Materiality

Materiality 2022

Materiality Analysis

In 2022, CKPower has identified its material topics by focusing on analyzing the impacts on stakeholders in the dimensions of environment, social, and corporate governance and economic factors. The company has also considered human rights issues in its impact analysis, in accordance with the guidelines provided in the Global Reporting Initiative (GRI) 2021 standards.The process of identifying materiality topics involved the following steps:

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Outcomes of Materiality Identification

Based on stakeholder impact analysis and materiality prioritization, CKPower has identified topics relevant to its business, categorized into eight topics of materiality and five business fundamentals topics.

CKPower’s Material Topics

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In analyzing the impacts of its business operations on each group of stakeholders, CKPower links such impacts to human rights issues in each dimension based on internationally accepted human rights requirements and standards. A total of 24 human rights issues are taken into consideration. As such, the action plans and guidelines for the 13 issues above will not only help to minimize negative impacts and amplify positive impacts but will also mitigate human rights risks for the Company.

Right to life
Right to liberty and security (including freedom from arbitrary arrest, detention or exile)
Right not to be subjected to slavery, servitude or forced labour
Right not to be subjected to torture, cruel, inhuman and/or degrading treatment or punishment
Right to recognition as a person before the law
Right to equality before the law, equal protection of the law, non-discrimination
Right to access to effective remedies
Right to a fair trial
Right to marry and form a family
Right to own property
Right to freedom of thought, conscience and religion
Right to freedom of opinion, information and expression
Right to freedom of assembly
Right to freedom of association
Right to participate in public life
Right to social security, including social insurance
Right to work
Right to enjoy just and favorable conditions of work including rest and leisure
Right to form trade unions and join the trade unions, and the right to strike
Right to an adequate standard of living (housing, food, water and sanitation)
Right to health
Right to education
Right to take part in cultural life, benefit from scientific progress, material and moral rights of authors and inventors
Right to self-determination and natural resources

Materiality Topics, Impacts on Stakeholders and Actions

Positive Impact Negative Effects

Relevant SDGs	Relevant Stakeholders	Impacts on Stakeholders	Actions
1. Good corporate governance, risk management, and regulatory compliance
	Employees Government agencies Customers Communities and society Suppliers Investors and shareholders	Complaints on legal and regulatory violations and lack of proper risk management may cause business disruption, which may in turn affect operational reliability and stakeholders overall. Good corporate governance, risk management, and compliance are key factors that affect the confidence of all stakeholder groups, which the Company can enhance if it demonstrates that it operates properly, transparently, without discrimination, and in line with stakeholder expectations.	Establish corporate governance policies and guidelines, such as a corporate governance policy, a risk management policy, a business code of conduct, and anti-corruption guidelines. Conduct corporate risk assessment to evaluate and monitor risk management measures and keep risk within the risk appetite. Create a whistleblowing channel.
2. Innovation management
	Employees Suppliers Communities and society	Innovation development helps enhance skills and knowledge exchange. Resource consumption is reduced and operational efficiency and processes relevant to each stakeholder group are enhanced.	CKPower has established guidelines for developing innovation knowledge, beginning with personnel development and network building to further build upon its innovations. Promote innovation diffusion to external stakeholders. Apply innovation to social and community development.
	Customers Investors and shareholders	Innovation enhances power production efficiency and reliability and contributes to investment security.
	Communities and society	The application of innovation in communities can enhance the quality of life for local residents.
3. Business resilience
	Employees Customers Investors and shareholders Government agencies Communities and society	Enhancing responsiveness, agility, and adaptability to change can enhance stakeholder confidence.	Establish concrete operational strategies and guidelines. Increase internal and external collaboration. Expand investments in renewable energy-based electricity production from a more diverse range of renewable energy sources. Increase business expansion geographically. Increase opportunities in carbon credit and renewable energy certification business in pursuit of the organization’s GHG targets.
	Employees	By giving employees opportunities to develop their potential, the Company can attract talents and in turn enhance operational efficiency. The Company may initiate restructuring or adjust its production to suit a new business model, which may change the number of positions and employees in each function.
	Suppliers	Increase and reduction in business models can lead to changes in suppliers.
	Communities and society	Expansion into new areas can cause disturbance to local residents or lead to relocation. On the contrary, if the Company provides support to local communities and society, such an initiative will expand the reach of the Company’s CSR projects.

Positive Impact Negative Effects

Relevant SDGs	Relevant Stakeholders	Impacts on Stakeholders	Actions
4. Respect for human rights
	Employees Government agencies Customers Communities and society Suppliers Investors and shareholders	Human rights violations can lead to lawsuits for damages, business disruption, and loss of stakeholder confidence. Equitable care and treatment across the supply chain promotes the human rights of all stakeholders as well as confidence in and the positive corporate image of the organization.	Establish policies and guidelines for monitoring and preventing human rights risks across the supply chain in compliance with international standards, which will contribute to business stability and sustainability. Establish concrete operational strategies and guidelines. Conduct human rights due diligence. Organize projects or activities fostering human rights awareness. Put in place guidelines for preventing human rights violations for all stakeholder groups. Establish whistleblowing channels for human rights complaints.
	Employees	CKPower’s management approach plays a role in determining welfare, operational guidelines, freedom of expression, and personnel development, which in turn affects the welfare of employees and their families as well as their job security.
	Communities and society	Operation control guided by corporate governance and a proper environmental and social management system can affect the fundamental rights of local communities and society, particularly those living around the Company’s power plants, in terms of quality of life and health.
5. Social and community care
	Employees Government agencies Customers Communities and society Suppliers Investors and shareholders	The fostering or deescalating of relations with communities can affect stakeholder confidence.	Establish community engagement and development policies. Establish concrete operational strategies and guidelines. Conduct community and social engagement activities and projects in line with the Company’s business operations.
	Communities and society	The operation of the power plants may impact the environment, the health, and the way of life of people surrounding the plants.
	Employees	CSR activities enhance employee competency, build their understanding of local communities, motivate them to participate in CSR activities, and foster their engagement with the organization.

