GoodWe Technologies Co., Ltd.AddressNo. 93, Tayuan Road, High-tech Zone, Suzhou City, Jiangsu Province , ChinaWebsitehttps://www.goodwe.com/TEL0512-62916050
SustainabilityReport
2024
Company ProfileCompany CultureGlobal Presence2024 Key Events
About GoodWe
ESG Governance StructureMateriality AssessmentContribution to the United Nations Sustain-able Development Goals (SDGs)
Responding to Climate ChangeEnergy Utilization
Feature Story: Energy Revitization inLow-Carbon Era
AppendixESG Data and AnnotationsIndexesIndependent Assurance Statement
About this ReportChairman’s StatementESG Data Highlights
ESG Governance
Corporate GovernanceBusiness EthicsRisk and Compliance Management
Business for Good and RobustGovernance
Environmental Compliance ManagementWaste DisposalPollutant DischargeResource ManagementProduct Lifecycle ManagementEcosystem and Biodiversity Protection
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Employee Employment and RightsEmployee Training and DevelopmentOccupational Health and SafetyCommunity Engagement and Contribution
R&D and InnovationProduct Quality and SafetyCustomer Relationship ManagementData Security and Customer Privacy ProtectionDigital TransformationSustainable Supply Chain Management
Collaborative Partnershiptowards Ecological Harmony
This report is the first Sustainability Report issued by GoodWe Technologies Co., Ltd., and the fourth report on Environmental, Social andGovernance (ESG) -related information. In accordance with the requirements of the Guidelines No. 14 of Shanghai Stock Exchange for Self-Regu-lation of Listed Companies—Sustainability Report (Trial), we officially renamed our report from Social Responsibility Report to SustainabilityReport this year, to disclose to all stakeholders our sustainability principles, management approaches and practices, and the results achievedacross operations.
This report is available in Simplified Chinese and English. If there is any ambiguity in the understanding of the Chinese andEnglish texts, please refer to the Simplified Chinese version. The electronic version of the report can be obtained from theofficial website of GoodWe, the Shanghai Stock Exchange and the cninfo website.You are welcome to contact us and contribute valuable suggestions for the content of the report and ESG management.
The scope of this report covers GoodWe Technologies Co., Ltd. (hereinafter referred to as “GoodWe” or “the Company” or“we”) and its subsidiaries. Unless otherwise stated, the scope of this report is consistent with the scope of GoodWe’s (stockcode: 688390.SH) consolidated financial statements for the same period.
This report has been prepared in accordance with the Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation ofListed C ompanies—Sustainability Report (Trial) (2024) and the Guidelines No. 1 of Shanghai Stock Exchange for Self-Regula-tion of Listed Companies—Standardized Operations (December 2023 Revision), and with reference to the relevant require-ments and norms of the Global Sustainability Standards Board GRI Sustainability Reporting Standards (2021 Edition).The financial data in this report comes from the Company's 2024 Annual Report, which has been audited by an independentthird party. Unless otherwise specified, it is in RMB. If the relevant financial data does not match the Company's annual report,the annual report shall prevail. Other data and cases come from the Company's actual internal records or announcements.
The reporting period ranges from January 1, 2024 to December 31, 2024. If some content exceeds this scope, it is explainedwhere it is involved.
The Company identifies business-related topics of materiality to various stakeholders as the focus of reporting. While reportingmaterial topics in this report, it also focuses on the characteristics of the Company's industry and operating business. Themateriality assessment process and results are detailed in the "Materiality Assessment" section of this report.Materiality
This report ensures that the information is as accurate as possible. The calculation method, calculation basis and assumptionshave been explained in the measurement of quantitative information to ensure that the calculation error range will not bemisleading to the user of the information. The quantitative information and annotation information are detailed in the appendix"ESG Data and Annotations" of this report.Accuracy
The content of this report reflects objective and true facts, and discloses both positive and negative information about theCompany impartially. No negative events that should have been disclosed but not disclosed were found during the reportingperiod.Balance
This report is published in Simplified Chinese and English. This report contains tables, model diagrams, company name tablesand other information as a supplement to the text content of this report, so that stakeholders can better understand the report.To facilitate stakeholders obtaining information faster, this report provides a table of contents and a benchmarking index tableof ESG standards.Clarity
This report discloses annual key quantitative metrics
Quantification
The scope of disclosure in this report is consistent with the scope of the Company's consolidated financial statements.Completeness
The cases and data in this report come from the original records or financial reports of the Company’s actual operation. Thedata sources and calculation processes disclosed by the Company can be traced back and can be used to support externalassurance inspections.VerifiabilityThis report is an annual report covering the period from January 1, 2024 to December 31, 2024.
Timeliness
Address: No. 93, Tayuan Road, High-tech Zone, Suzhou City, Jiangsu Province , ChinaE-mail: esg@goodwe.comGoodWe, Sustainable Development Research Institute
Full NameAbbreviation
Corresponding Operationand production baseGoodWe Technologies Co., Ltd.Goodwe (Guangde) Power Supply Technology Co., Ltd.FOSHAN GOODHEAT TECHNOLOGY LTDGoodWe VIETNAM TECHNOLOGY CO., LTDJiangsu Yude New Energy Technology Co., Ltd.SHAWLLAR Energy Technology Co., Ltd.
GoodWe, the Company, We
GoodWe (Guangde)GoodHeatGoodWe VIETNAMYude New EnergySHAWLLAR
Global headquarters,Suzhou factoryGuangde factory
Shunde factoryVietnam factoryYude New Energy
SHAWLLAR
GoodWeAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
2024 Sustainability Report
The photovoltaic industry continues to be a pivotal force in the globalenergy transition, with newly installed capacity maintaining robust growthand underscoring the sector’s strong momentum. Against this backdrop,GoodWe has consistently placed sustainability at the core of its corporatestrategy. The Company actively responds to the global demand forsustainability by continuously enhancing its governance structure inalignment with internationally recognized ESG frameworks, drivingtechnological innovation, fulfilling its social responsibilities, and steadfast-ly exploring integrated smart energy solutions that align with the evolvingneeds of new power systems, encompassing generation, grid, load, andstorage.We continuously refine and enhance our internal management systems,promote diversified governance across global operations, increase thetransparency of information disclosure, and strengthen our frameworks forbusiness ethics and risk management. In 2024, we established the ESGStrategy and Management Committee and defined the Company’s medium-and long-term sustainability roadmap. This initiative reinforced our abilityto manage ESG-related risks and opportunities, improved the quality andtransparency of ESG disclosures, and elevated our performance in ESGratings. These efforts have ensured the effective implementation of oursustainability strategy across the organization, enabling us to maintainstrategic foresight and enhance our resilience to systemic risks in anincreasingly complex and volatile market landscape.We regard robust innovation and R&D capabilities as the cornerstone of ourcompetitiveness in the industry. Guided by our vision to “Driving the World’s SmartEnergy Future,” we continue to increase investment in R&D, deepen industry-aca-demia-research collaboration, enhance scenario-based system integrationcapabilities, and spare no effort in building model demonstration projects.In 2024, we launched a series of groundbreaking products that leverageinnovative technologies to significantly reduce system costs and accelerate theintelligent transformation of energy management. Among them, the SDT G4series stands out in a highly competitive market with its high-efficiency output,flexible installation, and ultra-quiet operation—greatly enhancing the Company’smarket competitiveness.Moreover, our new global headquarters and manufacturing facility in Guangdehave both received prestigious industrial recognitions, underscoring ourcommitment to excellence. Always driven by customer needs, we continue tostrengthen our R&D teams and are dedicated to developing integratedhardware-software solutions that are intelligent, efficient, and sustainable—contributing to the global transition toward a greener energy structure.
Upholding a development philosophy rooted in openness and inclusivity, wework closely with customers, industry partners, suppliers, and other keystakeholders to collectively drive the transformation and upgrading of theindustry ecosystem, paving the way for a sustainable future.In 2024, we continuously refined our customer service processes aroundevolving client needs, resulting in higher levels of customer satisfactionand loyalty. These efforts culminated in the attainment of a ten-star ratingfor Customer Satisfaction Index Evaluation Certification and the highestfive-star certification for Commodity After-sales Service Certification.At the same time, we reinforced ESG practices across our supply chain,actively encouraging suppliers to implement comprehensive improvementsin environmental, social, and governance performance. These initiativesearned us the Bronze Medal from the internationally recognized agencyEcoVadis, alongside a 100% pass rate in on-site audits conducted by globalclients—further strengthening our reputation and trust within the market.We are firmly committed to low-carbon and environmentally responsibleoperations, embedding this philosophy into both our management systems andproduction practices. In alignment with China’s “Dual Carbon” goals, we havestrengthened lifecycle management across our product portfolio and activelyadvanced the development of green energy.In 2024, we achieved all of our annual environmental management targets. Allmajor product lines received carbon footprint certification, reflecting ourcommitment to transparency and accountability. Meanwhile, our Guangde factoryimplemented a range of resource conservation and carbon reduction initiatives,earning recognition as one of Anhui Province’s first model “Zero-Carbon IndustrialParks” and one of the inaugural “Virtual Power Plant” pilot units.
We are deeply committed to corporate social responsibility, with a strong focus onemployee development and societal well-being. In 2024, guided by the philosophyof “dedication-driven,” we continued to enhance our employee welfare and rightsprotection systems, while establishing a comprehensive talent development andtraining framework. Our efforts earned us the “Best Employer in Greater Suzhou”title for the eighth consecutive year, along with the inaugural “Suzhou BestEmployer for ESG Practices” recognition in Suzhou.Beyond the workplace, we actively contributed to public welfare through ourphilanthropic solar power station initiatives. In collaboration with partners across
the country, we helped establish charitable photovoltaic stations for households,rural communities, schools, and community centers, with millions of donations intotal—demonstrating our sustainability commitment for the society.As China’s photovoltaic industry garners global attention with its world-leadingproduction capacity, GoodWe recognizes its position at the forefront of the energyrevolution and the weighty environmental and social responsibilities that comewith it. This transformation, driven by technological breakthroughs, extendsbeyond the energy sector to reshape the very foundations of governance andinfrastructure in human society. Upholding our vision of “driving the world's smartenergy future” and guided by China’s"Dual Carbon" goals, GoodWe will continue todrive industrial advancement through technological innovation, while fulfilling itsduties to support China’s power electronics sector in meeting the evolving needsof a “new electricity system”.
0304GoodWe2024 Sustainability ReportAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
2024 MSCI ESG Rating
BBB
CRHC ESG Rating
BBB
SynTao Green Finance ESG Rating
Note: MSCI ESG ratings last updated onJuly 31, 2024
A-
In the Top 100 ESG-listed Energy Companies in ChinaRanked 25th
CDP Climate Change QuestionnaireB-
EcoVadis Sustainability RatingBronze Medal
Wind ESG RatingBBB
Chindices ESG RatingA
Csindex ESG RatingAA
The Company’s Guangde factory has installed over 5 MW ofdistributed photovoltaic capacity in total, with an annual powergeneration of up to3,941.28 MWh.17 products obtained carbon footprint certification.2 products passed the Environmental Product Declaration(EPD) certification.
R & D investment reached RMB551.2951 million.The average training hours of employees were
24.22.
A total of six public welfare solar power stations weredonated, with the combined installed capacity —including donated equipment — reaching approximately375kW.
The proportion of independent directors on the Board ofDirectors was
50.00%.
The proportion of female directors on the Board ofDirectors reached
33.33%.
The rate of employees signing integrity pledges was
100%.
0506GoodWe2024 Sustainability ReportAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
About GoodWe
Company ProfileCompany CultureGlobal Presence2024 Key Events
Contents
0708IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
GoodWe Technologies Co., Ltd. (SSE STAR Market stock code: 688390), founded in 2010 and headquartered in Suzhou High-tech Zone, is a high-tech enterprisespecializing in the conversion and storage of renewable energy power equipment and energy management. Centered on reducing electricity costs and improvingenergy efficiency, and dedicated to multi-energy complementarity and energy value creation, the Company integrates independent research and development,production, sales, and services.The Company has long focused on the R&D, production, sales, and services of renewable energy power supply equipment such as solar power and energystorage. Now it has developed more than 20 series of photovoltaic inverter products for grid connection and energy storage, with a power range of 0.7-350 kW,and are committed to providing smart energy management and other overall solutions for households, industrial and commercial users and ground powerstations.
IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Company Profile
GoodWe Corporate Profile
Corporate Name:
Corporate English Name:
Stock Code:
Registered capital:
Total assets:
Main business products:
固德威技术股份有限公司GoodWe Technologies Co., Ltd.688390.SHRMB242,586,404RMB7,951,970,000
PV Grid-Connected Inverters, PV ES Inverters, Energy Storage PCS, Energy StorageBattery Systems, PV Building Materials, Intelligent Data Collectors, and Smart EnergyManagement Systems
Sustainable Solutions
Under the transformative trends of the energy internet, GoodWe remains committed to power electronics technology as its foundation. The Companycontinuously innovates in renewable energy conversion technology, energy storage technology, and intelligent energy management system platforms.By promoting its products and solutions globally, the Company strives to be a key force driving the global energy transition, working alongside powergrids, industrial and commercial parks, communities, and customers to usher in a new era of smart energy.
Driving the World’s Smart Energy Future
We are determined to become a major driving force in the global energy transition,building a sustainable future.
Customer-Centric: Emphasize meeting customers' needs and providing high-quality services.Dedication-Driven: Respect and motivate those employees who strive for the company's goals.Truth-Seeking and Pragmatic: Pursue practical effects and executable strategies.Collaborative and Innovative: Encourage teamwork and constantly seek new methods andsolutions.Co-Creation and Win-Win: Pursue common growth with employees, partners and customers.
Vision
Mission
Positioning
Company Culture
Residential Solutions
0.7-40kW
Commercial and Industrial Solutions50-125kW
Large-scale Ground Power Station Solutions320kW
Energy Storage Solutions3-50kW
Lithium Battery
BIPV Solutions
Smart Energy Management SystemsEV Charger
0910GoodWe2024 Sustainability Report
As one of the earliest inverter companies in China to enter the international market, the Company has always adhered to a global strategy of develop-ing both domestic and international markets. It has established subsidiaries or customer service centers in Australia, the United Kingdom, SouthKorea, Germany, the Netherlands, Spain, India, Turkey, Brazil, Mexico, the United States, Japan, Poland, and Singapore, providing customers withcomprehensive pre-sales, sales, and after-sales services.
GoodWe Global Headquarter:
Suzhou, China
Subsidiaries:
Australia, Germany, United Kingdom,Netherlands, Japan, United States, SouthKorea, Spain, Poland, Singapore, VietnamCustomer Service Centers:
Australia, Netherlands, Germany, France, Mexico,Brazil, Poland, Spain, Italy, South Africa,Portugal, Greece, India, Turkey, Japan, UnitedStates, Vietnam, Thailand, Malaysia, United ArabEmirates, Kenya, Sweden, Czech Republic, SouthKorea, Pakistan, Philippines, Egypt
R&D Centers:
Suzhou, Shenzhen, Wuhan, Nanjing, Shunde in China
Production Bases:
Suzhou, Guangde, and Shunde in China and Vietnam
Global Presence
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Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
United States
India
Australia
Malaysia
Poland
NetherlandsUkraineTurkey
Russia
South Korea Japan
ThailandSingapore
United Kingdom
BelgiumPortugal
China Global HeadquartersVietnamSpainGermanyGreeceItalyMexico
Chile
South Africa
Argentina
Brazil
The Guangdong Solar EnergyAssociation, in collaboration withthe Guangzhou Institute ofEnergy Conversion of the ChineseAcademy of Sciences and SunYat-sen University, hosted the“2023 Guangdong Solar IndustryDevelopment SummaryConference and 2023 GuangdongInternational PhotovoltaicScience and TechnologyAcademic Conference.” GoodWewas honored with two prestigiousawards: the 2023 InfluentialBrand Award for PhotovoltaicBuilding Materials and Inverters.
2024 Key Events
January
The Energy Storage PioneerAlliance (EESA) released the2023 Global Energy StorageIndustry Chain DataRankings. The results showedthat in the 2023 globalshipment rankings forlow-power PCS (power<below 30kW) by Chinesecompanies, GoodWe rankedfirst worldwide.
March
GoodWe’s Building-IntegratedPhotovoltaics Division was invitedto attend the 3rd PhotovoltaicBuilding Industry Annual Confer-ence and Building PhotovoltaicMarket Promotion and AdvancedTechnology Exchange Conference.During the award ceremony for thedemonstration technologies underthe “14th Five-Year National KeyR&D Program,” GoodWe’s SmartEnergy R&D Building Project wasrecognized as a “TechnicalDemonstration Project” under the“14th Five-Year” National Key R&DProgram.
April
GoodWe Smart Energy hasreached a strategic partnershipwith Alibaba Cloud, a globalleader in cloud computing. Thecollaboration will be based onSMART ENERGY MANAGEMENTSYSTEM (SEMS) and AliyunTongyi AI model. Together, theywill explore key technologiesfor new energy digital modelsand innovative pathways fordigital energy development,providing a “benchmark” for theapplication of new energy +large models in the industry.
June
The China Energy ResearchSociety and Beijing WanjiaGreen Credit Rating Co., Ltd.evaluated the sustainabilitydisclosure systems of listedcompanies in China’s energysector and released the 2024China Energy Listed CompaniesSustainability (ESG) Report.GoodWe was recognized for itsoutstanding performance inenvironmental, social, andcorporate governance (ESG),securing a spot in the Top 100Chinese Energy ListedCompanies in ESG 2024 list,ranking 25th.
August
At the 2024 New Energy andPower Market InnovationDevelopment Conference andthe 14th Global New EnergyEnterprise 500 Summit,GoodWe was prominentlyranked in the Global NewEnergy Enterprises Top 500,securing the 277th position.This marks an impressiveimprovement of 98 placescompared to the previousyear.
September
The results of the 2024Forbes China Globalization30 Under 30 was announced.GoodWe was successfullylisted in the “Top 30 ChinaGlobalization FlagshipBrands”, recognized for itsoutstanding innovationcapabilities, global strategiclayout, and brand influence.
November
GoodWe’s subsidiary, GoodHeatFoshan Technology Co., Ltd., held agrand inauguration ceremony for itsworld-class air source heat pumpfactory with an annual productioncapacity of 300,000 units. The factoryis equipped with five automatedproduction lines and four internation-al-grade explosion-proof laboratories.It also features advanced testingequipment compliant with European,American, Australian, and Chinesestandards, ensuring robust R&D andperformance testing for a wide rangeof heat pump products with heatingcapacities from 3kW to 500kW—covering heating, domestic hot water,and pool applications. The facilityensures precise noise testing andguarantees product stability and highefficiency under extreme conditions,delivering high-performance,energy-saving, and environmentallyfriendly solutions to customers.
October
The 2nd Low Carbon Develop-ment Forum for Cold and HighLatitude Regions and ExtremeCold Testing Forum was held.The forum was jointly organizedby China National Inspectionand Testing Group Corporation,the Ministry of Housing andUrban-Rural Development’sKangju Certification Center, andthe Standardization TechnicalCommittee of the ChinaPhotovoltaic Industry Associa-tion. At the forum, GoodWe wasawarded the “2024 ExtremeCold Excellent PerformanceAward” by the NationalInspection Group.
December
GoodWe Power Technology(Guangde) Co., Ltd., with thesupport of Xuancheng PowerSupply Company andGuangde Power SupplyCompany, was activelydeveloping a virtual powerplant demonstration project.Thanks to its innovativetechnical solutions andoutstanding implementationresults, the project wassuccessfully selected as oneof Anhui Province’s firstvirtual power plant pilotdemonstration projects. Thisrecognition marked GoodWe’sleading position in the virtualpower plant sector at theprovincial level.
July
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Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
ESG Governance
ESG Governance StructureMateriality Assessment
Contribution to the United Nations SustainableDevelopment Goals (SDGs)Contents
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Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
ESG Governance Structure
In terms of ESG governance, the Company has established a three-tier structure encompassing the decision-making level, planning and manage-ment level, and execution level, ensuring efficient operation throughout the entire process, from strategic planning to specific execution, provid-ing a solid organizational guarantee for the Company’s sustainability. To meet its development needs and strengthen comprehensive ESGmanagement, the Company established an ESG Strategy and Management Committee in April 2024, in accordance with the relevant guidelinesfrom the Shanghai Stock Exchange and the Company’s Articles of Association. The Committee aims to define the Company’s medium- tolong-term sustainability plan, solidify the Company’s ESG risk and opportunity management, enhance ESG information disclosure capabilities andrating levels, and promote the effective implementation of the sustainability strategy within the Company.
Sustainability Policy
Be committed to excellent operations,covering economic, environmental, communi-ty, and social dimensions.
Reduce negative impacts and increasepositive impacts on stakeholders, environ-ment, community, and society, as well asbusiness process of the organization.
Promote sustainable development ofbusiness counterparts involving ethicalbusiness operation with transparency andwithout fraud or corruption, respect forhuman rights, caring for safety and occupa-tional health, and environmental manage-ment.Promote development of business and socialinnovations to enhance efficiency andeffectiveness, together with value added to theorganization and stakeholders.
GoodWe ESG Governance Structure
The ESG Strategy and Management Committee consists of four permanent bodies, including the Group ESG Steering Committee, the EHSCommittee, the Information Security Committee, and the Sustainable Development Research Institute, working together to ensure the multidi-mensional advancement of the Company’s sustainability strategy.
GoodWe ESG Governance Responsibilities and Duties
Oversees and makes decisions on mattersrelated to the Company's sustainability.Regularly reviews reports from the ESGStrategy and Management Committee andassesses key documents, including thesustainability report, ESG major incidentresponse plans, ESG key project planning,and relevant internal policies.Reviews and approves key ESGdevelopment topics, ensuring alignmentbetween the Company’s core operationalphilosophy and sustainability principles.
Board of Directors
Responsible for formulating theCompany’s major medium- and long-termdevelopment topics, overseeing andtracking various system certificationprocesses (the Chairman of Committeeserves as the highest authority for allsystems), supervising implementation, andorganizing responses to external audits asthe primary planning and managementbody for the Company’s sustainability-re-lated systemsRegularly reports to the Board of Directorsand facilitates the effective implementa-tion of the sustainability strategyestablished by the Board of Directorswithin the Company.
ESG Strategy and Management
Committee
Appoints ESG implementation leads withinrelevant departments based on the ESGstrategy and business performanceindicators to carry out the correspondingtasks. Regularly reports on theimplementation status and work outcomesto ensure the comprehensive integrationof sustainability principles into theCompany’s operations and the continuousimprovement of the Company’s ESGperformance.
ESG Execution Level
Subsidiary CompaniesBusiness Departments
ESG Strategy and Management Committee
Board of Directors
Business Units
GoodWe places great importance on the Company’s sustainability, integrating ESG management into both its corporate strategy and dailyoperations. The Company strictly adheres to internationally recognized sustainability frameworks and principles, clearly defining its policies onESG. It has established and implemented internal regulations, such as the Sustainability Manual, and set up the Sustainable DevelopmentResearch Institute, responsible for formulating sustainability strategies, optimizing governance systems, ensuring compliance and risk manage-ment, enhancing internal and external communication, publishing sustainability reports, and promoting economic, environmental, and socialprogress. This ensures that the Company’s operations and management practices always align with relevant ESG standards and requirements.
To ensure the alignment of the ESG strategy with the Company’s overall strategic objectives, the Company’s daily ESG management is led by theSustainable Development Research Institute (SDRI) (hereinafter referred to as the “Institute”). The Institute is responsible for strategic planningand integrated governance, compliance and risk management, as well as stakeholder communication and report disclosure. It also provides afoundation for decision-making and planning for the other three permanent committees. Since its establishment in October 2023, the Institutehas continuously optimized its internal structure, establishing four dedicated groups, including the Supply Chain ESG Compliance Group, the ESGOperations Group, the ESG Market Group, and the ESG R&D Group. These groups were established to ensure the smooth implementation of theCompany’s systems and certification processes, enhance the performance of existing ratings, expand the Company’s external high-qualitycustomer base, create a smart energy ecosystem for joint market expansion, build a digital framework for ESG operations and supervision, andimprove the level of information disclosure.The Company actively engages in external industry collaboration and government partnerships while strengthening internal employees’knowledge and skills related to green development, driving the in-depth development of ESG management. In 2024, the Company participated in55 ESG-related activities, covering major Company activities and external industry exchange events, continuously enhancing both internal andexternal ESG practices and cooperation.
