions. media. • Call Center 1416.

102-40, 102-43, 102-44 EGAT Sustainability Report Energy for stability and sustainability 2019 25 Risk Management

Recognizing that changes brought about by internal and external factors may affect its operations, EGAT has continued to manage risks in accordance with COSO Enterprise Risk Management (COSO-ERM), a risk management standard used by organizations worldwide. As EGAT believes that risk management is an essential element of every process and should connect risks across different organizational levels, it has established its Enterprise Risk Management Policy to be complied with by all employees.

EGAT’s risk management structure consists of the Risk Management Committee, (RMC) appointed by the EGAT Board of Directors, to be in charge of overseeing the risk management practices of the organization and Strategy Steering Committee, appointed by the EGAT Governor, to be responsible for ensuring effective risk management.

Risk Management Structure

Responsible for Technical Responsible for Auditing Responsible for Managing Risks and Process Support

Board of Director

Audit Committee Risk Management Committee

Executive Committee

Internal Audit Bureau Strategy Steering Committee

Division Management Committee Committees/working groups in charge of risk management and internal control

Enterprise risks are managed systematically through In 2019, EGAT managed its risks in accordance with steering committees and integrated into corporate the guidelines set by the State Enterprise Policy Office planning to ensure that the risk management plan is and COSO Enterprise Risk Management-Integrating with implemented effectively and efficiently in alignment Strategy and Performance 2017 (COSO-ERM 2017), which with corporate objectives and strategies. Operational consist of five components including : risks are under the supervision of division executives and persons responsible, and it is the responsibility of every unit to manage and control risks within the defined risk tolerance.

102-11 Energy for stability and sustainability EGAT Sustainability Report 26 2019

1. Governance & Culture 4. Review & Revision The Risk Management Committee sets policies that EGAT makes a risk management plan every year to integrate good corporate governance, risk management, be submitted to the Risk Management Committee for and internal control and encourages employees at all approval to use as the organization’s risk management levels to participate in the implementation of the risk guidelines. It also follows up the results of risk management management framework and to promote an understanding on a quarterly basis and makes necessary adjustments of risk management. Moreover, executives are required to the risk management plan or measures to reflect to use risk-related information in their decision-making changing internal and external factors to ensure that and management. the risk management plan is appropriate and can be implemented to achieve its defined vision, mission, and 2. Strategy and Objective Setting strategic objectives. Moreover, EGAT communicates the EGAT manages risks to achieve its vision and annual risk management plan to the units responsible mission and aligns risk management with its strategies and monitors and reviews risk management practices to and operational directions. It develops and reviews the report to the Risk Management Committee every quarter. risk management plan on an annual basis to reflect the changing circumstances, analyzing and assessing both 5. Information Communication & Reporting internal and external factors that may prevent EGAT To ensure that employees apply risk management in from achieving its business objectives. Furthermore, their operations, EGAT has published a risk management it identifies key risk indicators (KRIs) for all major risks manual on the risk management and internal control and sets risk tolerance at the organization and risk website within its intranet system. It has continuously factor levels to be submitted to the Risk Management monitored the implementation and progress of the risk Committee for approval. management plan, measures, and activities and reported the results to the Risk Management Committee and Board 3. Performance of Directors every quarter. The comments and suggestions EGAT identifies risks and assesses the probability of from the Risk Management Committee will be used to occurrence based on accumulated past data and the improve the risk management plan to ensure that it is prediction model. Moreover, it adopts a comprehensive appropriate and up to date. In addition, to increase the risk management plan to reduce the probability of risk efficiency of the risk management process, EGAT has occurrence and risk impact, enabling EGAT to accomplish developed a risk management system (RMS) to collect its defined mission and goals. A risk map is used to analyze and analyze data and monitor risk management at the risk correlation and a cause-effect tree of enterprise risks organization and division levels. to ensure that risks can be managed in a timely manner.

102-11, 102-15 EGAT Sustainability Report Energy for stability and sustainability 2019 27

EGAT classifies risks into four areas as follows : and impact of these threats, EGAT has put in place a business continuity management and occupational safety, 1. Strategic & Corporate Risk health, and environment plans that outline procedures As disruptive technology affects customer needs and and instructions for employees to follow in the face of business operations, EGAT has developed strategies to disaster. respond to economic, social, energy, technological and consumer behavioral changes that may be caused by 3. Financial Risk global mega trends. EGAT manages financial risks to maintain its financial EGAT reviews its vision, strategies, and future stability and ensure adequate capital investment for business directions and makes strategic and action plans and return on investment from power generation and every year at the Top Team Meeting (TTM). Furthermore, transmission projects and future businesses. It places high-ranking executives hold a meeting to discuss and importance on capital management to achieve maximum exchange ideas to revise the strategic plan to ensure that efficiency with reasonable costs. Moreover, EGAT has a it will enable EGAT to achieve its strategic objectives. capital structure that can maintain appropriate financial ratios comparable to leading corporations in the same 2. Operational Risk industry. It also manages the operating budgets of every EGAT identifies and analyzes key operational risks unit to ensure effective cost and spending control. and prepares for risks that may arise to ensure power system stability. As part of its core missions, EGAT builds 4. Compliance Risk and develops new power plants in accordance with the As EGAT is under the Ministry of Energy, policy, Power Development Plan (PDP), develops transmission legislation, rule, and regulation changes within the systems and lines to support growing demand, and Ministry of Energy may affect its operations, as well as promotes the country’s power system security and its image and reputation. To ensure compliance with reliability. To support its core missions, EGAT maintains IT policies, laws, rules, and regulations, EGAT has adopted system security, uses modern equipment, innovations, a “Good Corporate Governance Policy” to be adhered and technologies to improve its operations and to by executives and employees at all levels. Moreover, competitiveness, develops and prepares employees to it monitors such changes within the regulatory ministry align with the organization’s directions and keeps up to ensure that its operations are in compliance with the with the rapidly changing technology, as well as seeking new laws and directs its internal units to adhere to the new business opportunities. In addition, it is engaged in principles of good corporate governance and internal CSR, community, and environmental activities. control. EGAT has implemented an integrated risk EGAT pays attention to the disruption of power assessment and monitored the conduct of its internal generation, transmission, and distribution as a result of units and employees to ensure compliance with policies, employee error, equipment or machinery failure, natural laws, rules, and regulations. Compliance risk management disaster, political unrest, terrorism, and other threats that is planned and followed up and the results are reported may cause a blackout or partial blackout and damage to relevant committees. important tools and equipment. To reduce the probability

102-11, 102-15 E ERRAE EGAT Sustainability Report Energy for stability and sustainability 2019 29 Supply Chain Management

EGAT engages in relationships with important suppliers, collaborators, and partners across the supply chain as follows :

Key Critical Role and Role in Innovation Supply Chain Communication Organization Competitiveness Enhancement Development Requirement channel Supplier Equipment Deliver equipment and services to Provide training, Deliver equipment that meets • Purchase contract manufacturers support the development of power exchange knowledge, the quality requirements on • Letter/Phone/ plants, transmission systems, and high and collaborate to schedule. Fax/E-mail voltage substations. develop innovation. • Meeting PTT and other oil Supply sufficient fuel to support the Organize knowledge • Deliver fuel that meets • Meeting suppliers annual power production plan. sharing meetings the quality and quantity • Letter/Phone/ and collaborate to requirements. Fax/E-mail develop innovation. • Provide advance notification if unable to deliver fuel as required in the annual power production plan. • Cooperate to supply fuel during an emergency. Independent power Produce electricity to the grid under Organize knowledge • Power plant is ready to • Purchase contract plants (IPP, SPP) a power purchase agreement and sharing meetings generate power according • Coordination in line with the annual power and collaborate to to the annual power through the grid production plan. develop innovation. production plan. Control Center • Increase or decrease power • Meeting/Letter/ generation as ordered by Phone/Fax/E-mail EGAT's grid control center. Collaborators Tenaga National • Collaboration in the electricity Exchange electric Comply with power purchase • Meeting Berhad Corporation industry (planning/operation/ power knowledge to rules. • Letter/Phone/ (TNB) maintenance). develop innovation. Fax/E-mail • Power purchase between • Coordination Thailand and Malaysia. between grid Control Center Heads of ASEAN Study and develop the power system Exchange experiences • Lower power production • Annual meeting Power Utilities/ security of ASEAN countries. to support future grid cost. Authorities (HAPUA) connectivity in the • More stable grid system. ASEAN region and • Lower power reserve. develop innovation. • Electricite Du • Collaborate to purchase/sell power, Exchange techniques, Expand collaboration among • Annual Power Cambodge (EDC) plan power system development in information, and member countries. Utility Summit • China Southern member countries, construct and experience in the • MOU Power Grid (CSG) connect grid systems between international power • Vietnam member countries. business to develop Electricity (EVN) • Exchange techniques, information, innovation. • Electricite and experience in the international Du Laos (EDL) power business.

102-9 Energy for stability and sustainability EGAT Sustainability Report 30 2019 Key Critical Role and Role in Innovation Supply Chain Communication Organization Competitiveness Enhancement Development Requirement channel • PTT Public • Strengthen relationships and • Innovative Collaborate to expand • Meeting Company cooperation to seek opportunities energy business business cooperation, such as • Letter/Phone/ Limited in energy, innovation, and other opportunities procurement of fuels for Fax/E-mail related businesses. power generation, use of • Coordination natural gas for power • MOU generation, and innovation business. Procurement Practice In addition to conducting its procurement process • Held an award ceremony to award certificates to to acquire products and services legally, fast, and at a 20 outstanding entrepreneurs for 2019, including 15 in reasonable price, EGAT takes into consideration the social, the purchase category and 5 in the service category. economic, and environmental impact of its procurement • Organized the First Meeting of the Parties to the activities. It adheres to the principles of transparency, By-Product Contract 2019 to ensure that the delivery fairness, and accountability and places importance on of by-products was in compliance with the contract strict compliance with relevant laws and regulations. requirements. There were 43 parties to the by-product Moreover, EGAT listens to opinions, suggestions, and contract with Mae Moh Power Plant and their transportation complaints from stakeholders to improve its operations. agents attending the meeting. EGAT explained various Important procurement activities in 2019 include : important issues, including the fly ash situations since • Organized the 2019 Annual Meeting of the Parties 2019 to 2026, important contract terms, acquisition of to the Contract with EGAT to promote compliance with by-products under the contract in 2019, and compliance the principles of good corporate governance and provide with sewage and unused material management laws. The knowledge and understanding about EGAT’s procurement participants were also allowed to ask questions to gain procedures and supplies management. This year, some a better understanding of regulatory compliance to avoid procedures and practices have changed, both in relation community impact. In addition, EGAT was working on to Government Procurement and Supplies Management a project to develop a logistics tracking application that Act B.E. 2560 and EGAT’s commercial procurement. The can monitor movement of by-product delivery trucks meeting allowed EGAT to listen to how the entrepreneurs through online maps and driving speed. The system receive product or service payments and bid bond returns can also provide alerts when the truck violates the rules to gain a better understanding of their practices and to to promote road safety and minimize impact on the improve their access to information. The entrepreneurs communities around Mae Moh Power Plant. were also allowed to raise concerns and comment, and • Organized a community product market between the input they provided will be used to improve the 22 and 26 April 2019. The market took place at EGAT’s efficiency of procurement and entrepreneur satisfaction, Headquarters to allow over 70 community shops around thus strengthening the relationship between EGAT dams, power plants, and transmission lines under the EGAT and entrepreneurs and promoting transparent and career promotion program, as well as members of the State fair procurement. There were 90 merchants and 132 Enterprises for Communities Club, to sell their products, entrepreneurs attending the meeting. which achieved a total sale value of 3,951,924 baht.

Proportion of procurement spending in 2019

Central 3,629 (Greater Bangkok Area) 17,741,321,393 Number of suppliers Provincial 3,209 8,929,515,902 Procurement 81 spending Overseas 5,819,143,575

102-9, 103-1, 103-2, 103-3, 204-1 EGAT Sustainability Report Energy for stability and sustainability 2019 31 Anti-Corruption

EGAT is well aware of the importance of anti-corruption its employees to foster awareness of the importance of and compliance with related laws and regulations. It preventing and suppressing corruption. Furthermore, develops policies, rules, and regulations in line with laws, it has established systems, measures, and guidelines for implemented risk management and internal control, monitoring, inspecting, and reporting acts of misconduct ISO series and other relevant standards, and assigned to prevent corruption in the workplace. When a corrupt executives to supervise compliance in their responsible act is discovered, an investigation will be carried out units. The Compliance Division is responsible for supervising and severe punishment will be imposed. In 2019, EGAT and monitoring the operations to ensure compliance implemented the guidelines in accordance with the with the relevant rules and regulations. It also laid out Memorandum of Understanding on Mobilizing the procedural guidelines and provided legal and regulatory National Strategy Concerning Anti-Corruption, Phase 3 compliance knowledge and advice for all units, as well as (2017-2021) which was signed with the Office of National reporting performance results to the Compliance Anti-Corruption Commission, State Enterprise Policy Committee and improving EGAT’s regulations so as to be Office, and 54 state enterprises. In this connection, EGAT in line with the law. Moreover, an audit is also conducted promotes and supports the upgrade of the level of integrity by the Internal Audit Bureau annually. and transparency in the operation of state enterprise by using the standard and the result of Integrity and EGAT encourages participation in inspecting, monitoring, Transparency Assessment (ITA) to develop its working building awareness, and promoting understanding process under the supervision of EGAT Anti-Corruption of anti-corruption, in line with the policy of EGAT’s Operation Center which is responsible for promotion of corporate governance and anti-corruption. EGAT has ethics, anti-corruption, and systematic management on communicated information about anti-corruption to corruption complaints.

Fraud Risk Assessment EGAT has conducted a fraud risk assessment by analyzing An analysis of fraud risk factors covered the following every operational activity that may cause corruption, seven aspects. or have a negative impact on the organization’s image, and has specified preventive and corrective measures. F1 Fraud policy In 2019, a total of 97 operational activities were included F2 Conflict of interest in the annual audit plan. All of these activities, accounting F3 Corruption for 100%, were assessed for fraud risks. F4 Non compliance F5 Reporting manipulation F6 Misappropriation of assets F7 Information technology fraud.

102-12, 103-1, 103-2, 103-3, 205-1 Energy for stability and sustainability EGAT Sustainability Report 32 2019

Anti-Corruption Communication EGAT has developed the Corporate Governance and governance webpage. Infographics were also sent to Anti-Corruption Policies, Corporate Governance Manual, every employee via email, including “Precedents for Code of Ethics, Disciplinary Procedures, Corporate Misconduct,” which provided examples deemed as an Governance Master Plan, and Corporate Governance and act of misconduct, and an “Audit Alert,” which contained Anti-Corruption Promotion Action Plan, and communicated information about work-related matters that should be them across the organization. EGAT has established treated with caution. EGAT played a video before starting various channels for reporting complaints and comments every in-house training course to raise anti-corruption related to unethical or unlawful practice, which is managed awareness among training participants. In 2019, 13,419 by the Complaint Management Center. To promote employees received the pre-training communication, workplace morale and ethical conduct, EGAT has given accounting for 71.23 percent of the total number of the Kamthon Sindhavananda Awards and Role Model employees. Awards to employees who have conducted themselves ethically in accordance with the principles of corporate • Provided a special lecture on corporate governance, governance in the EGAT-A Clean Organization Event morality, ethics, values, and corporate culture : distinguishing and Certificates of Appreciation to employees for doing between personal and common interests on 10 April 2019, good deeds. In 2019, important and outstanding activities to 623 employees and a course on moral organization conducted by EGAT included : under the “Driving EGAT toward a Moral Organization” project on 25 July 2019 (theory) to 365 participants • Organized the “Clean Organization EGAT 2019” and 30-31 October 2019 (workshop) to 97 and 103 event on 24 September 2019 at EGAT headquarters to participants, respectively. declare its commitment to becoming a good governance organization and operate with integrity, transparency, • EGAT received the “Anti-Corruption Award 2019” and free of corruption. EGAT will also raise awareness for operating with transparency and good governance to encourage employees at all levels to apply the principles and demonstrating against corruption. of good governance in performing their duties for efficient and effective operations and drive EGAT toward a moral In 2019, EGAT had no legal cases associated with fraud organization recognized by society and stakeholders. and corruption brought against the organization, and no incidents related to corruption that caused business • EGAT employees attended the International partners to terminate or not renew contracts. However, Anti-Corruption Day 2019 (Thailand) event under the there were one incidents of corruption that occurred “Zero Tolerance” concept to declare EGAT’s intention to within the organization. That is corruption offense in fight against corruption on 9 December 2019 at MPACT the interest of outsider corruption. The offender was Exhibition and Convention Center, Muang Thong Thani, punished by dismissal from service. EGAT also had no Nonthaburi. legal cases, significant fines, non-monetary sanctions, or cases brought to the dispute mechanisms for • Information about ethics, integrity, and anti- non-compliance with other socioeconomic laws and corruption were communicated regularly via various regulations. channels, such as handbooks, pamphlets, and a good

103-1, 103-2, 103-3, 205-2, 205-3, 419-1 EGAT Sustainability Report Energy for stability and sustainability 2019 33 Availability and Reliability

EGAT strives to ensure the reliability and security of the electric power system in accordance with its mission to “be the main organization to create power security and enhance the competitiveness of the country through innovation for the happiness of Thai people.” It plays a part in developing the Power Development Plan, Power Transmission Development Plan, and the international power interconnection system to guarantee an efficient, secure, and reliable power supply for the country, in accordance with the economic and engineering principles.

EGAT’s roles in developing and implementing the facilitate grid modernization, and submit it to the Ministry Thailand Power Development Plan 2018-2037 (PDP2018) of Energy for consideration. are as follows : To supply secure and sufficient power to electricity 1. Serve as a member of the Power Forecast and users, EGAT has adopted the principles of power plant Development Planning Committee to participate in operations management and power system control, listed forecasting the nation’s long-term electricity demand in order of importance as follows : for use in electricity planning and policy-making, report 1. Power system security must meet the Contingency electricity demand situations, analyze and provide N-1 Criteria, which requires that if any one of the equipment comments on the nation’s electricity demand forecast, or power plants in the power system stops functioning, the and participate in developing the power development power system is still able to continue to supply electricity. plan to ensure efficient supply of electricity, taking 2. The quality of electricity, both in terms of voltage national grid security and investment in power business and frequency, must meet international standards. expansion into consideration. 3. Comply with agreements, power purchase contracts, 2. Develop power plants and transmission systems and policies. For example, the government has a policy in accordance with the Power Development Plan. that requires EGAT to purchase power from small non-firm 3. Purchase power from independent power producers power plants based on the sales capacity agreed upon in the country as required by the Energy Regulatory by the power plants and renewable energy plant projects, Commission and purchase power from foreign independent such as a community power plant project for grassroots power producers acknowledged by the Cabinet in economy. accordance with the resolution of the National Energy After principles 1-3 are complied with, EGAT will operate Policy Council. the power plant based on electricity cost, resources, and In addition, the National Energy Policy Council passed system limitations. To achieve the goals listed above, the a resolution on 24 January 2019 to assign EGAT to develop power plant is required to stop operating for maintenance the Thailand Power Transmission Development Plan that and to improve the transmission system. The power aims to strengthen national grid security, improve the plant must notify EGAT of the maintenance schedule efficiency of the national power transmission system, in advance, and EGAT will consider the schedule as it lead the country to become a regional grid connection, deems appropriate.

103-1, 103-2, Former EU6 Energy for stability and sustainability EGAT Sustainability Report 34 2019

Planned generation capacity and forecasted electricity demand In 2019, EGAT developed its power generation system in accordance with the Power Development Plan 2018-2037 (PDP2018), which was approved by the National Energy Policy Council on 24 January 2019 and acknowledged by the Cabinet on 30 April 2019. Actions taken to ensure availability and reliability of the power system are as follows :

Electricity demand and generation Capacity (MW) MW 100,000 77,211 67,194 54,431 56,863 50,000 53,997 47,303 35,213 41,079

0 2022 2027 2032 2037

Contracted capacity Peak Demand

Comparison of PDP2018-forecasted and actual generation capacity in 2018 MW 60,000 50,932 49,462* 40,000 31,377 32,273** 20,000 Cotracted Capacity

0 Peak Demand PDP2018 Actual

* As of 31 December 2019 **As of 2 May 2019 (the day with the highest peak demand)

Comparison of contracted capacity in 2018 and 2019 by power

32 MW 0.1% 32 MW 0.1% 4,008 MW 8.4% 4,088 MW 8.3% 43 MW 44 MW 0.1% 15,814 MW 33.3% 0.1% 15,131 MW 30.5% 3,878 MW 8.2% 5,721 MW 11.6%

2018 2019

8,757 MW 18.4% 9,498 MW 19.2% 14,949 MW 31.5% 14,949 MW 30.2%

EGAT IPP SPP Foreign PEA VSPP DEDE

EU10 EGAT Sustainability Report Energy for stability and sustainability 2019 35

Assessing electricity demand is difficult and fraught depending on the future electricity market mechanism with uncertainty, especially during times of crisis such that determines electricity purchase prices. as the 1997 Asian financial crisis and COVID-19, which Transmission system planning will ensure that magnify the impact of economic volatility. In recent development of a transmission system is consistent with years, the role of electricity users is also changing due the electricity demand forecast and National Power to disruptive technology as more users are becoming Development Plan. The plan will determine at least prosumers who both produce and consume energy. three different ways to improve the transmission system The National Power Development Plan or PDP2018 in response to power plant development and power carefully allocates power capacity from energy security, purchase plans to supply power to the Electricity economic, and environmental viewpoints. It aims to Distribution Authority and large power consumers and strengthen power system security, provide affordable support grid connections with neighboring countries. electricity amid the uncertainty of future demand, and It will then estimate project construction costs and reduce pollution from power generation by maintaining prepare an annual project expenditure plan for conducting power generation at the existing contracted capacity level. a least cost analysis, economic internal rate of return In the future, when technology becomes more advanced, analysis (EIRR), and financial internal rate of return (FIRR) renewable energy independent power producers will analysis. In addition, it will ensure that the construction of play a greater role and can compete on price against transmission lines will cause minimum impact on people fossil fuel power plants to keep electricity prices low, and the environment.

