CONTENTS
01 Chairman’s Message
02 About United Water Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented
06 Sustainable Development Management
14 Water Resource 30 Water Supply Resilience 42 Corporate Governance 57 Digital Intelligence 65 Employment and Employee
10 Special Feature: Management Empowerment Rights Protection33 Premium Services 46 Compliant and Sound
Transformations Synergy: Charting a 19 Eco-Environmental Operations 58 R&D Innovation 69 Diverse Workplace and
New Course for "Digital + Low-Carbon" Protection
36 Water Accessibility Employee Care
Business Ethics
Water Utilities 20 Responding to 38 Community Involvement
48
Talent Cultivation and
Climate Change 49 Supply Chain
71
Development
Management
75 About This Report 24 Reducing
Environment Impact 52 Safety Prevention
Measures
76 Key Performance
79 Index of Indicators2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 01
Chairman’s Message
Mapping the Intelligent Water Network—
Embarking on a New Journey for Sustainable Development
As sustainable development becomes a global consensus the convergence of the global water crisis intensifying climate change impacts and the digital technology revolution
places the water industry—which is vital for people's well-being and green development—at the forefront of unprecedented missions of our time. United Water has consistently
integrated sustainable development into all facets of its operations and development creating value for the economy the environment and society while leveraging the Company's
expertise to protect aquatic ecosystems and empower water-related livelihoods.Faced with the profound challenges posed by climate change we firmly believe that scientific and technological innovation holds the key to breakthrough solutions. We actively
embrace the latest trend of technological revolution led by artificial intelligence positioning the cultivation of "new productive forces" as the core engine of our green transformation.To this end we are accelerating the development of smart water systems and deeply integrating technological and ecological elements. We are not only exploring low-carbon
high-efficiency models in our daily operations—contributing scientific and technological power to water resource protection water environment improvement and water ecological
restoration—but also investing in emerging sectors such as carbon-negative materials with a forward-looking vision introducing cutting-edge environmental protection technologies
into the industry and fully activating our momentum for green development.Water sustains communities and water supply serves the people. While pursuing green growth we consistently adhere to our mission of "ensure the provision of high-quality water
to consumers and eco-friendly water treatment services that contribute to environmental protection" placing "the creation of social value" at the Company's core. Domestically we
coordinate urban and rural water development bringing clean flowing water to thousands of households. Internationally we actively expand new horizons for cooperation advancing
global water governance through our professional capabilities. Beyond water services we are deeply committed to rural revitalization and public welfare delivering warmth and
care through practical actions. We are dedicated to a people-oriented principle safeguarding employee rights and building a platform for every employee to realize their self-value
fostering mutual growth between individuals and the organization.Currently ESG has become an imperative for businesses. With strategic foresight United Water has internalized ESG principles as an impetus for its development. Through robust
operational performance and transparent governance practices we are creating long-term value for all shareholders. The Company's solid ESG management practices have earned its
recognition in 2025 including being selected as the "2025 Outstanding Sustainable Development Practice Cases of Listed Companies" by the China Association for Public Companies
(CAPCO) the "19th Listed Companies Value Selection·China Listed Companies ESG TOP 100" by Securities Times and the "2025 Wind China Listed Companies ESG Best Practice TOP
100 (Small and Mid-Cap)" by Wind ESG as well as receiving the the "2025 ESG Model Enterprise·Belt and Road Initiative Special Contribution Award" by Guancha Syndicate and other
prestigious honors affirming the Company's standing as a benchmark in the industry.Water connects us and our mission binds us. In a landscape of overlapping challenges sustainable development is not only the inevitable response to global risks but also the
Chairman and President
fundamental path to achieving high-quality development building core competitiveness and securing a sustainable future. Moving forward United Water will continue to anchor
of United Water its development in sustainability deepen its ESG practices strengthen its sense of responsibility and forge ahead on the path of high-quality development. We will maintain a
pioneering spirit embrace new opportunities and challenges with proactive commitment and cooperate with all partners to inject stronger "water momentum" into sustainable socio-
Phillip Weijing Yu economic development!2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 02
About
United Water Vision
Company Introduction United Water strives to be a GREAT company! T
Company Profile A
Talents
Jiangsu United Water Technology Co. Ltd. is a E
comprehensive and full-service water utility company.Its business scope includes water environment Ambition
management services such as tap water production R
and supply wastewater treatment and resource Excellence
recovery and the water environmental and ecological
restorat ion of r iver and lake basins. Through G Return
investment construction and operation the Company
has established a complete industrial chain in the
water sector spanning from water source to the tap. Growth
United Water currently holds contractual and planned
treatment capacity (including reclaimed water) for tap
water supply wastewater treatment and resource
recovery projects totaling approximately 3 million
cubic meters per day. These projects are distributed
across 10 provinces and 16 cities in China operating
through 26 subsidiary companies as well as one water
supply operating company in Dhaka the capital of
Bangladesh and one wastewater treatment operating Corporate Core Values Mission
company in Saudi Arabia.United Water actively champions a win-win model
involving society investors employees and customers We ensure the provision of high- We constantly pursue We provide employees with a
to promote reform and development in China's Unity Integrity Endeavor Mutual quality water to consumers and growth and identify safe and inclusive workplace as water utility industry. By consistently applying an Success eco-friendly water treatment and develop high-value well as opportunities to bring
investment principle that merges Eastern and
Western management ideals places a high value on s e r v i ce s t h at co n t r i b u te to water infrastructure their talent and expertise into
human resources and underlines the importance of environmental protection. assets. full play in their careers.efficiency and conservation we ensure the provision
of high-quality water to consumers and provide eco-
friendly water treatment services that contribute to
environmental protection.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 03
Business Overview Business Scope
Business Distribution
* Municipal Water Supply
Domestic
* Industrial Park Water Supply
1 Shanghai 9 Xianning Hubei Water * Urban-Rural Water Supply Integration
2 Helan Ningxia Suizhou Hubei Supply10 * Extended Water Supply Services
3 Sanmenxia Henan 11 Jingzhou Hubei
4 Xinmi Henan 12 Tongxiang Zhejiang 2
5 Quwo Shanxi 13 Ruichang Jiangxi 5 * Municipal Sewage Treatment6
6 Xinjiang Shanxi 14 Zhangzhou Fujian 7
3 4 8 Sewage
* Industrial Park Sewage Treatment
7 Jishan Shanxi 15 Huaibei Anhui 15 ShanghaiChina Treatment * Sewage Resource Utilization
(Headquarters) and Resource
8 Suqian Jiangsu 16 Shenzhen Guangdong 10
1 Utilization * Difficult-To-Treat Industrial Wastewater12
119
13
* Water Environment Management of Basins
Overseas 14 Rivers Lakes etc.
16 Water * Water Resources Protection and ManagementBangladesh Saudi Arabia
Environment * Tailwater Standard Improvement of Sewage
Management
Treatment Plants
Core Business Details
Water supply plants Water supply contractual capacity Completed water supply capacity Water environment management area in 2025 Cumulative number of registered patents
8 1880000 cubic meters per day 1032200 cubic meters per day 118750 square meters 30
Sewage treatment Sewage treatment contractual capacity Completed sewage treatment capacity Cumulative water environment management area Cumulative number of
plants (including reclaimed water) (including reclaimed water) approximately software copyrights
20 1092800 cubic meters per day 892800 cubic meters per day 2000000 square meters 13
Note: In January 2026 United Water as the lead consortium member in partnership with Armada Holding Company and Prosus Energy LLC was awarded Package 10 (Northern Region) of the long-term municipal wastewater operation and maintenance contract by the Saudi Arabia
National Water Company. The total capacity of the project is 337800 cubic meters per day.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 04
Our 2025
Performance ESG Awards
Total assets Selected as
3799.88 one of the "2025 Outstanding Sustainable Development Practice Aawarded Selected as thRMB? ?million Cases of Listed Companies" by the "2025 Wind China Listed Companies one of the "19 Listed Companies
the China Association for Public ESG Best Practice TOP 100 (Small and
Value Selection·China Listed
Companies ESG TOP 100" by
Companies (CAPCO). Mid-Cap)" by Wind ESG. Securities Times.Operating revenue
RMB?1102.94?million
Listed in Honored with
the "2025 A-Share Public Utilities Sector ESG Performance TOP 20" and the the "2025 Jin Jun Ma Award·ESG
Operating profit "2025 ESG Performance Excellence List for A-Share and H-Share Companies Sustainable Development Pioneer
in the Municipal Facilities Sector" by CSI ESG. Enterprise" by Securities Daily.RMB?135.14?million
Total tax payment Received Awarded Recognized with
the "2025 Listed Company the "3rd ESG New Benchmark the "2025 ESG Model Enterprise·
105.49 ESG Value Communication Award" Enterprise Award·Product Belt and Road Initiative RMB? ?million by Value Online. Responsibility Award" SpecialContribution Award"
by Stock Star. by Guancha Syndicate.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 05
Partial Honors & Awards
Three innovative practices of United Water United Water was honored with United Water was recognized with United Water received
were selected for the key recommended the "Class A Tax Credit Rating for the "Suqian Advanced Group in the "Outstanding Unit for Serving
practices in the Ministry of Housing 2024" by the Taxation Bureau of Security Work" award by Local Development" award by
and Urban-Rural Development's List of Sucheng District Suqian City State the Suqian Public Security Bureau. the Yanghe New Area Tourism
Replicable Policy Mechanisms for Leakage Taxation Administration. Transportation and Construction
Control in Urban Public Water Supply Bureau Suqian City.Pipelines (Second Batch).Xianning United Water Co. Ltd. Xianning United Water Co. Ltd. Xianning United Water Co. Ltd. Xianning United Water Co. Ltd.was honored with the "National received the "First Place in the 2024 was recognized as a "2024 was named a "2024 Charitable
Civilized Unit" award by the Comprehensive Evaluation of the Xianning Advanced Enterprise in Enterprise" by the Xianning
Central Leading Group for Urban Comprehensive Management Industry Management" by the Volunteer Association and
Propaganda Ideological and Service Platform" award by the Xianning Xianning Housing and Urban- Xianning Qishan Social Work
Cultural Work. Urban Management Command Center. Rural Development Bureau. Service Center.Xianning Siyuan Water Co. Ltd. Xianning Xiangquan Water Quality Testing Co. Tongxiang Shenhe Water Co. Ltd. was Tongxiang Shenhe Water Co. Ltd. was
was awarded the "AA Grade Ltd. and Xianning United Municipal Engineering honored with the "Class A Tax Credit recognized as a "A Grade 'Contract-
Enterprise Credit Rating Co. Ltd. were honored with the "Class A Rating for 2024" award by the Taxation Abiding and Trustworthy' Enterprise of
Certificate" by the Xian'an Tax Credit Rating for 2024" award by the Bureau of Tongxiang City State Taxation Zhejiang Province" by the Tongxiang
District Development and Taxation Bureau of Xian'an District Xianning Administration. Municipal Market Supervision and
Reform Bureau. City State Taxation Administration. Administration Bureau.Ruichang United Water Co. Ltd. was Ruichang United Water Co. Ltd. received
honored with the "Class A Tax Credit the "2024 Application for Incentive Award for Jishan United Water Co. Ltd. received Jishan United Water Co. Ltd.Rating for 2024" award by the Enterprise above Designated Size the "Model Service Window" award was named a "Charitable
Taxation Bureau of Ruichang City (2024 City-wide Incentive Policy Measures for from the Jishan Administrative Enterprise" by the Jishan
State Taxation Administration. Accelerating the Construction of a Modern Approval Service Bureau. County Civil Affairs Bureau.Industrial System)" from the Jiujiang Industry
and Information Technology Bureau.Suizhou United Water Co. Ltd. Ningxia Hongze Water Purification Co. Ltd. Sanmenxia United Water Co. Ltd. was Xinjiang Jinhua Ecological Environment
was honored with the received the "Second Prize in the 2025 ' recognized as an "Advanced Enterprise Engineering Co. Ltd. was honored as
"Class A Tax Credit Rating for 2024" award Safe and Healthy Cup' Work Safety for Water Supply Security" by the Urban a "Water-Saving Enterprise" by the
by the Taxation Bureau of Suizhou Knowledge Competition" Management Comprehensive Administrative Xinjiang County Water Resources Bureau
High-tech Industrial Development Zone from the Helan Industrial Park Trade Law Enforcement Brigade of Sanmenxia and Xinjiang County Industry
State Taxation Administration. Union Joint Committee. Urban-Rural Integration Demonstration Zone. Information and Technology Bureau.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 06
Sustainable Development Management
Sustainable Development Sustainable
Governance Development Strategy
United Water places a high priority on ESG governance recognizing the United Water has fully integrated ESG governance into its daily operations. To ensure the effective implementation
importance of contributing to sustainable social development while creating of ESG initiatives the Company has incorporated key ESG indicators—such as quality safety and environmental
value for shareholders. The Company integrates ESG factors into daily performance—into its performance management system. Through standardized management and enhanced
operations and management processes diligently refining ESG governance execution United Water effectively drives transition of its sustainable development strategy from planning to practice.system optimizing organizational structure and improving management
United Water Oversee and approve ESG-related policies. By enhancing ESG governance capabilities United Water is Board of policies and programs.committed to channeling sustained corporate momentum into social and Water Resource Directors G * *
Respond to Climate Change & * Pollution and Waste
Management Promote Energy Efficiency and Management
environmental sustainability based on a balanced fulfillment of stakeholder
* Biodiversity Reduce Consumption * Promote Green Environmental expectations. Conservation * Environmental Management System Conservation Principles
Green
The Company has established a three-tier governance structure composing Planet
"Supervision — Management — Implementation" with clearly defined * Water Supply * Foster Collaborative Success and * Encourage Volunteerism and
responsibilities and accountability at each level to ensure effective The Strategy and ESG Committee is R Resilience Establish Win-win Partnerships Public Welfare
execution. The Board of Directors has established a Strategy and ESG Strategy tasked with guiding the formulation * Business Environment * Product Accessibility
Committee to oversee sustainability-related matters and ensure the and ESG of the Company's ESG development Optimization
Committee Reliable effective advancement and implementation of ESG strategies. strategy monitoring and evaluating Partner
ESG progress and per fo rmance
In 2025 the Strategy and ESG Committee actively fulfilled its responsibilities * Corporate Governance * Promotion of Fair Competition Privacy and Information reporting ESG matters to the Board *
throughout the year convening multiple special meetings to address key E * Investor Rights Protection Anti-Corruption and Anti-Fraud Securityof Directors and aiding the Board in *
ESG issues monitor progress toward targets and improve governance * Compliant and Sound * Supply Chain Managementidentifying and assessing ESG-related Operations
effectiveness. Key resolutions approved during the period included the 2024 Occupational Health and Safetyrisks and opportunities. Excellence in *
ESG Report and a capital increase for a green and low-carbon technology Operations
enterprise. These strategic decisions align closely with China's Belt and
Road Initiative and the global transition toward low-carbon development A * Digital Transformation and Smart Water * R&D Innovation and Intellectual Property
effectively supporting the Company's international expansion and industrial Under the guidance of the Strategy Utilities Protection
investments. Additionally the Committee organized ESG training sessions
ESG and ESG Committee the Company's Advanced
covering emerging trends regulatory compliance requirements and Working S e c u r i t i e s A f f a i r s D e p a r t m e n t Technology
approaches to enhancing management capabilities thereby strengthening Group collaborates with various functional
the professional competence of working group members and laying a d e p a r t m e n t s a n d o p e r a t i n g T * Employee Rights and Welfare * Employee Training and Professional
robust governance foundation for achieving sustainable development. Developmentcompanies to joint ly advance the
implementation of ESG objectives. Talent
Oriented2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 07
Stakeholder Engagement
United Water has consistently regarded all stakeholders as key partners. Based on daily operations management practices material issue categories and various influencing factors the Company identifies and prioritizes internal and external stakeholders with
significant impact. Through diverse and accessible communication channels United Water actively listens and engages gaining insights into stakeholder expectations and concerns while responding proactively. Through practical actions the Company strives to
share value achieves harmonious development and foster mutual benefit.Government and Regulatory
Bodies Shareholders & Investors Customers Suppliers & Partners Employees Community and Public
* Water Supply Resilience * Water Resource Management * Water Supply Resilience * Business Environment * Employee Rights and Welfare * Product Accessibility
* Pollution and Waste * Pollution and Waste Management * Digital Transformation and Smart Optimization * Employee Training and * Pollution and Waste Management
Management * Water Supply Resilience Water Utilities * Supply Chain Management Professional Development * Water Supply Resilience
* Promote Green Environmental * Digital Transformation and Smart * Privacy and Information Security * Foster Collaborative Success and * Occupational Health and * Promote Green Environmental
Conservation Principles Water Utilities * Compliant and Sound Operations Establish Win-win Partnerships Safety Conservation Principles
* Water Resource Management * Anti-Corruption and Anti-Fraud * Water Resource Management * Corporate Governance * Privacy and Information * Promote Energy Efficiency and
* Biodiversity Conservation * Compliant and Sound Operations * Pollution and Waste Management * Privacy and Information Security Security Reduce Consumption
* Compliant and Sound * Corporate Governance * Foster Collaborative Success and * Water Supply Resilience * Water Supply Resilience * Water Resource Management
Operations Establish Win-win Partnerships * Product Accessibility * Compliant and Sound * Biodiversity Conservation
* Business Environment * Anti-Corruption and Anti-Fraud * Water Resource Management Operations
Optimization * Product Accessibility * Promotion of Fair Competition
* Daily Communication * Information Disclosure * Customer Satisfaction Survey * Daily Communication * Communication Mailbox * Community Communication
* Policy Consultation and * General Meeting of Shareholders * Follow-up and Complaint * On-site Visits * Workers' Congress * Media Interaction
Feedback * Roadshows and Results Briefing Handling Mechanism * Strategic Cooperation * Trade Union Activities * Industry Forum
* Regular Reporting * Investor Communication Platform * Customer Visits and * Thematic Training * Employee Training * Information Disclosure
* Compliance Supervision * Minority Shareholder Engagement Communication * Industry Exchanges * Employee Satisfaction Survey * Public Welfare Volunteer Activities
* On-site Visits * Information Disclosure
Stakeholders Issues of Concern Communication Channels2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 08
Material Issues Management Materiality Matrix
Based on a comprehensive assessment of the continuity of ESG issues and consistency
in management approaches and considering that United Water has experienced no 23
significant operational events or business model changes during the year the current
material issues framework remains applicable and valuable for guiding our efforts.Therefore the Company continues to adopt the material issues identification results and
management approaches established in 2024 for this reporting period. Details on the dual
material issues identification and assessment process can be found in United Water's 2024 21
Environmental Social and Governance (ESG) Report . The Company will continue to
monitor its internal operations and changes in the external environment. Should material 10
adjustments or periodic updates be necessary we will promptly review and refine our
material issues to ensure they remain aligned with the Company's sustainable development
2012
practices and stakeholder expectations. 19 119
Governance Dimension 18 6 22 7
1 Promotion of Fair Competition 5 Corporate Governance 17
5
2 Investor Rights Protection 6 Compliant and Sound Operations
3 Anti-Corruption and Anti-Fraud Digital Transformation and Smart Water 7 16
4 Supply Chain Management Utilities 13
Environmental Dimension
8 Environmental Management System 11 Water Resource Management 15
8
Promote Green Environmental
9 12 Pollution and Waste Management
Conservation Principles
Respond to Climate Change & 4
10 Biodiversity Conservation 13 Promote Energy Efficiency and 2 3
Reduce Consumption 14 1
Social Dimension
14 Encourage Volunteerism and 19 Employee Rights and Welfare
Public Welfare
20 Employee Training and ProfessionalR&D Innovation and Intellectual
15 DevelopmentProperty Protection
21 Occupational Health and Safety
16 Product Accessibility
22 Business Environment Optimization
Foster Collaborative Success and
17 Establish Win-win Partnerships 23 Water Supply Resilience Low Importance to Impacts on the Company's Financial Performance High
18 Privacy and Information Security
High Importance to Impacts on Economic Environmental and Social Sustainability2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 09
Risk and Opportunity Analysis of Financial Material Issues
United Water has conducted a comprehensive analysis of its financial sustainability issues reviewing the duration of their impacts as well as associated risks and opportunities. Based on the findings the Company has developed targeted response strategies to
effectively mitigate risk and seize opportunities thereby advancing its long-term sustainable development.Material Issues Impact Duration Risks/Opportunities Response strategies
* Water scarcity may result in diminished water supply capacity increased operational costs and reduced * Establish a comprehensive water resource risk management system conducting water resource risk identification and
income while intensifying compliance pressures and market competition collectively impacting the Company’s assessment.Water Resource Management Mid-to-long-term long-term development. * Develop response strategies for identified water resource risks continuously monitor water resource risk management
* Enhancing water resource management capabilities drives water conservation efforts across the organization performance and enhance water resource risk response capabilities and resilience.and elevates corporate reputation and brand image. Details can be found in the chapter: “Water Resource Management”.Respond to Climate Change * Extreme weather may trigger natural disasters disrupt stable energy supply damage the overall water supply * Develop emergency plans to enhance response capabilities under extreme weather conditions.& Promote Energy Efficiency Mid-to-long-term system resulting in fixed asset losses increased costs and reduced corporate profitability. * Strengthen organizational support and material reserves to ensure operational safety.and Reduce Consumption * Innovating sustainable business models enhances the Company’s resilience to withstand environmental risks * Refine processes and inspection procedures to ensure water supply and drainage efficiency.and elevates corporate reputation and influence. Details can be found in the chapter: “Responding to Climate Change”.* Inadequate progress in digital and intelligent transformation may lead to operational inefficiencies delays * Advance key information technology projects to establish a data-driven high-efficiency operational management
in pipeline network monitoring and malfunction response and an inability to meet customer demands for model.Digital Transformation and Mid-to-long-term high-quality services—ultimately undermining the Company’s competitiveness and long-term development * Establish a group-wide digital management platform to deeply integrate digital technology with production and Smart Water Utilities prospects. operations.* Enhancing operational efficiency ensures timely response in pipeline network operation and maintenance Details can be found in the chapter: “Transformations Synergy: Charting a New Course for “Digital + Low-Carbon”elevates service quality and reinforces the Company’s technological advancement and competitive edge. Water Utilities” and “Digital Intelligence Empowerment”.* ESG risks in the supply chain may lead to instability affecting production and operations and continuous * Establish a full-process supplier management system incorporating ESG factors into supplier evaluation and selection.empowerment of suppliers may increase additional costs. * Strengthen supply chain risk identification and management continuously identifying and monitoring potential supply Supply Chain Management Medium to Long-term * Establishing a sustainable supply chain contributes to enhancing supply chain stability and promoting the chain risks.healthy development of supply chain enterprises. * Support suppliers in their sustainable development.Details can be found in the chapter: “Supply Chain Management”.Business Environment * Adverse business environments may deteriorate customer relationships leading to client attrition and negatively
* Continuously optimize and improve the water supply business environment enhancing service quality and user
Optimization Long-term impacting the Company’s market performance.experience.* Enhancing customer satisfaction drives business growth and unlocks new commercial opportunities. * Establish a customer feedback mechanism to ensure timely response to customer issues.Details can be found in the chapter: “Business Environment Optimization”.* Implement rigorous construction controls select premium pipeline materials conduct timely upgrades of aging
* Inadequate water supply capacity may lead to customer attrition regulatory penalties and legal disputes pipelines and perform regular and irregular inspections to optimize pipeline network layout and operations.Water Supply Resilience Long-term damaging the Company’s reputation and adversely affecting operational and market performance. * Strengthen water quality risk identification increase inspection frequency and ensure water quality management * Enhancing customer satisfaction optimizes market performance elevates corporate reputation and drives standards through targeted training and assessments.business growth. Details can be found in the chapter: “Water Supply Resilience”.* Improper treatment of pollution and waste may result in regulatory penalties criminal liability financial losses * Implement continuous monitoring of emission sources including wastewater exhaust gases and noise while
Pollution and Waste and adverse impacts on corporate reputation and brand image. strengthening governance and enforcing rigorous compliance with pollution and waste discharge standards.Management Long-term * Enhancing environmental management practices reduces ecological impacts and contributes to elevating * Explore integrated waste utilization methods to enhance resource efficiency and minimize the environmental impact of
corporate reputation and brand image. pollution emissions.Details can be found in the chapter: “Pollution and Waste Management”.Compliant and Sound * Non-compliant and disorderly operations may result in legal disputes regulatory penalties financial losses and * Continuously improve the corporate governance system strengthen internal controls and risk management and
Operations Long-term reputational damage impacting the Company’s sustainable development and market competitiveness. comprehensively enhance compliance governance capabilities.* Mitigating legal and financial risks ensures the Company’s stable and sustainable development. Details can be found in the chapter: “Compliant and Sound Operations”.* Corruption and fraud may trigger regulatory penalties and legal exposures resulting in financial losses and * Establish a three-tier governance structure and construct a comprehensive internal control system encompassing fraud
Anti-Corruption and Anti- Long-term reputational damage which impact corporate compliance operations and long-term development. prevention whistleblower mechanisms and investigation protocols.Fraud * Mitigating legal and financial risks fosters trust among customers and investors and elevates corporate * Strengthen daily communication and awareness initiatives to foster an anti-fraud culture across the organization.reputation and brand image. Details can be found in the chapter: “Anti-Corruption and Anti-Fraud”.R&D Innovation and * Inadequate safeguards for R&D innovation and intellectual property may result in technology leaks infringement * Establish a comprehensive lifecycle management system for R&D projects and a robust intellectual property
Intellectual Property Long-term disputes and high protection costs undermining the Company’s competitiveness and innovation returns. management system increase R&D investment and talent development and enhance risk identification and control
Protection * Strengthening competitiveness and maintaining industry leadership contributes to capitalizing on new mechanisms for intellectual property infringement.commercial opportunities. Details can be found in the chapter: “R&D Innovation”.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 10
Special
Feature Transformations Synergy: Charting a Core Scenario Innovation: Implementing Intelligent
New Course for "Digital + Low-Carbon" Applications Across the Full Value Chain
Water Utilities The Company has successfully grounded cutting-edge technologies in specific business scenarios developing and deploying a range of intelligent equipment and
systems covering diverse areas such as inspection security process cleaning and
Amid the dual transformations of digitalization and green low-carbon development sweeping the water environmental management. This has enabled precise forecasting intelligent control
industry United Water is proactively embracing these trends and resolutely advancing towards a synergistic and reduced-manning or unmanned operations in production operations. Scan to watch
path of digital and green transformation. Anchored in the cultivation of new quality productive forces the Smart Water Pure Source AI Future
Company effectively integrates technological and ecological elements striving to forge a new development Intelligent Inspection and Security: Building a Robust — A Overview of United Water Group's
paradigm characterized by digital intelligence and a green transformation.Defense Line for Safe Operations New Quality Productive Forces
United Water is committed to deeply empowering production and operations with artificial intelligence
systematically constructing a smart water utilities system centered on "intelligent sensing digital decision-
making and precision operations." This approach aims to overcome traditional challenges such as scheduling
delays and inefficient energy consumption achieving a leap from experience-driven to data intelligence- Robotic Dog Intelligent Inspection System
driven operations. Additionally the Company extends its green and low-carbon principles from operations to The Company has deployed a quadruped inspection robotic dog at Suqian Second Water Plant replacing manual patrols
infrastructure construction innovatively exploring the engineering application of carbon-negative materials to in complex and high-risk areas such as sedimentation tanks high and low voltage distribution rooms and chemical dosing
reduce the industry carbon footprint at its source. By enhancing efficiency through digitalization and solidifying rooms. The robotic dog integrates multiple sensors including a visible light + infrared dual-spectrum thermal imaging pan-
its foundation through green development United Water not only strengthens its own sustainable competitive tilt-zoom (PTZ) camera and acoustic detection. Capable of autonomous navigation and obstacle avoidance it performs
advantage but also provides a transferable model for dual transformation synergy within the industry. 24/7 uninterrupted inspections monitoring equipment status detecting partial discharges and analyzing abnormal
sounds. Equipped with intelligent devices such as a PTZ camera the robotic dog collects real-time operational data and
synchronously uploads it to the intelligent inspection management platform enabling automatic anomaly alerts and rapid
Cutting-Edge Technology Deployment: Building an traceability effectively enhancing inspection efficiency. The system significantly reduces manual inspection labor costs
Integrated Digital Foundation for Smart Water Utilities and greatly improves fault detection and response efficiency laying a solid foundation for the digital transformation of the water plant.United Water adopts a forward-looking perspective in its technology strategy attaching great importance
to the development and application of its smart water utilities system. The Company has established
multiple systems including DMA SCADA GIS urban water supply scheduling equipment management
and digital platforms. Serving as our technological foundation and operational hub this infrastructure
deeply integrates cutting-edge technologies such as artificial intelligence big data IoT and digital twin.We continuously develop and refine an integrated smart water utilities platform covering the full value
chain of "supply drainage treatment and conservation."