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Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Covers system certification, carbon inventory, energy consumption and otherdatabases to ensure the compliance and efficiency of the Company's operations.System operationdatabase
Includes supplier profiles, qualified suppliers, hazardous materials surveys, conflictminerals surveys, etc., to enhance the transparency and sustainability of the supplychain.Supply chain-relateddatabase
Covers product carbon footprint, ESG knowledge base, ESG service desk and otherdatabases, to enhance the empowered ESG awareness in the sales process.Sales supportdatabase
Includes the Company’s ESG ratings, ESG indicators, and stakeholder monitoring totrack the Company’s ESG performance.ESG performancedatabase
Materiality Assessment
GoodWe Double Materiality Assessment Process in 2024Understand the Company'sactivities and businessbackground
Double Materiality Assessment
Understand the Company's value chain and strategic planning.Interpret the Company's sustainability context and market environment.Understand the value chain impacted and key affected stakeholders.
After being reviewed and confirmed by the Board, key disclosures were presented in thesustainability report on topics of high materiality in 2024.
Create a list of topics
Based on the 21 topics in the "Guidelines", the Company combines with domestic andforeign sustainability standards (including but not limited to stock exchange disclosurerequirements, GRI standards, and international sustainable financial standards (SASB),adds industry-specific topics and eliminates topics with low industry relevance.Based on the Company’s actual situation and stakeholder communication, the Companyconducts preliminary identification and screening of relevant sustainability topics, andanalyzes the actual and potential impacts, risks, and opportunities related to these topics.
Confirm the materiality ofthe topic assessment
Conduct stakeholder communication through questionnaire surveys, evaluate from the twodimensions of "severity of impact" (impact scale, scope, irremediability) and "likelihood ofimpact ", and refer to internal and external expert opinions to form an impact materialitymatrix.
Confirm and approve the
topics
Impact materiality assessment
Communicate with Company executives and sustainability-related personnel throughquestionnaire surveys, evaluate from two dimensions: "likelihood of occurrence" and "extentof financial impact", and refer to internal and external expert opinions to form a financialmateriality matrix.
Financial materiality assessment
After normalizing the impact materiality and financial materiality matrices, a double materi-ality matrix is formed, and the boundaries of materiality topics are defined.
Double materiality conclusion
GoodWe Key ESG Practices in 2024
Externalactivities
Internalactivities
Worked closely with industry associations to actively respond to policy interpretations, promoted thedevelopment of green technologies and the implementation of environmental policies, and expandedpartnerships in the ESG field.Industry association exchanges
Collaborated with government agencies to participate in the formulation of ESG-related standards andsupported the transition to a green economy.
Strengthening government cooperation
Collaborated with supply chain partners to develop the green economy by sharing resources andfostering innovative partnerships, driving the expansion of green industries.
Collaborating with partners
Focused on raising internal employees’ awareness of green development, enhancing their knowledgeand skills, strengthening both internal and external green value chains, and ensuring the Company canlead sustainability globally while advancing ESG goals.Enhancing employee’s awareness
The Company is committed to strengthening Environmental, Social and Corporate Governance (ESG) management through digital transforma-tion. We have built a relevant ESG-related databases focusing on business needs and ESG management, which mainly includes the basicdatabase of honors, ratings, indicators and operations. It aims to facilitate the integration and analysis of ESG data, improve managementefficiency and support the Company's sustainability and decision-making. To facilitate the integration and analysis of ESG data, to improvemanagement efficiency and support the Company's sustainability and decision-making.
In 2024, GoodWe determined the materiality of topics in accordance with the Self-Regulatory Guidelines No. 14 for Companies Listed on ShanghaiStock Exchange—Sustainability Report (For Trial Implementation) (hereinafter referred to as the "Guidelines"), and referred to internationalsustainability information disclosure standards such as the Global Sustainability Standards Board (GSSB) GRI Sustainability Reporting Standards(2021 Edition) (hereinafter referred to as the "GRI Standard") and the Sustainability Accounting Standards Board (SASB) standards to analyzethe Company’s ESG-related topics from the perspective of impact materiality and financial materiality, in order to identify topics of materiality tothe Company.Note: This materiality assessment is based on the principle of financial materiality, adopting the Sustainability Accounting Standards Board(SASB) framework. SASB is selected for its industry-specific sustainability disclosure standards, which offer strong practicality and sectorrelevance.
1920GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
GoodWe Stakeholders and Communication Methods
Government and regula-tory authorities
Main stakeholders
Pollutant dischargeEnvironmental compliance managementWaste disposalCorporate governanceBusiness ethicsRisk and compliance managementEcosystem and biodiversity protection
Topics of concern
Policy instructionWork reportInformation submissionOn-site inspection
Employees
Employee employment and rightsEmployee training and developmentOccupational health and safetyBusiness ethicsDigital transformation
Employee representativecommunication and consultationmeetingsInternal communication platformEmployee satisfaction surveyEmployee EAP
Community and the public
Community engagement and contributionResponding to climate changeEnergy utilization
Volunteering servicePublic welfare activities
Suppliers and partners
Sustainable supply chain managementBusiness ethicsResponding to climate changeProduct quality and safetyProduct lifecycle managementCircular economyEnergy utilizationWater resources utilization
Invited tenders meetingResearch visitExchange and cooperationIndustry Forum
Customers
Product quality and safetyProduct lifecycle managementR&D and innovationCustomer relationship managementData security and customer privacyprotection
Customer visitCustomer complaintSatisfaction surveyTelephone and email communication
Shareholders andinvestors
R&D and innovationRisk and compliance managementCorporate governance
Shareholders' meetingInvestor’s meetingResearch roadshowInformation disclosureTelephone and email communication
Communication methods
Stakeholder Communication
GoodWe Impacts, Risks and Opportunities Assessment of Material Topics in 2024No.Topics
Impactedstakeholders
Impact descriptionRisk/Opportunity typeImpact scope1
Responding toclimate change
Policy and regulation risk
Market riskMarket opportunity
Short, mediumand long term
Short, mediumand long term
Medium and
long term
Medium and
long term
By promoting the development andpromotion of clean energy technologies, theCompany has significantly reduced itsdependence on fossil fuels and helpedreduce global greenhouse gas emissions. Itsphotovoltaic, energy storage and othersolutions not only make the global energymix greener but also improve energyefficiency and reduce pollution caused byenergy production and consumption.
Supplier and
partnerCommunity and
the public
Energyutilization
Energy Sources
OpportunityBy implementing an efficient energymanagement system, the Company focuses onreducing energy consumption in its ownoperations and optimizing energy efficiency inproduction and operations. In addition, theCompany actively optimizes the energystructure, increases the proportion of cleanenergy use, and promotes the flexibleapplication of clean energy in multiplescenarios.Suppliersand partners
Water resources
utilization
Resource efficiency
opportunityAlthough the Company takes certain watermanagement measures, the high waterconsumption requirements in the Company'sdaily operations may place pressure on waterresources, especially in water-scarce orecologically sensitive areas, exacerbatinglocal water stress.
Pollutantdischarge
Policy andregulation risk
Improper management of waste disposal,hazardous substance control, and emissionsduring the production process may lead tosoil, water, and air pollution, impactingecosystems and human health. Additionally,an increase in waste can result in resourceinefficiency, and if not effectively recycled ortreated, it will further exacerbateenvironmental burdens.If the Company does not establish a strictcompliance system to monitor and manageproduction, emissions and waste disposal, itmay lead to omissions or failure to respondto environmental regulations in a timelymanner. Inadequate environmentalcompliance systems may lead to risks suchas excessive emissions and improper wastedisposal, exacerbate the pollution burden ofwater sources, soil and air, and damage thelocal ecological environment.
Waste disposal
Environmental
compliancemanagement
Government and
regulatoryauthorities
Due Diligence
According to the characteristics of its own business and operations, the Company benchmarks domestic and foreign industry practices, andidentifies key stakeholders as government and regulatory authorities, shareholders and investors, customers, employees, suppliers and partners,and the community and the public. Through regular meetings, information disclosure and other channels, the Company establishes a regularcommunication mechanism with various stakeholders and actively responds to the demands and expectations of stakeholders.
The Company collaborates with external experts and internal sustainability teams to conduct due diligence related to sustainability, identify,analyze, and sort out the economic, environmental, and social impacts of various ESG topics in the short, medium, and long term, as well as therisks and opportunities arising from business operations and models, and disclose the Company's targeted management measures and practic-es.
2122GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Data securityand customerprivacy protection
Policy andregulation riskIf the Company fails to take adequate technicalmeasures to safeguard the personalinformation of customers and employees, itmay lead to sensitive data leakage or exposureto cyberattacks, which not only violatespersonal privacy, but also triggers a crisis oftrust in the ability of enterprises to protect theirdata.Customers
Sustainablesupply chainmanagement
Supply chain
stability riskMarket opportunityIf the Company fails to ensure that its supplierscomply with relevant policy standards, it mayresult in the procurement of unsustainable rawmaterials or improper production processes.This not only increases the environmentalburden but may also infringe upon labor rights,leading to social issues such as poor workingconditions and unequal wages.Suppliersand partners
R&Dand innovation
Technical riskMarket opportunityThe Company promotes the popularization andapplication of green energy by continuouslypromoting technological innovation anddeveloping efficient and low-cost renewableenergy solutions. Its breakthroughs inphotovoltaic technology and energy storagesystems not only improve energy efficiency butalso contribute to reducing global carbonemissions and addressing climate change.Shareholdersand investors
Customers
Digitaltransformation
Technical riskMarket opportunityThe Company uses advanced digital technolo-gies and intelligent systems to improve theefficiency and transparency of energymanagement, and to promote the more efficientand accurate application of renewable energy.Employees
Communityengagementand contribution
ReputationalopportunityThe Company improves the quality of life ofresidents by carrying out various public welfareactivities and supporting community develop-ment. Participating in environmental protection,education, poverty alleviation and other projectsnot only promotes the fulfillment of socialresponsibility but also promotes the sustainabili-ty of the community.Communityand the public
Corporategovernance
Operation riskMarket opportunityIf the Board structure or governance policydoes not properly represent the interests ofshareholders and stakeholders, it may lead toshareholder dissatisfaction and internalconflicts, so as to damage the Company’sreputation.Shareholdersand investors
Business ethics
Policy and
regulation riskUnfair competition
riskIf the Company engages in opaque or unfairpractices in transactions with suppliers,customers, or partners, such as pricemanipulation, false propaganda, or corruption,it may harm fair competition in the market anddamage the industry ecosystem.Government and
regulatoryauthoritiesEmployeesSuppliers and partners
Risk andcompliancemanagement
Operational riskMarket opportunityIf the Company fails to adequately identifyand respond to environmental, legal, ormarket risks, it may result in complianceissues or legal disputes, thereby damagingits reputation within the industry.Stakeholdersand investorsGovernmentand regulatory
authoritiesNote 1: The impact time range refers to the China Corporate Sustainability Disclosure Standards - General Standards (For Trial Implementation) of the Ministry of Financeof China and the actual setting of the Company's operations. Short-term refers to within 1 year (including 1 year) after the end of the reporting period; medium-term refersto 1 to 5 years (including 5 years) after the end of the reporting period; long-term refers to more than 5 years after the end of the reporting period.
Circulareconomy
Resource efficiency
opportunityBy incorporating circular economy conceptsinto product design and production, theCompany places great emphasis on theefficient use of resources and the recyclingof materials, reducing dependence on naturalresources and reducing waste generation.Suppliersand partners
Government
andregulatory authorities
Ecosystem
andbiodiversityprotection
ReputationopportunityIf the Company does not fully assess theimpact on the local ecosystem whenexpanding production facilities or developingrenewable energy projects, it may disrupt ordamage wildlife habitats, posing a threat tobiodiversity.
Product lifecycle
management
Policy and regulation risk
Market opportunityThe Company pays attention to environmen-tal protection in all aspects of productdesign, production, use and recycling, andprioritizes low-carbon and renewablematerials to reduce resource consumptionand pollutant generation.CustomersSuppliers and partners
Product quality
and safety
Product installation
risk
Product adaptability
opportunityIf the Company fails to strictly control thequality standards of products or neglectssafety testing, it may lead to substandardproducts entering the market, increasing therisk of equipment failure and accidents,which in turn poses a threat to the safety ofusers and the public.CustomersSuppliers and partners
Employeeemployment
and rights
If the Company's management of labortreatment and working environment is not inplace, it may lead to violations of employees'rights and interests, such as low wages, longworking hours, or poor working conditions.
Occupationalhealth and safety
Policy andregulation riskIf the Company fails to provide adequatesafety measures or there are hidden dangersin the working environment, it may lead tothe risk of injury or occupational diseases atwork, which not only affects the health andquality of life of employees but alsoincreases the burden on the social medicalsystem.
Employee trainingand development
Operation riskDigital opportunitThe Company helps employees improve theirprofessional skills and enhance theiremployment competitiveness by providingsystematic vocational training anddevelopment opportunities. This not onlycreates favorable conditions for employees’personal career growth but also promotesthe improvement of the overall quality of thelabor force in society.
Employees
Customerrelationshipmanagement
Service Response
RiskMarket opportunityIf the Company fails to effectively meetcustomer needs or miscommunicates, it mayresult in poor customer experience, which inturn affects the overall service quality of theindustry and consumer trust.Customers
Short, mediumand long term
Short, mediumand long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium and
long term
Medium andlong term
Medium and
long term
No.Topics
Impactedstakeholders
Impact descriptionRisk/Opportunity typeImpact scope1No.Topics
Impactedstakeholders
Impact descriptionRisk/Opportunity typeImpact scope1
2324GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
GoodWe Double Materiality Metrix in 2024
Double Materiality Assessment ConclusionBased on the background of operations and business relationships, the Company initially identified and selected 22 topics through aquestionnaire survey and a combination of standard benchmarking, policy analysis, and industry benchmarking.
material topics
with double materiality
with only ?nancial materiality
with only impact materiality
questionnaires were collected in total.The assessment results of ?nancial and impact materiality are
R&D and innovationImpact materiality
Financial materiality0 1 2 3 4 5 6 7 8 9 10
Responding to climate changeProduct quality and safetySustainable supply chain management
Corporate governanceRisk and compliance managementOccupational health and safety
Employee employment and rights
Data security and customer privacy protectionDigital transformationEnvironmental compliance management
Energy utilizationCircular economyCustomer relationship management
Product lifecycle managementWaste disposal
Business ethicsEcosystem and biodiversity protection
Pollutant dischargeCommunity engagement and contribution
Employee training and development
Water resources utilization
With both financial materialityand impact materialityWith financial materiality, butwithout impact materialityWith impact materiality, butwithout financial materiality
Neither of financial materialitynor of impact materiality
The management of each topic will be elaborated based on the materiality of each topic.
GoodWe Changes of Material Topics in 2024
2024 Material topics2023 Material topicsChangesReasonsResponding to climate change
Names of topics were revised tobetter meet the requirements of
the Guidelines
New topics were added tobenchmark the requirements of the
Guidelines
A new topic was added tobenchmark against SASB industry
guidelines
topics were integrated to
systematically present theCompany's performance in the
field
Topics were revised to provide a more
comprehensive picture of theCompany's performance in the field.
A new topic was added because theCompany has important practices in this
field, such as energy digitalization,
warehousing digitalization, etc.
Response to climatechange and energy conservationEnergy utilization
Clean energy exploitation
and utilizationWater resources utilization
Use and management
of water resourcesPollutant dischargePollutant managementCircular economyCyclic utilization of resources
Customer relationship
management
Customer services
Employee employment
and rights
Protection of employee rightsand interests, Equal opportunities
and diversity
Business ethicsBusiness ethicsRisk and compliance
management
Compliance and risk management
The name of the topic was revised
to simplify the presentation.
R&D and innovation
R&D and innovation,
Intellectual property protection
Environmental compliance
management
Ecosystem and biodiversity
protection
Biodiversity protection
Revision
RevisionRevision
Addition
Addition
Addition
Integration
Data security and customerprivacy protectionWaste disposal
Digital transformation
Product lifecycle
management
2526GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Contribution to the United Nations SustainableDevelopment Goals (SDGs)The Company joined the United Nations Global Compact (UNGC) in 2021, firmly practicing the ten principles of the Global Compact, coveringhuman rights, labor standards, environmental protection and anti-corruption. The Company actively connects with sustainability stakeholdersaround the world, with smart energy as the core, to help protect the ecological environment, and jointly draw a beautiful blueprint for sustainablehuman development.At the same time, the Company actively responds to the United Nations Sustainable Development Goals (SDGs), adheres to the principle ofcreating value for various stakeholders, combines corporate operations with Strategy and Development direction, accurately identifies 16 SDGs,clarifies resource investment priorities, and continuously improves sustainability capabilities. The material topics identified by the Company arehighly consistent with the SDGs, and the specific correspondence is as follows:
R & D and Innovation, Responding to Climate Change, ProductQuality and Safety, Sustainable Supply Chain Management,Corporate Governance, Digital Transformation, EmployeeTraining and Development
Double materiality topics
Customer Relationship Management, Product LifecycleManagement, Business Ethics Waste Disposal
Financial materiality topics
Occupational Health and Safety, Risk and ComplianceManagement, Employee Employment and Rights, Data Securityand Customer Privacy Protection, Energy Utilization,Environmental Compliance ManagementImpact materiality topics
Circular Economy, Ecosystem and Biodiversity Protection, WaterResources Utilization, Community Engagement andContribution, Pollutant DischargeTopics without impact materiality or ?nancial materiality
The Company has established a climate change management structure consisting of the Board of Directors, the ESG Strategy and ManagementCommittee, and the ESG Execution Level to ensure that climate-related topics are integrated into the Company’s strategic decisions and businessoperations for effective governance and implementation.As the highest governance body, the Board of Directors is responsible for coordinating the Company’s climate change and low-carbondevelopment strategies and assumes the ultimate decision-making and supervisory responsibilities, ensuring that climate change managementis embedded in the Company’s core operating philosophy. The ESG Strategy and Management Committee is responsible for reviewing, assessing,and supervising ESG-related matters such as significant climate change. This includes goal setting, policy formulation, execution management,risk assessment, performance monitoring, and information disclosure. The ESG Strategy and Management Committee holds at least one meetingeach year, focusing on the impact of climate-related risks and opportunities on the Company’s business, and reports to the Board of Directors.The Company’s Sustainable Development Research Institute is responsible for collaborating with the ESG Execution Level at the group level toadvance key initiatives such as carbon emission management and zero-carbon park development. It reports on related targets and progress tothe ESG Strategy and Management Committee.
Governance
Responding to climate change is a key aspect of GoodWe’s sustainable managment. The Company actively responds to China’s “Dual Carbon”goals and is committed to promoting the low-carbon transition of the energy industry and facilitating the green energy transformation throughinnovative technologies and solutions.The greenhouse gas (GHG) emissions generated during the Company’s operations mainly include direct emissions from the production process(such as the combustion of gasoline, diesel, natural gas, the release of refrigerants, HFC-227ea, and carbon dioxide, as well as anaerobicdecomposition of organic substances) and indirect emissions (such as the use of purchased electricity), as well as indirect emissions across thevalue chain (such as the transportation of materials, waste, and products, employee commuting and business travel, waste disposal, andpurchased goods).
2728GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Feature Story:
Energy Revitalization in Low-Carbon Era
Responding to Climate Change
GoodWe Climate-related Risk and Opportunity AnalysisRisk/opportunity typeSpecific descriptionAffected value chainFinancial impact
Physical risk
As the climate change process intensifies, extremeweather events such as typhoons, floods, anddroughts are increasing in frequency, which maycause damage to the Company’s equipment andfacilities, as well as supply chain disruptions.
Upstream value chainOwn production and operationsDownstream value chain
Operating costsincrease andrevenue decreases
Market risk
Insufficient supply of sustainable raw materialsfrom upstream suppliers requires the Companyto actively drive the suppliers to undergolow-carbon transformation, adopt lower-carbonproduction technologies, and verify theirsustainability through third-party certification. Ifsuppliers fall behind in transformation, theCompany may face weaker marketcompetitiveness.
Upstream value chainOwn production and operations
Operating costsincrease andrevenue decreasesand profitdecreases
Market opportunity
Climate change, as a global challenge, alsocreates unprecedented developmentopportunities for the renewable energy industry.As a photovoltaic manufacturing company, theCompany’s production of low-carbon-footprintproducts not only aligns with the global greendevelopment trend but also serves as animportant strategic direction for expanding themarket and enhancing competitiveness.With the increasing global demand for carbonemissions reduction, innovation in PV powergeneration technology will become a significantopportunity. The Company can strengthenresearch and development of high-efficiency PVinverters to improve product conversionefficiency and stability, promote broaderdistributed PV applications, and supportlarge-scale clean energy integration.
Own production and operationsDownstream value chain
Revenue increases
Own production and operationsDownstream value chain
Revenue increases
Policy and regulation risk
The European Union’s “Fit for 55 Package”climate and energy legislation and the EUBattery Regulation set strict requirements forGHG emissions reduction and product carbonfootprints. If the Company fails to meet theseregulatory requirements, it may face marketaccess restrictions, increased compliancecosts, and
Upstream value chainOwn production and operationsDownstream value chain
Operating costsincrease andrevenue decreases
Technology opportunity
The Company has defined climate-related risks and opportunities with reference to the International Financial Reporting Standards SustainabilityDisclosure Standard S2 - Climate-related Disclosures (IFRS S2). Considering its business characteristics and industry status, the Company hasconducted identification and assessment of climate-related risks and opportunities and actively formulated and advanced a climate action planto ensure the long-term sustainability of the Company’s business.The Company adheres to sustainability as its core strategy, establishing an all-encompassing and systematic climate action framework topromote low-carbon growth and green transformation. Simultaneously, through technological innovation, the Company has driven industryupgrades, optimized the energy structure, enhanced the proportion of clean energy, and built a low-carbon, intelligent, and efficient energysystem.
Strategy
GoodWe Climate-related Risk and Opportunity Management Process
Impacts, Risks, and Opportunities Management
Climate Change Management Practices
GoodWe consistently regards sustainability as one of its core corporate strategies, striving to deeply integrate the zero-carbon concept intoproduction operations, product innovation, and industrial clusters. By establishing dedicated task forces to conduct organizational carboninventories and product carbon footprint certifications, the Company continuously monitors carbon emissions and identifies opportunities forcarbon reduction. Furthermore, the Company applies the "building-as-a-power-plant" design concept and intelligent energy management systemsat its Suzhou headquarters and Guangde factory, actively developing zero-carbon parks to achieve localized energy consumption and efficientutilization. In addition, the Company continuously advances technological innovation and iteration across its entire product portfolio. Itsgrid-connected inverters are designed to operate stably and efficiently under various natural conditions, including high temperatures, highaltitudes, sandstorms, salt spray, and low temperatures. The Company also provides diversified solutions—such as energy storage, heat pumps,and photovoltaic building materials—tailored to different scenarios. These efforts comprehensively support the Company and its partners ineffectively mitigating climate change and advancing toward a low-carbon future.
Identify the environmental and climate change impacts of the Company’s activities, including quantitative data such as GHGemissions.Collect external environmental data, including climate change forecasts, changes in policy and regulatory, market trends, andtechnological developments, to predict their potential impact on the Company’s operations.
Use quantitative methods, such as resource consumption indicators and dependency coefficients, to quantify the Company’sreliance on climate change.Quantify the environmental impact of the Company’s activities through Life Cycle Analysis (LCA) and carbon footprint calculationtools.Use risk matrices or scenario analysis to assess the severity and likelihood of climate-related risks, prioritizing risks based onthese dimensions.Assess the difficulty of realizing opportunities and their potential returns, prioritizing them based on market demand, technologicalinnovation, and policy support.
Regularly monitor changes in the external environment to ensure timely identification and tracking of climate-related risks andopportunities; adjust strategies based on monitoring results to respond promptly to the impacts of external environmental changesor internal operational adjustments; and regularly review and optimize the management processes for climate-related risks andopportunities.
