Sustainable Development

Environment (E)

Environment Indices (Ε)

C-E1 \| Total Amount of Direct Emissions (Scope 1)
EMISSION SOURCES	PPC	LIGNITIKI MEGALOPOLIS	LIGNITIKI MELITIS
EMISSION SOURCES	tCO₂eq
Scope 1: Direct GHG Emissions	13,042,790.79	1,689,489.00	1,005,282.47
Direct emissions from stationary combustion	12,994,315.03	1,587,469.20	966,433.16
Power Plants included in EU ETS	12,940,203.33	1,585,752.42	966,433.16
Power Plants not included in EU ETS	51,751.62	-	-
Heating of buildings	2,360.09	1,716.77	0,00
Direct emissions from mobile combustion	44,450.82	2,564.20	138.64
Direct emissions from physical and chemical processes	160.00	98,593.26	38,710.67
Direct fugitive emissions from the release of greenhouse gases in anthropogenic systems	3,864.94	862.34	0.00

C-E2 \| Total Amount of Indirect Emissions (Scope 2)
EMISSION SOURCES	PPC	LIGNITIKI MEGALOPOLIS	LIGNITIKI MELITIS
EMISSION SOURCES	tCO₂eq
Scope 2: Indirect GHG emissions from imported energy	338,809.80	48,265.77	9,782.39
Indirect emissions from imported electricity¹	338,809.80	48,265.77	9,782.39
Indirect emissions from imported energy ²	0.00	0.00	0.00
1. Values reported according to GHG Protocol location-based method. Corresponding value for PPC according to market-based method is 334.728,24 t CO2eq. Values for Ligntiki Megalopolis and Lignitiki Melitis are identical for both methods 2. Emissions from this category are related to consumption of imported forms of energy other than electricity (e.g. steam,heating, cooling and compressed air). No such consumption was recorded in 2020.

C-E3 \| Energy Consumption within the Organization
Energy Consumption PPC 2019-2020
Total Energy Consumption (TJ)		2019	2020
Energy consumption from Non-Renewable sources		226,470.94	171,967.54
For electricity and heat production		226,444.22	171,278.65
Lignite		128,821.76	70,998.41
Natural Gas		50,492.48	60,651.81
Diesel		12,158.19	9,330.03
Fuel Oil		34,971.79	30,298.41
For transportation and heating		26.71	688.89
Transportation		17.54	622.92⁽¹⁾
Heating		9.17	65.97⁽²⁾
Electricity purchased		3,581.73	3,035.63
For own consumption needs of generating units (interconnected system and non-interconnected islands), mines and pumping		3,503.96	2,944.92
For building needs		77.77	90.71⁽³⁾
Quantity of energy produced		86,177.08	78,724.36
Electricity		83,974.20	76,752.00
Thermal power plants		79,678.80	65,235.60
RES (incl. large hydroelectric power plants)		4,295.40	11,516.40
Thermal energy		2,202.88	1,972.36
District heating		2,202.88	1,972.36
Energy Sold		86,177.08	78,724.36
Electricity		83,974.20	76,752.00
Thermal power plants		79,678.80	65,235.60
RES (incl. large hydroelectric power plants)		4,295.40	11,516.40
Thermal energy		2,202.88	1,972.36
District heating		2,202.88	1,972.36
INDEX GRI 302-1		230,052.66	175,003.18
1. Includes motor fuel (petrol and/or diesel) in the Company's vehicles (owned or fully leased), which are used to move employees, transport fuel, materials, equipment, waste/by-products and other uses. The record relates to vehicles such as cars, buses, trucks and other types of vehicles on which fuel consumption is controlled by the Company. It also includes fuel used to transport power generation fuel to the islands by tankers, which are fully leased by PPC. 2. Includes fuel for the needs of buildings in and outside Attica. 3. Includes electricity for the needs of buildings in and outside Attica.
Calculation assumptions and constraints:	PPC's energy consumption is mainly related to electricity generation. Very small energy amounts (in relation to the consumption of energy for the electricity generation) are consumed for the Company's buildings operation (space heating/ cooling and electrical purposes), as well as for company vehicles (service and corporate vehicles). Consumption figures can be broken down as follows: • Fuel consumption in thermal plants. This consumption includes including consumption by the plants themselves and consumption for district heating. • Electricity consumed by PPC hydroelectric power plants. • Fuel consumption for company vehicles and for heating company buildings. • The consumption of heating oil for the needs of buildings in the area of Attica, AES/ASP/TSP, LKDM and LKM (Lignitiki Megalopolis). • PPC operates a fleet of 1,421 vehicles, including 1,067 vehicles with ordinary license plates and 151 only used within the boundaries of the company’s premises, as well as 203 vehicles with license plates issued with Prefectural authorization. Those vehicles travelled 3.098 million km. The table calculates the self-consumption electricity energy of the Interconnected Transmission System and the Non-Interconnected Islands units. As self-consumption energy is considered the energy used by a power plant and is NOT DERIVED from its own production but is supplied by the System / Network. The consumption of the hived-down Units that belong to our subsidiaries LIGNITIIKI MELITIS S.A. & LIGNITIKI MEGALOPOLIS S.A. is also included.

Α-E1 \| Indirect GHG Emissions (Scope 3)
EMISSION SOURCES	PPC	LIGNITIKI MEGALOPOLIS	LIGNITIKI MELITIS
EMISSION SOURCES	tCO₂eq
Scope 3: Other Indirect GHG emissions	2,850,097.17	105,573.42	34,672.92
Purchased Goods and Services (Category 1)	73,706.32	91,666.72	28,735.37
Capital Goods (Category 2)	28,885.42	48.97	11.98
Fuel and Energy-Related Activities not included in Scope 1 or Scope 2 (Category 3)³	2,685,184.89	9,347.54	2,844.72
Upstream transportation & distribution (Category 4)	46,403.31	129.33	1,951.30
Waste Generated in Operations (Category 5)	12,534.75	191.55	4.29
Business Travel (Category 6)	235.38	0.14	0.00
Employee Commuting (Category 7)⁴	-	3,583.61	1,125.26
Upstream leased assets (Category 8)⁵	-	-	-
Downstream transportation & distribution (Category 9)⁶	648.74	605.55	-
Processing of sold Products (Category 10)^{6 , 7}	0.00	0.00	-
Use of Sold Products (Category 11)⁶	2,498.36	0.00	-
End-of-Life Treatment of Sold Products (Category 12)⁶	0.01	0.01	-
Downstream leased assets (Category 13)⁸
Franchise (Category 14)⁹	-	-	-
Investments (Category 15)⁸

^{3. Indirect emissions from the production and transport of fuel for the production of electricity purchased for resale, as well as emissions from network losses for the electrical energy consumed and declared in Scope 2, are not included for PPC S.A. It should be noted that the current posted value for Category 3 for PPC S.A. is different from the value published in the 2020 Sustainable Development Report, as it includes indirect emissions from fuel combustion for the production of electricity purchased for resale, which for the year 2020 amount to 1,482,970 t CO₂ (combined for PPC S.A. and the two subsidiaries due to the calculation methodology for the emissions of this category). Indirect emissions from production and transport of fuel for the production of electricity purchased for resale are estimated to be negligible to have a significant impact on overall Scope 3 emissions. Based on its commitment to record and publish all emissions the Company has already made preliminary internal assessments of the aforementioned emissions and states that it will be able to disclose them at a later stage.
For Lignitiki Megalopolis S.A. and Lignitiki Melitis S.A. emissions from network losses are not included for the electrical energy consumed and declared in Scope 2}
^{4. Emissions from PPC employees' commuting have not been calculated due to lack of sufficient data and will be included in subsequent reports.}
^{5. Emissions from buildings and vehicles in this category are included in Scopes 1 and 2.}
^{6. There is no activity in this category for Lignitiki Melitis.}
^{7. For PPC and Lignitiki Megalopolis emissions from this category are related to the possible treatment of fly ash before its use in the cement industry. It was found that no such treatment exists.}
^{8. Emissions from leased assets and investments were not examined.}
^{9. There is no activity in this category.}

A-E2 | Climate change risks and opportunities

Sustainable Development Report 2020

Unit 5.4.2 presents "The TCFD's climate-related risks and opportunities - Strategy", and the scenario analysis results, performed by PPC's Strategy Department.

Actions for mitigating climate change risks are presented in unit 6.1 "Environmental Protection and Combating Climate Change" (pp 139-155).

SS-E4 | Water management

Regulatory Risks

The Group may incur significant costs for compliance with environmental legislation, which includes, inter alia, the proper and efficient management of water resources.

Compliance costs may have an adverse effect on business, results, financial position and cash flow. Water management issues require the adoption and implementation of preventive and corrective measures which may mean limiting or even terminating existing activities or projects.

Future laws or regulations may affect the Group's business decisions and strategy by requiring significant environmental investments or payment for water use in hydro and/or thermal power plants and could potentially have a significant negative impact on business, strategic and financial planning.

Natural Risks

E/E consumption is subject to seasonal fluctuations and is primarily affected by climate conditions. However, the huge penetration of RES in E/E production has led to significant changes in the coverage of the remaining load and has to be covered by thermal and hydroelectric power plants, both in terms of seasonality and in relation to the intra-day load curve.

Currently, peak load demand occurs more frequently during the winter season. E / E production may also depend on climate conditions, such as droughts or heat waves, which may limit energy production due to specific flow requirements for downstream cooling facilities or due to speed and wind or sunshine direction for the production of E / E from renewable energy sources.

Weather conditions are beyond the Group's control and, therefore, no assurance can be given that its hydroelectric plants will be able to meet their expected production levels. If hydrological conditions result in drought or other conditions that adversely affect hydroelectric production, there could be a material adverse effect on the Group's results. Lastly, potential rise in sea levels will cause significant damage to coastal infrastructure which means that the uninterrupted supply of electricity to island and coastal areas is in doubt.

Reputation Risks

Due to the volume and complexity of processes requiring the use of water resources, failures in water management may occur in the future, causing a potential risk to the company's reputation for its responsible attitude towards its environmental impact. Violations of applicable environmental laws and regulations or non-compliance with licenses could result in shutdowns of production plants, fines or lawsuits or other sanctions causing negative publicity.

Water Management at Hydroelectric Power Plants

Through hydroelectric projects, flood protection is achieved and water supply and irrigation needs of adjacent areas are served. In addition, the dams ensure a minimum continuous supply to the riverbed (ecological flows), even during periods of severe drought, thus contributing significantly to the protection and management of the country's water resources. The operation of the plants is planned in such a way as to meet the conditions of the ecological flows, the needs for water supply and irrigation, in cooperation with the relevant regions (annual / daily planning), as well as the energy needs of the system.

Water Management at Thermal Production Plants

In the areas of the thermal power plants, water is taken from various sources and for various uses, such as in the Cooling Towers of the power plants. In the direction of rational water management, PPC recycles and reuses significant quantities, resulting in the reduction of the total volume required to meet its needs.

Water Management at Lιgnite Mines

In the mining areas of PPC's mining activity, the pumped water (surface and groundwater) for the protection of the mines, which is not used to meet these needs, will be allocated to neighboring municipalities mainly to meet irrigation needs. The surplus quantities are redistributed to the surface receptors (Sulu stream, irrigation channels and Chimaditida-Petron stream at the Western Macedonia Lignite centre and Alfeios at the Lignitiki Megalopolis S.A.). This discharge of drainage water enhances in the Ptolemaida region the water balance of the respective areas, improving surface water quality and ensuring the balance of the ecosystem by maintaining the ecological flow in some cases (Sulu stream).

Optional Environment Indices (Ε)

SS-E1 | Emission Strategy

PPC's environmental policy includes actions to reduce carbon dioxide emissions (CO2) during the electricity generation process in order to tackle climate change, which is one of the United Nations 2030 Sustainable Development Goals.

In order to reduce CO2 emissions by Thermal Power Plants, and tackle climate change, PPC implemented actions and programs that include:

• Investments involving the replacement of old thermal power plants, with new plants of modern technology and high efficiency, as well as the improvement of the environmental behavior of existing plants.

• Further development of hydroelectric projects and renewable energy projects.

• Further inclusion of natural gas in the energy mix.

• Promotion of energy saving actions and rational use of electricity.

• Participation in research programs for the application of efficient lignite technologies.

These actions result in the reduction, over time, of the average CO2 emission factor of the PPC energy generation system.

SS-E2 \| Air pollutant emissions
POLLUTANTS	EMISSIONS 2020 (t)	EMISSIONS 2020 (t)	EMISSIONS 2020 (t)
POLLUTANTS	PPC	LIGNITIKI MEGALOPOLIS	LIGNITIKI MELITIS
Sulphur oxides (SOX)	19,391	626	426
Nitrogen oxides (NOΧ)	30,423	526	274
Particulate matter (PM)	994	17,9	4,96
Pb	0.916	0.002	0.047
Ni	5.360	0.014	0.064
Cu	0.951	0.003	0.042
Cr(tot)	1.242	0.006	0.114
Zn	2.330	0.012	0.372
Cd	0.099	0.000	0.011
Hg	0.171	0.123	0.011
As	0.305	0.001	0.010

SS-E3 \| Water Consumption
	Quantity consumed (million m³)*	Recycling Rate %**
Lignite SPPs (PPC)	7.173	8.044
LCWM	1.636	7.1
Natural Gas	3.503	10.062
SPP / IPP SHP	0.566	-
Lignitiki Megalopolis SPP	3.228	9.3
Lignitiki Melitis	1.300	-
TOTAL	17.406	-
* Water consumption = Total volume of water pumped - Total volume of water discharged
** % Recycling = (Total volume of water recycled and reused / Total volume of water pumped) * 100

SS-E5 \| Waste Management
Type of Waste	Quantity (t)	Percentage of waste by type of treatment
Type of Waste	Quantity (t)	For recovery operations (R) Percentage %	For disposal operations (D) Percentage %
Total amount of waste to be managed (PPC + Lignitiki Megalopolis and Lignitiki Melitis)	1,264,483	3.03	96.97
Total amount of waste to be managed (PPC)	38,222	96.14	3.86
Total amount of waste to be managed (Lignitiki Megalopolis and Lignitiki Melitis)	1,226,261	0.13	99.87
Total amount of waste to be managed (Lignitiki Megalopolis)	848,029	0.15	99.85
Total amount of waste to be managed (Lignitiki Melitis)	378,232	0.09	99.91
Total quantity hazard. waste to be managed (PPC + Lignitiki Megalopolis and Lignitiki Melitis)	7,905	91.98	8.02
Total quantity hazard. waste management (PPC)	7,791	91.86	8.14
Total quantity hazard. waste to be managed (Lignitiki Megalopolis and Lignitiki Melitis)	114	100.00	0.00
Total quantity hazard. waste to be managed (Lignitiki Megalopolis)	113.2	100.00	0.00
Total quantity hazard. waste to be managed (Lignitiki Melitis)	0.5	100.00	0.00
Total quantity non hazard. waste to be managed (PPC + Lignitiki Megalopolis and Lignitiki Melitis)	1,256,578	2.47	97.53
Total quantity non hazard. waste management (PPC)	30,431	97.23	2.77
Total quantity non hazard. waste to be managed (Lignitiki Megalopolis and Lignitiki Melitis)	1,226,147	0.12	99.88
Total quantity non hazard. of waste for management (Lignitiki Megalopolis)	847,915	0.13	99.87
Total quantity non hazard. waste to be managed (Lignitiki Melitis)	378,232	0.09	99.91
Assumptions, hypotheses, constraints used for the calculation	Based on the data of the annual reports submitted by the obligated facilities to EWR in 2020 In 2020 PPC has 63 facilities that fall within the scope of the Electronic Waste Register (EWR). Respectively, Lignitiki Megalopolis has 5 facilities and Lignitiki Melitis has 3 facilities. The obligation of the environmentally licensed facilities to submit an annual waste report is fulfilled through EWR. The materials derived from the combustion of lignite (ash, gypsum, etc.), are included in the total quantities of waste to be managed by the two lignite subsidiaries and constitute the major part of the quantities, which in the case of these installations are considered and declared as waste. For this reason, the disposal rates (disposal operations D) appear particularly high.

SS-E8 | Critical Materials

For the production of electricity and during lignite mining, no critical materials were used.