United Water has broken down the traditional "data silos" of independently operating systems. Through a
unified platform we achieve real-time data sensing aggregation and intelligent analysis across the full-
process—from raw water quality monitoring water plant process control and pump station intelligent
scheduling to pipeline network leakage control and customer service response. The platform's built- 24/7
in AI-engineered algorithm engine enables deep learning from massive operational data facilitating Uninterrupted
trend prediction anomaly diagnosis and optimized decision-making. This systematic practice—rooted Inspection
in a robust digital infrastructure centered on data integration and intelligent analysis and continuously
extending convenient services to end-users—positions the Company at the industry forefront in both the
depth and breadth of technology application laying a solid technological and service foundation for our
sustainable development. Structural Diagram of the Robotic Dog2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 11
Intelligent Rail-mounted Mobile Robot
Inspection labor cost Intelligent Optimization of Process: Achieving Cost
The Company has deployed a rail-mounted inspection robot system with a track reduced by
length exceeding 100 meters enabling unmanned inspections of two critical areas: Reduction and Efficiency Improvement
the high and low voltage distribution room and the water supply pump room. This
equipment upgrades fixed manual inspections—previously conducted only once per 60?%
week in specific areas—to automated high-frequency inspections configurable as Smart Dosing System Sedimentation tank effluent quality compliance rate
needed (e.g. once per hour) achieving a leap in inspection efficiency and safety. 100? The Company has deployed a smart dosing system based on AI dynamic increased to over% optimization algorithms at its Suqian Second Water Plant. The system collects
real-time parameters such as raw water turbidity pH value and flow rate
Unmanned inspection achieved %
in covered areas accurately calculates the optimal dosage through its model and automatically
85?
adjusts dosing equipment transforming the traditional manual experience- Dosing costs
based dosing approach. Practice has showed that the system has increased
Equipment fault warning reduced bythe effluent quality compliance rate of sedimentation tanks to over 99%. While
accuracy exceeds ensuring stable effluent quality it has also reduced dosing costs by 8% to 10%
85? effectively enhancing refined management capabilities of the water plant. 8?% to 10?%%
Unplanned downtime Intelligent Cleaning Robot
reduced by Annual Labor Cost Savings
35? To address the manual cleaning challenges caused by algae proliferation in sedimentation tank collection channels the Company independently RMB % 144000developed an automatic cleaning robot. The robot can be externally mounted
on the sludge scraping vehicle adaptively navigating obstacles through its
Data support rate for mechanical structure to efficiently scrub trough walls and baffles eliminating
maintenance decisions personnel from high-risk and strenuous underwater operations. This innovation
increased by significantly reduces safety risks and labor costs while increasing cleaning Replacement
70? frequency and effectiveness. of hazardous manual Intelligent Rail-Mounted Mobile Robot % operations
enhanced
safety
Smart Security System Perimeter intrusion
In 2025 the Company upgraded its smart security system establishing an incidents decreased by
integrated security framework encompassing intelligent personnel identity
control precise vehicle management and electronic perimeter fence. Through 90?%
technologies such as facial recognition and AI behavior analysis we have achieved
comprehensiveblind-spot-free security control over production areas effectively
eliminating potential hazards. Perimeter intrusion incidents have decreased by Ticket closure efficiency
90% fault response time has been significantly shortened and ticket closure increased by
efficiency has increased by 91% markedly enhancing the digital intelligence level
of the water plant's security control and operation management. 91?% Intelligent Cleaning Robot for Collection Channels2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 12
Intelligent Equipment for Water Environment Management: Expanding Green Pathways Exploration: Infrastructure as a
Ecological Operation Boundaries Pioneer in Lifecycle Carbon Reduction
Water Environment Smart Management Unmanned Surface Vehicle In 2025 the Company initiated the construction project of Tongxiang Shenhe Water Industrial Sewage Treatment Plant
planning to introduce innovative "Carbon-Sorbing Bricks" —developed by its investment enterprise United earth4Earth
The Company has strategically entered the water environment monitoring and maintenance market by developing Holding (hereinafter referred to as "e4E")—into approximately 200000 bricks used for wall construction. This pilot
a multifunctional smart unmanned surface vehicle (USV) integrating "monitoring analysis diagnosis operation and
maintenance and remediation." The water environment smart operation management platform and new energy USV application aims to explore the use of carbon-negative building materials in an industrial setting.feature eight functional modules: real-time water quality monitoring discharge source tracing underwater topography As a deep application of CCUS (Carbon Capture Utilization and Storage) technology within the construction sector
mapping biodiversity monitoring aquatic weed harvesting intelligent security immersive visualization and emergency this material exhibits exceptional lifecycle carbon reduction properties. Its production process generates only 4%
water quality safeguarding. The USV can autonomously perform various tasks in rivers and lakes including water quality of the CO? emissions compared to conventional methods and it continuously absorbs atmospheric CO? during its
monitoring pollution source tracing surface cleaning intelligent aquatic plant harvesting and nighttime security patrols. service life. Calculations indicate that over its lifecycle—including production transportation and an estimated 20-
In 2025 the USV was successfully deployed upgrading water environment management and operation from "labor-
driven" to "data-driven" and "equipment-driven." year service period—this batch of building materials is projected to achieve a net carbon absorption of 36.5 tonnes. At
the end of the life cycle of building the bricks can be fully degraded and converted into agricultural soil achieving a
complete zero-waste closed-loop from "industrial product" to "ecological resource." This application aims to embed a
"breathing" carbon sink function into infrastructure. It represents a significant exploration by the Company into deep
decarbonization pathways for the industrial system providing a quantifiable and replicable technological model for the
future development of near-zero carbon parks and for advancing high-quality industry development.Lifecycle carbon reduction
Upstream
production
Operational
CO? emissions reduced by process
Water Environment Smart Management Unmanned Surface Vehicle 96?% Tongxiang Industrial Sewage Treatment Plant
Net carbon removal of
Compared with traditional manual methods 16.4?tonnes Downstream
processing
Water quality data monitoring Cleaning and harvesting costs Emergency maintenance costs
costs reduced by reduced by reduced by
79?%68?%42?%100%
Brick recoverability rate2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 13
Green
Planet
Green revenue*
RMB 322.36 million
Annual environmental protection investments
RMB 48.58 million
Annual wastewater treatment volume
150.26 million cubic meters
Greenhouse Gas Emissions Intensity
0.68 tonnes of CO? equivalent per RMB 10000 of revenue
*The scope of green revenue data includes wastewater
treatment and resource utilization as well as water
environmental and ecological restoration services.Contributing to UN SDGs2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 14
Water Resource Management
Water is the cornerstone of ecosystems and the lifeblood of socio-economic Water Source Protection
activities. United Water is dedicated to providing high-quality water treatment
services to society. The Company strengthens full-process water resource Water source protection is a critical measure to ensure water
management enhance ut i l izat ion eff iciency and center the efforts on security and safeguard ecological integrity. All of United Water's
conservation protection and scientific utilization. Through continuous restoration water intake points are located within legally designated protected
and improvement of the water environment United Water strives to be a trusted water source areas with surface water sourced exclusively from
guardian of water security. lakes reservoirs and rivers all of which are situated within
protected water source areas. The Company continuously promotes
water source protection to safeguard water supply security
Governance and ecological sustainability. In terms of protection measures United Water directs its subsidiaries to systematically implement
In accordance with water resource management policies and regulations physical isolation and erect warning signs and explicitly prohibit Water source
including the Water Law of the People’s Republic of China and the Jiangsu any activities that could pollute water sources. Furthermore areas environmental
Province Water Conservation Regulations United Water has formulated the Company has established a regular protection mechanism violations
the Water Resource Management System of Jiangsu United Water Technology encompassing periodic raw water quality testing daily inspections
Co. Ltd. . To ensure effective implementation the Company has established and emergency drills. In the Suqian region United Water annually
a robust organizational structure for water resource management enabling conducts pollution source survey around the primary and spare 0
systematic oversight of water-related projects. In addition United Water has water sources. The findings are compiled into an annual report
established a water resource management leading group. The General Manager based on which targeted response plans are developed for different
of the operating company serves as the group leader responsible for overseeing types of pollution risks continuously enhancing the environmental
all water resource management initiatives. The Deputy General Manager of safety of water source areas.Technology acts as the deputy leader and manages specific tasks including
formulating and implementing water resource management plans as well as
monitoring and evaluating water usage. Furthermore the Company has formed Partial List of the Company’s Water Intake Points and Sources
a water resource management team composed of the water production
technology pipeline network and customer service departments. This team is
responsible for formulating and enforcing corporate water resource regulations
tracking management objectives promoting the efficient utilization of water
resources and the application of water-saving technologies and organizing
relevant awareness and training activities. For Uni ted Water Suqian Water Supply The water intake points for Xianning
Company the regular water intake point for Un i ted Water are located in the
both the First and Second Water Plants is the Panjiawan Section of Yangtze River in
Strategy and Management Approach Luoma Lake Suicheng water source area. And Jiayu County the Wangying Reservoir
the spare water intake point is the Mid Canal in Yangxin County and the Gan River
spare water source area. The primary water sect ion in Maqiao Town X ian'an
United Water adheres to a balanced approach to resource expansion and sources are Luoma Lake and the Beijing- District. All of these intake points are
conservation prioritizing water resource protection and efficiency. On the Hangzhou Grand Canal. The water intakes situated within designated protected
one hand the Company emphasizes systematic water resource management of the First and Second Water Plants are water source areas.and water source protection leveraging wastewater treatment operations to situated within protected water source areas.achieve long-term water quality improvements. On the other hand it highlights
enhancement of water resource conservation protection and scientif ic
utilization committing to building a water-efficient water utility.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 15
Long-term Water Quality Enhancement
United Water prioritizes wastewater treatment and methodically advances projects for the
standard-upgrading of treatment plants and the remediation of substandard water bodies. In
Case
addition the Company continuously optimizes treatment processes steadily improve treatment Precise Inspections Ensure Full Control Technological Upgrades Drive Compliance
capacity and efficiency ensuring that effluent quality consistently meets regulatory standards. Tongxiang Shenhe Water guarantees wastewater treatment quality through a dual focus
By reducing pollutant discharge at the source United Water is committed to the ecological goal on "full-process control and equipment improvements." In terms of daily management a
of achieving clear water. rigorous inspection system has been established defining a full-process inspection route
with high-frequency inspections conducted every two hours. Any anomalies are reported
Annual wastewater treatment volume reached and addressed immediately enabling refined control over the entire wastewater treatment
process. In terms of equipment improvements a dual-circuit power supply improvement
150.26 was completed in the power distribution room in 2025 enhancing production stability and million cubic meters ensuring compliant wastewater discharge. To address the issue of incomplete backwashing
and sludge discharge caused by a single-pump supply for the rotating disc filter which
impacted effluent quality the dedicated sludge discharge pumps have been installed. These
separate the backwashing and sludge discharge processes optimizing process efficiency
Annual reduction in pollutants and further ensuring effluent quality compliance.(measured as Chemical Oxygen Demand COD) reached
47901.45 tonnes Case Commitment to Excel lence in Env i ronmenta l Protect ion Dedicat ion to Safeguarding Clear Waters
Guided by the core goals of "optimized operation robust facilities ensured safety and
stable compliance" Suizhou United Water has established a dual-defense line of "dynamic
regulation and enhanced operation and maintenance." By implementing a system of "daily
inspection weekly calibration and monthly maintenance" for online monitoring equipment
Suizhou United Water has maintained a 100% compliance rate for effluent quality. A three-
tier management mechanism of "multi-level inspection + hazard reporting + prompt
rectification" has been established achieving "zero accident and zero hidden danger" in
work safety. Technological upgrades have driven increases in both efficiency and safety
with three key improvements completed. By effectively transforming "pollution control and
reduction" outcomes Suizhou United Water provides a solid foundation for improving the
water environment of the Fu River basin and safeguarding urban ecological security. These
comprehensively demonstrate Suizhou United Water's operational management expertise
and commitment to responsibility in the wastewater treatment sector.In 2025 Suizhou United Water was
rated "Excellent" in the second-quarter wastewater
treatment facility and operation inspection
conducted by the Suizhou Urban Flood Control and
Drainage Development Center.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 16
Efficient Utilization of Water Sources
United Water is committed to proactively engaging in the recycling and reuse of water continuously enhancing
production processes to minimize water wastage and ensuring the sustainable consumption of these vital resources. Case Shanxi Region: Reclaimed Water Reuse Supports Sustainable Water Utilization
In 2025 subsidiaries in the Shanxi Region actively advanced reclaimed water reuse projects and expanded
Freshwater withdrawals reached Water plant self-consumption rate was the reclaimed water market providing robust support for the sustainable utilization of regional water
230.96 1.64? resources. In Jishan the Company utilized compliant tailwater for ecological water replenishment of million cubic meters % Minle Park and Dafo Temple Park as well as for urban greening. This application was also extended to local primary and secondary schools with an expected annual reuse volume of 1 million cubic meters.
In Quwo the 2025 reclaimed water reuse project transformed treated wastewater into high-quality "new
water sources" for industrial use achieving an annual recycled water utilization of over 4 million cubic
Water plant self-consumption volume was Recycled water output reached meters which is stably supplied to the Quwo Industrial Park. The implementation of these projects has
significantly reduced the region's reliance on groundwater and surface water resources providing a solid
3.74?million cubic meters 38.74? foundation for regional water security and sustainable development.million cubic meters
Optimize Process Strengthen
Water Supply Recycled Conduct and Facility Water Supply
Production Water Reuse Water Balance Enhancements Scheduling
Processes Evaluations
S t re n g t h e n o p e ra t i o n a l Promote wastewater resource Implement technological upgrades M a n a g e r a w w a t e r f l o w Regularly perform water balance
m a n a g e m e n t o f u r b a n utilization by reusing reclaimed to water p lant processes and a l loca t ion based on supp ly evaluations to understand the
water plants and optimize water for industrial production facil it ies constructing process demands ma inta in ba lance Company’s water usage status
product ion processes to l a n d s c a p e i r r i g a t i o n r o a d effluent recovery and treatment between inf low and outf low i den t i f y wa te r conser va t i on
progressively reduce self- cleaning and other applications s y s t e m t o c o n v e r t p r o c e s s p re v e n t o v e r f l o w o f wa t e r po ten t i a l s t rengthen wate r
u s e wa te r co n s u m p t i o n a c t i v e l y a d v a n c i n g w a t e r discharge water into recycled pur i f i ca t ion s t ructures and management prac t ices and
while ensuring the quality of resource recycling. water thereby reducing process- enhance raw water utilization improve water efficiency.finished water. related water consumption and efficiency.improving water reuse efficiency.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 17
Pipeline Network Leakage Management Case United Water's Development of the "Suqian Model" for Leakage Control Selected as a National Promotion Case
Efficient pipeline leakage management serves Powered by digital technology and driven by mechanism innovation United Water has pioneered a modern approach to modern water
as a critical pathway for water conservation. management featuring precision leakage control and smart management providing replicable experience in smart water management for
United Water adopts a dual approach combining the industry.technology and management establ ish ing Multi-Tiered Metering Improves a Comprehensive Monitoring Network: Establish a rapid coordinated mechanism integrating "DMA
a modern pipeline leakage detection system monitoring—leak detection—repair management" continuously optimize pipeline repair processes significantly reducing average leak repair
time from 36 hours to 7.5 hours.integrated with smart technology applications.By adopting a domestically developed hydraulic Digital Foundation Strengthens the Management Base: Establish and dynamically update databases for facilities such as valves and
model it enhances leakage control capabilities pipelines improve the water supply network GIS database and develop multiple management systems based on the GIS platform providing
solid data and technical support for leakage control.during water transmission effectively reducing
water resource loss and waste caused by Mechanism Innovation Activates Management Efficiency: Establish an incentive and assessment mechanism with full employee
pipeline leakage and continually improving participation integrate leakage control targets into departmental KPIs promoting the normalization and long-term effectiveness of leakage
management efforts.leakage management performance.Smart
Pipeline
Leak
Xinjiang Jinhua was honored with Detection
the "Water-Saving Enterprise" title Precision
jointly awarded by the Xinjiang County Valve
Water Resources Bureau and the Management
Xinjiang County Industry Information Scientific Continuously develop and improve GIS and
and Technology Bureau. Water DMA systems to conduct real-time monitoring
Pressure
Regulation of key points in water plants and urban water Pipeline Based on data from flow and pressure
Network supply networks regional flow and pressure
Inspection monitoring stations continuously fine- points major nodes end-points and large-
and Repair tune valves to restrict flow and pressure
Equipment users consumption. By combining real-time
Maintenance Scientifically establish pipeline pressure i n a g i n g p i p e l i n e s t h a t ca n n o t b e monitoring with regular inspections establish
and range parameters regulate f in ished improved while ensuring normal water
Deve lop p ipe l ine inspect ion p lans a rapid response mechanism for leak repair Improvement water pressure fully uti l ize variable- supply in low-pressure areas further
conduct water supply network leak promptly detecting and repairing leakage frequency drives for peak-load shifting reducing pipeline leakage.detect ion and management prevent points. Additionally establish pipeline leakage refine control of finished water volume
Strengthen rout ine maintenance and and reduce physical leakage such as management records to analyze the entire and pressure and reduce occurrences of
improvement of production facilities and overf lowing seeping dr ipping and regional network achieving effective control pipeline bursts and water supply facility
aging plant pipelines ensuring the integrity leaking enhance emergency response and management of water supply network failures.of water plant storage structures reducing capabilities for pipeline repairs ensuring leakage rates.internal plant leakage. Regularly replace water resources are not excessively
water transmission network equipment to depleted.minimize transmission leakage.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 18
Impact Risk and Opportunity Management
To better understand and monitor water security conditions and to promptly identify and address potential water resource risks United Water strengthens
water resource risk management by requiring subsidiaries to conduct water resource risk analysis. A systematic water resource risk management process
has been established covering risk identification assessment response and monitoring aimed at achieving scientific and standardized water resource risk
management to safeguard water supply security.In the Suqian region United Water conducted a water resource risk analysis and assessment based on the Survey Report on Pollution Sources in Water Source
Areas in 2024 and routine monitoring data in 2025. The findings were compiled into the 2025 Water Resource Risk Analysis Report and practical response
plans were developed based on real-time water quality monitoring and assessment results.Risk identification and assessment Risk response and monitoring
Enhanced monitoring of characteristic factors Process optimization for routine risks
Increase detection frequency and early warning mechanisms for Address issues such as increased turbidity and chemical
known characteristic pollution factors. consumption caused by algal blooms through optimized control
using pre-oxidation and advanced treatment processes. Mitigate
Establishment of a multi-tiered monitoring network the risk of disinfection by-products potentially arising from
Conduct periodic quality testing of all inlets water heads and the elevated bromide levels by enhancing coagulation optimizing
surrounding 3-kilometer water areas in the primary Luoma Lake disinfection strategies (reducing finished water residual chlorine
water source area. Perform daily testing of the Mid Canal spare water reinforcing booster chlorination in the pipeline network) and
source area complemented by regular monitoring of water quality strengthening the drainage of pipeline network.fluctuations using data from upstream and downstream automatic
monitoring stations. Contingency mechanisms for emergency risks
In response to short-term abnormal odor and taste in water
Focus on key risk indicators occurring in July 2025 the Company promptly activated its
Through assessment identify indicators with significant impact on emergency plan. Effective measures including increased pre-
existing processes—such as algal count UV-254 and bromide—as key oxidation were implemented to ensure water supply safety.monitoring and evaluation targets.Metrics & Targets
To prevent water source pollution and ensure raw water quality United Water collaborates with relevant government authorities on water source protection
initiatives. In the event that abnormalities in source water quality are detected the Company conducts follow-up testing to identify potential causes of
pollution to the extent possible and reports findings to the relevant authorities.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 19
Eco-Environmental Protection Water Environment Management
United Water is committed to "restoring the ecology of rivers and lakes" and is driven by the goal of "promoting Confronted with significant challenges in water pollution control and ecological restoration the Company leverages its technical expertise
harmonious coexistence between humanity and water ecosystems". Guided by the principles of "natural in water pollution treatment and aquatic ecological restoration to systematically implement comprehensive river basin management and
rehabilitation and ecological restoration" the Company focuses on "water environment quality improvement" water ecology restoration projects. Through targeted interventions we enhance aquatic ecological functions and continuously improve
employs "ecological habitat reconstruction" as a core methodology and targets "biodiversity restoration." water environment quality. These efforts have effectively elevated raw water quality and water conservation capacity supporting the
This approach has cultivated a comprehensive technical framework encompassing "source control ecological sustainable development of the ecological environment.construction energy optimization and smart operations." By deeply integrating cutting-edge technologies
such as IoT big data cloud computing and AI the Company pioneers an efficient intelligent and sustainable Case Pond Ecological Restoration and Water Quality Maintenance Project in Yuanqu Village Jishan County
operation model. This enables intelligent and precise river-lake management and protection contributing to a
more beautiful healthier and more harmonious aquatic ecosystem advancing ecological civilization and fostering Addressing challenges at the wastewater treatment station in Yuanqu Village including the random discharge of tailwater
harmony between humanity and nature. the lack of effective water recycling and wastewater interception failure and poor water self-purification capacity caused by
the degraded conditions of the pond slopes—this project plans to utilize two patented technologies: "A Modular Constructed
Wetland Water Quality Purification System" and "A Non-Point Source Pollution Control System for Riverbank Slopes"
establishing a tiered purification system comprising an "ecological filter bed + ecological pond." In this system the ecological
filter bed provides enhanced purification of tailwater from the rural domestic wastewater treatment station resolving issues
of random discharge and subsequent water quality deterioration upon entering the pond. In terms of the ecological pond it
performs advanced purification of the filter bed effluent and combines with slope management projects (employing vegetation
belts ecological interception ditches etc.) to intercept pollutants from surrounding surface runoff. By constructing a baseline
ecosystem the system enhances the water self-purification capacity addressing algal blooms and eutrophication caused by the
long-term accumulation of existing pollutants in the pond. The integrated system effectively overcomes the challenges of low
purification efficiency during winter in northern regions. It not only achieves full-process tailwater treatment and water resource
recycling but also improves the slope landscape providing significant practical support for the construction of the Yuncheng
City demonstration belt along the Yellow River and Fenhe River for beautiful rural development.Biodiversity and Ecological
Conservation
The Company strictly complies with national policies Project Planning Project Construction Project Operation Project Closure
on biodiversity and ecological conservation. Ecological
conservat ion requirements are integrated into al l
Based on biodiversity and S t r i c t l y i m p l e m e n t t h e " T h r e e S t r i c t l y c o n t ro l c o n s t r u c t i o n n o i s e d u s t T i m e l y c o n d u c t v e g e t a t i o n
phases of engineering projects—planning construction
eco log i ca l conse r va t i on S i m u l t a n e i t i e s " s y s t e m p r i o r i t i z e and vo l a t i l e o rgan i c compound em iss ions restoration work implement regular
operation and closure. Through multi-dimensional
r e q u i r e m e n t s c o n d u c t t e m p o r a r y c o n s e r v a t i o n o f t h e scientifically establish classified collection and inspections and maintenance of
practices we systematically maintain the ecological
c o m p re h e n s i v e s u r v e y s surrounding ecology regularly clean treatment facilities to achieve standardized waste restored areas to ensure sustained
environment and contribute to the achievement of
and assessments o f the const ruct ion areas and e f fect i ve ly management and resource utilization. Additionally revegetation contributing to the
ecological sustainability.s u r ro u n d i n g e c o l o g i c a l p revent waste and po l lu tants f rom establish a full-process environmental monitoring steady enhancement of regional
e n v i r o n m e n t t o a v o i d adversely affect ing the surrounding mechanism to ensure all pollutant indicators meet ecological functions.adverse impacts. environment. discharge standards.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 20
Case Xianning Siyuan Water's Henggou Water Plant Phase III Greening Project Responding to Climate Change
I n 2025 Henggou Water P lant Phase I I I implemented
a greening upgrade pro ject integrat ing env i ronmental Climate change represents a shared challenge for society as a whole with its impacts
remediat ion with ecological construct ion through road deeply permeating all areas of corporate operations and social development posing
hardening for dust suppression construction of "ecological
grass swales" to achieve orderly rainwater drainage and systemic challenges. United Water proactively responds to the risks posed by climate
prel iminary purif ication and advancement of landscape change actively pursues energy conservation and emission reduction closely aligns with
projects to establish a composite ecosystem. This project the national "Dual Carbon" goals advances low-carbon transformation and continuously
transformed loess areas into a modern plant component enhances the Company's climate resilience.featuring comprehensive functions a beautiful environment
and a virtuous ecological cycle.The Company actively promotes aquatic ecological conservation Governance
and strengthens the management and protection of water source
conservation areas and ecological buffer zones. By refining the food United Water has integrated cl imate change-related responsibil it ies into its ESG
chain and optimizing the allocation of aquatic flora and fauna— governance framework . The board-level strategy and ESG Committee provides
particularly through habitat creation and strategic design of food- comprehensive oversight and guidance for the Company's climate change response
producing plants—we provide suitable living environments for aquatic energy conservation and emission reduction efforts. Through regular deliberations on
organisms. This ongoing enhancement of ecosystem biodiversity boosts
the self-purification capacity of rivers and lakes effectively increasing climate change issues proactive identification of climate-related risks and opportunities
the ecological capacity of the aquatic environment and realizing the and formulation and timely updates of climate response strategies the Company ensures
vision of "harmonious coexistence between humanity and nature." the effective implementation of climate change initiatives. The Company has established
the Energy Management System holds regular energy conservation and consumption
reduction meetings analyzes and optimizes energy consumption and formulates and