The Company has established a systematic management process to comprehensively manage climate-related risks and opportunities throughactivities such as identifying environmental impacts, collecting external data, conducting quantitative analysis, and performing riskassessments. Regular monitoring and strategy optimization ensures the effectiveness and timeliness of the Company’s response to climatechange, helping the Company maintain competitiveness in a low-carbon economy.
Identification and analysis
Assessment and prioritization
Monitoring and improvement
2930GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
In response to extreme weather events such as typhoons and heavy rainfall, the Company has established a comprehensive natural disasterresponse mechanism. By continuously monitoring and analyzing weather forecast data, the Company can promptly and accurately identify andassess the severity of potential impacts, issue company-wide alerts, and swiftly initiate pre-established emergency plans. Moreover, the Compa-ny places great emphasis on emergency supply preparedness, ensuring that all necessary materials are adequately stocked and readily available.The Company also continuously enhances its protective infrastructure and regularly conducts safety training and emergency drills for all employ-ees, minimizing disaster-related losses and safeguarding both personnel and assets.
The Company continuously monitors activity data related to greenhouse gas emissions, identifying opportunities for emission reductions andfuture implementation paths to actively address climate change challenges. In 2024, the Company further expanded the organizationalboundaries for carbon assessments, covering the Global headquarters and factory, Guangde factory, and Yude New Energy, and added theassessment of Scope 3 greenhouse gas emissions. This work provides data support for setting future emission reduction targets. Due to therelocation of the headquarters building in 2024, and the addition of the Shunde and Vietnam factories, the actual carbon emissions have changedsignificantly. To improve data management and ensure the comparability of indicators, the Company plans to use the results of the 2025greenhouse gas assessment as the baseline year data. This will more accurately reflect the Company’s greenhouse gas emissions and providea scientific basis for setting and managing future emission reduction targets, contributing to the achievement of global temperature controlgoals.
Metrics and Targets
In September 2024, the Integrated Management Center conducted a discussion and summary of the response to Super Typhoon“Bebinca”, focusing on flood control, typhoon, and extreme weather response measures. Various aspects of flood control work,including emergency response plans, material reserves, and disaster relief, were discussed, the risks encountered during the eventwere reviewed, and improvement measures were proposed. Additionally, the Company carried out early warning measures for thenew round of Typhoon “Pulasan” through the development of emergency response plans, enhanced patrols, and the promotion offlood control knowledge.
Retrospective of Response to Super Typhoon "Bebinca"Case
Smart Energy BuildingCase
The Smart Energy Building is a Class Aintegrated office building that combinesoffice space, conference facilities, R&D areas,and supporting functions, with a totalconstruction area of approximately 72,321.46square meters.. During its design andconstruction, the building strictly adhered togreen and low-carbon principles, achieving anoverall building energy-saving rate of 52.18%,a local energy-saving rate of 30.33%, a greenspace rate of 25%, and a renewable energyutilization rate of 34.41%. The building fullyutilizes natural energy, saving 292.22 tons ofstandard coal annually, and reducing carbondioxide emissions by 644.57 tons. Thearchitecture of the building incorporatescutting-edge technologies such as smartenergy, photovoltaic curtain walls, and energystorage. It was constructedaccording to the Green Building Three-Star Standard, successfully creating a model building that is electrified, intelligent, andlow-carbon. The building has won many honors such as the "Projects under China's 14th Five-Year Plan National Key R&DProgram"and "Ultra-low Energy Consumption Building".
In 2024, Guangde factory, with its outstandingPV renewable energy technology and greenproduction practices, was included on the listof the first batch of proposed “Zero-CarbonIndustrial Parks” in Anhui Province. Newbuildings in the park were designed andconstructed in compliance with greenbuilding standards, with carbon emissionscalculations for civil buildings to reduce thecarbon emission intensity per unit of floorarea. The park has built an intelligent microg-rid with integrated PV power generation,storage and charging capabilities, achievingintelligent energy management within thepark through “automation, intelligent andsmart technologies.” In the productionsystem, the park uses high-efficiencyequipment, products, and technologies, andinsists on establishing a sustainability greensupply chain to achieve low energy consump-tion and low emissions during productionprocesses.
Guangde Factory Was Selected as One of the First “Zero-Carbon Industrial Parks” in Anhui ProvinceCase
3132GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Energy UtilizationEnergy Management SystemThe types of energy consumed in GoodWe’s operations include gasoline, diesel, natural gas, and electricity. The Company strictly adheres to lawsand regulations such as the Energy Law of the People’s Republic of China, the Law of the People’s Republic of China on Energy Conservation, andthe Energy Conservation Regulations of Jiangsu Province, and has formulated internal regulations such as the Energy Management System andthe Energy Monitoring and Measurement Control Procedures to ensure effective management and control of energy consumption in alloperations, driving energy-saving and emission-reduction efforts. The Company has established a regular energy management review mecha-nism, conducting at least one internal audit annually, with a focus on energy performance and the effectiveness of the management system. Theaudit results are promptly feedbacked, and corrective measures are implemented to ensure that energy unit consumption issues are effectivelyimproved. For non-compliance items, the responsible departments of the Company analyze the causes and develop corrective actions to ensurecontinuous optimization of energy management. In 2024, the Company’s Suzhou and Guangde factories obtained ISO 50001 Energy Manage-ment System certification.Energy Management Practices
GoodWe Energy Management Key Practices in 2024Strengthened statistical management of energy consumption and established a “three-in-one” management system forenergy conservation management, supervision, and services.Improved the energy metering management system, enhanced the metering equipment coverage rate for secondaryenergy-consuming units and major energy-consuming devices, and conducted regular calibration.Optimized procurement controls for electricity, natural gas, industrial gases, and other types of energy.
Optimized process schemes and continued to implement the plan to reduce machine agingtime to decrease energy consumption.Optimized the power-on self-start logic of existing equipment, so that heat dissipation wasactivated when either side (A/B) of the machine was undergoing aging.Added smart meters to collect data in areas such as the workshop assembly zone, aging zone, Automatic Transfer Switch(ATS) zone, and packaging zone.Independently developed monitoring and data collection software to collect and store data for each zone; independentlydeveloped Business Intelligence (BI) dashboard displays for energy consumption data.Monitored high-energy-consuming devices in real-time, adjusted operating loads, reduced idle time, and improved energyefficiency.
The national “Dual Carbon” target has further driven the energy industry toward green and low-carbon development. The govern-ment has called for the accelerated construction of a new power system, solving the problem of the local consumption ofrenewable energy, increasing the storage proportion, and driving power market mechanism reforms. In response to this trend, theCompany has used the smart energy management solutions offered by the SEMS to help businesses and energy investors improvetheir renewable energy consumption capabilities, optimize energy costs, and enhance the flexibility and stability of the powersystem.The SEMS, centered around the "Six Assurances" solution, comprehensively enhances the investment, management, operation,security, and profitability of renewable energy assets. For instance, in the investment phase, the SEMS provides precise photovolta-
GoodWe Smart Energy Management System (SEMS)Case
To effectively address energy consumption waste during production, the Guangde factory organized a special team to conductbrainstorming sessions and used the fishbone diagram analysis method to deeply examine various potential causes of energy wastefrom multiple dimensions, including materials, machinery, personnel, management, environment, and testing. The team ultimatelyidentified key influencing factors such as equipment idling and heat energy control, and developed improvement strategies. Forexample, two heating modes were set up on-demand in the aging room, a standby mode was added to the automatic aging line,exhaust ducts were installed in the load area, and additional air supply ducts were added. The project lasted nine months andultimately achieved a reduction of approximately 50,000 kWh in electricity usage annually. It was then incorporated into the Compa-ny’s standardized management procedures, which now clearly require that large heating equipment must be set to energy-savingmodes.
Guangde Factory Equipment Aging Energy-saving ProjectCase
Energy-saving managementsystem development
Equipment and processupgrades
Through various energy-saving transformations and management optimization measures, the Company has continually improved energyutilization efficiency and reduced operational costs. Additionally, the Company has ensured the continued promotion of energy-saving measuresthrough strengthened energy-saving assessments, optimized energy procurement, and staff energy-saving training. The Company hasestablished a comprehensive assessment system for process and product unit consumption, implementing a tiered evaluation based ondifferent management levels. During implementation, the Company adopts an incentive mechanism of "rewarding energy saving and penalizingexcessive consumption" to encourage employees to actively explore energy-saving potential in production management, equipment operation,and process control, aiming to achieve both energy conservation and production cost reduction objectives.
Guangde factory’s virtual power plant project, with its innovative technological solutions and excellent implementation results, wassuccessfully selected as one of the first virtual power plant pilot demonstration projects in Anhui Province. With the support of localgovernments and power supply companies, the project successfully gathered 23 adjustable users, including 20 distributed PVenterprises with a total installed capacity of 62 MW, and three large industrial users, covering various types of resources such asenergy storage, air conditioning, charging stations, and shiftable production loads. The total capacity reached 76 MW, with an adjust-able capacity of 18 MW.
Guangde Factory Launched a Virtual Power Plant Demonstration ProjectCase
Intelligent energy consumptionmanagement
Against the backdrop of the global energy transition, the Company launched the SEMS, dedicated to providing digital asset manage-ment, intelligent operation and maintenance, energy management for parks, and asset value-added services for distributed energyinvestors, partners, and energy-consuming enterprises.
3334GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Business for Goodand Robust Governance
Corporate GovernanceBusiness EthicsRisk and Compliance Management
SDGsContents
Introduction3536About GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability ReportBusiness for Good andRobust Governance
Corporate GovernanceRobust corporate governance is the cornerstone of a company’s sustainability. GoodWe strictly complies with the Company Law of the People’sRepublic of China, the Securities Law of the People’s Republic of China, the Code of Corporate Governance for Listed Companies, the Rules Govern-ing the Listing of Stocks on the STAR Market of the Shanghai Stock Exchange, and other relevant laws and regulations. Through standardizedgovernance mechanisms, the Company ensures that all decision-making processes comply with legal and regulatory requirements.
The Company has established internal regulations such as the Articles of Association, the Rules of Procedure for General Meeting of Sharehold-ers, the Rules of Procedure for Board of Supervisors, and the Management Regulations on Related Transactions, providing a solid institutionalguarantee for corporate governance.In 2024, in accordance with the Interim Measures for the Administration of Shareholding Reduction by Shareholders of Listed Companies and theMeasures for the Administration of the Takeover of Listed Companies, the Company revised its internal management systems, including the ProfitDistribution Management System and the Management System for Shareholding Changes of Directors, Supervisors, and Senior Management.These revisions further clarified the procedures for handling the shares held by directors, supervisors, and senior management members andtheir changes, regulating the shareholding behavior of the senior management and key personnel to ensure alignment of their interests with theCompany’s development goals.
Governance
GoodWe Corporate Governance Structure and ResponsibilitiesThe General Meeting of Shareholders is the highest decision-making body of the Company, responsiblefor making key decisions to maximize shareholder interests.It convenes regular Shareholders’ Meetings to ensure that the procedures for convening, holding,deliberating, voting, and decision-making comply with legal requirements.
General Meeting of Shareholders
The Board of Directors has four specialized committees: The Audit Committee, the Nomination Committee,the Remuneration and Evaluation Committee, and the Strategy Committee, ensuring that the Company’sdecisions in key areas are scientific and professional.Board of Directors
The Board of Supervisors is responsible for overseeing the financial position of the Company, and the legalityand compliance of the directors and the Senior Management in performing their duties.Board of Supervisors
The Management is responsible for daily operations and implementing the decisions of the Board ofDirectors, ensuring the efficient execution of the Company’s business.
Management
The Company has established a corporate governance structure consisting of the General Meeting of Shareholders, the Board of Directors, theBoard of Supervisors and the Management, and has clarified the functions of each governance body to ensure efficient and transparent corporategovernance. The Board of Directors has set up four specialized committees: The Audit Committee, the Nomination Committee, the Remunerationand Evaluation Committee, and the Strategy Committee. The Board of Directors and each committee perform their respective functions accord-ing to the Company’s regulations, providing strong support for scientific decision-making.
Diversity of the Board of DirectorsThe Company actively promotes the diversity of the Board of Directors, focusing on recruiting directors with varying genders, backgrounds,experience, and professional expertise. The Board of Directors of the Company is composed of six members, including two female directors andthree independent directors. The three independent directors have diverse professional backgrounds. Specifically, one has an accountingbackground with solid financial and auditing experience; another has an academic background in finance, providing strong financial researchcapabilities; and the third has been deeply engaged in the renewable energy industry, offering strategic industry insights for the Company.Information DisclosureIn accordance with the Management Regulations on Information Disclosure and other internal regulations, the Company has establishedstandardized disclosure and reporting procedures to ensure the accuracy, timeliness, fairness, and completeness of information disclosed. TheCompany actively fulfills its information disclosure responsibilities, aiming to build a transparent and trustworthy image as a listed company andenhance investor confidence and market recognition.
GoodWe Corporate Governance Risk and Opportunity Analysis
Risk/opportunity typeSpecific descriptionFinancial impact
Market opportunit
Operational risk
In the future, if the Company's main overseas sales countries orregions initiate trade frictions and disputes regarding productssuch as photovoltaic inverters, or if unfavorable trade and tariffpolicies for the import and export of the Company’s products areintroduced due to changes in the political and economic environ-ment, or if the Company is unable to fully understand and applyinternational trade rules in international trade, it could have anadverse impact on the Company’s overseas business developmentand sales in international markets.
Operating costs increaseRevenue decreases
With the growing global demand for clean energy, the Company canexpand into emerging overseas markets through industrial chaincooperation, strategic investments, and other means, enhancing itscompetitiveness in the global market.
Revenue increases
The Company actively promotes a diversified governance structure, strengthens its reputation management mechanism, and enhances transpar-ency in information disclosure and international communication mechanisms. On the basis of ensuring a sound corporate governance system,the Company has actively identified and assessed potential risks and opportunities to promptly manage various risks that may affect operations,finance, and reputation and seize new opportunities in the industry’s development.
Strategy
In terms of corporate governance, the Company has established a rigorous and orderly risk management process. The Securities Legal Depart-ment has strengthened internal controls and audit supervision to comprehensively identify potential governance risks, conduct precise riskassessments, determine risk priorities, and develop targeted and differentiated response strategies. This ensures effective risk management,enhancing the Company’s investment value and shareholder returns.
Impacts, Risks, and Opportunities Management
3738IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
Business EthicsGoodWe has always based its development on integrity and compliance, strictly adhering to the Criminal Law of the People’s Republic ofChina, the Anti-monopoly Law of the People’s Republic of China, the Anti-monopoly Law of the People’s Republic of China, the Anti-UnfairCompetition Law of the People’s Republic of China , the Supervision Law of the People’s Republic of China, Anti-Unfair Competition Law ofthe People’s Republic of China , the Regulations of the People’s Republic of China on the Punishment of Corruption, and other relevant lawsand regulations. The Company adheres to a “zero tolerance” policy toward unethical business conduct and unfair competition, safeguardingthe legal rights and interests of the country, the Company, and all stakeholders.The Company has established internal policies such as the Control Procedures of Business Ethics, the Control Procedures of Anti-corruption andAnti-bribery, the Administrative Service Manual, and the Integrity System to ensure adherence to high ethical standards in business operations.The Company has set up an Ethics and Compliance Committee composed of the Management, Administrative Department, Human ResourcesDepartment, and employee representatives. The Committee’s main responsibilities include regularly conducting integrity inspections andsupervising employee integrity behavior, investigating and handling whistleblower reports to ensure the smooth operation of reporting channels,overseeing the implementation of integrity-related systems, and providing improvement recommendations. Additionally, the Committee exercis-es its supervisory power independently and reports on its supervisory activities to the Management regularly.
Governance
The Company has always adhered to the principles of integrity and compliance and established its business ethics management system withreference to the SA8000 standard. It conducts regular internal and external risk assessments and reviews to ensure timely handling of risks andthe implementation of remedial measures. The Company strictly complies with relevant laws and regulations in all business operations, ensuresthe performance of contracts, actively fulfills its social responsibilities, and injects momentum into corporate development with robust goodwilland the spirit of the rule of law. This helps drive the Company’s continued growth, gaining the trust and support of society, the industry, andinvestors.The Company has actively identified risks related to business ethics and taken timely and effective response measures to address those whichmay affect its development.
Strategy
Management of Investor Relations
In 2024, the Company disclosed a total of 140 documents, including 79 announcements and 61 public documents.In 2024, the Company received a Grade B (Good) rating from the Shanghai Stock Exchange (SSE) for information disclosurein 2023-2024.2024
The Company follows internal regulations such as the Management Regulations on Investor Relations and the Management Regulations onInvestor Survey and Media Interview Reception. Through channels such as investor hotlines, emails, SSE e-interaction, and investors’ meetings,the Company maintains close and efficient communication with market investors. In addition, the Company has set up the Securities Departmenthotline to promptly answer investor and media inquiries, ensuring open communication channels for investors and media and allowing investorsto access the latest information on the Company’s operations and strategic plans in real time.In 2024, the Company developed the Market Capitalization Management System, establishing a market capitalization management organizationand clarifying the early warning mechanism and implementation path. The goal is to improve the Company’s investment value, enhance investorreturns, and safeguard investor interests through scientific management and effective communication strategies. In addition, to strengthenpublic opinion management, the Company has established the Public Opinion Management Policy, aimed at enhancing its ability to respond tovarious public opinions. The policy defines the organizational system for public opinion management, with the Chairman serving as the primaryresponsible person, while other departments collaborate with the Securities Department to handle the collection and management of publicopinion information. By setting up reporting and disposal processes for public opinion information, the Company is able to take swift action inthe event of a crisis, mitigating the negative impact of public opinion on the Company's operations and market performance.
GoodWe Corporate Governance Performance in 2024GoodWe Corporate Governance Performance in 2024The Board of Directors consistsof6 members
including 2 female directors3 independent directors.
6 shareholder meetings, with 23 resolutions passed.11 board meetings, with 51 resolutions passed.7 supervisory board meetings, with 25 resolutions passed.3 public performance briefings.171 investor communication sessions.The Board of Supervisors consistsof3 supervisors
including 2 employee supervisors.
Metrics and Targets
To ensure that the corporate governance structure aligns closely with the strategic objectives, the Company is committed to building a collabora-tive and efficient governance system. Through scientific decision-making and effective supervision mechanisms, the Company aims to maintainstrategic foresight and achieve the goal of steady operation in a complex and ever-changing market environment.
GoodWe Business Ethics Risk AnalysisRisk/opportunity typeSpecific descriptionFinancial impact
Unfair competition risk
Policy and regulation risk
If the Company fails to strictly comply withrelevant laws and regulations (such asanti-corruption and anti-bribery laws), it mayface legal action, fines, and other legalpenalties, leading to legal and compliancerisks.
Operating costsincrease andrevenue decreases
If the Company fails to strictly comply withrelevant laws and regulations (such asanti-corruption and anti-bribery laws), it mayface legal action, fines, and other legalpenalties, leading to legal and compliancerisks.
Revenue decreases
3940IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company has developed a series of response measures to ensure that it maintains a reputation for integrity, fairness, andtransparency in an increasingly competitive market.
To effectively address identified business ethics risks, the Company has developed risk management processes related to business ethics.
Impacts, Risks, and Opportunities Management
Anti-Unfair Competition
Whistleblower Protection
Risk and Compliance ManagementGoodWe has always considered risk management as a core part of its strategy and is committed to improving the Company’s risk managementsystem. The Company observes relevant laws and regulations such as the Audit Law of the People’s Republic of China and the Regulations of theNational Audit Office on Internal Auditing, and has established systems such as the Internal Audit System and the Internal Control Manual toensure that risks in all business activities are effectively identified, assessed, and controlled.
Risk Management
Anti-Commercial Bribery and Anti-Corruption
GoodWe Anti-Commercial Bribery and Anti-Corruption Management Measures
The Supplier Code of Conduct clearly requires suppliers to comply with the Company’s anti-corruption policies. Whenestablishing a supplier record, both parties sign the Anti-commercial Bribery and Integrity Agreement and the IntegritySelf-Discipline Commitment Letter. These agreements require suppliers to commit to not participating in any form ofcommercial bribery or corrupt activities, ensuring fairness, transparency, and legality in all business transactions.Suppliermanagement
GoodWe Official Violation Whistleblowing Channels
No. 93, Tayuan Road, High-tech Zone,Suzhou City, Jiangsu ProvinceAddress
0512-62396791Phone
GOODWE-Inform@goodwe.comEmail address
To strengthen business ethics management, the Company has established a comprehensive reporting and complaining system, encouraging allstakeholders to report any illegal, non-compliant, or unethical business conduct or employee behavior. The Company ensures open and accessi-ble reporting channels through public hotlines and email. Once a report is received, the Company promptly initiates an investigation process,ensuring fair handling measures and providing feedback on the investigation results to the whistleblower in a timely manner.Additionally, the Company strictly adheres to regulations protecting whistleblowers and has established a whistleblower protection mechanismto ensure the strict confidentiality of their information. This includes refraining from disclosing the whistleblower’s identity or departmentwithout their consent and utilizing voice alteration technology during phone communications. The ultimate goal is to ensure the protection oftheir legal rights and interests.
The Company actively conducts anti-commercial bribery and anti-corruption training, sets training objectives, and continuously monitors thenumber of participants and training coverage to ensure all employees regularly participate in anti-commercial bribery and anti-corruption trainingcourses. This strengthens employees’ legal awareness and ethical values and encourages all employees to uphold integrity and self-discipline.In 2024, the Company did not violate the laws and regulations related to anti-commercial bribery and anti-corruption, nor did it cause litigation ormajor administrative penalties due to unfair competition.
Metrics and Targets
Through a comprehensive review of business processes, job responsibilities, and partnerships, potential risk points such ascommercial bribery, commercial fraud, and unfair competition are identified.Risk identification
Risk assessment is carried out based on the severity and likelihood of the risks, to determine the risk level.
Risk assessment
Each department takes action based on the assessment results to reduce or eliminate the identified risks.Upon research and decision by the Board of Directors, appropriate punitive measures will be taken against behaviors in violation ofbusiness ethics. If laws are violated, the case will be referred to the judicial authorities. The results will be communicated toemployees and necessary external third parties through various channels in a timely manner.
Risk response
A sound system for business ethics is established, with the Quality Department developing relevant policies and codes of conductbased on legal requirements and ethical standards. Employees are required to sign a code of conduct, and suppliers are asked tosign a code of conduct commitment letter to prevent business ethics risks.Risk prevention
GoodWe Business Ethics Risk Management ProcessGoodWe Business Ethics Risk Management Process
The Company firmly believes that business success should be achieved through integrity, and ethics, and by avoiding any unfair competitionpractices. The Company has established internal management systems such as the Anti-Monopoly and Fair Competition Policy to ensure that allmarket activities comply with industry standards and legal requirements. In interactions with competitors, suppliers, customers, and otherstakeholders, the Company prohibits gaining competitive advantages through unfair means.
The Company advocates employees complying with business ethics requirements and requires new employees to signthe Employee Integrity Commitment Letter along with their employment contracts to fulfill integrity obligations.The Company has conducted a series of anti-corruption and integrity training sessions through online and offlinechannels, covering topics such as integrity construction and anti-corruption thoughts, continuously promoting thephilosophy of anti-corruption and advocating employees at all levels actively practicing business ethics.New employees are required to complete the “GoodWe New Employee Training” course on the We-learning platformand pass the relevant exam to obtain the GoodWe New Employee Training Certificate. This includes training onbusiness ethics awareness to help new employees understand the Company’s strict requirements on ethics, law, andcompliance.
Employeeawareness promotion
4142GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
GoodWe Risk Identification and Response Measures
The Company regularly conducts risk assessments each year and comprehensive-ly assesses the risks it faces following the risk assessment procedures.The Company has established reasonable Risk Assessment Standards. If changesin the internal or external environment lead to significant changes in the Compa-ny’s risk preferences or risk tolerance, the standards should be updated in a timelymanner.The Company has established a major risk early warning mechanism and anemergency response mechanism for unexpected events. This includes identifying,assessing, and responding to major risks, developing emergency handlingprocedures for unexpected events and media management strategies, formulatingthe Public Opinion Management Policy, and defining the implementation work bythe responsible personnel.Market risk
Operationalrisk
If the Company does not establish asound risk management mechanism,resulting in unclear roles andresponsibilities of relevant depart-ments, the risk management processcannot be effectively implemented.If the Company does not establish anemergency mechanism for majorrisks and unexpected events, it maylead to improper temporary handling,affecting the normal businessoperations of the Company.
