2023
Environmental, Social
and Governance Report
Contents
Sustainable Development Talent Cultivation for Business Integrity
Management Business Prosperity
Sustainable Development 13 Labor Management and 33 Corporate Governance 65
Strategies Rights
Internal Control and Risk 68
Sustainable Development 16 Training and Development 39 Management
Governance Structure
Occupational Health and 42 Business Ethics 70
Materiality Analysis 17 Safety
Data Security and Privacy 72
Protection
About This Report 01
Message from the
Chairman
03
01 03 05
About SANY 05
Renewable Energy
Awards 07
Green Development Excellent Quality Community Responsibilities
Response to Climate Change 21 R&D Innovation 51 Community Engagement 75
and Rural Revitalization
Green Operation 24 Intelligent Manufacturing 55
Charitable Activity 76
Environmental Management 29 Supply Chain Management 57 Engagement
Throughout Product Lifecycle
Customer Services 61
02 04 06
Disclosure of ESG 79
Indicators
Index for GRI 87
Indicators and UN
SDGs
01 SANY Renewable Energy Environmental, Social and Governance Report 2023 02
About This Report
Overview This report is the second Environmental, Social and Governance (ESG)
report released by SANY Renewable Energy Co., Ltd., which discloses
Data This report contains financial data in the Company's annual report, data
from the Company's other public filings or reports based on internal
its ESG-related actions and achievements in 2023 to stakeholders.
Sources statistics, and data audited by third parties. All amounts are in CNY
unless otherwise stated.
This report reviews the ESG performance of SANY Renewable
Energy Co., Ltd. in 2023 (covering the period from January 1, 2023, to
December 31, 2023). In addition, some information beyond the above
timeframe is provided to ensure the completeness and continuity of the
ESG performance disclosure.
Access You can view the report online or download it from various sources,
including the Shanghai Stock Exchange website, the official website of
to This SANY Renewable Energy, and the WeChat Official Account.
Report
Reporting This report covers SANY Renewable Energy Co., Ltd. (hereinafter
"SANY Renewable Energy", "we", or "the Company") and the holding
Scope subsidiaries of SANY Renewable Energy. The scope of this report is
consistent with the Companys annual report, except for organizations
otherwise specified.
Basis of This report is prepared in accordance with the guidelines on
information disclosure, including the Guidelines No. 1 of the Shanghai
Preparation Stock Exchange for the Self-regulation of Listed Companies on the
STAR Market—Standard Operation, the Global Reporting Initiative
Sustainability Reporting Standards (GRI Standards), and the United
Nations Sustainable Development Goals (UN SDGs).
03 SANY Renewable Energy Environmental, Social and Governance Report 2023 04
Message from the
Chairman
2023 is the fifteenth year since SANY Renewable Talent Cultivation Business Integrity
Energy started the journey in wind power. As a
witness and participant of the prosperous wind
SANY Renewable Energy believes in the value of SANY Renewable Energy attaches great
power development in China in the past fifteen
hard work and perseverance in achieving success importance to business ethics and compliance
years, SANY Renewable Energy has grown into a
and is committed to nurturing employees through management to create a culture of integrity. In
trustworthy partner and indispensable innovative
a supportive work environment and development 2023, we improved the policies for business ethics
force of the wind power industry culture in China
opportunities. We value the rights and interests and information security management, laying the
along with the rapid development of the industry.
of employees and strive to create a healthy, safe, foundation for building honest and reliable teams
This year, we sought innovation and transformation, equal, diverse and inclusive workplace for our and fully complying with business ethics standards
fully launched the construction of the ESG employees and those of our stakeholders. In 2023, in our global journey.
(Environmental, Social and Governance) system, we released policies, organized training, improved
and actively responded to the United Nations the remuneration and benefits system and
conducted human rights assessments to create Born from the "wind", SANY Renewable Energy has been
Sustainable Development Goals (SDGs). In dedicated to the wind power industry for 15 years and
addition, we were honored to join the United a supportive environment and attract a diverse
group of outstanding talents. As we expand our constantly explores the way to utilize the wind to create a
Nations Global Compact (UNGC), committed to better world. Adhering to sustainable development, SANY
supporting UNGC's ten principles relating to the international footprint, we will promote employee
engagement initiatives to achieve joint development Renewable Energy will continue to work with industry
four areas: i.e. human rights, labor,environment and partners to turn wind into energy and light up every corner of
anti-corruption. Accordingly, we have formulated a with our employees.
the world with high-quality clean energy in the future.
sustainable strategy under the four pillars of "green
development, talent cultivation, excellent quality
and business integrity" to inject a new impetus into Excellent Quality
the development of the Company.
Upholding the philosophy of "Quality Changes
the World", SANY Renewable Energy facilitates
the intelligent and digital upgrade to empower
Green Development research and development as well as supply
chain management. In 2023, SANY Renewable
SANY Renewable Energy is committed to Energy once again took a leading position in
becoming the global leader in the field of clean China's onshore large megawatt wind turbine
energy equipment supply and services. In 2023, manufacturing, relying on the pioneering
we overcame challenges and technology barriers "Digital Platform" and highly integrated digital
in the construction of China's highest-altitude manufacturing lines. Meanwhile, we are vigorously
wind power project in Comai, Tibet, which was promoting the construction of a green and Zhou Fugui
successfully connected to the grid. In addition, we sustainable supply chain to guarantee product
will continuously pay attention to climate change quality and sustainability at the source. Chairman of SANY Renewable Energy Co., Ltd.
response and the circular economy, with the aim to
improve our performance in green development in
various aspects, including strategic planning, risk
management, and performance monitoring.
05 SANY Renewable Energy Environmental, Social and Governance Report 2023 06
About SANY Renewable Energy
Company Profile
SANY Renewable Energy Co., Ltd. was founded in 2008 and is committed to becoming the global leader
in the field of clean energy equipment supply and services. The Company was officially listed and traded
on STAR Market of Shanghai Stock Exchange on June 22, 2022 (stock name: SANY Renewable Energy;
stock code: 688349). SANY Renewable Energy is among the Global Top 500 New Energy Companies and
recognized by the Ministry of Industry and Information Technology of the People's Republic of China as the
Benchmark Enterprise for Intelligent Manufacturing. SANY Renewable Energy's market share has increased
significantly and ranked as the 7th largest wind turbine manufacturer in the world and Top 5 wind turbine
manufacturers in China.
The main business of SANY Renewable Energy includes the R&D, manufacturing and sales of wind turbines,
and the designing, construction, and operation & management of wind farms. By integrating the world's top
research and technology resources, SANY Renewable Energy continues to create wind turbine platforms
with competitive advantages, and has the ability to independently design, construct and operate wind farms.
SANY Renewable Energy has developed the comprehensive wind energy solutions including digital top-level
design, intelligent manufacturing, complete integration system, core components manufacturing, wind farm
design, EPC, and wind farm operation and maintenance.
Business Highlights
Annual capacity sold in 2023
Annual sold of wind turbine in 2023
1,301 7,242.55MW
By the end of December 31, 2023, SANY Renewable Energy's wind turbine has contributed to a
84.2 billion kWh of power generation, which is equivalent to a reduction of
cumulative of
48.02 million tons of CO emissions and saving approximately 10.35 million tons of
2
standard coal consumption.
07 SANY Renewable Energy Environmental, Social and Governance Report 2023 08
Awards Ranking Awards
Top 10 among China Top 500 Energy Global Top 500
Top 500 China
Top 100 Electrical Enterprises in New Energy
Awards in 2023 Enterprises
Machinery in 2023
China Companies
Awarded by Awarded by Awarded by Awarded by
China Electrical Equipment China Machinery Enterprise China Energy News China Energy News
Industry Association Management Association
12 Honorary
Awards 10 Ranking
Awards 5 Product
Awards 4 Project
Awards
Recipient of the award Recipient of the award Recipient of the award Recipient of the award
SANY Renewable Energy SANY Renewable Energy SANY Renewable Energy SANY Renewable Energy
No. 18 among
World First- No. 60 among
Top 500 China Beijing Top 100
Honorary Awards Class Machinery Beijing Top 100
Machinery Manufacturing
Enterprise Enterprises
Enterprises
The 25th Golden
Bull Award for Listed 2023 IR Team of Awarded by Awarded by Awarded by Awarded by
the Year Award Innovative Publicity
Companies - the
for Best Innovation and Planning Cases China Machinery China Machinery Enterprise Beijing Enterprise Beijing Enterprise Association,
Golden Trust and
Disclosure Award Practices Enterprise Management Management Association Association, Beijing Beijing Entrepreneurs
Association Entrepreneurs Association Association
Awarded by Awarded by Awarded by
China Securities Journal Comein Finance China Energy Media Group Co., Ltd. Recipient of the award Recipient of the award Recipient of the award Recipient of the award
SANY Renewable Energy SANY Renewable Energy SANY Renewable Energy SANY Renewable Energy
Recipient of the award Recipient of the award Winning case
SANY Renewable Energy SANY Renewable Energy The Manufacturing of the World's
Largest Onshore Wind Turbine
Top 10 New Energy
Top 50 Rising Brands on
Companies with Global
Outstanding Leading Pioneer the Brand Value List of
Innovation Competitiveness
Supplier Award Award Chinese Listed Companies
on the STAR Market
Awarded by Awarded by
Awarded by Awarded by
National Business Daily National Business Daily, Chinese Enterprise
Hubei Branch of State Power Chinese Wind Energy
Research Center of the School of Economics
Investment Corporation Limited Association
and Management, Tsinghua University
Recipient of the award Recipient of the award
Recipient of the award Recipient of the award
SANY Renewable Energy SANY Renewable Energy
SANY Renewable Energy Beidaqiao Seventh Wind Farm,
Ningxiang Donghutang Wind Farm
Note: Not all awards are displayed here.
09 SANY Renewable Energy Environmental, Social and Governance Report 2023 10
Awards (con't)
Product Awards Project Awards
Wind Power Leader - Best Wind Power Leader - Best China Electric Power Quality "5G+Industrial Internet"
Onshore Wind Turbines Award Innovative Product of the Year Projects 2023 Demonstration Factory
Awarded by Awarded by Awarded by Awarded by
China Wind News China Wind News China Electric Industry and Information
Power Construction Technology Department
Association of Hunan Province
Recipient of the award Recipient of the award Recipient of the award Recipient of the award
SANY Renewable Energy SANY Renewable Energy Huaneng Tongyu 2 Million SANY (Shaoshan) Wind
kW Wind Power Parity on Power 5G+ Industrial
Grid Project (Phase I and II) Internet Project
Wind Power Leader - Best TOP 10 Best Onshore Wind Outstanding Wind Farms (Class Optimal Turbine Manufacturers
Service Award Turbines (Above 5.6 MW) 3A - Class 5A Wind Farms) for Maximum Unit Availability
Awarded by Awarded by Awarded by Awarded by
China Wind News Wind Power Monthly China Electricity Council China Electricity Council
Recipient of the award Recipient of the award Recipient of the award Recipient of the award
SANY Renewable Energy SANY Renewable Energy 20 outstanding wind farms 5 turbine manufacturers
Note: Not all awards are displayed here.
01
Sustainable Development
Management
To bear the weight of the times and empower the nation, SANY Renewable Energy has
integrated the sustainable development concept into strategies and operation management,
and formed an ESG strategy system. In addition, the Company established a sustainable
development governance structure in alignment with the current management system to
achieve synergy between business and sustainable development strategies. 13 Sustainable Development 16 Sustainable Development 17 Materiality
Strategies and Goals Governance Structure Analysis
13 SANY Renewable Energy Environmental, Social and Governance Report 2023 14
Sustainable Development Strategies To achieve high-quality results for the corporate strategies of "Globalization", "Digitalization" and
"Decarbonization", SANY Renewable Energy has launched the construction of an ESG system in 2023.
and Goals As a result, SANY Renewable Energy has built a sustainable development strategy system driven by
"becoming the global leader in the field of clean energy equipment supply and services, contributing to
Sustainable Development Strategies China's 'Carbon Peak and Carbon Neutrality' and the world's clean energy transition" and supported by the
four pillars of "green development, talent cultivation, excellent quality and business integrity". Furthermore,
Management
Development
Sustainable
SANY Renewable Energy has developed strategic goals and action plans for material issues.
Motivated by the mission "Intelligent Manufacturing Leads the Future" and the vision "To Promote Efficient
Utilization of Clean Energy", SANY Renewable Energy is committed to becoming the global leader in the field of In December 2023, the Company joined the United Nations Global Compact (UNGC), committing to
clean energy equipment supply and services. In this way, SANY Renewable Energy is doing its part in helping supporting UNGC's ten principles relating to human rights, labor, environment and anti-corruption. We
China achieve goals of "carbon peak and carbon neutrality" and contributing to the global transition to clean strive to continuously integrate sustainable development into our business strategies and operations,
energy. SANY Renewable Energy promotes the corporate values of "Patriotism, Integrity, Struggle, Innovation, create ESG value with our partners, and advance the UN SDGs.
Adherence to Long-Termism, Keep Customer Satisfaction as the Top Priority", which guide the Company's
long-term sustainable development.
Our vision Our value
Development
Green
Our mission
Patriotism, Integrity, Struggle,
Quality Changes the World, To Promote Efficient Innovation, Adherence to Long-
Intelligent Manufacturing Leads Utilization of Clean Energy Termism,Keep Customer
the Future
Satisfaction as the Top Priority
1
Business Prosperity
Talent Cultivation for
Vision：To Promote Efficient
Vision
Utilization of Clean Energy
ESG
Becoming the global leader in the field of clean energy equipment supply and services,contributing to
Driving
Force
China's ''Carbon Peak and Carbon Neutrality'' and the world's clean energy transition
Strategic
Green Development Talent Cultivation Excellent Quality Business Integrity
2 Pillars
Excellent Quality
Sustainable
Development Taking decarbonization Adhering to the talent Increasing investment Regarding honesty as
Strategy as a core strategy, concept of ''hard work in R&D to manufacture the basic principle, we
System continuously and perseverance in intelligent wind turbines continuously improve
reducing the overall achieving success'', that ''can sense, decide business ethics
Strategic
environmental impact we attract high-quality and execute'' and build rules and regulations
Goals
of the Company's talents by continuously intelligent wind farms to realize sound
operation and enhancing the training that ''can achieve management.
products, to create an system and improving ultimate safety,excellent
Business Integrity
environment friendly employee benefits. energy performance,
enterprise. and optimal operation
and maintenance''.
Response to climate change Occupational health R&D and innovation Business ethics
and safety
Toxic emissions and waste Labor management Supply chain management Data security and
and rights privacy protection
3 Circular economy Employee development Customer services
and training
Material
Environmental management
Responsibilities
Community
Issues
throughout product lifecycle
15 SANY Renewable Energy Environmental, Social and Governance Report 2023 16
Sustainable Development Goals Sustainable Development
The 17 Sustainable Development Goals (SDGs) of the United Nations are the blueprint to achieve a better and
more sustainable future for all, and provide a strategic framework for sustainable practices of enterprises. In Governance Structure
2023, in the process of joining the UNGC, the Company clarified the priorities for each material issue under the
four pillars of the sustainable development strategy system, and decomposed them into management goals. In A sound governance structure for sustainable development is critical to the implementation of sustainable
addition, SANY Renewable Energy gradually developed and implemented action plans internally to track and development strategies. In 2023, SANY Renewable Energy established a formal sustainability governance
Management
Development
Sustainable
improve performance, advancing the UN SDGs with practical actions. structure to drive the sustainable development strategy at three levels: governance, management and execution.
United Nations Sustainable
Pillars Topics Sustainable Development Goals
Development Goals SANY Renewable Energy's Sustainable Development Governance Structure
Developing a carbon strategy to
Response to climate change
progressively manage and reduce our
Scope 1, 2, and 3 greenhouse gas (GHG)
Governance
Toxic emissions and waste emissions
Development
Green
Green As the highest responsible body for sustainable development at SANY
General and hazardous waste disposal is
Development Circular economy Renewable Energy, the Board of Directors reviews the Company's ESG
100% in compliance with standards
strategies, objectives and risk management status.
Having products certified for their
Environmental impact environmental impact and reducing the Board of Directors
throughout product lifecycle carbon footprint of the unit product over its
lifecycle
Business Prosperity
Talent Cultivation for
The ESG Steering Group is responsible for developing ESG strategies and
Zero incident in practice goals, reviewing ESG plans and major ESG projects, promoting cross-functional
Occupational health and safety
ESG collaboration, and reporting to the Board.
Employee satisfaction over 90%
Labor management and rights
The ESG Steering Group is composed of the Company's Chairman and
"Zero tolerance and zero violation" in labor
Management
Talent management assuming key ESG management responsibilities, with Chairman
rights and interests ESG Steering Group
Cultivation Zhou Fugui as the group leader.