Wuhan Northwest Lake and Changqing Park implements optimization measures or technical upgrade plans for energy conservation Case Maintenance Projects and consumption reduction strengthening the management of energy conservation and
In 2025 United Water undertook water maintenance for consumption reduction.Wuhan's Northwest Lake and Changqing Park conducting
systematic operations around four core dimensions: aquatic
plant maintenance aquatic organism regulation water surface
cleaning and water landscape maintenance. This project Strategy and Management Approach
established a full-chain aquatic ecological maintenance Amid the prevailing trends of the "Dual Carbon" goals and energy conservation and
system. Through systematic maintenance measures the water
purification capacity of both parks continuously strengthened emission reduction United Water deepens its commitment to environmental principles
with water quality indicators consistently meeting standards seizes green opportunities and actively deploys green industries around key areas
over the long term. Additionally the stability of the aquatic such as the "Dual Carbon" goals and energy conservation. Additionally the Company
ecosys tem s ign i f i cant l y improved w i th aquat ic p lant promotes green environmental principles vigorously advances its energy conservation
community structures becoming more rational providing and consumption reduction efforts and supports the Company's green and low-carbon
high-quality habitats for aquatic organisms. Biodiversity levels
in the parks achieved substantial enhancement forming an development.aquatic ecological virtuous cycle characterized by "compliant
water quality ecological stability and beautiful landscape."2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 21
Advancing Energy Conservation and Consumption Reduction
Leveraging the smart water utility platform and utilizing dynamic analysis through hydraulic models the Company achieves
Green Industry Development real-time monitoring and analysis of electricity consumption throughout the entire production process optimizes scheduling
Strengthening plans improves unit operational efficiency and reduces electricity consumption. In September 2025 Xianning United Water
Energy
officially launched its hydraulic model system optimizing water supply scheduling. Preliminary statistics indicate a reduction
Driven by the combined impetus of energy conservation emission reduction and the low- Management
in the average daily finished water pressure at the Wangying Water Plant and approximately 10% savings in unit electricity
carbon economy the green industry has encountered new development opportunities.consumption with annual unit electricity consumption decreasing by 1.05% compared to 2024.United Water capitalizes on this momentum by adopting a global perspective screening
and introducing cutting-edge green technologies and specific application scenarios and
vigorously promoting the Company's transition towards greater environmental sustainability. Energy The Operational Management Assess Standards incorporate indicator systems monitoring mechanisms and assessment
Conservation frameworks for energy conservation and consumption reduction. An energy conservation incentive system has been
Assessment and implemented to encourage departments to achieve energy savings and consumption reduction through measures such as
Seizing Green Development Opportunities Incentives technological upgrades and management innovations.United Water through its wholly-owned subsidiary Shanghai Deshenshanhe
Technology Development Co. Ltd. participated in establishing Shanghai Yixin Adopting The Company adopts design schemes with low energy consumption and high energy efficiency in engineering construction
Hengsheng Venture Capital Partnership (Limited Partnership) focusing on Energy-Efficient actively employing advanced modern processes and equipment to achieve rational energy use and conservation at the
environmental and ESG technology investments. United Water continues to Designs design stage.effectively utilize this investment platform to identify innovative technologies and
models in fields such as the "Dual Carbon" goals energy conservation and high-
tech sectors achieving industrial deployment and extensional development in the
Utilizing The Company gradually phases out high-energy-consumption equipment procures low-consumption high-efficiency
environmental and ESG technology fields. Energy- equipment in accordance with national catalogs and actively applies energy-saving equipment with reduced energy loss
Efficient and enhanced environmental performance. This includes energy-saving equipment such as air suspension blowers new-
Investing in Cutting-Edge Low-Carbon Technologies Equipment type energy-efficient transformers and variable frequency water pumps to reduce energy consumption.United Water's portfolio company United earth4Earth Holding (e4E) is committed
to CCUS technology developing next-generation carbon-negative building materials The Company actively utilizes green electricity in production operations. Through the construction of photovoltaic power generation
that can directly capture and sequester carbon dioxide. Through collaboration projects and tailwater power generation projects the proportion of clean energy used in production operations is increased and the energy
between UK-based R&D and Chinese manufacturing over 300000 carbon-negative structure is continuously optimized. In 2025 the photovoltaic power generation projects of United Water Suqian Water Supply Company and
Developing
bricks have been successfully produced. Some of these products have been shipped Clean Ruichang United Water achieved a total installed capacity of 4.42 MWp with an average annual power generation of 5048500 kWh. During
to the UK market while others have been applied for the first time in low-carbon Energy the reporting period photovoltaic power generation reached 5522371 kWh of which 5209494 kWh was self-consumed. The tailwater
buildings within Chinese domestic industrial parks. e4E is currently advancing the power generation project of Suizhou United Water achieved a total installed capacity of 37 kW with an average annual power generation
construction of large-scale production lines with mass production expected to of 160000 kWh. During the reporting period tailwater power generation reached 117038 kWh all of which was self-consumed. In 2025
begin by the end of May 2026. the Company has reduced greenhouse gas emissions equivalent to 2826.26 tonnes of CO2 equivalent through the use of clean energy.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 22
Impact Risk and Opportunity Management
The Company proactively addresses the risks and impacts posed by climate change by incorporating climate risk management into its overall risk management system. A climate change risk management process is being progressively established to identify
analyze assess and manage significant climate change-related risks and opportunities. Based on the analysis results corresponding response measures are formulated to continuously enhance the Company's capacity to address climate change.Physical Risks Transition Risks Opportunities
Acute Risks Chronic Risks
Policy and Market and Reputational Products Resource Energy
Cold Wave and Low- High-Temperature Torrential rain and Impacts of prolonged high
Temperature Conditions Conditions Typhoons temperatures drought sea level rise
Legal Risks Technology Risks Risks and Services Efficiency Structure
and other climate-related factors
*Ice formation at water intakes may *High temperatures degrade *Torrential rain and typhoons may *Prolonged high temperatures *Increasingly stringent *Growing *Heightened *In the context *Adopting *With the R&D
impede water extraction. outdoor working conditions cause flooding strain drainage and drought may lead to raw national policies client demand stakeholder of low-carbon energy-efficient innovation of green
*Ice accumulation on basin structures or reduce labor productivity and systems create safety hazards water scarcity and water quality and requirements for carbon scrutiny of climate economy transition technologies and technologies and
equipment damage may disrupt normal strain water supply systems. and if drainage measures are deterioration directly threatening
impose higher energy reduction performance may social demand equipment can the introduction of
water supply. *High temperatures promote inadequate dispute normal water water supply safety and stability. conservation and across value impact reputation for green low- reduce energy supportive policies
algal blooms and pathogenic supply services. *Sea level rise may erode or emission reduction chains increases if concerns are carbon products consumption utilizing spatial *Extreme weather events threaten standards on the water
personnel safety. microorganisms compromising *Storms and typhoons threaten submerge coastal and riverside
pressure with inadequately and services during production resources at water
industry potentially
water quality. operational stability facility and facilities increasing risks of low-carbon addressed. may increase. and lower supply plants and
Damage to residential wells meter increasing compliance * equipment assets and employee operational disruption and asset transition This presents operational costs wastewater treatment costs. requiring opportunities while improving plants for photovoltaic
boxes underground pipelines or air commuting safety. loss. significant to develop and production power generation
valves may interrupt water supply. *Climate pressures will continuously investment. provide such efficiency and and tailwater power
increase treatment costs and offerings and supply capacity. generation can meet
bring more strict compliance solutions to self-consumption
requirements and demand generate additional needs while reducing
fluctuation challenges. revenue growth. operating costs.*Strengthen management of equipment *Develop equipment high- *Develop emergency response *Diversify water sources to alleviate *Proactively study *Actively conduct *Monitor climate *Monitor and identify *Widely apply *Gradually promote
and heating facilities to prevent leaks temperature prevention plans plans for flood scenarios establish water stress implement climate- monitor and thematic research policy trends and new low-carbon energy-efficient photovoltaic power
spills drips and runoffs promptly clear improve emergency procedures specialized flood control emergency resilient reinforcement and communicate policy on technological integrate climate and eco-friendly technologies generation and
accumulated water and ice at production for supply assurance during high teams strengthen education on improvement of critical facilities. changes anticipate innovation. change response raw materials and equipment tailwater power
sites. temperatures and strengthen drainage knowledge for relevant policy adaptability *Establish emergency water sources into corporate technologies and in production generation at equipment inspections to ensure personnel and conduct regular with a forward-looking *Develop *Develop emergency repair plans for stable operation of core plant flood control and emergency and emergency intake pumping decarbonization
development products deploy processes eligible operational
approach.water supply network freeze protection stations activate emergency water pathway conduct strategy. green industries establish sites expand clean
establish a three-tier response facilities during hot weather. rescue training to continuously *Leverage supportive Enhance expand low- comprehensive energy usage
mechanism simulate freeze repair *Address impacts of high enhance drainage awareness and
intake when primary sources face greenhouse *
shortage or poor quality. national clean energy gas emissions stakeholder carbon business energy and progressively
scenarios to clarify work requirements temperatures on wastewater basic skills. policies. opportunities consumption increase the
*Strengthen inspections of drainage *Adjust investment strategies
verification to engagement
under actual conditions. treatment effectiveness by closely proactively for areas with *Track carbon market identify high- through
and service management proportion of new
types and seize procedures and energy electricity.*Strengthen organizational safeguards by monitoring water quality promptly networks and related facilities to developments and emission areas transparent
establishing cold-proof inspection teams identifying changes and adjusting promptly organize emergency
foreseeable sea level rise and implement climate-related clean technology reduce energy
treatment process parameters repairs when hazards are detected. continuously develop smart
prepare for regulatory
targeted disclosures. opportunities. costs.early warning teams and emergency shifts.support teams to ensure comprehensive based on variations in water
water utility platforms to enhance
*Dredge drainage systems within operational efficiency and management *Establish robust
preparedness for severe challenges quality and quantity in summer to maintain normal and efficient plant areas clear debris that may emergency response capabilities
measures. resource recovery
posed by cold waves to water supply. system operation. block drainage outlets to prevent through technology.and treatment
*Enhance material safeguards by building water accumulation.systems to achieve
*Prioritize outdoor personnel *Integrate climate risk management waste resource reserves of freeze-proof and cold-proof Reinforce building doors windows safety by reasonably arranging * into long-term planning utilization and supplies. work schedules to minimize and roofs to withstand heavy rain investment decisions and volume reduction.*Conduct advance training on freeze- exposure during peak daytime and strong wind impacts. governance processes as part of
proof and cold-proof knowledge to temperatures and implementing corporate strategy.ensure staff readiness and timely various heatstroke prevention and
resolution of water usage issues caused cooling measures.by cold waves and low temperatures.Risk/Opportunity Description Response Strategy2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 23
Metrics & Targets
Indicator Unit 2025 Metrics
Purchased Electricity kilowatt-hours (kWh) 140830142.10
Gasoline Consumption liters (L) 129520.31
Diesel Consumption liters (L) 43761.13
Natural Gas Consumption cubic meters (m3) 108020.20
Energy LPG Consumption kilograms (kg) 9632.00
Consumption Total Energy Consumption1 tonnes of standard coal equivalent 18315.00
Energy Consumption Density tonnes of standard coal equivalent per RMB 10000 of revenue 0.17
Total Installed Capacity of Clean/Renewable Energy MWp 4.46
Clean/Renewable Energy Generation kilowatt-hours (kWh) 5639409.80
Clean/Renewable Energy Consumption kilowatt-hours (kWh) 5326532.00
Scope 1: Direct Greenhouse Gas Emissions tonnes of CO2 equivalent 664.11
Greenhouse Scope 2: Indirect Greenhouse Gas Emissions tonnes of CO2 equivalent 74724.47
Gas Emissions2 Total Greenhouse Gas Emissions tonnes of CO2 equivalent 75388.58
Greenhouse Gas Emissions Intensity tonnes of CO2 equivalent per RMB 10000 of revenue 0.68
Notes 1: Total Comprehensive Energy Consumption: Calculated in accordance with GB/T 2589-2020 General Rules for Comprehensive Energy Consumption Calculation (issued
by the State Administration for Market Regulation and Standardization Administration of China) converted into standard coal equivalent (tce).Notes 2: Greenhouse Gas (GHG) Emissions refer exclusively to carbon dioxide (CO?) emissions excluding methane (CH?) nitrous oxide (N?O) and other GHGs. Scope 1 GHG
Emissions: Emissions from fossil fuel combustion (diesel gasoline natural gas LPG) and industrial processes. Emission factors are based on the Guidelines for Greenhouse
Gas Emissions Accounting and Reporting for Industrial Enterprises (Trial) issued by the National Development and Reform Commission (NDRC). Scope 2 GHG Emissions:
Indirect emissions from purchased electricity. Electricity emission factors reference the 2023 Power Sector CO? Emission Factors (Announcement No. 47 2025) jointly issued
by the Ministry of Ecology and Environment and the National Bureau of Statistics.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 24
Reducing Environment Impact T h e C o m p a n y i n c o r p o r a t e s The Company prioritizes environmental In terms of organizational structure for environmental management the environmental hazard prevention and impact assessments for construct ion Company has established a Group EHS Committee chaired by the President
control into normalized management projects comprehensively evaluat ing responsible for deliberating and deciding on major environmental issues
strengthening prevention and control the environmental impacts during both managing and advancing the Company's environmental commitments
of environmental hazards dur ing cons t ruc t ion and opera t i on phases . pol icies and strategic object ives. The Group Operat ions Management
Strengthening Environment construction projects. Hazards in During project construction emphasis Center has estab l i shed an EHS Management Department to prov ide
Management environmental dimensions such as is placed on soil and water conservation guidance on EHS management for operat ing companies . S ix regional noise dust and water pollution are and greening work with strict control EHS committees have been formed and each operat ing company has
identified and assessed with pre- over construction activities to minimize established an EHS management team. Operating companies with more
United Water str ict ly compl ies with the Environmental control measures formulated. The adverse environmental effects. In 2025 than 50 employees or higher r isks have establ ished EHS management
Protect ion Law of the People’s Republ ic of China and management reco rds fo r ma jo r the Environmental Impact Report for the d e p a r t m e n t s o r a p p o i n te d f u l l - t i m e E H S e n g i n e e r s . B y c l a r i f y i n g
other relevant laws and regulations fulfill ing its primary hazards are established and regular construction project of Tongxiang Shenhe management responsibilities at each level and integrating environmental inspections of hazard management Water Industrial Sewage Treatment Plant performance—including environmental compliance energy conservation
responsibility for environmental conservation in its production a r e c o n d u c t e d t o e n s u r e t h e successfully passed review and approval and consumpt ion reduct ion and po l lu t ion and waste management—
and operations. By continuously improving the environmental implementation of hazard control by the J iaxing Municipal Ecology and in to opera t iona l management assessment s tandards the Company
management sys tem the Company comprehens ive ly measures at work sites. Environment Bureau. ensures the implementation of environmental protection responsibilities.enhances its green development capabilities.Strengthening Environmental Prioritizing Project Environmental Improving Environmental
Hazard Prevention and Control Impact Assessments Management
Total environmental protection investment
RMB 48.58 million
Annual environmental protection training sessions
56 sessions
Total training participants
733 employees
Jiangsu United Water Technology Co. Ltd. Enhancing Environmental Conducting Environmental Promoting Green Emergency Management Education and Training Construction Management
and its four subsidiaries—Suqian Minxin
Water Quality Testing Co. Ltd. Suqian In order to comprehensively improves the environmental The Company fully implements environmental The Company has established 2025 environmental
Gengche Wastewater Treatment Co. Ltd. emergency response capabi l i t ies al l United Water educat ion and tra in ing. Each operat ing management objectives for engineering projects.Suqian United Municipal Engineering operating companies have developed Emergency Plans company develops an annual training plan Relying on the smart construction site management for Environmental Incidents valid for a three-year period at the beginning of the year conducting system real-time monitoring and intelligent analysis
Co. Ltd. and Xianning United Municipal to effectively guide and standardize emergency response regular educational training for employees of water and electricity consumption are conducted to
Engineering Co. Ltd.—have obtained to sudden environmental pollution and ecological damage covering environmental laws and regulations achieve refined management of resource consumption.ISO 14001 Environmental Management events. Each year at least one effective environmental environmental knowledge environmental Add i t iona l l y comprehens ive measures such as emergency drill is conducted in accordance with the hazard identif ication and environmental standardized laying of dust-proof nets are implemented
System Certification emergency plans to enhance employees' emergency emergency management comprehensively to ensure all environmental indicators meet standards
response capabilities and ensure swift and effective strengthening environmental awareness fulfilling the primary responsibility for environmental
handling of environmental emergencies. among all employees. protection.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 25
Pollution and Waste Management
Governance Strategy and Management Approach
The Company's pollution and waste management efforts are led by the Operations Through continuous improvement of its pollution control system the Company ensures compliant waste disposal while actively exploring pathways for
Management Center. The Center has established an EHS Department to coordinate comprehensive waste resource utilization. These efforts aim to enhance resource recycling rates and effectively reduce the environmental impact of
and supervise daily pollution and waste management activities promoting self- pollution emissions.correction supervision and management of pollution and waste emissions across all
operating companies.Treatment Methods: Tailored treatment and disposal methods are developed for different categories of solid
United Water strictly complies with the Law of the People's Republic of China on waste to achieve waste reduction resource utilization and harmlessness ensuring effective management of
the Prevention and Control of Water Pollution Law of the People's Republic of Solid Waste the
China on the Prevention and Control of Solid Waste Environmental Pollution the all waste types within the Company.Law of the People's Republic of China on the Prevention and Control of Air Pollution
and the Law of the People's Republic of China on the Prevention and Control of
Environmental Noise Pollution among other requirements. Internal policies have
been developed including Solid Waste Management Procedures Noise Generation Treatment Methods: In the event that production site boundaries are adjacent to noise-sensitive areas
and Treatment Management Procedures Noise Emission Management Regulations Noise noise barrier walls shall be constructed enhanced noise reduction measures for equipment implemented
Wastewater Generation and Treatment Management Procedures and Waste Gas
Generation and Treatment Management Procedures . Through comprehensive and on-site personnel required to wear noise-canceling earplugs.management processes and operational practices the Company ensures that
wastewater solid waste hazardous gases and noise generated during production
and operations are discharged in compliance with applicable standards. During the
reporting period the Company received no penalties and experienced no major Treatment Methods: Waste liquids generated during water quality testing are collected by the water
incidents related to emissions or waste disposal. quality testing center and centrally disposed of by qualified waste disposal companies. Domestic wastewater
is treated in septic tanks before being discharged into the municipal sewage network. Cleaning wastewater
generated during water production is collected for reuse while sludge filter press water is discharged into
Wastewater
Case Tongxiang Shenhe Water Sludge Resource Utilization the municipal sewage network. Rainwater enters the municipal stormwater system after collection in the
plant's stormwater network. In 2025 we upgraded our industrial wastewater discharge system by installing
In 2025 Tongxiang Shenhe Water generated a total of 13037.87 tonnes of Parshall flumes and flow meters at outlets to enable accurate measurement of industrial wastewater
sludge all of which was transported to third-party thermal power company discharges.for resource utilization. Specifically 4460.90 tonnes were sent to Jiaxing
Xinjia Aisi Thermal Power Co. Ltd. for resource utilization where the fly ash
generated from sludge incineration is used in the construction industry and Treatment Methods: Odor-generating areas in wastewater treatment processes and sludge treatment
as roadbed material in road construction. The remaining 8576.97 tonnes were systems are enclosed with corrosion-resistant covers such as fiberglass and stainless steel to ensure Exhaust Gases
transported to Zhejiang Jingshun Environmental Protection Energy Co. Ltd. airtight containment and prevent fugitive emissions. Collected gases are channeled via pipelines to bio-
for resource utilization where the desulfurized ash from sludge incineration is deodorization units for systematic treatment.used for brick manufacturing at brick plants.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 26
Impact Risk and Opportunity Management Chemical Management
To systematically prevent and control risks associated with pollution and waste emissions the Company has established a comprehensive Guided by the principles of "prioritizing water quality compliance precise cost control and safe compliant
pollution and waste risk management system aimed at proactively identifying assessing controlling and continuously reducing related operations" United Water has formulated the Chemical Management Enhancement Plan (including the
environmental and operational risks. We implement continuous monitoring of key emission sources—including wastewater exhaust gases Specialized Chemical Management Rules) establishing a full-process closed-loop management system.and noise—to ensure timely detection of anomalies. Additionally in accordance with regulatory requirements we engage qualified third- Through institutional standardization technological empowerment and supervision and assessment we
party testing agencies to conduct regular inspections (quarterly for wastewater treatment plants and annually for water supply plants) achieve refined standardized and traceable chemical management.ensuring that all pollutant emissions comply with environmental standards.* A tiered supplier management mechanism has been established with regular evaluations
to prevent unqualified suppliers from admission. Precise procurement plans are developed
Metrics & Targets Procurement based on production demands to ensure timely chemical supply. After delivery a two-
person acceptance procedure and sampling inspection are implemented to control
We establish annual targets for solid waste emissions noise emissions wastewater discharge and exhaust gas emissions to chemical quality at the source.comprehensively improve pollution and waste management. * Dedicated chemical warehouses have been established with strict separation storage
based on chemical properties to ensure stability. Dynamic inventory records and early
Pollution and Waste Achievement Status Indicator Unit 2025 Metrics Storage warning mechanisms have been established comprehensive safety facilities equipped
Management Targets in 2025 and real-time monitoring implemented to achieve standardized and safe chemical storage
Ammonia nitrogen emissions tonnes 71.20 management.* Noise emission compliance
rate: 100% (daytime ≤60 dB Wastewater Total nitrogen emissions tonnes 951.57
nighttime ≤50 dB) workplace Achieved Discharge * Daily dosing plans are formulated based on water quality testing data with data-driven
noise ≤85 dB Total phosphorus emissions tonnes 16.74 dynamic adjustments to dosing quantities. Automated dosing equipment has been
Suspended solids emissions tonnes 672.82 upgraded to ensure precise chemical dosing. Traceable records are maintained with
regular analysis of dosing data to optimize dosing plans and reduce operational costs.Total exhaust gas emissions1 cubic* Wastewater discharge: meters 1295572540
Usage
* Since 2024 intelligent carbon source dosing devices have been progressively promoted at
100% compliance rate for multiple wastewater treatment plants including Helan United Water and Suqian Gengche
all emission concentration Volume of nitrogen oxides emitted tonnes 0.32
indicators 100% compliance Achieved Wastewater Treatment Co. Ltd. significantly reducing chemical consumption costs through
rate for annual total Volume of sulfur oxides emitted tonnes 0.03 precise calculation of required dosages while ensuring stable production operations.emissions of all indicators Exhaust Gas
Emissions Volume of particulate matter and
suspended particles emitted tonnes 16.58 * We promote the substitution of solid PAC (Poly Aluminium Chloride) with liquid PAC/PFS
* General waste disposal rate: across operating companies reducing chemical costs while indirectly decreasing energy Emissions of volatile organic
≥99% compounds tonnes 0 consumption from the drying process in solid PAC production and subsequently reducing
* Hazardous waste disposal Achieved* Substitution carbon emissions. Additionally since April 2025 Jingzhou Shenlian Environment has
rate: =100% Carbon monoxide emissions tonnes 0.11 adopted liquid ferrous sulfate (an industrial by-product) as a substitute for solid ferrous
sulfate reducing operational costs while improving wastewater treatment efficiency and
Volume of hazardous waste tonnes 17.04 environmental benefits.* Exhaust gas emissions: Waste
100% compliance rate for Volume of non-hazardous waste tonnes 122161.24Achieved management * Water quality monitoring indicators have been expanded with increased monitoring all emission concentration
indicators Total volume of recycled and frequency after chemical dosing and intensified testing during specific operating conditions. reused waste tonnes 14300.96 Monitoring Regular employee safety training is conducted emergency plans for chemical leaks and
and Safety poisoning incidents have been developed emergency rescue equipment and protective
*General waste and hazardous waste disposal rate: 100% Note 1: Exhaust gas refers to collected odorous gas from wastewater treatment equipment are provided and regular drills are organized.plants which is treated and discharged through organized systems after
deodorization.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 27
Promote Green Principles Environmental Initiatives
United Water fully integrates green principles into its daily operations and continuously organizes diverse green public The Company deeply practices the ecological civilization principle that "clear water and lush mountains are invaluable
welfare activities. Through science popularization campaigns on water conservation and environmental protection targeting assets" organizing employees from various subsidiaries to participate in tree planting and water protection activities.the public the Company inspires enthusiasm and action for ecological conservation contributing to sustainable development Through corporate commitment the Company enhances the ecological foundation injecting green momentum into urban
and a greener future. soil and water conservation and ecological barrier construction.Green Office Practices
United Water focuses on daily details encouraging all employees to actively adopt green office and lifestyle practices
embedding the concept of green development deeply within its workforce. In 2025 to implement the work requirements of
"scientific management standardized efficiency energy conservation and consumption reduction and quality and efficiency
improvement" the Company formulated and released the Administrative Management Measures for United Water Group
Shanghai Headquarters Office (Trial) . The Measures stipulate improving energy utilization efficiency promoting a civilized
economical and safe work style fostering a green office and energy-saving work atmosphere creating a positive office On Na t i ona l Tree P l an t i ng
environment and advancing the Company's sustainable development. Day 2025 the employees of
Ruichang United Water planted
samplings.Imp lement ing modern conferenc ing sys tems Encouraging employees to promptly switch
to progressively achieve paperless operations off various electrical facilities and equipment
promoting the double-sided printing and reuse of precisely controlling air conditioning usage to
waste paper to reduce paper waste. reduce electricity waste.Green Paper Water Electricity Low-Carbon
Design Conservation Conservation Conservation Commuting
Suizhou United Water organized
a river cleanup public welfare
I n c o r p o r a t i n g e n e r g y - s a v i n g a n d C u l t i va t i n g e m p l o y e e s Encourag ing emp loyees to
a c t i v i t y u n d e r t h e t h e m e
environmental protection concepts into a w a r e n e s s o f w a t e r adopt low-carbon commuting
"Cleaning the Environment We
the design of the Company's new office conservation fostering the methods promoting the use
are taking action."
