BTS : Sustainability Report 2022/23

INTRODUCTION

SUSTAINABILITY AT BTS GROUP

BTS GROUP FOR ENVIRONMENTAL SUSTAINABILITY

BTS GROUP FOR ECONOMIC SUSTAINABILITY

BTS GROUP FOR SOCIAL SUSTAINABILITY

OTHER INFORMATION

FY 2022/23 SUSTAINABILITY HIGHLIGHTS

Global

Global

#1 in

#1 in

Ranked

Ranked

Company

Company

TRANSPORTATION

MEDIA

BTS Group

VGI

BTS Group - The First and Only

MSCI Indices constituent

CDP Climate Change

IFR Asia Awards 2022 - ESG

The World's Most

The World's Most

Certified Carbon Neutral Rail

with 'AA' ESG ratings (2023)

Assessment, "A-" score

Bond of the Year Award

Sustainable

Sustainable

Transportation Company in

Transport Company *

Media Company

*

the World

VGI - The First and Only

Certified Carbon Neutral

* ranked by S&P Global

Media Company in the World

'5-star' rating or 'Excellent' rating in Corporate Governance

FY 2022/23 SUSTAINABILITY IN ACTION

KEY ESG PERFORMANCE

HOP ON BTS - BTS GROUP X VGI

A special campaign to raise awareness to the importance of sustainable transportation towards a decarbonised future. Through this, BTS Group invites everyone to hop on the BTS SkyTrain, reduce traffic, reduce pollution and fight climate change.

13%

reduction in Scope 2 emissions

or a 10,300 tCO2e reduction in Scope 2 emissions

THB

31.6mn

cost savings

Due to a reduction in total electricity consumption through energy efficiency, compared to BAU scenario

THB

20bn raised through sustainable finance

Through the issuance of its second Sustainability-Linked Bond (SLB) debuting as the first Bond offering in Southeast Asia made available to the public

BTS GROUP SUSTAINABILITY REPORT 2022/23		01

INTRODUCTION

SUSTAINABILITY AT BTS GROUP

BTS GROUP FOR ENVIRONMENTAL SUSTAINABILITY

BTS GROUP FOR ECONOMIC SUSTAINABILITY

BTS GROUP FOR SOCIAL SUSTAINABILITY

OTHER INFORMATION

TABLE OF

CONTENTS

01 INTRODUCTION

1.1	Chairman's Message	03
1.2	BTS Group Business Overview	05
1.3	BTS Group Value Chain	09
1.4	About this Report and	10
	Materiality Assessment

02	SUSTAINABILITY			BTS GROUP FOR		04	BTS GROUP FOR
AT BTS GROUP		03 ENVIRONMENTAL		ECONOMIC
				SUSTAINABILITY			SUSTAINABILITY
2.1	Sustainability Strategy	16	3.1	Climate Action	34	4.1	Corporate Governance	55
2.2	Sustainability Awards	17	3.2	Environmental Resource	48		and Business Conduct
	and Recognition			Management		4.2	Supply Chain Management	60
2.3	Sustainable Development	19				4.3	Infrastructure and Accessibility	64
	Commitment					4.4	IT Security and Data Privacy	68
2.4	Stakeholder Engagement	25
2.5	Risk Management	28
2.6	Human Rights Management	31

05	BTS GROUP FOR		06	OTHER INFORMATION
SOCIAL SUSTAINABILITY
5.1	Health and Safety for All	73	6.1	Reporting Boundaries	97
5.2	Human Rights Management	78	6.2	Sustainability Performance	99
5.3	Human Resources Management	84		Data
5.4	Social and Community	92	6.3	GRI Content Index	110
	Development		6.4	Independent Assurance	114
				Statement

BTS GROUP SUSTAINABILITY REPORT 2022/23

02

INTRODUCTION

SUSTAINABILITY AT BTS GROUP

BTS GROUP FOR ENVIRONMENTAL SUSTAINABILITY

BTS GROUP FOR ECONOMIC SUSTAINABILITY

BTS GROUP FOR SOCIAL SUSTAINABILITY

OTHER INFORMATION

1.1 CHAIRMAN'S MESSAGE

Dear Stakeholders,

"BTS Group continues to deliver

BORDERLESS TRANSFORM SOLUTIONS

to its customers towards a greener and brighter future"

The Climate Crisis: A Wake-up Call for Sustainability-driven Action

If there is one thing the world needs to agree on, it is that climate change is real and is caused by the people who are suffering from its effects. In 2015, the Paris Agreement was adopted with the aim to strengthen the global response to the threat of climate change by restricting global temperature increases to well below 1.5 degrees Celsius, or at the very least, limiting the temperature rise to 2 degrees Celsius to avoid the most severe impacts of climate change. Both governments and companies have since accelerated the implementation of policies, regulatory compliance standards, and pledges to meet this goal. Accordingly, Thailand pledged to achieve carbon neutrality by 2050 and net zero GHG emissions by 2065.