GoodWe places great importance on corporate compliance management, strictly adhering to laws and regulations such as the Basic Norms forEnterprise Internal Control (C.K. [2008] No. 7), the Application Guidelines for Enterprise Internal Control and the Basic Norms and ApplicationGuidelines for Enterprise Internal Control. The Company is committed to enhancing and ensuring the effectiveness of its compliance manage-ment system. The Company has developed internal regulations such as the Legal, Regulatory, and Compliance Assessment Control Procedures,and regularly assesses its compliance status to ensure that all business activities align with national laws and industry standards. In 2024,GoodWe did not experience any major violations.In addition, the Company conducted compliance training for key positions including purchase, sales, R&D, and legal affairs. In 2024, GoodWeorganized four compliance training sessions, covering topics such as legal practices in equity investment and an overview of U.S. sanctions, andrisk identification. These sessions effectively enhanced employees’ legal awareness and risk prevention capabilities, ensuring the Companyoperates in compliance in a complex business environment.
Compliance Management
Organization Structure of the Internal Audit of GoodWe
Guides and supervises the Company’s internal audit work.Reports the progress of internal audit work and any major issuesto the Board of Directors.Audit Committee
Cooperates with the internal audit department in fulfilling its duties andshall not hinder its work.Departmentsand Subsidiaries
Regularly inspects and assesses the Company’s internal control system.Audits the Company’s internal institutions’ and subsidiaries’ economicdata and activities.Supervises corrective actions by responsible departments for any internalcontrol issues.Reports on the execution of internal audit plans and the issues identifiedto the Audit Committee.
Internal Audit Department
The Company has established a comprehensive risk management process that covers four key processes: risk identification, risk assessment,risk response, and internal supervision. The goal is to effectively manage internal and external risks and ensure the continuous and steadydevelopment of the Company’s business.
GoodWe Risk and Opportunity Control Procedures
When invalid
Determineinterestedparties
Determineinterestedpartyrequirements
Identify andevaluateinterestedpartyrequirements
Determinesignificantrisks andopportunities
Developcontrolmeasuresfor significantrisks andopportunities
Controlsignificantrisks andopportunities
Regularlyreview theeffectivenessof measures
Risk identification
By gathering the requirements and expectations of stakeholders such as investors, customers, and internal employees, the Companyconducts risk identification for systems related to quality management, environmental management, occupational health and safetymanagement, energy management, and information security management. This includes identifying potential risks across areas suchas strategy, operations, finance, compliance, and reputation.
The Company has actively conducted comprehensive risk identification and assessment, aiming to identify potential risks early and takeeffective response measures to ensure the sustainability and financial stability of the business. In 2024, the Company carried out an in-depthanalysis of internal and external environments and identified key risk points, including operational risk, strategic risk, and market risk. Based onthe assessment results, the Company formulated specific response measures to ensure that risks were effectively controlled and their negativeimpacts on operations and finances were reduced.
Risk assessment
Each implementation department assesses the identified risks and takes measures according to the assessment results. Theresponse methods include risk acceptance, risk mitigation, and risk avoidance. The response method should be selected based on theactual situation. If a potential risk can effectively be avoided, a risk avoidance plan should be developed, with the risk avoidancemeasures confirmed and executed.Risk response
The Company conducts regular and continuous supervision and inspection of the establishment and implementation of the riskmanagement process. If there are significant changes in the Company’s development strategy, organizational structure, businessactivities, business procedures, or employees in key positions, targeted risk supervision and inspections are carried out.
For the identified internal and external risks, the Company uses a scoring evaluation method to assess them. The risks are assessedacross three dimensions: Severity of impact, frequency of occurrence, and acceptability. A risk coefficient score is developed.High-risk events are prioritized for treatment, and immediate action shall be taken to avoid or mitigate the risks.
Internal
GoodWe Risk Management ProcessGoodWe Risk Management Process
4344GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
Low-Carbon Futureand Environmental Protection
Environmental Compliance ManagementWaste DisposalPollutant DischargeResource ManagementProduct Lifecycle ManagementEcosystem and Biodiversity Protection
ContentsSDGs
4546GoodWe2024 Sustainability ReportLow-Carbon Future andEnvironmental Protection
The Company has established a solid waste pollution prevention and control responsibility system, based on internal regulations such as theWaste Control Procedures and the Responsibility Management System for Prevention and Control of Environmental Pollution by Solid Waste. TheOperations Center leads the overall pollution prevention and control efforts, ensuring that related action plans are implemented. Eachdepartment (such as Procurement Department, Manufacturing Department, and Process Engineering Department) is responsible for specificpollution prevention and control tasks such as solid waste classification, reduction, recycling, and disposal in accordance with its specificfunctions. This structured approach establishes a comprehensive pollution prevention mechanism with end-to-end management, clearresponsibilities, and coordinated collaboration.
Governance
Environmental Compliance ManagementGoodWe adheres to the environmental operation philosophy of low-carbon development, actively assuming environmental responsibilities,building a high-quality green operations system, and significantly reducing its negative environmental impacts. The Company strictly followslaws and regulations such as the Environmental Protection Law of the People’s Republic of China, the Atmospheric Pollution Prevention andControl Law of the People’s Republic of China, the Water Pollution Prevention and Control Law of the People’s Republic of China, the NoisePollution Prevention and Control Law of the People’s Republic of China, and the Law of the People’s Republic of China on Prevention and Controlof Environmental Pollution by Solid Waste to ensure that all production and business activities meet environmental compliance requirements.During the reporting period, the company and its subsidiaries were not key units for environmental supervision in the places where they operate.The Company has developed internal regulations such as the Environmental Safety and hygiene Manual, the Environmental Factor ControlProcedure, and the Emergency Preparedness and Response Control Procedures, and organized various departments to conduct an annualenvironmental factor survey, aiming to standardize environmental management practices, and ensure that wastewater, waste, and noiseemissions comply with national and local environmental protection regulations. In 2024, the Company’s Suzhou factory, Guangde factory,Vietnam factory and subsidiary Nanjing Shawllar achieved ISO 14001 Environmental Management System certification.Each production base regularly carries out the identification, review and management of environmental factors, to identify and evaluate theCompany’s environmental factors and hazard sources in the relevant products, activities and services and to judge the important environmentalfactors and unacceptable risks. Subsequently, the production bases implement effective control according to environmental safety and hygieneobjectives, indicators, and operation control plans. Meanwhile, efforts are made to continuously optimize the Response Plan for EnvironmentalEmergencies, establish an efficient and orderly emergency response mechanism, and thoroughly inspect and allocate necessary emergencyfacilities and rescue materials.
Waste DisposalGoodWe is dedicated to ensuring the compliance of waste disposal, classifying the waste generated in various production processes, and strictlyadhering to relevant regulatory requirements. It implements effective control measures to ensure that waste is disposed of in compliance withenvironmental protection standards.
GoodWe Environmental Risk Incident Emergency MechanismAfter an incident occurs, the Company should promptly investigate and report its nature and immediately take emergencymeasures on the site to prevent the situation from worsening. At the same time, immediate rescue efforts should be made forcasualties in the affected area.
Unexpected environmental incidents
The exhaust gases after a fire may affect residents nearby. Relevant government authorities should be notified immediately,and businesses downwind that may be impacted by air pollution should be guided to evacuate, minimizing downstreampollution hazards.
Air pollution incidents
In the event of a water pollution incident, the relevant government authorities should be notified immediately, and downstreamwater users should be informed to take emergency measures.A qualified institution should be engaged to collect and analyze samples at the wastewater main discharge port. Additionally, theCompany should promptly implement necessary measures to prevent further incidents.
Water pollution incidents
GoodWe Waste Pollution Prevention and Control Management StructureResponsible for leading overall pollution prevention and control efforts and ensuring that action plans areeffectively implemented.
Operations Center
Responsible for contacting the recycler of solid waste in a timely manner, and asking the recycler to immediately recycle thepart of the property that involves loss of utility value, such as waste cardboard, wood board, etc.Procurement Department
Responsible for handling equipment that has been left unused for long periods due to excess production capacity, bycontacting business partners to arrange proper recycling.Manufacturing Department
Responsible for conducting technical reviews during the early assessment phase of new materials, products, processes, andequipment, and ensuring that any resulting water, gas, noise, or waste is included in the review process. If new waste isgenerated, the department shall consult with safety officers to ensure effective control measures before reporting to theDeputy General Manager and General Manager for approval.
Process Engineering Department
GoodWe Wastes Type and Disposal Methods
Fill in the local government platform and carry out lifecycle monitoring from waste generation, storage,transfer and disposal
The approval is carried out step by step by the OAprocess, and the disposal process is jointlyparticipated by business departments, finance,administration and suppliers, and photos are taken onsite and signed for confirmation.General industrial
solid waste
Hazardous waste
Waste chemical packaging, waste cleaning agents,waste activated carbon, waste filter cartridges,waste adhesives, waste light tubes, waste circuitboards, etc.Waste cardboard, wooden boards, whole machines,upper covers, enclosures, radiators, etc.
Other waste
Household waste, construction waste
4748GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
The Company continuously enhances employees’ environmental safety awareness and professional capabilities through systematic training.Internal and external training sessions are regularly organized, such as internal emergency drills for hazardous chemical leaks and hazardouswaste environmental management training in Jiangsu Province. These sessions cover key aspects such as waste classification, storage, transfer,disposal, and emergency management, ensuring that relevant personnel possess the scientific and compliant management skills required.
The Company promotes the implementation of environmental management responsibilities from the top down and inside out, clearly definingwaste management goals and action directions while strengthening risk prevention and control. The Company regularly conducts environmentalrisk identification and assessments, and formulates corresponding control measures based on the risk level, ensuring that potential waste risksare effectively managed.
Strategy
The Company follows a systematic environmental management process, analyzing its dependence on environmental resources in production,operations, and the supply chain, and their impact on the business. To ensure the continued effectiveness of its environmental and wasteprevention and control strategies, the Company has established a monitoring mechanism for external environmental changes, regularly reviewingand assessing implementation, and making dynamic adjustments based on feedback data to ensure the scientific and rational nature of itsresponses.
The Company follows the principle that “those who manage production must also manage environmental protection” as outlined in theResponsibility Management System for Prevention and Control of Environmental Pollution by Solid Waste. According to the system, eachproduction base shall ensure that solid waste generated during their operations is minimized and treated in an environmentally safe manner,thereby maximizing resource utilization. The waste management system covers various processes, including transportation, storage,classification, recycling, and compliance management, to ensure the efficiency, compliance, and environmental sustainability of waste disposal.
Impacts, Risks, and Opportunities Management
GoodWe Waste Risk Analysis
Risk/opportunity typeSpecific descriptionFinancial impact
Policy and regulation risk
If waste management is not handled properly, leading tonon-compliance in disposal, the Company may face regulatorypenalties, environmental rectification requirements, and evendamage to its reputation.
Operating costs increaseRevenue decreases
Clarify the Company’s dependence on environmental resources in production, operations, and the supply chain, and analyze how thedependence impacts the business; assess the risks and opportunities brought about by changes in the external environment (such aspolicies, regulations, market trends, etc.).Use quantitative methods to assess the severity and likelihood of waste-related risks and opportunities; establish a relationshipmatrix between risks and opportunities, analyzing their interactions and identifying possible causal chains or synergies.
Identification and assessment
Rank risks by their probability, degree of dependence, and potential opportunity; develop short- and long-term response strategiesbased on the analysis results, prioritizing the mitigation of the most critical risks while capturing opportunities.Establish a mechanism for monitoring changes in the external environment, regularly reviewing and assessing the implementation,and adjusting strategies and action plans based on monitoring results and feedback to ensure continued effectiveness.
Prioritization and monitoring
GoodWe Waste Risk and Opportunity Management ProcessGoodWe Waste Risk and Opportunity Management Process
GoodWe Key Practices in Waste Management
Standardize the signage and regular inspections of hazardous waste storage areas, ensuring hazardous waste is only stored indesignated zones.Ensure that the storage period for all hazardous waste does not exceed one year for timely use or compliant disposal.Strictly manage diesel storage areas to prevent leakage that could pollute soil or enter the rainwater drainage system.Store waste liquids and waste adhesives in a centralized manner, avoid any residue in the original containers, and cover andclean the empty containers before storage in the designated place.
Strictly manage external vehicles. If a vehicle within the factory area causes oil leakage due to a malfunction, theresponsible party must immediately clean up and remove the contaminants to avoid secondary pollution.
Storage
Cleaning and transpor
Standardize the sale or compliant disposal of scrapped equipment and non-fixed asset waste. Random disposal is prohibited.
Recycling and disposal
Prohibit the improper use of the rainwater drainage system for cleaning items or pouring waste liquids into sinks.
Compliance management
The Company continuously optimizes its waste management processes by improving the waste classification and collection mechanisms,gradually establishing a closed-loop waste management model. This approach aims to reduce the potential impact of waste on the surroundingenvironment and ecosystems, while continuously promoting the environmentally friendly transformation of the Company’s operations.Metrics and Targets
Pollutant Discharge
GoodWe is committed to minimizing its impacts on the environment through technological innovation and management optimization. TheCompany has formulated several internal regulations and policies, including the Wastewater Control Procedures, the Waste Gas ControlProcedures, the Waste Control Procedures, and the Noise Control Procedures. It has strictly complied with environmental protection laws andregulations, defined the types of air pollutants and water pollutants generated in various production processes, and implemented effectivemeasures to ensure pollutant discharge meets environmental protection standards and is lower than the legal limit.In terms of exhaust gas treatment, the Company uses a professional exhaust gas management system, combined with activated carbonadsorption towers and secondary filtration technology in chimneys, to ensure that exhaust gases are emitted in compliance with standards. Thewastewater primarily consists of domestic wastewater, without process or production wastewater discharge. After pre-treatment, thewastewater is discharged into the park's sewage network for centralized treatment by the municipal sewage treatment plant.In addition, GoodWe strives to further reduce pollutant discharge by adopting low volatile materials, replacing manual operation with automaticequipment, and other process improvement measures. The Company periodically conducts environmental protection equipment maintenance,environmental protection training, and emergency drills, so that the pollutant discharge during production and operation can be effectivelycontrolled. Furthermore, we invite third-party testing agencies to regularly monitor wastewater, exhaust gas, and noise and issue relevant reports,to ensure that all emissions not only comply with environmental protection standards but also remain continuous optimization.
4950GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
Appendix
GoodWe Main Pollutant Disposal Measures
All exhaust gas emission sources are equipped with exhaust gas collection devices, and aredischarged after being treated by the environmental protection exhaust gas treatment equipmentand meeting the standards.The exhaust gas treatment system is optimized, with a secondary activated carbon adsorptiondevice added on the original basis, effectively reducing the terminal exhaust gas emissions whileimproving purification efficiency.No industrial or production wastewater is discharged; only domestic wastewater is generated,which is pretreated before being discharged into the park's sewage network for centralizedtreatment by the municipal sewage treatment plant.A small amount of cleaning wastewater is disposed of as hazardous waste. Domestic wastewateris pretreated in a septic tank before being discharged into the municipal sewage network.
Wastewater
Exhaust gas
Volatile organic compounds (VOCs), tinand its compounds, smoke, etc.Biochemical oxygen demand (BOD
),chemical oxygen demand (COD),ammonia nitrogen (NH
-N), suspendedsolids (SS), etc.
Noise barriers and soundproof cotton are installed near noise sources, and vibration pads areadded to equipment. The operating frequency of equipment is reasonably controlled.Low-noise equipment is prioritized, and production equipment is regularly maintained and serviced.These measures reduce noise pollution from facilities like fans, ensuring the minimal impact ofproduction activities on the environment and surrounding communities.Noise
Resource Management
GoodWe follows the Circular Economy Promotion Law of the People’s Republic of China and other relevant laws and regulations, activelypromoting the practice of the circular economy philosophy in its production and operation to enhance resource utilization and reduceenvironmental impact.Circular Economy
GoodWe sources its water primarily from municipal water supplies for its daily production and office operations. The Company places significantemphasis on water conservation and reuse. It has instituted internal regulations such as the Office Water, Electricity, and Paper ConservationManagement Measures and adopted various measures to optimize its water consumption model and achieve efficient management.The Company uses a real-time monitoring system to track water consumption, adjusting water usage plans in a timely manner to ensure therational utilization of water resources. In addition, the Company actively selects and gradually opts for water-saving equipment to promote therecycling and reuse of water resources.
Water Resource Utilization
The Company replaced traditional Expanded Polyethylene (EPE) cushioning materials with degradable and reusablepaper-plastic products, making packaging 100% recyclable while reducing the non-degradable white pollutioncaused by EPE. Additionally, paper-plastic packaging was molded and produced mechanically, improving the finalyield and production efficiency, thus lowering packaging costs.
GoodWe Circular Economy Promotion Actions
Promoting material recycling
For the domestically shipped SDT models, the Company has eliminated the use of large PE bags for the entire unit,reducing plastic usage and minimizing the environmental impact of packaging. At the same time, the accessorieswithin the accessory boxes have been integrated and categorized, with packaging consolidated, significantlyreducing the number of small PE bags. These measures effectively lower the consumption of packaging materialsand carbon emissions.
Packaging reduction
Product Lifecycle ManagementGoodWe’s product lifecycle management (PLM) covers critical processes, including raw material supply, production, usage, and disposal,ensuring full-process control from inception to end-of-life, promoting efficient resource utilization and minimizing environmental impact.
The Company has established a comprehensive PLM framework, with internal regulations such as the Product Carbon Footprint CertificateManagement Guidelines, the Control Procedures of Hazardous Substances, and the Regulations on Hazardous Substance Management forNon-BOM Consumables and Packaging Materials, ensuring that every process from product design to delivery complies with environmental andquality standards. In terms of management process, GoodWe adopts an integrated product development system. Based on businessrequirements, this system enables effective control of the product development cycle through cross-department collaboration and concurrentengineering, significantly enhancing its market responsiveness. The Company focuses on quality management throughout the entire lifecycle,with stringent quality control points set for each stage, from demand analysis to product delivery. Driven by market demand, this approachensures a high level of alignment between product development and customer demands.
Governance
The Company actively identifies challenges in the product lifecycle, tracks market trends and opportunities, and takes effective measures toreduce operational risks stemming from regulatory uncertainties. GoodWe promotes standardized design, green manufacturing, smart operationand maintenance, lightweight design, and product carbon footprint management throughout all stages of the product lifecycle to ensure theminimization of environmental impacts and enhance sustainability.
Strategy
固德威
2024年度可持续发展报告5152GoodWe2024 Sustainability Report
Adjust the water valve opening based on the water usage characteristics of each area, preventing excessive water useand waste.Replace standard water meters with communicable meters integrated into the SEMS for monitoring of waterconsumption.Add water meters in areas with high water consumption, and develop water-saving measures based on consumptionstatistics and analysis results.The Suzhou Headquarters uses energy-saving equipment (water-saving toilet and induction faucet) and the rainwatercollection system.The Guangde factory regularly checks the water pipes and water facilities within the park to avoid water leakage.
GoodWe Water Conservation Actions
Optimizing the water utilization model
Use the fresh air duct condensate water recovery system, reclaimed water system, and natural rainwater filtrationand reuse systems in the Smart Energy Tower to save water; implement sponge ecology to manage surface androoftop rainwater runoff, regulate total site discharge, and maintain an annual runoff control rate of over 90%.Renovate landscape facilities to utilize natural rainwater for irrigation, and collect overflow water for daily greenspace irrigation.
Enhancing water resource utilization
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Appendix
GoodWe PLM Risk and Opportunity AnalysisRisk/opportunity typeSpecific descriptionFinancial impact
Policy and regulation risk
The Company faces frequent changes in environmental regulations
and policies globally. Failure to track and adapt in a timely manner
may lead to product compliance risks, impacting market access
and brand reputation. For example, stricter environmental
requirements in key markets such as the EU impose higher
demands on product design, production processes, and operational
models.
Operating costs increaseRevenue decreases
Market opportunity
With the increasing global focus on sustainability, the Company has
the opportunity to invest in green technological innovations to
enhance its products’ environmental performance. For instance,
adopting more energy-efficient technologies and lightweight
product designs, and reducing resource consumption and carbon
emissions will increase product competitiveness, strengthen the
brand’s market recognition, and improve customer satisfaction.
Revenue increases
The Company has developed a comprehensive risk and opportunity management process that covers key processes such as identification,assessment, management, and response. This ensures that potential risks are promptly addressed and market opportunities are seized at eachstage of the product lifecycle, enhancing operational resilience and market competitiveness.Impacts, Risks, and Opportunities Management
For compliance risks, the Company strictly follows international standards such as ISO 9001, ISO 14001, and ISO 50001 to ensureproducts comply with global environmental and safety regulations, and identify the potential impacts of regulatory changes onproduct design, production, and operations.The Company uses tools such as Life Cycle Assessment (LCA) to assess the impact of technological updates, ensuring continuousinnovation and technological leadership.
Identi?cation and assessment
The Company monitors dynamic changes of supply and demand in target markets, as well as regulations, develops new product plansand compliance strategies, reducing potential compliance risks and seizing green product market growth opportunities.The Company identifies energy-saving and emission-reduction opportunities throughout the product lifecycle using carbon footprintcertificates and energy management platforms, improves hazardous substance management, assesses, and promotes green productdesigns and recycling plans, continuously lowering product carbon emissions and improving recyclability.
Management and response
GoodWe PLM Risk and Opportunity Management ProcessGoodWe PLM Risk and Opportunity Management Process
The Company prioritizes the selection of environmentally friendly materials and conducts LCA. It cooperates with suppliers to innovate andensure products meet international environmental standards, such as the Restriction of Hazardous Substances (RoHS) Directive and theRegistration, Evaluation, Authorization and Restriction of Chemicals (REACH) Regulation. Monthly Insight Committee meetings are held topromptly identify regulatory trends in target markets (e.g., Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability DueDiligence Directive (CSDDD), and the EU Battery Regulation), ensuring that products maintain environmental compliance and sustainabilitythroughout their lifecycle.The Company actively responds to customers’ demands for product environmental information transparency and steadily advances theEnvironmental Product Declaration (EPD) Certification. As of the end of 2024, the Company has successfully obtained EPD certifications for twoinverter products: GW15KT-DT and GW15KF-DT. In the future, the Company will expand the scope of EPD certifications based on market trendsand customer demands, further enhancing the green, low-carbon, and sustainable nature of GoodWe’s products.
The Company has always been committed to quantifying and reducing carbon emissions across the entire product lifecycle and has been activelyengaging in product carbon footprint certificate as per the ISO 14067 and PAS 2050 standards since 2022. In 2024, the Company received 2 newproduct carbon footprint certificates for PV grid-connected inverters. By the end of the reporting period, the Company had obtained carbonfootprint certificates for 17 inverter products, fully assessing the carbon emissions and decarbonization potential from the “raw materialprocurement to gate” stage.