renovations selecting energy-efficient good habi t of prompt ly o f pub l i c t ranspor ta t ion to
equipment and systems renewable or turning off taps to reduce actively contribute to energy
recyclable materials and planting trees in water waste. conservation and consumption
public spaces to absorb carbon dioxide. reduction.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 28
Environmental Science Popularization
In 2025 leveraging key occasions such as Earth Day World Water Day and China Water Week the Company
organized diverse water conservation awareness activities across Jiangsu Hubei and other regions. By inviting
the public to visit water plants and organizing employee visits to schools enterprises and communities the
Company guides the public to conserve water resources protect aquatic ecosystems and contribute to the
development of water-saving cities jointly safeguarding clear waters with all sectors of society.Visiting Water Plants: Witnessing
the Wastewater Purification Journey
On Earth Day 2025 J iangsu region of
Un i ted Water inv i ted c i t i zens to v i s i t Community Engagement: Fostering a Water-Conserving Atmosphere
Suqian Gengche Wastewater Treatment
Co. Ltd. for a close observation tour of Various United Water subsidiaries visited communities to conduct water conservation awareness campaigns among residents
wastewater treatment facilities immersing encouraging them to develop water-saving habits.themselves in exploring the mystery of
"wastewater transforming into clear water"
and deepening public experience for the
preciousness of water resources.Street Interactions: Disseminating
Green Development Concepts
Suizhou United Water conducted National
Urban Water Conservation Awareness Week
activit ies promoting water conservation
knowledge to the public through presentations School Engagement: Developing Awareness of Water Enterprise Engagement: Strengthening Water
Conservation Conservation Cooperation
on regulat ions conservat ion concepts
conservation achievements and technological Xianning United Water visited Xianning Wenquan Experimental Xianning Siyuan Water visited its major water clients to
innovations. Primary School and Yingui School to popularize tap water- interpret water conservation policies and promote water-
related knowledge to students act ively promot ing the saving principles.dissemination of water conservation knowledge from campuses
to families and society.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 29
Reliable
Partner
Total water planned treatment capacity approximately
3 million cubic meters per day
Comprehensive compliance rate of
water supply quality
100%
Charitable contributions
RMB 3.24 million
Contributing to UN SDGs2025 年En环vir境on、m社en会ta及l S治o理cia(l aEnSdG G)o报ve告rnance Report 报告前篇Preface Gr绿ee色n P地la球net Reliabl可e P靠a伙rtn伴er Excellence卓 in越 Op经er营ations Adva先nce进d 技Te术chnology Ta以lenPt eOrrsioentse为d 本 Appen附di录x 30
Water Supply Resilience
Ensuring Water Supply Quality
United Water recognizes that a stable and high-quality freshwater supply is vital for
human health and socio-economic development. To this end the Company continuously
The Company prioritizes water quality by building a comprehensive water quality monitoring network to safeguard water supply security.refines its water supply management system establishes risk response mechanisms
and enhances the resilience of its water supply systems to provide stable safe and
sustainable water services to society.The Company strictly complies with national Standards for Drinking Water Quality and other relevant requirements.Full-Process Water quality testing personnel rigorously implement a "three-tier" testing system covering work shifts water plants
Water Quality
Control and the Company conducting daily full-process monitoring of source water process water and finished water to achieve Governance comprehensive water quality control "from water source to tap" ensuring 100% compliance.In terms of water supply quality the Company's Operations Management Center is
responsible for quality management under the leadership of a Senior Vice President
providing daily support and guidance to operating companies' production operations. Improving United Water Suqian Water Supply Company has established a water quality testing management system for terminal tap
Each operating company's General Manager and Production Director are responsible Water Quality water. By developing annual drainage plans assigning dedicated personnel and equipment and strictly implementing testing
for daily operations ensuring strict implementation of institutional norms and the safe Management twice a month terminal tap water quality testing has been institutionalized and systematized further safeguarding water
Systems
stable operation of water plants. We have formulated the Water Quality Management supply quality.System to standardize water quality management ensuring that water supply quality
complies with the Standards for Drinking Water Quality (GB 5749-2022).The Company has built and upgraded its intelligent inspection system. In 2025 at the Suqian Second Water Plant a robotic
Intelligent
Jiangsu United Water Technology Co. Ltd. and its dog inspection system was introduced to completely replace traditional manual inspections in key areas such as sedimentation Inspection
four subsidiaries—Suqian Minxin Water Quality Testing Co. Ltd. Empowerment tanks and the high and low voltage power distribution rooms effectively enhancing inspection accuracy and timeliness while
Suqian Gengche Wastewater Treatment Co. Ltd. ensuring personnel and equipment safety.Suqian United Municipal Engineering Co. Ltd.and Xianning United Municipal Engineering Co. Ltd.—have obtained
ISO 9001:2015 Quality Management System Certification. The Company formulated and released the United Water Group Operational Management Assessment Standards covering
Strengthening management requirements including safety management operations management equipment management and visualization.Operational
Management The standards comprise 8 primary indicators and 30 secondary indicators. Through continuous refinement of assessment
Assessment standards the Company enhances the compliance standardization and precision of its operational management providing
Strategy and Management Approach strong support for quality control across operating companies.Water supply is the core business of United Water. The Company has established
management systems and standards related to water supply services consistently In 2025 the Company conducted laboratory management training sessions inviting experts from Tongxiang Fengqi Water
invests in strengthening water quality safety systematically advances the improvement Quality Testing Co. Ltd. to provide professional expertise aimed at improving participants' laboratory management capability
and maintenance of water supply facilities and pipeline networks optimizes water Enhancing Water and enhancing testing efficiency and quality. Over the years through multi-angle multi-level training programs the Company
supply scheduling and enhances water supply capacity to achieve high-quality efficient Quality Testing
Capabilities has mandated 100% "training + examination" coverage for laboratory personnel every three years promoting the cultivation of
water supply throughout the entire process "from water source to tap." highly skilled technical talent consolidating the water quality safety management system comprehensively enhancing water
quality testing capabilities and safeguarding drinking water safety for thousands of households.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 31
Enhancing Water Supply Capacity
By strengthening the improvement and maintenance of water supply facilities and pipeline networks advancing water supply capacity construction and continuously optimizing water supply scheduling the Company effectively enhances water supply capacity
committed to providing all users with stable high-quality "reliable water."
Pipeline Pipeline Scientific Systematic
Pipeline network hazard inspection Network Network
Construction
coverage rate Inspection and
Water Supply Water Outage
and Upgrades Maintenance Scheduling Management
100%
Through the cons t ruc t i on Based on establishing a modern pipeline A n i n te g ra te d s c h e d u l i n g ce n te r h a s b e e n Water outage information is promptly
Emergency fault repair o f new wa te r d i s t r i bu t i on leakage detection system and integrating established to monitor real-t ime water supply disseminated through official websites
timeliness rate networks we systematically i n f o r m a t i o n t e c h n o l o g y a n d s m a r t network pressure and flow dynamically allocate WeChat public accounts WeChat groups
advance the cons t ruc t ion applications we conduct macro management supply based on demand enhance scheduling and group messages. Regulations stipulate 100 improvement and maintenance of pipeline network operation status and personnel's professional capabilities and ensure that for emergencies such as pipeline %
of water supply facilities and micro inspection of leak detection. Adhering correct and rapid handling of emergency situations. bursts breaks and v is ib le or h idden
pipeline networks promotes to a dual approach combining technology and Scient i f ic schedul ing plans are formulated to leaks water flow shall be stopped within
t h e u p g r a d i n g o f a g i n g management and integrating management reasonably analyze and forecast water demand 4 hours of receiving the leak report with 2025 pipeline network
improvement investment* p ipe l i nes improves wa te r
measures such as organizational structure based on weather temperature changes and peak immediate organizat ion of emergency
pressure in various regions adjustment business process reengineering usage. The water supply scheduling system has repairs . I f repair t ime for large-scale
26.64 and enhances residents' water and appropriate performance evaluation been upgraded to accurately forecast water demand pipeline burst or leak incidents exceeds 24 RMB million
usage experience. the Company achieves real-t ime control trends through big data analysis and dynamically hours emergency water supply vehicles
and precision management of water supply optimize scheduling plans ensuring balanced water are rapidly deployed in affected areas to
* Statistical scope covers United Water network leakage. pressure across regions and reliable water supply. provide basic living water.Suqian Water Supply Company Xianning
United Water Xianning Siyuan Water and
Jishan United Water.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 32
Emergency Water Supply Assurance Impact Risk and Opportunity Management
United Water continuously strengthens its emergency The Company systematically establishes a water supply risk management
response capabilities requiring all operating companies to In August 2025 facing the double challenges system implementing full-process precision monitoring. A water quality
develop special emergency plans for water resources. These of high temperatures and extreme weather reporting platform has been established enabling real-time reported data from
plans standardize emergency organizational structures Sanmenxia United Water proactively deployed subsidiary laboratories. Through this platform potential water quality control
responsibilities and procedures to efficiently respond to defense line through equipment maintenance risks are promptly identified and addressed with headquarters' technical teams
incidents including sudden water shortages raw water and p ipel ine network improvements . Af ter providing guidance on adjusting operational parameters to ensure finished
quality changes freezing disasters and torrential rains enter ing the operat ional phase Sanmenxia water quality compliance across all operating companies. Additionally the
and floods. Regular water resource emergency drills are United Water promptly act ivated high-level Company has developed emergency plans including the Special Emergency
conducted to enhance employees' capacity to respond to emergency response mechanisms employing Plan for Water Quality Incidents and the Special Emergency Plan for Water
emergencies. scientific assessment and precise measures to Supply Incidents with regular emergency drills conducted to enhance response
comprehensively safeguard water supply security. capabilities for water supply emergencies.Clear
Responsibilities
Competent In October 2025 a flood emergency struck Jishan Metrics & Targets
Response
Effective County Yuncheng City Shanxi Province. Jishan Teams
Guidance United Water promptly activated its flood control
emergency plan. Through decisive measures Water Supply Resilience Targets Achievement Status in 2025
Establishing an including strategic production suspension and
Emergency Water precis ion emergency repairs J ishan United Reliable water supply volume Achieved
Adequate Supply Assurance System Water withstood flood peak pressures ensuring Resource Uninterrupted both effective drainage and compliant water Water quality compliance Stockpiles Information quality with reliable supply. This efficient and with usage requirements
Achieved
Tiered Flow professional response safeguarded the water
Response utility's "lifeline."
Protocols2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 33
Premium Services
Water supply services represent not only the Company's
foundation but also a bond for conveying warmth. The Company
consistently upholds its commitment to "Supplying Quality Simplifying Optimizing Information Resolving
Water with Integrity" using water as a medium to build a smart Processes—Doing Services—Doing Empowerment— Problems—Doing "Subtraction" "Addition" Doing "Multiplication" "Division"
efficient and considerate service system.Leveraging big We have established We strengthen Responding to user
Business Environment Optimization data management a "point-to- information needs we proactively and smart water point" grid service technology provide extended
utility platforms we mechanism with construction water services
Governance integrate service dedicated "Water focusing on precisely delivering functions such Supply Service standardization value-added services
as new account Specialists" assigned convenience and such as online
installation and to communities refinement to invoicing leak point
United Water promotes the establishment of customer service online payment into for personalized enhance smart investigation and
departments in service-or iented operat ing companies to water supply grid service within management water quality testing.implement business environment optimization and customer "Water Assistant" designated grids. platforms with Various water supply service cards and Additionally a four- functions including data are monitored
service init iat ives. Through continuous ref inement of the water utility official tier grid coordination issued design and analyzed in real
service management system the Company persistently drives account service management system drawings and time with automatic
improvements in the business environment. platforms reducing of "community— engineering alerts for abnormal
information input property construction water usage to
requirements for management— management. ensure excellent
users and enabling community water grid water quality and
Strategy and Management Approach "online processing" staff—water utility" stable water pressure.of water supply has been established
services. to precisely address
users' water service
Reliable water supply assurance forms the "lifeline" for enterprise needs.production and operations. We continuously explore innovative
service models encouraging operating companies to deploy
comprehensive measures and effectively serve as "Water
Assistants" to address challenges for enterprises contributing to Impact Risk and Opportunity Management
the ongoing optimization of the business environment through United Water promotes the establishment of risk control mechanisms among service-oriented operating companies
practical actions. to address potential risks in business environment optimization and customer service assurance. United Water
United Water Suqian Water Supply Company has implemented Suqian Water Supply Company has established a closed-loop risk management mechanism covering identification
a series of initiatives including expanding service channels assessment and response identifying risks and formulating appropriate measures from two key dimensions: water
optimizing installation processes and enhancing water supply supply security and emergency assurance and service quality and customer satisfaction. Xianning United Water has
service efficiency effectively improving tap water installation established a full-process closed-loop mechanism of "risk identification—tiered assessment—targeted resolution—
efficiency and water supply service levels. Xianning United Water long-term prevention and control." Through cross-departmental special task forces risks are identified from three
operates a "grid + water supply" service system enhancing users' dimensions: "internal process self-inspection + external demand collection + technical platform monitoring." The
experience and satisfaction with water services. These practical results of risk identification are combined with impact scope and severity to implement tiered assessment. Risk
actions contribute to optimizing the business environment. As resolution outcomes are integrated into departmental performance assessments forming a management framework
a benchmark practice for business environment optimization in of "responsibility assigned to positions assessment applied to individuals and supervision ensured at all levels"
Hubei Province this was featured in the Hubei Province Business contributing to the continuous optimization of the regional business environment.Environment Optimization Bulletin (Issue 3 2025).2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 34
Metrics & Targets
Business Environment Optimization Targets Achievement Status in 2025
United Water Suqian Water Supply Company
United Water promotes target management among service-oriented operating companies using
targets to continuously drive service improvement. United Water Suqian Water Supply Company has Year-on-year decrease in complaints: 10%
established relevant targets from two key dimensions: customer complaints and customer visits. Achieved
Xianning United Water considering the Company's business layout and user needs has established Visit at least 5 major clients per month
systematic targets across six dimensions balancing service efficiency assurance capacity Xianning United Water
technological innovation and user experience.Urban water supply grid coverage rate: 100%
Problem resolution rate within grids: ≥95%
Annual visits to key major water users: ≥2 times Achieved
Upgrading Service Experience visit coverage rate: 100%
User complaint follow-up satisfaction rate: ≥95%
United Water is committed to providing users with professional rapid and reliable water service
experiences refining service details to ensure customers enjoy convenience and satisfaction throughout
their journey.Improving Transparent Enhancing Skills
Systems Tariffs Customer- 24/7 Hotline
Integrated
Services
Standardizing Protecting Centric Timely Optimizing
Services Rights Approach Response Experience
For residential water We publicly Customer service Hotline staff operate A grid-based service
supply we promote disclose water tariff personnel are around the clock to system has been
the development of a information for required to adhere to receive and address established through
Service Commitment residential non- a customer-centric user complaints and employee community
Charter and refines residential and principle with regular feedback accurately engagement dedicated
systems including the special industry specialized training and effectively grid staff assignment
First-Responsibility users through service organized on service communicating user and community WeChat
System Hotline outlets WeChat standards policy concerns to relevant groups forming a four-
Response Procedures public accounts and interpretation and departments and tier grid coordination
Complaint Handling government website fault handling. Periodic efficiently resolving mechanism. This
Procedures and announcements assessments covering inquiries about water enables point-to-
Water Industry effectively service attitude consumption billing point precise service
Standards requiring safeguarding user user satisfaction and meter malfunctions and comprehensively
employees especially rights and enabling and professional ensuring timely and enhances users'
those in customer users to consume competence effective handling of "water accessibility"
service department water services with enhance customer user questions. experience.to strictly adhere confidence. service personnel's Major client visits are conducted to truly On-site account opening services were provided for
to regulations and comprehensive understand customer needs and improve users at Shuxiang Mingyuan Residential Community
standardize service capabilities and service. in Zhongyang Town receiving high recognition and
protocols. awareness of proactive
dedicated service. praise from users.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 35
Safeguarding Customer Rights and Interests
United Water is committed to ensuring service timeliness through rapid response protecting information security with
rigorous standards and delivering service value through clear communication wholeheartedly earning customers'
satisfaction and trust.Customer Satisfaction Management
We encourage service-oriented operating companies to conduct annual water supply service
quality surveys comprehensively understanding customer satisfaction opinions and suggestions
about water supply services. Survey results are analyzed and departments are required to develop
improvement plans based on identified inadequacies and evaluate improvement outcomes to
further enhance customer satisfaction.Customer Complaint Resolution
We have formulated the Customer Complaints and Inquiries Handling Management System .Channels including WeChat public platforms 24-hour service hotlines mayor's mailboxes and
written correspondence are utilized to receive customer messages inquiries and complaints.Responsible entities and response timelines are clearly defined with dedicated management
departments established to monitor the timeliness and appropriateness of responses across all
channels ensuring sincere engagement with every customer. United Water Suqian Water Supply Company
Customer communication Customer complaint Customer complaint Customer
Customer Information Security and suggestions received response rate resolution rate satisfaction rate
We prioritize the protection of customer information strictly complying with relevant laws 2047 100% 100% 98%
and regulations. All collected personal data is used solely for service delivery and necessary
communications. The Customer Information Confidentiality Management System and the Information
Security Management Measures have been formulated establishing comprehensive safeguards
Xianning United Water
including confidentiality awareness classification permissions and access controls physical and
cybersecurity measures employee exit protocols and incident response procedures. In 2025 United
Customer communication Customer complaint Customer complaint Customer
Water Suqian Water Supply Company conducted customer information security management training to and suggestions received response rate resolution rate satisfaction rate
further enhance employee awareness in protecting customer information security. 136 100% 100% 99.80%2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 36
Water Accessibility
United Water is consistently dedicated to improving
water accessibility enabling more residents domestically Extending Infrastructure to Reach the "Last Mile" of Water Access
and internationally to access safe reliable tap water.The Company fulfills its mission through professional In 2025 United Water Suqian Water Supply Company actively strove for government funds to improve
expertise responds to expectations through practical 9 low-pressure areas and 11.20 kilometers of aging pipelines while constructing 1.8 kilometers of
ac t i ons and con t i nuous l y i n j ec t s s t ab le "wa te r new pipelines benefiting 12000 residents and achieving "village-to-household" tap water access.momentum" into l ivelihood improvement and social Xianning United Water continuously extended water supply services advancing rural pipeline network
development. renovations to promote equal access to water between urban and rural areas and addressing water
access challenges in remote regions. A total of 114.68 kilometers of urban village pipeline networks
were improved along with water supply improvement for 381 rural households benefiting over 30000
Urban-Rural Water residents and significantly improving rural water supply safety and experience.Supply Integration
Enhancing Convenience Services to Address Water Access Challenges for Special Groups
United Water adheres to the general requirements of
"same source same network same quality same service" Addressing the challenge faced by special groups such as elderly individuals living alone in rural
advancing the integration of urban and rural water supply areas with online payment operations Xianning United Water launched a "door-to-door water fee
systems. Efforts to implement drinking water projects in collection" convenience initiative piloting the program in Lirong Village Shuangxiqiao Town. A dedicated
rural and impoverished areas are intensified with service service team was formed collaborating with village committees to accurately communicate payment
improvements tailored to the specific circumstances of information through village announcements and door-to-door notifications providing on-site services
rural users and low-income groups. This enables more including fee collection data verification and business consultation. This model has been expanded to
people in broader regions to access and use cleaner three administrative villages benefiting over 3000 rural households and effectively resolving payment
safer tap water effectively enhancing the accessibility of problems for special groups.the Company's products and services.Focusing on Vulnerable Group Needs Strengthening Service Assurance and Fairness
While extending pipeline networks and upgrading services the Company pays particular attention to the
water usage rights of low-income families and other vulnerable groups proactively coordinating with
civil affairs departments to enable low-income households to benefit from preferential policies "without
visiting" and as quickly as possible. Xianning United Water based on the public welfare attribute of
water supply strictly implements tiered water price and has introduced targeted water supply assurance
measures for low-income groups and older residential communities ensuring water usage fairness.Jishan United Water issued the Notice on Water Fee Reductions for Low-Income Groups in 2025
providing eligible households with 6 cubic meters of free water reducing their water burden and further
enhancing water accessibility for vulnerable groups.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 37
A New Chapter in Overseas Water Utilities
United Water actively practices the principles of extensive consultation joint contribution and shared benefits under the Belt and Road Initiative using water as a bond to closely connect Chinese standards and
technologies with overseas livelihood needs. As Bangladesh's first water PPP project the Purbachal New Town Water Supply Project in Dhaka signed in 2019 represents not only a milestone in the Company's overseas
expansion but also a model livelihood project under China-Bangladesh Belt and Road cooperation. With a designed capacity of 340000 cubic meters per day and a high-standard water quality testing center the project
will provide high-quality water services to approximately 2 million residents. Following the operation of Phase I in early 2023 Phase II of the project is expected to be completed by the end of June 2026 and to deliver
water to customers later in 2026. The Company has extended its mature service system to international markets comprehensively building a sustainable local water supply ecosystem encompassing refined water quality
management smart pipeline network monitoring rapid emergency response and publicity of water usage knowledge for communities. Nowadays safe and reliable water supply has become routine transforming water
access difficulties in the past into tangible sense of well-being happiness and security for the people of Bangladesh.In 2026 United Water successfully won the long-term operation and maintenance contract for municipal wastewater treatment (Package 10) from the National Water Company of Saudi Arabia covering the upgrading
renovation and operation and maintenance of nine wastewater treatment plants across four provinces in Saudi Arabia. This successful bid represents another major achievement in the implementation of United Water's
development strategy of "rooting in the domestic market while actively exploring the international market" helping the company expand its overseas business footprint and bring clean water to more regions and residents.On May 21 2025 the project company was invited by the World
As of the end of 2025 Bank Group to participate in the "Water Reuse and Recycling
Conference and Associa t ion of Nat ions Launch Meet ing "
Population with improved water access Cumulative local employment created Overseas local procurement ratio disseminating knowledge on safe water use to participants.approximately 2 million people approximately 600 people 65.29%
Water Quality Defense Line Smart Operation and Maintenance Water Services Community Engagement
Ensuring Safe Water Consumption Enhancing Quality and Efficiency Enhancing Livelihood Experience Building Trust and Consensus
To a d d r e s s l o c a l g r o u n d w a t e r O p e r a t i o n s m a n a g e m e n t h a s Customer service processes Investment in publicity and community
pollut ion the project wi l l in i t ia l ly been comprehensively upgraded h a v e b e e n o p t i m i ze d w i t h interaction has been strengthened
utilized 15 deep wells exceeding 250 w i t h u p d a t e d p u m p s t a t i o n the launch o f an upgraded focusing on promoting safe tap water
meters in depth as water sources standard operat ing procedures digital service portal enabling use and encouraging residents to
with plans to transit ion to treated extended water supply hours and c o m p l a i n t t r a c k i n g a n d connect to the water supply network. In 2025 the project company organized door-to-door visits
surface water. A high-standard water smart control achieved through i n fo r m a t i o n t ra n s p a re n c y. Through community visits on-site and on-site demonstrations to popularize the Company's water
qua l i t y tes t i ng cen te r equ ipped the SCADA sys tem. In p ipe l ine Priority work order mechanisms demonstrations mobile campaigns quality standards safe water usage methods and the benefits of
w i th microb io log ica l and rout ine network maintenance predictive a n d e n h a n c e d i n t e r n a l and informational leaflets knowledge connecting to the piped water system to residents.ind icator test ing capabi l i t ies has ma intenance regu lar f lush ing coordination have substantially o f sa fe wa te r p rac t i ces and the
been established. Through measures critical valve repairs and installation shortened average response benef i ts o f connect ion has been
including optimized chemical dosing of anti-theft meters have reduced times. Customer satisfaction disseminated promoting growth in
s t r ic t test ing in accordance wi th network failure rates by over 20% surveys are conducted with the number of households connecting
s t anda rds and regu l a r p i pe l i ne decreased non-revenue water f e e d b a c k i n t e g r a t e d i n t o to the system and enhancing public
f lushing continuous water qual ity and significantly improved repair service improvements resulting understanding of water treatment
compliance is ensured. The operations response speed. in significantly enhanced user processes and water quality safety.and maintenance team opt imizes satisfaction. Th is has s t rengthened t rus t and
the water distribution network layout interaction between the Company and
based on site conditions reasonably local communities. As of the end of
adjusts supply modes and increases 2025 a cumulative total of 249 water
water quality testing frequency to supply applications had been received
ensure that all users receive compliant with 213 active user households.drinking water.In January 2026 United Water successfully won the long-term
operation and maintenance contract for municipal wastewater
treatment (Package 10) from the National Water Company of Saudi
Arabia.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 38
Community Involvement
United Water upholds the belief of "rooted in society paying back society" establishing close connections with communities The Company focuses on people's livelihoods continuously making efforts to "address public concerns and take practical
and actively engaging in public welfare initiatives. Through practical actions we deliver care and warmth contributing to the actions." Annual targeted assistance activities are regularly conducted to identify the difficulties and needs of vulnerable
development of a harmonious society. groups. Maintenance teams visit villages and households to assist elderly residents with water supply facility repairs
resolving practical life difficulties and fully enhancing the sense of well-being among community residents.Community Communication
Trust and support from the public and communities are essential safeguards for industrial operations. The Company focuses
on the needs of stakeholders including local governments the public and communities in areas where its projects are
operated establishing smooth communication mechanisms with communities and building strong relationships of mutual United Water participated
trust and collaboration. In 2025 during the construction of United Water Suqian Second Water Plant Phase V Project and the in Suq ian's "Government
construction project of Tongxiang Shenhe Water Industrial Sewage Treatment Plant the Company attaches great importance Hotline" program engaging
on communication and collaboration with surrounding communities and project management committees enhancing project in interactive exchanges with
transparency and social sustainability. Throughout the construction period neither project experienced major complaints or l isteners about residential
disputes. water supply issues.Information Transparency
Public notice boards were installed around construction sites to promptly disseminate information on
project progress construction plans and temporary changes ensuring surrounding residents' right to
know and participation.Valuing Concerns Through needs-assessment vis i ts
Regular coordination meetings were organized involving site management personnel community distribution of informational leaflets
resident representatives and relevant government departments to collectively discuss potential posting of freeze prevention tips and
issues during construction and directions for improvement continuously listening to and addressing door-to-door awareness campaigns
residents' concerns and promptly responding to and resolving issues raised by residents. United Water promoted knowledge
related to water pipe freeze protection
Impact Mitigation and water meter crack prevention.Various noise control measures were actively implemented to reduce inconvenience caused by
construction to community residents minimizing the impact of construction on residents' daily lives
as much as possible.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 39
Public Welfare and Charity Volunteer Services
The Company integrates high-quality corporate development with social responsibility actively practicing The Company promotes the volunteer spirit of "dedication friendship mutual assistance and progress" connecting with vulnerable
public welfare and charity continuously expanding its charitable footprint across multiple domains including social groups actively organizing public welfare activities and encouraging and guiding employees to participate extensively in volunteer
volunteer services cultural and sports initiatives and educational support. services.Total public welfare investment Employee volunteers Employee volunteer teams
RMB3.24 million 591 19
Total employee volunteer service hours Employee volunteer participants
811.15hours 498 Mul t ip le subs id ia r i es i nc lud ing Un i ted
United Water organized employees to Water's Ningxia region South China region
participate in voluntary blood donation. and Shanxi region conducted Double Ninth
Festival visits to elderly groups.Xianning United Water was honored with the Jishan United Water
"2024 Charitable Enterprise" was honored with the
by Xianning Volunteer Association "Charitable Enterprise"
and Xianning Qishan Social Work award by Jishan County
Service Center. Civil Affairs Bureau.Nanjing United Water and Pinghe United Water
Helan United Water in collaboration with Helan conducted the "Water Supports Your Journey of
County Taiyangcheng Community conducted National College Entrance Examination" initiative
warm visits and material donations for female to assist with college entrance examinations
sanitation workers who stuck to their posts. providing convenience and support to exam
candidates and their parents.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 40
Cultural and Sports Initiatives Educational Support
The Company has long-term supported and participated in various sports events and cultural activities supporting the The Company continuously advances educational public welfare initiatives through donations to education development
flourishing development of local cultural and sports initiatives enriching the spiritual lives and leisure activities of the public funds and establishment of scholarship programs supporting talent team building and cultivation in higher education
and embodying the vision of enterprises about mutual development and prosperity with cities and culture. institutions. Additionally the Company provides financial aid to primary and secondary schools contributing to China's
educational development.United Water supported the hosting of the Suqian Marathon United Water supported the 3rd Suqian Citizens'
as an official support unit injecting "water momentum" into United Water donated RMB 2 million to Jishan United Water visited to impoverished Cultural and Arts Season "Joyful Arts."