Employee development Career guidance for all employees
for Business and training
Prosperity
Excellent Quality
The ESG Working Group is responsible for formulating the Company's ESG
implementation plans, driving the implementation of strategies and gathering
information from ESG-related departments on a regular basis. The working
group is also responsible for monitoring the implementation of the plans to
Continuously promoting research on advance the goals, and regularly reporting the work progress to the ESG
R&D and innovation ESG Working Group
offshore wind turbines and onshore large Steering Group.
megawatt technologies to popularize the
Supply chain management use of clean energy
Excellent
By 2024, 100% of suppliers will have signed
Quality
Business Integrity
Customer services the Supplier Code of Conduct
Maintaining high level of customer
Execution
satisfaction The representatives regularly participate in ESG meetings to understand
relevant department objectives and formulate work plans. They also
coordinate the resource allocation, and report the work progress to ESG
Representatives
Working Group on a regular basis.
from ESG-Related
Departments
The coverage rate of business ethics
Business ethics
training reaches 100%
Responsibilities
Community
100% of employees have signed the
Data security and privacy
Business Ethics Commitment Letter
Business protection
Integrity Creating an atmosphere of integrity in
business, and strengthening supervision,
control and restraint mechanisms
17 SANY Renewable Energy Environmental, Social and Governance Report 2023 18
Materiality Analysis Materiality Matrix
To identify sustainable development issues closely related to the Company's operations and stakeholders, we
conducted a materiality assessment in 2023, which identified 21 material ESG issues.
Stakeholder Identification and Communication Our process for identifying material issues is as follows:
SANY Renewable Energy values the opinions and suggestions of stakeholders and regularly communicates
Management
Development
Sustainable
with them through various channels. This enables the Company to understand stakeholders' expectations and Step 1 Step 2 Step 3
suggestions for the sustainable development of the Company and to continuously improve ESG management.
Conducted research on macro Conducted research on the Finalized the materiality
policies and development trends materiality of the issues to matrix based on the ranking
Stakeholders Expectations and Requirements Communication Channels of the industry the internal and external by materiality, reflecting the
stakeholders through interviews materiality of each issue to the
Customers Integrity and compliance Contractual performance Prepared a list of extensive and questionnaires. We also internal and external stakeholders
& Business Product and service quality Customers feedback mechanism issues with reference to major conducted 21 management
Partners domestic and international interviews and distributed
Product innovation Market research
Development
Green
sustainability initiatives, disclosure
Sustainable operation Daily liaison guidelines, rating standards, 821 questionnaires to major
Executives meeting and the requirements of major stakeholders
stakeholders Based on the research, issues
Benchmarked domestic and were ranked and categorized by
Shareholders Corporate performance Annual and other periodic reports
international industry practices, their materiality to internal and
and Investors Return on investment Investor relations website
and considered the Company ' s external stakeholders
Risk control and corporate governance Shareholders' meeting business characteristics and
Business Prosperity
Talent Cultivation for
Authenticity, accuracy, timeliness and Board meeting development strategies to sort out
completeness of information disclosure Correspondence extensive issues, with 21 material
Sustainability of corporate development ESG issues identified
Visitor reception
Government Compliant operations Response to national policies The materiality matrix is important for setting the direction of sustainable development strategies.
and Regulators Tax compliance Special meetings and reports
Value preservation and increment of the Work report Circular economy Toxic emissions and waste
state-owned assets
Excellence in Quality
Visits, supervision, inspection and Occupational health Response to
Contributing to local economic development assessment and safety climate change
Response to climate change Environmental Business ethics
management throughout
product lifecycle R&D and innovation
Materiality to stakeholders
Employees Employees' rights and interests Daily communication Labor management Supply chain management
and rights
Occupational health and safety Grievance mechanism Talent attraction and retention
Career development plans Staff seminars Customer
Employee development and training
services
Remuneration and benefits Employee satisfaction survey Data security and privacy protection
Business Integrity
Energy management
Suppliers Mutual benefits and integrity in Contract negotiation Promoting industry
contractual performance Bidding meetings development
Responsible taxation
Long-term cooperation Supplier assessment and audit Ecological impact
Supplier assistance and empowerment Charity and community engagement
Supplier communication and
Opportunity from clean
Building green supply chains training technologies Water resource management
Corporate
Communities Ecological protection Organizing charity events
Responsibilities
Community
governance
and NGOs Promoting economic development and Voluntary services and
employment community visits Governance
Charity events and donations
Open Day Social Materiality to SANY Renewable Energy
Environmental
Public media coverage
02 01
Green Development
Relying on innovative technologies and optimized management, SANY Renewable Energy
strives to reduce environmental footprint, improve energy efficiency and ensure environmental
friendliness throughout the product lifecycle. We demonstrate our strong commitment to
green development through actions on climate change response, green operations and
lifecycle management.
21 Response to 24 Green Operation 29 Environmental Management
Climate Change Throughout Product Lifecycle
21 SANY Renewable Energy Environmental, Social and Governance Report 2023 22
Response to Climate Change
The total coverage of installed photovoltaics amounted to 111,331 m 2
In the context of global energy transition, wind power, as a major type of clean energy, plays a crucial role in
addressing climate change. As a leading wind turbine manufacturer, SANY Renewable Energy is well aware
of its responsibility in driving the green energy revolution. We are committed to making our wind turbines With installed capacity of 15.28 MW
more efficient and reliable, as well as driving the low-carbon transition of our manufacture and operations, to
progressively manage and reduce our Scope 1, 2 and 3 greenhouse gas (GHG) emissions.
Management
Development
Sustainable
The Nankou Industrial Park purchased a total of 3,804.58 MWh of green electricity in 2023.
SANY Renewable Energy recognizes the need and urgency to participate in global climate governance and
contribute to the realization of the "carbon peak and carbon neutrality" goals, and actively takes actions to tackle
climate change. We have progressively strengthened our climate change risk management and made climate
change as a material issue in our sustainability strategy and integrated it into our sustainability governance
structure. We keep improving the performance and power generation efficiency of wind turbines, and increase
investment in green and intelligent manufacturing, with practical actions to accelerate the low-carbon transition
Driving Value Chain Decarbonization:
of our businesses and the whole society. Technological Innovation
Development
Green
GHG Emissions In 2023, SANY Renewable Energy continued to overcome the environmental limitations on wind turbines.
The Company participated in the construction of China's highest-altitude wind power project in Comai, Tibet,
which was successfully connected to the grid in November 2023. The successful completion of this project
To capture the Company's GHG emissions and provide sufficient data for future carbon reduction and
demonstrates that the large-scale centralized wind farms at higher altitudes can be developed along with
decarbonization, the Company engages third-party organizations to conduct a GHG inventory of the entire
supporting bases. In addition, China's first desert wind power project of over 6 MW implemented by the
value chain.
Company at Beidaqiao of Gansu has passed the test of continuous operation for more than one year. In
Business Prosperity
Talent Cultivation for
2023, the two projects, Beidaqiao A and B, generated a total of 706.08 million kWh of electricity, which resulted
Key Performance: GHG Emissions in 2023 (tCO2e) in a CO2 emissions reduction of approximately 402.8 thousand tonnes.
Scope 1 21,489 Key Performance: Consumption of Major Categories of Energy in 2023
Scope 2 (based on market) 44,109
Natural Gas 4.15 million m3
Scope 2 (based on region) 46,279
Excellent Quality
Gasoline 1,934.22 Tonnes
Scope 3 3,112,226
Diesel Oil 429.66 Tonnes
Anthracite 14.29 Tonnes
Decarbonization in Operational Emissions:
Liquefied Natural Gas 3.93 Tonnes
Enhancing Energy Management
Business Integrity
Liquefied Petroleum Gas 3.34 Tonnes
Upholding the principle of "energy conservation and energy efficiency improvement" and considering the
actual manufacture of the Company, SANY Renewable Energy has formulated the Energy Management Policy Steam 369.70 GJ
in accordance with the national energy policies and management standards. We strictly control our energy
consumption and carbon emissions by increasing the energy efficiency and the use of renewable energy.
Total Direct Energy Consumption 87,215.68 MWh
We step up efforts to promote various measures to save energy and reduce consumption, including the use of
electric pallet trucks, electric forklifts, LED lights, and motion sensor lights in all factories. At the same time, we Total Indirect Energy Consumption 179,608.84 MWh
Responsibilities
Community
are accelerating the development and use of renewable energy. We have completed the construction of rooftop
photovoltaics at Nankou Industrial Park, Shaoshan Blade Factory and Chenzhou Industrial Park. The total Renewable Energy Generated 13,666.68 MWh
coverage of installed photovoltaics amounted to 111,331 square meter with installed capacity of 15.28 MW. In
addition, the Company is actively engaged in green electricity trading and the Nankou Industrial Park purchased Renewable Energy Consumed 12,942.10 MWh
a total of 3,804.58 MWh of green electricity in 2023.
23 SANY Renewable Energy Environmental, Social and Governance Report 2023 24
Case: Creating an Exemplary Factory in Green and Low-Carbon Practice Green Operation
SANY Renewable Energy, as a clean energy equipment manufacturer, is always committed to promoting
The micro-grid system established by Shaoshan Blade Factory consists of solar power generation, environmental protection management through the application of appropriate technologies, processes and
wind power generation, diesel power generation (for backup), energy storage system and energy systems. In doing so, the Company aims to mitigate and reduce the negative caused by manufacture and
management system. The micro-grid system enables the self-control and self-management of grid- operation on the environment. We strive to reduce the negative impact of our activities on the environment and
prevent various environmental accidents. To this end, we keep improving the organizational structure and the
Management
Development
Sustainable
connected micro-grid and maximizes the use of distributed power and renewable energy to ensure
that the energy system of the factory is operated in a stable, efficient, economical and intelligent mechanism for environmental management, carrying out regular investigations into environmental risks and
manner. Currently, the micro-grid at Shaoshan Blade Factory can generate an average of 16,975 monitoring the environmental performance in all aspects.
kWh of electricity per day, with self-consumption accounting for 66.4%. Shaoshan Blade Factory has
obtained ISO 50001 energy management system certification and has been selected as one of the
green manufacturing demonstration enterprises in Hunan Province. Environmental Management System
SANY Renewable Energy strictly abides by various regulations and laws concerning environmental management
Diesel power generation system
Development
Green
Wind power system that are applicable to the manufacture and operation of the Company, including the Environmental Protection
(back-up power generation)
Law of the People's Republic of China, the Law of the People's Republic of China on Environmental Impact
Assessment, and the Law of the People's Republic of China on Promotion of Cleaner Manufacture. In addition,
the Company continuously improves environment management system in accordance with the requirements of
ISO 14001 system.
During the reporting period, the Company formulated and released the Environmental Policy, which defines the
principles and methods for the management of environmental issues that are closely related to the Company's
Business Prosperity
Talent Cultivation for
business and manufacture. Such environmental issues include, but not limited to, response to climate change,
energy consumption, water resource management, raw material and waste management, and environmental
impacts of product use and end-of-life products. In addition, the Environmental Policy involves and focuses
on the environmental impacts of the activities of the Company's stakeholders (including suppliers, customers,
Solar power Energy storage system and partners), with the aim of strengthening their environmental management and environmental awareness,
and joining hands with stakeholders to promote the green transition of the industry. By the end of the reporting
period, the Company's 5 manufacture and operation sites (Nankou, Huilongguan, Tongyu, Zhangjiakou and
Mirco-grid Shaoshan), which were put into manufacture and under stable operation for over a year, had all obtained the
Excellent Quality
ISO 14001 Environmental Management System certification. Meanwhile, Hunan SANY Smart New Energy
Design Co., Ltd., a major developer of wind farms, had passed the certification as well.
100% had all obtained the ISO 14001 Environmental Management System certification
Company electricity consumption
Business Integrity
Environmental Governance
The Company practices the principle of "taking environmental protection as a must in manufacturing
management" and implements the system of "ultimate responsibility undertaken by chief responsible person".
Responsibilities
Community
Developing a green and low-carbon flagship factory The Board of Directors and the Safety Committee of the Company ensure that the environmental policies
and management system are carried out in a coordinated manner. In the meantime, the CEO office, the
Manufacturing Department, the R&D Institute, the Process Institute, the Administrative Services Department and
functional departments ensure that various direct impacts on the environment caused by the manufacture and
operation are effectively managed.
25 SANY Renewable Energy Environmental, Social and Governance Report 2023 26
Environmental Risks Identification and Control Management of Water Resource and Wastewater
To further strengthen the identification and control of environmental risks, we identify, evaluate and control the Despite the weak dependence of the manufacture and operations on water resources, we emphasize the
environmental factors including wastewater discharge, exhaust gas emission, general solid waste disposal, conservation of water resources and the control of wastewater discharges. To save water, we have installed
hazardous waste disposal, chemical leakage and noise emission during wind turbines' lifecycle processes water-saving and storage devices such as sensor faucets, sensor toilet flushing devices and rainwater collection
such as designing and development, procurement and sales, manufacturing and processing, storage and systems in all the operational facilities, and are promoting tips of water conservation among employees. We
transportation, services, external construction and services. Based on the identification of environmental risks, have taken specific measures to treat domestic sewage in strict compliance with various wastewater treatment
Management
Development
Sustainable
we specify the management responsibilities for the control of key environmental factors and require relevant standards. To ensure treatment effectiveness, we implement strict monitoring over the wastewater treatment
employees to receive special training and pass relevant examinations. Meanwhile, we have also formulated stations and regularly inspect and evaluate their treatment capacity to maintain a continuous and stable
the Management Policy for the Operation of Environmental Equipment to standardize the management of operation.
the use, inspection and maintenance of various environmental facilities used for the treatment of exhaust
In 2023, the Company built a new domestic sewage treatment station, along with the existing wastewater
gas, wastewater, solid waste and noise. By doing so, we ensure that all types of pollutants are discharged in
treatment station, to enhance the capacity of wastewater treatment and water recycling of the Nankou Industrial
compliance with relevant laws.
Park. The new station adopts the technology of reclaimed water reusing and the treated domestic wastewater
During the reporting period, the Company conducted environmental risk assessments on all workplaces. By will be used for greening and toilet flushing. This station is expected to produce approximately 154.4 thousand
the end of the reporting period, all environmental monitoring indicators, including the rate of classified collection tonnes of reclaimed water every year, saving approximately 1,389.6 thousand CNY.
Development
Green
and disposal of hazardous and general solid waste, exhaust gas emissions, wastewater discharges and
noise control, had met the compliance standards. Meanwhile, the Company had committed no environmental Key Performance: Water Consumption and Wastewater
Discharge (Tonnes)
breaches.
Total Water Consumption 504,252.32
Building Environmental Protection Capabilities Total Wastewater (All Domestic Wastewater) 297,156.52
Business Prosperity
Talent Cultivation for
We also attach importance to enhancing employees' capabilities of environmental protection. We conduct
environmental protection training for all employees. Through such training, we interpret in depth the energy-
saving and emission reduction measures, various environmental protection knowledge, environmental laws Exhaust Gas Management
and regulations, and the application of the circular economy. By doing so, we help employees develop an
environmental mindset and strengthen their awareness of responsibilities for daily environmental protection. We attach importance to the management of exhaust gas emission during manufacture and operations. For
Meanwhile, we have developed the Contingency Plan for Environmental Emergencies, which regulates key the construction of manufacturing bases, we require simultaneous designing, construction and initial operation
matters such as the emergency organization system, prevention mechanisms, reporting process, treatment of the air pollution prevention and control facilities and the main part project. For the manufacture, the Process
methods, emergency preparedness, publicity and drills. During the reporting period, all manufacturing units of Department engaged in the treatment of air pollutants is responsible for developing the operating procedures for
Excellent Quality
the Company carried out annual emergency drills for environmental incidents as planned. exhaust gas treatment facilities and conducting relevant employee training. The departments using such facilities
are responsible for the maintenance of the facilities and the management of ledgers. To ensure compliant
exhaust gas emission, the Company commissions qualified third-party environmental monitoring organizations
to monitor the emissions.
