MSM Malaysia Holdings Berhad Annual Report 2021

ENVIRONMENT INITIATIVES MSM Prai does not have an effective WWTP currently but will be constructing a new system targeted to commence in FY2022. As required under the Environmental Quality Act, an independent third party does the monitoring and water sampling on a monthly basis and reports to DOE as well as the local authorities to ensure compliance with all parameters. Water quality checks are conducted on the discharge, the surface and boundary water. During the year, MSM Prai was fined by DOE when higher than the permissible level of effluent was detected in water discharged. MSM Prai constantly engages with the Penang DOE to regularly update them on the progress on MSM Prai’s WWTP plans as well as to clarify and reassure DOE on its commitment to improve processes. MSM Prai also maintains a close relationship with the nearby fishermen community and this can also be seen through the collaboration on the Mangrove Tree Planting. MSM Johor also encountered issues with its WWTP during the year and has been in regular communication with the Johor DOE on the problems they faced. The respective refineries have taken steps to mitigate these issues by ensuring their competent persons are well trained and prepared to handle these issues, third party consultants are engaged as well as repair works and proper maintenance are carried out to mitigate the risks of managing treated water and continuous engagement with the DOE to demonstrate the operations commitment to resolve issues quickly. Read more about MSM Prai’s Mangrove Tree Planting activity on page 141 MSM individual operations track their water consumption separately. The total water consumption for MSM Group reduced from 2,577,381 m3 in FY2020 to 1,778,819 m3 in FY2021. We are working on improving the tables moving forward to ensure all the data are tracked and measured accurately throughout the operations. Although a slight increase was seen in MSM Prai in FY2021, the overall performance reduced by 16% in FY2021 from FY2020, as data from MSM Perlis has been excluded for the year after its disposal. Note: Only msm prai recycles and reuses water back into the process, and tracks this data to date. FY2019 and FY2020 numbers included data from MSM Perlis. The amount of water used and reused in our daily operations are constantly measured and monitored, as is the water effluent discharge from our processes. The data is shared with the MSM headquarters on a quarterly basis for them to monitor progress.The total water consumption for MSM Group reduced from 2,577,381 m3 in FY2020 to 1,778,819 m3 in FY2021. 2020 2021 2019 2020 2021 2019 Total Water Consumption in Our Operations (m3/year) Volume of Water Recycled and Reused (m3/year & %) 418,813 12.50% 417,469 16.20% 350,928 19.73% 3,341,358 2,577,381 1,778,819 WHO WE ARE STATEMENT & DISCUSSION BY OUR LEADERS HOWWE OPERATE MSM Malaysia Holdings Berhad ANNUAL INTEGRATED REPORT 2021 136

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