Sustainable Supplier Management

(Disclosure 205-2)

The East Water Group is committed to sustainable supply chain management, aiming to develop and strengthen its suppliers for mutual growth. The company adheres to procurement regulations, best practices, and the Supplier Code of Conduct, ensuring compliance with key sustainability principles while fostering relationships with its suppliers. The Company regularly engages with its suppliers through annual engagement activities. In 2024, the Company introduced a Supply Chain Management Handbook (detailed on the company’s website under Risk Management in Procurement topic), outlining supplier selection and evaluation criteria that encompass economic, social, and environmental dimensions. This ensures that the Company’s suppliers operate ethically and align with sustainable development goals

Supplier Assessment and Evaluation

On-Site Visit to the Industrial Waste Management Center of Better World Green Public Company Limited, Saraburi Province, on 27 September 2024, which is an important supplier that does not conduct direct business (Critical Non-Tier 1 Supplier) in hazardous industrial waste disposal services. The assessment focused on ESG compliance, legal and regulatory adherence, covering quality, environmental management, occupational health and safety, and community impact, as well as the company’s supplier requirements. The visit also highlighted the supplier’s strong commitment to environmental and social responsibility, reinforcing stakeholder confidence in the company’s operations and contributing to supply chain sustainability.

An operational assessment was conducted at Ton-Or Engineering Co., Ltd., located in Chachoengsao Province, on 19 December 2024. This supplier is listed in the Approved Vendor List (AVL) and classified as a Critical Tier 1 Supplier. The evaluation focused on compliance with the Supplier Code of Conduct, alongside knowledge sharing and awareness-building on key topics, including personal data protection laws, human rights and labor rights, safety and occupational health, environmental management, legal compliance ethics, and community engagement. This initiative fostered knowledge exchange and collaboration, reinforcing the Company’s commitment to mutual sustainable growth with its suppliers.

Supplier Relationship Development

The Company organized the ESG Social Walk: Entering the 33rd year with Confidence in East Water on 22 November 2024 at Thap Ma Raw Water Reservoir, Rayong Province. The event aimed to strengthen relationships with stakeholders and raise awareness of environmental, social and governance (ESG) principles through a 3.30-kilometer health walk and Route Check (RC) activities around the Thap Ma Raw Water Reservoir. This event followed the “Low Impact, High Value” concept by choosing an open-air venue with natural airflow, reducing reliance on air conditioning, and utilizing green spaces for cooling. Participants were encouraged to bring personal water bottles, with refill stations provided. Food was sourced from local community vendors, avoiding plastic containers and excessive packaging, which supported local businesses and reduced waste. Waste segregation stations were also set up to ensure proper waste management. The event received strong participation from over 50 business suppliers, with 90.00% satisfaction according to the survey results.