Key Performance: Exhaust Gas Generated in 2023 (Tonnes)
Business Integrity
Sulfur Dioxide 0.20
Nitrogen Oxides 0.51
Particulate Matters 36.11
Benzene 0.0002
Methylbenzene 0.44
Responsibilities
Community
Xylene 0.57
Volatile Organic Compound 20,732.40
Environmental emergency drills
27 SANY Renewable Energy Environmental, Social and Governance Report 2023 28
Waste Management and Circular Economy Biodiversity Management
We are committed to reducing the impact of pollution and waste on the environment and local communities. We respond to the Convention on Biological Diversity of the United Nations by incorporating biodiversity
We continue to strengthen our capacity to treat pollutants and waste, and take mitigation measures to handle conservation into the corporate management. The Company has formulated the Biodiversity Conservation Policy
potential pollutant discharge and waste. and the Management Measures for Biodiversity Conservation. With these policies, the Company is committed
to the scientific ecological restoration. To be specific, the Company promotes the ecological restoration that
We have the Management Policy for Solid Waste in place, which specifies the management and treatment observes natural processes and planting of local green plants, and practices the ecological protection concept
of different types of solid waste that may be generated during manufacture and operation, such as domestic
Management
Development
Sustainable
throughout the manufacture of wind turbines and the construction and operation of wind farms. During the
garbage, industrial solid waste, hazardous waste and construction waste. During the reporting period, we reporting period, none of the Company's newly established wind farms was located in or adjacent to biodiversity
continued to strengthen the management of hazardous waste, remained cooperative with legally qualified sensitive areas or had any significant impact on the surrounding biodiversity.
organizations engaged in hazardous waste treatment, and signed contracts of hazardous waste transfer.
By doing so, we ensure that all procedures from collection, warehousing, storage to transfer are rigorously Project Lifecycle Biodiversity Management for Wind Farm Construction
monitored and recorded based on accurate statistics, so as to ensure that 100% of hazardous waste are
handled in a compliant manner.
Keep away from areas such as Prior to implementation, all projects
We are committed to practicing the concept of circular economy throughout our manufacture and waste ecological red lines, ecotones, public shall pass the environmental impact
Development
Green
management and actively promote resource recycling during manufacture through waste reduction, waste welfare forests, basic rangeland, evaluation, obtain the approval for
and bird migration routes, when soil and water conservation scheme,
reusing, waste recycling and other approaches. During the reporting period, we focused on the recycling of selecting project sites and complete special demonstration
packaging materials through such measures as encouraging suppliers to adopt recyclable packaging materials reports on birds and forests
and upgrading and reusing packaging materials.
Site Project
Selection Implementation
Case: Achieving Green Manufacture by Promoting the Reuse of Packaging Materials
Business Prosperity
Talent Cultivation for
Upon completion of the project, take Project Project Restore the disturbed land by selecting
The Manufacturing Department keeps promoting the program of reusing waste wooden crates to fulfil measures such as soil restoration, Maintenance Construction plant varieties according to the principle
the Company's commitment to environmental protection. We upgraded the wooden crates of the raw greening and drainage improvement of "matching site with trees"
materials for manufacture to replace traditional self-made ones and these upgraded crates are used to strengthen ecological For earth slopes, restore them by
construction, so as to mitigate the planting shrubs and grass
for the packaging of structural components during transit transportation. In 2023, The Manufacturing
impact of construction activities on For high and steep rock slopes,
Department reused a total of 354 wooden crates, saving approximately 5 tonnes of wood. the environment utilize the hanging net and spraying
technology to improve surface soil
Excellent Quality
The Manufacturing Department also promoted the project of upgrading old transport tooling, saving a adhesion and conditions, and increase
total of approximately 280 tonnes of steel by upgrading 150 sets of transport tooling of old model that the survival rate and coverage of
vegetation
were no longer in use to match them with products of new model.
Case: New Practice of Ecological Restoration of Fangyuan Wind Farm in Guiyang,
Hunan Province
Tonnes of steel by upgrading 150 sets of transport tooling of old model that were
no longer in use to match them with products of new model
Business Integrity
During the construction, the Company made full use of the waste generated from the construction
Saving a total of approximately 280 tonnes of steel to carry out ecological restoration. To be specific, the Company used engineering rubble to build up
planting grooves as a blockade to improve greening effects, and built a water barrier out of engineering
mounds of soil to protect slopes from the erosion by confluent flows. In addition, our construction team
paved the temporary roadway with mudstones to divert the confluent flows and mitigate soil erosion.
In the post-construction period, we actively carried out ecological restoration and beautification. To
be specific, we covered slopes with grasses, planted trees and shrubs, and used the hanging net
Key Performance: Waste Generated in 2023 (Tonnes) and spraying technology to restore the vegetation in the field as quick as possible. During the project
period, our hanging net and spraying work covered a total of 8.61 hectares of land. We planted grasses
Responsibilities
Community
Total Hazardous Waste 1,171.15 of 14.50 hectares and 4,700 trees and shrubs. In addition, we constructed the slag-retaining wall of
190 m, the water barrier of 3.5 km as well as planting grooves of 1.2 km, and paved mudstone of 9.16
hectares, which effectively restored the ecological environment around the wind farms and prevented
Total Non-Hazardous Waste 18,250.96 soil erosion and other harmful impacts.
29 SANY Renewable Energy Environmental, Social and Governance Report 2023 30
Environmental Management
Throughout Product Lifecycle
SANY Renewable Energy is committed to developing environmentally friendly wind turbines. We have
incorporated the reduction of environmental impacts brought by the use of products as well as the end-of-life
Management
Development
Sustainable
products into the environmental policy. In this way, we have established the environmental impact control over
product's lifecycle processes including design and development, manufacture, construction and operation, and
decommissioning and scrapping. Through these efforts, we promote the recycling of materials and reduce the
consumption of materials and the waste.
At the stage of product design and development, we actively explore the solutions to enhance the environmental
strengths and sustainability of products while ensuring the product quality and performance. The solutions
include the use of green materials with low environmental impacts, lightweight design with lower consumption
of raw materials, and noise control in operations. We have carried out many practices of green design. For
Development
Green
instance, we applied QT700 ductile cast iron to main shafts, main frames and bearing housing, which improves
the strength of the structural parts of wind turbines while reducing the weight. In addition, we discussed with our
suppliers about the solutions to replacing the fluorine-containing gases in the switchgear with environmentally
friendly gases. In the past three years, SANY Renewable Energy has obtained a total of 429 patents, of which
139 are green patents.
Business Prosperity
Talent Cultivation for
SANY Renewable Energy has obtained a total of 429 patents
of which 139 are green patents
Excellent Quality
Breakdown of SANY Renewable Energy's Green Patents between 2021 to 2023
16% 6% 4% 4% 2%
Business Integrity
Increasing Power Recycling of Application of
Optimizing Blade Grease and Noise Reduction
Generation Lightweight
Manufacturing
Capacity Carbon Dust Materials
67（16%） 27（6%） 18（4%） 17（4%） 10（2%）
Responsibilities
Community
For the end of life of products, we are gradually improving the decommissioning plan of wind turbines through
such measures as precise dismantling, classified recycling, and ecological restoration. To minimize the
environmental impact of wind turbines at the end of their life, we are also actively exploring solutions to the reuse
of decommissioned blades and keeping abreast of the R&D and innovations of the application of recyclable or
biodegradable materials to wind turbine blades.
03
Talent Cultivation for
Business Prosperity
SANY Renewable Energy is deeply aware that talents are valuable assets of an enterprise
and the core driving force that promotes the sustainable development of the enterprise.
Therefore, we are committed to improving the employment management and the protection
of employee rights and interests. In addition, we provide employees with great room for
career development and create a working environment that attracts, cultivates and retains 33 Labor Management 39 Training and 42 Occupational
outstanding talents. Moreover, we pay attention to the health and safety of employees. and Rights Development Health and Safety
33 SANY Renewable Energy Environmental, Social and Governance Report 2023 34
Labor Management and Rights Case: Promoting Diversity and Integration - Foreign Employees Training at the
Headquarters
SANY Renewable Energy believes in the value of "hard work and perseverance in achieving success" and is
committed to nurturing employees through a supportive work environment and development opportunities. In addition,
In August and October 2023, 29 newly-joined foreign employees (88% of the total newly-joined foreign
the Company is committed to creating a fair and inclusive working environment of mutual assistance and practices the
principle of "zero tolerance and zero violation" to protect labor rights and interests. The Company also ensures that the employees) were organized by the Overseas Marketing Department and the Human Resources
rights and interests of employees are fully respected and protected through effective labor management to improve Department to participate in the "2023 Foreign Employees Training Program of SANY Renewable
Management
Development
Sustainable
employee satisfaction. Meanwhile, we continuously invest in talent acquisition and recruit global professionals with Energy". By doing so, we enhanced foreign employees' sense of identity and belonging toward the
diverse backgrounds to actively promote cross-cultural communication and integration, and strive to create a talent corporate culture and helped them know about the development strategy, products and technologies,
team that embraces diversity. policies and systems, and business of the Company while also enhancing the communication and
mutual trust between the foreign employees and employees at the headquarters, thus forming a good
teamwork spirit. The training was carried out in such forms as centralized lectures, wind power salons,
Human Rights Protection exchange lectures, wind power exhibitions and factory visits. The training satisfaction was rated as 4.82
out of 5.
We abide by labor laws, regulations and standards that are applicable to the locations where we operate,
including the Labor Law of the People's Republic of China, the Law of the People's Republic of China on the
Development
Green
Protection of Minors, and the Law of the People's Republic of China on the Protection of Rights and Interests of
Women.
As we became a signatory to the UNGC during the reporting period, we have formulated the Policy for Human
Rights and Labor Management out of the respect for internationally recognized policies regarding human rights,
such as the International Bill of Human Rights and the ILO Declaration on Fundamental Principles and Rights at
Work, so as to convey our human rights policy to our employees, suppliers, contractors and partners. The policy
advocates the protection of the rights and interests of female employees, strictly prohibits forced labor and child
Business Prosperity
Talent Cultivation for
labor in any form, and rejects workplace harassment and discrimination in any form. Besides, the policy specifies
key management actions such as whistleblowing, whistleblower protection, grievance, dispute mediation, as well
as remedies and compensation. We have conducted human rights training for all employees to help them learn
about their rights and interests as well as the essence of the Policy for Human Rights and Labor Management.
During the reporting period, the Human Resources Department of the Company conducted the first company-
wide internal assessment of human rights and labor management. During the assessment, no reports or
complaints of harassment or discrimination were received, and no incidents in violation of laws and regulations or
internationally accepted standards regarding labor human rights (such as child labor, human trafficking and forced
labor) were found.
Excellent Quality
Practice of Diversity and Equity
With the development of business and globalization of SANY Renewable Energy, the Company actively recruits
Foreign employees visiting the factory of SANY Renewable Energy
talents of different gender, ethnicity, nationality, education background and cultural background. In addition, the
Company strives to create a diverse working environment in which different opinions and views are respected
to promote innovation and teamwork. We have integrated the concept of diversity into the management
Business Integrity
of human resources. During the reporting period, we formulated the Guidance on Care for Minorities and
Disadvantaged Employees, the Guidance on the Protection of Fundamental Rights and Interests and Career
Development of Employees with Disabilities, the Guidance on the Protection of Fundamental Rights and Interests
and Career Development of Female Employees and other guidance manuals for different groups in order to
Key Performance:
promote the protection of their rights and interests. Besides, we encourage their active participation in the work
and development of the Company by establishing a diversified incentive mechanism and caring for their life,
development, communication, etc.
Foreign Employees 160
In addition, we focus on eliminating discriminatory conducts in employment and at work, to create an equal and
fair workplace. We have developed the Code of Conduct for Employee in Recruitment Positions to eliminate
discrimination relating to gender, age, race, nationality, religion, or other social and personal factors, thus providing
Employees of Minority Groups and/or Disadvantaged Employees 532
Responsibilities
Community
all candidates with equal rights to work. It is stipulated in our Cadre Management Policy that for the evaluation,
selection and promotion of cadres, fair and objective evaluation criteria should be adopted, employees should Employees with Disabilities 46
be entitled to fair selection opportunities, diversity and inclusiveness should be taken into consideration, and any
form of discrimination should be prohibited. By doing so, we strive to create a fair career promotion channel for Female Employees 540
employees.
35 SANY Renewable Energy Environmental, Social and Governance Report 2023 36
Remuneration and Benefits We pay employees in full and on time and provide payroll details to ensure transparency and fairness. In addition,
we stick to the principle of equal employment and equal pay for equal work to ensure that all employees are
treated fairly and enjoy favorable conditions at work. During the reporting period, our unadjusted remuneration
SANY Renewable Energy offers employees highly competitive remuneration. We have established a for male employees were 5.59% higher than those for female employees.
comprehensive remuneration and benefits system for employees in accordance with national laws and
The Company is committed to providing all employees with more considerate services and protection and
regulations as well as those of the overseas regions where we operate. The remuneration and benefits include,
creating working conditions that help them balance work and life. In addition, the Company has formulated the
but not limited to, overtime compensation, statutory public holidays, paid annual leave, maternity leave, paternity
Management Rules for Employee Benefits to regulate the distribution of benefits
leave, and remote working. During the reporting period, the Company signed labor contracts with 100% of
Management
Development
Sustainable
employees in accordance with the law and offer social insurance to 100% of the regular employees.
The Company keeps improving the remuneration management system to stimulate the potential and motivation
of employees and encourage them to create values. Our remuneration consists of basic salary, performance Employee Benefits System
bonuses, allowances and subsidies, etc. We offer different remuneration package based on the job value and
develop tailored remuneration strategies for all employees. In addition, the Human Resources Department
regularly monitors and evaluates the remuneration of all departments and positions to ensure that the
Insurance Benefits Material Benefits Healthcare Benefits
remuneration offered by the Company is reasonable and attractive to talents.
Development
Green
The Company provides all The Company provides employees with The Company provides annual
employees with pensions, medical, meals, commuting, housing, holiday physical examinations for employees
work-related injury, maternity, and and birthday benefits. In addition, when every year. Employees can attend
unemployment insurances, as well as employees experience major personal the physical examinations at the
Remuneration System housing provident fund. In addition,
the Company offers group accident
and family events such as marriage,
funeral, childbirth and critical illness,
contracted medical institutions.
insurance and personal accident the Company will provide employees
insurance to contractors, employer with allowances for congratulation or
For All Employees
Business Prosperity
Talent Cultivation for
liability insurance to interns, expert condolence.
health insurance to international
experts, and overseas personnel
Basic Salary Determined by job value, personal ability, and skill level accident insurance to staff on
Children Education
international assignments. Lifestyle Benefits
Benefits
The Company has a variety of staff The Company is committed to solving
Performance activity rooms, reading rooms, gyms, the problem of schooling, from
Short-term incentives determined by performance results
Bonuses ball fields, activity centers, parks and nursery to compulsory junior high
other facilities for staff recreation and school, for the children of employees
Excellent Quality
learning. in need.
Allowances
Based on job characteristics or geographical location
and Subsidies
For Specific Employees
Incremental
Business Integrity
For R&D team: Designed for incremental gross profit sharing of R&D products
Sales Award
Equity incentive plans targeting senior managers in key positions, R&D core positions, and core
Equity
management positions (By the end of the reporting period, two periods of exercise registration had
Incentives been completed as planned)
Employee Targeting directors (excluding independent directors), supervisors, senior management, middle
Stock management, staff in key positions, and core business (technical) staff. The Company formulated,
Responsibilities
Community
Ownership considered and approved the Employee Stock Ownership Plan in 2023, involving 631 employees.
Incentives Leisure sports activity Mountain climbing Care activity for Spring Festival activity
Incentives are devised based on challenging target agreements that are tied to key performance
for Achieving in Nankou Industrial organized by SANY employees' families
Challenging indicators, such as business revenue and profits. Upon achieving challenging targets, personnel will
Park Renewable Energy
Targets receive corresponding cash incentives.
Blade Company
37 SANY Renewable Energy Environmental, Social and Governance Report 2023 38
Employee Communication and Satisfaction Case: Proactive Human Resource Services for the Benefits of Employees
Democratic Management
In June 2023, the Human Resources Department
We respect employees' freedom of association and the right of collective bargaining, gradually improve the policy organized a "Human Resources Service Day" event
for democratic communication and steadily promote the democratic management mainly in the form of staff to enhance employees' understanding of human
councils and labor unions. During the reporting period, the Company promoted the establishment of the labor resources policies and procedures. Through on-
Management
Development
Sustainable
union and set up the first Labor Union Committee, the Financial Review Committee, the Committee of Female site Q&A sessions and the distribution of brochures,
Employees and other organizations. In the future, we will actively carry out negotiations on important matters employees were informed about social security, housing
concerning the immediate interests of employees and the revision of major policies through the labor union. provident fund, and certificate issuance procedures.
Besides, we will promote the signing of collective agreements on occupational health and safety, training and With extensive participation by employees, this event
career management, anti-harassment and anti-discrimination and other issues, so as to effectively safeguard served to address the concerns of employees and
the rights and interests of employees. During the reporting period, the Company convened a staff council to effectively communicate human resource policies to
deliberate and approve the Management Scheme for 2023 Employee Stock Ownership Plan. By doing so, the Human Resources Service Day
them.
Company improved the benefit-sharing mechanism between the Company and employees to enhance the
Development
Green
cohesion among employees and the competitiveness of the Company.
