Chemical Company of Malaysia Berhad Sustainability Report 2019

The table below shows the breakdown of energy consumption at our Headquarters as well as our Chemicals and Polymers operations over 2018 and 2019. Berhad Chemicals Polymers Energy Consumption Unit 2018 2019 2018 2019 2018 2019 Electricity kWh 78,140 71,192 129,017,499 135,762,832 410,278 582,009 Fuel Oil (diesel, petrol) Litres - - 1,978 2,400 7,700 20,126 Natural Gas Sm 3 - - 3,123,499 3,091,963 - - In 2019, energy usage at our headquarters decreased in comparison to 2018 due to the energy efficiency features that we implemented. However, our Chemicals and Polymers operations showed higher energy consumption. This was primarily due to the fact that majority of our plants had expanded their production capacity to meet increased market demand and were running at full capacity over the course of the year. While the transformation into an energy-efficient operator is oftentimes an expensive exercise, it has the greatest potential for reducing carbon emissions over a long period and will ultimately result in reduced operating costs as well. CARBON FOOTPRINT [302-4, 305-1, 305-5] To comply with the Intergovernmental Panel on Climate Change (IPCC), the Group began its carbon management programme and carbon footprint reporting back in 2012. Under the IPCC initiative, we report our greenhouse gas emissions associated with key operations in our Polymers and Chemical Divisions. Our carbon footprint calculation covers the consumption of electricity, fossil fuels and natural gas throughout our operations. CO 2 Emission (MT)* Headquarters Chemicals Polymers 2018 59.6 83,857 251.9 2019 42.7 87,827 402.1 Co 2 Emission Intensity Ratio Chemicals Polymers 2018 0.343 0.01 2019 0.349 0.02 | Our Commitment to Environmental Economic Practices | As the operational activities within our Polymers business increase, our fuel and electricity usage too will naturally rise, thus contributing to an increase in carbon emissions. The rise in emissions in 2019 was mainly attributable to our operational expansion which has been necessary to accommodate increased business demand. 40 CHEMICAL COMPANY OF MALAYSIA BERHAD