Commercial operation and decommission of power plants in 2018-2019

Commercial Operation and Decommission Date Power Plant Capacity (MW) Actual PDP2018 Commercial Operation Pasak Jolasid dam 6.7 2018 2018 Mae Klong dam 12 2018 2018 Bang Lang dam (Improvement) 8 2018 2018 Kiu Koh Ma dam 5.5 2018 2018 Lam Takhong Power Plant unit 3-4 2x250 2019 2018 (Pumped-storage hydropower plant) Hydro-Floating Solar Hybrid Project, Sirindhorn dam 0.25 2018 2018 Lam Takhong Power Plant Phase 2 24 2018 2018 Mae Moh Power Plant Units 4-7 Replacement Project 600 2019 2018 Hydropower plant downstream of Chulabhorn dam 1.25 2019 2019 South Bangkok Power Plant Replacement Project Phase 1 2x610 In progress 2019 Lao PRD (Xe-Pian) 354 2019 2019 Lao PRD (Nam Ngiep 1) 269 2019 2019 Lao PRD (Xayaburi) 1,220 2019 2019 Decommission Bang Pakong Power Plant Block 4 -314 In progress 2018 Mae Moh Power Plant unit 4-7 -560 2019 2018 Wang Noi Power Plant block 1-2 -1,124 2019 2019

103-2, 103-3, EU10 Energy for stability and sustainability EGAT Sustainability Report 36 2019

Power Generation and Transmission Systems Development Progress New Power Plant Projects turn indirectly strengthen the grid system. An integrated • Mae Moh Power Plant Units 4-7 Replacement renewable firm power system will be used to manage Project is a thermal power plant with a contract capacity of and optimize resources without affecting communities 600 MW that uses domestic lignite coal as a primary fuel. and the environment. EGAT plans to initiate two pilot It began commercial operation on 29 August 2019. projects. One is located at Sirindhorn Dam in Ubon • South Bangkok Power Plant Replacement Project Ratchathani and has a contracted capacity of 45 MW Phase 1 is a combined-cycle power plant with a contract (project approved by the Cabinet on 29 October 2019). capacity of 1,220 MW. It uses natural gas as a primary fuel While the site preparation is currently underway and and diesel as a secondary fuel and is intended to maintain construction drawings are pending consideration, the power system stability in Bangkok. The commercial project is scheduled for commercial operation in operation date is scheduled to be in early 2020. December 2020. Another project is located at Ubol Ratana • Bang Pakong Power Plant Units 1-2 Replacement Dam in Khon Kaen and has a contracted capacity of 24 Project is a combined-cycle power plant with a contract MW. The project proposal has been submitted to the capacity of 1,386 MW. It uses natural gas as the primary Ministry of Energy and the commercial operation date fuel and diesel as the secondary fuel and aims to improve is scheduled to be in 2023. the power system security and stability in the eastern Bangkok area. It is scheduled to begin commercial Power Purchase Projects operation in December 2020. • Independent Power Producers (IPP) : Between 2019 and 2025, several projects, totaling 5,000 MW Renewable Energy Power Plant Projects of capacity, signed power purchase agreements with • Lamtakong Wind Turbine Power Plant Project EGAT under the IPP Power Purchase Policy Phase 3. In Phase 2 uses a wind hydrogen hybrid system, combined addition, Hin Kong Power Plant (Western Power Plant with fuel-cell technology to store electrical power as Replacement) Blocks 1 and 2 with a combined capacity hydrogen for wind turbine power generation. It has a of 2x700 MW are scheduled for commercial operation contract capacity of 24 MW. The project has been completed in 2024 and 2025, respectively. and began commercial operation on 20 April 2018. • Small Power Producers (SPP) : In 2019, small • Hydropower plant downstream of Klong Tron dam power producers sold a total of 9,498 MW of electricity located in , with a contract capacity of to the grid. The power purchase consisted of 6,725 MW 2.50 MW. It is scheduled to begin commercial operation from producers using a cogeneration system, and in December 2020. 2,774 MW from producers using renewable energy. • Hydropower plant downstream of Chulabhorn As per PDP2018 plan, EGAT will purchase 3,665.46 MW Dam located in Chaiyapoom province, with a contract of electricity from SPP between 2018 and 2025, divided capacity of 1.25 MW. It is scheduled to begin commercial into 1,391.5 MW from cogeneration system users, 704 MW operation in December 2019. from cogeneration system users under renewed • Lamtakong Jolabha Vadhana Power Plant, Units 3-4, contracts, 300 MW from SPP hybrid firms, and 1,269.96 a pumped-storage hydropower plant with a contract MW from renewable energy users and projects under capacity of 2x250 MW. The power plant started its the government promotion policy. commercial operation on 30 December 2019. • Neighboring Countries : Currently, EGAT purchases • Hydro Floating Solar Hybrid Projects in EGAT’s a total of 5,721 MW of electricity from neighboring dams, total capacity of 2,725 MW are aimed at building countries. In 2022, it plans to purchase an additional 514 stability for renewable energy power plants, which will in MW of electricity from Nam Theun 1 Hydropower Project.

Former EU6 EGAT Sustainability Report Energy for stability and sustainability 2019 37

Transmission System Construction and Improvement • Transmission System for Bang Pakong Power Plant • Transmission System Development in Ubon Replacement Project, Units 1-2 (BPR1) : to support the Ratchathani, Yasothon, and Amnat Charoen for Power new Bang Pakong Power Plant to replace the Bang Purchase from Lao PDR Project (UYAP) : to accommodate Pakong Thermal Power Plant, Units 1-2 which will be the power purchase from Lao PDR’s Xe-Pian Xe-Namnoy decommissioned in 2020. The project was completed Hydropower Power Plant with a contract capacity of on 24 December 2019. 354 MW. The project was approved by the Cabinet on • Transmission System for Pha Chuk Hydropower 26 March 2013 and was completed on 31 August 2019. Plant Project (PCHP) : to promote the use of renewable • Transmission System Development in Loei, Nong energy. The project is scheduled to be completed in 2020. Bua Lam Phu, and Khon Kaen for Power Purchase from • Bulk Power Supply for the Greater Bangkok Area Lao PDR Project (LNKP) : to accommodate the power Project, Phase 2 (GBAS2) : a successive project of the purchase from Lao PDR’s Xayaburi Hydropower Power Bulk Power Supply for the Greater Bangkok Area Project, Plant. The project was approved by the Cabinet on Phase 1. The project was approved by the Cabinet on 8 12 November 2012 and is expected to be completed August 2006 and is expected to be completed in 2021. in 2021. • Bulk Power Supply for the Greater Bangkok • Transmission System for Power Purchase from Area Project, Phase 3 (GBA3) : a successive project Independent Power Producers Project Phase 3 (IPP3) : of the Bulk Power Supply for the Greater Bangkok to accommodate the power purchase from independent Area Project, Phase 2, to respond to the increasing power producers in accordance with the Thailand Power demand for electricity in the area of Greater Bangkok. Development Plan 2010-2030, revision 3 (PDP2010 : The project was approved by the Cabinet on 16 revision 3). Two independent power producers have October 2013 and is scheduled to be completed in 2021. been selected to participate in the project : 1) Gulf SRC • Transmission System Expansion Project, Phase Company Limited and 2) Gulf PD Company Limited. Each 12 (TS12) : a successive scheme of Transmission System will sell 2,500 MW of electricity, totaling 5,000 MW, to Expansion Project, Phase 11. The project was approved the grid. The project was approved by the Cabinet on by the National Council for Peace and Order (NCPO) on 5 June 2018 and is expected to be completed in 2022. 19 August 2014 and is scheduled to be completed in 2023. • Transmission System Development Project for • Transmission System Improvement Project in IPPs (IPPP) : under 4 sub-projects with the installed Eastern Region for System Security Enhancement capacity of approximately 4,400 MW. As of December (TIPE) : to enhance security of the power system in the 2019, the progress of the project was 76.84 percent. region to meet the rising electricity demand sufficiently. • Main Transmission System Expansion Project/ The project was approved by the Cabinet on 23 April for Power Purchase from SPP Cogeneration Power 2013 and is scheduled to be completed in 2022. Plant, Based on Request for Proposal 2010 (SPPC) : to • Transmission System Improvement Project in accommodate the power purchase of 3,500 MW from Western and Southern Regions to Enhance System SPP Cogeneration Power Plant. The project is scheduled Security (TIWS) : to enhance security of the power to be completed in 2020. system in the region by increasing the capability of the • Transmission System Project for South Bangkok transmission system from the Central parts of Thailand to Power Plant Replacement Project, Phase 1 (SBR1) : to the South, reducing transmission loss and the loss from support the new power plant to replace South Bangkok power outage. The project was approved by the Cabinet Thermal Power Plant, Units 1-5 which was decommissioned on 19 August 2014 and is scheduled to be completed in 2019. The project is scheduled to be completed in 2020. in 2023.

Former EU6 Energy for stability and sustainability EGAT Sustainability Report 38 2019

• Transmission System Development Project for of the region to cope with the rising electricity demand, System Security Enhancement of the Northeast, Lower and to accommodate power purchase from neighboring North, and Central Part including Bangkok Metropolitan countries. The project was approved by the Cabinet on 24 (TIEC) : to accommodate the renewable and alternative January 2017 and is scheduled to be completed in 2024. power projects under the government policy, the ASEAN • Transmission System Development Project Power Grid (APG) and power purchase from neighboring for the Upper Northern Region for System Security countries. The project was approved by the Cabinet on Enhancement (TIPN) : to enhance transmission system 14 July 2015 and is scheduled to be completed in 2030. capability and long-term security of the power system • Transmission System Improvement Project in Lower in the region, particularly Lamphun and Chiang Mai Southern Region to Enhance Power System Security provinces. The project was approved by the Cabinet on (TILS) : to enhance long-term security of the power system 14 July 2015 and is scheduled to be completed in 2023.

Grid Connectivity As EGAT was assigned by the Meeting of National plant construction in the country, and promote efficient Energy Policy Council No. 1/2562 (No. 16) to study and cross-border resource allocation. EGAT has also developed develop the Thailand Power Transmission Development the East-West Economic Corridor Grid Connection Plan Plan to strengthen national grid security and improve to connect a network of newly-constructed transmission the efficiency of national power transmission system lines to the existing grid, from the Thai-Lao border in to drive the country toward a regional grid connection, Mukdahan Province to the Thai-Myanmar border in Tak as well as to achieve its strategy to become a regional Province. This project will make it possible to deliver power market manager, EGAT has conducted a feasibility electric power across national borders to facilitate energy study of grid interconnections with neighboring countries trading between Lao PDR to Myanmar and to make the to accommodate the development of energy trading most use of EGAT’s grid system. business in the future. In addition, the Cross-Border Power The power purchase from neighboring countries is Purchasing Policy under the Thailand Power Development a bilateral cooperation between the governments of Plan 2018-2037 (PDP2018) requires EGAT to procure the two countries under the framework set forth in the power supply by purchasing electricity from neighboring Memorandum of Understanding on Energy Cooperation countries in order to improve access to electricity in (MOU). At present, Thailand has signed the MOU on the country, accommodate the amount of renewable Energy Cooperation with three neighboring countries, energy in the grid system, reduce investment in power including Lao PDR, Myanmar, and Cambodia.

Grid Modernization Grid modernization is the development and improvement grid technologies that will make Thailand’s power of power generation, transmission, and distribution generation and transmission systems more flexible, able systems through the use of cutting-edge technologies to accommodate power generation from renewable and equipment and appropriate policies and regulations energy and build sustainable relationships with to makes the national grid system more secure, reliable, electricity consumers, ultimately leading Thailand to flexible, efficient, and environmentally friendly. become a global energy leader and energy trading EGAT’s goal for grid modernization is to ensure a center in the Asia-Pacific region. secure and reliable supply of electric power at both Currently, EGAT is implementing various grid national and regional levels through the use of cutting-edge modernization projects and efforts as follows :

Former EU6 EGAT Sustainability Report Energy for stability and sustainability 2019 39

Smart Grid allow people in Mae Hong Son, as well as tourists and At present, there is no clear or internationally everyone who is interested, to be able to easily learn about acceptable definition for a smart grid. However, according smart grid technology through modern education tools. to the broad definition provided by EGAT, a smart grid • The Micro-EMS Demonstration Project (or Eureka is a grid that applies and integrates information and Project) is a microgrid and energy trading platform communication technologies (ICT) to make two-way research and development project, initiated to serve communication possible. This two-way communication as a model for research and knowledge building. The enables feedback from users of electricity supplied model systems in the Eureka Project include an energy through the distribution and transmission systems to be management system and microgrid load management sent back to the grid control center, which helps improve system. The project will develop a peer-to-peer energy the efficiency and reliability of the power system. trading platform to build upon the existing knowledge to • Mae Hong Son Smart Grid Pilot Project was initiated develop a microgrid service solutions provider business under the Thailand Smart Grid Short-Term Development for EGAT Micro-EMS, RE Forecasting System, ENGY Load Plan 2017–2021. It aims to transform Mae Hong Son into Aggregator, and ENGY Peer-to-Peer Energy Trading a place for demonstration, research and development, Platform. and to build a body of knowledge to be applied in other • A Study and Assessment of Distribution Automation areas of Thailand. The investment in this project amounts System Installation at Sattahip Electricity Authority, to 720 million baht. The project is expected to be Royal Thai Navy Welfare Concession, Sattahip District, completed in 2022 (extended completion period). The Chonburi province, is a cooperation between EGAT and development strategy is divided into four aspects as Sattahip Electricity Authority, Royal Thai Navy Welfare follows : Concession. The project aims to study and assess the 1) Smart Energy : The focus will be on developing a installation of a distribution automation system to improve renewable energy power generation system in power distribution and enhance power system security in Mae Hong Son District and strengthening power system the area under the responsibility of Sattahip Electricity security. The project will install additional 3-MW solar Authority. A distribution automation system will allow cell panels and a 4-MW battery energy storage system the power distribution system to be remotely operated (BESS) as a backup power source that will provide a through optical fiber communication, thus reducing 15-minute uninterrupted supply of electricity to Mueang power outage duration and wide-scale blackout impact. Mae Hong Son District during a crisis. It will also make the distribution system more secure 2) Smart System : This strategy will focus on Micro-EMS and better meet the growing demand for electricity due development, ICT system integration, and Micro-EMS to urban expansion in the Eastern Economic Corridor. remote test system development to (1) deal with • Projects Pending Study and in Designing Phase ; unstable renewable energy, (2) support consumer Mae Moh Smart City Project, Chana Smart Grid Project, participation through the demand response program, and and A Feasibility Study of Smart Energy City Development (3) automatically control the balance between production in Nava Nakorn Industrial Promotion Zone, Pathum Thani capacity and electricity demand. province. 3) Smart City : The project will promote participation of local electricity consumers through three sub-projects : (1) Energy Storage System Project in Chaiyaphum a participatory energy management in building networks, and Lopburi (ESCL) (2) smart billboards, and (3) EV bus and EV chargers. The project was initiated under the Thailand Smart 4) Smart Learning : To promote an understanding of Grid Short-Term Development Plan 2017–2021. The smart grid technology among consumers, the project project will install a 16-MWh energy storage system at plan is to develop a community learning center that will Bamnet Narong High Voltage Substation in Chaiyaphum,

Former EU6 Energy for stability and sustainability EGAT Sustainability Report 40 2019

and a 21-MWh energy storage system at Chai Badan was carried out at the EGAT Headquarters Learning High Voltage Substation in Lopburi. It aims to store Center and is scheduled to be completed in 2021. The a large amount of electric power from the wind and EGAT-EEC will use a renewable energy power generation solar energy power plants. The project will also test the system integrated with energy storage technologies, effectiveness of the energy storage system in dealing controlled through a Micro EMS. It is a micro grid system with unstable renewable energy. The investment in this that does not rely on electric power from the main grid. project amounts to 1,982.7 million baht. The project is The power generation system will consist of the main expected to be completed in 2020. solar PV panels installed on the rooftops of office and parking lot buildings and an auxiliary gas engine power Conceptual Design of Integrated Renewable Storage generation system that uses hydrogen gas and biogas under EGAT’s New Energy Power Development Plan produced from the fermentation and decomposition of Clean energy is increasingly used in power generation, bio-waste in EGAT Headquarters. The energy storage as evident from PDP2018, which requires that 20 percent system consists of hydrogen energy storage and a battery or 20,766 MW of the nation’s electricity generation energy storage system (BESS), designed to store excess be from renewable energy. EGAT has also developed electricity generated during daytime. Both energy storage hydro-floating solar hybrid power plant projects with a systems will (1) supply electric power during nighttime or combined capacity of 2,725 MW. These hybrid projects when needed and (2) help reduce fluctuations in power require proper management of renewable energy and generation from renewable energy sources. water resources, focusing on optimizing the existing grid system and appropriate power costs. EGAT provided Digital Substation Development Project research funding to Chulalongkorn University and King To transform the organization into a digital utility, Mongkut’s Institute of Technology Ladkrabang to jointly EGAT has used ICT and smart grid technologies in conduct research on “Conceptual Design of Integrated the development of digital substations. The digital Renewable Storage under EGAT’s New Energy Power substation development is part of EGAT’s Power Development Plan.” The research found that a hybrid Transmission System Improvement Plan to improve power system combining a hydro-floating solar hybrid substation equipment to meet the communication power plant and an energy storage system (ESS) of requirements of IEC61850 standard and support automated appropriate size will make the power generation more systems for measuring performance, and monitoring and stable and efficient. The initial research at Sirindhorn and evaluating useful life of equipment in production and Ubol Ratana Dams has been completed and additional transmission systems to manage EGAT’s assets to achieve studies are being conducted at other dams. maximum efficiency. To date, four digital substations have been developed : Ayutthaya High Voltage Substation 2, EGAT-Energy Excellence Center Saraburi High Voltage Substation 5, Chatuchak High The project was initiated under the EGAT Microgrid Voltage Substation, and Chaengwattana High Voltage Sandbox Project, aiming to upgrade the EGAT learning Substation. In addition, EGAT has a plan to develop a center, where the general public can visit to learn about fully digital substation at Trat High Voltage Substation, the history of power generation and energy efficiency, Kantharalak High Voltage Substation, and Chatuchak to the EGAT-Energy Excellence Center (EGAT-EEC) that High Voltage Substation*, which are expected to be can manage their own electric power. The first upgrade completed in 2021.

* The plan is revised in 2020 to cover the high voltage substations of Trat, Kantharalak, Satul and Mae Moh 2. The development is expected to be completed in 2022. EGAT Sustainability Report Energy for stability and sustainability 2019 41

National Energy Trading Platform Research and can help make daily operation planning and backup Development capacity allocation more accurate, while intraday EGAT, MEA, and PEA have collaborated on the Nation forecasting can help system operators predict fluctuations Energy Trading Platform Research and Development in power generation in renewable energy power plants Project (NETP) and Nation Digital Utility Platform (NDUP) in advance, and, in a timely manner, maintain backup Roadmap Development to study the impacts and provide capacity, control frequency, and manage power voltage technical, supervisory, and policy recommendations for within appropriate levels. The project is currently studying Thailand’s electricity industry structure of the future. The and developing solar and wind power generation three Electricity Authorities submitted the NETP study forecasting models and designing a system to apply the report to the State Enterprise Policy Office, which was forecast results to grid management, which are expected approved in 2018. In 2019, a pilot project was carried out to be completed in 2021. to test the NETP study results on the testing grounds of each of the electricity authorities. From 2020 to 2022, the Demand Response Control Center three electricity authorities will expand the application In line with the Thailand Smart Grid Action Plan of NETP in their settings. 2017-2021 under Pillar 1 : Demand Response (DR) and Energy Management System (EMS), EGAT is establishing RE Control Center the Demand Response Control Center (DRCC) to serve as The project aims to study the establishment of a a focal point for nationwide demand-side management renewable energy control center (RE Control Center) (DSM), order demand responses, and reduce peak to forecast electricity production in renewable energy demand during crises. At present, the project is defining power plants to help system operators plan plant the characteristics of the DRCC associated with load operations more efficiently. Day-ahead forecasting of aggregator (LA) and the DRCC is expected to open for power generation in a renewable energy power plant services in 2021. Energy for stability and sustainability EGAT Sustainability Report 42 2019 System Efficiency

To deliver quality, secure, and reliable electric power and meet stakeholders’ needs and expectations, EGAT has continued to make efforts to enhance the efficiency of power system, including improving generation and maintenance, switching to efficient equipment and accessories, using modern technologies to increase the reliability of the national power system, solving power outages, and developing a system to prevent power outages.

