RISK MANAGEMENT Banpu takes a comprehensive view on reducing our carbon footprint. Our GHG reduction strategy covers our existing assets, assets that Banpu will develop in the future, new acquisitions to the business and our supply chain. Banpu’s climate-related risk identification and assessment are integrated into Banpu’s overall riskmanagement process which align with the international standard of The Committee Sponsoring Organizations of the Treadway Commission For the integration process of climate-related risks assessment as an input to the business strategy, Banpu regularly assesses the climate-related risks and opportunities with collaborations among the risk management team, decarbonization team, and (COSO) and the International Organization for Standardization’s ISO 31000. Banpu integrates enterprise risk management framework throughout our business through a structured process that establishes a common methodology for identifying, assessing, managing, and monitoring risks to prevents any possible adverse impacts on the business and enhances the business opportunities, leading to long-term value creation for Banpu. all BUs and related SUs. Timeframe of assessment is defined to be 3 phases: short-term (1-2 years), medium-term (3-10 years), and long-term (>10 years). The main tools Banpu uses to identify climate-related risks and opportunities are: 01 02 04 05 03 set business objective Identify risk Assess risk Prioritize risks by assessing likelihood and impact Mitigate risk Develop risk management plan Promote risk awareness Promote awareness through various communication channels Monitor and report risk Monitor risk and submit quarterly report to Risk Management Committee. Audit Committee and Board of Directors Climate Change Report 2023 30 Introduction Governance Strategy Risk Management Metrics & Targets Looking Ahead
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