53 ANNUAL REPORT 2026 ENRA GROUP BERHAD Industrialised Building System (“IBS”) As part of its efforts to minimise construction waste and improve resource efficiency, the Group has incorporated IBS applications in selected property development activities, including its Dengkil development project. IBS is a construction approach that involves the off-site fabrication of selected building components for subsequent installation and assembly on-site. The Group recognises that IBS applications may support improved material efficiency, reduce construction waste and enhance operational efficiency through more standardised construction processes. Depending on the design and construction approach adopted, IBS applications may also contribute to improved site housekeeping, reduced rework and enhanced safety performance during construction activities. Our Performance The Group monitors waste performance based on total waste generated, waste diverted from disposal and compliance with applicable regulatory requirements. During the reporting period, no significant waste-related regulatory breaches or environmental incidents were recorded. The Group’s waste generation and waste diversion performance is summarised below: Waste Category FYE 2026 (tonnes) FYE 2025 (tonnes) FYE 2024 (tonnes) Waste directed to disposal Hazardous waste 0.003 Nil Nil Non-hazardous waste 0.46 0.35 0.13 Waste diverted from disposal 0.08 0.08 0.03 Total waste generated 0.54 0.42 0.15 1. The waste data presented above reflects waste streams tracked for key operational and development sites during the reporting period. In addition, the following waste-related compliance indicator was monitored: Performance Indicator FYE 2026 FYE 2025 FYE 2024 Target Waste-related regulatory noncompliance incidents Nil Nil Nil Maintain zero incidents Given the Group’s relatively modest direct waste footprint and the nature of certain operational arrangements, ENRA currently does not maintain a formal quantitative waste reduction or waste diversion target. The Group’s current focus remains on responsible waste handling, operational housekeeping and compliance with applicable waste management requirements. Sustainability Statement (Cont’d)
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