Performance of EGAT’s Power Plants

No. Performance 2016 2017 2018 2019 1 Heat Rate (kJ/kWh) 8,236 8,252 8,247 8,028 2 GWEAF (%) 93.78 93.67 92.46 93.73 3 POF (%) 3.62 3.37 3.20 3.00 4 UOF (%) 2.10 2.37 3.40 2.71 5 UDF (%) 0.50 0.59 0.94 0.56

In 2019, EGAT’s overall performance was higher than 0.20 percent, the Unplanned Outage Factor (UOF) was the previous year with the replacement of Mae Moh reduced by 0.69 percent, and the Unit Derating Factor Power Plant Units 4-7 by Mae Moh Power Plant Unit 1. (UDF) was reduced by 0.38 percent in comparison with The Generating Weighted Equivalent Availability Factor 2018. EGAT could control the rate of UOF and UDF to (GWEAF) was 1.27 percent higher than that in the previous be not exceeding 5 percent continuously since 2008. year. The Planned Outage Factor (POF) was reduced by

Transmission system High voltage substation, transformer capacity and transmission line length

High voltage substation Transformer capacity Transmission line length Voltage (Station) (Mega-volt ampere) (circuit-kilometers) 500kV 22 40,949.70 6,575.182 230kV 82 64,700.01 15,357.714 115kV 125 15,048.16 13,997.982 132kV - 133.40 8.705 69kV - - 18.800 300kV HVDC - 388.02 23.066 Total 229 121,219.29 35,981.449

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Transmission loss 4.21 2016 (%) 2017 (%) 3.02 3.10 3.09 2018 (%) 2.60 2.78 2.61 2.62 2019 (%) 2.45 2.34 2.40 2.45

1.18 1.29 1.37 1.36 1.27 0.70 0.67 0.86 Region Metropolitan area Northeast North South Central

In 2019, the forced outages occurred 57 times, the 230 kV Main Bus No.1 and Bus No.2 were disconnected out of which 19 times were caused by failure of the resulting in a wide blackout in the upper northern area transmission lines and 38 times by failure of the high covering Chiang Mai Substations 1-3, Phayao Substation, voltage substations. The interruption was mainly caused Chiang Rai Substation, Mae Chan Substation, and Thoeng by the dilapidated substation equipment and the Substation. The system recovery was successfully malfunction of the control and prevention equipment performed by Northern Electricity Control Center, and (23 times) ; by human errors, either staff or outside people the electricity could be supplied as normal at 12.35 hours. (9 times) ; by weather condition (8 times) ; by animals The blackout of 848.7 MW lasted 62 minutes. (6 times) ; by environment (4 times) ; by testing equipment (1 time) ; and by unidentifiable reasons (6 times). The damages: The significant incident that had an impact on EGAT • Failure of 28 delivery points electricity system occurred at 11.33 hours on Friday, • Total interruption duration 1,136 minutes 4 October 2019 at Mae Moh Substation 3. It was caused • Total electricity supply cut off 37,457.60 MW-Min by the equipment used in an installation and testing of the new 22 kV circuit breaker in replacement of the old Bulk System Disturbance Indices (BDI) one. During the installation, the testing equipment was • BDI of EGAT electricity system 1.214 System-Minutes damaged causing the alert in the preventive system, and

EGAT’s 2019 performance index and availability*

Performance index and availability 2019 performance System Average Interruption Frequency Index (SAIFI) (number of occurrence/delivery point) 0.21174 System Average Interruption Duration Index (SAIDI) (minutes/delivery point) 3.59781 Service Availability (SA) (%) 99.59912 Transmission Circuit Availability (%) 99.98799 Transformer Availability (%) 99.46491 Voltage Deviation (VD) (ppm) 0.050 Frequency Deviation (FD) (%) 0.00000

* The index of standard service quality of EGAT takes into account the number of unplanned outages which is used in the performance evaluation of EGAT.

103-2, 103-3, EU12 Energy for stability and sustainability EGAT Sustainability Report 44 2019 Demand Side Management

EGAT has implemented various demand side management programs under the AAA Strategy, aiming to improve energy efficiency in three aspects, appliance, architecture, and attitude. These programs seek collaboration from the government sector, private sector, and general public to use energy more efficiently and reduce unnecessary electricity consumption. Moreover, they build energy efficiency awareness and attitudes and promote carbon dioxide emissions reduction. DSM activities are as follows :

A1–Energy Efficient Appliance The Energy Efficiency Label No. 5 Scheme initiated On 28 August 2019, EGAT held a signing ceremony of by EGAT has promoted energy efficiency labeling for the MOU for the Energy Efficiency Label No. 5 Electric 31 types of products. In 2019, 28,700,417 Energy Efficiency Motorcycle Scheme at EGAT headquarters and introduced Label No. 5s were used, which was able to reduce up to energy efficiency labelled electric motorcycles, which 273.41 MW of electricity demand, 1,789.06 million kWh of would be placed on the market from 1 September 2019 electricity, and 902,758 tons of carbon dioxide equivalent onwards. Moreover, it increased the scope and energy emissions. (From its beginning in 1993 to 2019, the scheme efficiency standard to enhance the efficiency of has reduced 5,027.79 MW of electricity demand, 30,015.06 computerized rice cookers and steam generator irons, million kWh of electricity, and 16,962,426 tons of carbon which would be labelled and placed on the market from dioxide equivalent emissions.) 1 January 2020 onwards.

Result of Demand-side management project (from Energy Efficient Appliance Strategy)

Year Peak Demand Electricity Reduced Carbon Dioxide Emissions Reduced (MW) (million kWh) ( Ton CO2e ) 2553 267.08 1,706.02 937,888 2554 298.28 1,808.20 994,379 2555 430.20 2,574.54 1,414,637 2556 385.84 2,348.06 1,200,563 2557 345.60 2,069.35 1,058,061 2558 443.48 2,529.63 1,292,990 2559 210.64 1,324.25 677,091 2560 261.39 1,530.44 798,074 2561 278.68 1,664.34 885,593 2562 273.41 1,789.06 902,758

Notes 1. Since 2016, EGAT has changed the assessment method and variables as recommended by its research consultant (Enconlab, King Mongkut’s University of Technology Thonburi) in 2014, from using only Minimum Energy Performance Standards (MEPS) required by law to establish a baseline according to the nature of buyers as follows ; 1) For buyers buying new electric appliances to replace the non-expired one, the baseline is the MEPS required by law 2) For buyers buying new electric appliances to replace the expired or dilapidated one, the baseline is the MEPS of the Label No. 5 Scheme 3) For buyers buying new electric appliances, the baseline is the the MEPS of the Label No. 5 Scheme. This change has resulted in a 40-60 percent drop in energy efficiency but more reliability since it better reflects consumer behavior and the energy efficiency of electric appliances. 2. Annual performance data may be subject to backdated adjustment because the energy efficiency of certain newly labelled products has not yet been assessed due to pending study results of relevant variables.

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A2–Energy Efficient Architecture EGAT promotes the efficient use of electricity in across the country. To produce more concrete results, all residential, commercial, and industrial buildings. the energy-saving activities are further developed and It has attempted to build energy awareness, encourage expanded to the homes and communities of the students. investment in improving energy efficiency in old buildings, • The Green School Program aims to advance green and promotes the use of high-performance design and classrooms toward the green school standard (model construction materials in new buildings, as follows : schools for energy and environmental conservation). • Implemented the Energy Efficiency Resources Since 2009, 196 schools have achieved the green school Standard (EERS) in collaboration with MEA and PEA to standard. help consumers achieve more energy savings through • The Low Carbon School Program (reduce energy consulting services and financial incentives, who were use in schools) and Low Carbon School to Community able to save 23.983 GWh of electricity consumption. Program (reduce energy use in students’ homes) aim to • Implemented the House and Building No. 5 Project promote efficient use of energy and electricity saving in to provide knowledge and understanding about energy schools and students' homes. From July to September efficiency to encourage business and industrial operators 2019, they reduced electricity consumption by 4 million who use a large amount of electricity to understand the kWh, saved 15 million baht on electricity bills, and importance of saving electricity in buildings, both new 2,267 tons of carbon dioxide equivalent emissions from and old. In 2019, the following activities were carried out : electrical appliances. Moreover, EGAT organized training - Held a ceremony to award Energy Efficiency Label via a smartphone application to teach participants how No. 5 and launch the NHA House No. 5 Project to calculate power consumption and carbon dioxide Chonburi (Bo Win) Phase 2 on 22 September 2019. emissions from electrical appliances. - Held a MOU signing ceremony between 24 agencies • The Bio Living Community Project and attitude training to collaborate in the Energy Consultant Project on were integrated into the Energy Efficient Community 28 September 2019 at EGAT headquarters. No. 5 Project, aimed to promote knowledge and develop - Held a MOU signing ceremony between EGAT and a positive attitude about efficient use of electricity and the National Housing Authority to collaborate in the environment and protection among communities, the Energy Efficiency Labelling for Real Estate or in conjunction with the sufficiency economy way of life. House No. 5 Project Phase 2 on 4 December 2019 In 2019, Erawan Sub-district Municipality in Kanchanaburi at EGAT headquarters. At the ceremony, plaques met the criteria to become the first Energy Efficient were also awarded to six new NHA projects to Community No. 5 in the central region of Thailand. be constructed in 2020 for achieving the House • Organized “Energy Volunteer-Good Deeds No. 5 standard in their energy efficiency designs. from the Heart” activity under the “Energy Efficiency In this collaboration, EGAT will act as an energy Improvement in Dipangkorn Wittayapat Schools under the consultant for the National Housing Authority to Royal Patronage Project” at six Dipangkorn Wittayapat continuously develop the House No. 5 Project and Schools, from July 2019 to January 2020, to celebrate promote efficient use of electric energy in old the Auspicious Occasion of the Royal Coronation. houses. • Held a signing ceremony of the MOU between EGAT, Office of the Basic Education Commission (SESAO 34), A3–Energy Efficient Attitude and Sanpatong Wittayakom School on 14 July 2019, to EGAT has incorporated energy-saving activities into collaborate on the “School Promotion and Development the classroom to foster energy efficient attitudes and for Energy and Environment Learning Society Project.” educate youth about environmental conservation under • Promoted greenhouse gas reduction through the “Green Classroom Project” since 1998 in 464 schools energy-saving activities at schools, such as switching to

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Energy Efficient Appliance with Label No. 5, low carbon 2018 performance in reducing electricity consumption by school activities to reduce electricity use in schools and 2.9 million kWh, saving 10 million baht on electricity bills, students’ homes as part of the Low Emission Support and 1,699 tons of carbon dioxide equivalent emissions, Scheme (LESS) certified by the Thailand Greenhouse Gas from the implementation of the Low Carbon School Management Organization (public organization), to take Program (reduce energy use in schools) in 106 schools part in the decrease of carbon dioxide of the country. and Low Carbon School to Community Program (reduce On 19 September 2019, EGAT is awarded the LESS energy use in students’ homes) in 62 schools, covering certificate for the 5 consecutive years, as a result of its 14,067 households.

Demand-side management activities by target groups

Electricity users

Related Project Residential Commercial Industrial Institutions 1 Energy Efficient Appliance includes ; Energy efficiency labeling (Label No. 5)

2 Energy Efficient Architecture (Buildings) includes ; Energy Efficiency Label No. 5 for New Buildings, Energy Efficient Housing (Label No. 5 Housing), and Energy Efficiency Resources Standards (EERS)

3 Energy Efficient Attitude includes ; Green classroom project to homes of communities of students, and other Energy Conservation Promotion measures.

Innovative Development of Energy Conservation Promotion Measures • Refrigeration and Air Conditioning Nationally • Promoting the Use of Electric Vehicles in EGAT Appropriate Mitigation Actions (RAC NAMA) EGAT has EGAT has developed its electric vehicle promotion plan collaborated with the German International Cooperation to support the Energy Action Plan for Promotion of (GIZ) to carry out the Refrigeration and Air Conditioning the Use of Electric Vehicles (EV) in Thailand 2016-2036 Nationally Appropriate Mitigation Actions (RAC NAMA). pursuant to the resolution of the National Energy Policy The project will provide financial support to promote Council (NEPC) dated 11 March 2016. In 2019, EGAT the development and use of energy-efficient and installed 23 EV chargers, including 11 AC Normal Chargers climate-friendly cooling technologies in refrigerators and 12 DC/AC Quick Chargers. In addition, it supplied and air-conditioners. In 2019, EGAT provided short-term 10 electric minibuses for pilot demonstration and use funds for manufacturers to conduct natural refrigerant in EGAT offices and opened an EV charger to provide air conditioner and refrigerator marketing, as well as services for free in the EGAT Learning Center. grants to procure and install equipment for flammable refrigerant safety management training and testing.

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Research and development is a key process that enables EGAT to accomplish its core missions effectively and efficiently and keep up with technological changes in a more sustainable manner. Results of research and development can be used to create the know-how and innovation to solve problems and pain points or improve the efficiency and productivity of upstream to downstream systems, including a fuel system, generation system, distribution system, maintenance system, and various support systems. It can even be used to develop and increase commercial and social performances to create value and growth for the organization and benefit society, community, and the environment.

Management Approach EGAT’s research and development management consists of the following phases :

1. Conception Phase EGAT has set up the Research and Development Policy, Innovation, and Invention Committee, consisting of high-ranking executives and the EGAT Governor serving as the chairman, to be responsible for formulating policies, strategies, and topics related to research and innovation to guide research and development activities. Research Direction provides a framework for determining the nature of research and innovation EGAT plans to focus on.

Budget Area Allocation* National Grid System Innovation • Focus on novel innovations and technologies in the grid system, including generation, transmission, and distribution. • For example : microgrid and an energy trading platform. 40% Problem Solving Efficiency Improvement Cost Reduction • Focus on solving O&M problems or pain points, improving efficiency and productivity, and reducing costs and imports. % • For example : IoT, digital, and robotics. 25 Solving Environmental Problems • Focus on preventing and solving environmental problems that may arise as a result of EGAT’s activities, such as greenhouse gases, water pollution, and dust, as well as improving the public’s environmental attitude toward EGAT. % • For example : noise reduction and PM detection. 15

Sustainable Co-existence with Communities • Focus on community development, both economic and social, to build inter-reliance and sustainable co-existence based on the king’s philosophy. % • For example : community power plant and disability aids. 10 New Business • Use R&D results to create new business models that are not limited to % the power business. 10

* Each year, EGAT allocates 3% or around one billion baht of its profit to research.

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Paving Way to Digital Transformation developed. Both internal and external agencies can apply

1) Modernized and Digitalized Power System : Use for funding throughout the year. There is no maximum IoT technology to develop smart power plants and amount of funding support per project. Originally, only distribution substations. educational institutions, public research agencies, and 2) Competitiveness Enhancement : Develop a power non-profit organizations were eligible to apply for funding. trading system and provide advice on power use. In 2019, however, the scope of application and eligibility 3) Sustainable Development : Develop smart farming, was expanded to include private organizations and startups promote agriculture, improve the quality of life of the to increase research and development opportunities to disabled and elderly, and enhance the learning of children better meet commercial and market needs. and youth through digital media. • The Research and Development Policy, Innovation, 4) Digital Organization : Use digital technology and Invention Committee sets R&D rules and management to improve performance within the organization and guidelines to decentralize approval power and authority promote innovation development within the organization over projects from central administration and shift it to through the Super Cool Idea Contest, Hackathon, and relevant departments to increase flexibility in research other invention contests. and development operations. • EGAT seeks to collaborate with other public and 5-Year Research and Development Master Plan private organizations with expertise in the field of research, (2018-2022) production, or marketing to accelerate the development of • The plan is intended to serve as a roadmap to ensure innovations. In 2019, EGAT cooperated with the Thailand that research is developed in the same direction and Institute of Nuclear Technology (Public Organization) to in a systematic and efficient manner. It consists of two promote and drive the development and application of key areas : research and innovation, and support and plasma and fusion technology for public and economic promotion of research and innovation. benefits. It also cooperated with private organizations • Encourage EGAT employees to develop an innovation to study the feasibility of developing innovations under mindset and entrepreneurship and promote innovation the ERC Sandbox Program, an action-based energy development and culture within the organization through innovation program initiated by the Energy Regulatory processes and activities. In 2019, EGAT held the Super Commission (ERC). Cool Idea Contest to find superb ideas to develop its new businesses. The contest received 114 submissions 3. Commercialization Phase from EGAT employees. The Hackathon Contest, “Smart • Handle intellectual property issues to protect project Society with EGAT,” aimed to promote innovative energy ideas and results. EGAT is currently drafting intellectual business ideas and community development. It received property management and utilization rules to serve as a 25 submissions from EGAT employees and the general guideline for active management of intellectual property, public. e.g., how to use intellectual property to generate value • Develop infrastructure, including facilities, equipment or income and how to fairly share benefits obtained from and tools, and personnel to facilitate EGAT employees intellectual property. sharing ideas and experiences and developing and testing • Collect research results and innovations that inventions. can benefit and create value for EGAT. Disseminate research and invention results and share knowledge and 2. Prototype Development Phase experiences through processes and activities such as the • EGAT provides funding for research and innovation EGAT Invention and Innovation Contest and international development projects to support the project execution invention contests. These contests provide a platform stage, up to the marketing stage after prototypes are for EGAT’s researchers or inventors to meet and share

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experiences with other Thai and foreign researchers or based economy as per a government policy to move the innovators, as well as opportunities to learn about the country towards stability, wealth, and sustainability. research and inventions developed in other countries • Seek collaboration with other organizations to further and use the knowledge and experiences obtained to develop and expand research results and innovations further develop their own research. into the market, such as the MOU between EGAT and • Create channels to effectively apply research results the National Innovation Agency (Public Organization) to and develop new business models together with relevant promote commercialization of R&D projects in the energy business development agencies to commercialize and business and support the development and exchange market research results. Innovation Holding Company of knowledge and innovations in the public and private is currently being set up to serve as a channel to expand sectors and the MOU between EGAT and SCG Cement research results into the market and drive the innovation- Company Limited to develop products together.

Target Accumulated disbursement Number of intellectual properties 2019 Target for research and development registered with the Department projects in 2019 of Intellectual Property

Target Value 400 million baht 13 intellectual properties

Management Performance Evaluation In evaluating the management performance, EGAT has set the performance indicators such as the results of research and development projects, intellectual property performance, and invention contest performance. The performance results are as follows :

1. Results of Research and Development Projects 2015-2019

1,090.5 2015 2016 2017 2018 2019 520.7 421.2 440.8 440 378.3 377.5 400 400

220.8 211 111 136.5 133.37 54 68 20 25 0 0

Number of approved Approved budget Actual amount disbursed Research budget research projects (million baht) (million baht) disbursement indicator (project) (million baht)

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2. Results of Intellectual Property Performance 2015-2019 2015 2016 2017 69.2 2018 52 2019 40 45 39 32.1 32.7 28 27 27.5 31.1 30 30 30 17 11 9 14 15 0

Number of completed Registered Proportion of registered Indicator invention and intellectual property intellectual property to number (%) research projects (invention) of completed inventions (invention/research) and research projects (%)

3. Results of Invention Contest Performance 2015-2019 2015 2016 103 2017 82 76 2018 2019 58 40 34 39 33 28 26 25 20 13 12 6

Number of inventions Number of award-winning Number of participating in inventions from award-winning contests within EGAT contests within EGAT inventions from (invention) (invention) international contests (invention)* * The inventions participating in international contests are chosen from the award-winning inventions from the contests held in the country the previous year. For example, the award-winning inventions from 2018 are sent to compete in the international contests in 2019.

To ensure a more comprehensive and qualitative including finance, customers and stakeholders, internal performance assessment, additional performance process, and learning and growth. Moreover, the results indicators are currently being determined. These and problems with the operation are summarized and indicators may include value created by research and will be submitted to the Research and Development Policy, innovation projects and policy conformity. They can Innovation, and Invention Committee for improvement. also be identified to cover the four BSC dimensions,

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From 2006 to 2019, EGAT sponsored a total of 489 68 research projects, totaling 378 million baht. Twenty-nine research and development projects from educational projects have been completed. The following is one institutions, research institutes, and other organizations, of the outstanding projects in the area of renewable totaling 3,733 million baht. In 2019, EGAT sponsored energy technology.

A Study of Power Generation Performance and Development of Concentrating Photovoltaics in Thailand Solar energy, a clean and pollution-free energy from suitable for Thailand. The testing of three solar cell nature, has been widely used in recent years because it is systems installed at Wang Noi Power Plant : renewable and has great potential, particularly in power generation. As a result, EGAT has constantly paid close 1. 3.20 kWp fixed polycrystalline silicon solar cell attention to the development of photovoltaic power system, generation technology. 2. 3.20 kWp sun-tracking polycrystalline silicon solar At present, the best high-performance solar cell is the cell system, and three-junction solar cell. This type of solar cell is used in concentrating photovoltaics, which has 44 percent 3. 3.36 kWp sun-tracking CPV system ; higher performance than crystalline silicon and thin film silicon solar cells. Moreover, concentrating photovoltaics is found that the sun-tracking polycrystalline silicon solar equipped with a cooling system, making it more suitable cell system (System 2) can generate the highest amount for use in hot climate regions like Thailand. of electricity. In addition, the sun-tracking system can be installed under the solar panel and is highly efficient. With the trend of concentrating photovoltaics, EGAT As for the concentrating photovoltaics, at present, there has provided research funding to the National Science are no designs suitable for Thailand and as such, it does and Technology Development Agency (NSTDA) to study not perform well in our country. However, EGAT will the power generation performance of concentrating continue to support the development of photovoltaics photovoltaics under equatorial and tropical climates like so that we will have a system that is most suitable and Thailand and to develop concentrating photovoltaics of the highest performance for use in Thailand.