Our Role as a Sustainable Solutions Provider

With the transportation sector accounting for 32% of Thailand's carbon emissions in 20221, being a low-carbon mode of transportation operator, BTS Group has always been aware of the significant role we play within Thailand's carbon emissions reduction goal as per the Nationally Determined Contribution (NDC). We remain committed to supporting the country's journey every step of the way through our support to the country's sustainability-related public policies. Our 3M strategy

• MOVE, MIX, and MATCH, work to support Thailand's sustainable expansion towards a decarbonised economy, as guided by the Sustainable Development Goals (SDGs). Since 1999, BTS Group is proud to have enabled the avoidance of more than 1.9 million tonnes CO2 equivalent within Thailand by increasing public access to low-carbon transportation. In doing so, our MOVE business plays a pivotal role in alleviating Bangkok's escalating pollution problem, traffic congestion and expanded socio-occupational opportunities to peri-urban areas. The substantial benefit to MIX businesses provide solutions for socio-economic growth, financial inclusion, and sustainable supply chain logistics, while MATCH creates new business opportunities and synergies with partners.

1 Thailand emitted 247.7mn tCO2 in 2022 with the transportation sector contributing 32%, or 79.6mn tCO2e, out of the total. (Energy Policy and Planning Office, Apr 2023)

| 1.1 Chairman's Message		03

INTRODUCTION

SUSTAINABILITY AT BTS GROUP

BTS GROUP FOR ENVIRONMENTAL SUSTAINABILITY

BTS GROUP FOR ECONOMIC SUSTAINABILITY

BTS GROUP FOR SOCIAL SUSTAINABILITY

OTHER INFORMATION

OUR IMPACT SINCE DAY ONE

									1 in
		Enabled			Avoided		Raised	#	Global
					Company
		3.9bn		>	1.9mn		THB 62.8bn		Ranked
				TRANSPORTATION
		Sustainable trips via	Tonnes of CO2e avoided	Through sustainable	World's Most Sustainable
		low-carbon transportation	through modal-shift	finance and growing	Transportation Company
Sharing Our Sustainability Progress				Moving Forward with Purpose

Going into FY 2022/23 with our long-term climate strategy as a sustainability compass, BTS Group continued to preserve its carbon neutral status through the continuance of our environmental-focused initiatives including operational energy efficiency solutions and having at least 10% of electricity consumption from renewable sources. Our efforts to decarbonise our operations has led the Company to register a reduction of 10,300 tonnes of carbon dioxide equivalent, representing a 13%2 reduction in Scope 2 emissions within this year. Going further, a feasibility study is currently underway for the installation of solar rooftops for the Yellow and Pink line depots. Regardless, the openings of our Yellow and Pink lines, set to open within 2023 and the first half of 2024 respectively, are expected to be catalysts behind the expansion of the country's urban mobility and accessibility for sustainable socio-economic development.

Led by the intent to mobilise capital towards the development of low-carbon infrastructure, the Company also aims to foster increased access to impact investment opportunities within the Thai capital markets. To support this, the Company has raised a total of THB 62.8bn in sustainable finance thus far. Notably, BTS Group's second issuance

of its Sustainability-linked Bonds (SLB), valued at THB 20bn, became the first SLB in Southeast Asia to be made public to retail investors. Leveraging our 3M platforms, BTS Group is also accelerating its role as a voice for sustainable transformation. Our first awareness raising campaign, "Hop On BTS", highlighted the importance of sustainable mode of transportation and the positive impact our passengers make just by hopping on the BTS SkyTrain.

Behind all the work we are doing, BTS Group realises that the Company's greatest asset is our employees. As such, we aim to cultivate a people-centric workplace with a sustainability-driven culture. Promoting equality and transparency across all aspects of our operations, BTS Group's good governance, especially zero-tolerance for corruption, is reflected in the robust and transparent disclosure of our ESG performance. In doing so, BTS Group gained distinguished recognition nationally, being ranked "Excellent" (or 5-star) in Corporate Governance (CAC) for 11 consecutive years, and internationally as the World's Most Sustainable Transportation Company 3 years in a row, as ranked by the S&P Global.

On a personal note, I am most thankful for all the Company has accomplished within FY 2022/23. On behalf of the Board of Directors, I would like to express my sincerest gratitude and appreciation to our employees, management team, shareholders, business partners, financial institutions and government agencies. Above this, I am grateful for all our customers, the communities we serve and all stakeholders who have supported BTS Group's sustainability journey. As we move forth with excitement into FY 2023/24, we take it upon ourselves to be better than we were yesterday. We simply have no other choice than to improve towards a more resilient and sustainable society.

Mr. Keeree Kanjanapas

Chairman of the Board of Directors /

Chairman of the Executive Committee /

Chairman of the Sustainability Committee

2 A reduction of 10,300 tonnes of carbon dioxide equivalent, compared to total Scope 2 emissions of 82,200 tonnes of carbon dioxide equivalent in FY 2022/23.	(GRI 2-22)
| 1.1 Chairman's Message	| 1.1 Chairman's Message	BTS GROUP SUSTAINABILITY REPORT 2022/23		04