Environmental Policy

1 General Provisions

1 Purpose

As a global leader in the electrical industry, Sieyuan Electric has realized the importance of protecting the environment and understands its role in building sustainable communities.  The company seeks to reduce environmental impact, improve energy efficiency, and enhance green awareness while maintaining excellent quality.

The environmental policy of Sieyuan Electric is formulated by the Sieyuan Electric Sustainable Development Committee and approved by the Chairman for release.  This policy outlines Sieyuan Electric's commitment to environmental protection and the green initiatives it has taken, including environmental protection, reducing greenhouse gas emissions, energy conservation, water conservation, raw material protection, product use, end-of-life products, and waste management.

2 Scope

This policy applies to all directors, senior staff, and employees (temporary or long-term) worldwide, regardless of the specific entity or subsidiary of Sieyuan Electric (wholly or partially controlled) (hereinafter collectively referred to as "Sieyuan Electric employees" or "employees").  We also encourage business partners, contractors, suppliers, and other stakeholders to apply this policy where feasible.

3 Responsibilities

The Sustainable Development Committee of Sieyuan Electric is responsible for developing, reviewing, and updating this policy annually to ensure compliance with the latest local laws, regulations, and industry standards.

The senior management bears ultimate responsibility for complying with this policy within their business scope.  Ensure that all employees are aware of the policy and understand their responsibilities in protecting the environment.  And establish internal control mechanisms to monitor environmental performance and report regularly.

Employees have the obligation to strictly abide by the principles stipulated in this policy.  Actively participate in relevant training activities to enhance one's environmental awareness.  Timely and appropriately report any behavior that may violate this policy to continuously improve the company's environmental protection work.

4 Communication and Reporting

Sieyuan Electric regularly communicates with all employees, business partners, contractors, suppliers, and other stakeholders regarding this policy.  We encourage suppliers, contractors, and other stakeholders to monitor the implementation of this policy and promptly report any violations of this policy.  We promise to protect the reporter's information from disclosure and prevent any possible retaliation.  The contact email for the report is  hgfwb@sieyuan.com  .

For specific reporting methods, please refer to the company's "Reporting Management Measures V1.1_Internal"

This policy should be updated every three years and communicated with stakeholders in a timely manner.

2 Core Principles

1 Comply with Laws, Regulations, and Industry Standards

l Sieyuan Electric and all employees shall comply with all applicable laws, regulations, and rules in the country and region where they operate.  If laws and regulations cannot provide sufficient control measures, higher standards should be adopted to protect human rights.

l Comply with all applicable internationally recognized environmental standards in the jurisdictions where we operate.

2 Management System

Operate the environmental management system in accordance with ISO14001 standards, industry standards, and best practices.

3 Energy Consumption

Sieyuan Electric strictly abides by laws, regulations, and relevant industry requirements, continuously improves its energy conservation and consumption reduction management system, and is committed to reducing the impact on the environment during operation.  Actively optimize equipment efficiency, improve energy efficiency in design, manufacturing, assembly, transportation, and work stages, and explore the potential of adopting renewable energy.  By promoting photovoltaic construction in various companies, using clean energy, and reducing dependence on traditional energy.  At the same time, advocating green travel, green transportation and other ways to promote sustainable development.

4 Water Resources and Sewage

Sieyuan Electric advocates water conservation and improves water efficiency.  Promote efficient water-saving measures in product design, manufacturing, and daily operations of the company.  The company promotes the recycling of water resources, compliant treatment and discharge of sewage, and protects water bodies from pollution.

5 Greenhouse Gas Management

Sieyuan Electric actively responds to global climate change, reduces energy consumption, and strives to reduce greenhouse gas emissions.  Monitor and report greenhouse gas emissions annually in accordance with ISO 14064 and GHG Protocol regulations.  We have already and will continue to disclose our climate change impacts through the CDP platform.

We implement greenhouse gas emission reduction actions consistent with the Paris Agreement.  Set "short-term goals" and "net zero goals" according to the SBTi Guidelines.  Include Scope 1, Scope 2, and Scope 3 in the goals and plans.  Strive to improve greenhouse gas management performance in the upstream and downstream of the supply chain.

6 Raw Material

Sieyuan Electric promotes the reduction, efficient use, and recycling of raw materials by optimizing product design and manufacturing technology.  Actively utilize green and renewable raw materials, and eliminate raw materials with significant environmental impact.

7 Solid Waste

Sieyuan Electric implements waste collection, classification, storage, transportation, and treatment, complying with all applicable laws and regulations related to solid waste and hazardous waste in the countries and regions where the business is located.

We measure and manage the generation of waste, and regularly report the status and results.  By optimizing product design and manufacturing technology, waste reuse and recycling, promote waste prevention and minimization.

8 Chemicals and Hazardous Substances

Sieyuan Electric complies with all applicable laws and regulations prohibiting or restricting specific substances, and adheres to customer specific restricted and hazardous substance list requirements.  Detect, identify, and control hazardous substances, and conduct compliance requirements and investigations on hazardous substance materials for relevant suppliers.

We identify and manage chemicals and other hazardous materials to ensure their safe handling, movement, storage, recycling, reuse, and disposal.

9 Ecological Design

Sieyuan Electric implements ecological design, analyzes and reports on the entire lifecycle of products to minimize environmental impact.  The methods we adopt include using environmentally friendly and easily recyclable materials, promoting packaging reduction and recycling, promoting the use of halogen-free processes, implementing green environmental compliance assessments for structural components used in products, and optimizing product energy efficiency.  Always consider reducing the use of materials and components in product design, innovating design, improving product efficiency and reliability, extending product lifespan, and reducing waste generation.

We also collaborate with relevant parties to carry out environmentally friendly scrapping and recycling of end-of-life products.

10 User Health and Safety

We have implemented control measures for harmful substances in our products, insulation, flame retardancy, and other safety designs, safety instructions, and provided technical support and feedback channels for safe use of our products through customer service, after-sales channels, company websites, and social media.  At the same time, relying on the environment and quality management system, a product recall mechanism has been established to recall products that may have safety hazards.

11 Training and Education

Promote and attract employees, customers, suppliers, and other stakeholders to participate in creating a better environment through education and training.

12 Supply Chain Management

We require suppliers to comply with the Source Electric Supplier Code of Conduct.  Establish clear environmental protection requirements for business partners, contractors, suppliers, and other stakeholders.  Evaluate their performance through necessary inspections and audits.

3 Quantitative Indicators