103-2, Former EU8 ERETA ERRAE EGAT Sustainability Report Energy for stability and sustainability 2019 53 Environmental Performance

EGAT gives priority to activities that do not affect part projects. Furthermore, it will listen to comments or the environment. It has thus conducted an environmental concerns from stakeholders through various channels, impact assessment for every project development that such as the meeting of tripartite committees, which has an impact on natural resources, economy, society, consists of government agencies and representatives and health. The assessment incorporates a public hearing of the public living around the project, suggestion and participation to find ways to prevent potential impact boxes located in communities around the project, and a from the project, and proposes environmental impact complaint reporting system. Because of its environmental preventive and corrective measures, environmental management according to international standards and impact monitoring measures, and environmental action strict compliance with environmental and relevant laws, plans during the construction and operation phases. there have been no incidents that caused EGAT to be EGAT will strictly comply with these measures and fined or subject to other penalty. report the results of environmental quality monitoring, such as air quality, water quality, water ecology, and In 2019, EGAT conducted six types of environmental waste management to the Office of Natural Resources impact studies and reporting, including environmental and Environmental Policy and Planning and relevant and health impact assessment (EHIA), environmental agencies every six months. In 2019, EGAT monitored impact assessment (EIA), initial environmental examination environmental works in accordance with the measure (IEE), code of practice (CoP), environmental and safety in environmental impact prevention and mitigation, and assessment (ESA), and code of practice for installation the measure in monitoring environmental quality of the design and waste management by photovoltaic energy total 24 projects comprising 11 power plant projects, power producers exempt from licenses (Mini CoP). 4 mine projects, 5 transmission projects, and 4 component

103-1, 103-2, 103-3, 307-1 Energy for stability and sustainability EGAT Sustainability Report 54 2019

Projects Approved by Approving Agency or Project Projects Pending EIA Study Permitting Agency • EHIA for the Mae Moh Power Plant Units 8-9 • IEE for the 500 kV Grid Bang Saphan 2-Surat Thani 2 Replacement Project, a coal-fired power generation Project (portion that passes through Conserved Forest project with an installed capacity of 660 MW. Zone C), approved by the Expert Review Committee on • EHIA for the South Bangkok Power Plant (Extension) 4 July 2019. Project, a power generation project using natural gas as • IEE for the 500 kV Grid Chom Bueng-Bang Saphan 2 a primary fuel and diesel as a secondary fuel, with an Project (portion that passes through Conserved Forest installed capacity of 3×830 MW. Zone C), approved by the Expert Review Committee • EIA for the Surat Thani Power Plant Blocks 1-2 on 4 July 2019. Project, a power generation project using natural gas • EHIA for the South Bangkok Power Plant Replacement as a primary fuel and diesel as a secondary fuel, with an Project Phase 2, a power generation project using natural installed capacity of 2×830 MW. gas as a primary fuel and diesel as a secondary fuel • EIA for the Nam Phong Power Plant Replacement with an installed capacity of 1,470 MW, approved by the Project, a power generation project using natural gas as National Environment Board on 15 August 2019. a primary fuel and diesel as a secondary fuel, with an • EIA and IEE for the 500 kV Grid Surat Thani 2- installed capacity of 830 MW. Phuket 3 Project (portion that passes through Conserved • EIA for the North Bangkok Power Plant (Extension) Forest Zone C, mangrove forest, and Watershed Class 1B), Project Phase 1, a power generation from natural gas approved by the National Environment Board on 19 project, with an installed capacity of 830 MW. September 2019. • EIA for the 230 kV Grid Tak 2-Mae Sot (portion • IEE for the 500 kV Grid Bang Lamung 2-Pluak that passes through Watershed Class 1 and Conserved Daeng Project (portion that passes through Conserved Forest Zone C). Forest Zone C) and IEE for the 230 kV Grid Bang Lamung • EIA for the Lamtakong Wind Turbine Project. Connection Point 2-Bang Lamung 2 junction (portion that • IEE for the 500 kV Grid Mae Moh 3-Lamphun 3 passes through Conserved Forest Zone C), approved by Project (portion that passes through Conserved Forest the Expert Review Committee on 31 October 2019. Zone C). • IEE for the 500 kV Grid Thung Song-Hat Yai 3 Projects Pending Consideration Project (portion that passes through Conserved Forest • EIA for the Wang Noi Power Plant Project (Blocks Zone C). 1-2 Replacement), a combined cycle power plant using • CoP and ESA for the Hydro-Floating Solar Hybrid natural gas as a primary fuel and diesel as a secondary Project at Sirindhorn Dam, a floating photovoltaic power fuel, with an installed capacity of 1,470 MW, approved generation project, with a net capacity 45 MWac (installed by the Expert Review Committee on 23 August 2019 capacity of 58.5 MWdc). and currently pending consideration by the National • Water Quality and Aquatic Ecology Impact Environment Board. Assessment and Mini CoP for the Floating Photovoltaic • FSRU station, FSRU terminal, and gas pipeline Project at Tha Thung Na Dam, with a capacity of 500 from FSRU to South Bangkok Power Plant. The floating kWac. storage and regasification unit (FSRU) is located in the upper Gulf of Thailand. EGAT Sustainability Report Energy for stability and sustainability 2019 55 Materials

EGAT has relied on natural gas and lignite as the primary In 2019, EGAT used 257.12 million liters of palm oil fuels to produce electricity without using recycled input as fuel to generate electricity at Bang Pakong Thermal materials. Nevertheless, EGAT has continued to study and Power Plant Unit 3, Chachoengsao. It has improved develop electricity generation from renewable energy power plant equipment to be able to support the use sources. At present, EGAT has a production capacity of crude palm oil in conjunction with natural gas at a from renewable energy sources of 3,055.42 MW, which ratio of 50 : 50. This is in line with the domestic palm oil is able to generate 6,042.73 million kWh. balancing measure to reduce crude palm oil stock in the market, raise the price of palm oil, and improve the quality of life for palm farmers. Fuel used

303,583.20 25.35 13.76 297,001.05 7.85 14.22 305,735.35 25.05 15.9 370,981.58 16.41 73.73 Natural Gas Fuel oil Coal (million cubic feet) (million liters) (million tons)

28.28 257.12 27.36 0 42.73 0 2019 11.95 0 2018 2017 Diesel Palm Oil (million liters) (million liters) 2016

Electricity generation from renewable energy

6.80 6.80 Unit : MW 0.22% 26.69 0.23% 2.70 0.30 0.87% 0.30 0.09% Geothermal 0.01% 0.01% Solar Wind Power Hydropower 2019 2018 Total 3,055.42 3,021.63 3,006.00 2,996.20 98.89% 99.67% 6.55 6.55 0.30 0.22% 2.69 0.30 0.22% 2.69 0.01% 0.09% 0.01% 0.09%

2017 2016 2,997.72 2,997.72 2,988.18 2,988.18 99.68% 99.68%

103-1, 103-2, 103-3, 301-1, 301-2 Energy for stability and sustainability EGAT Sustainability Report 56 2019 Energy

In addition to its efforts to promote energy conservation it promoted knowledge, understanding, and employee and efficiency among the public through such projects participation through energy conservation training as the Energy Efficiency Label No. 5 Scheme, Green and activities such as chill beam training and energy Classroom Project, and Energy Efficiency Resources education booth. Standard (EERS), EGAT also attaches importance to in-house energy management. It has adopted the energy In 2019, EGAT generated 62,316.40 million kWh of efficiency policy, established the Working Group on EGAT electricity and purchased 110,031.12 million kWh from Control Building Management and Energy Management independent power producers in the country and 25,525.48 Audit Committee, and put in place the electric power million kWh from foreign countries. The combined generated conservation measures. In 2019, EGAT installed 52 and purchased electricity (net energy in EGAT’s system) variable speed devices to reduce energy consumption was 197,873.00 million kWh, of which 193,439.13 million in the air conditioning system in the Tor 101 Building at kWh or 97.76 percent of the net energy sold to customers, EGAT Headquarters, resulting in a decrease in energy 1,248.31 million kWh or 0.63 percent of the net energy consumption by 241,750.67 kWh/year or from 495,390.72 used in EGAT’s activities, and 3,185.56 million kWh or 1.61 kWh/year to 253,640.05 kWh/year. Furthermore, was transmission loss.

Energy Consumption Unit : kWh 82,345,455 40,825,390 29,000 90,136,416 476,420,000 2019 521,233,049 37,324,906 Total 1,248,314,216 +317,341,422 4,405.16 76,209,000 74,390,090 Activities 1,852,000 85,957,861 High-voltage 254,590,000 substations and offices 2018 403,337,082 34,636,761 Srinagarind Dam’s Total 930,972,794 water pumps +118,034,176 Bhumibol Dam’s 3,908.90 water pumps 71,376,889 Station service 175,438,270 10,905,000 (off-load) 80,107,397 Lamtakong Jolabha 141,640,000 2017 301,505,477 Vadhana Power Plant’s 31,965,585 water pumps Total 812,938,618 Mae Moh Mine (private) 157,612,486 2,845.43 Entire Head Office (solar cell excluded) 67,872,392 73,652,100 Electricity saved 12,000 compared from the 74,173,948 290,600,000 previous year 2016 430,615,927 Electricity intensity 33,624,737 (kWh/person/year)* Total 970,551,104 3,195,973 3,046.12 Note * Electricity intensity at headquarters area

103-1, 103-2, 103-3, 302-1, 302-2, 302-3, 302-4 EGAT Sustainability Report Energy for stability and sustainability 2019 57 Water

Recognizing the importance of water resources, • Water from cooling process is raw water that EGAT has managed its water usage, including controlling is used as a medium in condensers to transfer heat in the amount of raw water pumped from water sources, the electricity generation process. It is then sent to the such as rivers, canals, and reservoirs, not to exceed the cooling tower to reduce the temperature and returned amount specified in the water pumping permit or EIA/ to the condenser to transfer heat again. The water is EHIA report. The water used by power plants can be temperature-controlled to meet the standard specified divided into two types. in EIA/EHIA report and by law before being discharged to receiving waters. • Water from production processes and consumption is raw water that has been treated to improve quality In 2019, EGAT used 616,291,772 m³ of water from before being used in various activities of power plants, various sources for its operations and communities around such as power generation, consumption, and equipment power plants, which can be divided into 595,742,818 m³ and machinery maintenance. The waste water is treated of surface water, 133,631 m³ of ground water, 19,471,212 m³ to meet the standard specified by law and used to water of rainwater, and 944,111 m³ of municipal water, as shown plants and green space around power plants in the table below.

Water withdrawal by source

2019 2018 2017 Operating Surface Ground Rain Municipal Total Surface Ground Rain Municipal Total Surface Ground Rain Municipal Total Water Water water Water (million Water Water water Water (million Water Water water Water (million site (million (million (million (million m3) (million (million (million (million m3) (million (million (million (million m3) m3) m3) m3) m3) m3) m3) m3) m3) m3) m3) m3) m3) 1. Thermal and 591,528,442 32,737 0 411,943 591,973,122 184,931,685 5,402 0 506,724 185,443,811 361,147,208 2,726 98,141 510,380 361,758,455 combined- cycle power plants 2. Hydropower 4,212,190 0 0 0 4,212,190 4,177,525 0 0 0 4,177,525 4,640,117 0 0 0 4,640,117 plants 3. Head Office 0 0 0 253,840 253,840 0 0 0 244,238 244,238 0 0 0 259,391 259,391 4. High voltage 2,186 100,894 320 278,328 381,728 3,573 99,444 100 248,439 351,556 0 69,402 103,022 268,745 441,169 substations and offices under Transmission System unit 5. Mae Moh 0 0 19,470,892 0 19,470,892 0 0 16,532,256 0 16,532,256 0 0 27,507,860 0 27,507,860 Mine Total 595,742,818 133,631 19,471,212 944,111 616,291,772 189,112,783 104,845 16,532,356 999,401 206,749,386 365,787,325 72,128 27,709,023 1,038,516 394,606,992

Notes 1. This reporting covers 8 thermal and combined-cycle power plants (South Bangkok Power Plant, Wang Noi Power Plant, North Bangkok Power Plant, Mae Moh Power Plant, Nam Phong Power Plant, Bang Pakong Power Plant, Chana Power Plant, and Krabi Power Plant), 14 hydropower plants (Bhumibol Dam, Sirikit Dam, Srinagarind Dam, Vajiralongkorn Dam, Rajjaprabha Dam, Ubol Ratana Dam, Sirindhorn Dam, Chulabhorn Dam, Lamtakong Jolabha Vadhana Power Plant, Nam Poong Dam, Pak Mun Dam, Tha Thung Na Dam, Kaeng Krachan Dam, and Bang Lang Dam), high voltage substations and offices under Transmission System Department, Mae Moh Mine, and EGAT Head Office. 2. Volume of surface water withdrawn is calculated from volume of water pumped into facilities as read from meters multiplied by duration of operation (excluding water used to generate electricity by hydropower plants which is pumped into the plants and discharged back to natural sources). Volume of municipal water is based on water bills from the Metropolitan Waterworks Authority and Provincial Waterworks Authority. 3. The amount of Mae Moh Mine’s water withdrawal in some certain areas is approximate volume based on the best available data. 4. The amount of water withdrawal in 2019 increased from that of 2018 mainly due to the withdrawal of water from surface water, the Bang Pakong River, for use by Bang Pakong Thermal Power Plant Unit 3 (BPK-T3) to generate electricity using crude palm oil under the government policy between January and August 2019 (normally, the machine will run twice a year for one to two days for testing and measuring stack emissions). Thermal power plants use more water for cooling processes than cogeneration power plants.

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Water recycled and reused

2019 2018 2017 Operating site Total Volume Total Volume Total Volume (million m3) % (million m3) % (million m3) % 1. Thermal and combined- 1,925,495,279 325 1,983,216,099 1,069 2,280,317,934 630 cycle power plants 2. Head Office 29,160 11 31,812 13 48,096 19 Total 1,925,524,439 312 1,983,247,911 959 2,280,366,030 578

Notes 1. This reporting covers 8 thermal and combined-cycle power plants (South Bangkok Power Plant, Wang Noi Power Plant, North Bangkok Power Plant, Mae Moh Power Plant, Nam Phong Power Plant, Bang Pakong Power Plant, Chana Power Plant, and Krabi Power Plant) and EGAT Head Office. 2. Volume of water recycled and reused is calculated from volume of water used by cooling systems multiplied by water turnover time and also includes water reused to water plants and trees.

Impact Management EGAT’s thermal power plants have wastewater process is controlled to ensure that the temperature is treatment systems to treat wastewater to the standard appropriate and does not affect aquatic animals, and required by law. Treated wastewater is delivered to meets the quality standard required by law before being a retention pond within a power plant before being discharged into nearby approved receiving waters. All discharged into nearby approved receiving waters, such water resources used are not located in national and as Khlong Pakasai (water discharged from Krabi Power international conservation or protected areas and have Plant) and Khlong 26 (water discharged from Wang Noi no preserved and protected species. Power Plant). Many power plants use treated wastewater stored in the retention pond to water lawns and trees In 2019, EGAT’s thermal and combined-cycle power within the power plants, instead of discharging it to natural plants discharged 89,872,237 m³ of water to destinations water resources. Wastewater produced by the cooling as follows.

Unit : m3

Sothern Wang Noi Northern Mae Moh Nam Phong Chana Krabi Bangkok Power Bangkok Power Power Power Power Power Plant Power Plant Plant Plant Plant Plant Plant Drainage Canal 26 Chaopraya River Chaopraya River Mae Chang River Huai Chot Bang Pet Canal Pakasai Canal Surfacewater

Total 89,872,237 34,684,475 1,048,770 26,280,000 18,343,734 46,919 8,859,766 608,573

Notes : No water discharged from Bang Pakong power plant in 2019.

103-2, 103-3, 303-2, 303-3, 306-1, 306-5 EGAT Sustainability Report Energy for stability and sustainability 2019 59 Greenhouse Gas and Air Pollution Management

Natural disasters have become more frequent developed several greenhouse gas reduction projects and and more severe in recent years due to accelerating supported organization-wide greenhouse gas management climate change, causing direct and indirect impacts in response to the country’s policy to reduce greenhouse on EGAT’s business operations. For example, rainfall gas emissions pursuant to the Paris Agreement under and solar fluctuations can affect power generation the United Nations Framework Convention on Climate from renewable energy sources, while power plants or Change (UNFCCC). Thailand submitted its Nationally transmission lines damaged by natural disasters can Appropriate Mitigation Action (NAMA) to declare its impact the grid system. The rise in temperatures also intent to reduce greenhouse gases between 7 to 20 causes consumer demand for electricity to increase. percent by 2020 and Nationally Determined Contribution Realizing the impacts caused by climate change, EGAT (NDC) to reduce 20 to 25 percent of emissions by 2030. strives to participate in national and global efforts to To contribute to the country’s mitigation efforts, EGAT address climate change problems. Since 2006, it has has undertaken the following actions:

Policy and Planning Greenhouse Gas Management Policy EGAT adopted 1. To strive to become a leader in greenhouse the Clean Development Mechanism Policy to reduce gas emissions reduction in the power sector by using greenhouse gases in EGAT’s activities in 2007. The first clean and efficient technologies in line with the EGAT revision of the policy took place in 2014, which resulted Greenhouse Gas Management Plan 2018-2030 and in changing the name of the policy to EGAT Greenhouse national greenhouse gas emissions reduction targets. Gas Mitigation Action Policy in order to drive mechanisms 2. To develop a greenhouse gas management network to reduce greenhouse gas emissions as the country’s in the power sector. main power producer. The revised policy also served as a 3. To promote and improve the implementation of guideline for EGAT’s internal units to manage greenhouse organization-wide greenhouse gas emissions reduction gases in their operations. In 2018, EGAT undertook a measures. second revision of the policy and determined the policy 4. To promote research and development to achieve goals as follows : sustainable greenhouse gas emissions reduction and climate change adaptation. 5. To support the development of a carbon market.

EGAT’s Greenhouse Gas Reduction Targets

Indicator Report on EGAT Greenhouse Gas Reduction Performance at the Measure Level submitted to the Climate Change Office of the Ministry of Energy

million tons of Short-Term (2020) carbon dioxide 4 equivalent Target

Long-Term (2030) million tons of carbon dioxide 10 equivalent

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EGAT Greenhouse Gas Management Plan 2018-2030 EGAT has developed the EGAT Greenhouse Gas Management Plan 2018-2030 to set out guidelines to get its greenhouse gas management in line with national policies and strategies. The plan consists of the following four strategies :

Strategy 1 • Develop measures, projects, and plans related to greenhouse gas emissions Achieve the greenhouse gas reduction, as well as determining baselines and developing calculation emissions reductions needed methods to ensure all actions are moving in the same direction. to meet the organization’s • Reduce greenhouse gas emissions in accordance with EGAT's measures targets to achieve targets. • Promote in-house greenhouse gas reduction activities.

• Support personnel in developing their potential to carry out greenhouse gas Strategy 2 operations (according to hierarchy and participation levels). Build understanding, awareness, • Build consciousness and awareness about greenhouse gas management and participation among among stakeholders. stakeholders • Build a greenhouse gas management network together with power producers (IPPs and SPPs), service users (MEA, PEA, and direct customers), and government agencies involved in greenhouse gas management (ERC, TGO, ONEP, etc.).

Strategy 3 Become a focal organization • Build confidence as a leader in greenhouse gas for greenhouse gas emissions management in the power sector. reduction in the power sector

Strategy 4 • Drive research and development to tackling climate change problems. Research and • Develop communities around power plants so as to be ready to adapt to development and cope with climate change.

Greenhouse Gas Management Structure Greenhouse gas management within EGAT is under the supervision of the Greenhouse Gas Management Committee. The Committee is responsible for coordinating and supervising in-house activities to ensure efficient greenhouse gas management. The Greenhouse Gas Management Division is assigned to monitor and evaluate greenhouse gas management performance within the organization and collaborate with other internal units to achieve organization-wide greenhouse gas reductions.

Quantification of Greenhouse Gas Emissions Quantification of Direct and Indirect Greenhouse Gas improved and expanded the scope of ISO14064-1 : 2018 Emissions EGAT quantifies and reports its greenhouse gas reporting to cover operating activities conducted by emissions and removals in accordance with ISO14064-1 power plants, dams, and offices, and include inventories (Greenhouse Gases–Part 1 : Specification with Guidance at of greenhouse gas emissions and removals divided into the Organization Level for Quantification and Reporting three scopes. The emissions of greenhouse gases by of Greenhouse Gas Emissions and Removals). In 2019, it source are as follows :

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Greenhouse Gas Emissions by Source in 2019 in Compliance with ISO14064-1

1 Scope 1 Direct greenhouse gas emissions from activities conducted by organization. 31,058,869.00 Activity : Fuel combustion in power generation process, 31,239,074.05 organization vehicles, CO2 emissions from SO2 (FGD) removal process, and use of SF6 to quench the arc.

2 5,269.00 Scope 2 Indirect greenhouse gas emissions from 5,499.08 energy consumption. Activity : Consumption of purchased electricity.

3 294.00 Scope 3 Other indirect greenhouse gas emissions. 1,033.31 Activity : Paper use.

Total 31,064,432.00 2018 (tCO2e) 31,245,606.44 2019 (tCO2e)

Note : • Greenhouse gas emissions inventory for 2018 were verified and certified by the Management System Certification Institute (Thailand). • Greenhouse gas emissions inventory for 2019 are currently being verified. • Greenhouse gas emissions inventory for 2018 and 2019 are calculated using the Global Warming Potential Values 100 Years from the IPCC’s Fifth Assessment Report (AR5).

EGAT’s greenhouse gas emissions and removals were (CH4), nitrous oxide (N2O), perfluorocarbon (PFCs), quantified within the organizational boundary established hydrofluorocarbon (HFCs), and sulfur hexafluoride (SF6) under a controlled approach, covering the offices, mines, using the Global Warming Potential Values 100 Years and power plants that EGAT had operation control over. from the IPCC’s Fifth Assessment Report (AR5). The However, the quantification did not include greenhouse gas emission factors, assumptions, quantification methods, emissions and removals by plants or companies co-owned baselines, and reporting of greenhouse gas emissions but not controlled by EGAT. The greenhouse gases chosen and removals used in the assessment were in accordance for quantification were carbon dioxide (CO2), methane with the requirements of ISO14064-1.

Greenhouse Gas Emissions Intensity EGAT has calculated the intensity of greenhouse gas emissions per electricity generation (kgCO2/kWh) using the greenhouse gas emissions inventory (tCO2) (Scope 1 : Reporting the organization’s greenhouse gas emissions in compliance with ISO14064-1 from fuel combustion for power generation only, not including other activities) and net electricity generation data (MWh) according to the 2006 IPCC Guidelines for National Greenhouse Gas Inventories Volume 2 Energy. The greenhouse gas being assessed was carbon dioxide. In 2019, the intensity of greenhouse gas emissions per net electricity generation was as follows :

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Greenhouse Gas Emissions from Power Generation Compared Against Base Year

Year Emission Source Percentage Change 2018 2019 Natural gas combustion in the power generation process* 15,548,041.18 15,834,124.07 1.84% Coal combustion in the power generation process* 14,828,634.47 14,608,453.89 -1.48% Diesel combustion in the power generation process* 64,062.36 85,653.10 33.70% Fuel oil combustion in the power generation process* 24,246.96 79,300.11 227.05%

Total greenhouse gas emissions (tCO2e)* 30,464,984.97 30,607,531.17 0.47 Net electricity generation (kWh)** 61,515,095,799 63,316,402,601 2.93

CO2 Intensity (kgCO2e/kWh) 0.4952 0.4834 -2.39

Note : * Source : Scope 1 Greenhouse Gas Emissions from Fuel Combustion in 2018 and 2019, Report of Greenhouse Gas Emissions and Removals in 2018 and 2019 in Compliance with ISO14064-1 ** Source : Reports on Net Electricity Generation by Type of Power Plants 2018 and 2019, EGAT Power System Control Department (16 April 2020).