LCA
GoodWe Product EPD Certifications
GoodWe Product Carbon Footprint Certificates
5354IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
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Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
After the LCA, the Company effectively reduces its environmental impacts by taking active measures in the selection of raw materials andcomponents, manufacturing, transportation to usage. In raw material and component selection, the Company promotes lightweight design andcontrols the use of hazardous substances. In manufacturing, the Company is committed to improving resource efficiency and reducing wastegeneration (see “Waste Disposal, Pollutant Discharge, and Resource Management” for details).In the transportation stage, the Company has optimized the transportation method from truck delivery to a combination of truck and bargetransportation, considering delivery schedules and shipping times. The Company has also confirmed overseas service networks and coordinatedwith transportation companies to return empty containers to nearby locations, reducing truck transportation distances and lowering GHGemissions during transportation. During the product usage stage, the Company drives the adoption of efficient PV inverters and green energysolutions, enabling users to maximize self-generation and self-consumption and reduce dependence on traditional fossil fuels, thereby improvingclean energy efficiency and reducing GHG emissions.GoodWe actively promotes lightweight product design to improve energy efficiency, reduce material consumption, and minimize environmentalimpact throughout the product lifecycle.Lightweight Product
To reduce the impact of products on the environment, enhance product competitiveness and fulfill social responsibility, the Company followsinternal regulations such as the Control Procedures of Hazardous Substances and the Management Regulations on Restricted Substances. Theseregulations guide the risk identification, assessment, and control of raw materials, components, and suppliers, ensuring the reduction andelimination of hazardous substances in products. They also provide a management foundation for the production of environmentally friendlyproducts. In 2024, the Company successfully passed QC080000 Hazardous Substance Process Management Certification.Additionally, GoodWe, through its EU sales entity GoodWe Europe GmbH as the legal entity, has authorized the professional organizationtake-e-way GmbH to complete WEEE compliance registration, ensuring compliance with the EU Waste Electrical and Electronic Equipment(WEEE) Directive. In terms of recycling management, GoodWe has established partnerships with take-e-way GmbH and the Irish non-profitorganization WEEE Ireland Ltd. Specifically, WEEE Ireland Ltd, founded in 2005, has long provided environmentally responsible recycling andcompliance management services for waste electrical and electronic equipment and batteries in the Ireland region, ensuring that waste disposalcomplies with local regulations.
Hazardous Substance Control
Product Lightweight
Design andCarbon Reduction Practices
For the SDT G3 product, the inverter structure has been changed from the traditional die-casting process to a sheetmetal structure, with the die-cast heat sink replaced by an extruded heat sink, and copper wires in the inductor replacedby aluminum wires. Additionally, a highly integrated PCB design has been adopted to reduce the use of electroniccomponents and overall product size. These improvements have reduced the weight of the SDT G3 product by 36% anddecreased carbon emissions during the raw material acquisition phase.For the DNS G3 product, high-performance plastic materials have been developed, offering superior overallperformance compared to traditional metal materials while reducing carbon emissions during the production process.The product's top cover and casing have been transitioned from die-cast aluminum to lightweight AL5052 aluminumalloy, resulting in an 11% reduction in product size, a 9% decrease in weight, and carbon emissions reduction during theraw material acquisition phase.
GoodWe Control Mechanism for Hazardous Substances in Products
Identification includes the components and raw materials that make up the product, equipment, tools andpackaging materials used in the manufacturing process, and sources of contamination that may affect theproduct in the workplace.The Sales Center is responsible for obtaining customers’ green environmental product specifications, while theSustainable Development Research Institute collects and reviews relevant laws and regulations, establishing alist of laws and regulations and a comparison table of customer environmental specifications.Green product engineers compile and regularly update the Management Regulations on Restricted Substancesbased on laws, regulations, and customer needs.
Identificationand list creation
Project managers are responsible for completing deliverables involving hazardous substance requirements, andthe R&D department establishes a hazardous material list in the small batch phase, ensuring material selectionmeets green and environmental standards.The R&D department selects environmentally friendly components during the design phase. During the newproduct introduction phase, the procurement department is responsible for collecting suppliers’ environmentaldata (such as compliance declarations and test reports), and green product engineers review the materialsprovided by suppliers.Design and
development
When non-compliant hazardous materials are identified, the identifying unit shall notify the quality engineer andthe manager of the Quality Department. If necessary, the hazardous substance process managementrepresentative should be informed.If customer monitoring shows non-compliance, the responsible supervisor and related departments shall benotified immediately to investigate the cause, isolate suspected products, and send them for third-party testingif needed.Sustainable Development Research Institute is responsible for planning and implementing internal audits of thehazardous substance process management system at least once a year or as per customer requirements. TheGreen Product Management System Audit Checklist is created and reviewed before the annual audit.Handlingand auditing
In the production process, through process risk assessments and management, the hazardous substance team identifies hazardous substancesacross all production sites and fills out the Process Hazardous Substance and Pollution Source Identification and Control List to ensure that theproduction process complies with environmental protection standards. Depending on the risk level, the Company takes corresponding controlmeasures, including third-party test report reviews and internal monitoring, to reduce environmental and product compliance risks.For green material procurement management, the Company has established green supply chain management procedures, developed supplierselection standards for green products in line with the Green Procurement Guidelines, used questionnaires to assess suppliers’ compliance risks,required suppliers to provide RoHS reports within the validity period, and performed close monitoring on high-risk materials (such as solder andsurface treatment materials).The Company attaches high importance to the transmission and training of environmental protection information, obtains and keeps GreenEnvironmental Product Specifications to communicate harmful substance requirements to internal employees and suppliers. Regular hazardoussubstance management training is provided to engineers to enhance their environmental awareness and operational standards.
The Company promotes the efficient use of resources and minimizes environmental impact at every stage of product design, production, anduse. By strengthening green design concepts, optimizing product manufacturing processes, and ensuring that products comply withenvironmental standards, the Company aims to reduce reliance on natural resources. Additionally, the Company advances data monitoring andmanagement throughout the entire product lifecycle.
Metrics and Targets
Ecosystem and Biodiversity Protection
GoodWe actively focuses on ecosystem and biodiversity conservation, not only practicing the philosophy of green development in businessoperations and product design, but also engaging in ecological protection practices, and working with stakeholders to promote harmonioussymbiosis between humans and nature. In China, the Company has partnered with the China Green Foundation to launch the “GoodWe Forest”initiative in the Minqin desert area of Gansu Province. Through planting drought-resistant and sand-fixing shrubs such as the Haloxylonammodendron tree, the plan aims to establish a mixed forest belt to help combat desertification. Overseas, the Company donates trees to theglobal tree-planting charity “One Tree Planted” to be planted in regions where customers are located, contributing to local ecological protection.During the GoodWe Global Partner Summit in 2024, we set up a special “Zero Carbon Declaration” area in the Smart Energy Tower exhibition hall.Over 100 global partners signed up to join the “GoodWe Forest” initiative. Each participant received a tree-planting certificate from domestic andinternational NGO partners. A total of 2,024 trees were donated, contributing to ecological protection in regions such as Asia, Oceania, Africa,Europe, Latin America, and North America.
5556IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
Collaborative Partnershiptowards Ecological Harmony
R&D and InnovationProduct Quality and SafetyCustomer Relationship ManagementData Security and Customer Privacy ProtectionDigital TransformationSustainable Supply Chain Management
Contents
Innovation Driven and
Product Management
SDGs
5758GoodWe2024 Sustainability ReportIntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Innovation Driven andProduct Management
AppendixLow-Carbon Future and
Environmental Protection
GoodWe2024 Sustainability Report
R&D and InnovationGoodWe follows the vision of “Driving the World’s Smart Energy Future” and is dedicated to the research, development, production, and sales ofsolar energy, energy storage, and other renewable energy power supply equipment. The Company provides comprehensive solutions such assmart energy management for residential, commercial, industrial users, and ground-based power stations. The Company possesses coretechnologies in power electronics, renewable energy control, energy management, storage conversion, large-scale data collection, storage, andapplication.The Company strictly adheres to laws and regulations such as the Law of the People’s Republic of China on Scientific and Technological Progress,and Patent Law of the People’s Republic of China to ensure the legality and compliance of technological innovation.
The Company integrates risk and opportunity management into the entire product development lifecycle through standardized technology reviewprocesses. By combining quality red lines, quantitative indicators (such as defect rates, test coverage), and closed-loop tracking mechanisms,the Company ensures that technological risks are controlled while identifying innovation opportunities to enhance product competitiveness.
GovernanceThe Company has established a R&D and innovation management structure consisting of the “Chairman - Senior Vice President - R&Dsystem/R&D departments of each product line & business unit”. Internal regulations such as the R&D Project Management Measures, OperatingStandards for Product Risk Analysis, and Intellectual Property Management Manual have been developed. The Company complies with multipleexternal standards, including IEC 62109, IEC 61000, EN 50549-1, and VDE 4105. Through R&D processes, platforms, and management, theCompany strengthens its R&D system and clarifies the responsibilities of each level, promoting technological innovation and the transformationof research achievements.The Company focuses on intellectual property protection and has defined the Intellectual Property Innovation Service Center as responsible forthe full lifecycle management of the Company’s intellectual property. The WE-IP intellectual property management system is used to standardizethe application, ledger management, and maintenance of intellectual property. The Technology Center reviews patent disclosures, assesses theirtechnical quality, and conducts intellectual property risk analysis to ensure the patent’s innovation, feasibility, and legal validity, thereby protect-ing and converting the Company’s technological achievements.
StrategyThe Company follows industry development trends and adopts a customer-driven approach in R&D. By maintaining the R&D strategy of “produc-ing one generation, developing one generation, and pre-researching the next generation”, the Company ensures the continuity and foresight of itsR&D work. Throughout this process, the Company closely monitors the risks and opportunities brought by technological iterations, marketchanges, and regulatory updates to ensure that R&D activities meet the latest policies and market requirements.
Impacts, Risks, and Opportunities ManagementThe Company operates a PDCA (Plan-Do-Check-Act) cycle for insight-driven closed-loop operation mechanisms, ensuring that insights fromvarious business areas serve the objectives of those areas. An Insight Committee is set up to support IPMT’s daily insight management work. Byorganizing and managing insight efforts, the Company identifies and uncovers product, sales, and market opportunities and risks in a timely andaccurate manner, driving each responsible department to complete the implementation of actions and supporting senior management in makingcorrect decisions to achieve sustainable business success.
GoodWe R&D and Innovation Risk and Opportunity Analysis
Risk/opportunity typeSpecific descriptionFinancial impact
Technology risk
If the Company fails to accurately grasp the industry’s technologi-cal development trends, cannot achieve timely R&D technologyinnovation, there is a risk of technological lag, causing the Compa-ny’s product efficiency, power density, and other technicalindicators to fall behind industry peers, reducing market share.
Revenue decreases andoperating costs increase
Market opportunity
With the accelerating global energy transition and clean energypolicies driving rapid growth in the photovoltaic and energy storagemarkets, the increasing demand for distributed solar-storagesystems offers the Company an opportunity to leverage its techno-logical advantages in PV inverters, energy storage systems, andsmart energy solutions, expanding its overseas market share andenhancing brand influence and profitability.
Revenue increases
Through the technical review checklists at each stage, assess factors such as technology maturity, demand realization, costcontrol, and supply chain risks. Use the pre-review issue feedback form to collect independent opinions from product developmentteam representatives and experts, focusing on design defects, demand deviations, insufficient test coverage, and other issues.Identify areas for technological optimization, market demand changes, and potential new technology applications during thereview.
Identification and analysis
Classify review conclusions (GO/Redirect/GO with Risk), assess the impact of issues on project schedule, cost, and quality, and predictthe probability of risk occurrence based on historical data.Assess technological feasibility and resource alignment, and analyze the contribution of opportunities to product competitiveness,market response speed, and cost optimization.
Assessment and prioritization
GoodWe R&D and Innovation Risk and Opportunity Management Process
The product quality assurance team logs issues into the management system and tracks the progress of solutions and verifies insubsequent technical review stages whether previous risks have been addressed.Convert high-priority opportunities into specific action plans, assign responsibility to engineers, and include these in the technicalreview reports. Use phased reviews to validate the actual benefits of opportunities.
Monitoring and closure
The Company cultivates and motivates R&D personnel through various methods to enhance the overall quality and innovation capability of theteam. Every year, a training plan is developed in advance, with tiered and graded technical training carried out, including organizing technicalseminars, inviting external technical experts, and conducting internal technical experience sharing sessions. In 2024, more than 100 trainingevents were held. Additionally, the Company supports employees in independently registering for external training programs and reimbursestraining fees, and offers regular incentives, year-end rewards, and preferential recommendations for government talent programs to support theprogress and growth of R&D personnel. To create a favorable environment for technical discussions, the Company regularly organizes variousteam activities, such as sports leagues, spring cycling, internal social gatherings, autumn hiking, and joint photovoltaic city-building events,fostering integration within the production and R&D community.Cross-disciplinary R&D talents are key to driving the Company’s innovation and maintaining technological leadership. Through an internal talenttransfer mechanism, the Company annually transfers technical personnel to other departments to promote personal growth and inter-departmen-tal collaboration. Each time, 1-2 senior employees are selected as leaders of rotation projects, responsible for training and performance evalua-tion of rotating employees, ensuring the smooth implementation of rotation programs and fair performance assessments. The matrix reportingmechanism ensures the successful implementation of rotation projects while effectively conveying frontline market feedback to R&D team, andenhancing organizational agility and market responsiveness.
R&D Team Development
GoodWe is advancing product normalization design in multiple key areas, including electronic materials, software development, hardware design,structural materials, appearance layout, and installation methods. The goal is to enhance product standardization, reduce costs, and optimizeR&D efficiency.Product Normalization Design
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Collaborative Partnershiptowards Ecological Harmony
Appendix5960
Electronic materials
normalization
Optimize material classification rules and establish an electronic materials optimizationlibrary to improve material management efficiency and accuracy, reduce resource waste,and enhance the stability and responsiveness of the supply chain.
Structural materials
normalization
Develop structural material classification rules and complete an optimization library for 15categories of structural materials to improve the universality and standardization ofstructural components, optimize supply chain management processes, and enhanceprocurement efficiency and quality control levels.
Software developmentnormalization
Achieve normalization of all software projects on a unified platform concerning input andoutput signal rules (Input/Output Map, IO MAP), thereby enhancing software versatility andmodular design, reducing repetitive development work, and improving software compatibili-ty across different product lines.
Driven by both the "Dual Carbon" goals and the wave of digitalization and intelligence, GoodWe continues to deepen its product innovationefforts, aiming to provide users with integrated solutions for the source, grid, load, and storage. In 2024, GoodWe made breakthrough progressin its product line centered around photovoltaic inverters while expanding into the heat pump product sector, launching several innovativeproducts for a wide range of applications, including residential, commercial, industrial, and park settings. Through efficient power generationtechnology, intelligent control systems, low-noise designs, and the application of environmentally friendly materials, GoodWe has not only signifi-cantly enhanced the performance and reliability of its products but also effectively reduced system costs and carbon emissions, promoting theintelligent transformation of energy management. These innovative achievements fully demonstrate GoodWe's relentless efforts and firmcommitment to enhancing user experience and promoting sustainable development.
Product Innovation
Product typeProduct nameApplication scenariosInnovation and value
Inverter
SDT G4 seriesResidential
SMT G2 series
ESA series 261kWh
Industrial andcommercial
Silicon carbide (SiC) device design300V voltage difference, 45°C high-temperature operationwithout load reduction, more reliableCompact and lightweight (≤19KG), snap-on AC protectivecover, easy to installDual 485 design, meets "four availabilities," makinginstallation more convenientUltra-low noise design, lightweightMultiple MPPT design, allows for multi-angle moduleconnectionSurges protection for AC and DC levelsSupports DC arc protectionSimple and integrated maintenance solutionsPACK + cluster-level fire-fighting system, precise coolingand extinguishing8000 cycles, 314Ah long-life battery cellsIntelligent liquid cooling system3S integrated PCS, high primary conversion efficiencyBlack start capability
Photoelectricbuilding materials
Heat pump
Sunrise 2.0
Residential andpublic buildings
Galaxy 355W
Arctic 630W
Industrial andcommercial factorybuildingsPV energy storageand charging shelters,industrial factorybuildings
Compatible with various traditional tile shapes, easily meets renovationand new construction needs
3.2mm + 3.2mm reinforced double-glass, ensuring roof structure safety
21.4% photovoltaic conversion efficiency, 30-year UV resistance and aging
performanceMeets Class A fire rating and 15-level instant wind protectionSupportscustom module colors, enabling architectural aestheticsLightweight materials, effectively reducing roof load pressureTopcon solar cells, excellent power generation performanceClamped fixation, does not damage the existing waterproof roof layerVentilation design to ensure power generation efficiency
1.6mm reinforced layer, withstands 15-level typhoon
System-level structural water drainage, excellent waterproof performanceModular design for quick installationDual-chamber frame design, ensuring a more robust structureBalcony photovoltaic200WGoodWe Europe original
3S ultra-economical
triple-supply
heat pump
Balconies, railings
Home heating
4-in-1 integrated kit, ultra-light, only 3kg/Building material-type photovoltaic panel, low-voltage safe micro-inverterPlug-and-play, easy installation, smart managementSelf-developed 3S smart energy-saving management system, 8%-10%increase in heat exchange efficiencyA+++ energy efficiency level, 30%+ increase in heat exchange areaIndependent compressor soundproof cabin design, reduces noise to 40dBUses R32 eco-friendly refrigerant, maintains efficiency at -20°C, 10% higherheat efficiency than R410a
Digital platformSEMSEnergy management
Digitalization of energy management improves efficiency, reducingcustomer's manpower input by 60% and increasing asset yield rate bymore than 30%.High compatibility, compatible with the top 10 brands of inverter/energystorage/charging pile cloud platforms on the market.High-precision data guarantee, with settlement verification accuracy ofmore than 99.5%.Guarantees full life cycle of assets, covering the whole process ofenergy monitoring, management, operation and maintenance,settlement and trading.
Product typeProduct nameApplication scenariosInnovation and value
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Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company follows the Intellectual Property Risk Management Control Procedures to timely identify, assess, and respond to intellectual proper-ty risks and minimize the risk of infringement. During the project development phase, technical personnel submit technical investigation casesthrough the intellectual property management system, where relevant staff conduct searches and analysis of technical plans to mitigate risksfrom the source.The Company actively commissions third-party institutions to conduct in-depth searches and assessments of internal patent technologies,further enhancing the systematization and effectiveness of the intellectual property management system. At the same time, the Companyproactively monitors the intellectual property protection directory from the Suzhou Administration for Market Regulation, using this platform toreceive early warning information on potential infringement activities, preventing intellectual property infringement incidents.To raise employee awareness of intellectual property protection, the Company regularly organizes diverse training and promotional activities,including external expert lectures, internal knowledge training, and intellectual property competitions. These activities cover complianceknowledge, patent risk prevention, and analysis of innovative cases, promoting the comprehensive integration and implementation of intellectualproperty protection culture within the Company.
Intellectual Property Management Practices
GoodWe actively promotes industry-academia-research collaboration and partners with several universities to engage in cutting-edge technologyR&D, contributing to technological innovation in the renewable energy field. The Company has collaborated with Fuzhou University, NanjingUniversity of Aeronautics and Astronautics, Nanjing Normal University, and Suzhou University of Science and Technology, among others, to workon industry-academia-research projects that enhance the Company’s technological strength while providing innovative support for the sustain-ability of the industry.
Industry-Academia-Research Practice
GoodWe R&D and Innovation Achievements and Honors in 2024
High andnew technology
High-tech Enterprise CertificationEnterprise with a National Postdoctoral Research StationUndertaking Unit of the Industrialization Demonstration ProjectFunded by the China Torch ProgramNational industrial design center
Research Center of Jiangsu Province for Renewable EnergyGrid-connected Inverter Engineering TechnologyJiangsu Provincially Recognized Enterprise Technology CenterResearch Center of Suzhou for Photovoltaic Grid-connectedInverter Engineering Technology
Industry honors
China Top 100 New Energy Storage Brands (EESA)PVBL Top 100 Solar PV Brands in the World (PVBL Global Photovoltaic Brand Rankings)“DSS Residential Inverter Series” awarded the German Red Dot Design Award
Standardformulation
Regional Low-carbon Energy System Technology GuidelinesGrid-connected Energy Storage Converter Technical Specifications for Grid-connected Electrochemical Energy StoragePower StationsGeneral Technical Requirements for Building Photovoltaic and Energy Storage Inverters
Industry insights
Zero-carbon Transportation White Paper: It analyzes the application characteristics of PV energy storage and charging systemsin different scenarios. It also provides data such as configurations for fast and slow charging in various scenarios, financialmodels, etc., to demonstrate the potential and value of PV energy storage and charging systems in promoting zero-carbontransportation.Zero-carbon Smart Home White Paper: It integrates the experiences of PV energy storage and charging systems, smart homes,and intelligent power distribution. It covers the definition of zero-carbon smart home systems, multi-scenario solutionintroductions, case studies, future trends, and user recommendations.
Collaboration with Nanjing Normal University for Industry-Academia-Research TrainingCaseIn 2024, the Company entered into a deepened industry-academia-researchcooperation agreement with Nanjing Normal University to conduct a trainingprogram focused on “Power Systems and New Energy Technologies.” Thecourses were conducted in phases, combining both offline and online formats,with classroom teaching as the main component and technical lectures assupplementary. Through this collaboration, both parties further strengthenedtheir industry-academia-research cooperation, ensuring the effectiveness andpracticality of the training content, and achieving mutual enhancement goals.
In 2024, the Company monitored performance indicators such as the proportion of R&D personnel and R&D investment amount, and conducteda comprehensive assessment of the Company's investment and talent allocation in R&D and innovation. In the future, the Company will continueto optimize resource allocation, strengthen R&D talent development, actively engage in deep industry-academia-research integration, and injectstrong momentum into its R&D efforts through scientific decision-making.
Metrics and Targets
The Company has established a relatively complete quality management organization structure that allows for the orderly progress and coordi-nated cooperation of the quality work in each stage. The Quality Process IT Department serves as the coordinating unit, participating in bi-weeklyquality meetings. It is primarily responsible for quality-specific projects, the formulation and execution of quality agreements, and theclosed-loop management of quality issues. The department director reports directly to the Chairman regarding quality matters.The Sustainable Development Research Institute is responsible for the Company's quality system certification and environmental compliance,overseeing ISO 9001 quality management system certification, as well as compliance management with QC080000, RoHS, REACH regulations,and full substance investigations. This supports the integration of quality and sustainability within the Company.The Operations Quality Department focuses on quality control and issue resolution during the manufacturing process, ensuring stable andcontrollable product quality during production. The Supplier Quality Department specializes in quality management at the procurement end,encompassing the identification, rectification, and continuous improvement of supplier-related quality issues, ensuring the reliability of rawmaterials and outsourced components.The After Sales Service Department is responsible for handling customer feedback and quality issues post-delivery, enhancing customersatisfaction and driving issue resolution. The Product Support Department focuses on the compliance management of product safety regula-tions, ensuring that products meet global market compliance and safety standards.
Governance
Product Quality and SafetyGoodWe’s main business products include PV grid-connected inverters, energy storage products, and residential systems. The Company strictlyadheres to the Product Quality Law of the People’s Republic of China, the Standardization Law of the People’s Republic of China,CNCACTS0004-2009A Technical Specification of Grid-connected PV Inverter, and other relevant laws and regulations. The Company integratesthe concept of product quality and safety throughout the entire lifecycle of procurement, R&D, production, manufacturing, and after-sales service.In 2024, the Company did not experience any major accidents related to product quality and safety.
6364IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company has established internal regulations, such as the Management Measures for Product Quality Abnormalities and the Product QualityTraceability System, to provide standardized, formal processes for the quality management system. This ensures that every stage of the productlifecycle, from procurement and R&D to after-sales, meets quality standards and relevant legal and regulatory requirements. In 2024, the Compa-ny’s Suzhou factory, Guangde factory, Shunde factory, Vietnam factory, and SHAWLLER passed ISO 9001 Quality Management System certifica-tion.
StrategyThe Company remains committed to quality as the core focus, continuously advancing product R&D and technological optimization to provideefficient, safe, and environmentally friendly solutions. This ensures that every product maximizes quality and safety during design, production,and usage. Throughout this process, the Company identifies potential risks and adjusts strategies and technical routes flexibly, while seizingopportunities in green development and technological innovation to drive product optimization. This ongoing effort enhances market competi-tiveness and ensures sustainable business growth despite facing challenges.
Impacts, Risks, and Opportunities ManagementThrough cross-functional team collaboration, quantitative risk assessments, and a closed-loop management mechanism, the Company system-atically controls product quality and safety risks. At the same time, the Company identifies opportunities for design optimization and regulatorycompliance improvements during risk analysis, ensuring products remain safe, reliable, and competitive in the market.
GoodWe Product Quality and Safety Risk and Opportunity AnalysisRisk/opportunity typeSpecific descriptionFinancial impact
Product installation
Because the products may be subject to changes in environmentand operating conditions during transportation, safety and use, theCompany's PV and energy storage products may be improperlyinstalled or the use environment does not meet the standards,which may lead to equipment failure or performance degradation,thereby increasing after-sales service costs and affecting customersatisfaction.