Employee Grievance Flowchart
Proactive Communication
Employees may exercise the right of grievance,
During the reporting period, the Company continued to implement the management process for handling indictment, or reporting when they believe their
Business Prosperity
Talent Cultivation for
employee complaint via email, internet platforms, mobile apps, and other channels. The Company adopted rights and interests have been violated
a hierarchical management approach with feedback verification at each level, ensuring effective and timely All grievances will be handled in
an appropriate manner An employee raises a grievance to his/her
resolution of issues raised by both domestic and overseas employees across all levels. Monthly employee If the grievance is
immediate supervisor
representative symposiums were conducted to help employees keep updated with our developments and to The Company requires that the not resolved, the
address their demands regarding office arrangements, accommodations, cafeteria services, transportation, and details such as names of those preliminary grievance
Initial grievance: Investigations and interviews are
other services. During the reporting period, the Company received a total of 259 complaints and suggestions involved in the grievance be kept will be initiated
conducted by the Human Resources Department
from employees regarding property management, cafeteria services, fleet management, security management, strictly confidential and the handling recommendations will be
reception management, etc. In response, we organized specialized symposiums and assigned dedicated If the employee is
The Company prohibits any form provided within 14 days of the completion of the
Excellent Quality
personnel to provide explanations and address concerns, achieving a timely response rate of 100%. not satisfied with
of retaliation against anyone investigation
the decision of the
involved in a grievance initial state and
Final grievance: Investigations and interviews are
provides detailed and
conducted based on new evidence and reasons
reasonable reasons
Achieving a timely response rate of 100% by the Human Resources Department and final
for further grievance,
handling recommendations will be provided within
the final grievance will
14 days of the completion of the investigation
be initiated
Business Integrity
Employee Satisfaction Survey
The Company conducts an Employee Satisfaction Survey every year to track employee satisfaction from various
aspects of daily operations, driving management optimization and organizational efficiency. During the reporting
period, all employees participated in the satisfaction survey. The final scores reached 4.02 out of 5, maintaining a
consistently high level.
Responsibilities
Community
The final scores reached 4.02 out of 5, maintaining a consistently high level.
39 SANY Renewable Energy Environmental, Social and Governance Report 2023 40
Training and Development Employee Career Development
During the reporting period, we established a goal-centered performance evaluation system for all employees.
Employee Training System Diverse methods were applied based on job levels and positions, ensuring the comprehensiveness and
objectivity of the performance evaluation.
The Company is dedicated to meeting the increasingly diverse personal and occupational development needs
We have established two career development paths in professional and management roles, spanning 15
of employees, aiming to enhance their professional skills and overall competencies. Efforts are focused on
categories such as R&D technology, IT, and human resources. This initiative aims to align employees' career
Management
Development
Sustainable
providing career guidance for all employees, effectively advancing talent development in alignment with the
progress with the Company's strategic objectives, thereby achieving a win-win situation for both employees and
Company's strategic goals. We advocate for the concept of "integrated training" and have established a training
the enterprise.
system that covers all employees and spans their entire careers. Our aim is to inspire proactive learning and
progress among employees. During the reporting period, we continued to optimize the training system, revising
26 relevant policies and processes regarding training management, demands analysis, effectiveness evaluation,
and course development. We are committed to developing a portfolio of high-quality training programs for
Job Promotion Rank Promotion
talents. The efforts we made include optimizing a range of key initiatives such as the Mentor-Mentee Program,
Career Advancement Path for Management Staff
Supervision Program, internal training courses, talent sponsorship for further education, and professional
Development
Green
certification.
classification
Job
ranks
Job
Employee Manager
School-Enterprise Director Staff
Training for All Staff Talent Cultivation Top Senior
Collaboration
management manager
In 2023, we held company- The Company has formulated The Company has deepened
level centralized learning and the Management Measures partnership with famous
Business Prosperity
Talent Cultivation for
criteria
Evaluation
criteria
Evaluation
assessment activities such for Sending Outstanding universities such as University Work
as Project Management Employees for Further of International Business performance, job
and Digital Transformation, Education to provide the and Economics and Beijing Performance Performance appraisal results and
requirements,
covering 4,045 employees. talents with opportunities for University of Technology to appraisal results current job levels
and talent
We conducted 19 orientation further education, and to help strengthen school-enterprise development
training sessions for newly them meet requirements for collaboration. Meanwhile,
recruited experienced higher-level positions. the Company has provided
employees and 89 pre-service high-quality career guidance
training sessions for workers, and internship opportunities
opportunities
Promotion
opportunities
Promotion
with a 100% coverage for both for university students and Those who
Offer one
Excellent Quality
types of training. worked with universities to meet the job
create training bases. promotion Offer the promotion opportunity
requirements
opportunity every every 6 months/1 year/2 years
are eligible for
6 months
promotion
audience
Target
Business Integrity
R&D personnel and technicians
Key Performance:
Path for Technical Staff
Career Advancement
Participants (person) 5,721
ranks
Job
Middle-level
Coverage (%) 100% New hires Junior staff
staff
Senior staff Expert Senior expert
Training hours (hour) 600,191
Responsibilities
Community
opportunities
Average training hours among employees (hour) 104.9 Promotion
The technical staff are evaluated every year based on their level of professionalism.
If their level of professionalism increases, their remuneration and benefits will also
Training investment (million CNY) 2.45
increase accordingly
41 SANY Renewable Energy Environmental, Social and Governance Report 2023 42
Occupational Health and Safety
We attach great importance to the nurturing and utilization of innovative and technical talents. Flexible and
diverse methods have been adopted to select and promote R&D innovators as well as outstanding young
talents. We continue to enhance our premium talent development programs such as the Mentor-Mentee
Program, Supervision Program, Triple-Wind Program, Torch Program, and professional certification. We have
nurtured a batch of young leaders through incentives such as the R&D project incentive and special incentive.
SANY Renewable Energy upholds the management philosophy of "people-oriented, safety first". With risk
This has significantly improved the innovation drive and expanded the talent reserve of the Company. The
management at the core, we continue to optimize our occupational health and safety management systems
"Craftsman" technician assessment program, targeted at operators, aims to cultivate a group of technicians with
and improve our capabilities to respond to risk incidents. We are committed to providing a zero-incident work
a solid theoretical foundation and outstanding professional skills in the wind power field.
environment that promotes health and safety for all employees, including regular employees, outsourced
Management
Development
Sustainable
During the reporting period, a total of 151 operators assessments and 12 senior technician assessments were workers, and interns.
completed. In addition, we are committed to creating favorable conditions for internal job transfers and talent
SANY Renewable Energy strictly abides by the laws and regulations on occupational health and safety,
mobility across departments to cultivate versatile talents in the wind power industry. During the reporting period,
including the Work Safety Law of the People's Republic of China, Law of the People's Republic of China on the
a total of 220 employees were transferred within the Company. By the end of the reporting period, the core
Prevention and the Control of Occupational Diseases, and the Fire Protection Law of the People's Republic
technician turnover rate of the Company was only 6.61%.
of China. The Company regularly reviews the compliance calendar, identifies non-compliant management
practices, equipment, and facilities, formulates rectification plans, and ensures the compliance of the work safety
management.
Development
Green
Case: "New Wind Plan" Cultivates Future Core Talents
The "New Wind Plan" is a training program
tailored for fresh graduates, focusing on
Occupational Health and Safety Management
nurturing future core business talents. This System
program aims to select young talents who
Business Prosperity
Talent Cultivation for
embrace the Company's culture, possess SANY Renewable Energy follows the requirements of the ISO 45001 occupational health and safety
professional capabilities, and demonstrate management system to carry out management work. The Company has formulated the Employee Health and
high potential, and to help them enhance their Safety Management Manual as a mapping document for managing the occupational health and safety of all
comprehensive abilities. In 2023, a total of employees, including regular employees, outsourced worker, and interns. We continuously refine and solidify
319 fresh graduates participated in the "New the management responsibilities of each department and position, requiring top-down safety commitments and
Wind Plan". Through a series of training and bottom-up signing of safety responsibility letters. We strive to promote the compliant and orderly operation of the
selection activities, including CEO meetings, occupational health and safety management system. The Company has 5 manufacturing and operation sites
mentorship guidance, and off-the-job training, (Nankou, Huilongguan, Tongyu, Zhangjiakou and Shaoshan) that were accepted and under stable operation
Excellent Quality
93 fresh graduates entered the talent pool, for over a year. All the 5 sites have also obtained the ISO 45001 Occupational Health and Safety Management
laying a solid foundation for the Company's System certification. And Hunan SANY Smart New Energy Design Co., Ltd., a major developer of wind farms,
long-term development. has obtained the certification as well.
100% obtained the ISO 45001 Occupational Health and Safety Management
The "New Wind Plan" i
Business Integrity
System certification
Responsibilities
Community
43 SANY Renewable Energy Environmental, Social and Governance Report 2023 44
Chairman of the Company Work Safety
The first person responsible for the overall HSE work in the Company
During the reporting period, the HSE Management Department of the Company issued 21 documents
and guidelines, including the Policy on Safety Risk Identification and Graded Control, the Policy on Safety
Work Safety, Occupational Health, Fire Safety, and Environmental Protection Committee Management of Electrical Tools, and the Guidance on Noise Control Management, in response to changes in
(with the General Manager of the Company as the Director) business and manufacture. The HSE Management Department also organized the revision of 16 documents
such as the Policy on Emergency Management of Workplace Safety, the Policy on Hazardous Chemicals
Review and approve work objectives and development plans
Management
Development
Sustainable
Management, and the Policy on Safety Education and Training Management, further solidifying the system of
Develop policies, rules and processes
work safety.
Build a sound responsibility system to monitor the performance of main responsibility
Safety Risk Identification and Management
HSE Management Department
Organize the formulation of policies, operating procedures and emergency relief plans In addition to weekly safety inspections, routine inspections, and cross-team inspections, the Company also
utilized the HSE digital platform for information management, including hazard rectification and accident reporting.
Development
Green
Conduct comprehensive supervision and management of work safety
For safety issues identified, a hazard management record was created to document key information such as the
Formulate work safety plans of the Company and assess the work safety responsibility of all
departments content, location, responsible department, and person in charge, to ensure the timely rectification of hazards. In
Organize the Company's emergency drills and safety education and training accordance with the Hazardous Sources Identification and Risks Assessment Control Procedure, the Company
regularly conducts identification and assessment of potential hazards. Based on the results, the Company
Top-Down Safety Commitments
adopts graded control measures, focusing on the control of high-risk areas and manufacturing workplaces and
Safety Responsibility Letter
leveraging all relevant technical devices such as video monitors, smoke alarms, and temperature-sensitive
Heads of Departments, Branches and Subsidiaries
Bottom-Up Signing of
alarm systems. The Company also conducts regular inspections and special checks, and realizes the integration
Business Prosperity
Talent Cultivation for
Following the requirements of "the person in charge takes the responsibility" and upholding the of human, devices, and technologies as three lines of defense. In addition, we conduct regular safety inspections
principle of "making safety management an integral part of the management of the industry, of devices and keep thorough records to ensure their safe operation.
business, and manufacture and operations", the heads incorporate work safety into the priorities
of the departments, and are directly responsible for the management of work safety within their A clear graded reporting and investigation process for incidents has been established to facilitate ongoing
departments respectively optimization of incident handling procedures. As of the reporting period, the HSE Management Department and
Safety Committee had conducted a total of 80 safety inspections and patrols across all parks, factories, and
HSE Management Responsibilities of wind farms, identifying and rectifying a total of 739 hazards. Through self-inspections, units and departments
Each Department discovered and rectified a total of 14,566 hazards, including 340 high-risk hazards of class A.
Excellent Quality
Human
Manufacturing Digitalization Service R&D
Resources ……
Department Department Company Institute
Department
Organize Formulate HSE Implement Provide factory- Prepare safety
regular or risk assessment safety level safety precautions for
irregular safety and control management training in new projects
inspections mechanisms of wind farm the three- and conduct
Business Integrity
within the for new maintenance level training relevant publicity
department technologies, ... system for new work
Conduct hazard materials, employees Implement
identification and processes, and Monitor and safety
risk assessment equipment inspect labor management
on a regular Develop safe safety and during prototype
basis operating occupational testing
Strengthen procedures disease hazards ...
the safety for equipment associated with
management of and tooling each position of
the department, and measures departments
for handling
Responsibilities
Community
and give full play Implement
to the role of hazards in policies and
workshop and equipment and standards for
team leaders tooling operation work-related
and security ... injury insurance
personnel ...
...
On-site inspections of work safety
45 SANY Renewable Energy Environmental, Social and Governance Report 2023 46
Case: HSE Information Management of SANY Renewable Energy - Three Present Hazardous Material Management
Platform
To regulate the handling of hazardous chemicals and avoid potential harm to employees, we have formulated
As a modern smart manufacturing factory, SANY Renewable Energy utilizes the camera vision the Policy on Hazardous Chemicals Management. Our objective is to prevent and control leaks, fires,
recognition technology to monitor the "6S", personnel safety and attendance as well as the material poisonings, and explosions during the transportation, storage, use and disposal of hazardous chemicals, and
usage and storage relating to manufacture. The data is uploaded to the cloud for smart analysis, to regulate the scrapping and disposal of hazardous chemicals. Furthermore, the Company provides regular
achieving online and timely safety monitoring. During the reporting period, the HSE Management training for employees who handle hazardous chemicals in spray booths or manage hazardous chemical waste
Management
Development
Sustainable
Department conducted online safety monitoring through the three present platform. to ensure their compliance with operational standards. During the reporting period, no safety accidents related to
hazardous materials occurred.
Management of Relevant Parties Safety Awareness Promotion and Training
We apply the same safety standards to contractors, outsourced workers, interns, and other relevant parties as We consider the building of a culture of workplace safety and the cultivation of safety awareness among
Development
Green
those we place on our regular employees. In 2023, the Company revised the Management Policy for Relevant employees as the priority in our safety management. According to the Company's Policy on Safety Education
Parties to strengthen control over relevant parties and external personnel, standardize safety notification and Training Management, we provide safety training for all employees, including outsourced workers, interns,
procedures and content, and conduct advance qualification review of operating units. We strictly implement the and temporary workers. We also conduct special training for new employees when adopting new processes,
management requirements and sign the Agreement on the Management of Occupational Health and Safety technologies, materials, or equipment. During the reporting period, we required each business unit to conduct
and Environmental Protection with relevant parties to define the responsibilities of work safety management monthly safety training and each manufacturing unit to conduct weekly special safety training. This aimed to
and necessary safety measures. We require relevant parties to provide safety and environmental protection enhance the frequency and relevance of safety training. Additionally, all chief safety officers and safety leaders
are required to attend special safety training and obtain certification upon assessment.
Business Prosperity
Talent Cultivation for
related construction plans and conduct strict review and archival. New employees are required to take training
and exams before working on site. Furthermore, we require temporary entrants to the factory, such as visitors
Furthermore, we continuously update our Collection of Typical Safety Hazards to help employees understand
and personnel from contractors, sign the safety notification forms. This aims to ensure that external individuals
and identify potential safety hazards in the workplace. By the end of the reporting period, we had organized
understand our safety management regulations and the risk issues.
19 company-wide safety training sessions, with a total of 544 trainees. In addition, we held 12 special monthly
safety training sessions with around 28,867 participants, averaging 24 hours of safety training per individual.
Furthermore, we administered 12 safety knowledge and skills exams, with a total of 27,892 participants.
Case: Promoting Work Safety and Conducting Safety Training for Relevant Parties
Excellent Quality
In 2023, the HSE Management Department of the Company organized a total of 245 safety training We organized 19 company-wide safety training sessions
sessions for relevant parties across various industrial parks, with a total of 5,773 participants. During
the training, the Company popularized the knowledge of manufacturing characteristics, safety red with a total of 544 trainees and
lines, and emergency safety management to partners. Additionally, the Company distributed materials
held 12 special monthly safety training sessions
such as the collection of typical safety hazards and the chart of one hundred work safety pitfalls to help
employees effectively recognize and avoid risks.
with around 28,867 participants.
Business Integrity
The average number of hours of safety training per
person reached 24 hours.
We also administered 12 safety knowledge and skills exams
Responsibilities
Community
with a total of 27,892 participants.
Work safety training for relevant parties
47 SANY Renewable Energy Environmental, Social and Governance Report 2023 48
Emergency Drills for Safety Accidents Key Performance:
Adhering to the principle of "thinking ahead for complete safety", we have formulated the Policy on Emergency Lost time incident rate of direct labor 23.71%
Management of Workplace Safety and emergency response procedures for safety accidents. We have
established emergency response teams, stocked emergency supplies, and conducted emergency drills as
required by the policy. In addition, each subsidiary and department has developed emergency drill plans and
Lost time serious incident rate of direct labor 3.19%
conducts drills on different themes every two months to improve emergency response capabilities and handling
Management
Development
Sustainable
proficiency. During the reporting period, the HSE Management Department, considering the actual manufacture Lost time incident rate of contractors 80%
of the Company, organized a total of 11 emergency response drills for poisoning and asphyxiation in confined
spaces, fires, environmental accidents, and lifting and hoisting accidents.