Greenhouse Gas Reduction Greenhouse Gas Reduction at the Measure Level No. 5 standard and labeling measure. The process of In 2019, EGAT collaborated with the Energy Policy and measure selection, determination of a base year, Planning Office (EPPO), Office of Natural Resources assumptions, calculation methods and measurements, and Environmental Policy and Planning (ONEP), and reporting, and verification (MRV) were under the Thailand Greenhouse Gas Management Organization Guidelines for Greenhouse Gas Reduction Assessment (TGO) to improve the assessment of greenhouse gas at the Measure Level for the Energy Sector, approved reduction at the measure level to cover both EGAT and by the Climate Change Office of the Ministry of Energy. independent power producers in response to national In 2019, EGAT verified and reported the results greenhouse gas mitigation plans. Three measures were of greenhouse gas reduction at the measure level selected for assessment, including the power generation for the three measures. Collectively, they reduced

from renewable energy measure, power generation 8,442,740 tCO2e of greenhouse gas emissions, as efficiency improvement measure, and energy efficiency shown in the table below :

Results of Greenhouse Gas Reduction under EGAT Greenhouse Gas Reduction Measures 2018-2019

4,004,926 Power generation from 3,514,222 Power generation efficiency 3,363,249 renewable energy measure 4,265,481 improvement measure

757,269 8,276,417 Energy efficiency No. 5 standard 2018 (tCO e) 814,010 and labeling measure Total 8,442,740 2 2019 (tCO2e)

Note : Greenhouse gas reduction is assessed using the grid emission factors for 2018.

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Greenhouse Gas Reduction at the Project Level EGAT has attempted to reduce greenhouse gases through various national and international projects. At the international level, EGAT has developed and implemented the Clean Development Mechanism Program (CDM), under which the following projects have been registered :

Clean Development Mechanism (CDM) 98,718 Unit : Projected Greenhouse Gas Reductions (CERs)* (tCO2/yr)

41,741 34,967 18,392 3,618

Project Thap Sakae Solar Chao Phraya Pasak Jolasid Mae Klong Total Power Plant Hydropower Plant Hydropower Plant Hydropower Plant

Note : • The projected greenhouse gas reductions are as indicated in the Project Design Document (PDD).

• The greenhouse gas being assessed was carbon dioxide (CO2).

At the national level, EGAT has developed and implemented the Thailand Voluntary Emission Reduction Program (T-VER), under which the following projects have been registered :

Thailand Voluntary Emission Reduction Program (T-VER) 167,370 Unit : Projected Greenhouse Gas Reductions (TVERs)* (tCO2/yr)

81,643

21,198 15,363 21,540 18,479 2,351 6,796

Project Naresuan Lamtakong Lam Rang Kwai Noi Khun Dan Lamtakong Kiew Kho Ma Total Hydropower Wind Turbine Chonlaprathan Bumrung Dan PraKarn Chon Wind Turbine Hydropower Plant Power Generation Hydropower Hydropower Hydropower Power Generation Plant Project 2×1.25 MW Plant Plant Plant Project 2×12 MW

Note : • The projected greenhouse gas reductions are as indicated in the Project Design Document (PDD).

• The greenhouse gas being assessed was carbon dioxide (CO2).

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In 2019, a total of 30,365 tCO2e of emission reductions from two projects was certified by the Thailand Greenhouse Gas Management Organization (Public Organization), as follows:

Certified Greenhouse Gas Emission Reductions from T-VER Program in 2019

Project Crediting Period Emission Reductions (tCO2e) Lamtakong Wind Turbine Power Generation 1 May 2018 - 30 April 2019 26,050 Project 2×12 MW Kiew Kho Ma Hydropower Plant 1 June 2018 - 31 March 2019 4,315

Greenhouse Gas Emissions Trading Thailand is currently preparing the Climate Change with the Thailand Greenhouse Gas Management Act, which will promote concrete greenhouse gas Organization (TGO), as the entity responsible for reductions within the country and set mechanisms such Thailand Voluntary Emission Trading Scheme (Thailand as an emissions trading system and guidelines for all V-ETS), to study the development of an ETS system relevant sectors. EGAT is paying close attention to this for the power sector in Thailand. The development matter and is prepared to support the implementation is expected to be completed in 2021. of the Climate Change Act. In 2019. EGAT has cooperated

Power Sector Greenhouse Gas Reduction Network In 2018, EGAT initiated a power sector network, greenhouse gas reductions in the power sector, which calling for both the public and private sectors to join enabled the greenhouse gas reductions of both EGAT forces to reduce greenhouse gas emissions to achieve and independent power producers to be assessed. national targets. Relevant organizations, including the As a result, the power sector has played an important Office of Natural Resources and Environmental Policy role in achieving the emission reduction target set and Planning (ONEP), Ministry of Natural Resources by the National Appropriate Mitigation Action (NAMA) and Environment, Energy Policy and Planning Office and will greatly contribute to Thailand’s efforts to (EPPO), Ministry of Energy, and Thailand Greenhouse achieve its Nationally Determined Contribution (NDC) Gas Management Organization (Public Organization), target by 2030. collaborated to develop guidelines for assessing

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Management of air pollutants EGAT has adopted strict measures for air quality 2. Stack sampling collects emission data, which is monitoring and control. Stack emissions data of sulfur collected from stacks twice a year to be a representative dioxide (SO2), oxides of nitrogen (NOx), and particulate of year-round emissions. The concentration and flow matter are collected at EGAT’s eight power plants rate data of NOx, SO2, PM, and O2 will be collected at the and used to calculate total annual emission (ton/year). power plant service of at least 80% of full load according EGAT collects two types of site-specific data, including to US EPA Code 40 App F. pollutants emission quantity data and power plant Based on the concentration data of NOx, SO2, and PM service hour data: obtained from the CEMS system and stack sampling, the 1. CEMS system installed at power plant stacks monitors annual pollutant emissions (ton/year) can be calculated continuous emissions from stacks during power plant by multiplying the concentration by % oxygen, flue gas service hours. The monitoring results are more reliable than flow rate (m3/s) at the time of measurement, and power those obtained from other sampling methods because plant service hours. the data is collected during power plant service hours. The sampling method complies with the standard of US.EPA.

E = C x (20.9% - O2) x Q x SH x 3.6 x 10-3 (20.9 - 7) s

E = Total Emissions (kg/year) %O2 = Percentage of flue gas excess oxygen (%) 3 3 C = Pollutants concentration (mg/m ) @ 7% excess O2, 25 °C, QS = Flue gas flow rate (m /sec) at actual O2, 25 °C, 760 mmHg, dry basis 760 mmHg, dry basis SH = Power plant service hours (hour/year)

In 2019, stack emission results met the standards used outdated production technology and had pollution under the notification of Ministry of Industry B.E 2547 control equipment that was less efficient than new power and the notification of Ministry of Natural Resources plants. EGAT has inspected the continuous emission and Environment B.E 2552. A comparison of 2018 and monitoring system (CEMS) of its eight power plants 2019 stack emissions found that air pollution emitted twice a year to ensure the accuracy of the results of air from EGAT’s power plants (ton/year) decreased in 2019, quality measurement. with SO2 decreased by 15 percent, NOx by 10 percent, There is no POP, VOC or HAP in stack emissions since and PM by 26 percent. This is because EGAT reduced they were not the composition of fuels used in EGAT’s the operating hours of its power plants by six percent power plants. EGAT also does not engage in the production, and disconnected expired power plants from the grid, importation, or exportation of any ozone-depleting including lignite-fired Mae Moh Power Plant Unit 4-7 substances. This is because in 1998 the Department (29 August 2019), natural gas-fuel oil Bang Pakong of Industrial Works set forth measures to control ozone- Thermal Power Plant Units 1 and 2 (emergency standby depleting substances by prohibiting the use of CFC-11 mode since 2014 and disconnected on 15 December and CFC-12, regulate the import of ozone-depleting 2019), and Wang Noi Power Plant Units 1 and 2 (31 substances, and abolish the use of CFC-13, CFC-14, December 2018). These decommissioned power plants CFC-15, methyl chloroform, and halon.

305-6, 305-7 Energy for stability and sustainability EGAT Sustainability Report 66 2019

Air pollutant emissions from EGAT’s power plants in 2019

ปริมาณความเข้มข้นมลสาร4/ Pollutant Emissions Power Generating Unit Fuel (ton/year) Plant 3/ 3/ 3/ SO2 Standard NOx Standard PM Standard SO2 NOx PM Mae Moh Thermal, Unit 41/ Lignite 16-201 320 194-405 500 4 180 1,329.82 2,263.46 17.16 Thermal, Unit 51/ Lignite 16-201 320 194-405 500 4 180 702.79 1,130.91 8.81 Thermal, Unit 61/ Lignite 30-165 320 253 -389 500 12 180 759.4 1,754.7 33.4 Thermal, Unit 8 Lignite 0-159 320 128-307 500 4-7 180 2,153.3 4,734.2 57.1 Thermal, Unit 9 Lignite 12-153 320 189-312 500 4-7 180 1,535.3 3,495.0 47.0 Thermal, Unit 10 Lignite 7-160 320 130-268 500 5-6 180 2,051.3 3,322.2 55.6 Thermal, Unit 11 Lignite 12-206 320 45-326 500 3-6 180 2,688.2 4,066.7 47.2 Thermal, Unit 12 Lignite 13-163 320 151-286 500 3-6 180 1,830.1 4,053.3 46.2 Thermal, Unit 13 Lignite 14-178 320 111-288 500 2-8 180 2,275.9 3,506.8 49.2 Replacement of Lignite 13-81 180 8-98 200 2-7 80 832.9 1,165.0 24.8 Unit 4-7 2/ Bang Thermal, Unit 3 Natural gas 0.41-1 320 67-150 200 2-4 120 18.0 1,271.9 22.7 Pakong and crude palm oil Thermal, Unit 4 Natural gas 1-2 320 113-129 200 2-3 120 1.1 71.2 0.6 Combined-cycle, Natural gas 0.04-1 60 172-192 230 6-14 60 0.1 27.7 0.9 Block 4 Combined-cycle, Natural gas 0.04-1 20 29-52 120 3-4 60 3.2 1,154.5 47.6 Block 5 Krabi Thermal, Unit 1 Fuel oil 10-79 450 94-104 180 22-24 120 112.4 153.9 19.0 Southern Combined-cycle, Natural gas 0 60 11-33 175 1-6 60 0.0 70.5 5.6 Bangkok Block 2 Combined-cycle, Natural gas 0-1 20 54-64 120 1-6 60 18.1 2,165.2 72.9 Block 3 Wang Noi Combined-cycle, Natural gas 0.04-1 60 97-101 175 4-7 60 0.4 123.3 3.9 Block 3 Combined-cycle, Natural gas 0.04-0.44 20 17-21 120 2-3 60 11.3 605.1 37.0 Block 4 Nam Phong Combined-cycle, Natural gas 3-5 60 215-234 250 5-6 60 95.8 3,633.1 46.7 Block 1 Combined-cycle, Natural gas 3-5 60 197-230 250 4-7 60 92.6 3,606.9 51.6 Block 2 Chana Combined-cycle, Natural gas 0.04-1 20 28-35 120 3-6 60 6.1 716.7 47.4 Block 1 Combined-cycle, Natural gas 0.19-0.43 20 10-12 120 1-5 60 17.4 385.6 52.2 Block 2 Combined-cycle, Diesel 0.80 260 120.05 180 7.20 120 0.5 52.5 1.7 Block 2 North Combined-cycle, Natural gas 0.04-0.60 20 36-44 120 1-4 60 15.3 1,195.4 35.9 Bangkok Block 1 Combined-cycle, Natural gas 0.07-0.13 20 5-9 120 1-4 60 4.5 225.3 41.3 Block 2

Notes 1/ Mae Moh power plant units 4-7 decommissioned on 29 August 2019 and Mae Moh power plant unit 7 is in reserve shutdown status. 2/ Replacement of Mae Moh power plant units 4-7 brought to commercial operation (COD) on 29 August 2019 3/ The standards under the notification of Ministry of Industry B.E 2547 and the notification of Ministry of Natural Resources and Environment B.E 2552

4/ 3 SO2 and NOX (Part per million : ppm), Particulate Matter (mg/m )

305-7 EGAT Sustainability Report Energy for stability and sustainability 2019 67 Biodiversity

EGAT conducts a study of a project area and its • Focus the reforestation program in the watershed surroundings to assess the ecological impact before Class 1B area and degraded forest area in the National Forest implementing a project. One such project is the Reserve. After planting, tree survival rate is monitored Lamtakong Wind Turbine Power Plant Project Phase 2, and replanting happens immediately after the trees die. as detailed below. • Conduct a five-year participatory research project to study the project’s impact on wildlife. Project Area The Lamtakong Wind Turbine Power Plant Project Phase 2 extends over a mountain ridge Plants and Animals A survey of the project area in Ban Khao Yai Thiang Nuea, Klong Phai Sub-district, identifies Class A forbidden tree species protected by Sikhiu District and a forest area in Nong Sarai Subdistrict, the Royal Decree on Prescribing of Forbidden Trees Pak Chong District, Nakhon Ratchasima Province. The B.E. 2530, including the lanete tree, the Catechu tree, the project covers an area of 160,256 square meters. It consists Mempat tree, Indian Laurel, and velvet tamarind. No rare of 12 wind turbines, situated in watershed Class 1B and and endangered plant species listed in the Thailand Red national reserved forest area of Khao Tian-Khao Khuean Data compiled by the Office of Natural Resources and Lan and Pak Chong-Mu Si. Environmental Policy and Planning (ONEP 2006) and Red The project area has moderate ecological value with List of Endemic and Rare Plants in Thailand (Department no or slight disturbance. Plant species present in the of National Parks, Wildlife and Plant Conservation 2005) project area are diverse and have the ability to reproduce have been found in the project area. and regenerate naturally. Moreover, two protected wild mammals under the Wildlife Preservation and Protection Act B.E. 2535 and Ecological Impact The Lamtakong Wind Turbine the Announcement of Additional Protected Wildlife Power Plant Project Phase 2 will use wind energy to Species Permitted for Captive Breeding B.E. 2546 generate electricity and will not emit pollutants into the have been found in the project area. They are the hill environment. The project is currently under construction. long-tongued fruit bat and the small Indian mongoose. As the construction takes place in a reclaimed forest The survey has also discovered 59 bird species (e.g., the area, no impact on forest resources is expected. Wildlife Chinese pond heron, the crested serpent eagle, and the resources in the project areas mostly consist of endemic collared scops owl), four reptile species (the Oriental wild animals that can adapt to changing environments. garden lizard, the red-headed lizard, the Bengal monitor, However, birds and bats may be affected by collision and the Indochinese rat snake), and one amphibian with wind turbine blades. Large and migratory birds species (the flat-headed toad). Animals listed in the have a higher risk of flying into turbine blades, but they Thailand Red Data compiled by the Office of Natural have not been found in the project area. Bats use sound Resources and Environmental Policy and Planning and waves to hunt for prey at night and will not be affected IUCN Red List of Threatened Species are as follows : by the project’s sound frequency. In addition, the project Thailand Red Data No wild animals listed in the has adopted and strictly complied with environmental Thailand Red Data have been found in the project area. preventive and corrective measures in relation to forest IUCN Red List of Threatened Species The survey has and wildlife resources, as follows : found mammals and birds classified as Least Concern • Implement a reforestation program to restore the in the IUCN Red List of Threatened Species. The reptile forest and ecosystem in the project area, focusing on and amphibian species found in the project area have growing plants that provide food and habitat for wild not yet been evaluated against the IUCN Red List criteria. animals.

103-1, 103-2, 103-3, 304-1, 304-2, 304-4 Energy for stability and sustainability EGAT Sustainability Report 68 2019

Conservation or Rehabilitation Area EGAT has recognized the importance of rehabilitating 3) Limestone mine rehabilitation area : one area conserved forests to maintain a natural balance. In 2019, (added in 2019). EGAT monitored the quality of forest resources around 4) Natural forest area : one area (added in 2019). the Mae Moh Lignite and Limestone Mine. In operating a lignite and limestone mine in Mae Moh Study Methods Study plant community around District, EGAT cut down or cleared trees in the mining the Mae Moh Lignite and Limestone Mine using 20x40 claim before it begins mining lignite and limestone. As this square meter trial plots to measure tree growth rate in mining process disrupts the existing natural resources, post-mining areas, and Study carbon storage in the plant EGAT is committed to reforesting and rehabilitating community by assessing biomass content of trees in the post-mining areas in compliance with concession terms trial plots using the allometric equation recommended and conditions. It has implemented a reforestation by Ogawa et.al. (1967) for deciduous mixed forests. program in six areas since 1982 and continuously monitored plant community changes and bioproducts deriving from Implementation In 2019, EGAT’s efforts to rehabilitate reforestation since 2007. In 2019, a reforestation program post-mining areas in compliance with concession terms was carried out in two additional areas, adding up to and conditions involved growing 32,865 trees, monitoring a total of eight areas, as follows : forest resources, and analyzing biomass content as

1) Concession Nos. 3-6/2530 and 30-46/2535 : follows. The success of the project is jointly evaluated Four areas including NW Dump, Ash Dump, SW Dump, by the Office of Primary Industries and Mines Region 3, and adjacent intact area. Chiang Mai, Department of Primary Industries and Mines, 2) Concession Nos. 24394-24404/14602-14612 : and Mass Relations Committee for Lignite and Limestone Two areas including a golf course and NE Dump. Mining Project.

Rehabilitation of Forest Resources in 1982-2019

Year Reforest Area (rai) Intermediate Area Number of Trees Planted (tree) 1982 66 - 17,350 1983 145 - 50,050 1984 258 - 48,950 1985 128 - 19,000 1986 40 - 15,000 1987 115 - 11,500 1988 100 - 15,000 1989 50 - 5,000 1990 0 - 4,600 1991 100 - 16,000 1992 20 - 10,850 1993 413 - 44,374 1994 538 - 34,235 1995 629 - 93,731 1996 760 - 107,735 1997 874 - 141,361 1998 338 - 39,439 1999 548 - 105,300 2000 832 - 171,298

103-1, 103-2, 103-3, 304-3, EU13 EGAT Sustainability Report Energy for stability and sustainability 2019 69 Year Reforest Area (rai) Intermediate Area Number of Trees Planted (tree) 2001 428 - 85,600 2002 231 - 45,736 2003 756 - 150,144 2004 587 - 112,666 2005 219 - 39,660 2006 136 - 27,200 2007 232 - 46,400 2008 579 - 102,602 2009 526 - 103,400 2010 314.5 2,447 46,000 2011 257 500 55,180 2012 157 1,556 26,690 2013 430 2,280 11,400 2014 186 3,100 29,600 2015 255 1,856 37,900 2016 193 1,322 30,750 2017 35.5 3,295 4,800 2018 226.125 712.125 41,903 2019 134.5 1,010 32,865 Total 11,836.63 18,078 1,981,269

Monitoring of Forest Resources in 2019

Monitoring Area Plant Species Identified 1. NW Dump Monkey pod tree, Cassod tree, Lagerstroemia venusta Wall. ex C.B. Clarke, teak, Combretum quadrangulare Kurz, Kalamona, Thai crape myrtle, Pride of India, and jujube tree. (Notable plant species in the trial plot is the monkey pod tree.) 2. Ash Dump Teak, Cassod tree, tamarind tree, neem tree, lead tree, earleaf acacia, Cutch tree, Madras Thorn, Combretum quadrangulare Kurz, and Indian elm. (Notable plant species in the trial plot is teak.) 3. SW Dump Casuarina junghuhniana Miq., Cassod tree, Madras Thorn, lead tree, Kalamona, and Thai crape myrtle. (Notable plant species in the trial plot is Casuarina junghuhniana Miq.) 4. Adjacent Intact Area Harrisonia perforata (Blanco) Merr., Millettia leucantha, jackal jujube tree, Eriolaena candollei Wall., Thai crape myrtle, creeping woodsorrel, Lagerstroemia cochinchinensis Pierre, Cratoxylum cochinchinense, lime berry, Dolichandrone serrulata (Wall. ex DC.) Seem, Bhesa robusta (Roxb.) Ding Hou, Croton oblongifolius Roxb, Combretum punctatum Blume., Annonaceae, Bombax anceps Pierre, Canarium subulatum Guill., and Mitrephora vandaeflora Kurz. (Notable plant species in the trial plot is Harrisonia perforata (Blanco) Merr.) 5. Golf Course Royal poinciana, neem tree, ebony tree, orchid tree, and Lagerstroemia venusta Wall. ex C.B. Clarke. (Notable plant species in the trial plot is royal poinciana.) 6. NE Dump Teak, Cassod tree, Madras Thorn, lead tree, golden shower tree, Indian elm, Combretum quadrangulare Kurz, Cutch tree, and Annonaceae. (Notable plant species in the trial plot is teak.) 7. Limestone Mine Java plum tree, Cassod tree, Cutch tree, Gamari, Calabura, lead tree, lebbek tree, teak, Croton oblongifolius Rehabilitation Area Roxb, and Indian elm. (Notable plant species in the trial plot is Java plum tree.) 8. Natural Forest Area Cananga latifolia (Hook.f. & Thomson) Finet & Gagnep., Lagerstroemia venusta Wall.ex C. B. Clarke, Alangium salviifolium Wang., Holarrhena pubescens, Burma padauk, jackal jujube tree, Indian trumpet flower, Vitex canescens Kurz, Terminalia bellirica, teak, Casearia grewiaefolia Vent., Ivru wood, Microcos tomentosa Sm., Annonaceae, Albizia odoratissima (L.f.) Benth., Golden shower tree, Morinda coreia Buch.-Ham., Eriolaena candollei Wall., Dolichandrone serrulata (Wall. ex DC.) Seem., Combretum punctatum Blume., bastard teak, Cansjera rheedei J.F.Gmel., and Fagraea ceilanica Thunb. (Notable plant species in the trial plot is Cananga latifolia (Hook.f. & Thomson) Finet & Gagnep.)