Operating costs increaseRevenue decreases
Product adaptability
opportunity
The Company can improve product design adaptability and ease ofinstallation by simplifying installation processes and offering moreuser training and technical support. This would enhance productusability and stability, increasing market share and establishing ahigh-quality and reliable brand image.
Revenue increases
Identify risks across five stages of the product lifecycle (transportation, installation, commissioning, use, disposal) and ten typesof hazards (mechanical hazards, electrical hazards, thermal and explosion hazards, noise hazards, etc.).The project manager forms a cross-functional team to conduct multi-domain risk analysis based on physical prototypes. Completethe product risk analysis form to document hazardous scenarios in each domain (e.g., electrical sections, structural failures).Through risk analysis, identify design optimization points (e.g., reducing noise may enhance user experience). Explore complianceimprovements based on CE certification requirements that bring enhanced market competitiveness (e.g., the use of environmental-ly friendly materials).
Identification and analysis
GoodWe Product Quality and Safety Risk and Opportunity Management Process
Conduct risk assessment based on severity, frequency, and likelihood, using a risk combination method to calculate the risk index.Based on the score, risks are classified from high to low.High-risk issues require immediate corrective action (e.g., electrical explosion risks) to pass CE certification. Medium risks requiredesign or documentation optimization to prevent hazards. Low risks are included in long-term monitoring plans.
Assessment and classification
Engineers from various domains submit corrective action reports, and system engineers organize review meetings to confirm that therisk index is reduced to below 3 points, document the structure on risk analysis reports, and archive historical data in the risk invento-ry for future project reference.High-priority opportunities (e.g., optimizing the heat dissipation scheme) are included in design changes, approved by the R&DDirector. The effectiveness of the optimization is validated during subsequent product testing, and the risk inventory is updated.
Management and monitoring
GoodWe Product Quality and Safety Key Practices
Each production base regularly conducts training and assessments, organizes cross-disci-plinary quality review activities, and implements preventive and corrective measures. In 2024,the Company launched articles on its internal "Quality Micro Window" subscription account tocontinuously enhance employees' quality management capabilities.The Company is gradually establishing an incentive and authorization mechanism to improveemployees’ quality awareness and participation.The stability and accuracy of production equipment are inspected, and regular maintenanceand repairs are conducted to avoid quality issues caused by equipment malfunctions.High-quality raw materials are procured, and suppliers are quality-assessed and managed.Various factors in the production environment are controlled to minimize negative impacts onproduct quality.All measuring instruments are ensured to meet relevant standards and are regularly calibratedto ensure measurement data accuracy.Quality process control
Regular checks, assessments, and audits are used to ensure effective implementation ofquality work in each department and position.Implement the “One-Vote Veto” system in key processes to ensure that non-conformingproducts do not flow downstream.Real-time monitoring of quality control results is conducted to provide timely feedback andimprovements and ensure that quality issues are promptly addressed and resolved.Standardize the handling process for abnormal product quality to ensure that abnormal qualitysituations can be resolved and improved in a timely manner.
Quality issue monitoring
The Suzhou factory is equipped with an electromagnetic compatibility (EMC) laboratory(compliant with EN55022 Class B), a thermal simulation platform (with an error rate of <3%),and a safety regulation testing center (100% passed IEC62109 certification). It has alsoobtained ISO 17025 laboratory accreditation.The Shunde factory has built four international-level explosion-proof laboratories (suitable forrefrigerants such as R290, R32, R454B, R454C, etc.) and is equipped with advanced testingequipment that meets European, American, Australian, and Chinese national standards. Thisensures the development testing and noise detection of heat pump products.Testing capability
Quality culture development
6566IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
Customer Relationship ManagementGoodWe adheres to the service philosophy of “Customer First,” and strictly complies with laws and regulations such as the Law of the People’sRepublic of China on the Protection of Consumer Rights and Interests to ensure full protection of customer rights and provide high-quality, reliableproducts and services.
GoodWe Main Quality and Integrity Management Measures
Establish the corporate philosophy of "winning with quality, honesty, and integrity" to strengthen employees' awareness of qualityresponsibility and sense of belonging to the Company.Integrity culture covers quality and safety responsibility, team spirit, employees' sense of honor, corporate integrity atmosphere,and cooperation with relevant parties.
Integrity culture building
Implement a three-level quality integrity education mechanism, with the management center coordinating company-wide training,functional departments carrying out department-level education based on practical needs, and production teams regularly organiz-ing integrity promotion during morning meetings.The Quality Department is responsible for organizing and driving the overall education efforts. There must be at least one compa-ny-wide training session annually, covering the importance of quality integrity, the impact of individual behavior on organizationalreputation, and the consequences of breaching integrity. Training plans and records are strictly executed according to the RecordControl Procedure to ensure the deep-rooted quality culture.
Quality integrity education
Regularly monitor and measure compliance, process control, product quality, fulfillment capability, financial status, and corporateimage. If any non-compliance in systems, products, or behavior is identified, corrective actions will be implemented immediatelyaccording to the Corrective and Preventive Action Procedure. If defective products are found, the Nonconforming Product ControlProcedure will be followed for recall and remediation.
Emergency preparedness
The Company implements a strict labeling and traceability system in its quality management. Raw materials entering the warehouse must belabeled with conformity tags, standard parts use QR code labels containing key information, and environmental labels (such as GP, RoHS) mustbe complete. Materials that do not meet standards or lack labels will be returned. Finished products that pass inspection will be labeled with a"QC PASS" tag, while non-conforming products will have a special label and be isolated. Finished goods in stock will be marked with a "FinishedProduct Label." The entire process is recorded through process cards and SIP forms, with barcode traceability for raw materials and productioninformation relying on the MES system.
Metrics and TargetsThe Company adheres to quality as the core and safety as the guarantee. Through strengthening product quality control and testing, the Companyensures that products undergo rigorous quality checks before delivery. The Company will continue to drive innovation through intelligentmanufacturing and digital monitoring methods, enabling real-time tracking of product quality and safety. This ensures that each step meets highstandards, enhancing customer trust and satisfaction with the products.
During the pre-sales stage, the Company's Solar Academy takes the mission of "providing pre-sales services beyond expectations", providescomprehensive and professional pre-sales technical support in the project implementation process, and ensures that the products and solutionsachieve the expected results of customers through actual operation testing and performance evaluation. The academy organizes regulartechnical exchanges with customers, and builds an open and active exchange community in the photovoltaic industry, to share professionalknowledge and technical experience in the photovoltaic field with customers, partners, and industry practitioners.
Governance
Impacts, Risks, and Opportunities Management
The Company is customer-driven and continually optimizes customer service processes to enhance customer satisfaction and loyalty. Throughdigital tools and standardized processes, the Company actively addresses potential risks in customer relationship management, while seizingmarket opportunities, driving service model innovation, and enhancing market competitiveness. The Company also conducts regular customervisits and proactive operations and maintenance to better understand customer needs, offering customized solutions and further improving thecustomer experience.
During the after-sales stage, the Company's After Sales Service Department coordinates three business modules, i.e., the call center, technicalservice, and service operation, forming a closed-loop management mechanism of the whole process, and has set up after-sales service outletsin 28 countries and regions around the world. The Company guarantees efficient project delivery, quick problem response, and high-qualitytechnical service support for customers and builds a service system covering the whole world. All client-side problems are handled inaccordance with the Issue To Resolution (ITR) management specification to ensure the efficiency and compliance of customer service.Strategy
GoodWe Customer Relationship Management Risk and Opportunity AnalysisRisk/opportunity typeSpecific descriptionFinancial impact
Service response risk
If customer issues are not handled promptly or if solutions areinadequate, it could lead to customer complaints or even loss,negatively affecting the Company’s brand reputation.
Revenue decreasesOperating costs increase
Market opportunity
By providing efficient services and maintaining strong customerrelationships, the Company can increase customer repeat purchaserates and expand new business cooperation opportunities.
Revenue increases
GoodWe Customer Relationship Management Risk and Opportunity
Management Process
Clearly define the core scope of customer relationship management, covering key areas suchas customer demand response, service delivery, complaint handling, customer data manage-ment, and satisfaction tracking.Identify potential risks in customer relationships, including service quality instability, poorcustomer data management, delayed responses to changing demands, and non-compliancewith laws and regulations.Focus on opportunities in customer relationship management, such as deepening customercooperation, promoting digital management, expanding value-added services, and enhancingbrand image.
Plan
Establish standardized customer service processes to ensure that each stage is orderly andtransparent, particularly in responding to and closing the loop on customer complaints, withclear time and quality targets.Build a multi-channel communication system, including online customer platforms, hotlines,and face-to-face interactions, allowing the Company to promptly gather customer feedbackand improve customer experience and service efficiency.Do
6768IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company consistently focuses on the development of its service team's capabilities, and conducts multi-level and multi-dimensional trainingto comprehensively enhance employees’ professional competence and service quality. In 2024, the Company organized a total of 45 trainingsessions for new employees both domestically and internationally, helping them quickly integrate and master professional knowledge. Addition-ally, 107 specialized training sessions were held for the service team to strengthen their skills in technical support, customer communication,and problem-solving. The Company also conducted 46 training sessions for service providers and customers, promoting collaboration andtechnical exchange between upstream and downstream partners. The Company actively promotes the development and business expansion ofthe marketing team through a series of training and offline activities, focusing on new product promotion, solution support, and customer needs.This strengthens the sales team’s technical knowledge and market response capabilities.
The Company continues to advance digital management and has established a comprehensive and transparent service monitoring system. Bythe end of the reporting period, all after-sales issues reported by customers through any channel could be tracked in the system throughout theentire handling process. Based on the after-sales service system, the company can further monitor and manage after-sales issues, building anITR process indicator database for real-time tracking and refined management of core service indicators. Key metrics being monitored includecustomer complaint handling timeliness, work order closure rates, and customer satisfaction. Notably, the timeliness of customer complainthandling has been incorporated into the company-wide KPI starting in 2024, ensuring the efficient flow of the service process, fast response timeto customer issues, and improving problem-solving efficiency, thereby enhancing customer satisfaction.
Metrics and Targets
To continuously improve service quality, the Company actively promotes the standardization of its service system and successfully passed the“Commodity After-sales Service Certification (Ten-Star)”, “Customer Satisfaction Index Evaluation Certification (Ten-Star)”, and “CommodityAfter-sales Service Certification (Five-Star)”.
The Company upholds a customer-centric philosophy and is fully committed to advancing and optimizing its digital customer managementmodel. By implementing an advanced customer relationship management (CRM) system, the Company has successfully integrated andimplemented the entire process from lead identification to cash collection (LTC), enhancing the precision of customer relationship managementand operational efficiency. This has further enabled the Company to continuously improve customer satisfaction and loyalty with a more profes-sional and efficient service system.Additionally, the Company places great importance on the quality and efficiency of after-sales service. Under the guidance of professionals, theCompany has established a comprehensive ITR process management system. The core goal of this system is to standardize the handling ofafter-sales service requests, clearly defining key aspects such as customer complaint classification rules, service authorization mechanisms,work order status definitions, and escalation procedures for major customer complaints. Starting in 2024, the Company has included thetimeliness of customer complaint handling as a company-wide management indicator, ensuring effective control over the entire process fromproblem acceptance to work order closure. This guarantees a quick response and accurate resolution to customer needs.The Company places a high priority on customer satisfaction management, conducting 100% satisfaction follow-up for all high-level issues toensure that customer feedback is thoroughly gathered, and effectively improves the company's deficiencies and areas for improvement areaddressed. Satisfaction follow-up includes both manual callbacks and automated evaluations. The feedback results are quantified using afive-level rating system. For any dissatisfaction, the Company will analyze the causes and develop improvement measures to continuouslyenhance service quality and customer satisfaction.
Through monitoring and audits, continuously track and assess the effectiveness of customerrelationship management execution.Conduct regular risk reassessments, considering market dynamics and changes in customerneeds, to identify new risks and opportunities in a timely manner.Check
Implement corrective and preventive measures for identified issues to ensure similarproblems do not recur.Regularly summarize the results of customer relationship management and submit reports tothe management, driving cross-department collaboration to ensure objectives are met, andcontinuous optimization is achieved.
Act
To enhance the customer experience and product optimization for the SEMS, the Company has developed a detailed Voice ofCustomer (VOC) work order process and timeliness management mechanism. When customers encounter product issues or requirefunctionality improvements on the SEMS, they can initiate work orders through their account manager or delivery personnel. ThePlatform Operations Department is responsible for initially reviewing the work order. If the issue can be directly resolved or therequest cannot be accepted, the customer will be promptly notified.
Management Regulations for Special Operations of Voice of Customers on the SEMSCase
In 2024, the Company provided 30 empowerment training sessions for the marketing team, focusing on in-depth explanations of newproducts and solutions to enhance the product technical capabilities of the sales and marketing departments. The Company alsoorganized two hands-on installation training sessions, allowing sales team members to participate in product installation and config-uration, gaining deeper insight into the product’s actual application. During the installation process, issues were identified, andimprovement suggestions were made.
Product Marketing Training Sessions at the Solar AcademyCase
GoodWe Customer Service Certifications (examples)
Data Security and Customer Privacy ProtectionGoodWe places great emphasis on data security and customer privacy protection. The types of data involved include contract and order data,customer information data, system or network security control configuration data, firewall data, etc. The Company defines customer informationdata as sensitive data, including customer portrait databases, information repositories, and data that requires operation through third-partybusiness outsourcing platforms.The Company strictly adheres to laws and regulations such as the Cybersecurity Law of the People’s Republic of China, Data Security Law of thePeople’s Republic of China, Personal Information Protection Law of the People’s Republic of China, ensuring the compliance and security ofinformation collection, storage, processing, transmission, and sharing. In 2024, the Company did not experience any data security or customerprivacy breach incidents.The Company has established an Information Security Committee and constructed a management structure consisting of the “InformationSecurity Management Steering Group – Information Security Management Promotion Group – Information Security Administrators.” The Compa-ny has also developed internal regulations, including the Information Security Risk Assessment and Control System, Regulations on InformationSecurity Goals and Effectiveness Measurement, and Data Backup Management Regulations, to ensure the systematic, effective, and continuousimprovement of information security and customer privacy protection measures, constantly enhancing the level of information security andprivacy protection. In 2024, the Company successfully obtained ISO 27001 Information Security Management System certification.
Data Security and Customer Privacy Protection Management System
6970IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
Digital Transformation
The Company has built a security system compliant with Level 3 national standard of the Multi-Level Protection Scheme (MLPS) 2.0. By deploy-ing security modules such as next-generation firewalls, anti-virus walls, cloud WAF (Web Application Firewalls), log auditing, and vulnerabilityscanning, the Company has comprehensively enhanced its information security protection capabilities.
To ensure the continuous effectiveness of information security risk management, the Company organizes an annual risk assessment of informa-tion assets at a minimum, to identify new threats and vulnerabilities and assess whether additional control measures are needed. In the event ofsignificant adjustments to business processes, major information security incidents, significant changes to information network systems, orwhen necessary, special risk assessments are conducted in a timely manner to ensure that information security risks remain under effectivecontrol. In addition, the Company checks, reviews, and continuously tracks the risk assessment results annually to ensure the effectiveness andadaptability of the risk management system, while constantly improving the level of information security management.To raise overall information security awareness, the Company’s information technology department organizes phishing email drills and securitytraining to help employees become more vigilant and reduce potential cybersecurity risks. Furthermore, to improve daily office security, theCompany has implemented a unified internet access policy, using whitelist access control to effectively prevent unauthorized software usageand sensitive information leakage.The Company organizes training on information asset identification and risk management for the information security management promotiongroup members from each department, ensuring that they possess basic risk identification and management capabilities. In 2024, the Companyconducted comprehensive offline and online training on IT basics, information security, network security awareness, and ISO 27001 InformationSecurity Management System, covering all employees.
Data Security and Customer Privacy Protection Management Practices
GoodWe Data Security and Customer Privacy Protection Management Structure
Responsible for guiding information security risk assessment work, consolidating andconfirming the Information Security Risk Assessment Form, and generating the Informa-tion Security Risk Assessment Report and Residual Risk Approval Report based on theassessment results.Responsible for identifying and assessing risks related to assets used or managed bytheir department.Responsible for specific security control measures for assets within their department.
Information SecurityManagement Steering Group
Responsible for promptly assessing and reporting changes in information assets withintheir department, and updating the Information Security Risk Assessment Form to theInformation Security Management Steering Group.
Information Security Administrators
Information SecurityManagement Promotion Group
GoodWe adheres to the digital transformation philosophy of “Data-driven, Intelligence-empowered, Business Collaboration, security-controlled,”with technological innovation as the core, leading the Company towards intelligent and efficient development. The Company’s IT departmentswork closely with business departments through the IT Business Partner (ITBP) mechanism, ensuring IT requirements are rapidly and preciselymet across R&D, production, procurement, after-sales, administration, and other business areas. In team management, IT departments adopt acollaborative working model of ITBP + IT services and leverage AI tools, service desks, and issue tickets to improve the response speed andefficiency of IT services.
Governance
The Company is committed to driving business innovation through digitalization, continuously optimizing internal processes to improveoperational efficiency and empowering business teams to respond swiftly to market changes. Through digitalization, automation, and intelligentmethods, the Company enhances its data management capabilities, making decision-making more accurate and efficient.
The Company has developed internal regulations such as Management Regulations on Information-based Projects, I-I Integration ManagementManual, and Control Procedures for the Technical Realization Process of I-I Integration. In 2024, the Company established a digitalization taskforce to promote business process digitalization and automation, while standardizing the application of digital technologies, strengtheningcollaboration between business processes and information systems, and improving operational efficiency.Strategy
GoodWe Digital Transformation Risk and Opportunity Analysis
Risk/opportunity typeSpecific descriptionFinancial impact
Technology risk
During the introduction and upgrading of digital systems, theCompany may face challenges such as technical integrationdifficulties, long implementation cycles, and system instability,which could affect business continuity.
Operating costs increase
Market opportunity
Through digital upgrades, the Company improves operationalefficiency, optimizes resource allocation, reduces operationalcosts, and strengthens its competitiveness in areas such asintelligent manufacturing, precise marketing, and supply chaincollaboration.
Operating costs decrease
To ensure the smooth implementation of digital transtormation and minimize related risks while seizing market opportunities, the companyhasestablished a comprehensive risk and opportunity management process. This process, combined with the Company's existing ManagemenRegulations on Information-based Projects and digital transformation practices, ensures that the Company can continuously optimizebusinessmodels and enhance competitiveness in a complex market environment.
Impacts, Risks, and Opportunities Management
Conduct feasibility analysis during project initiation to identify potential risks in technology implementation, such as systemcompatibility, data migration difficulty, and operational complexity.Regularly perform market and industry analysis to assess the market expansion opportunities digital transformation maybring and identify compliance risks resulting from regulatory changes.
Identification
In terms of risks, focus on the scope of impact, likelihood of occurrence, response costs, and compliance requirements.In terms of opportunities, assess the potential for business growth, operational efficiency improvement, and technological maturity.Assessment
GoodWe Digital Transformation Risk and Opportunity Management Process
7172IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company continues to promote internal digitalization through various initiatives, including enhancing digitalskills, optimizing o?ce tools, and reducing costs while increasing e?ciency, all aimed at enhancing organizationale?ciency and management e?ectiveness.
For high-priority risks, such as information security vulnerabilities and core business system stability issues, immediate action istaken.For medium-priority risks, such as increasing IT operation and maintenance costs or difficulties in training for new system users,long-term optimization plans are developed.In terms of opportunities, high-priority projects high-priority projects receive prioritized resource allocation and acceleratedimplementation, while long-term opportunities such as frontier technology exploration are tracked and researched as technologicalreserves.
Sort and prioritization
Use situational awareness, monitoring platforms, and log platforms to monitor the operational status of IT systems and datasecurity in real-time. An IT service desk is set up, and AI knowledge bases and automated operations technologies are used to trackuser feedback and system stability.Regularly conduct information security audits and compliance checks to ensure that digital transformation meets industry regulato-ry requirements.
Continuous monitoring and mitigation
GoodWe Digital Transformation Key Practices in 2024
By establishing a comprehensive data warehouse modelling system covering multipleareas such as sales, R&D, after-sales, finance, and human resources, the Company ensuredefficient data management and application.To enhance the business team’s understanding and application of data, 6 BI-focusedtraining sessions and 1 BI boot camp were organized, along with 9 empowerment trainingsessions on the Feishu platform to help employees better use digital tools to improve workefficiency.As close partners of the business team, the IT departments of the Company delivered 1,671IT requests throughout the year, covering system optimization, automation tool develop-ment, process transformation, and more.
IT empowering business,
driving digital upgrade
Through the “ITBP+IT services” model, the overall workload of the team increased by65%, improving demand response speed and problem-solving efficiency.With AI technology, the service desk system has been optimized to use AI knowledgebases and intelligent customer service to improve automation capabilities, achieving a40% machine interception rate.The Company established a service desk problem closure management mechanism,ensuring timely escalation and tracking of issues, ensuring that IT-related user demandsare quickly addressed.In terms of infrastructure, IT system operations were stable throughout the year, with nomajor network failures, achieving a system stability rate of 99.955%.The IT infrastructure construction for the Smart Energy Tower was successfullycompleted, including intelligent access control, video monitoring, parking management,and other intelligent projects, all of which are now running smoothly.
IT management optimization,
improving service quality
The Company dynamically optimizes opportunities for digital transformation and uses an agile development model to ensure that new technolo-gies can quickly iterate and adapt to market changes. Additionally, through data analysis and market feedback, the Company can timely adjustits digital strategy, ensuring the business seizes market opportunities at the right time and maximizes the return on digital investment.Metrics and Targets
The Company clearly defines the responsibilities and management processes of the Procurement Center and its subordinate departments,including the Supplier Development Department, Material Supply Department, Supply Chain Management Department, and Supply Chain QualityDepartment. The Company has established internal regulations such as the Procurement Contract Control Procedures, Supplier ControlProcedures, Management Regulations on Supplier Performance, Supplier Quality Management Manual, Supplier Social Responsibility Manage-ment Regulations, and Conflict Minerals Control Management Measures, effectively managing various stages of the supply chain and improvingsupply chain transparency, compliance, and sustainability.In 2024, the Company established a Procurement Center, led by the Chairman of the Board, with the Director of the Procurement Center as theExecutive Director. The executive members of the Procurement Committee come from procurement, R&D, quality, production, finance, legal, andsales departments. According to business needs, executive and temporary teams were established. They are jointly in charge of organizing andsupervising procurement activities, ensuring stable procurement management, and improving procurement management levels. The Procure-ment Committee’s responsibilities include establishing and improving the Company’s procurement management system, formulating medium-and long-term procurement strategies, making decisions on major supplier management issues, managing major bidding issues, and handlingmatters that cannot be decided by the respective procurement organizations, which are then submitted to the Procurement Committee fordecision-making.
Governance
The Company regards supply chain management as a critical component of its sustainability strategy. It continually optimizes the supply chainmanagement system, incorporating safety, stability, and sustainability factors throughout the supplier lifecycle management. The Companyactively identifies challenges related to supply chain security and stability, explores new opportunities in sustainability, and strives to ensurebusiness continuity and compliance while promoting the overall sustainable growth and value creation of the supply chain.
Strategy
Sustainable Supply Chain ManagementGoodWe places great emphasis on supply chain security and actively focuses on the sustainability management of its supply chain. The Compa-ny strictly complies with laws and regulations, such as the Bidding Law of the People’s Republic of China, ensuring that all supply chain links meetnational and industry safety and compliance requirements. The Company ensures fairness, transparency, and integrity in the selection, coopera-tion, and management of suppliers.
GoodWe Sustainable Supply Chain Management Risk and Opportunity Analysis
Supply chain stability risk
The global semiconductor industry has been significantly affectedby the international trade environment in recent years, particularlywith the escalating export control policies from the United States.This could pose trade restriction risks for Chinese suppliers,negatively impacting the stability of the Company’s supply chain.
Operating costs increaseOperating profit decreases
Market opportunity
With the growing global attention on sustainability, the Companycan strengthen supply chain transparency and responsibilitymanagement, gaining customer trust and enhancing brand compet-itiveness. Additionally, the Company can jointly explore newmarkets to meet increasingly strict environmental regulations andconsumer demands.