the flourishing development of public health initiatives. establish the "AI Future Fund" at Shanghai children on Children's Day and donated materials
Jiao Tong University. to support children's study and growth.Tongxiang Shenhe Water conducted a scholarship Xianning Siyuan Water donated scholarships to
donation activity at Tongxiang Gaoqiao impoverished college students in Suntian Village
Jingzhou Shenlian Water and Jingzhou Shenlian Environment formed a green running team to support the Experimental School (Primary Division). Henggouqiao Town Xian'an District Xianning City.
2025 Jingzhou Marathon.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 41
Excellence in
Operations
Investment in work safety
RMB 2.18 million
Occupational health and
work safety training
187
Occupational health and
work safety training participants
2715
Contributing to UN SDGs2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 42
Corporate Governance
A sound governance framework is the cornerstone of sustainable enterprise development.United Water continuously optimizes its corporate governance system enhances governance
capabilities and standardized operations effectively safeguards investor rights and interests 1 + 2 + 5 + N
and practices compliant operations with high standards.Articles of Rules of Procedure for Detailed Work Protocols for the President A number of supporting
Association the General Meeting of Detailed Work Protocols for the Board of Directors' Strategy and ESG systems including the
Improving Corporate Governance Shareholders Committee Independent Directors'
Rules of Procedure for Detailed Work Protocols for the Board of Directors' Nomination Work System Independent
the Board of Directors Committee Directors' Committee
The Company strictly complies with the Company Law of the People's Republic of China Detailed Work Protocols for the Board of Directors' Audit Committee Meetings Work System etc.the Securities Law of the People's Republic of China the Shanghai Stock Exchange Listing Detailed Work Protocols for the Board of Directors' Compensation and
Rules the Shanghai Stock Exchange Self-Regulatory Guidelines for Listed Companies No. Assessment Committee
1 — Standardized Operations and other relevant laws regulations and normative documents.
A governance structure with clear authorities and responsibilities has been established forming
a coordinated efficient and robust governance mechanism. In 2025 in accordance with the Strategic and ESG
Company Law of the People's Republic of China and other relevant laws regulations and Committee
regulatory requirements the Company strategically adjusted its corporate governance structure General Meeting of Shareholders
legally abolishing the Board of Supervisors with the Board Audit Committee assuming supervisory
functions. Employee Representative Directors were established to further optimize the Board's Nomination Committee
composition and solidify the foundation for the Company's standardized operations. Compensation and Board of Directors
The Company has formulated a series of management systems including the Articles of Assessment Committee
Association Rules of Procedure for the General Meeting of Shareholders and Rules of
Procedure for the Board of Directors establishing a "1+2+5+N" corporate governance system Audit Committee
President
framework which is continuously revised and improved based on development conditions and
regulatory standards. In 2025 we revised 22 system documents newly formulated the Information Chief Executive
Disclosure Exemption and Deferral Management System and the Shareholding and Change Officer Senior Vice Senior Vice Senior Vice
Management System for Directors and Senior Executives Chief Vice President and abolished internal systems and President President President Financial and Board
related provisions concerning supervisors or the Board of Supervisors including the Rules of Officer Secretary
Procedure for the Board of Supervisors further enhancing the standardization and effectiveness
of governance work.The General Meeting of Shareholders is the supreme decision-making entity of the Company
exercising voting rights. During the reporting period the Company revised the Rules of Procedure
for the General Meeting of Shareholders strictly standardizing the procedures for the General
Meeting to exercise its powers legally fully safeguarding the legitimate rights and interests of
shareholders. The Board of Directors is the decision-making body for the Company's operations
and management responsible to the General Meeting of Shareholders and all shareholders
effectively fulfilling its functions of setting strategy making decisions and preventing risks. Four
special committees are established under the Board: the Strategy and ESG Committee the Audit
Committee the Nomination Committee and the Compensation and Assessment Committee. Each
committee fully leverages its professional advantages providing scientific basis and professional
support for Board decisions.Diagram of United Water Governance Structure
Securities Affairs
Department
Finance Department
United Water International
Investment Department
Operations Management
Department
Information Management
Department
Contract Cost Department
Construction Management
Department
Procurement Department
President's Office
BoRuiSi Environmental
Technology
Overseas Business
Department
Zhangzhou Region
South China Region
Hubei Region
Jiangsu Region
Shanxi Region
Ningxia Region
Investment Development
Department
Human Resources
Department
Audit Department2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 43
Board Effectiveness and Diversity
General Meetings of Shareholders convened with
3 15 Board Effectiveness times proposals approved The Company strictly complies with laws regulations and regulatory requirements such as the Company Law of the
People's Republic of China and the Administrative Measures for Independent Directors of Listed Companies formulating and
actively implementing the Independent Directors' Work System and the Independent Directors' Special Committee Meeting
Board of Directors meetings held with attendance rate of Board members Work System. These clarify the roles and responsibilities of independent directors in corporate governance ensuring they
7 33 100 diligently perform their duties. During the reporting period the Board of Directors comprised 9 members including 3 times proposals approved % independent directors with independent directors accounting for 33.33%. The Audit Committee Nomination Committee and
Compensation and Assessment Committee under the Board are all chaired by independent directors effectively ensuring
the objectivity and impartiality of Board decisions.Strategy and ESG Audit Committee Compensation and Assessment
Board Special Proportion of Independent Attendance rate of independent directors at
Committee meetings held meetings held Committee meeting held Committees Directors committee meetings
3?times 4?times 1?time
Strategy and ESG Committee* 20% 100%
Nomination Committee* 66.67% 100%
Compensation and Assessment
66.67%100%
Committee*
"2025 Best Practice Award China Association for Public Companies' Audit Committee* 66.67% 100%
for Digital Innovation in Board "2025 Outstanding Practice Cases of
Offices" by Value Online Listed Company Board Offices" Note: * indicates the committee is chaired by independent directors.The Company attaches great importance to the development and practical exploration of the independent director system.By strengthening duty performance support innovating duty performance mechanisms and enriching duty performance
scenarios the Company promotes the deep integration of independent directors into the corporate governance chain fully
"2025 AI Frontier Innovation leveraging their professional supervision and decision-support roles. In 2025 the Company added a dedicated "Independent
Award" by Value Online Directors" section to the Articles of Association revised the Independent Directors' Work System and the Independent
Directors' Special Committee Meeting Work System and improved the system for safeguarding independent directors' duty
performance. By organizing independent directors to participate in regular report performance briefings establishing a
mechanism for regular reporting by senior executives to independent directors and convening independent directors' special
committee meetings the Company deepened communication and exchanges between independent directors management
and the capital market ensuring independent directors could perform their duties. Relying on the professional expertise of
independent directors through diverse forms such as thematic sharing and project research a bridge for knowledge transfer
from "external think tanks to company decisions" was built fully leveraging the role of independent directors as external
consulting experts and providing support in areas such as macroeconomics and technological innovation for the Company to
solidify its governance foundation in a complex external environment.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 44
Enriching Independent Director Duty Performance to Professionally Board Diversity Compensation and AssessmentCase
Empower Company's Development
The Company recognizes that board diversity is a crucial factor in maintaining effective corporate governance. Considering the The Company has established a compensation
On April 23 2025 United Water invited its independent director Prof. Lian Ping Company's development strategy and business needs the composition of Board members is determined by comprehensively management and incent ive-const ra in t
Chairman of the China Chief Economist Forum President and Chief Economist considering multiple factors such as age gender educational background professional skills and industry experience. This m e c h a n i s m fo r d i r e c t o r s a n d s e n i o r
of the Guang Kai Chief Industry Research Institute to deliver a lecture on enables a more comprehensive perspective to enhance corporate governance efficiency and ensure the scientific nature and executives clearly stipulating that the Board
"China's Economy under the Tariff War Background." This provided forward- effectiveness of Board decisions. The Company's current directors possess professional backgrounds and experience in multiple Compensation and Assessment Committee is
looking decision-making reference for the Company's strategic planning and risk fields including finance financial management corporate management and environmental water services. One independent responsible for formulating and reviewing the
prevention and control providing valuable guidance for the Company to achieve director on the Audit Committee is an accounting professional and the Chairman of the Audit Committee Mr. Jiang Qifa compensation policies and plans for directors
high-quality development in a complex economic environment. possesses financial background and abundant experience enabling effective internal financial management and risk control. and senior executives. The compensation for
the Company's directors and senior executives
adopts an annual salary system comprising
4 fixed salary and year-end bonus. The year-8 end bonus is linked to the performance of the
1 Company and the individual evaluated based
Director Director
on established assessment indicator systems.Gender Age
1 Deductions are made if relevant requirements 1
are not met. This further enhances the
3 motivation and creativity of the Company's
operators and managers promoting the
Male Female Aged 65 and above 56-65 years old Company's sustained performance growth.
46-55 years old Aged 46 and below
The Company is committed to building a learning-oriented Board of Directors regularly
organizing Board members to participate in relevant training organized by the CSRC
stock exchanges and associations of listed companies. In 2025 the Company conducted
multiple professional skill enhancement training sessions for directors and organized
all directors to study and implement the Typical Cases of Illegal Activities by Listed
Companies and the Reminder List of Common Violations by Listed Companies from the
Notice of the Jiangsu Regulatory Bureau on Further Strengthening the Standardized
Operation of Listed Companies and Preventing Illegal and Risk-Related Activities .Directors participated in the "Listed Company High-Quality Development Series Training"
organized by the Jiangsu Regulatory Bureau and independent directors participated
in the Shanghai Stock Exchange's "2025 6th Follow-up Training for Independent
Directors of Listed Companies." These initiatives contributed to directors gaining a
deeper understanding of the latest regulatory policies further strengthened compliance
awareness enhanced capabil i t ies of duty performance thereby promoting the
improvement of listed company standardized operations.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 45
Investor Rights Protection Investor Communication
The Company strictly complies with relevant laws and regulations including the Company Law The Company attaches great importance to investor relations management. In accordance with the Guidelines for Investor Relations Management of Listed
of the People's Republic of China the Securities Law of the People's Republic of China the Companies we continuously improve the Investor Relations Management Measures establishing an investor management system led by the Board Secretary
Guidelines for Investor Relations Management of Listed Companies and relevant provisions of and creating multi-level positive interaction communication mechanisms. Through multiple channels including investor hotlines IR email and the Shanghai
the Articles of Association establishing and continuously improving investor rights protection Stock Exchange e-interactive platform as well as regularly convening performance briefings actively participating in strategy conferences organized by
mechanisms. Adhering to the principles of fairness justice transparency and objectivity securities institutions and conducting roadshows and reverse roadshows we strengthen interaction and communication with investors ensuring rapid
the Company fully safeguards all investors' right to know and other legitimate rights and response and efficient feedback to investor concerns.interests. To ensure convenient participation for more shareholders the Company convenes
general meetings using a combination of on-site voting and online voting enabling all
shareholders especially those unable to attend in person to fully exercise their voting rights.When deliberating major matters affecting the interests of small and medium investors Panorama Network "Investor Relations Gold "Excellent Investor Relations Team "Top 100 IRM Company" title
separate vote counting is implemented for small and medium investors with public disclosure Award (2024) · Outstanding IR Team" Award" by Stock Star by Judongmi
effectively safeguarding the legitimate rights and interests of minority shareholders.Information Disclosure Regular reports Interim reports and related Investor communication Investor communication
disclosed documents disclosed activities held activity participants
The Company strictly complies with regulatory documents such as the Administrative Measures on
Information Disclosure of Listed Companies and the Shanghai Stock Exchange Self-Regulatory 5 114 6 58
Guidelines for Listed Companies No. 2 — Information Disclosure Management. It has formulated
and rigorously implements the Information Disclosure Management System. Guided by investor Investor research Investor inquiries addressed via Communications with investors through
needs the Company ensures the preparation review and disclosure of interim reports and regular
hosted the Shanghai Stock Exchange e-interactive platform various channels
reports guaranteeing that information disclosure is truthful accurate timely and complete. The Company
strengthens insider information management by revising the Insider Information Registration and 3 16 853
Management System regulating the management of company insiders and enhancing confidentiality
of insider information. Additionally the Company prioritizes standardized management of related-party
transactions revising the Related-Party Transaction Management System and the Guidelines
for Regulating Fund Transactions with Related Parties clarifying decision-making procedures
information disclosure requirements and pricing mechanisms to safeguard the Company's overall On September 9 2025 under the guidance of the
interests and maintain fair market competition order. During the reporting period no false records Shanghai Stock Exchange United Water cooperated
misleading statements material omissions or improper disclosures occurred in the Company's with East Money to host the "Serve Investors Share
information disclosure. High-Quality Development — 'I Am a Shareholder'
Visit to Shanghai Stock Exchange-listed Companies"
Shanghai Stock Exchange 2024-2025 Information Disclosure A-Level Rating. themed investor communication activity.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 46
Investor Returns
While focusing on its own development the Company adheres to an investor-centric principle strictly implementing a consistent and stable cash dividend policy under its Articles of Association to share development achievements with investors. The Board
formulates annual profit distribution plans based on operational performance and submits them to the General Meeting of Shareholders for approval ensuring the legitimate rights and interests of shareholders particularly minority shareholders are fully
protected. In 2025 the Company implemented the 2024 Annual Profit Distribution Plan distributing RMB 1.50 per 10 shares (tax-inclusive) totaling RMB 63483090.60 (tax-inclusive). Combined with the cash dividend of RMB 14812721.14 (tax-inclusive) distributed
to all shareholders in the first half of 2024 the total cash dividends distributed by the Company for 2024 (including interim distributions) amounted to RMB 78295811.74 (tax-inclusive) representing 52.22% of the net profit attributable to shareholders of the listed
company in the Company's 2024 consolidated statements.Compliant and Sound Operations Board of Directors / Audit
Committee
United Water consistently adheres to the principle of compliant operations continuously deepening its risk management system and Company Management Project
strengthening internal controls to ensure the standardization and compliance of all business activities. This solidifies the defense line of Management Committee
risk prevention and control for high-quality corporate development and ensures the Company's stable operations.First Line of Defense Second Line of Defense Third Line of Defense
Governance Strategy and Business Controls Financial Controls Audit Department
Management Approach
Security Controls Internal Control of
Finance Department
The Board of Directors is charged with overseeing r isk Risk Controls
management and governance while the Audit Committee Risk Management
regularly supervises and evaluates the effectiveness of internal
controls providing unif ied leadership assessment and The Company has established a comprehensive Documentation Control
reporting to the Board on internal audit work. risk management and internal control system.The Board of Directors is charged with overseeing The Company's Risk Management System
F inance Depa r tment i s respons ib l e fo r e f fec t i ve r i s k risk management and governance while the
management and internal controls overseeing the Company's Audi t Committee regular ly superv ises and The Company continuously advances the development of fundamental risk management workflows achieving full-
tax management operations. In 2025 the Finance Department
appointed a Deputy Manager for Financial Internal Control and evaluates the effectiveness of internal controls process risk management through risk information collection risk assessment risk solution formulation and risk
Risk responsible for advancing the development of the financial providing unified leadership assessment and monitoring and evaluation. We continuously optimize our risk monitoring and early warning systems strengthening
internal control system for operating companies and conducting reporting to the Board on internal audit work. monitoring of multi-dimensional risks including market operational and regulatory risks. We regularly evaluate potential
special inspections on the implementation of internal controls.Through the "Three Defense Lines" and internal- market risks operational risks financial risks tax risks legal risks as well as ESG risk factors such as work safety
external supervision mechanisms we effectively human resources and environmental protection understanding various potential threats and opportunities faced by
Audit Department is responsible for internal auditing and
establishes a comprehensive internal audit management system. prevent and control direct and indirect risks that the Company and achieving comprehensive mastery of key business areas. Additionally we formulate and continuously
may cause losses ensuring compliant operations improve a series of risk response measures and emergency plans strengthening employees' risk prevention awareness
and sustainable development. and emergency response capabilities to ensure rapid orderly and effective response to emergency risks.E x te r n a l Re g u l a to r y
Authorities
External Audit2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 47
Internal Control and Compliance Tax Management
Financial Internal Control Impact Risk and Opportunity ManagementThe Company strictly complies with relevant tax laws
The Company has established a robust financial internal control management and regulations including the Law of the People's The Company has established a fundamental risk management workflow system regularly identifying and assessing
mechanism strictly adhering to internal systems such as the Financial Internal Republic of China on the Administration of Tax potential risks clearly defining and refining risk control measures implementing risk tracking and monitoring and
Control Management Manual and Financial Reimbursement Regulations to ensure Collection and the Enterprise Income Tax Law
standardized implementation of financial internal control management. During of the People's Republic of China formulating
continuously enhancing its risk prevention and control capabilities. We prioritize internal control and compliance
and continuously improving the Tax Management management regularly evaluating the effectiveness of risk management and internal control systems and the reporting period we revised and improved the Financial Internal Control
Manual to standardize tax operational procedures. conducting special audit work as planned to ensure the efficient and sound operation of the internal control and Management Manual adding specific internal control management requirements
compliance system effectively preventing operational risks. Additionally we conduct regular tax risk assessments
for various operational processes including improving procurement warehousing We have established a robust tax management
processes strengthening project progress management enhancing contract system implementing a three-tier tax management strengthening employee tax risk awareness to ensure compliant operations in the tax area.management and clarifying contract approval requirements. These additions structure with clearly defined responsibilities at each
help departments at all levels clarify responsibilities and implement requirements level and centralized oversight of all tax-related
further effectively preventing financial risks. matters to effectively prevent tax-related violations.Metrics & Targets
In this management structure the Chief Financial
The Company annually engages professional accounting firms to audit the
Officer oversees overall strategic planning and risk
effectiveness of internal controls over financial reporting effectively mitigating Compliance and Sound Operations Targets Achievement Status in 2025
management. The Tax Manager in collaboration with
potential risks and ensuring the Company's compliant and sound operations.Regional Financial Directors manages standardized
In 2025 we conducted special internal control inspections on six operating Special internal control inspections conducted: 6 Achieved
tax processes regulatory compliance and responses
companies including a follow-up investigation on the 2024 internal control
to internal-external tax audits. Each operating Financial
inspection results of one operating company to verify past rectification Achieved
company has dedicated tax positions responsible for Internal Control
effectiveness and consolidate internal control achievements. Additionally Internal control system training sessions held: 2 Internal control system training
daily tax filings and basic tax risk controls. During the
Northern Regional companies organized two regional interactive internal control sessions held: 4
reporting period the Company experienced no major
inspections promoting mutual study and supervision among regions and
tax violations and was not involved in any tax-related Achieved
effectively enhancing internal control capability. Furthermore the Company
major litigation or arbitration. Professional tax training sessions conducted: 12 Professional tax training participants:
continuously promotes the integration of internal control compliance principles
into daily operations management actively organizing financial personnel and 488The Company conducts regular tax risk assessments Tax
relevant management personnel from operating companies to participate in reviewing monthly tax filings across all operating Management Achieved
internal control system training continuously improving the Company's internal companies via tax declaration control sheets to prevent Number of Class-A Tax Credit taxpayers to be maintained Subsidiaries rated as Class-A
control management capability. omissions delays or late tax payments ensuring zero at no less than the previous year taxpayers: 23
tax risks during the reporting period. We regularly
organize professional tax training for employees to Audits conducted on 15 operating companies or 1
Internal Audit accurately interpret policy support directions and functional department
The Company has formulated and continuously improves the Internal Audit priorities share updates on government regulations
System standardizing audit workflows and fully leveraging the effectiveness and industry trends and guide various departments
Internal Audit Full-process supervision of approximately 94 online or Achieved
of internal audit supervision. We continuously strengthens our audit system in correctly understanding and applying relevant
on-site major bidding meetings
construction focusing on key business areas and critical risk links intensifying policies to conduct related business while avoiding
audit efforts and conducting special audit work in an orderly manner according to tax risks. These continuously enhance the professional
Major risk incidents reported: 0
annual plans. Issues identified during audits are promptly rectified and incorporated competence and practical operational capabilities of tax
into assessments forming a virtuous cycle of promoting management through personnel. During the reporting period the Company
rectification and ensuring compliant business operations across the Company. paid total taxes of RMB 105.49 million.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 48
Business Ethics The Employee Code of Conduct has been formulated clearly defining provisions regarding business Integrity conduct standards conflicts of interest and commercial secret confidentiality. Employees are
Culture strictly prohibited from accepting improper benefits such as bribes or kickbacks from stakeholders
United Water upholds the principle of integrity in its operations adheres Development in business activities. Regular communication and training are conducted to ensure employees
to business conduct standards participates in market competition in deeply understand and strictly comply with the Code's requirements. Integrity agreements are
compliance with laws and regulations maintains a zero-tolerance principle signed with employees clarifying professional standards and red line to strengthen employees' Whistleblowing Email
towards corrupt practices opposes all forms of commercial bribery money business ethics awareness. Business ethics and anti-corruption training and case studies of warning jubao@united-water.com
laundering monopoly and unfair competition thereby strengthening its education activities are conducted to popularize business ethics and anti-corruption knowledge Whistleblowing Hotline
business ethics defense line. among all employees enhance their professional ethical standards and foster a clean and upright 021-52081230 52081231
culture within the Company. 52081232 ext. 851/301
Governance
The Company attaches great importance on integrity and honesty in the procurement process
The Company has establ ished a three-t ier management structure
comprising the Board of Directors the Board Audit Committee and the Supply Chain
strengthening business ethics and compliance management for suppliers. Anti-corruption clauses
Integrity are incorporated into contracts clearly specifying requirements for suppliers regarding integrity
Audit Department. The Board is responsible for urging management Management and business ethics resolutely opposing all forms of commercial bribery. Dedicated channels for
to foster an anti-fraud culture and improve the internal control system reporting violations are established and integrity promotion efforts are emphasized to build honest
covering fraud prevention whistleblowing acceptance and investigation transparent and clean cooperative relationships.handling. The Board authorizes the Board Audit Committee to guide the
Company's anti-fraud efforts while the Audit Department oversees the
implementation of business ethics and anti-corruption work. We have An effective internal whistleblowing and investigation mechanism has been established with a
formulated and continuously improves the Anti-Fraud and Whistleblowing dedicated reporting email address set up. Real-name reporting is encouraged and promoted.System the Integrity and Compliance Policy and the Employee Integrity Whistleblowers and reporters are explicitly protected during investigations and any illegal
Agreement to regulate the Company's business ethics and anti-corruption Whistleblowing discrimination retaliation or hostile actions against employees involved in investigations are
management. Mechanism
Improvement prohibited. Personnel who illegally disclose whistleblower information or retaliate against reporters
will be subject to removal from positions and termination of labor contracts and those violating the
Strategy and Management Approach law will be transferred to judiciary authorities for legal processing.Anti-Corruption and Anti-Fraud
Anti-Unfair Competition
We have establ ished a robust business ethics and anti-corruption
management system explicitly opposing all forms of bribery corruption The Company strictly complies with the Civil Code of the People's Republic of China the Anti-Unfair Competition Law of
fraudulent practices extortion fraud and other improper conduct that the People's Republic of China the Regulations on Prohibiting Infringement of Trade Secrets as well as anti-monopoly
violates business ethics standards. It promotes the construction of an and fair competition laws and regulations in countries where it operates. We adhere to the principles of fair and free
integrity culture strengthens supply chain integrity management maintains competition in all business activities comprehensively regulate our operations resolutely prohibit any unfair competition
open channels for reporting business ethics and anti-corruption violations practices and monopolistic behaviors and maintains a fair market competition environment. Additionally we commit to
and collaborates with employees suppliers and other partners to develop refraining from illegally obtaining competitors' commercial secrets or confidential information and avoid engaging in
a trustworthy and honest business environment. illegal activities such as collusive pricing with peers that disrupt market order.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 49
Impact Risk and Supply Chain Management
Opportunity Management
The quality resilience and sustainability of the supply chain are critical to United Water's achievement of stable development. Adhering to the principle of "mutually beneficial
The Company regularly reviews the effectiveness and relationships and long-term cooperation with suppliers and customers" the Company actively promotes the development of a sustainable supply chain improves risk prevention
compliance of its internal control system conducts and control mechanisms and builds a healthy and sustainable supply chain "ecosystem."
audits covering anti-corruption and anti-fraud
promptly rectifies issues identified during reviews
and audits and implements follow-up supervision. Governance
It actively manages potential business ethics risks
The Company strictly complies with relevant national laws and regulations including the Tendering and Bidding Law of the People's Republic of China and its implementing
in operational processes ensuring the Company's
regulations. It has formulated and continuously improves the Procurement Management System the Project Procurement Management System and the Bidding Management
sustained healthy and stable development.System consistently enhancing the standardization and normalization of supply chain management. A comprehensive supply chain management system has been established with a
Senior Vice President overseeing the Company's supply chain management. The Group Procurement Department and operating company procurement departments are responsible
for professional procurement management and daily organizational management respectively. Audit Department Finance Department and operating company finance departments
jointly supervise the entire procurement process with various departments cooperating closely and fulfilling their respective duties to ensure the stability and continuity of the
Metrics & Targets supply chain.We will focus on strengthening supervision over
corruption-prone links such as procurement and Strategy and Management Approach
project construction improving internal control
processes and r isk early warning mechanisms
promoting transparent operations and management. Standardized Procurement
Add i t i ona l l y we a re commi t ted to e f fec t i ve
prevention and curbing corrupt practices through
rigorous accountability. Comprehensive Strengthening Standardized Effectively Safeguarding Supplier Quality Control Procurement Management Rights and Interests
Procurement contracts clearly specify material Monthly company-wide meetings are organized including Throughout cooperation with suppliers the Company
technical standards and the handling and penalty training sessions on the new procurement system to help strictly adheres to relevant provisions in the Procurement
Full-process supervision of bidding measures for non-compl iance. For c r i t i ca l employees promptly grasp the latest procurement norms Management System and contract clauses promptly
evaluation for projects or procurements equipment key Quality Control Points (QCP) are and requirements. Specialized training on procurement completing invoice transfer and payment procedures.with a value of RMB 500000 or above established to oversee production processes and risk control is conducted to strengthen employees' risk Payment progress is tracked accordingly. Except for
94? pre-shipment inspections. Before warehousing awareness during the procurement process standardize special circumstances where consensus is reached with times materials the quality inspection department procurement practices and prevent potential risks. In suppliers payments are made strictly in accordance with
conducts tests in accordance with contract November 2025 the Company held the "Engineering contract terms effectively safeguarding the legitimate
stipulations. For certain materials that cannot be Project Procurement Management Training" covering r ights and interests of suppl iers. Furthermore the
tested in-house (such as activated carbon and fu l l -process management of eng ineer ing pro ject Company focuses on and supports the development
other chemicals) third-party inspections are material procurement and in-depth interpretation of of small and medium-sized suppliers prioritizing their
commissioned. After warehousing materials a project procurement systems and processes enhancing payments. During the reporting period there were no
warranty period is set for all items. procurement personnel's standardized management overdue payments to small and medium-sized enterprises
capabilities. and no supplier litigation incidents.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 50
Full-Process Control Promoting Growth
The Company continuously improves supplier lifecycle management establishing a full-process management system covering supplier development and admission evaluation and classification and and Mutual Benefit
exit thereby building a sustainable supply chain.The Company act ive ly empowers suppl iers by
Supplier Lifecycle Management continuously strengthening communication and
exchange promptly providing feedback on market
Supplier Development and Admission Evaluation and Classification Exit
dynamics and customer needs and offering targeted
Str ict ly control suppl ier entry standardize admiss ion Establish a comprehensive evaluation mechanism conduct annual supplier Suppl iers rated "Poor" in annual evaluat ions resources and assistance to help suppliers enhance
processes seek suppliers through multiple departments and assessments and classify suppliers into four grades: "Excellent" "Good" or those exper iencing major qua l i ty i ssues their core competitiveness and establish sustainable
channels collect and review supplier qualification materials "Average" and "Poor" based on assessment results. An annual supplier significant safety and environmental hazards or cooperative relationships. In 2025 we organized
and conduct on-site inspections to verify authenticity. evaluation report is produced serving as a basis for updating the Group serious integrity violations will have procurement visits and exchanges with 36 suppliers and hosted
20 supplier visits emphasizing requirements for
Companies with affiliated relationships are prohibited from Supplier Directory. Based on supplier classification results corresponding terminated and be removed from the supplier
classi f icat ion management measures are implemented including directory with a three-year prohibit ion from product quality control and ESG management and participating in bids and warnings and penalties are issued
consciously guiding suppliers to fulfill their social
for violations such as false documentation and bid rigging. prioritized procurement rectification and termination of procurement. participating in quotations or bids. responsibility.Impact Risk and
Management Supply Chain Risk Identification and Response
Establishing a sustainable and resilient supply Risk Category Risk Identification Response Measures
chain is a crucial guarantee for the Company's
stable operations. We actively conduct supply Assess suppliers' f inancial condit ion and operational stabil i ty Supply Establish a multi-supplier system seek and develop alternative suppliers sign supply guarantee understand their market position competitiveness and production
c h a i n r i s k i d e n t i f i ca t i o n a n d a s s e s s m e n t Disruption Risk contracts with breach penalties and compensation terms for supply interruption and strengthen equipment status and evaluate their production capacity and
defining control measures for potential risks and inventory management and determine appropriate safety stock levels.sustainable supply capability.strengthening communication and collaboration
with suppliers to ensure prompt corrective actions Monitor market dynamics track raw material market price indices
Negotiate prices with suppliers demonstrate procurement scale advantages sign long-term
can be taken when problems ar ise thereby Price Increase analyze changes in industry supply and demand understand suppliers'
Risk procurement contracts to secure favorable prices and optimize production processes to reduce raw safeguarding business continuity and supply raw material procurement costs maintain regular communication with material usage.stability. suppliers to establish price early warning mechanisms.Review suppliers' equity structures investigate potential familial or
Related-Party other connections between suppliers and internal personnel compare Clarify related-party transaction decision-making procedures and approval systems continuously
Transaction transaction prices with related or non-related suppliers and verify strengthen procurement personnel education. The internal supervisory bodies conduct regular special
Risk compliance of internal decision-making procedures for supplier audits on related-party transactions and encourage employees to report violations.selection and transactions.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 51
Strengthening Supply Chain ESG Risk Management Metrics & Targets
The Company actively focuses on ESG risks in the supply chain. The Procurement Management System and Supplier Code
Supply Chain Management Targets Achievement Status in 2025
of Conduct establish requirements for suppliers regarding integrity and compliance anti-corruption human rights health
workplace safety and environmental protection specifying that "under equal conditions priority is given to suppliers certified Production operations unaffected by supply chain anomalies
with quality management systems environmental management systems and occupational health and safety management
systems." For long-term cooperation critical equipment and material production enterprises we urge and require them to
Procurement process compliance rate: ≥ 99%
obtain quality environmental and health and safety system certifications. Additionally we have established a Supplier Blacklist
explicitly stipulating that violators of the Code will be added to the procurement blacklist. In 2025 seven suppliers were
On-time deliver y rate for project construction equipment and Achievedblacklisted the Supplier Blacklist and had cooperation terminated due to bid rigging or suspected bid rigging.materials: 100%
The Company deepens supplier integrity management by implementing strict cross-departmental supervision mechanisms
for all procurement activities incorporating anti-corruption clauses in contracts explicitly prohibiting any form of commercial
Quality management system certification rate for major production
bribery conducting integrity warning education in daily communications and training and establishing dedicated channels for
equipment suppliers: 100%
reporting violations to ensure suppliers adhere to business ethics standards and foster clean trustworthy and mutual benefit
cooperation relationships.Total number Proportion of suppliers with quality
of suppliers management system certification
142139.83%
Suppliers annual review Proportion of suppliers with environmental
and evaluation management system certification
30437.86%
Suppliers penalized for economic Proportion of suppliers with occupational
social or environmental violations health and safety management system certification
1 38.85 %2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 52
Safety Prevention Measures Safety Responsibility System
The Company has constructed a work safety responsibility system of "one position with dual responsibilities joint management across all levels" strengthening the
implementation of work safety responsibilities. A responsibility chain for fundamentally strengthening work safety has been established. The Company organizes
United Water integrates the principle of safe development into all aspects managers at all levels to sign work safety responsibility agreements promoting the strict implementation of the responsibilities of the "Three Management and Three
of its production and operations continuously improving its occupational Musts" and deeply integrating safety indicators into the KPI assessment system for construction projects. This builds an all-round responsibility network that covers
health and work safety management system establishing safety risk all aspects horizontally and reaches all levels vertically.prevention and control mechanisms and strengthening corporate
information security protection. This builds a solid safety defense line and
creates a stable and reliable operating environment. Safety Management Work Safety Targets Achievement Status in 2025
Informatization Major accidents and significant fire accidents: 0
Work Safety Management Th e C o m p a n y v i g o r o u s l y p r o m o t e s t h e Minor work-related injuries (including those caused by traffic accidents) informatizat ion of work safety management lost time injury frequency rate per million hours worked: ≤4
actively advancing the launch and operation of a
The Company strictly complies with the requirements of laws and smart safety platform integrating functions such Safety training completion rate: 100% Achieved
regulations such as the Work Safety Law of the People's Republic as daily safety management safety inspections
of China implements the principle of "Safety First Prevention First Emergency drill completion rate: 100%classif ied r isk control safety documentation
Comprehensive Governance" formulates the Work Safety Regulations and management and safety education and training. Safety hazard rectification rate: 100%
Operational Procedures Management System improves the work safety This helps the Company achieve standardized
management system perfects the production safety responsibility system Certificate holding rate for special operations personnel: 100%unified and intelligent safety management.and effectively carries out management actions to ensure the Company
upholds the bottom line of work safety.Work safety investment Major or above work safety incidents Work-related fatalities
Safety Management Structure Jiangsu United Water Technology Co.Ltd. and its four subsidiaries—Suqian RMB218 million 0 0
The Company has established a sound work safety management structure United Municipal Engineering Co. Ltd.focusing on work safety by establishing an EHS management system Suqian Minxin Water Quality Testing
and strengthening guarantees. The Group EHS Committee serves as Co. Ltd. Suqian Gengche Wastewater
the highest decision-making body for EHS management coordinates Treatment Co. Ltd. and Xianning
the Company's work safety management decisions. Six regional EHS United Municipal Engineering Co. Total work-related Workdays lost due to Injury frequency rate
injury rate work-related injuries per million hours worked
committees have been formed and each operat ing company has Ltd.—have obtained ISO 45001:2018
established an EHS management team. Operating companies with Occupational Health and Safety
more than 50 employees or higher risk profiles have established EHS Management System Certification 0.16% 85days 0.79
management departments or appointed EHS engineers to promote the
implementation of daily work safety management creating a safe healthy
and sustainable working environment for employees.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 53
Safety Risk Prevention and Control Emergency Management
The Company constructs a long-term mechanism for work safety continuously advancing the construction of a dual prevention mechanism The Company insists on closely integrating accident emergency
for classified safety risk control and hazard investigation and rectification strengthening safety risk prevention and control and enhancing its response with prevention work establishes a sound emergency Emergency drills conducted
work safety management capability. response mechanism cont inuously opt imizes emergency
management processes formulates comprehensive emergency 120 times
Conducting Safety Risk Identification Establishing an Accident Hazard Reporting Mechanism plans actively conducts various work safety accident emergency
drills. This enhances employees' practical capability for emergency Emergency drill participants
The Hazard Identification and Risk Assessment System has been An accident hazard reporting and reward mechanism
response and accident rescue ensuring orderly and efficient
formulated. Conduct risk identification and assessment work and has been implemented clarifying accident reporting
response to safety accidents. 1459
a comprehensive investigation of various safety risks establish and investigation processing procedures encouraging
a dynamic r isk data l ist promptly update r isk informat ion al l employees to act ively engage in work safety
and promote the "operationalization" and "refinement" of risk management promptly identifying and eliminating Case Conducting Liquid Chlorine Leak Emergency Drill
identification work ensuring the prevention and reduction of work potential safety hazards and enhancing employees'
safety accidents from the source. alertness to safety accidents and hazards. On October 29 2025 the Company organized a liquid chlorine leak emergency drill to effectively enhance
emergency response capability for sudden liquid chlorine leak accidents and strengthen employees' safety
Deepening Hazard Investigation and Rectification On-site Safety Management prevention awareness. The drill simulated an emergency scenario of liquid chlorine leakage in the chlorine
The Safety Inspection and Hazard Rectif ication Management The Company adheres and strictly implements the warehouse comprehensively covering all key aspects of emergency response after the accidents occurred.System has been formulated strictly implementing the normalized "Three Simultaneities" system for new construction This helped employees grasp basic knowledge and operational methods related to liquid chlorine leakage
mechan ism of "da i l y inspect ions week ly checks month ly renovation and expansion projects. Through pre- and plugging further improving their practical response capabilities for emergencies.superv is ion. " Rely ing on the safety management p lat form construct ion checks and s t r ic t contro ls dur ing
management of safety facilities and equipment is implemented construction potential safety hazards in construction
achieving self-reporting of hazards regular inspections special projects are effectively eliminated on-site safety is
rectif ications and tracking and statist ical analysis of safety practically guaranteed and the safety defense line for
hazard rectification. In 2025 the Company conducted 249 safety engineering is consolidated. Hazardous Chemicals Management
inspections and hazard investigations identifying 892 safety
hazards or problems with a 100% rectification rate. The Company strictly complies with relevant laws and regulations such as the Regulations on the Safety
Management of Hazardous Chemicals formulating systems including the Hazardous Waste Management
Case Intelligent Technology Empowering Construction Safety Management Regulations Hazardous Material Storage Management Regulations and Hazardous Substance Usage Management
Regulations establishing a full-process management system covering hazardous chemical procurement storage
In 2025 the Company piloted the Suqian Second Water Plant Phase V Project focused on key and transportation requisition and disposal. The Company has established a hazardous chemical inventory
aspects such as formwork supports and steel structures deepened the application of intelligent and dedicated hazardous chemical warehouses assigns qualified personnel to strictly implement entry and exit
The Suqian Second Water Plant
technologies and constructed a smart safety management system. Relying on the "Smart inspection and registration. Safety equipment and facilities are installed in hazardous chemical warehouses
Construction Site" platform it achieved the automatic warning and intelligent identification of Phase V Project hazardous waste storage areas and storage tanks ensuring explosion-proof lighting emergency lighting electrical
safety risks improving disposal efficiency. A closed-loop management mechanism from hazard was awarded the title of
"Jiangsu Province 2025 equipment and power transmission lines and equipped with explosion-proof ventilation systems. in strict discovery and reporting to rectification and closure was established ensuring all safety hazards accordance with hazardous chemical storage requirements the Company scientifically plans the storage areas to
were properly addressed and traceable. Through a series of innovative practices the Company has Construction Work Safety avoid mixed storage of incompatible hazardous chemicals. Additionally the Company regularly conducts laboratory
significantly improved the level of intelligence and refinement in construction safety management Standardized Site".safety knowledge training to improve employees' safe operation skills maximizing the safety of hazardous
laying a solid foundation for the future promotion of the smart safety management model.chemicals. During the reporting period no major accidents or penalties involving hazardous chemicals occurred.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 54
Safety Culture Development
Strengthening Daily Improving Working Conducting Testing Occupational Health Improving Safety
The Company continuously promotes the development of a safety culture organizes work safety publicity and employee work Protection Conditions and Evaluation Management Guarantees
safety education and training to enhance the red-line awareness and bottom-line thinking across all employees promoting the
deep integration and effective implementation of work safety principle and fostering a safety culture across the Company. Based on specific work Establish necessary Commission Regularly organize Provide
methods and conditions occupational disease qualified third- employees for comprehensive safety
provide employees with prevention measures party professional occupational health insurance protection
appropriate personal in workplaces and institutions to conduct checkups establish for employees by
protective equipment post occupational testing and evaluation health records purchasing employer's
and distribute it on time hazard warning of occupational and worker health liability insurance and
according to regulations notices to enhance disease hazard factors monitoring records work safety liability
to protect employees the safety of the in workplaces and and continuously insurance based on
from occupational working environment. disclose the results to follow-up employee different employee
hazard factors. employees. health status. situations.In March 2025 the Company organized confined In 2025 the Company conducted the "Safety
space operation safety training for employees of the Management Skills and Experience Exchange Occupational disease Employees participating Employees participating
Pipeline Network Department. Training Meeting." incidence rate in occupational health checkups in general health checkups
0%286898
Occupational health Occupational health Total occupational Average safety
and safety education and safety education health and safety training hours
Work safety liability insurance investment Employees covered Coverage rate
sessions participants education hours per employee
187? 2715 385.50? RMB345500 947 74.45%times hours 4.40?hours
Coverage rate of employer's
Employer's liability insurance investment Employees covered liability and work safety liability insurance
Occupational Health and Safety RMB140200 387 100%
The Company attaches importance on employees' occupational
health and safety strictly complies with the requirements of Occupational Health Achievement
relevant laws and regulations such as the Law of the People's Targets Status in 2025
Republic of China on the Prevention and Control of Occupational Work-related injury insurance investment Employees covered Coverage rate Employee occupational
Diseases and the Administrative Measures for the Reporting disease incidence rate: 0
of Occupational Hazard Projects establishes an occupational Achieved RMB780100 1272 100%
health and safety management system provides a safe working Employee occupational health
environment for employees to effectively protect employees from examination rate: 100%
occupational hazards.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 55
Information Security Protection
Information Security Protection Measures
The Company strictly complies with relevant laws and regulations such as the Data
Security Law of the People's Republic of China the Cybersecurity Law of the People's
Republic of China and the Personal Information Protection Law of the People's Republic * Zoning and management implemented with physical isolation maintained between designated areas.of China. It has formulated 18 management systems including the Information Security Physical * Deployment of foundational protection systems and devices includes electronic access control
Management Measures and the Cybersecurity Incident Reporting and Handling Security systems surveillance alarms UPS power supplies electromagnetic shielding lightning protection fire
Management System established an Information Security Leadership Group and suppression and waterproofing systems.integrated information security protection into the performance assessment indicators
for related personnel ensuring the effective implementation of information security * Utilize leading domestic cloud servers and supporting security products deploy systems such as
management work. Additionally the Company conducts comprehensive information routers switches firewalls anti-virus gateways and log auditing systems to enhance information Information
security management covering information system security construction information Security system attack resistance.* Improve network device self-protection policies implementing multi-factor authentication (MFA) for
asset security and cybersecurity effectively ensures network information data user identity verification through technical and administrative measures.security achieving information security that is controllable manageable and real-time
controllable.* User access to operating systems and databases requires authentication with unique user IDs enforced
Host
Security and shared accounts prohibited.* Adopt remote management protocols to safeguard authentication data from interception over networks.Suqian Industrial Control System Secondary Pump Application * Application systems enforce identity verification unique user identification checks complexity checks of
Room Management System and United Water Security identity authentication information and login failure handling mechanisms.Revenue System obtained
Classified Cybersecurity Protection * Regular backups are performed for business application data and device configuration files.Level 3 Certification Data
Security * Backup copies are stored locally and offsite: local backups are periodically copied to secondary servers
while cloud servers utilize offsite storage for backup data.Information security Information security Attack-defense * The Personnel Security Management Regulations is formulated to manage recruitment performance
training sessions conducted training participants drills conducted reviews non-disclosure agreements training and offboarding procedures.
2 850 2 * Regularly conduct security awareness and skill assessments organize safety education and training and send key personnel to participate in external information network security management skill enhancement training to strengthen employees' information security awareness.
* Engage security evaluation providers and cybersecurity associations to conduct simulated attack-
Personnel
Management defense drills testing the effectiveness and vulnerabilities of the security protection system.* Organize group-wide email security exercises to improve employee safety awareness and emergency
Data security and privacy Information response capabilities.protection disputes leakage incidents * Implement temporary management for third-party personnel requiring them to sign confidentiality
agreements specifying security responsibilities with access restrictions and supervision by designated
0 0 staff.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 56
Advanced
Technology
R&D Personnel
7
R&D Investment
RMB?3.26?million
Cumulative Number of Registered Patents
30
Cumulative Number of Software Copyrights
13
Contributing to UN SDGs2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 57
Achieved Outcomes
Digital Intelligence Empowerment Optimized Safety early Ehanced Reduced energy scheduling warning efficiency consumption
United Water aligns with the trend of digital development actively promoting information technology construction
transformation and upgrading. Through the systematic deployment of information technology and intelligent
equipment the Company has achieved deep integration and unified management of multi-source data Core Technical Support
encompassing production customer service pipeline networks users and the supply chain. This breaks down
information silos and drives water utility operations towards automation digitization collaboration and intelligence
DMA (District Metered Area) SCADA (Supervisory Control and Data GIS (Geographic Information Production scheduling
significantly enhancing the scientific nature of decision-making and execution efficiency. district metering management Acquisition) monitoring system System) pipeline networks systems
District Metering Equipment Laboratory Data collection
Governance System (DMS) management system management system system
Security systems
The Company's Information Management Department directly led by a Senior Vice President is responsible
for planning the medium-to-long-term information system construction enhancing the integration of various Key Fields of 2025 Information Technology Construction
information systems to progressively achieve inter-connectivity high efficiency and intelligence and is fully
responsible for the information security. The Information Management Department undertakes the overall
governance of information security and digital development providing a solid guarantee for the Company's digital Large work Bank-enterprise Xianning United
Sanmenxia
operations and data asset security. order system direct connection Water hydraulic
United Water
construction system model system
digital management
construction construction platform
construction
Case Upgrading GIS Collection and District Metering Systems to Enhance Refined Water Utility Operations
Strategy and Management Approach In May 2025 Xianning United Water officially launched the GIS integrated collection system construction project.Based on the Android mobile platform and integrating high-precision positioning technology it achieved full
digitization of field surveying and mapping eliminating manual transcription errors and significantly improving the
In 2025 United Water continuously deepens its smart water utility transformation established a group-level digital management efficiency of data collection and warehousing. Furthermore Xianning United Water has been constructing a DMA
platform integrated multiple underlying technical systems and implemented diverse intelligent applications such as robotic district metering system since 2024. In 2025 this project focused on deepening construction in the old Xian'an urban
dog intelligent inspections smart dosing optimization and unmanned surface vehicles for water environment management. The area. By large-scale installation of 112 online flow meters and remote transmission assessment metes at key nodes
smart security system was upgraded providing scientific decision-supporting for key production operation activities. Ultimately such as urban main pipelines branch pipelines and community inlets a full-domain real-time monitoring network was
the Company has achieved remarkable results in rational scheduling safety early warning efficiency improvement and energy constructed. Relying on the data leakage early warning and precise inspection and repair were achieved forming a
consumption reduction driving the in-depth integration of digital technology with water production and operations. (For more on "monitoring-disposal" closed-loop management system and effectively controlling the leakage rate.smart water utilities see "Special Feature: Transformations Synergy: Charting a New Course for 'Digital + Low-Carbon' Water Utilities")2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 58
R&D Innovation
United Water adheres to innovation-led development relying on its subsidiary BoRuiSi R&D platform to deepen the integration of technological innovation and industrial
upgrading. It actively expands industry-research cooperation and accelerates the transformation of R&D achievements into practical applications. The Company consistently
upholds scientific ethics attaches high importance to intellectual property protection respects and safeguards the innovative achievements of partners and resolutely
Impact Risk and prohibits any infringement.Opportunity Management
Governance Strategy and Management Approach
United Water deepens its information security management conducts
comprehensive work in areas such as information system security Adhering to an innovation-driven development strategy the
construction information asset security cybersecurity and information Company attaches high importance on R&D innovation. Its wholly-
system emergency plans and carries out information security attack- owned subsidiary Shanghai Bo Rui Si Environmental Technology Talent Team Development
defense drills. These effectively prevent and mitigate security risks in the Co. Ltd. serves as a platform dedicated to technological R&D
digital and intelligent transformation process building a solid security and innovation. Relying on the Group's operating companies it
barrier for the stable operation of the smart water utility system. systematically conducts R&D work targeting technical difficulties
across the business chains of water supply wastewater treatment Talent Recruitment and Development
and resource utilization and water environment management
To build a research-oriented talent team with a scientific structure and sustainable innovation
and has established a water technology R&D practice base. capacity the Company systematically advances talent work around the goals of "addressing
BoRuiSi has established a comprehensive R&D and innovation weaknesses strengthening core members and cultivating echelon." We have established a "project-
empowered" training system for technical core members and implement a "project tackling"
management system. Vertically it has constructed an R&D
Metrics & Targets driven training model placing them in charge of important projects granting them "project leader structure of "One Institute Four Divisions": the Low-Carbon responsibility" and activating their internal motivation. Additionally we implement a "targeted talent
Industry Research Institute Equipment R&D Division Chemical attraction" strategy to precisely recruit professionals in fields such as intelligent equipment accurately
R&D Division Biological R&D Division and Smart R&D Division. matching the R&D needs for intelligent equipment. Furthermore top experts from institutions like the
Digital Intelligence Empowerment Achievement Horizontally following the Company's business distribution it Chinese Academy of Sciences and the Chinese Research Academy of Environmental Sciences are
Targets Status in 2025 forms a "core and branch" R&D system continuously producing flexibly engaged for specialized technical cooperation.competit ive technological achievements such as process
Complete the construction of the United Water
headquarters bank-enterprise interconnection packages equipment and chemicals. This builds a technological
system layout covering the entire industrial chain of "plant-network-
river integration" enhancing the core competitiveness of the Innovation Incentives
Complete the construction of the Sanmenxia Achieved Company's technology engine platform. To ensure the efficient
United Water digital management platform operation of the R&D system BoRuiSi continuously improves The Company has formulated internal incent ive systems including the Measures for the
Complete the construction of the Xianning relevant systems formulating internal management systems
Implementation and Incentives of Scientific and Technological Achievement Transformation the
Performance Appraisal and Incentive System for R&D Personnel the Management System for
United Water hydraulic model system including the Open Innovation and Entrepreneurship Platform the Open Innovation and Entrepreneurship Platform and Growing Together with the Enterprise
Management System Technology Achievement Transformation accompanied by corresponding performance and honor incentives to stimulate internal motivation.Implementation and Incentive Reward Measures R&D Personnel Additionally we focus on creating a "full-cycle incentive" ecosystem establishing a dual incentive
Performance Assessment and Reward System and Intellectual system of "base salary + achievement rewards" providing corresponding rewards based on
Property Management System providing solid institutional intellectual property achievements and offering supporting services such as housing subsidies for
support for technological innovation. high-level talents comprehensively building a sound ecosystem for talent development and retention.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 59
R&D Innovation Achievements Case Application of Smart Unmanned Surface Vehicle for Water Environment Management
Focusing on smart water equipment R&D the Company concentrates on three core directions: optimization of water
supply technologies innovation in wastewater treatment and resource utilization and innovation and upgrading of
From January to December 2025 the smart unmanned
water environment management solutions. Supported by core technological products such as smart dosing systems
surface vehicle for water environment management
intelligent inspection robots and smart unmanned surface vehicles for water environment management these have been
conducted routine operation and maintenance tasks
implemented and proven effective in regions such as Shanghai Suqian in Jiangsu Province and Xianning in Hubei Province.on the 120000-square-meter Yangjia Lake in Chibi
City after water environment treatment. Replacing
Shanghai Bo Rui Si Environmental Technology Co. Ltd. has been recognized as traditional manual operation modes it undertook tasks
such as water surface cleaning dynamic water quality
Shanghai High-Tech Enterprise monitor ing and precise aquatic plant harvest ing
Shanghai Innovative Small and Medium-sized Enterprise significantly improving the efficiency and refinement
Shanghai Science and Technology Small and Medium-sized Enterprise level of lake operat ion and maintenance through
intelligent methods. The relevant results and practical
achievements were highly recognized by the owner unit.District-Level Awards
Enterprise High-Growth Project in Zhangjiang High-Tech Park In May 2025 the smart unmanned surface vehicle for
Qingpu Park and Xicen Park water environment management was transported to
2024 Shanghai Science and Technology Small and Medium-sized the banks of the Suzhou Creek in Shanghai where
Enterprise Technological Innovation Fund Project it conducted intelligent cruising and maintenance
operations. By simulating complex working conditions
Tongxiang Shenhe Water Co. Ltd. has been recognized as such as different water flow speeds wind conditions
and high-speed vessel disturbances it performed
water surface cleaning and water quality monitoring in
Zhejiang Province Science and Technology Small and Medium-
the operational section fully verifying its adaptability
sized Enterprise
and reliability in urban open waters.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 60
Strengthening Industry-University-Research Cooperation
United Water actively practices the integrated development model of "industry-university-research-application" fully leveraging its leading role as an enterprise collaborating with universities and research institutes integrating their advantages in research field
professional talents and platform resources and promoting the efficient chain of technological R&D achievement transformation and industrial application.Case Research on Ecological Advanced Pur i f icat ion Technology for Wastewater Treatment Plant Tailwater Case United Water Actively Participates in Industry Exchanges
BoRuiSi in collaboration with the Chinese Research Academy of
Environmental Sciences and Hubei University jointly carried out an
industry-university-research collaborative innovation project—Research
on Ecological Advanced Purif ication Technology for Wastewater On October 22 2025 United Water showcased its "Smart Unmanned
Treatment Plant Tai lwater—focusing on cooperation in the R&D Surface Vehicle for Water Environment Management" at the Jiangsu Water
and engineering transformation of advanced tailwater purification Association and Sponge City Alliance Annual Conference. This product utilizes
technologies. During the reporting period the project has completed a new energy unmanned vehicle as a carrier integrating an advanced water
novelty search scientific and technological achievements for three core environment smart management system comprehensively demonstrating
innovation points and obtained corresponding novelty search reports United Water's cutting-edge achievements in empowering high-quality
had one paper accepted by a core journal and filed applications for two development through innovative technology.utility model patents. This project established a collaborative innovation
model of "enterprise + research institute + university" achieving precise
alignment between technological R&D and industrial needs.From April 26 to 28 2025 the 3rd China (Anhui) Science
and Technology Innovation Achievement Transformation and
Trade Fair (a national-level benchmark platform) hosted
by the Anhui Provincial People's Government and themed
"Technology Leads the Way Innovation Wins the Future" was
held in Hefei. United Water made a striking appearance with
its smart unmanned surface vehicle for water environment
management showcasing the vehicle's technical features and
application advantages to audiences from all walks of life
highlighting the Company's innovative strength in the field
of smart water management and providing new solutions for
water environment management.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 61
Innovative Industrial Investment Intellectual Property Protection
United Water invested and participated in establishing Shanghai Yixin Hengsheng Venture Capital Partnership (Limited Partnership)
through its wholly-owned subsidiary Shanghai Deshenshanhe Technology Development Co. Ltd.. This specialized fund platform United Water strictly complies with laws regulations and policy requirements such as the Patent Law
serves as the Company's core investment vehicle for dual carbon ESG technology advanced manufacturing and new materials of the People's Republic of China the Copyright Law of the People's Republic of China the Trademark
focusing on exploring cutting-edge technologies integrating industrial chain resources and achieving extensional development. Since Law of the People's Republic of China and the Guidelines on Strengthening Intellectual Property
its establishment it has successfully invested in four projects empowering innovation through industrial investment and driving the Protection. It promotes the formulation and implementation of internal management systems by its
Company's sustainable development through innovation. subsidiary BoRuiSi including the Intellectual Property Management System and the R&D Organization
Management System comprehensively standardizing the entire process of intellectual property creation
An automotive intell igent application management and protection. A dedicated intellectual property management position has
A professional enterprise engages
c o m p o n e n t e n t e r p r i s e been established responsible for conducting intellectual property supervision work fully safeguarding
in the R&D design production and
integrates aerodynamics
test ing of special l ight sources. I t the Company's legitimate intellectual property rights. In September 2025 BoRuiSi completed the annual
inte l l igent l ight sources Project 1
develops and manufactures various supervision and transition audit of its intellectual property management system achieving continuous
intelligent interaction and
specifications of repetitive pulse xenon compliance with the GB/T 29490-2023 standard.p re c i s i o n i n t e r i o r s a n d
(krypton) lamps continuous xenon
exteriors trims. It contributes
(krypton) lamps and non-standard
to driving the intelligent and
special l ight sources. Products are
low-carbon development of
applied in industries such as laser
the automotive industry and
Project 2 welding cutt ing and beauty. This shaping the new future of
co m p a n y h a s b e e n s u cce s s f u l l y
the new energy sector.included in the third batch of science
and techno logy-based sma l l and
medium-sized enterprises in Zhejiang
Province for 2025.A science and technology-
based enterprise focuses Project 3
on the development and
application of electrolysis A high-tech enterprise focuses on the
technology. Its core products R&D and innovation of new material
are mainly used in key fields technologies. Its core business covers BoRuiSi Intellectual Property Compliance Management System Certificate
such as integrated circuit the R&D production and application
c l e a n i n g f l u i d s Ly o ce l l of Metal-Organic Frameworks (MOFs)
fiber production molecular Project 4 powder. It is committed to providing Case Conducting Patent Training to Enhance Employees' Innovation Capability
sieve templates for coal- high-performance material solutions
to-o le f ins and cata lys ts for the industrial sector and addressing On April 18 2025 the Company organized a company-wide patent training session. This training
for the polymerizat ion of the challenges of traditional materials
in terms of performance cost and focused on "How to Efficiently Identify Patent Authorization Points in Technological R&D: An organosilicon products.env i ronmental protect ion through Analysis of the Idea of Invention by Application Transfer" aiming to guide employees to break
independent R&D and technological through traditional R&D thinking grasp methods and pathways for transforming technological
breakthroughs. achievements into high-quality patents and to achieve a key shift from "technical thinking" to
"patent thinking."2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 62
Impact Risk and Opportunity Management
To ensure the steady progress of R&D activities United Water has constructed a closed-loop risk management The Company has established a sound closed-loop risk management system of "identification—assessment—
mechanism systematically identifying three key risks closely related to R&D innovation and formulates targeted control—monitoring" ensuring early identification assessment and timely risk treatment.response measures effectively enhancing risk prevention and control capabilities and ensuring the steady advancement
of innovation activities.Adopt a combination of
qualitative and quantitative
Risk Specific Description Response Measures Establish risk monitoring methods to comprehensively records and dynamic
Establish a "three- assess risks from dimensions tracking mechanisms
* Clearly stipulate the scope of use the parties' dimensional identification such as the impact on core regularly update risk
system" vertically through the
background intellectual property in cooperation parameters and probability treatment progress
* Intellectual property entire R&D project lifecycle agreements and the ownership of foreground of occurrence. Scientifically
R&D Cooperation achieve closed-loop horizontally coordinate with
ownership issues arising i n t e l l e c t u a l p ro p e r t y g e n e ra t e d f r o m t h e classify the identified risks
Risk management throughout multiple departments and
from cooperation cooperation benefit distribution mechanisms conduct special assessments the entire process and
focus on key nodes such as
confidentiality obligations and liability for breach and update risk levels. ensure risk prevention
talent mobility and contract
of contract to avoid disputes. and control measures
performance. Through this Risk remain continuously
triple mechanism of "cross- Assessment
effective and optimized.departmental joint review +
* Excessively long R&D self-review + external
procurement cycles for core * For core components sign long-term cooperation audit" systematic and
Resource components or materials agreements with suppliers to ensure supply and Risk Control
forward-looking identification and
Guarantee Risk required for R&D affecting establish a backup supplier database to shorten
of risks is achieved. Monitoring
project progress and procurement cycles.production arrangements Risk
Identification
* Establ ish a dual rev iew mechanism of "se l f-
* Duplicate intellectual application + external review." The R&D department
property applications or uniformly registers and conducts prel iminary
inappropriate scope of reviews with professional agencies conducting
Intellectual Property
claims resulting in failure to secondary reviews to avoid duplicate applications
Application and
obtain effective protection or infringement.Protection Risk
* Company's own intellectual * Engage agencies wi th legal backgrounds to
property infringed by conduct regular infringement searches in market
others and technology fields to prevent infringement
incidents.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 63
Metrics & Targets
The core objective of the Company's R&D innovation is to achieve "cost reduction and efficiency enhancement low-
carbon and environmental protection" in its water utility operations through technological breakthroughs and management
optimization. Centering on this objective the Company is progressively building an intelligent equipment matrix covering the
entire industrial chain of "water plants networks stations rivers and lakes" to achieve intelligent layout across all scenarios
from source water monitoring to end-treatment. With a quantitative metrics of no less than 8 new patents annually we are
steadily improving the Company's independent intellectual property system ultimately achieving a win-win situation for both
corporate economic benefits and social benefits.R&D Innovation Targets(BoRuiSi) Achievement Status in 2025
Science and Technology Soft Power Achievements
* Project aimed at strengthening core technology * 3 invention patents 10 utility model patents 1
barriers planning to submit 3 invention patents 10 design patent and 1 software copyright have been
utility model patents 1 design patent and 1 software submitted.copyright.Honors and Awards * Recognition as a Science and Technology Small
* Enhance industr y recognit ion and standardized and Medium-sized. Enterprise completed.management level through qualification recognition * Annual superv is ion audi t of the Inte l lectua l
and system construction. Targets included completing Proper ty Management Sys tem cer t i f i ca t ion
the recognition as a Science and Technology Small completed certificate issued.a n d M e d i u m - s i z e d E n t e r p r i s e c o m p l e t i n g t h e * Application for the 2025 Enterprise High-Growth annual supervision audit of the Intellectual Property
Management System certification and applying for Project in Zhangjiang High-Tech Park Qingpu Park
the 2025 Enterprise High-Growth Project in Zhangjiang and Xicen Park submitted and project approved.High-Tech Park Qingpu Park and Xicen Park.R&D Investment New patent applications New registered Cumulative number of
3.26 filed in 2025 patents added in 2025 registered patentsRMB million 14 12 30
R&D New software copyrights New software copyrights Cumulative number of
Personnel applications filed in 2025 added in 2025 software copyrights
7 1 1 132025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 64
Talent
Oriented
Total Employees
1272
Overseas Localization Hiring Rate
98.41%
Total Employee Training Investment
RMB?831100
Total Employee Training Hours
32423.62 hours
Contributing to UN SDGs2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 65
Employment and Employee Talent Attraction
Rights Protection Adhering to the principle of equal employment the Company has formulated the Recruitment Management Measures to standardize employee
recruitment processes and improve talent selection mechanisms. We diversify our recruitment channels adopting approaches such as "online
Talent is the core competitiveness of enterprise development and the cornerstone for United Water to achieve + offline" and "external recruitment + internal referral." By organizing offline information sessions participating in recruitment fairs at renowned
sustainable development. The Company adheres to the principle of equal employment continuously strengthens universities special offline recruitment fairs for disabled graduates and veterans organizing social recruitment and conducting school-enterprise
talent team development provides employees with competitive compensation and benefits smooths the cooperation the Company attracts talent through multiple channels and widely recruits outstanding talent reserving talent resources for the
channels for democratic communication and effectively safeguards employee rights and interests. Company's development.Adherence to Compliant Employment Overseas Project Talent Reserves School-Enterprise Cooperation Talent Support
Labor and Human Rights Management In line with its overseas business development United Water and its subsidiaries actively explore plans and realities United Water has created new pathways for school-enterprise cooperation
The Company strictly complies with national laws and regulations including the Labor Law of the People's an overseas talent pool through external by part ic ipat ing in campus recrui tment Jingzhou Shenlian Environment
introduction and internal cultivation. organizing specialized information sessions was approved as a University
Republic of China the Labor Contract Law of the People's Republic of China the Law on the Protection of conducting regular exchanges and visits and Graduate Employment
Minors and the Provisions on the Prohibition of Child Labor as well as legal policies in overseas operating External Introduction arranging student internships and practical Internship Base in Jingzhou
locations. It also adheres to international human rights norms such as the International Bill of Human Rights Economic Development Zone.The Company actively participates in human training. These efforts build diverse platforms
International Labour Conventions the ILO Declaration on Fundamental Principles and Rights at Work and resource management forums for Chinese for exchanging knowledge and practical skills
the UN Guiding Principles on Business and Human Rights. Additionally the Company has formulated systems enterprises going global to understand talent supplying the Company with professional talent. · H elan United Water and Ningxia Hongze
including the Recruitment Management Measures Recruitment Management Process Employee Handbook management experiences and recruitment · U nited Water continues to engage in in- Water Purification Company respectively
channels for overseas expansion. Additionally depth cooperation with universities such established school-enterprise cooperation and Corporate Culture and Values Manual . These systems explicitly prohibit child labor forced labor and it engages with specialized overseas talent as Shanghai Jiao Tong University Tongji with Ningxia Construction Vocational and
inappropriate behaviors such as humiliation threats or harassment stipulate relevant provisions on occupational exchange communities to conduct recruitment University Hohai University and Yangzhou Technical College and Ningxia Institute of
health and safety and opposes all forms of discrimination based on gender ethnicity religion or age thereby and establishes connections with human U n i v e r s i t y p a r t i c i p a t i n g i n c a m p u s Technology continuously enhancing talent
establishing a comprehensive labor rights protection system. In 2025 the Company had no incidents of employee resource service providers who have already recruitment fairs and conducting targeted development through management trainees
discrimination or other human rights-related violations. expanded overseas. By advancing to understand information sessions.internships and academic exchanges.the local talent market and employment
The Company respects and protects human rights actively advances the prevention of human rights risk policies we establish the cooperation for · X i a n n i n g U n i t e d W a t e r r e n e w e d
regularly reviews operating companies for potential illegal employment practices or human rights risks during talent recruitment laying the foundation t h e c o o p e ra t i o n a g r e e m e n t f o r t h e undergraduate teaching internship base
employment and organizes training on the Employee Handbook to disseminate and implement the Company's for international talent reserves for overseas
projects. with Wuhan Univers i ty of Science and
provisions on anti-discrimination anti-harassment anti-child labor and forced labor. Furthermore the Company Technology providing on-site vis it and
strictly complies with the Regulations on Ensuring Wage Payment for Migrant Workers fully safeguarding the internship activities for 60 teachers and
legitimate rights and interests of migrant workers. Internal Cultivation students and offering short-term internships For seasoned professionals with profound for 7 students.industry experienced and extensive expertise the
Company provides opportunities for language · Jingzhou Shenlian Environment conducted
Labor contract signing rate Social insurance coverage rate learning and proficiency improvement training. in-depth exchanges with Yangtze University
100 100 For young talents with outstanding educational
and collaborated with the Hubei regional
% % backgrounds and strong personal capabilities
p r o d u c t i o n t e c h n o l o g y a n d h u m a n
it intensifies cultivation efforts to achieve resources teams to organize interviews for Teachers and students from Wuhan University of Science and
sustainable supply of the talent echelon. graduates from multiple universities.Technology visited the Wangying Water Plant of Xianning United
Water for internship and water treatment processes learning.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 66
335154
890
382
Total Employees New Hires During Number of Newly 321888
1272 Reporting Period Hired Fresh Graduates
49218
99 20 Employee Count Employee Count by Employee Count
by Gender Education Level by Age Group
579
Employee Turnover Rate Employee Turnover Rate
by Gender(%) by Age Group(%)
Male Employees Employees with Associate Degree or Below Employees Aged 30 and Below Employees Aged 41-50
22.42 Female Employees Employees with Bachelor's Degree Employees Aged 31-40 Employees Aged
Employees with Master's/MBA Degree or Above 51 and Above
11.5312.5911.49
Annual Employee 8.91 202
Turnover Rate 1042 1207
11.9128%
Male Female Employees Employees Employees 65
Employee Employee Aged 30 Aged 31-50 Aged 51 and Employee Count Employee Count
and Below Above
by Hierarchy by Region
Note: During the reporting period the Company had a total of 1272 regular employees and
57 dispatched workers.
Senior Management Middle Management General Staff Domestic Employees Overseas Employees2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 67
Compensation and Optimizing Compensation and Benefits
Benefits Incentives
The Company has constructed a differentiated · Establish a compensation system that is both externally competitive and internally equitable fully boosting employees' work initiative.compensat ion management system l inked to · F ormulate systems such as the Group Project Company Excess Performance Incentive Scheme the "Growing Together with the Enterprise" Internal Reward System and the
job value individual capability and performance Internal Talent Referral Reward Measures. Revise the Management and Incentive System for Professional Titles and Vocational Qualifications the New Project (Business)
Compensation
c o n t r i b u t i o n s p r o v i d i n g e m p l o y e e s w i t h Development Bonus Incentive Scheme the Construction Project Team Incentive Scheme and the Group's "President's Special Award" selection process improving
Incentives
competitive compensation levels in the industry. diversified bonus incentive mechanisms.It continuously optimizes the employee welfare
security system enhances employees' sense of · P ay the five social insurances and one housing fund for employees in full and on time. Formulate the Employee Accident Insurance Policy purchasing employer's liability
happiness and belonging deepens value co- insurance for engineering field service and on-site operation employees travel accident insurance for employees with frequent business trips and providing work safety
creation interest sharing and risk sharing between liability insurance for employees in certain regions and positions.the enterprise and employees thereby building a · In addition to statutory holidays ensure every employee enjoys paid annual leave marriage leave and bereavement leave. Follow the Employee Benefits Policy for Major
closer community of shared purpose. Holidays providing employees with holiday benefits work meals condolence payments and offering diversified benefits such as position-adapted seasonal allowances
Benefits meal subsidies and transportation subsidies.Parental leave return-to-work rate Security · Regularly organize employee health checkups providing additional health protection measures for overseas project employees and certain special position employees.
97.44? · Formulate the Management Regulations for Mid-to-Long-Term Expatriate and Seconded Employees and the Compensation and Benefits Management Regulations for % Employees Stationed in Bangladesh Projects providing expatriate employees with benefits such as expatriate subsidies housing security and monthly paid leave for home
visits.Maternity leave female employee retention rate
85.71?%
Standardizing Performance
Management Performance Goal System Performance Feedback and Appeals Closed-Loop Performance Management
The Company formula tes and improves the
Performance Management System establishing Establish a three-tier performance Through daily communication between superiors Establish a closed-loop performance
r i g o ro u s i n d i ca to r rev i ew a n d a s s e s s m e n t goal system at the "corporate and subordinates as well as quarterly reviews and management system covering five
processes promoting continuous improvement departmental and employee year-end performance interview mechanisms timely stages: goal sett ing cont inuous
and upgrading of the performance appraisal levels." Indicators combine KPIs communicate employees' strengths and existing feedback daily training performance
system. Additionally the Company formulates and OKRs covering performance problems helping employees improve individual evaluation and employee development
t h e O p e ra t i o n a l M a n a g e m e n t A s s e s s m e n t
Standardsintegrating ESG performance such as results job behaviors competency performance. improvement. This helps employees
energy conservation and consumption reduction and other dimensions clarifying Establish smooth channels for employee performance continuously improve and optimize
environmental protection and occupational health business priorities and assessing feedback and appeal. For feedback on performance in practical work enhancing their
and safety into the performance appraisal system. employees' performance from appraisals establish an appeal handling team to conduct professional competitiveness.While optimizing performance appraisal indicators
this helps the Company enhance its sustainable multiple levels and dimensions. analysis and evaluation and make appropriate decisions.development capabilities.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 68
Strengthening Democratic Management Information Transparency
The Company actively listens to employee voices fosters a harmonious labor relationship and effectively safeguards ·B roadening Communication Channels: Implement a "double-channel integration" model utilizing online and offline
employees' rights to information participation expression and supervision. It has established a democratic management channels such as the OA system WeChat public accounts bulletin boards and workshop display boards to ensure
system with the Staff Congress as the basic form ensuring employees' participation in democratic supervision and employees are promptly informed of company policies and relevant matters.management in accordance with the law. In 2025 we established employee representative directors on the Board of ·R efining Information Disclosure Details: Specify that the Company's development plans remuneration social insurance
Directors enabling employees to deeply participate in the Company's major decision-making processes fully safeguarding and benefits and employee rewards and disciplinary actions are disclosed to employees facilitating the effective
employees' democratic management rights and making Board decisions more aligned with the actual needs of employees implementation of internal policies and systems and safeguarding employees' right to information and supervision.and the enterprise.Communication and Feedback
· Establishing Communication and Feedback Mechanisms: Set up diverse and smooth communication channels such as
seminars the Staff Congress and suggestion boxes. Assign dedicated personnel to regularly summarize collected
opinions and suggestions and adopt and implement appropriate suggestions ensuring that employee demands
receive timely responses.·A dvancing Digital Empowerment: Build the "Cloud Home" online platform and establishes modules for employee
services and supervision to create an "accessible democratic window" and enhance the efficiency of democratic
management.Employee Satisfaction
· Interviews with Group Functional Lines: Group operations management finance human resources procurement and
other lines interviewed team members from corresponding lines in project companies to understand the implementation
of systems existing problems and service needs from group functional departments. They also gathered information on
local business operations and compensation levels conducted internal compensation comparisons with external analysis
and provided adjustment suggestions.·I nterviews with Management Teams within Project Companies: Communicated with middle and first-line managers to
understand their perspectives on subordinates' work capabilities team execution and talent development. Communicated
with employees to understand their feelings about superiors' management styles the reasonableness of work assignment
Labor union Labor union Staff Congress All-employee
and support for individual growth.members membership rate sessions held meetings held
997 78.38 4 4 ·E xchanges between HR and Heads of Business and Other Functional Departments and Employees: Understood actual % obstacles encountered by various departments in collaboration and their support needs for HR management work.