Lost time serious incident rate of contractors 10%
Number of work injuries 3
Development
Green
Lost days due to work injury 414
Emergency drills for work safety Number of work-related fatalities 0
Annual work-related fatality rate 0
Fire Safety Management
Business Prosperity
Talent Cultivation for
The Company continues to optimize the Fire Safety Management system and implement fire control measures Occupational Disease Prevention
by regularly inspecting fire equipment and organizing irregular special spot checks. Meanwhile, the Company
cultivates the practical fire safety abilities of all employees through professional training and regular fire drills. Legally obliged to monitor the health condition of employees exposed to occupational disease hazards, the
In this way, employees can effectively use fire extinguishers and hydrants in real-life scenarios. During the Company has formulated the Regulations on Warning and Notification of Occupational Disease Hazards and
reporting period, the Company organized a total of 4 special training sessions and 7 emergency drills on fire the Regulations on Occupational Health Monitoring and File Management to standardize the management
safety. The Company also conducted the "Fire Safety Skills Competition" during the Fire Safety Month in of occupational health monitoring. Employees exposed to occupational disease hazards are required to
November 2023. undergo pre-job, on-the-job, and off-the-job physical examinations. We adhere to the "one employee, one
Excellent Quality
record" requirement to track the occupational health conditions of employees. We prioritize occupational health
training for all employees. During the reporting period, we conducted online training to educate employees on
occupational disease prevention, hazards identification, and proper use of protective equipment, in order to
enhance their awareness of occupational health protection.
In addition, the Company has entrusted third-party organizations to identify occupational disease hazards every
year and assess the current occupational disease hazards every three years. This initiative ensures the effective
identification and control of occupational hazards. For risks identified, we post notification cards for occupational
Business Integrity
disease hazards to ensure that employees are aware of the hazards at their posts and take protective measures
Fire Safety Month event with the theme of "Prevention First, Life First" as required. Furthermore, we distribute labor protection supplies and ensure their correct usage based on
the assessment result of current occupational hazards. We keep records of the distribution and usage of the
supplies, and regularly inspect their quality. By the end of the reporting period, the Company had no new cases
Safety Performance Assessment of occupational diseases.
The Company has established the Policy on Safety Rewards, Punishments & Evaluations to specify the Protection of Employee's Mental Health
responsibilities and requirements for work safety. By implementing reward and punishment measures, we aim
Responsibilities
Community
to motivate all employees to actively participate in work safety activities, thereby enhancing safety awareness The mental health of employees is crucial for the Company's development and the personal growth of
and skills. During the reporting period, the Company continued to promote HSE portrait management, assessing employees. Therefore, we consider it as a key aspect of safeguarding employee's health. During the reporting
and rating safety performance of departments at all levels by workplace injury incidents, hazard rectification period, we released the Guidance on the Protection of Employee's Mental Health. This guidance aims to educate
rates, safety education training and exams, and customized tasks. This approach quantitatively evaluates safety employees on basic mental health knowledge and to assist managers at all levels in mastering basic methods of
performance to incentivize employees at all levels to fulfill their work safety responsibilities. managing employee mental health.
04
Excellent Quality
SANY Renewable Energy firmly believes that quality changes the world. Therefore, we are
committed to improving our R&D capabilities and product quality management, strengthening
the construction of sustainable supply chain, optimizing customer service, and working
with value chain partners to jointly promote the high-quality development of the wind power
industry. Our goal is to better meet customer needs with superior products and services and
to promote the efficient use of clean energy.
51 R&D 55 Intelligent 57 Supply Chain 61 Customer
Innovation Manufacturing Management Services
51 SANY Renewable Energy Environmental, Social and Governance Report 2023 52
R&D Innovation Product Quality Management
We have restructured the quality management system and incentivized employees to improve product quality through
R&D Management System multi-dimensional quality improvement activities. These efforts align with our globalization strategy and aim to meet
the increasing demands for product quality from domestic and international customers. In 2023, our outstanding QC
SANY Renewable Energy upholds the concept of "every bit of achievements originates from innovation". We project won the Gold Award at the Annual Meeting of the China Association for Quality and the 2nd Global Pursuit of
continuously increase investment in technological R&D and introduce international high-end talents. We have Excellence Conference.
Management
Development
Sustainable
established an international, specialized and diversified R&D platform covering the Wind Turbine Research The Company has formulated and strictly implemented quality assurance policies and processes such as the SANY
Institute, Testing and Inspection Center, and Blade R&D Institute. Additionally, we have set up the R&D Renewable Energy Management Manual, the Quality Award and Punishment Management System and the Supplier
Management Office and multiple R&D institutes responsible for the R&D of products and technologies. By Quality Manual to ensure the quality and safety of products throughout their life cycle. We have established the quality
the end of the reporting period, the Company had a total of 853 R&D personnel, accounting for 14.91% of all management system up to the ISO 9001 standard and obtained the certification. Continual improvement has been
employees. achieved through regular inspections and benchmarking of our manufacturing bases and wind farms. By the end of the
reporting period, the manufacturing bases that have obtained ISO 9001 certification include SANY Renewable Energy
Nankou Nacelle Company, Chenzhou Nacelle Company, Tongyu Nacelle Company, Beijing Nacelle Company,
Development
Green
Shaoshan Blade Company, Zhangjiakou Blade Company and Tongyu Blade Company.
The Company had a total of 853 R&D personnel, accounting for 14.91 % of
all employees The Company also continues to promote digitalization in quality management. During the reporting period, the
Company launched a total of 8 modules and 176 demands in the digital quality management system. The online rate of
the quality management process increased from 77.62% in 2022 to 83.67% in 2023.
An excellent quality management system provides a solid guarantee for SANY Renewable Energy to produce high-
quality wind turbine products. During the reporting period, the Company obtained the certificate of Mode A type
approval for 14 domestic wind turbine models, 3 international wind turbine models, and 5 wind turbine blade models.
Business Prosperity
Talent Cultivation for
Structure of the R&D platforms of SANY Renewable Energy
This demonstrated our robust quality assurance capabilities in mass manufacture.
Wind Turbines Research Institute Test and Inspection Center Blade R&D Institute
The Company launched a total of 8 modules and 176 demands in the digital
quality management system. The online rate of the quality management process
Institute
Control Technology
Components Institute
T r a n s m i s s i o n
Institute
Electrical Technology
Institut
Overall Wind Turbines
Institute
Offshore Technology
Institute
Oversea Technology
Institute
Structural Components
Digital Simulation Institut
Testing Institute
Wind Turbines
Testing Institute
Component
Institute
Testing Management
Overall Institute
Technology Institute
Composite Material
Office
R&D Management
Office
R&D Management
Technology Institute
Operation and Maintenance
increased from77.62% in 2022 to 83.67% in 2023.
Excellent Quality
Wind turbines and blades obtaining the certificate of Mode A type approval
SI-19367H110 CQC Certification SI-17250H105 CQC Certification SI-18350H105 CQC Certification
In 2023, our investment in R&D reached 872 million CNY, with an increase of
13.45% 5.83% of our revenue.
Business Integrity
compared to the previous year, accounting for
SI-19350H110 CQC Certification SI-17267H100 CQC Certification SI-18365H105 CQC Certification
SI-17265H100 CQC Certification SI-183625H105 CQC Certification SI-193625H110 CQC Certification
Product R&D and Innovation
The Company focuses on the R&D of offshore wind turbines and onshore large-megawatt wind turbines, and FB82050 Enhanced Blades
Responsibilities
Community
continues to promote the technological innovation. During the reporting period, our platform 919 completed the SI-193455H110 CQC Certification SI-16840 UL Certification
CQC Certification
development, trial manufacture, hoisting and grid connection of four onshore prototypes. Besides, our platform
922 released the world's largest onshore wind turbine. The Company also completed the construction of the
SANY Renewable Energy Testing Center, which is capable of verifying the reliability of key components such as SI-16848/16850 UL Certification
large-megawatt blades and generators.
53 SANY Renewable Energy Environmental, Social and Governance Report 2023 54
Industry-University-Research Activities Intellectual Property Management
SANY Renewable Energy actively engages in industry-university-research cooperation activities. Every To stimulate the potential of R&D personnel in innovation, the Company continuously improves innovation
year, we conduct extensive patent analysis projects with partner universities, focusing on key products and incentive measures and intellectual property management. In addition, the Company has formulated and strictly
technologies. We also combine industry trends and patent distribution to provide guidance and support for the implemented a series of rules such as the R&D Patent Work and Management Regulations, the Management
R&D innovation of products and technologies. This effort contributes to the identification of R&D opportunities Regulations on Internal Title Appraisal of R&D Department and the Measures for Incentive Management of
and offers insight into our R&D innovation and patent layout direction. R&D Projects. By the end of the reporting period, the Company had obtained a total of 796 patents, including
Management
Development
Sustainable
207 invention patents (covering 3 Spanish invention patents), 584 utility model patents and 5 design patents. In
addition, the Company has obtained a total of 215 software copyrights.
Case: Comprehensive Survey and Analysis of Offshore Machine Patents in
Collaboration with Hunan University of Science and Technology The Company is committed to strengthening the ability in the digital management of intellectual property
rights. To realize online and standardized management of business processes on intellectual property rights,
the Company has implemented an intellectual property rights management strategy that is "standardized,
In 2023, the Company collaborated with Hunan University of Science and Technology to conduct
online, automated and intelligent". The Company has achieved 100% lifecycle online management on software
the "Comprehensive Survey and Analysis of Offshore Machine Patents" project. We conducted a
copyrights. The digital system can be used for downloading application documents, uploading compiled
comprehensive survey and analysis of patents regarding the transportation, installation, and operation
Development
Green
documents for approval, searching for archived documents and other relevant matters.
and maintenance of offshore wind turbines. This provides guidance for our on-site technical research
and patent layout for offshore wind turbines.
Performance on Intellectual Property Rights in 2023
In 2023, the Company attended multiple well-known wind power related activities at home and abroad, such as
Business Prosperity
Talent Cultivation for
the HUSUM Wind 2023 in Germany, the China Wind Power 2023 and the China (Jiangsu) Wind Power Industry
Development Summit Forum (Offshore Wind Power Sub-Forum). In these activities, we discussed industry
development trends with government agencies, industry peers and industry experts, and shared our practical
experience in R&D and innovation with other participants.
Excellent Quality
Patents Including design Including invention Including utility model
in total patents patents patents
796 5 207 584
Business Integrity
SANY Renewable Energy attended the SANY Renewable Energy attended
China Wind Power 2023 HUSUM Wind 2023 in Germany
The Company also actively assumes the role as a leading global provider of clean New patents in 2023 Software copyrights
energy equipment and services. During the reporting period, the Company participated
158 215
Responsibilities
Community
in the formulation and revision of 5 national or industrial standards and 1 group
standard. The Company has participated in the formulation and revision of 21 national
or industrial standards and 6 group standards in total.
55 SANY Renewable Energy Environmental, Social and Governance Report 2023 56
Intelligent Manufacturing
Adhering to the development philosophy of "high quality, high efficiency, high flexibility and competitive cost" in
wind turbine manufacturing, SANY Renewable Energy aims to become a benchmark enterprise for intelligent
manufacturing in the wind power industry. Through automation, lean operation and digitalization, the Company
has taken a leading role in intelligent manufacturing in the industry.
Management
Development
Sustainable
Increasing product quality
In 2023, we invested an intelligent manufacturing line on hubs in the turbine manufacturing factory, increasing
the overall manufacture efficiency by 14.3% and realizing 100% online quality inspection rate. To increase the
consistency of products, we invested an intelligent manufacturing line on coils in the generator factory, achieving
an automation rate of over 60% in the working process.
Enhancing manufacturing efficiency Manufacturing line for intelligent manufacturing of turbine 2.0 in Chenzhou
Development
Green
In 2023, the Digital Twin Meta Platform in Shaoshan Blade Factory of the Company was officially launched, Industrial Park of SANY Renewable Energy was officially launched
aiming to improve the efficiency on equipment operation and maintenance (O&M), monitoring and management.
The platform, which includes 8 modules such as the manufacture, storage and energy, can realize 100% three- Journey Towards Intelligent Manufacturing for SANY Renewable Energy
dimensional modeling of the plant and real-time visualization of the manufacturing status.
Nankou Industrial Park 1.0
Improving manufacturing flexibility The park has the industry's first 5G fully-connected
Business Prosperity
Talent Cultivation for
intelligent factory. which has realized the full connection
In 2023, we built an intelligent manufacturing 2.0 factory with flexible and intelligent manufacturing lines in of Man-Machine-Material-Method-Environment
Chenzhou Factory. Through the introduction of a highly integrated operating island and a highly compatible elements as a digital factory. The park has pioneered
the automated operation island mode for large parts,
automatic positioning system as well as a simulation technology based assembly path, the factory has realized realizing the automatic assembly of large parts in
switching between manufacturing equipment of 3-15 MW wind turbines within 10 seconds. Thus, the assembly key processes such as yaw system pre-assembly
efficiency of turbines has been increased by 25%. and hub pre-assembly. The park is equipped with
pulsating flexible manufacturing lines, which realize the
mixed line manufacture of a full range of products. The
manufacturing and operation management platform
Optimizing manufacturing cost (MOM system) enables accurate and automatic
Excellent Quality
In all general assembly factories and generator factories, we have launched the manufacturing and manufacturing distribution of large components. As a result, the Chenzhou Industrial Park 2.0
automation rate of key processes reaches 40%, the
platform (MOM system) in an all-round way through the entire process from planning, manufacture and operation, automated logistics distribution rate of large parts The park adopts the pulsating flexible intelligent
equipment management and quality management to logistics management. In this way, we have realized online and reaches 50%, the number of operators in the yaw manufacturing lines, realizing the whole-process
intelligent management from marketing, R&D, manufacturing to services, etc., and reduced wastes and delay in the system and hub pre-assembly stations is reduced by 3, automation of yaw system pre-assembly and hub
and the per capita output is increased by 58.7%. pre-assembly. In this way, the assembly efficiency
manufacturing process. Our manufacturing costs have been reduced by about 5%. In addition, the Company has is increased by 25% compared with that of Nankou
connected the internal global supplier portal system (iGSP system) to the IP address management system (IPAM Industrial Park 1.0, the number of operators is
system), realizing parking reservation management for suppliers making deliveries and pick-ups within the Company's Future Factory 3.0 reduced by 5, and the per capita output is increased
by 45%. In addition, adopting the MOM system, the
parks. By achieving precise control for parking spots, the use ratio of parking spots within the Company's parks has Based on Industrial Park 2.0, Future Factory 3.0 will park realizes the integrated mobilization of orders,
Business Integrity
increased by 20%. add automated production lines for large megawatt 3D warehouses and AGVs. The overall distribution
transmission chains. This will enable the park to realize of the manufacturingline and the delivery of large
such functions as automatic overturning of bearing parts to the line are completed by heavy-duty AGVs.
In the future, SANY Renewable Energy will continue to deepen the fusion of digitalization and intelligentization, and housings and automatic docking of spindle systems The distribution of small and middle-sized parts
promote data integration and technology empowerment. With efforts to building turbine 3.0 "lighthouse" factories, and gearboxes to further enhance the automation is completed by light-duty AGVs. The automated
generator 2.0 "lighthouse" factories and blade 2.0 super factories, the Company will provide the industry with mature and flexibility of the manufacturing lines, facilitating distribution rate is 75%, and the number of logistics
the flexible manufacture of 3-15 MW turbines. In personnel is reduced by 25%.
intelligent manufacturing solutions, so as to enhance the quality and efficiency of the entire manufacturing process. addition, Future Factory 3.0 will innovate the digital
twin technology to optimize the assembly process of
new turbines, reduce the investment in preliminary
Achieving an automation rate of over 60% in the working process. R&D tests, shorten the manufacturing development
Responsibilities
Community
cycle, and further improve efficiency and safety.
Realizing 100% three-dimensional modeling of the plant and real-time Furthermore, the application of AI technology will
contribute to automatic inspection of product quality and
visualization of the manufacturing status. the intelligent dispatch of light- and heavy-duty AGVs,
which will speed up the manufacture while reducing
Assembly efficiency of turbines has been increased by 25%. resource consumption.
