MSM Malaysia Holdings Berhad Annual Report 2021

ENVIRONMENTAL As a business highly dependent on natural resources, we are cognisant of the need to protect the natural environment and contribute to climate action. We actively study technological solutions to optimise energy usage, and emissions such as solar and biomass. We have invested in state of the art technology and equipment to ensure improvements in the efficiency of energy usage, prevention of pollution as well as to be in compliance with relevant requirements and legislations. Both MSM refineries use boilers which generate steam to be used in the process. MSM Johor’s plant was built based on an Environmental Impact Assessment Report with consultation from the Department of Environment (DOE). We continue to monitor key environmental aspects such as energy optimisation, water usage, waste management and inventory of greenhouse gases to measure our progress in minimising our environmental impact. We have also initiated collaborative arrangements such as the signing of the Certificate of Collaboration with the Penang DOE to work on green initiatives in preserving and conserving the environment. As MSM expands on a global platform, we are escalating our commitment to minimise the environmental impacts from pollution, waste, resource use, from our business operations. Total environmental fines and penalties incurred by MSM across the Group during the year was RM73,000 for 43 summonses issued by the DOE. There were no summonses the previous year. We have commenced our journey towards establishing the ISO 14001: Environmental Management System with awareness building and audits to begin early 2022 and targeted for completion in the same year. We are in the midst of updating our Environmental Policy as we are moving forward with ISO 14001 certification in FY2022. SDG 12 RESPONSIBLE CONSUMPTION AND PRODUCTION SDG 7 AFFORDABLE AND CLEAN ENERGY SDG 6 CLEANWATER AND SANITATION SDG 13 CLIMATE ACTION Note: As of FY2021, the Group is no longer tracking data for MSM Perlis. MSM is working on improving all tables for FY2022, to ensure all data is tracked and measured accurately and consistently throughout the Group. ENVIRONMENT INITIATIVES WHO WE ARE STATEMENT & DISCUSSION BY OUR LEADERS HOWWE OPERATE MSM Malaysia Holdings Berhad ANNUAL INTEGRATED REPORT 2021 132

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