103-3, 304-3, EU13 Energy for stability and sustainability EGAT Sustainability Report 70 2019

Biomass Content, Carbon Content, and Carbon Dioxide Content in Tree Biomass and Organic Matter Collected from Trial Plots in 2019 Monitoring Area 9.42 0.64 4.24 NW Dump 0.29 1.06 15.54 1.00 16.01 Ash Dump 0.45 7.21 1.65 26.42 0.98 26.67 SW Dump 12.00 0.44 44.01 1.61 8.63 0.52 Adjacent 3.88 Intact 0.23 14.24 Area 0.85 0.73 19.34 8.70 0.33 Golf Course 31.92 1.21 15.69 0.82 7.06 NE Dump 0.37 25.89 1.36 Tree Biomass (ton/rai) 2.30 Organic Matter (ton/rai) Limestone Mine 0.93 1.03 Carbon Content (ton/rai) Rehabilitation 0.42 3.79 Tree Biomass Area 1.53 Organic Matter 7.98 Carbon Dioxide Content (ton/rai) 0.66 Natural 3.59 Tree Biomass Forest Area 0.30 13.16 Organic Matter 1.09

Comparing biomass contents between 2007-2019

25

20

(ton/rai) 15

10

Biomass content content Biomass 5

0 1 2 3 4 5 6 7 8 Trial Plot 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

103-3, 304-3, EU13 EGAT Sustainability Report Energy for stability and sustainability 2019 71 Effluents and Waste

EGAT categorizes and sorts waste produced from its operation activities to ensure that waste in each category is disposed of properly, according to the principles of sustainable waste management, or recovered or recycled in strict compliance with relevant laws, as follows :

Waste Category Definition Disposal Method 1. General waste Waste that does not easily degrade naturally and it is not cost-effective to recover or recycle through industrial process. This type of waste is divided into : • Waste from consumption activities Transported by garbage truck to be disposed of in sanitary landfills by local authorities. • Waste from plant operations Sent to be disposed of by agencies authorized by the Department of Industrial Works. 2. Biodegradable Waste that degrades naturally and/or can be composted, Collected in containers to be used as animal feed waste such as food, vegetable, and fruit scraps, and leaves. or to make compost. 3. Recycled waste Waste that can be recovered as new products through industrial recycling process. This type of waste includes metal, glass, plastic, paper, and wood scraps. • Waste from consumption activities Sorted and sent for recycling by local authorities or companies authorized by local authorities. • Waste from plant operations Sent to be disposed of by agencies authorized by the Department of Industrial Works. 4. Hazardous waste Waste that has a hazardous component or is contaminated Sent to be disposed of by agencies authorized with hazardous substances or has dangerous properties. by the Department of Industrial Works, with a uniform hazardous waste manifest system. Infectious waste from medical facilities Sent to qualified hospitals for safe disposal.

Hazardous waste will be transported from power plants by agencies authorized by the Department of Industrial Works in strict compliance with relevant laws, and a uniform hazardous waste manifest must be submitted for every transport. In 2019, EGAT did not transport hazardous waste across borders, and no leakage of oil, fuel, waste, chemicals or other substances was reported.

Waste in 2019

Operating Hazardous waste (Ton) Non-hazardous waste (Ton) Com- Incine- On-site Com- Incine- On-site Site Recycling posting ration Landfill storage Other Recycling posting ration Landfill storage Other Thermal and 101.13 - 227.68 3,651,378.16 60.00 1,211,642.01 11.88 - - 105,632.64 - 28,675.45 combined- cycle power plants Hydropower 2.00 5.00 - - 76.13 22,226.95 32,401.00 6.70 - 179,001.60 100.00 437.83 plants Head Office ------934.919 Mae Moh ------417.352 mine Total 103.13 5.00 227.68 3,651,378.16 136.13 1,233,868.96 32,412.88 6.70 - 284,634.24 100.00 30,465.55

103-1, 103-2, 103-3, 306-2, 306-3, 306-4 SA ERRAE EGAT Sustainability Report Energy for stability and sustainability 2019 73 Labor Practices

Employment EGAT believes that employees are key to driving EGAT has improved its organizational structure and the organization toward sustainable growth. Therefore, workforce to ensure the highest efficiency of human it focuses its human resource management on developing resource management. It uses internal recruitment and employee competency, integrity, happiness, and sense of transfers to fill roles in its business and employs proactive belonging in line with the State Enterprise Labor Relations recruitment by providing scholarships to third-year Act, Occupational Safety, Health, and Environment Act, undergraduate students studying in fields related to EGAT's and human rights principles. Steps are also taken to strategy. Furthermore, EGAT has established the Comment ensure that the recruitment process is fair, transparent, Center to allow employees and workers, as well as all external s accountable, and without discrimination. takeholders, to send comments and complaints via EGAT’s website. The center will handle comments and complaints to the satisfaction of all stakeholders concerned.

Total number of employees hires by type, age group and gender

Permanent and probationary employee (person) Contract employee (person) Age Total group Central Provincial Central Provincial (person) (year) Male Female Total Male Female Total Male Female Total Male Female Total 20-30 1,136 761 1,897 1,457 344 1,801 17 1 18 88 1 89 3,805 31-40 1,152 722 1,874 1,582 305 1,887 113 6 119 315 3 318 4,198 41-50 798 566 1,364 1,189 229 1,418 77 5 82 109 2 111 2,975 51-60 2,015 1,060 3,075 3,992 726 4,718 32 12 44 28 7 35 7,872 Total 5,101 3,109 8,210 8,220 1,604 9,824 239 24 263 540 13 553 18,850

Total number and rate of employees hires by age group, gender and region

Age Permanent and probationary employee (person) Contract employee (person) Total group Central Provincial Central Provincial (person) (year) Male % Female % Total % Male % Female % Total % Male % Female % Total % Male % Female % Total % Total % 20-30 8 0.04 1 0.01 9 0.05 0 0.00 1 0.01 1 0.01 0 0.00 0 0.00 0 0.00 18 0.10 0 0.00 18 0.10 28 0.15 31-40 0 0.00 1 0.01 1 0.01 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 19 0.10 0 0.00 19 0.10 20 0.11 41-50 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 51-60 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 Total 8 0.04 2 0.01 10 0.05 0 0.00 1 0.01 1 0.01 0 0.00 0 0.00 0 0.00 37 0.20 0 0.00 37 0.20 48 0.25 SA Total number and rate of employees turnover by age group, gender and region Age Permanent and probationary employee (person) Contract employee (person) Total group Central Provincial Central Provincial (person) ERRAE (year) Male % Female % Total % Male % Female % Total % Male % Female % Total % Male % Female % Total % Total % 20-30 21 0.11 17 0.09 38 0.20 16 0.08 2 0.01 18 0.10 0 0.00 0 0.00 0 0.00 2 0.01 0 0.00 2 0.01 58 0.31 31-40 1 0.01 8 0.04 9 0.05 6 0.03 1 0.01 7 0.04 0 0.00 0 0.00 0 0.00 1 0.01 0 0.00 1 0.01 17 0.9 41-50 2 0.01 0 0.00 2 0.01 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 2 0.01 51-60 1 0.01 1 0.01 2 0.01 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 0 0.00 2 0.01 Total 25 0.13 26 0.14 51 0.27 22 0.12 3 0.02 25 0.13 0 0.00 0 0.00 0 0.00 3 0.02 0 0.00 3 0.02 79 0.42

102-7, 102-8, 103-1, 103-2, 103-3, 401-1 Energy for stability and sustainability EGAT Sustainability Report 74 2019

Total number and rate of employees eligible to retire in the next 5 to 10 years

Next 5 years Next 10 years Total Job category Central Provincial Central Provincial employee % (person) % (person) % (person) % (person) % (person) Employee • Engineer 277 1.36 226 1.11 396 1.94 382 1.87 1,281 6.28 • Technician 443 2.17 1,370 6.72 485 2.38 1,447 7.10 3,745 18.37 • Other 1,019 5.00 1,130 5.54 744 3.65 506 2.48 3,399 16.67 Total (employee) 1,739 8.53 2,726 13.37 1,625 7.97 2,335 11.46 8,425 41.33 Contract employee • Worker 3 0.01 6 0.03 3 0.01 8 0.04 20 0.10 • Skilled Worker - - 1 0.00 - - 3 0.01 4 0.02 • Messenger 5 0.02 - - 5 0.02 - - 10 0.05 • Machinery operator 1 0.00 3 0.01 4 0.02 7 0.03 15 0.07 • Vehicle driver 11 0.05 5 0.02 15 0.07 7 0.03 38 0.19 • Security guard 3 0.01 - - 2 0.01 - - 5 0.02 Total (contract employee) 23 0.11 15 0.07 29 0.14 25 0.12 92 0.45 Total 1,762 8.64 2,741 13.45 1,654 8.11 2,360 11.58 8,517 41.78

Notes 1. Retirement of a contract employee means end of an employment contract period. 2. Assumption for assessing eligibility of employees to retire over the next 5 and 10 year periods are based on EGAT Regulation No. 353 concerning personnel, section 7 termination of employment, and EGAT Rule No. 93 concerning employment, section 1 general provisions, clause 7 that defines that EGAT employee must not be older than 60 years of age.

In addition to core activities such as power plant working day of contractor and subcontractor employee operation and transmission system operation, which in strip mining at a lignite coal mine in Mae Moh District, are carried out by EGAT employees, EGAT also hires Lampang, and maintenance service are 365 and 4,630 contractors and/or subcontractors to perform other days respectively, and a 100 percent of these employees tasks such as mining and maintenance. In 2019, total received health and safety training.

Welfare and Benefits EGAT provides welfare benefits to all employees. machine operation, special allowance for work at height, While some benefits cover the employee’s family, such and risk allowance for officials in the three southern as a medical allowance, some benefits are offered for border provinces. Some important welfare and benefits specific duties or tasks, such as a special allowance for are as follows :

401-2, EU15, EU17, EU18 EGAT Sustainability Report Energy for stability and sustainability 2019 75

Employee No. Welfare and Benefits High-ranking executive Executive Practitioner 1. Travel allowance for work in the country 2. Accommodation allowance when travelling for work in the country 3. Loans, such as emergency loans and children's education loans 4. Housing allowance 5. Provident fund 6. Medical allowance in EGAT’s medical facilities (*) 7. Overtime pay and holiday pay 8. Uniform 9. Allowance or reward for high-risk jobs (**) 10. Special allowance for specific duties or tasks such as underwater operations and welding craftsmanship 11. Risk allowance and accident insurance for officials in the southern border provinces (***) 12. Special reward/vacation leave for officials in the southern border provinces (***)

Notes (*) Covers the employee’s family ; (**) For specific duties or tasks ; (***) For high-risk areas O means welfare and benefits provided ; X means welfare and benefits not provided.

EGAT regularly improves its welfare and benefit activities. There are four types of clubs : religious clubs, programs to ensure that employees are provided with senior clubs, entertainment and hobby clubs, and sports fair and appropriate welfare and benefits, safety, and clubs at both the EGAT central administration area and quality of life. Furthermore, EGAT sets rules for welfare and regional offices. benefits in the terms of reference and service contracts, and requires that outsourced contractors strictly comply As per EGAT Regulation No. 99 on Leave, Day Off, with the Labor Protection Law and Social Security Act. and Absence from Work, EGAT’s female employees are entitled to maternity leave of not more than 90 working EGAT also satisfies the social needs of employees days, with 75 days of paid leave and unpaid parental leave through such activities as EGAT Family’s Day and Sports of up to 150 working days immediately after the end of Day. Various clubs are established to meet the needs maternity leave. EGAT has also given male employees of employees. These clubs are managed by the Sports, the right to take parental leave of up to 15 working days Entertainment, and Hobby Management Committee, for each confinement of his legal spouse. which provides locations and budgets to support club

Male Total Female Parental leave Total number of employees entitled to parental leave 14,102 18,855 4,753 Total number of employees took parental leave in 2019 0 47 47 Total number of employees returned to work after parental leave ended 0 47 47 Total number of employees returned to work after parental leave ended 0 47 47 that were still employed 12 months after their return to work Return to work rate 0 100% 100% Retention rate 0 100% 100%

401-2, 401-3, EU15, EU17, EU18 Energy for stability and sustainability EGAT Sustainability Report 76 2019

Labor Relations EGAT promotes employee participation and from management, and nine from the EGAT Labor Union. engagement. Because EGAT is a large corporation with It was established to promote mutual understanding a large number of employees working in the central between employees and management, monitor collective administration and regional areas, it places importance bargaining, employee benefits, and complaints, and on the principles of human rights and promotes the consider the appropriateness of the organization’s welfare establishment of employee organizations to collectively program. It also supports and develops labor relations bargain in accordance with the State Enterprise Labor activities to create a harmonious workplace, and improves Relations Act B.E. 2543. One such organization is the work regulations. Labor Union of the Electricity Generating Authority of Thailand (EGAT Labor Union), which aims to promote The collective bargaining agreement between EGAT good relationships between employees and executives, and the EGAT Labor Union is generally made when protect employee interests relating to collective the EGAT Labor Union files a specific claim. Then, bargaining, and collaborate with EGAT to create efficiency a negotiation takes place until a mutual agreement and protect the organization’s interests. At present, the is reached. The collective bargaining agreement EGAT Labor Union has 13,785 members or 73.13 percent applies to all employees (100%) in the organization. of the total number of employees (18,850 employees). In the event of a change in operations, EGAT will notify Another organization is the EGAT Relations Committee, and provide information in advance within a reasonable a bilateral committee consisting of nine representatives time period.

Performance Appraisal Employee performance appraisal is based on key are used to support a consideration of remuneration, performance indicators (KPIs), which include individual appointment, and personnel development. EGAT behavior indicators, accounting for 30% of the overall requires that the performance appraisal be conducted appraisal score, and a set of goals and objectives agreed for every employee, and that men and women be given upon by subordinates and superiors, accounting for equal salary and remuneration rates according to their 70% of the overall appraisal score. The appraisal results positions and duties.

Personnel Development EGAT is facing external challenges, especially rapid EGAT provided 44 scholarships to its employees to further technological change. In response, it has adjusted and their education in managerial and technical fields. The revised its vision, mission, core values, and strategies, scholarships were divided into 17 new scholarships and as well as its organizational structure and operating 27 continuing scholarships. Moreover, it granted study models under the new mission, focusing on incorporating leave to 27 employees to pursue further studies using innovation into corporate culture to prepare the organization private funds or funds they have personally acquired. to keep up with global changes. The academic progress of the scholarship employees was monitored and an evaluation was carried out to EGAT has developed its personnel development plan assess how the programs they studied were related and allocated a budget for developing target employees to EGAT’s strategies, their risk, and their necessity to in technical, managerial, and leadership areas in hopes of the organization. EGAT also followed up on how the helping employees acquire the knowledge, skills, abilities, scholarship recipients have applied their knowledge and and mindset needed to perform their jobs and support used the follow-up results to improve the scholarship the undertakings that will take place in the future. In 2019, program.

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Senior executive (Level 12 or higher) Total and average training hour per employee Male Senior executive (Level 8-11) per year by gender and employee category Female Practitioner level (lower than level 8)

Total training hour per employee per year Average training hour per employee per year

16,734 150.76 3,441 137.64 143,898 36.19 2019 2019 71,175 44.29 341,214 33.98 119,025 38.19

10,794 90.71 2,190 87.60 129,672 30.74 2018 2018 54,750 32.69 382,566 34.93 134,436 40.06

13,443 67.89 2,913 80.92 210,015 35.43 2017 2017 99,486 45.41 457,239 36.24 178,194 47.49

10,782 97.14 2,442 97.68 183,060 46.04 2016 2016 87,948 54.73 410,718 40.90 169,698 54.44

19,554 176.16 2,172 86.88 195,930 49.28 2015 2015 94,410 58.75 462,306 46.04 168,378 54.02

Year Year

404-1 Energy for stability and sustainability EGAT Sustainability Report 78 2019

Skill Enhancement and Development Programs

Preparedness for Changes and Future Missions : Skill Development for Executives Normalization Project, Electricity Market and Trading (EMT) • Transformational Leadership Course is offered Course, and PURC Advanced International Practices to level 12-14 executives to help executives broaden Program–Energy Pricing. their perspectives and share their thoughts on the role of transformational leaders. It will also help executives Digital Skills and Competency Development Training to build relationships and networks to increase their • Digital Strategy for Executives Course aims to work efficiency and drive EGAT toward becoming a help executives understand the concepts of digital high-performance organization. transformation, big data, and artificial intelligence in the organization. The course will open executives to • Successor and Talent Development : Thailand’s new opportunities and challenges in organizational Future Energy Leader Program is offered to level 10 management planning and enable them to make the most executives to prepare them to develop into well-rounded of the digital technologies available to solve problems leaders who can keep up with rapidly changing situations and develop the organization. and the energy industry, both at the regional and global levels. The program will help them to improve their • Artificial Intelligence and Deep Learning Course strategic management and leadership skills in order aims to enhance employee understanding of AI principles, to support EGAT’s operations that involve internal and machine learning, deep learning, data science, and their external collaboration building. The Innovative Skills for business applications. Internet of Things for Business Sustainable Development Course is also offered to level Course will enable employees to apply IoT technology 10 executives to enhance their innovation and creative to reduce production costs, improve the quality of their skills for sustainable development and enable them to performance, provide better products and services to create conceptual ideas that can lead to intellectual customers, and increase their competitiveness. properties to develop the organization.

• Digital Literacy Course is offered by Thailand Workplace Readiness and Placement Program : Professional Qualification Institute (public organization) Group Project Coaching for level 4-7 talent employees aiming to help employees improve their digital literacy and Integrated Business Leadership for levels 6-7 division and skills. or section chief or acting chief.

• Power Plant Computer Control System Security : EGAT Transformation : Growth Mindset and Open Application of Buffer Zones in Power Plants Course aims Innovation and Business Models Courses were offered to enable buffer zone controllers to care for and maintain to new officers in 2018. In the age of technological and buffer zones to ensure they can function at full efficiency innovation changes, creative skill development and and connect computer control system data to external opportunities for everyone in the organization to develop systems as required by cyber and information security their ideas into business innovations are important factors standards. to drive the organization toward sustainable growth.

• GIS Skills : GIS for Beginner Course and GIS for Executives Course.

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Retirement Coaching : Final Orientation Special officers through basic courses, such as Basic Mechanical Lecture : A Must-Know for Retirees was intended for Maintenance and Basic Electrical Maintenance. They also employees who would be retiring in 2019. The lecture provide training for support officers in the transmission provided knowledge about financial management and line, substation, power control system, power control & welfare benefits to prepare retirees for retired life. Fit Body, protection system, and communication system fields. Fine Mind, Firm Money Program is offered to employees aged 40, 45, 50, and 55 to develop them to become good, Training Collaboration : Examples of this program are capable, and quality people in all dimensions. the collaborative project between EGAT and Chiang Mai University and collaboration between EGAT, Petroleum Employee Skill Promotion Program or Process : Theses Institute of Thailand (PTIT), and Kasetsart University to programs or processes are intended to systematically organize fuel trading training for officers. develop machine operators and power plant maintenance

404-2 Energy for stability and sustainability EGAT Sustainability Report 80 2019 Occupational Health and Safety

EGAT manages occupational health, safety, and internal certification body. The Verified Group consists environment to control risks and minimize damage to of engineering, construction, transportation, service, people, property, and production process effectively. survey, system control, communication, supplies, medicine In addition to complying with relevant laws, standards, and hygiene, and safety, which must be assessed to rules, regulations, and requirements, EGAT has taken verify that their safety management is in compliance the following actions. with the rules, procedures, and conditions set by the Safety Department. The Monitored Group consists of • Adopted the occupational health, safety, and office management and support units, which must be environment policy, standards, and management system monitored and randomly assessed to ensure that their (EGAT QSHE). safety management is in compliance with the rules, procedures, and conditions set by the Safety Department. • Set up the Occupational Health, Safety and EGAT also identifies dangers, assesses risks, and control Environment Committee, consisting of representatives dangers to group employees based on associated risks from management and non-management to consider and occupational illnesses. For example, employees policies, plans, and training plans pertaining to with high-risk jobs must undergo proactive supervision occupational health, safety, and environment, put an such as safety training and safety checks and passive unsafe condition reporting system in place, monitor measures, such as risk-based health checkups and use operation progress, and support safety activities. EGAT of safety protection equipment. High-risk jobs include has 29 Occupational Health, Safety and Environment underwater operation, working in a confined space, Committees, which are site-level committees, located at and jobs with risk of exposure to hazardous chemicals. the headquarters, power plants, dams, mines, and high Employees with low-risk jobs, such as finance, accounting, voltage substations. supplies, and procurement, will undergo appropriate supervision, such as training, annual health checkup, • Provide support resources to achieve sustainable and general health monitoring. quality, safety, health, and environmental management practices. It also encourages its employees at all levels • Provide personal protective equipment to all to develop their knowledge, skills, and mindset related employees appropriate for the nature of the work as to quality, safety, health, and environment required by laws, at least 1 annual checkup and special health checkups to monitor illness associated with the • Conduct an evaluation of occupational health, work. In the event of a work-related injury or illness, safety, and environment management performance in its employees will receive compensation and reimbursement internal units, which are divided into three groups based of medical expenses for treatment at public or private on associated risks. The Certified Group consists of power hospitals, as well as coverage in accordance with EGAT plants, mines, maintenance, and regional operations, regulations and the rules of the State Enterprise Labor which must be audited for ISO45001 certification by an Relations Committee.