Positive Impact Negative Effects

Relevant SDGs	Relevant Stakeholders	Impacts on Stakeholders	Actions
6. Environmental management
	Government agencies Customers Communities and society Suppliers Investors and shareholders	Violation of environmental laws can impact communities and lead to the filing of complaints to state regulators and in turn business disruption, which can affect stakeholders across the supply chain, reduce stakeholder confidence in the organization, and affect overall investment	Establish environmental policies. Put in place processes for monitoring and inspecting environmental quality and environmental management efficiency. Put in place environmental management systems that are consistent with international standards. Keep water, general waste, and hazardous waste management and air quality control in compliance with the law and promote innovation development to enhance production efficiency. Establish environmental criteria for supplier screening.
	Employees	The use of environmental management innovation can enhance employees’ knowledge and enable them to help the organization achieve its performance targets.
	Communities and society	Environmental management, including resource consumption and discharge control of waste from business activities, can impact the quality of life in communities.
	Customers Suppliers	Green procurement and low-carbon products under fair and non-discriminatory supplier selection can promote collaboration and sustainable mutual growth.

7. Energy and climate change management
	Customers Government agencies Investors and shareholders	The Company’s energy and climate change management affect targets, expectations, requirements, and policies prescribed by customers’ companies or government agencies as well as enhance the efficiency and stability of the operation and business investment. The sake REC and green bonds creates investment opportunities for stakeholders, broadens customer markets, and aligns with state policies.	Establish energy saving and climate change policies. Conduct climate change risk assessment to formulate responses. Establish concrete operational strategies and guidelines. Publish and disseminate guidelines for producing electricity from renewable energy to communities and society and exchange beneficial information with internal and external stakeholders. Increase investment in renewable energy-based power production. Increase renewable energy capacity and apply innovation to enhance production efficiency.
	Employees	The use of innovation to promote energy and climate change promotion can enhance employees’ knowledge and enable them to help the organization achieve its performance targets.
	Communities and society	Energy and climate change management both catalyze and mitigate impacts on energy consumption and climate change, which can affect society as a whole.
	Customers Suppliers	Green procurement and low-carbon products under fair and non-discriminatory supplier selection can promote collaboration and sustainable mutual growth.
	Government agencies	As a stakeholder of the government sector, the Company can serve as a mouthpiece to inform the government of the operation approach of the private sector and exchange information on crises and opportunities through projects/activities held by the government sector.
8. Biodiversity
	Customers Communities and society Suppliers Investors and shareholders	The enhancement or degradation of ecosystems and biodiversity can impact the way of life and the livelihood of local communities and affect confidence in the organization.	Establish biodiversity management policies. Establish concrete operational strategies and guidelines. Plan biodiversity assessment and take action to promote biodiversity services through various projects.
	Employees Suppliers	The use of environmental management innovation to boost biodiversity can enhance knowledge for employees and suppliers and enable them to help the organization achieve its performance targets
	Customers Government agencies	The Company’s biodiversity enhancement action can support the biodiveristy policies and targets of its customers and government agencies, enabling them to manage biodiversity across the value chain and comply with state policies.

Supporting the Sustainable Development Goals (SDGs) and Joining the United Nations Global Compact

Supporting the Sustainable Development Goals (SDGs)

CKPower drives its sustainability actions by supporting the United Nations’ Sustainable Development Goals (SDGs) that align with its capabilities and business potential. Encompassing three dimensions: environment, society, and governance and economic, the Company’s sustainability actions support 13 out of the 17 SDGs through its eight material topics and five business fundamentals topics.

Dimensions	SDGs
Environment
Society
Corporate Governance and Economy

Joining the United Nations Global Compact

CKPower recognizes the significance of fulfilling its role as a good corporate citizen in the global community and thus strives to advance, support, and foster a good quality of life in society. To this end, CKPower has joined the United Nations Global Compact (UN Global Compact) as a member to demonstrate its intent and commitment to sustainable business practices in accordance with its 10 international principles as well as its fundamental responsibility with regard to human rights, labor standards, environmental protection, and anti-corruption efforts, in order to raise awareness of adherence to such principles in business practice in Thailand’s business sector.

Joining the United Nations Global Compact Or click

CK strives to support the Sustainable Development Goals (SDGs) and the 10 principles of the United Nations Global Compact under its C-K-P sustainability management framework in order to align its sustainability actions with internationally recognized goals and requirements.

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Materiality

Materiality 2022

Materiality Analysis

Outcomes of Materiality Identification

CKPower’s Material Topics

human rights issues are taken into consideration

Materiality Topics, Impacts on Stakeholders and Actions

Corporate Governance and Economy

Society

Environment

Supporting the Sustainable Development Goals (SDGs) and Joining the United Nations Global Compact

Supporting the Sustainable Development Goals (SDGs)

Joining the United Nations Global Compact