Materiality Assessment
[GRI 2-1 (2021), 2-2 (2021), 2-3 (2021), GRI 2-14 (2021), 3-1 (2021), 3-2 (2021), 3-3 (2021)]
EGCO Group conducts materiality assessment annually with consideration to related internal and external operations, including potential positive and negative impacts they can have on the company, stakeholders, communities, and society throughout the organization’s value chain. EGCO Group also assesses key issues that align with stakeholders’ expectations covering economic, social, and environmental (ESG) dimensions. The identified material topics are incorporated into EGCO Group’s business operations and used as a framework for reporting the annual report which covers operations for companies under EGCO Group’s operational control and joint ventures both in Thailand and overseas.
Process to determine Material Topics
Step of Materiality Assessment
1. Identification
EGCO Group reviews the context of its business activities and relationships throughout its value chain as a basis for determining material topics covering economic, social, and environmental aspects. In addition, consideration is given to ensure compliance with international standards and the current situations at both country and global levels which includes analyzing trends in comparison with global sustainability issues and peer companies in the energy and utilities sector. This is to identify material risk and opportunities by taking into account the business case and business impact of the Company, as well as associated actual and potential, negative and positive impacts on the economy, environment, and people, including impacts on human rights, across activities, business relationships and value chain
1.1 Understand EGCO’s Context
1.2 Identify Actual and Potential Impacts
2. Prioritize Material Topics
EGCO Group prioritizes the significance of material topics by considering the level of actual and potential impacts affecting stakeholders positively and negatively. As part of the process of identifying and prioritizing material topics, EGCO Group conducted a stakeholder survey of relevant internal and external stakeholders from 12 stakeholder groups including employees, shareholders, government agencies/regulators, creditors, investors, suppliers & business partners, contractors, communities, society, customers, media, and non-governmental organizations. Opinions and survey results from all stakeholder groups will be used to improve operations of each issue to increase efficiency.
Stakeholder Survey
Age
Gender
Nationality
Stakeholder View
EGCO Group consistently supports essential needs and community activities, while extending help during difficult times. This reflects the company’s commitment to fostering positive relationships, listening and responding to community concerns, and actively engaging with local communities.
Community
Energy security is a fundamental pillar of national development, especially in an era of rising demand for clean energy. Reliable power generation that meets demand and ensures investment stability is essential. EGCO Group is committed to exploring innovative solutions to accelerate the adoption of renewable energy efficiently, delivering maximum benefits for both the economy and the environment.
Government Agency
EGCO Group demonstrates strong competitiveness and agility in adapting to change. At the same time, the company ensures a stable and reliable power supply, earning customer trust and building long-term confidence. This trust creates positive impacts for Supplier and business partner, contractors, and service providers.
Contractor and Subcontractor
EGCO Group leverages diverse competitive opportunities as a key source of revenue to drive long-term growth and development. To sustain its advantage in core business areas, the company focuses on efficient and consistent management of power generation, system development, reliability, and maintenance.
Shareholder
EGCO Group should explore opportunities to expand the business into new sectors to strengthen competitiveness and ensure long-term stability. At the same time, the company faces challenges in talent management—particularly attracting and retaining skilled employees. If not addressed effectively, this could impact the organization’s future competitive edge.
Employee
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Government agencies/regulators
EGCO Group’s business strategy should focus on establishing its image and role as a national leader in energy, particularly in clean energy and digital innovation, to support the energy transition and align with government carbon reduction policies. This transformation not only enhances the company’s business competitiveness but also contributes to mitigating climate change impacts and strengthening the country’s energy system. Governance according to best practices and support for community development are also essential in promoting EGCO’s image as a sustainable energy leader in the eyes of stakeholders and society.
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Customers
Prioritize advanced technology and efficient management practices to ensure stable and sufficient power supply. At the same time, the company is committed to sustainability initiatives, such as ESG investing.
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Contractors and subcontractors
The integration of technology into operations is intended to enhance efficiency, resulting in reduced costs, time, and resource usage, while also improving the safety of energy management. This progress must proceed alongside compliance with existing and forthcoming legal and regulatory requirements. Additionally, a learning center at the power plant has been established, offering interested organizations and educational institutions the opportunity to learn from and visit the facility.