57 SANY Renewable Energy Environmental, Social and Governance Report 2023 58
Supply Chain Management Policies and Commitments
SANY Renewable Energy consistently works to build a sustainable procurement system and highly values
SANY Renewable Energy is fully aware of how a stable and competitive supply chain may positively impact the environmental, social and business ethics factors throughout the supplier lifecycle management. This helps to
Company's business. We have established and continuously improved the supply chain lifecycle management increase the sustainability of the supply chain and lower the risk of environmental and social responsibility. We
system and the procurement management system. A comprehensive and sustainable management system has released the Sustainable Procurement Policy in 2023. This policy outlines SANY Renewable Energy's concerns
also been formed in key processes such as category sourcing, supplier acceptance, procurement execution, and management principles regarding environmental and social impacts in the supply chain, and empowers
quality management, cost management and supplier exit. The Company's Procurement and Department and suppliers to improve their environmental and social management capabilities in order to work together for a
Management
Development
Sustainable
Quality Management Department have specialized teams for new product procurement, mass production sustainable supply chain.
procurement, procurement execution and supply chain lifecycle management respectively.
Material ESG Issues in Sustainable Procurement Policy
Sustainable Supply Chain Management System
Development
Green
Policies and Commitments
Environmental Social Governance
Managing suppliers from multiple dimensions with the Sustainable Procurement Policy as a management
guide and the Supplier Code of Conduct as a management principle
Business Prosperity
Talent Cultivation for
Environmental Labor and human Business ethics
Management rights
System
Health and safety
Risk Assessment Toxic emission and
Conflict minerals
waste discharge
Resource
Requiring existing key suppliers to complete sustainability self-assessment questionnaires so as to management
Excellent Quality
confirm their risk levels and take appropriate management actions
The Company always improves the requirements for sustainable procurement management. In 2022, we
Response and Measures required all suppliers to sign a framework contract that includes provisions on occupational health and safety and
environmental protection. Based on this, the Company issued the Supplier Code of Conduct during the reporting
Business Integrity
period, which updates and clarifies the behavioral requirements for suppliers in areas such as human rights,
Encouraging suppliers to improve the management process according to their risk levels resource conservation, conflict minerals and business ethics. All existing suppliers and potential suppliers are
required to sign a procurement framework agreement with us that includes the provisions of the Code. They all
have to follow sustainable development requirements. In 2023, the Company achieved a 92% sign-up rate after
signing a Supplier Code of Conduct and a procurement framework agreement with suppliers that includes full
ESG requirements. By 2024, the Company hopes to achieve and maintain a 100% sign-up rate.
Capacity Building
Responsibilities
Community
The Company achieved a 92% sign-up rate. By 2024, the Company hopes to
Organizing suppliers to promote sustainability, developing sustainable incentives, and improving supplier achieve and maintain a 100% sign-up rate.
sustainability performance
59 SANY Renewable Energy Environmental, Social and Governance Report 2023 60
Risk Assessment Response and Measures
Through the Supplier Management System, Supplier Quality Management Manual, Quality Agreement Management SANY Renewable Energy views supply chain management as a key aspect of its operations and success, and
and Component Development Process, we carry out risk level assessments of suppliers in the areas of new supplier has developed several control measures and processes to oversee the whole procurement process. To better
acceptance, new part product development, mass manufacturing process control and continuous improvement. From manage sustainable risks and opportunities in the supply chain, SANY Renewable Energy has incorporated a
four perspectives, i.e., quality management, R&D process manufacture, and operation management, suppliers are number of ESG control methods into the procurement process.
categorized into five levels: A, B, C, D and E. Among them, A/B/C is a low-risk supplier that can be accepted; D can
be accepted if reviewed again to reach A/B/C after a 6-month adjustment period; and E cannot be accepted. Every
Management
Development
Sustainable
month, we evaluate and categorize our existing suppliers based on five criteria: incoming material quality, manufacture Acceptance and Review of Suppliers
quality, after-sales quality, quality assurance capability and their integrity. We promptly update their status when they
join or leave. We monitor the high-risk suppliers that perform below expectations, and provide them with tailored SANY Renewable Energy evaluates new suppliers on a variety of capabilities, including quality, research and
support plans. development, process, and sustainable development. We also confirm that all their ISO 9001 Quality Management
System certification, ISO 14001 Environmental Management System certification and agency certificates are still
In addition, we further improve the sustainability risk assessment of the supply chain to strengthen its resilience. By
valid.
distributing and collecting corporate social responsibility questionnaires, the Company requested 80 existing key
suppliers to evaluate their environmental and social practices in 2023. The participating suppliers accounted for more Suppliers are subject to an evaluation process that takes into account their policies on sustainable development,
Development
Green
than 90% of the total procurement in 2023. The Company is gradually distributing social responsibility self-assessment employee health and safety, talent development, climate change response strategy and carbon reduction initiatives.
questionnaires to more suppliers and intends to choose suppliers for on-site social responsibility audits during the Only those who achieve the required minimum score are accepted as suppliers.
annual audit. At the same time, supplier training will be held to raise suppliers' awareness of sustainable development
Suppliers must promise to comply with the Supplier Code of Conduct, fulfill their responsibilities, periodically
and help them improve their sustainable procurement management system.
complete corporate social responsibility self-assessment questionnaires, accept management status evaluations in
areas such as environment, labor and human rights, and business ethics management, and report on sustainable
management performance.
90%
Business Prosperity
Talent Cultivation for
The participating suppliers accounted for more than of the total
procurement in 2023
Cultivation and Development of Suppliers
Every year, the Company assesses suppliers' quality, delivery and sustainable development both online and offline.
Dimensions of the Supplier Social Responsibility Questionnaire Assessment Based on the evaluation results, the Company develops action plans and requires suppliers to make corrections
and improvements to ensure supply stability, maintain product uniformity, and gradually improve suppliers'
Excellent Quality
sustainable development performance.
To empower suppliers, we provide centralized training, and on-site quality and capability support for the suppliers,
ESG Environmental Social Governance enhancing their ability to produce high-quality and highly sustainable products.
Management
In 2023, we supported and empowered a total of 15 suppliers, improving the resilience and risk tolerance of our
ESG governance System certification System certification Business ethics supply chain.
structure (ISO 14001 and (ISO 45001 and SA policies
ESG report ISO 45001) 8000) Business ethics
Business Integrity
Grievance Environmental Working training
mechanism policies conditions, Supplier Encouragement and Exit
Renewable energy human rights, and
use occupational health
SANY Renewable Energy will keep enhancing supplier incentive mechanisms to recognize suppliers who have
and safety policies
Restricted excelled in sustainable areas like climate change, occupational health and safety, business ethics. This will help the
substance Human rights Company promote and implement sustainable and green supply chain strategy.
management training
Suppliers will be suspended immediately if they fail to meet the minimum quality and sustainability requirements.
Climate change Sustainable supply
Responsibilities
Community
chain management If there is a legal dispute or breach of laws and regulations between the suppliers and the Company, they will be
management
immediately removed.
Conflict minerals
61 SANY Renewable Energy Environmental, Social and Governance Report 2023 62
Capacity Building Product After-Sales Management
In order to build a sustainable and green supply chain, the Company promoted supplier self-assessment of social SANY Renewable Energy adopts an on-site after-sales management model. At each wind farm, the Company
responsibility and strengthened sustainable management capacity for both sides in 2023.
will designate one project manager who is responsible for handling product faults, conducting regular inspections
The Company places a high value on its procurement staff members' understanding of social responsibility and and maintenance, and implementing technological transformation together with the after-sales service team at
management skills. Thorough communication and training sessions are conducted regularly by SANY Renewable the wind farm. The Company has developed a complete set of workflows for fault handling, regular inspections
Energy to guarantee that procurement staff members are aware of ESG best practices. In November 2023, we and technological transformation to ensure that after-sales services are carried out in a standard way.
Management
Development
Sustainable
conducted the "SANY Renewable Energy ESG Capability Training for Business Department" activity in cooperation
with third-party professional organizations. The main training modules include an introduction to sustainable The Company collects customers' opinions on the improvement of the products and parts through regular
procurement systems, methods for assessing and managing suppliers' social responsibility, and techniques for inspections and questionnaires. Based on this, the Company develops and implements technological
tracking supplier social responsibility performance. Through online training, the Company has provided sustainable transformation plans. In 2023, the Company launched a total of 192 technical transformation projects to
procurement training for 100% of our key procurement staff. continuously optimize the operating status of products sold.
Suppliers are a critical part of our value chain. Placing a high value on supplier partnerships, the Company is dedicated
to continually strengthening collaboration with suppliers in the areas of research and development, quality and product
delivery management. This will help to better meet the needs of the Company's operations and manufacture, as well
Customer Satisfaction Management
Development
Green
as to jointly advance the wind power industry's technological upgrading and product optimization.
During the SANY Renewable Energy Annual Supplier Conference in December 2023, the Company deeply
expressed to all suppliers the industry trend of decarbonization and our commitment to enhancing the sustainable SANY Renewable Energy adheres to the customer-oriented principle, assumes the main responsibility of
supply chain system while promoting the concepts of sustainability and green supply chain. To better enable our "meeting customer needs and creating unique values for customers", and always maintains close contact with
suppliers to implement sustainable development management, the Company intends to include modules on labor and customers. Through customer satisfaction surveys, SANY Renewable Energy keeps abreast of customer
human rights, the environment, and business ethics into our regular supplier empowerment and training system. needs, and continuously improves product quality and service quality, to optimize customer experience.
Business Prosperity
Talent Cultivation for
The Company has formulated and strictly implemented the Customer Satisfaction Management Process. The
CEO office takes the lead in conducting a customer satisfaction survey every two months to collect satisfaction
The Company has provided sustainable procurement training for 100% of our key scores, opinions and suggestions of customers on request response, maintenance, spare parts, product quality,
procurement staff product safety, etc. The Company will sort out customer requests in a timely manner and prepare a Table for
Recording and Tracking Customer Return Visits. Then, the Company will require the department responsible
for handling the customer request to make a response and provide solutions, thereby realizing closed-loop
management via "request verification - handling - continuous follow-up". In case of failing to promptly solve the
request in a closed-loop way, the Company will offer written explanation to the customer.
Customer Services
Excellent Quality
During the reporting period, the Company collected a total of 49 customer complaints, all of which were solved
in a closed-loop way. In 2023, the Company conducted 6 bimonthly satisfaction surveys on all wind farm
Development and O&M of Wind Farms customers, obtaining an average score of 95.7.
As a leading provider of clean energy equipment and services, SANY Renewable Energy has the capability to realize
Performance on Customer Services in 2023
whole lifecycle management of wind farms from pre-planning, EPC construction to O&M. In addition, the Company
conducts intensive and fine management on wind farms by means of digitalization and model innovation, to achieve
digital interconnection, intelligent analysis and closed-loop optimization in the intelligent wind farm system. By deeply
Business Integrity
integrating with the design of the Company's turbine products, the system can make these products give full play to
their advantages.
Through the building of a project management collaboration cloud, SANY Renewable Energy has built a quality and
scheduling panorama and realized fine management on man-hours, working conditions, men, machines, materials, Number of Number of Completion rate on Customer satisfaction score
methods and environment at the project site. By using the turbine health management system and the intelligent
95.7
incidents customer customer complaint
O&M platform, the Company can realize online management for the entire O&M process of turbines. Additionally, the regarding product complaints handling (2023)
Company can achieve automatic early warning of faults and conduct health diagnosis for turbine units, thus ensuring
49 100%
recall or return-
the stable operation of wind farms.
to-factory repair
95.3
Responsibilities
Community
(2022)
The Company's intelligent O&M platform is capable of monitoring all the turbine units at the wind farm for 7*24 hours. due to quality
Relying on the big data and intelligent functions, the platform can realize online real-time analysis and prediction on unit problems
0
data. In addition, through the data screening for all units at the wind farm, the platform can identify non-optimal units
for improvement. Finally, the platform will realize the closed-loop management of monitoring-analyzing-forecasting-
improving to continuously optimize the operating state of units.
05
Business Integrity
SANY Renewable Energy believes that integrity in business is the cornerstone of the
Company in realizing stable operations. We take business ethics as our foundation in the
pursuit of sustainable development. We constantly improve our governance system, and
aim to create a culture of integrity. In addition, we enhance the internal control and risk
management mechanism, and strengthen information security and privacy protection to help
the Company achieve steady and sustained development.
65 Corporate 68 Internal Control and 70 Business Ethics 72 Data Security and
Governance Risk Management Privacy Protection
65 SANY Renewable Energy Environmental, Social and Governance Report 2023 66
Corporate Governance
Corporate Governance Structure
Performance on Corporate Governance in 2023
The Company strictly abides by laws and regulations such as the Company Law of the People's Republic of
Management
Development
Sustainable
China, the Securities Law of the People's Republic of China, the Code of Corporate Governance of Listed
Companies, and the Rules Governing the Listing of Stocks on the STAR Market of the Shanghai Stock
Exchange. The Company has formulated the Articles of Association and established a corporate governance
structure consisting of the shareholders' general meeting, Board of Directors, Board of Supervisors and senior
management. The structure has well defined powers and responsibilities, and is operated in a standardized way.
Both the Articles of Association and the corporate governance structure provide the Company with systematic
guarantee for efficient operation. Shareholders' general Directors in total Percentage of
meetings independent directors
Development
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43%
The Company convenes and holds shareholders' general meetings in strict accordance with relevant laws,
regulations and rules such as the Rules for Shareholders' Meetings of Listed Companies, and the Articles of
Association. Through these measures, the Company fully respects and protects the right to know and the right
3 7
to make inquiries of investors. During the reporting period, the Company held a total of 3 shareholders' general
meetings.
The Board of Directors is responsible for the shareholders' general meeting. The Board of Directors consists
of 4 committees: Audit Committee, Nomination Committee, Remuneration and Appraisal Committee, and
Business Prosperity
Talent Cultivation for
Strategy and Development Committee. These committees are responsible for providing advice on special
matters and assisting the Board in making decisions. The Board of Supervisors is responsible for overseeing the
Company's financial status, important matters, the legality and compliance of the directors, managers and other Percentage of female Meetings of the Board of Meetings of the special
senior management in fulfilling their duties. At present, the Company has 3 supervisors, including 1 employee directors Directors: committees of the Board
14% 14 12
supervisor.
Basic Information of the Board of SANY Renewable Energy1
Excellent Quality
Name of Independent Gender Member of the Member of the Member of the Member
Director Director or Audit Committee Strategy and Remuneration of the
Not Development and Appraisal Nomination
Committee Committee Committee
Zhou Fugui No Male √
Including Audit Committee meetings：7
Xiang Wenbo No Male √ The Board of
Supervisors' meetings Including Nomination Committee meetings:1
Business Integrity
Li Qiang No Male √ √ √
Guo
Ruiguang
No Male 14 Including Remuneration and Appraisal Committee meetings:3
Including Strategy and Development Committee meetings:1
Deng Yes Male √（with an √ √
Zhonghua accounting
background）
Yang Min Yes Male √（with an √ √ √
Responsibilities
Community
accounting
background）
Cao Jing Yes Female
1
As of December 31, 2023.
67 SANY Renewable Energy Environmental, Social and Governance Report 2023 68
Investor Relations Management Internal Control and Risk Management
The Company attaches great importance to the management and protection of investor relations, and discloses
information in a lawful, compliant, complete and timely manner in accordance with the Articles of Association. In
addition, the Company communicates with investors through various forms such as the investor relations email,
investor relations hotline, SSE e-interactive platform, investor reception for on-site survey and performance
Internal Control and Risk Management System
briefings. By actively maintaining good relations with investors, SANY Renewable Energy has been widely
According to the Basic Internal Control Norms for Enterprises and other regulations，SANY Renewable
Management
Development
Sustainable
recognized by the capital market. The Company won the "2023 IR Team of the Year Award for Best Innovation
Energy has formulated the Internal Control System and the Risk Management System, which constitute the
Practices" issued by Comein Finance.
internal control and risk management system of SANY Renewable Energy together with a series of documents
During the reporting period, the Company held a total of 3 performance briefings, received investors for 19 on- such as the Management System for External Guarantees and the Management Measures for Related Party
site surveys, and held 55 road shows. Transactions.The Board of Directors is the supreme responsible body for the Company's internal control
and risk management. The Audit Department and other internal control personnel of the Company assume
responsibilities for specific supervision and inspection work.
Case: "I Am a Shareholder" Series of Activities - Investors
Visited SANY Renewable Energy The Company continually improves the internal control and risk management structure, and has built three lines
Development
Green
of defense on compliance management:
The Shanghai Stock Exchange launched "I Am a Shareholder " – Investors' Visit to Listed Companies
series of activities. These activities focus on guiding listed companies to enhance investor relations The first line of Each business department or subsidiary is responsible for identifying and controlling risk
management and to establish a philosophy of rational investment and value investment. In August defense: points involved in its own operations;
2023, investors participating in the "I Am a Shareholder" activities officially visited SANY Renewable
Energy for exchanges to have a better understanding of the Company's high-quality and sustainable
development.