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Work related accident and injury rate 2019 (person) Accident and injury 2018 (person) 92 2017 (person) 80 84 2016 (person) 71 64 65 67 54

27 14 14 14 0 2 0 0 3 1 0 0 Accident Absent from work Not absent from work Death Pending case

Frequency Rate 0.884 0.44 0.63 0.47 0.066 0.177 0.125 0.126 Disabling Injury incident Rate of Non-Fatal Frequency Rate-IFR Occupational Injuries and Illness-IR

Severity Rate 331.55

12.568 7.59 3.73 0.011 0.14 0.005 0.001 Disabling Injury Disabling Injury Severity Rate-ISR Index-DII

In addition, EGAT has issued EGAT Regulation No. 396 the contract. Such information may include a safety on Contractor Safety Management to provide contractor training certificate, license as required by law, and safety safety rules in line with occupational health, safety, plan describing occupational safety training. Moreover, and environment standards of EGAT and occupational contractors are required to provide and ensure that their health, safety, and environmental laws. The Regulation employees wear standard personal protective equipment. comprises five sections, including contractor selection, Contractor’s employees have a duty to wear and maintain pre-contract management, contract management, personal protective equipment throughout the contract delivery, work acceptance, and performance appraisals period. If a contractor’s employee fails to wear personal and reporting. It covers activities such as determining protective equipment, the employer or the contractor’s safety criteria for contractors as part of term of reference superintendent shall suspend that employee from working (TOR). Contractors are required to submit information until he wears personal protective equipment. about their safety practices before starting work under

103-2, 103-3, 403-2 Energy for stability and sustainability EGAT Sustainability Report 82 2019 Local Communities

Communities are one of EGAT’s major groups of stakeholders. EGAT has therefore taken steps to engage with the neighboring communities in all its operating areas, in the context of community engagement, impact assessments and community development projects.

EGAT organizes a public hearing to allow stakeholders and communities affected by EGAT’s projects to express their opinions and be involved in environmental impact assessments of EGAT’s projects. The public and stakeholders can share their opinions and provide information, arguments, and suggestions related to environmental impact assessments in a two-way communication to promote understanding, learning, and working together to improve the projects. In 2019, In 2019, it organized the following public hearings.

• Nam Phong Power Plant Replacement Project : The first public hearing was held on 29 September 2019 at the 50th Anniversary Auditorium, Nam Phong Suksa Sub-district Administrative Organization, Wat Sop Pat School, Khon Kaen, with a total of 935 people attending in Sop Pat Sub-district, Chang Nuea Sub-district the hearing. Administrative Organization, Na Sak Sub-district Administrative Organization, Mae Mo District Office, and • 230 kV Grid Ubon Ratchathani 3-Ubon Ratchathani 1 Ban Wiang Sawan in Mae Mo Sub-district, with a total Project (portion that passes through Conserved Forest of 1,781 people attending the hearing. Zone C) : The second public hearing was held on 20 February 2019 at Muang Ubon Ratchathani District Office, • Surat Thani Power Plant Blocks 1-2 Project : The with a total of 131 people attending the hearing. first public hearing was held on 19 September 2019 at the Ubol Ratana Rajakanya International Convention and • 500 kV Grid Mae Moh 3-Lamphun 3 Project (portion Exhibition Center, Surat Thani Cooperative, Surat Thani, that passes through Conserved Forest Zone C) : The with a total of 1,296 people attending the hearing. second public hearing was held on 18-21 October 2019 at the multipurpose halls in Sub-district Municipalities • Lamtakong Wind Turbine Project : The first public in Lampang and Lamphun, with a total of 378 people hearing was held on 29-30 April 2019 at Public Relations attending the hearing. Hall, Lamtakong Jolabha Vadhana Power Plant and Plant Genetic Conservation Center under the Royal Initiative • Mae Moh Power Plant Units 8-9 Replacement of Her Royal Highness Princess Maha Chakri Sirindhorn, Project : The first public hearing was held on 13 July 2019 Nakhon Ratchasima, with a total of 212 people attending at the conference room, EGAT College of Technology the hearing. and Management, Mae Moh, Lampang, with a total of 2,647 people attending the hearing. The second public Even after the construction begins and the project is hearing was held on 8-10 October 2019 at Ban Dong operating, EGAT continues to conduct socio-economic and

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public opinion surveys in accordance with environmental Wind Turbine Phase 2, Khlong Tron Hydropower Plant, impact monitoring measures to evaluate information and 500 kV Grid, Border-Nan 2-Mae Mo 3 (portion that acquisition and stakeholder satisfaction with the passes through Conserved Forest Zone C) Projects. The operations of the project. The survey results are used surveys used an interview method to collect information, to guide the efforts to minimize public worries and including personal information, household information, concerns, and improve EGAT’s operations. In 2019, public utility information, health information, information EGAT conducted a survey of socio-economic conditions acquisition, and knowledge, understanding and opinions and public opinion in accordance with environmental about the projects. Stakeholders interviewed included impact monitoring measures for seven projects, including residents, community leaders, government agencies, Wang Noi Power Plant, South Bangkok Power Plant, schools, and religious institutions. Mae Moh Power Plant, Chana Power Plant, Lamtakong

Community Support EGAT recognizes the importance and helps improve • Coordinated organic consumer marketing to sell quality of life and wellbeing of local communities through community products. various projects such as : Bioway for Sustainable Development Project EGAT uses the sufficiency economy • Selected model Bioway communities that were ready philosophy to help the families participating in the project to be further developed into a social enterprise community. to “reduce expenses and earn income for a self-reliant life” Two communities met the evaluation criteria for Bioway through four household activities : crop farming, livestock Community for Sustainable Life, including Ban Dong farming, fishery, and environmental management. In the Rueang Community, Nong Mek Sub-district, Nong Han past, the Bioway for Sustainable Development Project District, Udon Thani and Ban Sai Yoi Community, Moo 12, focused on reducing expenses and building EGAT’s Sai Yoi Sub-district, Den Chai District, . relationship with communities. In 2019, EGAT adopted the “one theme-one goal” strategy to reduce expenses and increase income at the household to community levels, resulting in an improvement in the quality of life in communities around EGAT facilities and setting an example for others to learn from. The relationship and trust between communities and EGAT are strengthened as a result. The project carried out the following activities :

• Encouraged community members to do income- expense accounts and coordinated land leveling for the construction of organic greenhouses with drip irrigation and solar energy systems.

• Planned residue-free farming with members of the Organic Farming Community Enterprise.

• Installed irrigation systems and organic farming plots together with the team from the College of Agriculture and Technology.

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In addition, EGAT has provided budget support of VEC for bilateral education to provide both theoretical and 4,166,400 baht to the Office of the Vocational Education practical learning for students. Not only will students Commission for implementing the Bioway for Sustainable receive hand-on training from EGAT trainers, but EGAT Development Project under the MOU between EGAT officers will also get a chance to develop their skills and the Office of the Vocational Education Commission. in transmitting specialized knowledge and be a part of developing future technicians to drive the country. EGAT uses social returns on investment (SROI), such The focus will be placed on providing knowledge and as increased income per capita, increased employment, training for students at the high vocational certificate and increased working capital to analyze the social level for a period of five years to allow them to learn impact of the projects conducted or supported by EGAT. about transmission systems and high-voltage substation In 2019, EGAT continued to its SROI analysis from 2018 maintenance, such as equipment inspection in a power of the Bioway for Sustainable Development Project at distribution station, transformer inspection, insulator Ban Dong Rueang, Nong Mek Sub-district, Nong Han maintenance, and safety equipment for work at height. This District, Udon Thani. Moreover, in 2019, EGAT began program will help students gain experience, knowledge, to develop a database of communities around EGAT and specialized skills related to transmission system facilities and CSR projects sponsored by EGAT to facilitate and high-voltage station techniques and technology, the integration of activities among EGAT’s internal units in addition to basic electronics, which will enable them and between EGAT and communities and to improve to work in electrical system care and maintenance the efficiency and effectiveness of EGAT’s community in the power industry, private companies, and large support programs. industrial plants. In 2019, 71 students in the transmission system technology program received vocational training At the national level, EGAT implements activities certificates and 67 EGAT officers were awarded certificates under the collaborative project to develop technicians of appreciation for their volunteer work as trainers on and technology specialists according to the curriculum the project. of the Office of the Vocational Education Commission (VEC) in response to the government’s national reform In addition, EGAT attaches importance to volunteer policy and to solve the shortage of skilled technicians. work and encourages its employees to be socially The project will integrate the technical strength of EGAT responsible and build CSR volunteer networks both in machine operation, power plant maintenance, and within and outside the organization under the concept transmission system, with the vocational curriculum from of “from participant to network builder.”

Activities Participated In Activities Started Networks Built Database • Volunteer projects. • EGAT Good Deeds Project • Built a volunteer network with • Personal data • Provide social responsibility • Set a framework for CSR stakeholders through CSR • Activity data knowledge, understanding, activities under EGAT strategy. activities. • Network data and inspiration. • Cooperated with the public, • Performance report private, and civil society sectors.

Important activities in 2019 • Organized the “Gift Giving for Kids Project Year 3” people also donated gifts to the project, which were then to invite non-profit organizations and EGAT volunteer delivered to children and schools affected by Tropical networks under the EGAT Good Deeds Project to set Storm Pabuk in areas north of Srinagarind Dam, Nakhon up booths to sell products and receive donations of Si Thammarat Province. second-hand items. EGAT employees and interested

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• EGAT volunteers participated in the “EGAT Rehabilitation of Ubon Ratchathani” activity to repair damages caused by floods in the area around Wat Pho Tak, Phibun Mangsahan Municipality, Phibun Mangsahan District, Ubon Ratchathani Province.

• EGAT volunteers participated in the “Energy for Nation Building Toward Global Rehabilitation” activity to declare the intention of using King Bhumibol’s science to develop communities towards global sustainability at Bhumibol Dam, Tak Province.

• Chidlom Volunteer Group and EGAT employees at Rajjaprabha Dam organized a school rehabilitation and development activity to paint, improve, and restore school buildings, the playground, school desks, and toilets, as well as inspecting and improving the school’s electrical system at Ban Noen School, Muang District, Nakhon Si Thammarat Province, which was directly affected by Tropical Storm Pabuk earlier this year.

• Organized the EGAT Good Deeds Project Year 7 to encourage employees to participate in volunteer activities to benefit society, community, and the environment. The project allows employees to propose volunteer activities for financial support. To date, more than 100 activities applied to participate in the project, of which 20 activities have been selected under this project. In 2019, 29 activities were selected.

Eviction and Relocation Grid improvement, expansion, and construction may 1.2 Beyond the three meters from the center of the cause the land through which a grid system passes to be grid system under Article 1.1, the land or property owner evicted from being used or occupied as follows : may grow herbaceous plants, grasses, and economic trees not taller than three meters when fully grown 1. Planting trees/crops pursuant to Lists 1 and 2 of the Announcement of the

1.1 No perennial trees shall be planted within three Energy Regulatory Commission on Rules, Procedures, meters from the center of the grid system, but herbaceous and Conditions for Construction of Buildings, Planting plants and grasses can be grown pursuant to List 1 of the of Trees or Others, Installation of any Things, Boring or Announcement of the Energy Regulatory Commission Digging, Land Filling, Disposal, or Any Other Acts That May on Rules, Procedures, and Conditions for Construction Cause Dangers or Obstruction in the Grid System Area. of Buildings, Planting of Trees or Others, Installation of any Things, Boring or Digging, Land Filling, Disposal, or 2. No buildings and structures of any kind, whether Any Other Acts That May Cause Dangers or Obstruction permanent or temporary, shall be constructed in the grid in the Grid System Area. system area.

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3. Burning is prohibited in the grid system area. or other right holders for the safety of the grid system, but does not transfer the land ownership to EGAT. The 4. No machines or any other items, digging, and land land and property owners or other right holders can still filling are allowed within a radius of four meters of the utilize the land according to the rules of EGAT and sell grid system (from the item to the power line), unless the land to other parties. EGAT will pay compensation permitted by an official. for the evicted part of the land as follows :

Therefore, EGAT has a policy to conduct a meeting 1. Land compensation/humanitarian aid money to clarify distribution of land ownership to land and (land compensation is paid to land owners holding property owners or other rights holders to help them Title Deed Nor Sor 3, Nor Sor 3 Kor, and Nor Sor 3 Khor understand the reasons and needs that justify EGAT’s while humanitarian aid is paid to land occupiers without actions, as well as the right to appeal, including the right documentary evidence, including the land allocated to appeal before constructing a grid system. Eviction by the state such as Sor Por Kor). implemented by EGAT is in accordance with Sections 105, 106, 107, and 108 of the Energy Industry Act B.E. 2. Tree compensation. 2550 and takes into consideration the following factors. 3. Building compensation.

1. Avoid environmentally sensitive areas such as the Watershed Zone 1A and non-hunting area. If, during the construction period, construction activities cause more damages than the aforementioned 2. Avoid community areas. compensations or tree compensation, such as compensation for removal of herbaceous plants is not received, officials 3. Avoid spiritual centers and government places will collect information about the actual damage and pay such as temples, schools, and cemeteries. additional compensation to the land and property owner or rights holder. This compensation is called “damage 4. Take into account the economic principles and during construction.” Land and property owners or other engineering feasibility. right holders are entitled to additional aid from EGAT after receiving their compensation. This aid is called the EGAT also allows local leaders to participate in aid for people impacted by grid system construction, a grid site selection survey to obtain local information which will be paid according to the following rules : from them. After the grid site selection is considered and approved by the Energy Regulatory Commission, 1. The remaining portion of the land not used by the EGAT will announce the grid system area. If any land grid system is less than one rai. and property owners or other right holders are not satisfied with the grid system, they can file an appeal 2. The parcel of land used by the grid system is not to the Energy Regulatory Commission within 30 days adjacent to other parcels owned by the landowner. of the announcement of the grid system area. EGAT has explicit procedures and sends a notification letter 3. The remaining portion of the land not used by the to land and property owners or other right holders grid system can no longer be utilized. before conducting a property survey/inspection and compensation payment. 4. The remaining portion of the land is more than one rai, but the width of the land is less than 10 meters and Eviction implemented by EGAT will limit the right the land can no longer be utilized. to use/occupy the land of land and property owners

103-2, 413-2 EGAT Sustainability Report Energy for stability and sustainability 2019 87 Human Rights Assessment

In 2019, EGAT won the Human Rights Awards 2019, Promotion of Human Rights is provided through honorable mention in the state enterprise category, various activities, including : organized by the Rights and Liberties Protection Department, Ministry of Justice. EGAT is committed • Set a condition or agreement to require business to examining and assessing the risks that may cause partners, suppliers, and contractors to comply with human rights violations in power plant and transmission relevant laws, such as the Labor Protection Act and system development project areas, avoiding complicity in Occupational Safety, Health, and the Environment Act. Set human rights offenses, and protecting the basic rights of up an inspection committee to examine the qualifications employees and contractor’s workers. It requires that human of contractors, and prevent contractor companies from rights issues be integrated into its policies, including the violating human rights of their employees by directly sustainable development policy, community relations communicating this concern to the representatives and policy, corporate governance policy, and anti-corruption contract team leaders of the contractor companies at the policy. Moreover, it complies with relevant laws and first meeting. In addition, a contractor breach of code standards, such as ISO26000 and ISO14001 to study of conduct assessment form is also used. the impact on communities, and TIS 18001 : 2554, BS OHSAS 18001 : 2007, ISO45001 : 2018, and EGAT SMS to • Employ 40 persons with disabilities and provide a manage workplace safety and provide safety equipment budget of 11,354,420 baht for 101 people with disabilities suitable for specific tasks of employees and workers to attend training courses organized by external as specified in the contract document. In 2018, EGAT organizations, such as King Mongkut’s University of carried out important human rights activities as follows : Technology Thonburi. Moreover, it arranges an area for people with disabilities to sell their products on EGAT Verification and Assessment of Human Rights premises. Performance : The ISO26000 Social Responsibility Verification Committee conducted a verification and • Improve Tor 082 and Tor 083 buildings at assessment of human rights performance according the EGAT Headquarters to include health and safety to ISO26000 using such instruments as document features according to universal design by installing ramps, verification, field work inspection, and interview. The restrooms, and elevators to provide convenience, safety, committee consists of verifiers from each area of and support for diverse groups of people. work, and the verification process was controlled and monitored by the Management System Certification • Review security measures for security officers to Institute. The verification covered the performance in ensure conformity with human rights laws such as, the the following eight fields : Due diligence, Human rights Criminal Code and Criminal Procedure Code. Provide risk situations, Avoidance of complicity, Resolving training and security skills development for security grievances, Discrimination and vulnerable groups, Civil officers, both in theory and practice, as well as knowledge and political rights, Economic, social and cultural rights, of legal compliance requirements and respect for human and Fundamental principles and rights at work. rights. Contracted security officers are required to sign a document to acknowledge and comply with the conduct Communication of Human Rights Knowledge : EGAT of security personnel, as specified in the employment organized one-hour sharing session and workshops to contract. Moreover, the contractor is required to provide provide knowledge and understanding of ISO26000 social training for their security officers three times a year. responsibility and practices. There were 92 participants or 0.49% of the total employees.

102-12, 103-1, 103-2, 103-3, 412-1, 412-2, 412-3 Energy for stability and sustainability EGAT Sustainability Report 88 2019 Disaster and Incident Management Planning

Recognizes the need for effective disaster and 2. Identify risk factors, determine response measures, emergency preparedness and response. To prevent and and analyze business impacts. The operation risk assessment reduce impact on the operations of EGAT and stakeholders, analyzes COSO-ERM and the results of disaster or crisis EGAT has adopted the ISO22301 Business Continuity response drills conducted over the past years, and uses Management System as a management guideline, pervious disruption incidents as inputs. and assigned the Working Group on EGAT Business Continuity Management to be in charge of planning and 3. Prepare and review the disaster and incident management. The planning takes into consideration the management plans or measures, and develop a plan for core missions of generating and transmitting electricity response drills. during the maximum tolerable period of disruption 3.1 Pre-incident plans or measures, such as (MTPD), recovery point objective (RPO), and recovery inspection and maintenance plan and alert equipment time objective (RTO). EGAT focuses on the managing preparedness plan. business continuity of power plant, transmission and 3.2 Incident action plans, such as incident supporting information technology. It consists of the management plan (IMP), crisis management plan (CMP), following processes: and business continuity plan (BCP). 3.3 Post-incident plans (survey and recovery),

1. Use the risk management and internal control policy, which involve activities specified in the Crisis Management information policy, business continuity management Manual and Business Continuity Management Manual. policy, laws and regulations, and stakeholder needs and expectations as guidelines. 4. Organize training and drills.

5. Follow up results of operations.

6. Review results of operations.

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Disaster and Business Continuity Management

Risk management and internal control policy Business Continuity Information policy Management policy

Operation Risk Assessment

Risks required response plans or measures Business Impact Analysis

Incident Management Plan Crisis Management Plan Business Continuity Plan

Training & Exercising

Management Review

EGAT reviews its disaster preparedness and business 2. Several innovations were developed for power continuity management plans on an annual basis. The outage response. results of emergency response and system restoration 2.1 A trip reporting system via the Line application exercises conducted in 2019 met the objectives set by for fast information delivery. EGAT and it was agreed that the existing plans were 2.2 Reporting and tracking systems for SPP power appropriate and adequately effective. In 2019, EGAT also plant UF/UV relay settings. audited its ISO22301 Business Continuity Management 2.3 A plan to install additional smart UF relays for System and adopted new innovations to improve more efficient load shedding. emergency management as follows : 2.4 An automatic VSPP power plant disconnection signaling system using a mobile phone network when

1. A PHAST program was used to simulate fire, explosion, a VSPP power plant fails to trip according to the Grid and chemical spill scenarios for emergency drills. Code. 2.5 Improved the efficiency of DIgSILENT for analyzing real-time power system data in a RTDSA program allowing the Control Center’s computer system to display the results of power system analysis via a web application, send real-time data to the power system controller for efficient power system management, stabilize the power system, prevent wide-area power outages, and prevent equipment damage.

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Important disaster and emergency response exercises conducted in 2019 include :

• Virtual transmission and distribution systems restoration exercise for power system controllers between EGAT, MEA, and PEA to increase the system restoration efficiency and preparedness after a nationwide blackout. The exercise aimed to give a lifelike experience to the power system controllers that allowed them to be ready for actual emergency. - A virtual transmission and distribution system restoration exercise in the southern region of Thailand between EGAT and the Provincial Electricity Authority (PEA) on 30 May 2019 at the Power System Control Center, EGAT Southern Operations Department, Trang Province. - A virtual transmission and distribution systems restoration exercise in a metropolitan area between EGAT and MEA on 26 June 2019 at EGAT’s National Control Center (NCC) and MEA’s Chaeng Watthana Control Center.

• Nam Ngum 2 Hydropower Plant’s black-start plan exercise on 23 June 2019 as part of the Nationwide Blackout Restoration Plan.

• Crisis management and communication exercise for Deputy Governors of Power Generation on 15 August 2019 to ensure that crisis management systems of affiliated power plants and dams are effective and in conformity with the standard required by law.

• Crisis management and communication exercise at division-level such as the Metropolitan Operations on 18 June 2019, Central Region Operations on 24 June 2019, and Southern Operations on 31 July 2019.

Former EU21 EGAT Sustainability Report Energy for stability and sustainability 2019 91 Prizes and Awards

International Recognition

1. ASEAN Coal Awards 2019 Organized by the ASEAN Center for Energy Committee • First prize in the Best Practice CCT Utilization in Power Generation Medium Scale category for “Boiler Modification of Clean Coal Power Plant for Utilizing Low Rank Coal.” • First prize in the Special Submission category for “Dust Killer Box (Dust Reduction Equipment from Boom Type Bucket Wheel Reclaimer).” • Three bronze medals for “Reactive Power • First prize in the CSR category for “Community Compensation While Starting High Voltage Motor,” Participation in Mae Moh Mine’s CSR Process.” “Availability Payment Software Module for North • First runner-up prize in the CSR category for Bangkok Power Plant Block 2,” and “Power Plant Spare “Evolution of Mae Moh EGAT’s CSR: The Integrated Part Information System.” Cooperation for Community Sustainable Development.” • Six special prizes from Poland, Taiwan, South Korea, Iran, Angola, and Saudi Arabia for “An Estimation of Remaining Life Expectancy of Generator Step-Up Transformer,” “Smart Real-time Water Quality Monitoring,” “115-kV Two Bundle Hotline Insulator Replacement Tool,” “Semi-Transparent Solar Cells for Agriculture,” and “Reactive Power Compensation While Starting High Voltage Motor.”