Revenue increases
Risk/opportunity typeSpecific descriptionFinancial impact
7374IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company conducts strict reviews and on-site assessments before introducing new suppliers to identify potential risks. Through multi-depart-mental collaboration and regular assessments, the Company quantifies risks related to suppliers’ technology, quality, and costs, while seekingopportunities for optimization. The Company also continues to improve supply chain efficiency and shares risks and opportunities, ensuring thelong-term sustainability of the supply chain.
Impacts, Risks, and Opportunities Management
Qualification audits and on-site assessments (such as production automation, IT management, and employee expertise) are madebefore introducing new suppliers, with early involvement in problem experience sharing and training.Cross-departmental communications are conducted to perform product feasibility analysis and procurement requirement design,risks related to technology compatibility, cost deviations, etc. are identified, and potential quality risks are identified by examiningsuppliers’ material batch pass rates and providing guidance for issues (such as process flow problems).
Identification and analysis
GoodWe Sustainable Supply Chain Management Risk and
Opportunity Management Process
Suppliers are assessed across five dimensions: technology, quality, cost, delivery, and service. The risk levels are quantified. Costoptimization opportunities are assessed through business and technical cost reductions, while potential quality risks are analyzed.Monthly/annual assessments (e.g., batch pass rates, response speed to exceptions) are conducted, combining hard/soft strengthimprovement plans to assess suppliers’ long-term cooperation potential and risks.Procurement plans are based on “material normalization” and “cost models,” with a focus on ensuring material supply stability.
Assessment and prioritization
Monthly performance assessments and annual audits are executed to continuously track suppliers’ process improvements. Duringmaterial release and the full product lifecycle stage, procurement strategies are adjusted based on suppliers’ performance data.Technical solutions are jointly developed with suppliers, risks and opportunities (e.g., cost-sharing, innovation revenue sharing) areshared.
Monitoring and improvement
The Company has developed the annual audit plan of key suppliers and established a systematic, multi-dimensional management system forsupplier assessments, covering four core modules: quality, procurement, R&D, and finance. A strict scoring mechanism and audit conclusionsare applied to ensure suppliers’ overall capabilities meet the Company’s requirements. Suppliers are required to pass ISO 9001 Quality Manage-ment System certification. Thus, the Company standardizes incoming material inspections and defect handling processes, and assessessuppliers’ capacity matching, material resources, and on-time delivery strategies. Additionally, the Company conducts annual reviews andassessments of suppliers based on financial risks, QSA system documentation, QPA process control, pricing/order contracts, collaboration,capacity, and technical/equipment capabilities. Suppliers failing to meet the standards or failing to improve after guidance may have their supplyqualification cancelled. Thus, the security and stability of the supply chain can be ensured. In 2024, the Company conducted three group trainingsessions and 55 individual guidance sessions for suppliers.During the reporting period, the Company initiated the Integrated Supply Chain (ISC) Management Transformation Project, led by the ProcessManagement Committee, overhauling the supply chain planning process to further enhance supply chain efficiency and resilience. By introducingchannel-based and project-based demand forecasting methods, the Company unified demand data reporting platforms across different marketregions and optimized product demand forecasting control logic and review mechanisms. Additionally, the Company continued to improveproduction scheduling rules for the Make-To-Order (MTO) and Make-To-Stock (MTS) models, establishing a multi-level production-sales collabo-ration mechanism. Furthermore, GoodWe launched a Supplier Relationship Management (SRM) platform to strengthen the full lifecycle manage-ment of suppliers, enhance capacity planning and inventory management, and ensure customer satisfaction and order delivery cycle targets.
Ensuring Supply Chain Security and Resilience
The Company requires suppliers to sign the Code of Conduct for Suppliers and regularly assesses risks in the supply chain related to the environ-ment, society, and corporate governance to prevent or mitigate any negative impact of the supply chain on the Company.
Sustainable Procurement
In 2024, the Company conducted annual supplier audits and social responsibility surveys, requiring suppliers to complete the Supplier SocialResponsibility Audit Form and Supplier Due Diligence CSR Risk Assessment Form. During the annual review, suppliers ranking in the bottom 30%of the SAQ (Self-Assessment Questionnaire) scores are considered high sustainability/CSR risk and will undergo on-site or online audits toexamine their activities and discuss improvement steps, continuously reducing risks and strengthening the supply chain.During the supplier social responsibility audit process, if any zero-tolerance issues are identified, GoodWe has the right to terminate the coopera-tion or suspend the supplier onboarding process until the necessary corrective actions are completed and confirmed by the Company.
GoodWe Main Measures for Sustainable ProcurementSuppliers are required to obtain ISO 14001 Environmental Management System certification and establish managementdocuments on controlling hazardous chemicals and substances.Suppliers must establish environmental-related indicators and goals and implement them at the relevant functional levels.Suppliers are required to establish and implement RoHS and REACH management systems and measures and pass relevantcertifications and tests.The Company conducts environmental violation record investigations of key suppliers through the Public EnvironmentalResearch Center (IPE).Suppliers must ensure that their employees and workplaces are free from harassment, illegal discrimination, and retaliation, andmust never employ child labor or engage in forced labor under any circumstances.Suppliers are required to regularly monitor their suppliers' ESG performance and adherence to the code of conduct for suppliers.Suppliers must design a dedicated due diligence system to track and monitor human rights and environmental risks related to theextraction, transportation, and use of all raw materials.Suppliers must sign the Anti-commercial Bribery and Integrity Agreement and acknowledge and comply with the Company'santi-corruption policies.Suppliers are required to avoid conflicts of interest in their cooperation with the Company, and ensure transparency and trustwor-thiness in business relationships.
Environmental
Social
While the Company does not directly procure or use raw minerals, certain materials and components essential to production, such as capacitors,chips, and PCBA, contain 3TG (tin, tantalum, tungsten, and gold). The Company is committed to responsible mineral sourcing, establishing andimproving due diligence and management procedures, and working to ensure that all materials used in products come from responsible supplychannels that consider social and environmental impacts.
The Company requires suppliers to sign the Letter of Commitment to Non-Use of Conflict Minerals and submit the Conflict Minerals ReportingTemplate (CMRT) to track and monitor human rights and environmental risks related to the extraction, transportation, and use of raw materials.In 2024, the Company conducted investigations into 276 production suppliers with transactions related to 3TG and achieved a 100% CMRTresponse rate. No suppliers were found to be using non-compliant smelters, with 75% of smelters passing the audit.
Conflict Mineral Management
GoodWe Conflict Minerals Management Policy
Don’t support or use conflict metals sourced from conflict mineral regions.Require all suppliers to comply with conflict-free metal regulations.Investigate suppliers who use conflict metals in their products and confirm the sources of these metals.
Metrics and Targets
The Company will continue to optimize and promote the sustainable development of its supply chain. Through in-depth collaboration withsuppliers and partners, the Company aims to jointly build a low-carbon, environmentally friendly, and efficient supply chain ecosystem. Addition-ally, the Company will enhance the transparency and traceability of the supply chain through digital management tools, ensuring that the sustain-ability of each stage is effectively monitored.
Corporate governance
7576IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Appendix
Contents
Collaborative Partnership towards
Ecological Harmony
SDGs
Employee Employment and RightsEmployee Training and DevelopmentOccupational Health and SafetyCommunity Engagement and Contribution
Collaborative Partnershiptowards Ecological Harmony
7778GoodWe2024 Sustainability Report
GoodWe Employee Employment Performance in 2024
GoodWe Employee Benefit System
Employee Employment and RightsGoodWe has always adhered to the “Dedication-Driven” principle, committed to safeguarding and protecting employees’ legal rights, fosteringcollaborative work, building mechanisms, creating mutual benefits, and striving to establish a harmonious and stable labor relationship. TheCompany actively responds to the United Nations Global Compact (UNGC), follows the core conventions of the International Labor Organization(ILO), and strictly complies with laws such as the Labor Law of the People’s Republic of China and Labor Contract Law of the People’s Republic ofChina to ensure legal and compliant employment management. The Company’s workforce includes regular employees, interns, dispatchedworkers, and retirees rehired.In 2024, the Company did not experience any incidents involving child labor, strikes, work stoppages, or other violations related to human rightsand labor.To standardize the Company’s recruitment and employment processes, the Company has developed internal regulations such as the Manage-ment Measures for Employment and Employee Handbook, defining the basic principles and requirements of recruitment and regulatingprocedures such as job posting, resume screening, interviews, and approval for hiring. Additionally, the Company provides reimbursement fortravel expenses for out-of-town interviewees to ease their burden. In 2024, GoodWe won the “Best ESG Practice Employer” and was awarded the“Greater Suzhou Best Employer” for the eight consecutive years.
The Company has also formulated the Management Regulations on Child Labor, Underage Labor, and Female Employee Protection, whichregulates the management processes for dealing with child labor, underage labor, and female employees. The Company prohibits employinganyone under 16 years old and ensures that neither the Company nor its stakeholders, including suppliers and customers, engage in the use ofchild labor.The Company has formulated the GoodWe Statement on Promoting Diversity and Inclusion, maintaining a zero-tolerance attitude towardsworkplace discrimination, harassment, and bullying. The Company strictly prohibits any discrimination based on ethnicity, race, gender, region,nationality, social class, or political affiliation during recruitment and daily work, ensuring fair and just career development opportunities for allemployees. The Company also pays close attention to employment opportunities for people with disabilities. In 2024, the Company employed 3disabled individuals, providing equal employment opportunities to those with disabilities.
Recruitment and Employment
The Company continuously optimizes its remuneration and welfare system and has formulated internal regulations such as the GeneralRemuneration Management Rules, Salary Implementation Rules and Management Measures, and Equity-based Incentive Policy to standardize andeffectively manage employees’ salaries, bonuses, and benefits. The Company reviews and adjusts employee remuneration regularly each year,adhering to the principles of fairness and justice. Employee performance and contribution are the main focus during assessments to ensure theremuneration system reflects employees’ contributions while considering the comprehensiveness, universality, competitiveness, and incentiveof the remuneration package.The Company attaches great importance to the construction of employee benefits and establishes a complete employee welfare system. Inaddition to statutory benefits, the Company offers supplementary benefits for all employees and creates special benefit policies based on thecharacteristics of different employee groups, aiming to provide competitive benefits to improve employees’ quality of life and increase satisfac-tion.In addition to national statutory holidays, the Company has continuously optimized its holiday system by offering multiple holiday benefits,including fully paid maternity leave, paternity leave, childcare leave, and leave for parents of only children.
Remuneration and Benefits
The Company actively implements stock incentive plans by establishing incentive mechanisms closely related to employees’ personal develop-ment goals, enhancing employee cohesion, sense of belonging, and long-term development awareness. In 2024, the Company completed thesecond vesting of the 2021 equity-based incentive plan, with a total of 585,426 shares vested, all of which have been circulated. At the sametime, the Company disclosed the 2024 equity-based incentive plan, with a total of 1,758,700 restricted shares proposed for grant, and the firstgrant of 1,407,000 shares has been completed.In 2024, the Company established a Scientific Distribution Project Team, led by the Chairman, with the Director of the Human Resources Depart-ment as the executive leader.
Employee Incentives
By genderBy ageBy work locationFemale
37.57%
30-50
60.74%
Hong Kong,Macau,Taiwan,and overseas
4.42%
Chinese mainland
95.58%
Over 50
1.48%
Under 30
37.78%
Male
62.43%
Social insurance, housing provident fund, and statutory holidays.Statutory benefits
Festival bonuses, birthday gifts, marriage gifts, childbirth gifts, meal allowances, transporta-
tion subsidies, physical examination, supplementary medical insurance, and communication
benefits.
GoodWe reading bar, fitness facilities, reading room, and breastfeeding room.
Universal benefits
Core talents: High-end hospital medical insurance and high-end life insurance.
High-risk positions: Accident insurance and high-risk insurance.
Interns: Accident insurance and work injury insurance.
Employees in difficulty: Illness condolence money and charitable fund.
Special benefits
Educational improvement benefits, equity incentives, R&D project bonuses, patent rewards,
and vocational skill enhancement subsidies.Specific benefits
7980IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company actively delivers love and care to employees in need, establishing the Management Regulations on Assisting Employees in Need toprovide comprehensive assistance, including financial aid, medical condolences, and humanitarian care, to help employees overcome difficul-ties. In 2024, five eligible employees successfully benefited from the Company’s assistance program.Furthermore, the Company has paid continuous attention to the career development and life balance of female employees and regularly carriedout activities of caring for female employees, such as Women’s Day events, mother stations, and psychological counseling for women in theworkplace. Meanwhile, by continuously enriching and expanding the content and forms of care activities, the Company ensures that femaleemployees truly feel the Company’s care and warmth.
Under the guidance of the Company’s strategy, the team focuses onperformance growth and high-quality development to build a scientificincentive mechanism for profit distribution, aiming to reduce costs andincrease efficiency, and promote effective collaboration and rapid responsewithin the organization.
The team breaks the rigidity ofbenefits distribution, builds adifferential structure for internaland external benefits, andimplements a “High Perfor-mance, High Incentive and HighPressure” distribution mecha-nism that rewards high perform-ers and contributors, creating acompetitive gap to attract andretain talent.
The team is responsible forproviding incentives based onemployee tiers, categories, andscenarios, stimulating employ-ees’ potential for value creationbased on business growth andperformance improvements,guiding long-term sustainableefforts, and ensuring comprehen-sive, precise, and effectiveincentives.
Establish a scientific incentive mechanism
Optimizebenefit distribution
Accuratelymotivate employees
The Company adheres to the principle of employee participation and democratic decision-making, establishing internal regulations such as theManagement Procedures for Freedom of Association and Right of Collective Bargaining, Management Regulations on Congress of Workers andStaff, System of Consultation on the Equal Footing, and Work Rules of Labor Union, ensuring employees’ rights to freely associate and participatein collective bargaining.The Company fully utilizes the labor union’s core function of protecting employees’ legal rights and its role as a “bridge and link” in coordinatinglabor relations. The democratic mechanism of employee representatives and collective negotiation mechanisms are implemented. Additionally,the Labor Union signs, on behalf of employees, the General Collective Contract with the Company to clearly define rights and obligations regard-ing labor rights, remuneration and benefits, working conditions, and more, ensuring employees’ basic rights and establishing a harmoniouscooperative relationship between the Company and its employees.The Company places great emphasis on communication with employees and encourages employees to propose reasonable suggestions regard-ing Company management. Smooth communication channels have been established, including transparent communication platform, platformcollecting recommendations from employees, physical mailboxes, assembly, interviews, and surveys. The management of the Company promis-es to respond to employee feedback and suggestions within 10 working days, either in writing or face-to-face, ensuring timely and effectiveresponses to employee requests.The Company conducts an annual employee satisfaction survey, and the survey objects are all employees across departments within the entiregroup, to widely understand their real opinions on work rewards, work environment, work atmosphere, etc., ensuring the healthy development ofthe organization. Moving forward, we will gradually introduce new ideas, thoughts, and methods, continuing to improve basic managementthrough multiple dimensions, such as the remuneration and benefit system, employee activities, internal communication mechanisms, anddepartmental function development, to promote high-quality development of the Company.
Employee Communication
The Company is committed to creating a warm and harmonious atmosphere for teamwork, mutual help, and collective growth. While focusing onbusiness development, the Company actively conducts a wide variety of cultural and recreational activities and pays attention to the physicaland mental well-being of employees. The company has set up living facilities such as staff canteens, green plant rest areas, and WE Coffee inthe main production and operation places, as well as special projects such as soul stations and mother stations, caring for the physical andmental health and family happiness of employees in every detail.
Employee Care
Employee Assistant ProgramCase
The Company has signed a contract with a professional psychological counselingagency and launched an EAP counseling project, providing employees with regularon-site services and a dedicated psychological counseling room "Soul station", andcomprehensively protecting the mental health of employees through a variety ofservice modules such as intelligent psychological robots and relief stations.
The Company has established an employee training governance structure consisting of the “Human Resources Committee – Human ResourcesDepartment – functional departments,” ensuring the efficient operation of the training management system and the comprehensive developmentof employee capabilities.Governance
Employee Training and Development
GoodWe adheres to the philosophy of “growing together with talents and customizing professional growth and development paths for employ-ees”, and is committed to providing employees with a fair, diverse, and broad development platform. Through a comprehensive employeedevelopment system, a diversified support network, and a rich training system, the Company helps employees improve in all aspects and build ahigh-quality workforce.
GoodWe Employee Training and Development Governance Structure
Responsible for formulating overall training strategies and directions.Reviews and adjusts the organization structure of departments.Human Resources Committee
Develop department-specific training plans.Implement relevant training projects.Assist the Human Resources Department in organizing employee training andassessments.Cooperate with and support the Human Resources Department’s trainingarrangements.Functional departments
Establishes and improves the Company’s training system, and prepares trainingpolicy documents.Drafts the Company’s training plan and coordinates its implementation.Organizes or assists with the execution of various training activitiesHuman Resources Department
Main Responsibilities of the Scientific Distribution Project Team
8182IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
The Company has developed internal regulations such as the Management Regulations on Employee Training, New Employee Training Manage-ment Regulations, and Management Regulations on Internal Trainers. GoodWe places importance on cultivating internal trainers, providesexternal training opportunities, and encourages employees to become certified trainers, ensuring that employee training is both standardized andefficient, fostering a culture of continuous learning within the Company.
StrategyBased on the Company’s overall business strategy and development direction, an organization structure review is conducted twice a year. Thisincludes evaluating current workforce allocation, assessing department leadership teams, and planning for future development. The HumanResources Committee is responsible for reviewing adjustments to the organization structure, workforce allocation, and leadership developmentplans of each department. Based on these assessments, each department implements specific human resource arrangements and managementtasks for the following year according to the feedback received.The Company actively identifies and assesses the risks and opportunities related to employee training, deeply analyzing potential risks in thetraining process and taking timely measures to address them. Simultaneously, the Company focuses on the development opportunities arisingfrom employee training, aiming to enhance employee capabilities and strengthen team competitiveness through an effective training system.
The Company actively identifies and assesses the risks and opportunities related to employee training, deeply analyzing potential risks in thetraining process and taking timely measures to address them. Simultaneously, the Company focuses on the development opportunities arisingfrom employee training, aiming to enhance employee capabilities and strengthen team competitiveness through an effective training system.
GoodWe Employee Training and Development Risk and Opportunity AnalysisRisk/opportunity typeSpecific descriptionFinancial impact
Operation risk
If training needs analysis is inaccurate, it may lead to a lack ofscientific management in employee training, which could hindertalent development and affect the smooth execution of key projectsand the achievement of strategic goals.
Operating costs increase
Digital opportunity
By promoting the use of online learning platforms and intelligenttraining systems, the Company offers more flexible and efficienttraining methods, improving employee learning convenience andcoverage.
Operating costs decrease
The Company focuses on industry development trends and changes in market demand to identify external factors that may affecttraining content and methods.The Human Resources Department regularly distributes the Training Effectiveness Feedback Form to trainees to identify potentialrisks in employee training and development based on feedback and the quality of instruction.
Risk identi?cation and assessment
Department heads fill out the Annual Training Plan as part of their department’s work plan. The Human Resources Departmentregularly reviews the execution of training plans, promptly identifying emerging risks and adjusting response strategies.Through post-training tracking, the actual effectiveness and results of training projects are assessed to ensure the properimplementation of risk management measures.
Risk monitoring and feedback
GoodWe Employee Training and Development Risk and Opportunity Management
Impacts, Risks, and Opportunities Management
The Company has established an employee development training system based on job training, with a focus on professional training and supple-mented by self-learning. By fully leveraging both internal and external resources, the Company creates targeted training plans based on employ-ees’ career development stages, responsibilities, and personal potential. The training covers a variety of formats, including general knowledgetraining, new employee onboarding, and specialized talent training. The Company also continuously identifies outstanding employees to becomeinternal trainers. Through these training measures, the Company is committed to helping employees achieve comprehensive skill developmentand promoting mutual growth for both employees and the Company.
Employee Training
GoodWe New Employee TrainingGoodWe WE Star Training Camp for Campus Recruits
GoodWe Leadership Lecture SeriesGoodWe In-House Expert Public Classes
GoodWe Employee Training System
Improve employees' capabilities and promote
organizational developmentCadre projectUpgrade the operation andlaunch offline courses
Add three core values courses to
meet the training requirements ofthe ESG system
Joint by Nanjing Normal University and NARI Institute
Five major courses (power system, photovoltaics, energy storage,
microgrid, virtual power plant)Platform constructionCourse system, instructor system, training operation system, WE-learning platform
New projects for newbies in themarketing system, combining theory
with practice and applying what has
been learned
Expand the resources of instructors
and courses, actively introduce
university professors, and acquire
cutting - edge technologies.
New Employee ProjectSpecialized ability projectsAll-staff Open Class Project
8384IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
GoodWe Employee Development Support System
Organization Structure of GoodWe EHS Committee
The Company continually innovates its training model and actively seizes digital training opportunities. Through the “WE-learning” online learningplatform, the Company provides employees with more convenient and diverse learning methods. Employees can receive learning tasks, freelysearch for courses, participate in learning interactions, and exchange learning points for products through the platform. This helps enrich thelearning experience and enhances employees’ enthusiasm for self-learning and interaction. By the end of 2024, the platform had launched a totalof 2,466 courses, including 759 new courses during the reporting period, covering topics such as carbon management, EHS, information security,intellectual property, and psychological care, which has fully empowered employees’ career development.
Talent is key to driving the Company’s growth. The labor union plays a vital role as a bridge between employees and the Company, actively partici-pating in and supporting the annual Employee Skills Competition, fostering high-level technical talent and creating a professional, innovativeworkforce. The Company has been certified as a vocational skills recognition point by the Suzhou Municipal Human Resources and Social Securi-ty Bureau and has organized a series of vocational level certification activities. Additionally, the Company has established an honors platform forall employees through a medal incentive system and implemented a stock incentive mechanism based on the “Dedication-Driven” principle. TheCompany runs quarterly excellent employee selections, special incentives for R&D personnel, and subsidy applications for scarce industrytalents, achieving a win-win outcome for both employees’ career development and remuneration. Furthermore, GoodWe encourages modelemployees with professional skills and innovative achievements to play a leading role, promoting technological progress and industry develop-ment within the Company, thus ensuring shared prosperity for both employees and the Company.
The Company has established a multi-level employee development support system, including higher education, skill enhancement, and overseaslearning support, aiming to provide employees with broader development opportunities and growth potential.
Employee Development
Formulate and issue the Education improvement Incentive System.Encourage employees to improve their education during their employment and provide tuition subsidies to employees whosuccessfully advance their studies.Since the implementation of the system, 21 employees have applied for higher education, and a total of RMB457,482 intuition subsidies has been granted.
Education improvement
Formulate and issue the Management Measures for Employees Receiving Outsourcing Training.Encourage targeted external training and reimburse employees for training and exam fees upon successful completion.
Skill enhancement
Develop and issue the Incentive Rules for Employees Working Abroad.Provide training plans, overseas allowances, paid family leave, and comprehensive benefits to employees workingoverseas.Overseas learning support
The 7th Employee Skills CompetitionCaseThe 7th Employee Skills Competition in 2024 was successfully held on November 29,taking product processes as the main line of the competition and focusing onproduction research topics. A total of 129 employees participated in the competitionwith the theme of “Diligent study of technology, hard practice of skills, improvementof quality, and competition contribution”, adhering to the principles of “OrganizeCompetitions Based on Needs and Promote Training and Innovation ThroughCompetitions”. It encouraged employees to continuously pursue excellence, promotecraftsmanship, enhance vocational skills, and foster a corporate culture thatcelebrates “labor is honorable, and skills are invaluable”. The competition wasdedicated to inspiring employees potential and innovative spirit.
In order to ensure the continuous growth and career development of employees, the Company has formulated a series of indicators related toemployee training, comprehensively evaluated the training effects, and constantly optimized the training contents, so that the Company’s trainingefforts will be closely aligned with its strategy.