Business Prosperity
Talent Cultivation for
The second The Finance Department, Legal Department, etc. assist business departments to control
line of defense: compliance risks in their areas of expertise;
The Audit Department audits the main business processes and high-risk business areas
of all departments of the Company covering all risk points of the Company every two
The third line of years. The Audit Department also affixes the responsibility for the identified problems, and
defense: works with relevant business departments to develop rectification plans and track their
Excellent Quality
progress.
The Audit Department of the Company will communicate with the heads of relevant business departments. Such
communication aims to identify high-risk business processes or key control defects and weaknesses from the
main processes in order to select the inspection and evaluation objects. The Audit Department will develop an
annual internal control evaluation plan by the end of December each year. High risks identified in the internal
control of the previous year will be re-evaluated in the current year.
Business Integrity
Responsibilities
Community
Investors visited SANY Renewable Energy
69 SANY Renewable Energy Environmental, Social and Governance Report 2023 70
Compliance Audit Business Ethics
The internal audit on business departments is the third line of defense to ensure that the Company conducts
businesses in a compliant manner. Our auditors audit the routine work of each department through attending
important business meetings, interviewing personnel at key posts and reviewing working papers to evaluate Business Ethics Management
risks. For the identified risks, the auditors will communicate with the business department and confirm the
rectification plan. Then, the auditors will record the risks and the rectification plan into the system to follow up Since establishment, SANY Renewable Energy has regarded integrity as a fundamental principle. The Company
the rectification. In addition, auditors will report significant risks to the chairman and general manager of the
Management
Development
Sustainable
strictly abides by laws and regulations such as the Criminal Law of the People's Republic of China and the Anti-
Company. Unfair Competition Law of the People's Republic of China and has a zero tolerance attitude towards violations
In 2023, the Company conducted 32 internal compliance audits which covered all of the Company's operation of business ethics such as corruption, bribery, fraud, money laundering and anti-competition. In 2023, we
locations in Beijing, Shaoshan City in Hunan Province, Zhangjiakou City in Hebei Province, Changsha City formulated the Business Ethics Policy of SANY Renewable Energy, which serves as a guidance on business
in Hunan Province, Chenzhou City in Hunan Province and Tongyu City in Jilin Province. The risks identified ethics for all our employees, customers and partners. The policy can help them correctly understand and deal
were related to anti-corruption, marketing compliance, information security, finance and manufacturing quality. with related problems, protect the Company's culture of integrity, and enhance customers and partners' trust
The Audit Department issued the audit report, which listed the identified risks, suggestions for improvement to the Company. By monitoring risk points on business ethics via irregular compliance audits, the Company
and recommendations for accountability. During the reporting period, a total of 292 risks were identified in the ensures that risks are identified and controlled in a timely manner. During the reporting period, the Company had
compliance audits, of which 273 risks were rectified and closed, with a rectification rate of 93.5%. The remaining
Development
Green
one lawsuit regarding business ethics, and the personnel involved were transferred to the procuratorate.
risks will be rectified through the "SANY Smart Supervision and Audit Platform" .
Anti-Corruption
Performance on Compliance Audit in 2023 To create a clean and efficient working atmosphere, the Company has formulated the Anti-Corruption and Anti-
Bribery Management Policy and the Conflict of Interest and Clean Management Policy. These policies provide
specific code of conduct for employees in various scenarios from which corruption and bribery may arise. As a
Business Prosperity
Talent Cultivation for
department mainly responsible for anti-corruption, the Audit Department reviews the Company's compliance
with regulations in financial and business activities from time to time.
Prevent Anti-competitive Practice
Compliance audits Proportion of the SANY Renewable Energy has always advocated normal competitions in market activities and formulated the
Company's operation Anti-Unfair Competition Management Policy. The Company requires that neither departments nor employees
locations covered
Excellent Quality
should seek improper benefits by means of market confusion, false publicity, collusive bidding, etc. This aims to
32 100% prevent the Company from violating the relevant laws and to maintain a normal competition order in the market.
Whistle-Blowing and Accountability
SANY Renewable Energy has formulated and strictly implemented the Complaints and Reports Policy. Besides,
the Company also provides multiple whistle-blowing channels such as the mail box, e-mail, hotline, text
Business Integrity
messages and WeChat platform. In this way, the Company encourages the employees, suppliers, customers
and other stakeholders to report to the Audit Department any behaviors or personnel suspected of violating
Identified risks Rectification rate of risks
the relevant regulations of the Company's business ethics, including policies regarding anti-corruption, anti-
unfair competition behaviors and information security. The Audit Department has a reports and complaints
292 93.5% management specialist who is responsible for receiving report information and arranging acceptance according
to the priority of matters. The Company promises to keep the whistleblower's information strictly confidential, and
the whistleblower will be protected from retaliation and unfair treatment. Any verified violations will be dealt with
seriously in accordance with the Company's Accountability Management Policy.
Responsibilities
Community
During the reporting period, there were 6 business ethics related reports received and recorded in the
Company's report and complaint account, including matters on bribery, information security and conflict of
interest. These reports were thoroughly investigated by the Audit Department. In addition, people involved in
such violations were held accountable and made public within the Company in accordance with the regulations
to contain risks in a timely manner.
71 SANY Renewable Energy Environmental, Social and Governance Report 2023 72
Publicity on Culture of Integrity Data Security and Privacy Protection
The Company conducted 3 training activities on business ethics in 2023, including 2 sessions of honesty
and integrity training for business procurement personnel and 1 session of compliance marketing training for
marketing personnel. These training sessions covered the areas of business ethics such as anti-corruption,
Management on Data Security and Privacy
anti-fraud, conflict of interest and anti-unfair competition behaviors. Protection
The main content of the training included elaboration on management policies and red lines, explanation on the
Management
Development
Sustainable
culture of integrity and analysis and sharing on violation cases. The Company has worked with law firms and A robust data security and privacy protection system is critical for SANY Renewable Energy to achieve
other professional third parties to conduct training, aiming to make the training content more professional and digitalization and intelligentization upgrading. The company strictly abides by laws such as the Data Security
diversified and strengthen the employees' ability to handle relevant issues. Law of the People's Republic of China and the Personal Information Protection Law of the People's Republic of
China. In 2023, the Company issued the Policy on Privacy Protection and Information Security, while constantly
The Company has also included integrity and confidentiality education into the employee induction training improving the information security management system.
system. All newcomers are required to receive special training on integrity, confidentiality, conflict of interest
declaration, etc., and sign a Commitment to Integrity upon onboarding. These measures are taken to ensure The Company takes the Digitalization Department as the governing body for information security matters. In
addition, the Company has also set up key performance indicators (KPIs) for the Digitalization Department and
that employees can learn the Company's culture of integrity and code of conduct in business ethics in a
the information security officers within the department, including the number of violations, vulnerabilities and
comprehensive way at the beginning of their career, and always maintain an awareness of honesty and integrity
Development
Green
handling efficiency. The Company conducts a monthly assessment based on these KPIs.
in future work.
The Company has formulated a series of systems such as the Third-Party Personnel Information Security
Performance on Business Ethics in 2023
Management System, the System for Information Security Incident Handling and Emergency Management,
and the Employee Information Security Management System. These systems have specified the use of the
Company's information by our own employees and third-party personnel, third party information processing and
record-keeping timeframe, handling of customer privacy, emergency handling, reporting of violations, etc.
During the reporting period, the Company did not have any illegal incident or lawsuit related to information
Business Prosperity
Talent Cultivation for
security or privacy protection.
Business ethics training activities Participants of business ethics
3
training activities
134 Audit and Training on Data Security
（covering 38.5% of procurement and SANY Renewable Energy carries out internal audits on information security on a monthly basis. By scanning
marketing personnel） network vulnerabilities, tracking the O&M status of the system and monitoring both internal and external
network traffic, SANY Renewable Energy assesses the Company's overall cyber risks, and issues the monthly
information security briefing and the audit report. In 2023, the Company engaged an external professional third
Excellent Quality
party to conduct a penetration test for the intelligent access system and the FSSC (Financial Shared Service
Center) system in the Company's parks. For risk points found by the test, the Company optimized information
security management measures based on the professional advice of the third party, such as strengthening
scanning and inspection. The Company has formulated rectification plans for problems identified in each internal
Newcomers participating in integrity education in Percentage of participants of business ethics
and external information security audit, specified the rectification period and defined the responsible person.
induction training training among all employees In addition, the Company continuously tracks the progress of the rectification and discloses it in the monthly
1,168 22.4% information security briefing.
Through information security training, we continue to strengthen the awareness of our employees on information
Business Integrity
（covering all newcomers） security and the professionalism of our information security engineers. During the reporting period, the Company
carried out 8 information security training activities. About 600 employees participated in these activities, including
all new employees who were fresh graduates. The main content of the training included the interpretation of laws
and regulations, the explanation of the Company's information security management systems and the analysis
on security incidents
Performance on Information Security in 2023
Business ethics reports recorded in the report Lawsuits on business ethics
and complaint account Information security Employees Percentage of participants of Lawsuits on information
Responsibilities
Community
training sessions participating in the information security training among all security
6（2023） 1（2023） 8
training employees
0（2023）
600 10.5%
9（2022） 0（2022） 0（2022）
06
Community
Responsibilities
SANY Renewable Energy has always upheld the belief of protecting the environment with
clean energy and achieving "zero carbon" with green manufacturing. While ensuring
efficient and high-quality operations, the Company is also fulfilling the social responsibility
and promoting the sustainable development of the community based on its business
characteristics and resource advantages. 75 Community Engagement and 76 Charitable Activity
Rural Revitalization Engagement
75 SANY Renewable Energy Environmental, Social and Governance Report 2023 76
Community Engagement and Rural Charitable Activity Engagement
Revitalization As a responsible corporate,SANY Renewable Energy actively engages in public welfare undertakings.
Upholding the working concept that "responsibility goes before performance", we constantly explore solutions to
solve social problems and promote social progress. Accordingly, we are keen on participation in social charitable
As a pioneer in rural revitalization, SANY Renewable Energy takes the initiative to invest in wind farm construction
in economically underdeveloped areas. To make full use of local natural resources, we work out customized donations, contributing to community engagement, rural education and public advocacy.
solutions to ensure that wind power projects are both economical and eco-friendly. This approach to poverty
Management
Development
Sustainable
alleviation through new energy provides strong support for building a beautiful and harmonious countryside for
live and work.
In 2023, our Shenxianling Wind Farm was rated as class 5A "Outstanding Wind Farm" at the Wind Power
Operations Management and Industrial Development Innovation Exchange Seminar & the 17th Industrial Wind
Community Engagement
Power Operation Index Conference.
SANY Renewable Energy attaches great importance to keeping good communication and interaction with local
In the Shenxianling Wind Farm project, SANY Renewable Energy combines wind farm construction, communities, endeavoring to improve both the living environment and the quality of life of residents nearby. In
environmental protection and community engagement, making it the first eco-smart wind farm in China with both May 2023, SANY Renewable Energy participated in the "First and Countless" social donation activity held in
ecological and economic benefits.
Development
Green
Changping District, Beijing, and donated 60,000 CNY to Changping Charity Association to support people in
difficulties in the region under the paired assistance program.
Environmental Benefits
The Shenxianling Wind Farm has made remarkable progress in ecological restoration. The land consolidation
Rural Education
Business Prosperity
Talent Cultivation for
and improvement has covered 49.88 hectares of land, with the disturbed land treatment rate reaching 98.56%. SANY Renewable Energy joins hands with external partners to boost rural education with integrated resources.
30 hectares of land has been treated for water and soil erosion, with a treatment rate of 98.57% in total. 30 In May 2023, SANY Renewable Energy carried out a charitable donation activity with external units. In the
hectares of land was revegetated, with a vegetation restoration rate of 99.61%. activity, we donated a batch of computers to rural primary schools in Bazhong, Sichuan Province, to contribute
to the development of rural education.
The land consolidation and improvement has covered 49.88 hectares of land, with
the disturbed land treatment rate reaching 98.56%；
Excellent Quality
30 hectares of land has been treated for water and soil erosion, with a treatment rate of
98.57% in total；
30 hectares of land was revegetated, with a vegetation restoration rate of 99.61%.
Business Integrity
Economic Benefits
The Shenxianling Wind Farm has also exerted an extensive economic impact, creating more than 7 million CNY
of tax revenue for the local government per year. In addition, as a key player in China's equipment manufacturing
industry, SANY Renewable Energy has promoted the development of wind power industry clusters in Ningxiang
and even Hunan Province through industrial coordination, by focusing on the integration of industrial chain,
Responsibilities
Community
innovation chain and value chain. Public welfare donation for rural education by SANY Renewable Energy
77 SANY Renewable Energy Environmental, Social and Governance Report 2023 78
In September 2023, SANY Renewable Energy and Professor Qian Yonggang donated 1,000 copies of Listen to
the Stories of Qian Xuesen to Minqin No.1 Middle School. In doing so, we hope that students aspire to become Public Advocacy
the backbone of national construction in the future, and to promote the development of education.
At SANY Renewable Energy, employees are encouraged to participate in social welfare undertakings to support
the building of a better society. The Company has participated in the "Run! Wind Power Man" charity run activity
for many years. In the form of running, the activity donates all registration fees and corporate donations to the
"Wind Energy Man, Children Soothing Treatment Activity Center" . In October 2023, SANY Renewable Energy
once again organized a 31-runner group to participate in the charity running activity to show corporate vitality.
Management
Development
Sustainable
We thereby worked with industrial peers to help children with leukemia to relieve the pain, as part of our efforts to
give back to the society, thus promoting the development of public welfare undertakings.
Development
Green
Business Prosperity
Talent Cultivation for
Excellent Quality
SANY Renewable Energy participated in the charity running activity
Business Integrity
Responsibilities
Community
SANY Renewable Energy's book donation activity
79 SANY Renewable Energy Environmental, Social and Governance Report 2023 80
Disclosure of ESG Indicators
Environmental Performance
Indicator Unit 2023 Indicator Unit 2023
GHG Emissions Total water consumption Tonne 504,252.32
Scope 1 tCO2e 21,489 Total wastewater (all domestic wastewater) Tonne 297,156.52
Scope 2 (based on market) tCO2e 44,109 Waste Gas
Sulfur dioxide generated Tonne 0.20
Scope 2 (based on region) tCO2e 46,279
Nitrogen oxides generated Tonne 0.51
Scope 3 tCO2e 3,112,226
Particulate matter generated Tonne 36.11
Energy
Benzene Tonne 0.0002
Total electricity purchased MWh 90,583.84
Methylbenzene Tonne 0.44
Natural gas million m3 4.15
Xylene Tonne 0.57
Gasoline Tonne 1,934.22
Volatile organic compound Tonne 20,732.40
Diesel oil Tonne 429.66
Waste
Anthracite Tonne 14.29
Total non-hazardous waste generated Tonne 18,250.96
Liquefied natural gas Tonne 3.93
Total hazardous waste generated Tonne 1,171.15
Liquefied petroleum gas Tonne 3.34
Others
Steam GJ 369.70
Confirmed environmental violation Case 0
Total direct energy consumption MWh 87,215.68 Percentage of premises with ISO 14001 certification % 100
Total indirect energy consumption MWh 179,608.84 Percentage of workplaces assessed for employee health and safety risk % 100
Water Management Percentage of employees trained (internally or externally) in environmental matters % 100
81 SANY Renewable Energy Environmental, Social and Governance Report 2023 82
Social Performance
Indicator Unit 2023 Indicator Unit 2023
Workforce Senior management Person 54
Total employees Person 5,721 Number of employees by postion level Middle and junior management Person 893
Male Person 5,181 Staff Person 4,774
Number of employees by gender
Female Person 540 Manufacture Person 2,803
Associate degree or below Person 3,526 Sales Person 1,164
Number of employees by educational
Bachelor's degree Person 1,412 Technical Person 853
background
Number of employees by job category
Master's degree or above Person 783 Finance Person 54
Domestic employees working abroad Person 294 Administration Person 109
Foreign employees working abroad Person 76 Others Person 738
Foreign employees Person 160 Aged 30 and below Person 2,403
Beijing Person 684 Number of employees by age group Aged 30-50 Person 3,235
Hebei Person 174 Aged 50 and above Person 83
Hunan Person 652 Total number of new employees Person 2,346
Jilin Person 202 Number of new employees Domestic Person 2,270
Shanghai Person 34 Overseas Person 76
Number of employees by region
Xi'an Person 6 Number of new employees by gender Male Person 2,124
Xinjiang Person 241 Female Person 222
Bayannur Person 823 Number of new employees by age group Aged 30 and below Person 1,224
Lingang Person 2 Aged 30-50 Person 1,109
Lianyuan Person 1 Aged 50 and above Person 13
Dongying Person 1 Employee Turnover Rate
Qingyang Person 1 Total % 27.27
Domestic mobile employees Person 2,370 Core technical personnel turnover rate % 6.61
83 SANY Renewable Energy Environmental, Social and Governance Report 2023 84
Indicator Unit 2023 Indicator Unit 2023
Male % 24.70 Male Hour 542,930
Employee turnover rate by gender Employee training hours by gender
Female % 2.57 Female Hour 57,261
Domestic % 27.25
Average training hours of employees by Male Hour 104.8
Employee turnover rate by region
Overseas % 0.02 gender Female Hour 106.0
Aged 30 and below % 13.04 Senior management Hour 5,515
Employee turnover rate by age group Aged 30-50 % 13.79 Employee training hours by post level Middle and junior management Hour 92,185
Aged 50 and above % 0.44
Staff Hour 502,491
Labor Management and Rights
Senior management Hour 102.1
Incidents of child labor Case 0 Average training hours of employees by
Middle and junior management Hour 103.2
postion level
Incidents of forced labor Case 0
Staff Hour 105.3
Labor dispute litigations at home and abroad Case 14
Employee Career Development
Harassment incidents Case 0
Proportion of employees receiving
% 100
Discrimination incidents Case 0 performance evaluation
Percentage of workplaces reviewed for Number of internal job transfers Person 220
human rights risks or assessed for human % 100
rights impact Occupational Health and Safety
Labor contract signing rate % 100 Lost time incident rate of direct labor % 23.71
Social insurance coverage rate % 100 Lost time serious incident rate of direct labor % 3.19
Diverse Workforce Number of work injuries Time 3
Number of employees with disabilities Person 46 Number of days lost due to work injury Day 414
Number of senior managers Person 54 Number of work-related fatalities Person 0
Number of female senior managers Person 1 Annual work-related fatality rate % 0
Number of employees from minority groups
Person 532 New occupational diseases Case 0
and/or disadvantaged employees
Safety training hours per employee Hour 24
Number of female directors in the Board of
Person 1
Directors Percentage of workplaces assessed for employee health and safety risk % 100
Number of minority employees Person 486 Percentage of premises with ISO 45001
% 100
certification
Unadjusted average gender pay gap % 94.41
Charitable Activity Engagement
Employee Training
Training coverage % 100 10 thousand
Total amount of charitable donation 6
CNY
Training hours Hour 600,191
Number of public welfare activities Session 2
10 thousand
Amount spent on training 245.2
CNY Participants of public welfare activities Person 4
85 SANY Renewable Energy Environmental, Social and Governance Report 2023 86
Governance and Economic Performance
Indicator Unit 2023 Indicator Unit 2023
Operating Performance Product Responsibility
Total assets 100 million CNY 333.76 Number of customer complaints Case 49
Revenue 100 million CNY 149.39 Customer complaint handling rate % 100
Net profit attributable to the parent company 100 million CNY 20.07 Number of product recalls Case 0
Innovative R&D Customer satisfaction (percentage basis) % 95.7
R&D investment 10 thousand CNY 87,166 Business Ethics
Proportion of R&D expenditure in revenue % 5.83 Number of employees trained in business ethics Person 1,302
Number of R&D personnel Person 853 Percentage of employees trained in business ethics % 22.4
Proportion of R&D personnel % 14.91 Number of complaints received by the complaint standing book Case 6
Number of business ethics litigations Case 1
Number of national or industry standardsformulated and revised with our
# 21
participation Number of information security litigations Case 0
Number of compliance audits Time 32
Number of group standards formulated and revised with our participation # 6
Rectification completion rate of risks found in compliance audits % 93.5
Total number of patents Piece 796
Percentage of premises internally audited/assessed for business ethics issues
Number of innovation patents Piece 207 % 100
and risks
Number of utility model patents Piece 584
orporate Governance
Number of design patents Piece 5
Number of directors Person 7
Number of software copyrights Piece 215 Number of independent directors Person 3
Supply Chain Number of female directors Person 1
Number of existing suppliers # 255 Number of shareholders’ general meetings Time 3
Percentage of suppliers signing the Code of Conduct for Suppliers % 92 Number of Board of Directors’ meetings Time 14
Percentage of suppliers assessed through the corporate social responsibility Number of board committees’ meetings Time 12
% >90
questionnaire (based on total purchase amount)
Number of supervisors Person 3
Percentage of key procurement staff trained in sustainable procurement % 100 Number of Board of Supervisors’ meetings Time 14
87 SANY Renewable Energy Environmental, Social and Governance Report 2023 88
Index for GRI Indicators and UN SDGs
GRI Indicator Number GRI Indicator Corresponding SDGs GRI Indicator Number GRI Indicator Corresponding SDGs
Chapter in the report Chapter in the report
GRI 1: Foundation 2-19 Remuneration policies \
GRI 2: General Disclosures 2-20 Process to determine remuneration \
The Organization and its Reporting Practices 2-21 Annual total remuneration ratio \
About SANY Renewable Strategy, Policies and Practices
2-1 Organizational details
Energy
Statement on sustainable development Sustainable Development
Entities included in the organization's 2-22
2-2 About This Report strategy Strategy
sustainability reporting
2-23 Policy commitments About This Report
Reporting period, frequency and contact
2-3 About This Report Sustainable Development
point 2-24 Embedding policy commitments
Strategy
2-4 Restatements of information About This Report
Business Ethics
2-5 External assurance \ 2-25 Processes to remediate negative impacts SDG 16
Management
Activities and Workers
Mechanisms for seeking advice and raising Business Ethics
2-26 SDG 16
Activities, value chain and other business About SANY Renewable concerns Management
2-6
relations Energy
Business Ethics
2-27 Compliance with laws and regulations SDG 16
2-7 Employees Human Rights Protection SDG 10 Management
2-8 Workers who are not employees Work Safety SDG 3 Industry-University-
2-28 Membership associations
Governance Research Activities
Corporate Governance Stakeholder Engagement
2-9 Governance structure and composition
Structure 2-29 Approach to stakeholder engagement Materiality Analysis
Nomination and selection of the highest Corporate Governance
2-10 Employee Communication
governance body Structure 2-30 Collective bargaining agreements
and Satisfaction
Corporate Governance
2-11 Chair of the highest governance body
Structure GRI 3: Material Topics
Role of the highest governance body in Corporate Governance 3-1 Process to determine material topics Materiality Analysis
2-12
overseeing the management of impacts Structure
3-2 List of material topics Materiality Analysis
Delegation of responsibility for managing Corporate Governance
2-13 3-3 Management of material topics Materiality Analysis
impacts Structure
Role of the highest governance body in Sustainable Development GRI 201: Economic Performance
2-14
sustainability report Governance Structure
Direct economic value generated and
201-1 \
Business Ethics distributed
2-15 Conflicts of interest
Management
Financial implications and other risks and
201-2 \
2-16 Communication of critical concerns Materiality Analysis opportunities due to climate change
C o l l e c t i v e k n o w l e d g e o f t h e h i g h e s t Corporate Governance Defined benefit plan obligations and other
2-17 201-3 Remuneration and Benefits
governance body Structure retirement plans
Evaluation of the performance of the highest Financial assistance received from
2-18 \ 201-4 \
governance body government
89 SANY Renewable Energy Environmental, Social and Governance Report 2023 90
GRI Indicator Number GRI Indicator Corresponding SDGs GRI Indicator Number GRI Indicator Corresponding SDGs
Chapter in the report Chapter in the report
GRI 202: Market Presence 302-3 Energy intensity Climate Action SDG 12
Ratio of standard entry level wage by gender 302-4 Reduction of energy consumption Climate Action SDG 12
202-1 \
compared to local minimum wage
Reductions in energy requirements of
Proportion of senior management hired from 302-5 Climate Action SDG 12
202-2 \ products and services
the local community
GRI 203: Indirect Economic Impacts RI 303: Water and Effluents
About SANY Renewable Management of Water
Infrastructure investments and services 3-3 Management of material topics SDG 6
203-1 Energy SDG13 Resource and Wastewater
supported
Climate Action
Management of Water
Community Engagement 303-1 Interactions with water as a shared resource SDG 6
203-2 Significant indirect economic impacts Resource and Wastewater
and Rural Revitalization
Management of water discharge-related Management of Water
GRI 204: Procurement Practices 303-2 SDG 6
impacts Resource and Wastewater
204-1 Proportion of spending on local suppliers \
Management of Water
GRI 205: Anti-Corruption 303-3 Water withdrawal SDG 6
Resource and Wastewater
Business Ethics
3-3 Management of material topics SDG16 Management of Water
Management 303-4 Water discharge SDG 6
Resource and Wastewater
Operations assessed for risks related to
205-1 Compliance Audit SDG16 Management of Water
corruption 303-5 Water consumption SDG 6
Resource and Wastewater
Communication and training about anti- Business Ethics
205-2 SDG16
corruption policies and procedures Management GRI 304: Biodiversity
Confirmed incidents of corruption and Business Ethics 3-3 Management of material topics Biodiversity Management SDG15
205-3 SDG16
actions taken Management
Operational sites owned, leased, managed
GRI 206: Anti-Competitive Behavior
in, or adjacent to, protected areas and areas
Business Ethics 304-1 Biodiversity Management SDG15
3-3 Management of material topics of high biodiversity value outside protected
Management areas
Legal actions for anti-competitive behavior, Business Ethics
206-1 Significant impacts of activities, products and
anti-trust, and anti-monopoly practices Management 304-2 Biodiversity Management SDG15
services on biodiversity
GRI 301: Materials
304-3 Habitats protected or restored \
Waste Management and
3-3 Management of material topics
Circular Economy IUCN Red List species and national
304-4 conservation list species with habitats in \
Waste Management and
301-1 Materials used by weight or volume areas affected by operations
Circular Economy
Waste Management and GRI 305: Emissions
301-2 Recycled input materials
Circular Economy
3-3 Management of material topics Climate Action SDG 13
Reclaimed products and their packaging Waste Management and
301-3 305-1 Direct (Scope 1) GHG Emissions Climate Action SDG 13
materials Circular Economy
GRI 302: Energy 305-2 Energy Indirect (Scope 2) GHG Emissions Climate Action SDG 13
3-3 Management of material topics Climate Action SDG 12 305-3 Other Indirect (Scope 3) GHG Emissions Climate Action SDG 13
302-1 Energy consumption within the organization Climate Action SDG 12 305-4 GHG Emissions Intensity Climate Action SDG 13
Energy consumption outside of the
302-2 Climate Action SDG 12 305-5 Reduction of GHG Emissions Climate Action SDG 13
organization
91 SANY Renewable Energy Environmental, Social and Governance Report 2023 92
GRI Indicator Number GRI Indicator Corresponding SDGs GRI Indicator Number GRI Indicator Corresponding SDGs
Chapter in the report Chapter in the report
Emissions of ozone-depleting substances Occupational health and safety management Occupational Health and
305-6 \ 403-1 SDG3
(ODS) system Safety Management System
Nitrogen Oxides (NOX), Sulfur Oxides Hazard identification, risk assessment, and
305-7 Exhaust Gas Management 403-2 Work Safety
(SOX), and Other Significant Air Emissions incident investigation
GRI 306: Waste Occupational Disease
403-3 Occupational health services SDG3
Prevention
Waste Management and
3-3 Management of material topics SDG 12
Circular Economy Worker participation, consultation, and
403-4 communication on occupational health and Work Safety
Waste generation and significant waste- Waste Management and
306-1 SDG 12 safety
related impacts Circular Economy
Worker training on occupational health and
Management of significant waste-related Waste Management and 403-5 Work Safety
306-2 SDG 12 safety
impacts Circular Economy
Waste Management and Occupational Disease
306-3 Waste generated SDG 12 403-6 Promotion of worker health SDG3
Circular Economy Prevention
Waste Management and Prevention and mitigation of occupational
306-4 Recycle and disposal methods of waste SDG 12 403-7 health and safety impacts directly linked by \
Circular Economy
business relationships
Waste Management and
306-5 Final waste disposal SDG 12
Circular Economy Workers covered by an occupational health Occupational Health and
403-8 SDG3
GRI 308: Supplier Environmental Assessment and safety management system Safety Management System
Construction of Sustainable Work Safety
3-3 Management of material topics SDG 12 403-9 Work-related injuries
Supply Chains Disclosure of ESG Indicators
New Suppliers that were screened using Construction of Sustainable Occupational Disease
308-1 SDG 12 403-10 Disclosure of ESG Indicators SDG3
environmental criteria Supply Chains Prevention
Negative environmental impacts in the Construction of Sustainable GRI 404: Training and Education
308-2 SDG 12
supply chain and actions taken Supply Chains
3-3 Management of material topics Employee Training System
GRI 401: Employment
Labor Management and Average hours of training per year per Employee Training System
3-3 Management of material topics 404-1
Rights employee Disclosure of ESG Indicators
New employee hire rate and employee
401-1 Disclosure of ESG Indicators
turnover 404-2 Disclosure of ESG Indicators Employee Training System
Benefits provided to full-time employees that Employee Career
Programs for upgrading employee skills and
401-2 are not provided to temporary or part-time Remuneration and Benefits 404-3 Development
transition assistance programs
employees Disclosure of ESG Indicators
401-3 Parental leave Remuneration and Benefits GRI 405: Diversity and Equal Opportunity
GRI 402: Labor/Management Relations Practice of Diversity and
3-3 Management of material topics SDG 5
3-3 Management of material topics \ Equality
Minimum notice periods regarding D i v e r s i t y o f g o v e r n a n c e b o d i e s a n d Practice of Diversity and
402-1 \ 405-1 SDG 5
operational changes employees Equality
GRI 403: Occupational Health and Safety
Occupational Health and Ratio of basic salary and remuneration of Practice of Diversity and
3-3 Management of material topics SDG3 405-2 SDG 5
Safety women to men Equality
93 SANY Renewable Energy Environmental, Social and Governance Report 2023 94
GRI Indicator Number GRI Indicator Corresponding SDGs GRI Indicator Number GRI Indicator Corresponding SDGs
Chapter in the report Chapter in the report
GRI 406: Non-Discrimination Operations with significant actual and
413-2 potential negative impacts on local \
3-3 Management of material topics Human Rights Protection SDG 10
communities
Incidents of discrimination and corrective
406-1 Human Rights Protection SDG 10 GRI 414: Supplier Social Assessment
actions taken
GRI 407: Freedom of Association and Collective Bargaining Construction of Sustainable
3-3 Management of material topics SDG 12
Supply Chains
Employee Communication
3-3 Management of material topics New Suppliers that were screened using Construction of Sustainable
and Satisfaction 414-1 SDG 12
environmental criteria Supply Chains
Operations and suppliers in which the right
407-1 to freedom of association and collective \ Negative social impacts in the supply chain Construction of Sustainable
414-2 SDG 12
bargaining may be at risk and actions taken Supply Chains
GRI 408: Child Labor Topic 415: Public Policy
3-3 Management of material topics Human Rights Protection SDG 8 3-3 Management of material topics \
Operations and suppliers at significant risk 415-1 Political contribution \
408-1 Human Rights Protection SDG 8
for incidents of child labor
GRI 416: Customer Health and Safety
GRI 409: Forced or Compulsory Labor
3-3 Management of material topics \
3-3 Management of material topics Human Rights Protection SDG 8
Assessment of the health and safety impacts
Operations and suppliers at significant risk 416-1 \
409-1 Human Rights Protection SDG 8 of product and service categories
for incidents of forced or compulsory labor
Incidents of non-compliance concerning the
GRI 410: Security Practices
416-2 health and safety impacts of products and \
3-3 Management of material topics \ services
Security personnel trained in human rights GRI 417: Marketing and Labeling
410-1 \
policies or procedures
3-3 Management of material topics \
GRI 411: Rights of Indigenous Peoples Requirements for product and service
417-1 \
3-3 Management of material topics \ information and labeling
Incidents of violations involving rights of Incidents of non-compliance concerning
411-1 \ 417-2 \
indigenous peoples product and service information and labeling
GRI 413: Local Communities Incidents of non-compliance concerning
417-3 \
marketing communications
Community Engagement
and Rural Revitalization GRI 418: Customer Privacy
3-3 Management of material topics
Charitable Activity Data Security and Privacy
3-3 Management of material topics
Engagement Protection
Community Engagement
Operations with local community Substantiated complaints concerning
and Rural Revitalization Data Security and Privacy
413-1 engagement, impact assessments and SDG 7 418-1 breaches of customer privacy and losses of
Charitable Activity Protection
development programs customer data
Engagement