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Media
EGCO Group is a leader in natural gas power generation, investing in renewable energy and promoting the quality of life of local communities through development funds. EGCO also collaborates with government officials for upstream forest conservation and preventing environmental impacts of EGCO’s ecosystems, aiming for carbon neutrality and Net Zero by 2050. EGCO also initiates social projects such as "Youth Shining Bright“ project to further engage youth in energy innovation, underscoring EGCO's commitment to sustainability and community development.
Furthermore, to consider the impacts of individuals related to business operations as well as impacts on human rights. EGCO Group has conducted human rights risk assessment to identify vulnerable groups and individual rights related to business activities and business relations. EGCO Group adopted human rights risk assessment to be part of the process for stakeholders to prioritize material topics. The overall risk level of each topic is determined based on the likelihood and severity ranking.
Human Rights Risk Assessment
Identify impacts on Human Rights across EGCO Group’s activities and business relationships
| Material Topic | Issue | Vulnerable Group | Individual Human Rights* |
|---|---|---|---|
| Opportunities in Competition | Not observed based on Human Rights Risk Assessment | - | - |
| Climate Change & Emissions | Community Standard of Living |
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| Power Generation |
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| Digitalization and Innovation | Not observed based on Human Rights Risk Assessment | - | - |
| Occupational Health and Safety | Employee/Contractor Health and Safety |
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| Ecology and Biodiversity |
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| Energy Management | Not observed based on Human Rights Risk Assessment | - | - |
| Risk and Crisis Management | Not observed based on Human Rights Risk Assessment | - | - |
| Human Capital Management |
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| Corporate Citizenship |
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| Corporate Governance | Not observed based on Human Rights Risk Assessment | - | - |
| Waste Management |
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| Water Management |
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| Supply Chain Management |
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| Human Rights |
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All identified individual Human Rights issues relevant to EGCO Group’s business |
| Data Protection & Cybersecurity |
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Reference: IFC Guide to Human Rights Impact Assessment and Management (HRIAM)
2.1 Prioritize the Significant Impacts
2.2 Assess the Significant of the Impacts
Material Prioritization Approach
Stakeholders rank material issues by giving an overall ranking of the impacts and indicating whether the impact is positive or negative. The ranking is a simplified version of the human rights risk assessment process, where the severity and likelihood of an issue is considered to determine the overall risk level of the issue.
3. Validate Material Topics
EGCO Group engages third party experts to collect and analyze opinions on the impact of material topics. The assessment conducted is based on the principle of double materiality to ensure impartial results.
EGCO Group’s materiality assessment process is verified by a third-party assurance provider, as well as the impacts on the economy, environment, society, and human rights throughout the value chain. This is to ensure that the material topic covers and corresponds to the impacts arising from the Company’s activities with reference to the energy and utilities sector. The materiality assessment results are signed off by the Board of Directors and senior management.
List of Material Topics
In 2025, EGCO Group identified 16 material topics. The identified material topics have changed from the previous year in response to global trends and the needs and expectations of stakeholders regarding EGCO Group's business operations.
EGCO Group 2025 Material topics are as follows:
| No. | Material Topics | Impact Level | |
|---|---|---|---|
| 1 | Opportunities in Competition | ECON 1 | Value Creation |
| 2 | Climate Change and Emissions | ENVI 1 | Value Creation |
| 3 | Power Generation | ECON 2 | Value Creation |
| 4 | Digitalization and Innovation | ECON 3 | Enabler |
| 5 | Occupational Health and Safety | SOC 1 | Enabler |
| 6 | Ecology and Biodiversity | ENVI 2 | Enabler |
| 7 | Energy Management | ENVI 3 | Enabler |
| 8 | Risk and Crisis Management | ECON 4 | Enabler |
| 9 | Human Capital Management | SOC 2 | Enabler |
| 10 | Corporate Citizenship | SOC 3 | Enabler |
| 11 | Corporate Governance | ECON 5 | Enabler |
| 12 | Waste Management | ENVI 4 | Foundation |
| 13 | Water Management | ENVI 5 | Foundation |
| 14 | Supply Chain Management | ECON 6 | Foundation |
| 15 | Human Rights | SOC 4 | Foundation |
| 16 | Data Protection and Cybersecurity | ECON 7 | Foundation |
Lead to lower electricity prices, greater choice, improved service, and more innovative energy products for customers.
Lose jobs in traditional generation sectors can occur, necessitating workforce reskilling and community adaptation.
- Strategic Risk
- Financial Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Customers
- Shareholders
- Government Agencies
- Employees
- Communities
- Creditors
- Supplier and business partner
- Investors
- Contractors and subcontractors
GRI 201: Economic Performance (2016): 201-1
For more information, please see Climate Climate Strategy and Market Opportunities Overview
One Report: Opportunities in Competition
Accelerate shift to low-carbon energy by investing in renewable energy, storage, and new technologies to drive innovation and market opportunities.
Increase compliance with emission regulations, e.g., carbon taxes, raising operating costs that may be transferred to customers.
- Strategic Risk
- Operational Risk
- Financial Risk
- Operations
- Products/Services
- Supply Chain
Long-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Customers
- Shareholders
- Government Agencies
- Employees
- Communities
- Creditors
- Supplier and business partner
- Investors
- Society
- Contractors and subcontractors
- Media
- NGO
GRI 305: Emission (2016): 305-1*, 305-2*, 305-3*, 305-7*
For more information, please see Climate Strategy and Market Opportunities Overview
One Report: Climate Change
*External assurance
*External assurance
Ensure reliable and stable power generation to minimize outages and support continuous electricity delivery through off taker.
Cause negative impacts on customers if generation lacks stability, leading to delivery disruptions and higher risks for stakeholders.
- Operational Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Customers
- Shareholders
- Government agencies/Regulators
- Employees
- Community
- Creditors
- Supplier and business partner
- Investors
- Contractors and subcontractors
GRI 2: General Disclosures (2021)
For more information, please see Power Generation Stability & Capability
Power Generation Impact Valuation
One Report: Power Generation
Improve efficiency and resource use, reducing impacts and expanding access to sustainable solutions.
Require new skills and potentially displace jobs in traditional roles.
- Strategic Risk
- Organization Structure Risk
- Operations
- Products/Services
- Supply Chain
Medium-term impact
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Customers
- Employees
- Supplier and business partner
- Creditors
GRI 2: General Disclosures (2021)
For more information, please see Innovation Management Overview
Proactive safety management reduces risks for both employees and contractors, ensuring regulatory compliance.
Expose workers and, in worst cases, surrounding communities to safety risks, weakening stakeholders’ trust in the EGCO Group.
- Operational Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Employees
- Community
- Contractors and subcontractors
GRI 403: Occupational Health and Safety (2018): 403-9*
For more information, please see Occupational Health and Safety Overview
*External assurance
**The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.
Integrate biodiversity protection into planning to reduce risks and enhance compliance.
Allow minor incidents to escalate if unmanaged, causing conflicts and long-term challenges.
- Strategic Risk
- Operational Risk
- Operations
- Supply Chain
Long-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Community
- Supplier and Business Partner
- Society
- Contractors and subcontractors
- NGO
GRI 101: Biodiversity (2024)
For more information, please see Biodiversity
Reduce pollution and greenhouse gas emissions through effective energy management.
Cause pollution, harm health, and erode public trust when energy is poorly managed.
- Operational Risk
- Operations
- Products/Services
- Supply Chain
Long-term impact
- Power Generation
- System Installation and Maintenance Business Unit
- Customers
- Shareholders
- Employees
- Contractors and subcontractors
GRI 302: Energy (2016):302-1*, 302-3*
For more information, please see Energy Efficiency Management
*External assurance
Minimize accidents and hazards, strengthening trust and safety for nearby communities.
Cause severe disruptions, reputational damage, and loss of stakeholder trust if risk management is ineffective.
- Strategic Risk
- Operational Risk
- Financial Risk
- Compliance Risk
- Organization Structure Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Customers
- Shareholders
- Government agencies/Regulators
- Employees
- Community
- Creditors
- Supplier and business partner
- Investors
- Contractors and subcontractors
- Society
- Media
- NGO
GRI 2: General Disclosures (2021)
For more information, please see Risk and Crisis Management Overview
Enhances employee skills, engagement, and well-being, boosting productivity and retention.
Lead to low morale, high turnover, and reduce workforce capability if poorly managed.
- Organization Structure Risk
- Operations
- Products/Services
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Employees
- Contractors and subcontractors
GRI 404: Training and Education 2016: 404-1
GRI 405: Diversity and Equal Opportunity 2016: 405-2*
For more information, please see Our Employees Overview
*External assurance
**The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.
Contribute to social development, build goodwill and improve public perception of the company.
Fail to engage communities and stakeholders, resulting in reputational loss and social opposition to projects.
- Strategic Risk
- Operations
- Products/Services
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Supporting Activities
- Employees
- Community
- Society
- Media
- NGO
GRI 413: Local Communities (2016):413-1
For more information, please see Corporate Social Responsibility Overview
One Report: Corporate Social Responsibility
Ensure compliance, build investor confidence, and support sustainable business practices.
Damage reputation and stakeholder relationships if transparency and accountability are lacking.
- Strategic Risk
- Operational Risk
- Financial Risk
- Compliance Risk
- Organization Structure Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Customers
- Shareholders
- Government agencies/Regulators
- Employees
- Community
- Creditors
- Supplier and business partner
- Investors
- Contractors and subcontractors
- Society
- Media
- NGO
GRI 2: General Disclosures (2021)
For more information, please see Corporate governance overview
*The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.
Reduce exposure to harmful substances, leading to a healthier and safer environment for residents.
Increase environmental risks and community concerns if waste handling is inefficient.
- Operational Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Employees
- Community
- Society
- Contractors and subcontractors
GRI 306: Waste (2020):306-3*, 306-4*, 306-5*
GRI 306 Effluents and Waste (2016):306-3*
For more information, please see Waste Management
*External assurance
**The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.
Prevent water pollution, benefiting community health and environmental quality through responsible wastewater discharge.
Strain local water resources and ecosystems if excessive water is used in cooling and generation.
- Operational Risk
- Operations
- Products/Services
- Supply Chain
Long-term impact
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Employees
- Community
- Society
- Contractors and subcontractors
GRI 303: Water and effluents (2018): 303-3*, 303-4*, 303-5*
For more information, please see Sustainable Water
*External assurance
**The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.
Enhance long-term resilience and compliance by integrating ESG criteria into procurement.
Harm reputation if poor oversight leads to non-compliance with environmental, safety, or labor standards.
- Operational Risk
- Supply Chain
Short-term impact
- Raw Material Provision
- Supplier and business partner
- Contractors and subcontractors
GRI 2-6 Activities, value chain and other business relationships (2021)*
GRI 308: Supplier Environmental Assessment (2016): 308-1
GRI 414: Supplier Social Assessment (2016):414-1, 414-2
For more information, please see Supply Chain Management Overview
*External assurance
Protect community rights, promote equality, and build trust and social stability.
Harm vulnerable groups, increase social tension, and degrade community well-being when violations occur.
- Operational Risk
- Compliance Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Customers
- Shareholders
- Government agencies/Regulators
- Employees
- Community
- Creditors
- Supplier and business partner
- Investors
- Society
- Contractors and subcontractors
- Media
- NGO
GRI 2: General Disclosures (2021)
For more information, please see Human Rights Overview
*The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.
Protect stakeholder data and critical infrastructure from external threats through strong cybersecurity systems.
Cause outages or shutdowns if operational systems are attacked, affecting service reliability.
- Operational Risk
- Operations
- Products/Services
- Supply Chain
Short-term impact
- Raw Material Provision
- Power Generation
- System Installation and Maintenance Business Unit
- Other Relevant Power Business Units
- Products and By-products
- Supporting Activities
- Customers
- Employees
- Supplier and business partner
- Contractors and subcontractors
GRI 418: Customer Privacy (2016): 418-1*
For more information, please see Privacy Protection and Cybersecurity Overview
*External assurance
**The topic received a score of 0.00. This does not mean that it lacks impact on stakeholders or the business, but rather that it is currently considered not material from the stakeholders’ perspective.