Metrics and Targets
Occupational Health and SafetyGoodWe places great emphasis on employee occupational health and safety, adhering to the principle of “Safety First, Health First All, Full Partici-pation and Green Development” for its EHS management. The Company strictly follows laws and regulations such as the Law of the People’sRepublic of China on Prevention and Control of Occupational Diseases and Law of the People’s Republic of China on Work Safety, and hasestablished internal regulations such as the Management Regulations on Prevention and Treatment of Occupational Diseases and ManagementRegulations on Prioritizing Safety in Production. The goal is to achieve the safety management objectives of “zero accidents in safety” and “zerofatalities in overseas control,” ensuring the health and safety of every employee. In 2024, the Company’s Suzhou factory, Guangde factory,Vietnam factory, and SHAWLLAR passed the ISO 45001 Occupational Health and Safety System certification.The Company establishes and improves the occupational health management system, and has set up the EHS Committee, which holds at leastone regular meeting every quarter. The EHS Committee reports to the head of the Company’s ESG Strategy and Management Committee, and isresponsible for decision-making and oversight on all EHS-related matters, ensuring alignment between the Company’s EHS management philoso-phy and its sustainability goals.
Director of the CommitteeUnion Committee / Union Safety Representative
Management Representative / Executive Director
Global headquartersProduction bases
R&D Center
(Head of R&D)
Domestic Subsidiaries
(Head of Subsidiaries)
Overseas Subsidiaries
(Head of Subsidiaries)
8586IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
Composition and Main Responsibilities of GoodWe EHS Committee
Responsible for overseeing all daily EHS work of the Company.Director of the committee
Represents the Labor Union in supervising the Company’s work safety.Union safety representative
Fully responsible for EHS work within their respective units, adhering to the principle of “whoever is in charge
takes responsibility”.Heads of each functional department and subsidiary
Assists the Director of the committee in advancing work, with responsibilities including but not limited to:
Establishing and improving the Company’s environmental protection, work safety, and occupational health respon-
sibility systems;
Organizing the creation and implementation of the Company’s EHS policies and procedures;
Organizing and implementing the Company’s annual EHS training plan;
Ensuring the sufficiency and effective implementation of the Company’s EHS budget;
Supervising the Company’s EHS activities;
Organizing the creation and implementation of the Company’s EHS emergency response plans;
Reporting EHS incidents in a timely and truthful manner.
Executive Director
The Company places great importance on work safety management, always prioritizing the life safety and health of employees and continuouslyimproving its safety risk assessment system. The Company has established internal regulations such as the Management Regulations on SafetyRisks, clearly defining work safety accident responsibilities to ensure that the handling of safety incidents is compliant with regulations, coveringincident communication, review, and optimization. Additionally, the Company has developed the Control Procedures for Safety Accident Investi-gation to ensure that investigations are promptly initiated for any incidents and appropriate preventive measures are taken to prevent incidentsfrom escalating. To clarify departmental responsibilities and implement an employee-wide work safety responsibility system, department headsat production bases such as Suzhou and Guangde need to sign an annual EHS Management Responsibility Statement.In 2024, the Company did not experience any major work safety accidents.
Work Safety
GoodWe Incident Investigation Control Procedure
Report Information
IncidentDetermination
IncidentHandling ReportIncident Report
Report Summary
IncidentIncident Occurrence
Incident Classi?cationIncident Investigation
Incident InformationIncident Classi?cationInvestigation Results
Incident DeterminationWork-related InjuryImprovement Measures
Report SummaryReporting Notice
Filing
Incident Investigation
Work Injury ReportImprovement Measures
Report Analysis
Report SummaryAnnual Summary List
Responsible Department
EHS DepartmentEHS Department,Responsible Department
EHS DepartmentHuman Resources
DepartmentRelevant Responsible
Sta?EHS DepartmentEHS Department
Incident InformationClassi?cation CriteriaInvestigate Subjects
and Content
Yes
No
InputProcessOutput
ResponsibleDepartments
Major IncidentReport to theCompany Leader andsubmit to theEmergencyManagement Bureauof the High-tech Zone
within 1 hour.
Report toDepartment Heads,Human Resources,and EHS within 24hours
Report toDepartment Headsand EHS within 48hours
General IncidentMinor/False Incident
8788IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
GoodWe 2024 Safety Production Training Programs
To further improve safety management, the Company conducts a comprehensive risk assessment at least once per year to promptly identifypotential safety hazards and risks. The Company follows the Hazard Identification and Evaluation Procedure to log identified hazards in theRegistration Form of Hazard Identification, Risk Evaluation and Control Approaches and conducts risk assessments based on the likelihood ofincidents occurring, frequency of exposure to hazardous environments, and the consequences of incidents using a hazard analysis method. Eachdepartment plans risk control measures based on the results of the risk evaluation.At the same time, to reinforce the Company’s safety culture and improve employee’s safety awareness and capabilities, GoodWe combines onlineand offline methods for comprehensive health and safety training for all employees. Both the Suzhou and Guangde factories regularly publishESG monthly reports through internal channels to communicate progress on goal achievement and key tasks. The training content covers safetyconcepts, safety awareness, safety risk prevention, and occupational responsibilities, ensuring that employees have the ability to identify andrespond to safety risks in their actual work. The Company also applies advanced information technologies, such as AI devices and sensors, tomonitor key safety areas in real time and build an intelligent safety management system. Furthermore, the Company regularly conducts a seriesof simulated emergency drills to enhance employees’ ability to handle sudden safety incidents.
Safety culture publicitySuzhou factory
Safety education trainingSuzhou factory
Safety emergency drillSuzhou factory
Safety education trainingGuangde factory
Chairman's
Message
MonthlyCampaign
SloganCollection
ManagementGoals
8990IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
Community Engagement and Contribution
GoodWe always views social responsibility as a key part of its corporate development strategy. Whether promoting economic development inrural areas or driving social awareness through public welfare activities, the Company actively fulfills its corporate citizenship responsibilities,aiming to create sustainable social value and contribute to the areas within its capacity.
The Company is actively engaged in rural revitalization, adhering to the philosophy of “expanding access to PV power for residential and publicfacilities.” Through power plant projects, GoodWe collaborates with partners across the country to build PV power plants for homes, villages,schools, and other areas. As of the end of the reporting period, the Company had donated millions to support the construction of public benefitpower plants in several regions. Since its launch, this program has lit dozens of underprivileged households and villages, helping them alleviatetheir living difficulties and improve local quality of life.With the intersection of China’s two strategic goals, “Dual Carbon” and “Rural Revitalization”, PV renewable energy has vast application potentialin rural areas. The Company actively promotes PV technology and its applications, advancing the construction of green, low-carbon energysystems in rural areas, opening up new development spaces for the renewable energy industry in rural economies, and creating new ways toincrease farmers’ income while contributing to the sustainability of rural areas.In 2024, the Company, in collaboration with its partners, extended the public benefit power plant projects from communities and schools to ruralinfrastructure, donating and constructing 6 power plants with a total installed capacity of approximately 375 kW.
Rural Revitalization
Donation of Public Benefit Power Plant to Jinhe Ping An Hope Primary School in Inner MongoliaCaseThe Company donated a public benefit power plant to Jinhe Ping AnHope Primary School with a total installed capacity of 25 kW. Thepower plant, after being completed, is expected to generate 27,000kWh annually. This power plant will provide benefits for more than 25years, reducing emissions by 216 tons of standard coal and 672.9tons of CO2 during its operational period. It will address the school’slighting and heating needs, significantly improving the students’learning and living conditions. Furthermore, the project promotesenvironmental protection awareness and, through public interaction,cultivates a spirit of mutual assistance and responsibility among theyouth, supporting the sustainability of local education.
Donation of Public Benefit Power Plant to Chuangye Village, Mongolian Township, Jilin ProvinceCaseThe Company donated a power plant to Chuangye Village inHuohechili Mongolian Township, Taonan City, Baicheng, JilinProvince. The project has an installed capacity of 25 kW, consistingof 44 PV units, with a design lifespan of 25 years. The entire projectwas completed in just over 10 days, from construction to gridconnection. After several on-site visits, the Company chose GoodWeFlagship model SDT-G3 Series Inverter, which is capable ofwithstanding extreme weather conditions. The power station isexpected to save the village RMB30,000 to RMB50,000 annually inelectricity costs while providing crucial energy reserves for thevillage’s industrial development.
9192IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
To ensure employees’ occupational health and safety, the Company has established internal regulations such as the Management Regulationson Prevention and Treatment of Occupational Diseases, Management Regulations on Disclosing Occupational Hazards to Employees, andManagement Regulations on Occupational Hazard Detection and Assessment. These regulations help identify potential occupational hazards inthe production process, complete the declaration and filing of occupational diseases, and notify employees of the occupational hazards.Additionally, the Company arranges pre-employment, on-the-job, and post-employment medical check-ups in compliance with regulations andprovides both accident and critical illness dual insurance for all employees to strengthen health protection.
Occupational Health
GoodWe Occupational Health and Safety Management Measures
Regularly identify occupational hazard factors in the Company’s production processes.In 2024, the Company commissioned a qualified third party to conduct occupational hazard factor testing,issuing reports such as the Occupational Disease Hazard Status Assessment Report and Occupational DiseaseHazard Monitoring and Assessment Report. Response measures are taken based on the test results.
Occupational hazard monitoring
For employees exposed to occupational hazard factors, the Company provides regular physical examinationsand establishes health monitoring files to track and manage employees health.In 2024, no occupational diseases were identified during the employee health check-ups.
Occupational health examination
The Guangde factory replaced manual painting processes with automated coating operations, which not onlyimproved production efficiency but also effectively reduced the number of hazardous positions.The Guangde factory switched to UV three-proof paint instead of traditional three-proof paint, reducing the use ofharmful chemicals and thus lowering potential health risks to employees.
Process optimization
The Company provides protective equipment such as gas masks, emergency medicines, and gloves in hazard-ous areas to prevent occupational diseases and poisoning.Provision of labor protective equipment
GoodWe Community Welfare Activities in 2024
The Company actively engages in community philanthropy, promoting the fulfillment of social responsibilities and spreading positive energy. TheCompany plays an active role in the philanthropy field. In 2024, through philanthropic donations, educational scholarships, volunteer services,and other forms, the Company actively participated in philanthropic activities, conveying care and warmth to all sectors of society and drivingpositive societal development.
Community Welfare
Donated RMB300,000 to Harbin Engineering University to establish the GoodWeScholarship Program.Donated RMB136,000 to the Jiangxi Shanggao College Entrance Examination AssistanceProgram.Donated RMB200,000 to help repair the canteen at Jiangxi Tianxin Middle School.
Support for education
To express care and respect for workers across society, the Company carried out a MayDay Philanthropy Action on April 29, 2024, donating supplies such as mineral water,thermos cups, fans, and wear-resistant gloves to the Seige Hongyun Union Aixin Yizhan.Initiated the “WE Spread Love, Together for Good” Charity Donation Event and encouragedemployees and children to sort out unused items at home to donate to children in difficultsituations, including left-behind children. A total of 68 GoodWe families participated in thedonation, collecting 16 boxes of life essentials, learning supplies, and toys, which weresent to the Zhangjiagang Charity Association, who then distributed the materials to thechildren in need.Caring for society
Labor Union Rest StationCase
The Company’s Labor Union Rest Station provides outdoor workers with acomfortable and convenient space to rest. It is equipped with basicfacilities such as sofas, tables, chairs, microwave ovens, and waterdispensers to meet workers’ basic needs for resting, heating meals,drinking water, and charging during breaks. To enrich workers’ culturallives, the rest station also has a “reading corner,” displaying a variety ofbooks and magazines for workers to read during their leisure time.
“EcoSmart Kids” Education ProgramCase
In 2024, the “EcoSmart Kids” project doubled its coverage, reachingmultiple regions in Victoria, including six schools in remote areas andmetropolitan cities. Nearly 2,000 students participated. The projectaims to attract and inspire primary school students in Victoria tofocus on climate change, renewable energy, and environmentalprotection. The collaboration with the Great Barrier Reef HeritageTeam further raised public awareness about the importance ofprotecting one of the world’s largest and most complex naturalsystems.
The Company actively promotes the responsibility of green energy science popularization and accelerates the dissemination of renewableenergyconcepts. Through major domestic short video platforms, the Company spreads knowledge about solar PVs, energy storage technologies,and related applications such as PV energy storage and charging in a simple, clear, and engaging manner to the public. In addition, the Companyorganizes the Green Education Project Competition to promote environmental protection and sustainability concepts, laying the foundation forwidespread recognition and practice of a green, low-carbon lifestyle.
Green Science Popularization
“Green Genius” Competition in PakistanCase
The Company organized the “Green Genius” Competition with theAIMS schools in Pakistan, which featured a variety of projects rangingfrom innovative power generation methods to water animation. Thecompetition aims to inspire the younger generation to activelyparticipate in environmental sustainability, encouraging them topropose creative solutions and promote green technology andenvironmental protection ideas.
9394IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
AppendixGoodWe2024 Sustainability Report
RevenueTotal assets
RMB10,000RMB10,000
673,785.53795,197.00IndicatorUnit2024
Number of Board members% of independent directors on the Board% of female directors on the BoardNumber of regulatory penalties or enforcement actions
/%%/
50.00
33.33
IndicatorUnit2024
Number of R&D personnel% of R&D personnel?Amount of R&D investment% of R&D investment to operating revenue?Number of patent applications filed annually?Number of patents granted annuallyTotal number of valid patents
/%RMB10,000
%///
1,077
28.02
55,129.51
8.18
IndicatorUnit2024
% of employees covered by anti-bribery and anti-corruption training
Number of concluded corruption lawsuits filed against the Companyor its employees
Amount involved in lawsuits or major administrative penaltiesresulting from the Company's unfair competition practices
Number of cases where the Company was penalized by relevantauthorities for unfair competition or violations of antitrust andanti-monopoly laws
%
/RMB10,000
70.44
IndicatorUnit2024
Note 1: [Statistical Scope] The scope for the anti-bribery and anti-corruption training indicator covers the Company’s global headquarters andSuzhou factory, Guangde factory, and SHAWLLAR.[Calculation Formula] % of employees covered by anti-bribery and anti-corruption training = (Number of employees who received anti-briberyand anti-corruption training / Total number of employees) × 100%.
Number of product safety incidentsNumber of product recall events
//
IndicatorUnit2024
Number of after-sales service training sessionsTimely response rate to customer complaints?
/%
IndicatorUnit2024
Number of identified leaks, thefts, or losses of customer dataAmount involved in data security incidentsAmount involved in customer privacy breach incidents
/RMB10,000RMB10,000
IndicatorUnit2024
Note 1: [Calculation Formula] % of R&D personnel = (Number of R&D personnel / Total number of employees) × 100%.Note 2: [Calculation Formula] % of R&D investment to revenue = (Amount of R&D investment / revenue) × 100%.Note 3: [Statistical Scope] Patent-related indicators refer to data within the reporting period.
Note 1: [Statistical Scope] The scope for customer relationship management-related indicators covers the Company’s globalheadquarters and Suzhou factory.Note 2: [Indicator Definition] The timely response rate to customer complaints refers to the proportion of customer complaintssuccessfully resolved by the Company within the specified timeframe. It excludes cases where service tickets were not closed on timedue to reasons attributable to the customer or lack of customer response.
Number of incidents where compensation policies or practicestriggered negative public commentary from stakeholders
/
/
9596IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report
Total number of suppliers
Suppliers in the Chinese mainlandSuppliers in Hong Kong, Macau, Taiwan,and overseasTotal number of new suppliersSupplier annual audit completion rateNumber of suppliers investigated for conflict mineralsinitiated by the CompanyNumber of suppliers who completed CSR self-assessments
//////
%
IndicatorUnit2024
IndicatorUnit2024
Note 1: [Statistical Scope] The scope for supply chain-related indicators covers the Company’s global headquarters and Suzhou factory, Guangdefactory, Shunde factory, Vietnam factory, Yude New Energy, and SHAWLLAR.
Note 1: [Calculation Formula] Total GHG emissions = Scope 1 GHG emissions + Scope 2 GHG emissions + Scope 3 GHG emissions. [StatisticalScope] In 2024, the scope of the GHG inventory includes the Company’s global headquarters and Suzhou factory, Guangde factory, and Yude NewEnergy.Note 2: Scope 1 GHG emissions refer to direct GHG emissions and removals from Category 1, including emissions from fixed and mobile combus-tion sources, direct emissions from industrial processes, and fugitive emissions from human activities. The quantification models and emissionfactors reference the 2006 IPCC Guidelines for National Greenhouse Gas Inventories and other relevant sources.
Note 1: [Calculation Formula] Total energy consumption = Direct energy consumption + Indirect energy consumption. In 2024, the scope forenergy-related indicators includes the Company’s global headquarters and Suzhou factory, Guangde factory, Yude New Energy, and Shundefactory.Note 2: [Calculation Formula] Energy consumption intensity = Total energy consumption / Revenue.Note 3: [Calculation Formula] Clean energy consumption = Natural gas consumption + Solar energy consumption + Wind energy consumption.The proportion of each category of clean energy = (Consumption of each category of clean energy / Total clean energy consumption) × 100%.Note 4: In 2024, the Company’s solar energy consumption includes self-generated renewable energy (solar energy generation at the globalheadquarters building and Guangde factory) and the solar energy portion of the purchased green electricity at the Guangde and Shunde factories.Note 5: [Calculation Formula] Direct energy consumption = Natural gas consumption + Gasoline consumption + Diesel consumption + Self-gener-ated renewable energy consumption.Note 6: [Calculation Formula] Indirect energy consumption = Purchased electricity consumption + Purchased green electricity consumption.
By region
Amount of administrative penalties imposed by relevant departments,such as ecological environment authorities, due to environmentalincidentsNumber of environmental incidents
RMB10,000/
Total GHG emissions
ByscopeGHG emissions intensity (Scope 1+Scope 2)
Scope1
Scope2
Scope3
tCO
etCO
etCO
etCO
e/ RMB10,0000.038
___
tCO
e3,727,548.65
1,522.9824,210.113,701,815.56
2,374,363.45
654.54
8,052.602,365,656.31
976,867.28
853.48
16,041.96959,971.84
376,317.92
14.96
115.55
376,187.41
IndicatorUnit
Total
Global headquartersand Suzhou factory
Guangde
factory
YudeNew Energy
2024
Total energy consumption
Energy consumption intensity
Natural gasgasolineDieselPurchased electricitySelf-generated renewable energyPurchased green electricityClean energy consumption
Natural gas% of natural gasSolar energy
% of solar energyWind energy% of wind energyDirect energy consumption
Indirect energy consumption
m
tce/RMB10,000
tce
literliterMWhMWhMWh
tcem
%MWh
%MWh
%
tce
tce
7,260.31
0.011
____70,578.0077,395.4433,287.1845,226.49
3,462.168,560.111,572.4670,578.00
5.97
10,689.27
83.60
1,333.00
10.43
645.20
6,615.11
2,041.1066,643.0066,347.58
1,374.7215,006.71
267.20
0.00
121.50
66,643.000.000.003,935.00
19.28
178.11
80.72
0.00
0.00
5.23
75.21
0.00
0.00
0.00
0.00
0.00
4.99
26.48
0.00
0.00
0.00
0.00
10,243.96
88.49
1,333.00
11.51
439.52
4,667.77
72.95
267.20
27.05
0.00
0.00
195.45
1,845.64
5,107.29
0.00
6,464.7531,912.4629,571.06
3,194.96
8,382.00
1,423.83
31.48
0.00
4,583.11
0.00
215.34
IndicatorUnit
Total
Globalheadquartersand Suzhou
factory
Guangde
factor
80.44
3,935.00
0.00
0.00
433.38
0.00
178.11
27.14
ShundefactoryYudeNew Energy
2024
IndicatorUnit2024
9798IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report
Total water withdrawlm
220,177.20IndicatorUnit2024Note 1: [Statistical Scope] The scope for water resource utilization-related indicators includes the Company’s global headquarters and Suzhoufactory, Guangde factory, Shunde factory, and Vietnam factory.
Total weight of waste?,?Weight of hazardous waste?Hazardous waste intensity?,?Weight of general solid waste?General solid waste intensity?,
Legal disposal rate of hazardous waste?Emission of volatile organic compounds (VOCs) in exhaust gases?,
tonstonstons /RMB10,000
tonstons /RMB10,000
%
tons
4,637.22
94.66
0.00014
4,542.56
0.00674
27.04
IndicatorUnit2024
Customer hazardous substance requirement completion rateMaterial hazardous substance investigation plan completion rate
%%
Note 1: The Company does not belong to a heavy pollution industry and has a minimal environmental impact during its production andoperations. During the reporting period, the Company’s environmental pollutant emissions mainly consisted of exhaust gases, wastewater, andsolid waste, all of which were properly and reasonably disposed of. Exhaust gases were filtered through the Company's specialized air treatmentsystem, then adsorbed by an activated carbon adsorption tower, and finally discharged after secondary filtration through a chimney. Solid wastemainly includes activated carbon, waste glue barrels, and other materials, which are periodically collected and centrally processed by a qualifiedenvironmental treatment agency. Wastewater mainly consists of domestic wastewater, with no process or production wastewater discharged.After pre-treatment, it is released into the industrial park’s sewage network, where it is centrally treated by the municipal wastewater treatmentplant.Note 2: [Statistical Scope] The scope for general waste total-related indicators includes the Company’s global headquarters and Suzhou factory,Guangde factory, SHAWLLAR, and Vietnam factory. The scope for hazardous waste total and exhaust gas emission-related indicators includesthe Company’s global headquarters and Suzhou factory, and Guangde factory.Note 3: [Calculation Formula] Total weight of waste = Weight of hazardous waste + Weight of general solid waste.Note 4: [Calculation Formula] Hazardous waste intensity = Weight of hazardous waste / Revenue.Note 5: [Calculation Formula] General solid waste intensity = Weight of general solid waste / Revenue.Note 6: [Statistical Scope] The scope for VOCs emissions in exhaust gases includes the Company’s Global headquarters and factory, and Guang-de factory. The emissions are estimated based on airflow * emission rate * operational time.
Total number of employeesBy genderBy ageBy region
By education
By genderTotal number of new hires
MaleFemaleUnder 30 years old30-50 years oldOver 50 years oldWorking in the Chinese mainlandWorking in Hong Kong, Macau,Taiwan, and OverseasWith a master’s degree or aboveWith a bachelor’s degreeWith a college degree or belowMaleFemaleNumber of employees in management
Number of employees in senior management
/%%%%%%%%%%/%%//
3,843
62.43
37.57
37.78
60.74
1.48
95.58
4.42
11.06
45.85
43.09
1,258
66.06
33.94
Number of employee training sessionsEmployee training coverage rate?Average training duration per employee?By gender
MaleFemale
/%HoursHoursHours
1,572
24.22
25.97
21.31
Note 1: [Indicator Definition] Management refers to employees at the supervisor, deputy manager, manager, and higher levels.Note 2: [Indicator Definition] Senior management refers to employees at the director level and above.
Note 1: [Statistical Scope] The statistical scope for the employee training coverage rate indicator includes the Company’s online trainingactivities.Note 2: [Calculation Formula] Average training duration per employee in each category = Total training duration for that category of employ-ees / Number of employees in that category.
IndicatorUnit2024
IndicatorUnit2024
IndicatorUnit2024
99100IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report
Number of fatalities due to work injuriesEmployee work injury insurance coverage rate?Investment in employee work injury insuranceOccupational health check-up completion rateSafety training program completion rateNumber of safety emergency drills conductedSafety hazard rectification rateOccupational disease incidence rateNumber of accidents classified as fire hazard or aboveNumber of accidents related to lost work hours
/%RMB10,000%%/%%//
239.69
Installed capacity of public welfare power stationsAmount of charitable donation
kWRMB10,000
375.00
137.70
2024年
Note 1: [Calculation Formula] Employee work injury insurance coverage rate = (Number of employees covered by work injury insurance duringthe reporting period / Total number of employees) × 100%.
Guidelines No. 14 of Shanghai Stock Exchange for Self-Regulation of Listed C ompanies—Sustainability Report (Trial) (2024) Content Index
The Company is focused on the research and development,manufacturing, and sales of power supply equipment for new energyapplications such as solar energy and energy storage. Its business doesnot involve fields such as artificial intelligence or life sciences.The balance of accounts payable (including notes payable) of the Companyat the end of the reporting period does not exceed RMB30 bn or representmore than 50 percent of the total assets. