Climate Change
Organizational Importance and Commitment
Climate change is one of urgent issues broadly affecting the economic, social, and environmental system, especially business and production sectors that may confront some risks from natural disaster, uncertainty of resources, and changes in national and international policies. The Company realized the importance of this problem, and inserted it as a key issue when setting up the corporate strategy and operating guideline so that the Company could manage any potential risks deriving from such climate change in terms of adaptation and mitigation of greenhouse gas emissions. Consequently, the Company would have fewer risks, and have better flexibility in its business operation in the long term.
Opportunities and Impact
The Company has carried out the risk assessment and business opportunities deriving from the climate change in order to obtain the important information for the strategy planning and business decision-making, which would make the Company’s business operation continue and sustainable, and generate competitiveness in the era when the low-carbon society is the main trend.
Supporting the SDGs Goals
Goal 7:
Ensure access to affordable, reliable, sustainable and modern energy for all.
Goal 13:
Take urgent action to combat climate change and its impacts.
Stakeholders Directly Impacted
Trade Partners
Collaboration in creating environmentally friendly products and solutions that support efforts to reduce greenhouse gas emissions.
Employees
Operational activities that reduce environmental impact and promote measures to lower greenhouse gas emissions.
Shareholders
Business strategies to adapt to and cope with climate change.
Regulators / Government Agencies
Operational activities that align with national policies, measures, and targets for reducing greenhouse gas emissions.
Goals and Performance
| 2025 ESG Performance Indicators and Targets | 2025 Performance Results |
|---|---|
| Short-term Target | |
| Reduce greenhouse gas emissions in scope 1 and scope 2 operations by 10% compared to the organization's greenhouse gas emissions and removal data in 2024 (base year). |
Reduce by 9.47% from the 2024 baseline* |
| Mid-term Target | |
| Expand the reporting scope to cover scope 3 and extend to significant business subsidiaries by 2029. |
Reported across 3 categories. Currently, 2 subsidiaries disclose their greenhouse gas emissions. |
| Long-term Target | |
| Reduce greenhouse gas emissions by 20% by 2030 (compared to the baseline year) |
Reduce by 9.47% as of 2025. |
Note: *In 2024, the figures were adjusted in accordance with changes in the Emission Factor (EF) of the TGO.
Management Guidelines
Strategy
1
Raise awareness
Continuous education about climate change to create awareness and cooperation in solving problems.
2
Increase the amount of use of renewable energy and clean energy sources
Reducing the use of energy comes from combustion sources or using energy that produces less pollution. This includes increasing energy efficiency by improving or modifying
3
Improve resource efficiency
Support the cost-effective use of resources as well as efficient in every process of business operations including the use of technology that helps increase efficiency in resource use.
4
Conduct activities that support the reduction of greenhouse gas emissions
5
Development of products and services
Presentation of solutions and innovations that are environmentally friendly to create sustainability in both business and the environment in the long term.
6
Support the government and communities in addressing climate change
Management Approaches
1
Reduce greenhouse gas emissions
- Support the preparation of organizational greenhouse gas emission and absorption reports, and seek external verification to understand emissions across activities. This enables targeted planning to reduce emissions and minimize environmental impact.
- Promote efficient resource use through various activities to cultivate awareness of resource conservation, environmental care, and encourage employee participation.
- Increase the proportion of renewable energy and clean energy usage.
- Establish activity plans and targets to reduce landfill waste.
- Build collaborative networks with business partners to carry out environmental and sustainability activities aimed at reducing greenhouse gas emissions.
- Integrate environmental and sustainability issues into business processes and set related performance targets for relevant business units and support departments.
2
Adaptation to changing climate conditions
Adjust work procedures and provide necessary safety and occupational health equipment for employees.
3
Greenhouse gas absorption
Explore approaches to activities that help absorb greenhouse gases.
4
Support government agencies in controlling,
managing, and restoring impacts from climate change.
Climate Change Response Plan
1
Risk Assessment and Management relating to Climate Change
Conducted an assessment of significant climate-related risks, impacts, and opportunities affecting its business operations, encompassing both Physical Risks and Transition Risks. This assessment identifies key risk issues, evaluates risk levels, determines the nature of impacts and establishes a timeline for effective risk management planning. The Company intends to develop preventive measures and contingency plans for various situations
2
Formulation of Climate Change Strategy
The Company formulated the strategy and guideline to cope with the climate change as described below.
- Adaptation to Climate Change
- Providing and developing the business continuity management plan to cope with any risks deriving from the natural disaster and climate variability. The risks deriving from the climate change would be also included when considering the Company’s risk management plan.
- Change the working procedure, changing any equipment or technology to be fit to the environment and climate change such as change of working hours, work plan, selection of heat-resistant materials or modification of specific product properties, etc.
- Supply producers, alternative dealers, or substitute goods as alternatives if there is any emergency or crisis due to the climate change.
- Transfer some risks to other external agencies or the third parties who could cope with those risks better, e.g., making insurance, making the futures contract or financial contract, transfer or identifying responsibilities, or cooperating with suppliers to share risks, etc.
- Mitigation of climate change through the reduction of greenhouse gas emissions.
- Lifting efficiency in using resources, energy, and increasing the use of alternative energy.
- Promoting the use of materials or technologies emitting low carbon.
- Measuring and monitoring the greenhouse gas emission and absorption in the operating procedure of the Company.
- Monitoring technologies, and being involved in developing innovations to reduce the greenhouse gas emissions, technologies for carbon capture and storage, or increasing greenhouse gas absorption sources through various projects.
- Collaboration and Communications
- Arranging training activities to educate or campaign the Company’s employees and stakeholders to have awareness and involvement.
- Support and drive subsidiaries, partners, and alliances in carrying out sustainability initiatives to help reduce greenhouse gas emissions.
- Hold membership in Climate Change Cooperation Network, exchanging information and knowledge and collaborating with communities and partner networks to broaden cooperation. This includes jointly demonstrating a commitment to tackling climate change and supporting initiatives to achieve national objectives.
- Participate as a member of the Low Emission Support Scheme (LESS) project with the Greenhouse Gas Management Organization (Public Organization) of the Ministry of Natural Resources and Environment by taking part in recycling waste separation activities under the Care the Whale project to reduce greenhouse gas emissions.
- Joining hands with many communities and alliance networks to enhance the broad collaboration.
- Communicating and reporting the progress and work performance to the public.
- Giving support to government authorities and related agencies.
3
Target Setting in relation to Climate Change
The Company established targets and indicators in reporting the greenhouse gas emissions in accordance with the information disclosure criteria regarding sustainability as stipulated by the Stock Exchange of Thailand or the Securities and Exchange Commission (SEC). The Company has also monitored the progress and the report on target achievements through public channels. In addition, the Company had the intent and determination to join hands with the industrial sector, the government sector, and other related agencies to cope with the climate change. These targets also covered the reduction of greenhouse gas emissions, the increase of efficiency in using the energy, and the implementation of the sustainable practice guideline throughout the Company’s supply chain.
4
Coping with Climate Change
The Company integrates climate change-related issues in planning processes, decision-making and used as data for goal setting, strategies, risk management policies, annual budgets and business plans, as well as for legal compliance with environmental regulations.
Measures on Reduction of GHG Scope 1- Manage efficient product distribution and ensure on-time delivery at appropriate costs.
- Adopt Electric vehicles for work processes and business travel.
- Increase the frequency of air conditioning maintenance.
- Switch to Non-CFC fire extinguishers.
Measures on Reduction of GHG Scope 2- Installation of a Solar Roof System
- Promoted electricity reduction campaigns within the Company through various activities.
Measures on Reduction of GHG Scope 3- Reduce paper usage in work processes
- Reduce tap water usage for office consumption
- Reduction of Landfilled Waste
5
Engagement and Awareness
Support formulated the policy promoting awareness and involvement of every personnel systematically and constantly by means of training and seminar, supporting for on-line training, delegating some employees to attend training courses held by external institutions, campaigns through various activities, and dissemination of information via media in the organization. These would create the corporate culture that is environmentally friendly and leads to sustainability.
6
Monitoring and Reporting
The Company assigned the Sustainability Development Working Group and the Office of Company Secretary to be directly in charge of data collection. They have cooperated with all related departments to calculate the amount of greenhouse gas emissions and absorption of the Company, to assess efficiency of measures, to monitor the program progress, and to prepare the greenhouse gas emissions and absorption of the Company in order to obtain the verification done by the external independent verifier before reporting it to the Executive Board and the Board of Directors. Such information would be also communicated to the Company’s stakeholders for sustainability development.
Key Developments
Organizational Greenhouse Gas Emissions
Year 2025
Decreased
170
tCO2e
or 9.47% from the base year
Total SCOPE 1+2
1,625
tCO2e
Carbon Intensity SCOPE 1+2
3.40
tCO2e per person
Total SCOPE 1+2+3
1,948
tCO2e
Carbon Intensity SCOPE 1+2+3
4.08
tCO2e per person
Carbon offset activities totaling 4 tCO2e
2025 Annual General Meeting of Shareholders
2
tCO2e
LOXLEY Safety Day Event
1
tCO2e
Seminar: Loxley and Steps Towards Sustainability: IFRS Standard, A Key Business Challenge
1
tCO2e
Greenhouse gas emission reduction activities
104.35
tCO2e
from reduction in refrigerant usage
0.03
tCO2e
from replacement of fire suppression agents with non-CFC alternatives
119.75
tCO2e
from reduction in electricity consumption
39.25
tCO2e
from increase in the proportion of renewable energy use
9.58
tCO2e
from reduction in paper consumption
18.01
tCO2e
from recycling and upcycling of waste
Organized the seminar “Loxley and Steps Towards Sustainability”
for Company directors, executive board members, business unit representatives, the sustainability development Working Group, and related people, with
77
participants
Installed an additional solar rooftop system on a building at the Pathum Thani Distribution Center.
In the past year, the Company used
82,625.53
kilowatt-hours of renewable energy to substitute purchased electricity from external grids.
The Organization’s greenhouse gas (GHG) emissions and removals report
has been verified by Vekin (Thailand) Co., Ltd. for the second consecutive year, in accordance with ISO 14064-1:2018 and the guidelines for the calculation and reporting of Corporate Carbon Footprint established by the Thailand Greenhouse Gas Management Organization (Public Organization) (6th revision, July 2022), with a limited level of assurance.
Carried out collaborative activities with suppliers and business partners on environmental and sustainability issues,
including a food waste management project, and innovations for the environment and society.
Collaboration and Implementation of Climate Change Action
Loxley is committed to taking action and collaborating with all sectors to reduce greenhouse gas emissions and mitigate the impacts of climate change. This commitment aligns with Nationally Determined Contribution (NDC) targets and the Thailand’s aspiration to achieve carbon neutrality by 2050 and net-zero greenhouse gas emissions by 2065, as declared at the 26th UN Climate Change Conference of the Parties (COP26). The Company actively partners with a wide range of stakeholders, including the Securities and Exchange Commission (SEC), the Stock Exchange of Thailand (SET), as well as various government agencies and relevant business organizations. These include the Department of Alternative Energy Development and Efficiency (DEDE), the Thailand Greenhouse Gas Management Organization (Public Organization), and the Electricity Generating Authority of Thailand (EGAT). Through these partnerships, Loxley aims to support national environmental policies, implement climate action initiatives, and foster collaborative networks for sustainability.
The Company actively participates in implementation efforts and continuously monitors progress through various channels such as joint activities, discussions, meetings, and annual performance reporting to ensure that its collaboration with partners effectively supports climate change action goals.