3. Research, Invention, and Innovation Prizes The Seoul International Invention Fair 2019” (SIIF 2019), Seoul, South Korea • One grand prize for “Exhaust Gas Temperature Control System in Gas Turbine.” 2. Research, Invention, and Innovation Prizes • Two gold medals for “iBilling System” and “Digital The International Trade Fair-Ideas, Inventions and Platform for Centralized Operation and Maintenance.” New Products (iENA 2019), Nuremberg, Germany • Three silver medals for “Smartphone-Based Map • One gold medal for “An Estimation of Remaining for Land Data around Srinagarind Dam,” “Transmission Life Expectancy of Generator Step-Up Transformer.” System Alarm Summary Program,” and “NDS iFieldbook.” • Four silver medals for “Smart Real-time Water • One bronze medal for “Coal Ash and Gypsum Quality Monitoring,” “115-kV Two Bundle Hotline Insulator Conveyor Belt Vehicle.” Replacement Tool,” “Semi-Transparent Solar Cells for Agriculture,” and “Multi-Purpose Valve Wrench Version 3.” Energy for stability and sustainability EGAT Sustainability Report 92 2019

National Recognition 1. Spirit of Enterprise (SOE) Awards 2019 organized by the State Enterprise Policy Office, Ministry of Finance • Outstanding Corporate Management Award. • Outstanding Innovation Award for “Real-Time Transformer Monitoring & Diagnostic System.” • Digital Enterprise Development Honor Award.

2. Green Mining Awards 2019 organized by the 4. Research, Invention, and Innovation Prizes Department of Primary Industries and Mines, Ministry The 30th International Invention, Innovation and of Industry Technology Exhibition (ITEX 2019), Kuala Lumpur, Malaysia • Green Mining Standard Maintenance Award 2019 • Five gold medals for “QR Code Application for Gas in the mine category for Lignite Mine Project. Turbine Engine Spare Parts,” “Tools for Disassembling • Green Mining Standard Maintenance Award 2019 and Restoring Gas Turbine Combustion Exhaust Air in the mine category for Limestone Mine Project. Temperature Measuring Device,” “Transformer Fault Monitoring System (TFM),” “Water-Powered Supercharge 3. CSR-DPIM Continuous Awards 2019 organized by the Aerator,” and “Long Retractable Soot Blower.” Department of Primary Industries and Mines, Ministry of • Two silver medals for “Smart Detector and Alarm for Industry High Voltage Substation” and “Mini Surface Oil Remover • CSR-DPIM Continuous Award 2019 in the mine Powered by Smartphone.” category. • One special prize in the green technology category • CSR-DPIM One Mine One Person Award 2019 from Japan for “Mini Surface Oil Remover Powered in the environment category. by Smartphone.”

5. Research, Invention, and Innovation Prizes The 47th International Exhibition of Inventions Geneva, Geneva, Switzerland • One gold medal for “EGAT-Universal Controller (EGAT-UNICON).” • Three silver medals for “MCR Underwater Surveyor,” “Real-Time Transformer Monitoring & Diagnostic System,” and “Generator Rotor Short-Turn Detector.” • One special prize from China for “EGAT-Universal Controller (EGAT-UNICON).” • One special prize from Taiwan for “MCR Underwater Surveyor.” EGAT Sustainability Report Energy for stability and sustainability 2019 93

4. Thailand Green and Smart Mining Awards 2019 organized by the Ministry of Natural Resources and Environment • Thailand Green and Smart Mining Award for mining operations in compliance with corporate governance principles. EGAT is committed to improving mining operations by adhering to the principles of corporate governance and strictly comply with environmental preventive and corrective measures in producing and distributing coal for power generation by Mae Moh Power Plant.

5. Green Industry Awards 2019 organized by the Department 7. Thailand Quality Class 2018 organized by Office of Industrial Works, Ministry of Industry of Thailand Quality Award. • Two green industry level 5 awards (Green Network) • Four Thailand Quality Class 2018 Awards for Rajjaprabha for Bhumibol Dam and Rajjaprabha Dam. Dam, Vajiralongkorn Dam, Srinagarind Dam, and Northeast • Five green industry level 4 awards (Green Culture) Hydro Power Plant. for Vajiralongkorn Dam, Srinagarind Dam, Sirikit Dam, Tha Thung Na Dam, and North Bangkok Power Plant. 8. Human Rights Awards 2019 organized by the Rights and Liberties Protection Department, Ministry of Justice 6. CSR-DIW Continuous Awards 2019 organized by the • Human Rights Award 2019 honorable mention in Department of Industrial Works, Ministry of Industry the state enterprise category. • Three CSR-DIW Continuous Awards 2019 for CSR activities conducted with communities surrounding Bang 9. Thailand HR Innovation Awards 2019 organized by Pakong Power Plant, South Bangkok Power Plant, and Thailand Productivity Institute, School of Human Resource North Bangkok Power Plant. Development-National Institute of Development Administration, Institute of HR Professional Development -Personnel Management Association of Thailand. • Consolation Award for “Performance Portfolio System for Sustainable Human Resources Management and Development.”

10. Anti-Corruption Awards 2019 organized by the Anti-Corruption Journalists Association of Thailand and CP All. • Anti-Corruption Award 2019 for operating with transparency, upholding the principles of corporate governance, and supporting anti-corruption activities.

11. Sustainability Disclosure Awards 2019 organized by Thaipat Institute and Securities and Exchange Commission • Sustainability Disclosure Award for disclosing sustainability information to the public and stakeholders through sustainability reports. Energy for stability and sustainability EGAT Sustainability Report 94 2019

12. National Education Contribution Awards 2019 organized by Secretariat Office of the Teachers' Council of Thailand, Ministry of Education • National education contribution plaque of honor for implementing the green classroom project and school energy and environmental conservation project.

13. Zero Accident Campaign 2019 organized by Thailand Institute of Occupational Safety and Health (Public Organization) • Three gold level awards for Wang Noi Power Plant, Lan Krabue Power Plant, and Bhumibol Dam. • Three silver level awards for North Bangkok Power Plant, South Bangkok Power Plant, and EGAT Nakhon Ratchasima Office. • Seven bronze level awards for Sirikit Dam, Nam Phong Power Plant, Srinagarind Dam, Rajjaprabha Dam, Lamtakong Jolabha Vadhana Power Plant, Vajiralongkorn Dam, and Chana Power Plant.

14. Outstanding Occupational Safety, Health and Environment Awards 2019 organized by the Department of Labor Protection and Welfare, Ministry of Labor • 19 outstanding occupational safety, health, and environment agencies. • One outstanding occupational safety, health, and environment committee. • One outstanding safety agency. • One outstanding safety officer. EGAT Sustainability Report Energy for stability and sustainability 2019

GRI Content Index GRI Standards : Comprehensive option For the GRI Content Index Service, GRI Services reviewed that the GRI content index is clearly presented and the references for all disclosures included align with the appropriate sections in the body of the report. The service was performed on the English version of the report.

Page Omission GRI number (s) Standard Disclosure and/or direct answers Part Omitted Reason Explanation GRI 101 : Foundation 2016 General Disclosures Organizational profile 102-1 Name of the organization 7 - - - 102-2 Activities, brands, products, and services 7-8 - - - 102-3 Location of headquarters 9 - - - 102-4 Location of operations 7 - - - 102-5 Ownership and legal form 7 - - - 102-6 Markets served 7-8 - - - 102-7 Scale of the organization 8, 73 - - - 102-8 Information on employees and other workers 73 - - - 102-9 Supply chain 29-30 - - - 102-10 Significant changes to the organization and its supply chain No Change - - - 102-11 Precautionary Principle or approach 25-27 - - - 102-12 External initiatives 31 - - - 102-13 Membership of associations 9 - - - EU1 Installed capacity, broken down by primary energy source and by 10 - - - regulatory regime EU2 Net energy output broken down by primary energy source and by 10 - - - regulatory regime EU3 Number of residential, industrial, institutional and commercial 7 - - - customer accounts EU4 Length of above and underground transmission and distribution 42 - - - lines by regulatory regime EU5 Allocation of co2e emissions allowances or equivalent, broken 64 - - - down by carbon trading framework Strategy 102-14 Statement from senior decision-maker 4-5 - - - 102-15 Key impacts, risks, and opportunities 26-27 - - - GRI 102 : General Ethics and integrity Disclosures 102-16 Values, principles, standards, and norms of behavior 21 - - - 2016 102-17 Mechanisms for advice and concerns about ethics 21 - - - Governance 102-18 Governance structure 15 - - - 102-19 Delegating authority 18 - - - 102-20 Executive-level responsibility for economic, environmental, and 18 - - - social topics 102-21 Consulting stakeholders on economic, environmental, and social topics 18 - - - 102-22 Composition of the highest governance body and its committees 16 - - - 102-23 Chair of the highest governance body 16 - - - 102-24 Nominating and selecting the highest governance body 17 - - - 102-25 Conflicts of interest 17 - - - 102-26 Role of highest governance body in setting purpose, values, and 18 - - - strategy 102-27 Collective knowledge of highest governance body 19 - - - 102-28 Evaluating the highest governance body's performance 19 - - - 102-29 Identifying and managing economic, environmental, and social 18 - - - impacts 102-30 Effectiveness of risk management processes 18 - - - 102-31 Review of economic, environmental, and social topics 18 - - - 102-32 Highest governance body's role in sustainability reporting 12 - - - 102-33 Communicating critical concerns 19 - - - 102-34 Nature and total number of critical concerns 19 - - - 102-35 Remuneration policies 20 - - - 102-36 Process for determining remuneration 20 - - - 102-37 Stakeholders involvement in remuneration 20 - - - 102-38 Annual total compensation ratio 20 - - - 102-39 Percentage increase in annual total compensation ratio 20 - - - 102-55 Energy for stability and sustainability EGAT Sustainability Report 96 2019 Page Omission GRI number (s) Standard Disclosure and/or direct answers Part Omitted Reason Explanation Stakeholder engagement 102-40 List of stakeholder groups 22-24 - - - 102-41 Collective bargaining agreements 76 - - - 102-42 Identifying and selecting stakeholders 22 - - - 102-43 Approach to stakeholder engagement 23-24 - - - 102-44 Key topics and concerns raised 23-24 - - - Reporting practice 102-45 Entities included in the consolidated financial statements 11 - - - GRI 102 : 102-46 Defining report content and topic Boundaries 12 - - - General Disclosures 102-47 List of material topics 12-14 - - - 2016 102-48 Restatements of information No restatement - - - 102-49 Changes in reporting No change - - - 102-50 Reporting period 11 - - - 102-51 Date of most recent report 11 - - - 102-52 Reporting cycle 11 - - - 102-53 Contact point for questions regarding the report 11 - - - 102-54 Claims of reporting in accordance with the GRI Standards 11 - - - 102-55 GRI content index 95-98 - - - 102-56 External assurance 11, 99-100 - - - Material Topics GRI 200 Economic Standard Series Procurement Practices GRI 103 : 103-1 Explanation of the material topic and its Boundary 30 - - - Management 103-2 The management approach and its components 30 - - - Approach 2016 103-3 Evaluation of the management approach 30 - - - GRI 204 : 204-1 Proportion of spending on local suppliers 30 - - - Procurement Practices 2016 Anti-corruption GRI 103 : 103-1 Explanation of the material topic and its Boundary 31 - - - Management 103-2 The management approach and its components 31-32 - - - Approach 2016 103-3 Evaluation of the management approach 31-32 - - - 205-1 Operations assessed for risks related to corruption 31 - - - GRI 205 : Anti-corruption 205-2 Communication and training about anti-corruption policies 32 - - - 2016 and procedures 205-3 Confirmed incidents of corruption and actions taken 32 - - - Availability and Reliability GRI 103 : 103-1 Explanation of the material topic and its Boundary 33 - - - Management 103-2 The management approach and its components 33, 35 - - - Approach 2016 103-3 Evaluation of the management approach 35 - - - DMA (Former EU6) Management approach to ensure short and 33, 36-39 - - - Sector Specific : long-term electricity availability and reliability Electric Utilities EU10 Planned capacity against projected electricity demand over the 34-35 - - - long term, broken down by energy source and regulatory regime Demand-side Management GRI 103 : 103-1 Explanation of the material topic and its Boundary 44 - - - Management 103-2 The management approach and its components 44-46 - - - Approach 2016 103-3 Evaluation of the management approach 44-45 - - - Sector Specific : DMA (Former EU7) Demand-side management programs including 44-46 - - - Electric Utilities residential, commercial, institutional and industrial programs Research and Development GRI 103 : 103-1 Explanation of the material topic and its Boundary 47 - - - Management 103-2 The management approach and its components 47-49, 51 - - - Approach 2016 103-3 Evaluation of the management approach 49-50 - - - Sector Specific : DMA (Former EU8) Research and development activity and expenditure 47-51 - - - Electric Utilities aimed at providing reliable electricity and promoting sustainable development System Efficiency GRI 103 : 103-1 Explanation of the material topic and its Boundary 42 - - - Management 103-2 The management approach and its components 42-43 - - - Approach 2016 103-3 Evaluation of the management approach 42-43 - - - EU11 Average generation efficiency of thermal plants by energy source 42 - - - Sector Specific : and by regulatory regime Electric Utilities EU12 Transmission and distribution losses as a percentage of total energy 43 - - - GRI 300 Environmental Standards Series Materials GRI 103 : 103-1 Explanation of the material topic and its Boundary 55 - - - Management 103-2 The management approach and its components 55 - - - Approach 2016 103-3 Evaluation of the management approach 55 - - - 301-1 Materials used by weight or volume 55 - - - GRI 301 : Materials 301-2 Recycled input materials used 55 - - - 2016 301-3 Reclaimed products and their packaging materials No reclaimed - - - products 102-55 EGAT Sustainability Report Energy for stability and sustainability 2019 97 Page Omission number (s) GRI Standard Disclosure and/or direct answers Part Omitted Reason Explanation Energy GRI 103 : 103-1 Explanation of the material topic and its Boundary 56 - - - Management 103-2 The management approach and its components 56 - - - Approach 2016 103-3 Evaluation of the management approach 56 - - - 302-1 Energy consumption within the organization 56 - - - 302-2 Energy consumption outside of the organization - Energy Information The information cannot consumption unavailable currently be obtained outside of the because the boundary organization of the topic is beyond the organization. EGAT is developing data collection procedure with the related GRI 302 : parties and expect to Energy 2016 disclose the information in the 2020 sustainability report. 302-3 Energy intensity 56 - - - 302-4 Reduction of energy consumption 56 - - - 302-5 Reductions in energy requirements of products and services - Reductions in energy Not EGAT's product and requirements of applicable service are electricity products and and transmission. services Water GRI 103 : 103-1 Explanation of the material topic and its Boundary 57 - - - Management 103-2 The management approach and its components 57-58 - - - Approach 2016 103-3 Evaluation of the management approach 58 - - - GRI 303 : 303-1 Water withdrawal by source 57 - - - Water 303-2 Water sources significantly affected by withdrawal of water 58 - - - 2016 303-3 Water recycled and reused 58 - - - Biodiversity GRI 103 : 103-1 Explanation of the material topic and its Boundary 67-68 - - - Management 103-2 The management approach and its components 67-68 - - - Approach 2016 103-3 Evaluation of the management approach 67-70 - - - 304-1 Operational sites owned, leased, managed in, or adjacent to, protected 67 - - - areas and areas of high biodiversity value outside protected areas GRI 304 : 304-2 Significant impacts of activities, products, and services on biodiversity 67 - - - Biodiversity 2016 304-3 Habitats protected or restored 68-70 - - - 304-4 IUCN Red List species and national conservation list species with 67 - - - habitats in areas affected by operations Sector Specific : EU13 Biodiversity of offset habitats compared to the biodiversity of the 68-70 - - - Electric Utilities affected areas Emissions GRI 103 : 103-1 Explanation of the material topic and its Boundary 59 - - - Management 103-2 The management approach and its components 59-60 - - - Approach 2016 103-3 Evaluation of the management approach 60-61 - - - 305-1 Direct (Scope 1) GHG emissions 61 - - - 305-2 Energy indirect (Scope 2) GHG emissions 61 - - - 305-3 Other indirect (Scope 3) GHG emissions 61 - - - GRI 305 : Emissions 305-4 GHG emissions intensity 61 - - - 2016 305-5 Reduction of GHG emissions 62-64 - - - 305-6 Emissions of ozone-depleting substances (ODS) 65 - - - 305-7 Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant 65-66 - - - air emissions Effluents and Waste GRI 103 : 103-1 Explanation of the material topic and its Boundary 71 - - - Management 103-2 The management approach and its components 71 - - - Approach 2016 103-3 Evaluation of the management approach 71 - - - 306-1 Water discharge by quality and destination 58 - - - GRI 306 : 306-2 Waste by type and disposal method 71 - - - Effluents and Waste 306-3 Significant spills 71 - - - 2016 306-4 Transport of hazardous waste 71 - - - 306-5 Water bodies affected by water discharges and/or runoff 58 - - - Environmental Compliance GRI 103 : 103-1 Explanation of the material topic and its Boundary 53 - - - Management 103-2 The management approach and its components 53 - - - Approach 2016 103-3 Evaluation of the management approach 53 - - - GRI 307 : 307-1 Non-compliance with environmental laws and regulations 53 - - - Environmental Compliance 2016 GRI 400 Social Standards Series Employment GRI 103 : 103-1 Explanation of the material topic and its Boundary 73 - - - Management 103-2 The management approach and its components 73 - - - Approach 2016 103-3 Evaluation of the management approach 73 - - - 102-55 Energy for stability and sustainability EGAT Sustainability Report 98 2019 Page Omission number (s) GRI Standard Disclosure and/or direct answers Part Omitted Reason Explanation 401-1 New employee hires and employee turnover 73 - - - GRI 401 : Employment 401-2 Benefits provided to full-time employees that are not provided 74-75 - - - 2016 to temporary or part-time employees 401-3 Parental leave 75 - - - EU15 Percentage of employees eligible to retire in the next 5 and 74 10 years broken down by job category and by region - - - EU17 Days worked by contractor and subcontractor employees involved 74 Data of contractor Information The information cannot in construction, operation & maintenance activities and subcontractor unavailable currently be obtained because employees involved the boundary of the topic is in other operations beyond the organization. EGAT except maintenance is developing data collection and mining procedure with the related parties and expect to disclose Sector Specific : the information in the 2020 Electric Utilities sustainability report. EU18 Percentage of contractor and subcontractor employees that have 74 Data of contractor Information The information cannot undergone relevant health and safety training and subcontractor unavailable currently be obtained because employees involved the boundary of the topic is in other operations beyond the organization. EGAT except power plant is developing data collection construction and procedure with the related mining. parties and expect to disclose the information in the 2020 sustainability report. Labor/Management Relations GRI 103 : 103-1 Explanation of the material topic and its Boundary 76 - - - Management 103-2 The management approach and its components 76 - - - Approach 2016 103-3 Evaluation of the management approach 76 - - - GRI 402 : Labor/ 402-1 Minimum notice periods regarding operational changes 76 - - - Management Relations 2016 Occupational Health and Safety GRI 103 : 103-1 Explanation of the material topic and its Boundary 80 - - - Management 103-2 The management approach and its components 80-81 - - - Approach 2016 103-3 Evaluation of the management approach 80-81 - - - 403-1 Workers representation in formal joint management-worker 80 - - - health and safety committees GRI 403 : 403-2 Types of injury and rates of injury, occupational diseases, lost 81 - - - Occupational days, and absenteeism, and number of work-related fatalities Health and 403-3 Workers with high incidence or high risk of diseases related to 80 Safety 2016 their occupation - - - 403-4 Health and safety topics covered in formal agreements with trade unions 76 - - - Training and Education GRI 103 : 103-1 Explanation of the material topic and its Boundary 76 - - - Management 103-2 The management approach and its components 76 - - - Approach 2016 103-3 Evaluation of the management approach 76 - - - GRI 404 : 404-1 Average hours of training per year per employee 77 - - - Training 404-2 Programs for upgrading employee skills and transition assistance 78-79 - - - and Education programs 404-3 Percentage of employees receiving regular performance and 76 - - - 2016 career development reviews Human Rights Assessment GRI 103 : 103-1 Explanation of the material topic and its Boundary 87 - - - Management 103-2 The management approach and its components 87 - - - Approach 2016 103-3 Evaluation of the management approach 87 - - - 412-1 Operations that have been subject to human rights reviews or 87 - - - GRI 412 : impact assessments Human Rights Assessment 412-2 Employee training on human rights policies or procedures 87 - - - 412-3 Significant investment agreements and contracts that include 87 - - - 2016 human rights clauses or that underwent human rights screening Local Communities GRI 103 : 103-1 Explanation of the material topic and its Boundary 82 - - - Management 103-2 The management approach and its components 82-83, 85-86 - - - Approach 2016 103-3 Evaluation of the management approach 82-83 - - - 413-1 Operations with local community engagement, impact 82-85 - - - GRI 413 : Local assessments, and development programs Communities 413-2 Operations with significant actual and potential negative 82-83, 85-86 - - - 2016 impacts on local communities Socioeconomic Compliance GRI 103 : 103-1 Explanation of the material topic and its Boundary 31 - - - Management 103-2 The management approach and its components 31-32 - - - Approach 2016 103-3 Evaluation of the management approach 31-32 - - - GRI 419 : 419-1 Non-compliance with laws and regulations in the social and 32 - - - Socioeconomic economic area Compliance 2016 Disaster/Emergency Planning and Response GRI 103 : 103-1 Explanation of the material topic and its Boundary 88 - - - Management 103-2 The management approach and its components 88-89 - - - Approach 2016 103-3 Evaluation of the management approach 88-89 - - - Sector Specific : DMA (Former EU21) Contingency planning measures, disaster/emergency 88-90 - - - Electric Utilities management plan and training programs, and recovery/restoration plans 102-55 EGAT Sustainability Report Energy for stability and sustainability 2019 99

102-56 Energy for stability and sustainability EGAT Sustainability Report 100 2019

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ISSN : 2351-0439

EGAT Sustainability Report 2019 EGAT Sustainability Report

Electricity Generating Authority of Thailand (EGAT) 53 Moo 2 Charan Sanitwong Road, Bang Kruai, Nonthaburi 11130 Tel. +66 (0) 2436 4610, +66 (0) 2436 4613 2019 Fax. +66 (0) 2436 4695 www.egat.co.th