Understood employee satisfaction with career development (including promotion pathways training opportunities and job
growth) as well as compensation levels and benefits policies facilitating optimization and improvement.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 69
Diverse Workplace
and Employee Care
United Water attaches importance on humanistic care
for employees promotes work-life balance and strives
to create a diverse equitable and inclusive workplace
environment.Promoting Equality and Inclusion
The Company adheres to the principles of fairness and justice providing equal opportunities and treatment to every employee in all
aspects including recruitment training promotion and compensation incentives. We integrate the concepts of diversity equity and
inclusion into our operational systems continuously enhancing inclusion in workplace and ensuring that all employees regardless of age Proportion of female employees Proportion of employees Proportion of ethnic
gender ethnicity nationality or religious belief are treated fairly. Furthermore we strengthen local employee recruitment promoting in middle and senior management with disabilities minority employees
local employment and improving the quality of life for local residents. 25.65% 0.16% 1.81%
Supporting Women's Encouraging Overseas
Career Development Talent Growth
·S afeguarding Female Employees' Rights: Strictly comply
with relevant national laws and regulations to ensure female ·A ctively implement localization hiring policies in Bangladesh
implementing localized talent recruitment and development. In the Local employees hired Localization hiring rate Local senior executives employees enjoy rights during pregnancy childbirth lactation
initial phase dispatched employees provided one-on-one guidance in overseas operations in overseas operations hired in overseas operationsand parental leave. Jingzhou Shenlian Water and Jingzhou
Shenlian Environment conducted investigations and analyses to local employees to enhance their technical capabilities. 62 98.41% 1
of compensation structures to promptly identify and refine ·I mplement a recruitment program for Bangladeshi students
inappropriate situations ensuring that employees in equal developing specialized training for international assignees to help
positions receive equal pay regardless of gender. them adapt to culture and language and understand local business
· Promoting Female Employees' Growth: Provide fair training practices. Provide multilingual communication materials to meet the
opportunities for female employees assisting them in needs of employees from different language backgrounds. Proportion of local senior Total training hours for Total number of overseas
continuously improving their skills and encourage and cultivate executives in overseas operations overseas employees employees trained
female employees for management positions ensuring · Establish an Employee Assistance Program (EAP) to provide
that capable employees can fully participate in company counseling services for employees facing personal or professional 50% 160hours 50
management. challenges.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 70
Employee Care and Support Initiatives
Suizhou United Water
organized a DIY Xianning United
pressed flower lamp Water visited families The Company consistently places employee care in a crucial position
activity for International of employees in vigorously assisting employees in difficulty safeguarding the health of
Women's Day. difficulty.frontline employees caring for female and retired employees and actively Assisted
providing proactive and preventive mental health support to employees. disadvantaged
In 2025 we organized training seminars for new employees to popularize employees
techniques for stress management emotional regulation and effective
communication. We also guided department heads and mentors to pay 3
attention to the psychological dynamics of new employees helped them Xianning United Xianning United
balance work expectations with practical challenges and fostered a Water organized
a Double Ninth Water visited
positive and optimistic workplace mindset demonstrating the Company's Festival activity for frontline employees
humanistic care and sense of responsibility. retired employees. at water plants.Work-Life Balance
The Company focuses on work-life balance for employees providing abundant and diverse cultural and recreational activities to enhance employees' sense of belonging and happiness and fostering a harmonious and cohesive team atmosphere.Helan United Water and Ningxia Hongze Ruichang United Water organized U n i t e d Wa te r ' s S h a n x i re g i o n Suizhou United Water organized a Tongxiang Shenhe Water held Xianning United Water
Wate r Pu r i f i ca t i on Company j o i n t l y employees to participate in the city o rg a n i ze d t e a m - b u i l d i n g a n d persimmon-picking activity. a collective birthday party for organized employees to
organized a "Land Dragon Boat Race union's staff sports meet. Outward Bound activities. employees whose birthdays participate in the 2025
to Welcome the Dragon Boat Festival" fall in that quarter. Xianning Marathon.themed activity.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 71
Talent Cultivation and Development
United Water regards talent as the core driving force for Talent
enterprise development. It has constructed a comprehensive Development Aimed at internal young talents this program provides systematic training including rotational learning vocational employee training and development system smooth career skill training specialized training and practical research strengthening the robust talent pool of future leaders and
development pathways for employees and continuously Programs technical experts. During the reporting period 5 employees were cultivated through rotational programs in United
motivates employee growth and development achieving Water Suqian Water Supply Company 5 through rotational and cross-regional learning programs in Xianning United
an organic integration and mutual promotion of personal Water and 2 through mentorship programs in Suizhou United Water.employee growth and corporate development.Young Talent
Deepening Talent Cultivation This program includes tailored training modules such Development as “Becoming a Corporate Professional ”(focusing on
Program
workplace competencies) Water Quality Engineering
(industry-specific knowledge) and rotational assignments
The Company focuses on employee development and growth United Water's Jiangsu region aims to optimize
across departments. Through these initiatives trainees
constructing a comprehensive employee training system Career the young talent echelon adhering to the
gain hands-on exposure to business operations enabling
and formulating and actively implementing training plans. Launch principle of combining targeted cultivation
them to apply theoretical knowledge in practice. and Growth
It provides personalized training opportunities tailored to Management "Rising Star" wi th ove ra l l capab i l i t i e s improvement .the needs of talents at different levels thereby stimulating Targeted at management trainees this program provides Trainee Talent Cultivation Through multiple approaches including team
employee potential and continuously building a talent team specialized training including the "Becoming a Corporate Program Program cultivation rotational learning specialized
that adapts to business development. During the reporting Professional" professional competency training industry- workshops Outward Bound and on l ine
period the Company conducted a total of 466 training specific knowledge training in Water Quality Engineering training the program effectively enhances the
sessions including 45 key training sessions and headquarters and rotational learning helping management trainees comprehensive capabilities and competencies
led the organization of 17 key special training sessions and qu ick ly fami l ia r i ze themselves w i th the bus iness of outstanding young employees.thematic meetings. operations and enabling them to apply knowledge in
practice. During the reporting period the Company and
its subsidiaries cultivated management trainees with 1
at headquarters 1 continuing in United Water Suqian
Water Supply Company and 2 at Xianning United Water.Addit ionally a cumulative total of 32 management
trainees have been cultivated.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 72
Middle
and Senior
Management
· Jingzhou Shenlian Environment and
Jingzhou Shenlian Water organized
a t w o - m o n t h o n l i n e t r a i n i n g
High- cou rse fo r m idd l e and sen i o r
Potential management effectively cultivating
Career Advancement and Mastery Talents team leadership among middle and
senior managers.·S u izhou Uni ted Water adopted
Frontline
· United Water Suqian Water Supply Company a fo rmat o f "on l ine learn ing + Production learning reports + summary sharing
Employees organized high-potent ia l ta lents to study
the Dua l Leap o f Management Th ink ing sessions" to organize training about
and Management Capabi l i t ies effect ively Replicable Leadership with two
months training period involving a
· United Water conducts production technology enhancing participants' management thinking
total of 8 participants.learning and training enhancing employee and abilities.capabilities through self-study thematic training
· Xianning United Water organized specialized · Ruichang United Water conducted
group discussions and regular examinations.training for 9 key position personnel and high- training for middle managers and
During the report ing period a total of 133
potential talents in the pipeline network module supervisors including courses on
employees participated in the training.on knowledge of reducing production and sales Design and Calculation of Urban
Wa s t e w a t e r Tr e a t m e n t P l a n t
· Tongxiang Shenhe Water organized relevant differences and the application of pipeline
Facilities enhancing participants'
personnel from the production department to leakage detection equipment strengthening
u n d e r s t a n d i n g o f wa s tewa te r
systematically study professional books such as participants' professional knowledge foundation
production processes.Water Pollution Control Engineering (Volume 2) and practical work capabilities.and Design and Calculation of Urban Wastewater
Treatment Plant Facilities helping employees ·X ianning United Water conducted courses for
d e e p l y u n d e r s t a n d co re t h e o r i e s i n t h e 24 key position personnel and high-potential
environmental engineering field and providing talents in the production technology module.solid theoretical support for practical work. During the report ing per iod part icipants
studied 5 professional courses 30 regulations
and completed online examinations.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 73
Specialized Cultivation Mechanisms
To promote the inheritance and application of knowledge and experience the Company
actively promotes the construction of an in-house trainer system committed to building a Total Employee Total Employee Total Training
In-house high-quality professional team of in-house trainers. It has formulated the In-house Trainer Training Investment Training Participants Hours
Trainer Management System to improves mechanisms for the selection cultivation incentivization
Management
and assessment of in-house trainers and regularly organizes exchanges and learning RMB831100 5997 32423.62?hours
sessions for in-house trainers. During the reporting period the Company had 18 certified in-
house trainers.Guided by the United Water Group Mentorship Management System (Trial) the Company Average Training Hours per Average Training Hours per
Mentorship instructs operating companies to continuously advance mentorship cultivation programs Employee by Gende(r hours) Employee by Hierarchy(hours)Program
Management based on needs. In 2025 the Company increases 14 mentor-mentee pairs cultivating 40.84
highly skilled young talents for operating companies in areas such as production 30.73
electromechanical operations laboratory testing and pipeline networks. 20.24 20.79
15.83
Average Annual Training
Operating companies organize employees to participate in series of courses through
Online Hours per Employee
Course online learning platforms covering learning content such as professional skills leadership
Learning and management skills closely aligned with business and employee needs. During the 25.49?hours Male Female Senior Middle General
reporting period a cumulative number of online training participants was 70. Employee Employee Management Management Staff
Training Participation Rate Training Participation Rate
by Gender(%) by Hierarchy(%)
98.5410092.03
71.9979.21
Overall Employee Training
Participation Rate
90.57?% Male Female Senior Middle General
Employee Employee Management Management Staff2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 74
Smooth Career Development
Adhering to the principle of "appointing people on their merits and valuing talents based on their abilities" the Company
continuously optimizes its employee promotion management system ensuring transparency and fairness in employee
career development channels. Vertically the Company continuously improves the dual promotion system for management
Smooth and technical tracks. By selecting relevant technical positions in the Suqian region for dual-track pilot programs it
has established competency standards and evaluation methods providing employees with clear fair and diversified
Development development paths. Horizontally centering on the dual cores of "enhancing employees' comprehensive quality" and
Pathways "adjusting business strategy" the Company establishes a dynamic personnel allocation mechanism across organizations
and departments. Relying on a full-cycle management mechanism of "tracking-feedback-optimization" it breaks down
barriers to talent flow between headquarters regions and operating companies fully activating internal talent resources
and ultimately achieving mutual growth for individuals and the organization.The Company has revised the Management and Incentive System for Professional Titles and Vocational Qualifications to
encourage employees to actively engage in professional knowledge learning and skill enhancement within their work areas
and obtain professional title certifications and qualifications from external authoritative institutions. Employees meeting the
Academic and incentive conditions receive cash rewards on a monthly or annual basis. The Company has obtained nationally recognized
autonomous certification authority for vocational skill levels conducting junior intermediate and senior vocational
Qualification qualification certifications for three occupations: water treatment operators electromechanical equipment installers and
Support plumbers. In 2025 Xianning Siyuan Water newly obtained 2 professional certificates in welding and low-voltage electrical
work. Jingzhou Shenlian Environment newly obtained 4 intermediate professional title certificates covering environmental
protection electrical engineering and water supply and drainage. Ruichang United Water newly obtained 1 professional
certificate in high-voltage electrical work 6 professional certificates in industrial wastewater treatment and 3 professional
certificates in chemical testing.The Company consistently promotes the "Growing Together with the Enterprise" program implementing the "Growing
Together with the Enterprise" Internal Reward System to encourage employees to continuously learn and enhance their
Growth professional skills. It provides practical opportunities for employees to engage in innovations and inventions obtaining
Incentives patent authorizations or association awards. Additionally it encourages employees to explore work-related technologies
carry out technological improvements and upgrades and create economic benefits for the Company. Furthermore it
organizes employees to participate in various external skills competitions striving for honors for the Company. At the end
of the year the Company provides cash rewards to eligible employees and teams. In 2025 110 employees received cash
rewards.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 75
About This Report
This report is the 3rd Environmental Social and Governance (ESG) Report publicly released by Jiangsu United Water Technology Reporting Period
Co. Ltd. (hereinafter referred to as "this report"). It aims to disclose the Company's principles practices and key performance in
The Report primarily covers the period from January 1 2025 to December 31 2025. Certain content is extended
sustainable development fully addressing critical concerns raised by stakeholders.appropriately to prior and subsequent years for contextual completeness. This Report is an annual publication.Definition of Terms Reporting Boundary
For clarity and readability "Jiangsu United Water Technology Co. Ltd." may also be referred to as "United Water" "the Company"
or "we" throughout this report. All textual and numerical data disclosed in this Report derive from to United Water and its subsidiaries.Partial List of Subsidiary Abbreviations Assurance of Accuracy
Region Subsidiary Abbreviation The Company commits that this Report contains no false records misleading statements or material omissions. We
assume full responsibility for the authenticity accuracy and completeness of its content.Suqian Minxin Water Quality Testing Co. Ltd. Suqian Minxin Water Quality Testing
Jiangsu Region Suqian Gengche Wastewater Treatment Co. Ltd. Suqian Gengche Wastewater Treatment Data Sources
Suqian United Municipal Engineering Co. Ltd. Suqian United Municipal Engineering All information and data in this Report are sourced from the Company's official documents statistical reports financial
Jingzhou Shenlian United Water Co. Ltd. Jingzhou Shenlian United Water statements and sustainability practices compiled and verified by the Company's ESG Task Force. Unless otherwise
Jingzhou Shenlian Environmental Technology Co. Ltd. Jingzhou Shenlian Environment specified all monetary figures are denominated in RMB.Suizhou United Water Co. Ltd. Suizhou United Water
Hubei Region Reporting Standards
Xianning United Water Co. Ltd. Xianning United Water
This Report is prepared in accordance with the Global Reporting Initiative (GRI)– Sustainability Reporting Standards
Xianning Siyuan Water Co. Ltd. Xianning Siyuan Water (GRI Standards) Shanghai Stock Exchange – Guidelines for Self-Regulation of Listed Companies No. 1 – Standardized
Xianning United Municipal Engineering Co. Ltd. Xianning United Municipal Engineering Operations of Listed Companies on the Shanghai Stock Exchange Shanghai Stock Exchange – Guidelines for Self-
Tongxiang Shenhe Water Co. Ltd. Tongxiang Shenhe Water Regulation of Listed Companies No. 14 – Sustainability Reporting (Trial) Shanghai Stock Exchange – Guidance for Self-
South China Region Regulation of Listed Companies No. 4 – Preparation of Sustainability Reports (Revised in January 2026) and the United
Ruichang United Water Co. Ltd. Ruichang United Water
Nations Sustainable Development Goals (SDGs).Sanmenxia United Water Co. Ltd. Sanmenxia United Water
Jishan United Water Co. Ltd. Jishan United Water Accessibility
Shanxi Region Xinjiang Jinhua Ecological Environment This Report is available in both Chinese and English on the Company's official website: http://www.united-water.com. In
Xinjiang Jinhua
Engineering Co. Ltd. case of discrepancies between the two versions the Chinese version shall prevail.Xinjiang Guolong Wastewater Treatment Co. Ltd. Xinjiang Guolong
Pinghe United Water Co. Ltd. Pinghe United Water Feedback
Zhangzhou Region
Nanjing United Water Co. Ltd. Nanjing United Water To continuously enhance the quality of our reporting we welcome your feedback. For inquiries or suggestions please
contact us via:
Helan United Water Co. Ltd. Helan United Water
Ningxia Region Email: IR@united-water.com
Ningxia Hongze Water Purification Co. Ltd. Ningxia Hongze Water Purification Telephone: +86-021-62370178.2025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 76
Key Performance
Economic Performance
Indicator Unit 2023 2024 2025 Indicator Unit 2023 2024 2025
Total Assets million RMB 3635.14 3715.24 3799.88 Natural Gas cubic meters (m3) 135137.28 132954.00 108020.20
Operating Revenue million RMB 1127.81 1140.40 1102.94 LPG kilograms (kg) 5463.00 6770.00 9632.00
Operating Profit million RMB 214.44 190.98 135.14 Purchased Electricity kilowatt-hours (kWh) 130418203.00 134330988.60 140830142.10
Total Tax million RMB 109.87 112.41 105.49
Clean/ Renewable Energy Consumption kilowatt-hours (kWh) / / 5326532.00
Total Energy Consumption tonnes of standard coal equivalent 16451.62 16860.92 18315.00Governance Performance
tonnes of standard coal
Indicator Unit 2023 2024 2025 Energy Consumption Density equivalent per RMB 0.15 0.15 0.17
10000 of revenue
Proportion of Independent Directors % 33.33 33.33 33.33
Greenhouse Gas Emissions
Scope 1: Direct Greenhouse Gas tonnes of CO2
Emissions equivalent 799.38 651.10 664.11
Environmental Performance Scope 2: Indirect Greenhouse Gas tonnes of CO2
Emissions equivalent 74377.5 72082.01 74724.47
Indicator Unit 2023 2024 2025 Total Greenhouse Gas Emissions tonnes of CO2
equivalent 75176.88 72733.11 75388.58
Environmental Management
tonnes of CO2
Environmental Protection Investment1 million RMB 141.74 69.82 48.58 Greenhouse Gas Emissions Intensity equivalent per RMB 0.67 0.64 0.68
10000 of revenue
Number of Environmental Training times 22 18 56
Water Resource Management
Environmental Training Personnel / 301 168 733 Freshwater Withdrawals million cubic meters 224.96 245.08 230.96
Energy Consumption Water Plant Self-consumption million cubic meters 4.40 5.79 3.74
Gasoline liters (L) 154466.54 89921.11 129520.31 Water Plant Self-consumption Rate % 1.96 2.45 1.64
Diesel liters (L) 55535.46 54745.04 43761.13 Recycled Water Output million cubic meters 49.94 24.33 38.742025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 77
Social Performance
Indicator Unit 2023 2024 2025 Indicator Unit 2023 2024 2025
Wastewater Treatment Volume million cubic meters 144.19 151.52 150.26 R&D Innovation
Reduction in Pollutants Quantified by R&D Investment million RMB 1.76 3.15 3.26
Chemical Oxygen Demand (COD) tonnes 44894 49079.30 47901.45 R&D Personnel persons 7 6 7
Wastewater Discharge New Registered Patents added in 2025 / 5 6 12
Ammonia Nitrogen Emissions tonnes / 77.25 71.20 Cumulative Registered Patents / 14 18 30
Total Nitrogen Emissions tonnes / 1048.98 951.57 Cumulative Software Copyrights / 10 12 13
Total Phosphorus Emissions tonnes / 22.05 16.74 Customer Rights and Interests
United Water Suqian Water Supply Company
Suspended Solids Emissions tonnes / 800.21 672.82
Customer Complaint Resolution Rate % 100 100 100
Exhaust Emissions
Customer Satisfaction Rate % 98 99.40 98
Total Exhaust Gas Emissions2 million cubic meters / 1628.82 1295.57
Xianning United Water
Volume of Nitrogen Oxides Emitted tonnes 0.25 0.26 0.32 Customer Complaint Resolution Rate % 100 100 100
Volume of Sulfur Oxides Emitted tonnes 0.12 0.03 0.03 Customer Satisfaction Rate % 96 99.90 99.80
Volume of Particulate Matter and Supply Chain Management
Suspended Particles Emitted tonnes 0.03 0.04 16.58
Suppliers Obtained Quality Management System Certification % 41.96 38.58 39.83
Emissions of Volatile Organic Compounds tonnes 0 0 0 Suppliers Obtained Occupational Health and Safety Management
System Certification % 22.69 35.67 38.85
Waste Management
Suppliers Obtained Environmental Management System Certification % 22.69 36.14 37.86
Volume of Hazardous Waste 3 tonnes 12.72 14.67 17.04
Employment
Volume of Non-hazardous Waste tonnes / 120580.85 122161.24
Total Employees persons 1407 1337 1272
Volume of Waste Recycled and Reused4 tonnes 94891 / 14300.96 Total New Hires During Reporting Period persons 198 103 99
Note:1.The scope of environmental protection investment includes expenditures on environmental protection facilities and equipment environmental Number of Newly Hired Fresh Graduates persons 14 9 20
monitoring environmental remediation fixed assets for water environment management environmental protection taxes etc.
2.Exhaust gas refers to collected odorous gas from wastewater treatment plants which is treated and discharged through organized systems after Labor Contract Signing Rate % 100 100 100
deodorization.
3.Hazardous waste mainly consists of used engine oil and laboratory waste liquids. Union Membership Rate % 56 73 78.38
4.Recycled waste mainly refers to sludge which was used in 2023 for vermiculture and brick-making. Due to environmental compliance requirements such
waste was handed over to a qualified third party for disposal in 2024 and is therefore not included in the recycling volume. Employee Count by Gender
Male Employees persons 961 917 890
Female Employees persons 446 420 3822025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 78
Indicator Unit 2023 2024 2025 Indicator Unit 2023 2024 2025
Employee Count by Group Male Employees' Average Training Hours hours 30.21 17.27 20.24
Employees Aged 30 and Below persons 336 276 218 Female Employees' Average Training Hours hours 15.78 18.91 30.73
Employees Aged 31-40 persons 593 594 579 Senior Management’s Average Training Hours hours 9.49 20.50 15.83
Employees Aged 41-50 329 312 321 Middle Management’s Average Training Hours hours 20.90 35.62 40.84
Employees Aged 51 and Above persons 149 155 154
General Staff Average Training Hours hours 16.34 14.65 20.79
Employee Count by Hierarchy
Over all Employee Training Participation Rate % 83.36 92.52 90.57
Senior Management persons 50 47 28
Male Employee Training Participation Rate % 85.33 94.66 98.54
Middle Management persons 225 186 202
Female Employee Training Participation Rate % 81.06 87.86 71.99
General Staff persons 1132 1104 1042
Senior Management Training Participation Rate % 60.00 74.47 100
Employee Count by Education Level
Middle Management Training Participation Rate % 57.73 95.16 79.21
Employees with Associate Degree or Below persons 1001 942 888
General Staff Training Participation Rate % 89.50 92.84 92.03
Employees with Bachelor's Degree persons 369 352 335
Occupational Health and Safety
Employees with Master's /MBA Degree or Above persons 37 43 49
Safety Production Investment million RMB 6.18 2.47 2.18
Employee Count by Region
Work-related Fatalities persons 0 0 0
Domestic Employees persons 1367 1294 1207
Emergency Drills Conducted times 61 85 120
Overseas Employees persons 40 43 65
Occupational Health and Safety Training Participations / 2742 2836 2715
Equality Diversity
Proportion of Female Employees % 31.70 31.41 30.03 Total Occupational Health and Safety Education Hours hours 589.25 377.50 385.50
Proportion of Ethnic Minority Employees % 1.28 1.12 1.81 Occupational Disease Incidence Rate % 0 0 0
Proportion of Employees with Disabilities % 0.14 0.22 0.16 Total Work-related Injury Rate % 0.21 0.30 0.16
Return-to-work Rate after Parental Leave % 95.65 100 97.44 Workdays Lost due to Work-related Injuries days 85 318 85
Employee Training Days Lost per RMB 1 Million of Revenue due to Work Injuries days 0.08 0.28 0.08
Total Employee Training Investment RMB 845000 1022400 831100 Community Engagement
Total Training Participants / 3338 5965 5997 Charitablecon Tributions million RMB 1.54 1.88 3.24
Total Training Hours hours 23768.02 23782.35 32423.62 Volunteer Hours hours 1390 1087 811.15
Average Annual Training Hours per Employee hours 17.01 17.79 25.49 Employee Volunteer Participants / 459 549 4982025 Environmental Social and Governance Report Preface Green Planet Reliable Partner Excellence in Operations Advanced Technology Talent Oriented Appendix 79
Index of Indicators
Reporting Compliance Statement:United Water disclosed the information referenced in this index for the period from January 1 2025 to December 31 2025 in accordance with the Shanghai Stock Exchange–Guidelines for Self-Regulation of Listed Companies
No. 14 – Sustainability Reporting (Trial) and aligned with the Global Reporting Initiative (GRI) Standards.Report Structure Sustainability Reporting Guidance GRI Standards Report Structure Sustainability Reporting Guidance GRI Standards
Chairman’s Message / / Water Accessibility Section 39.1 Section 39.3 Section 44 Section 47.4 2-6/203-1/203-2
About United Water / 2-1/2-6/2-23 Community Involvement Section 38 Section 40 3-3/203-1/203-2
Section 12.1 Section 12.2 Section 12.4 Section 12.5 Section 13 Operation in Excellence
Sustainable Development Section 14.1 Section 15.3 Section 17 Section 18.1 Section 18.2 2-9/2-12/2-13/2-14/
Management Section 18.3 Section 18.4 Section 51 Section 52 Section 53.1 2-16/2-17/2-22/2-24/ Corporate Governance Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 2-9/2-10/2-12/3-3/
Section 53.2 2-29/3-1/3-2/3-3 Section 53.1 Section 53.2 207-2/405-1
Compliant and Sound
Special Feature: Operations Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 2-27
Transformations Synergy:
Charting a New Course Section 27、Section 28、Section 41、Section 42.4 305-5 Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 2-27/3-3/205-2/
for "Digital + Low- Business Ethics Section 54 Section 55.1 Section 55.4 Section 56.1 Section 56.2 205-3/206-1
Carbon" Water Utilities
Supply Chain Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 2-6/2-23/3-3/308-1/
Green Planet Management Section 44 Section 45.1 Section 45.2 308-2/414-1/414-2
Water Resource Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 3-3/303-1/303-3/ Safety Prevention Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 2-27/3-3/401-2/
Management Section 34 Section 36.1 Section 36.2 303-5 Measures Section 48.1 Section 48.2 Section 48.4 Section 49 Section 50.2 403-1/403-2/403-5/403-6/403-7/403-9/403-10
Eco-Environmental
Protection Section 32.2 Section 32.3 Section 42.4
3-3/101-2/101-5/
101-8/304-1/304-3 Advanced Technology
Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 Digital Intelligence Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 3-3/203-2
Responding to Climate Section 20 Section 21 Section 22.1 Section 22.2 Section 22.3
3-3/201-2/203-2/ Empowerment Section 42.4
Change Section 23.1 Section 23.2 Section 23.3 Section 23.5 Section 24
302-1/302-3/
Section 25.3 Section 26 Section 27 Section 28 Section 35.1 302-4/302-5/
Section 35.2 Section 35.3 305-1/305-2/305-4 Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19
R&D Innovation Section 41 Section 42.1 Section 42.2 Section 42.3 Section 42.4 3-3/201-4
Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 Section 43.1 Section 43.2 Section 43.4
Reducing Environment Section 29 Section 30.1 Section 30.2 Section 30.3 Section 30.4
2-27/3-3/303-2/
Section 30.5 Section 31.1 Section 31.2 Section 31.3 Section 33.1 303-4/305-7/Impact Section 33.2 Section 33.3 Section 34 Section 35.3 Section 37.2 306-1/306-2/ Talent Oriented
Section 38 Section 40 306-3/306-4/306-5 Employment and
Employee Right s Section 49 Section 50.1 2-7/3-3/401-1/401-2/Reliable Partner
Protection 401-3/405-1/406-1
Water Supply Resilience Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 Diverse Workplace and Section 44 Section 47.1 Section 47.2 Section 47.3 3-3/203-1/203-2 Employee Care / 401-2/405-1
Talent Cultivation and
Premium Services Section 11.1 Section 11.2 Section 11.3 Section 11.4 Section 19 Section 49 Section 50.3 3-3/404-1/404-2Section 44 Section 47.4 Section 48.3 2-6/3-3/203-1/203-2 Development



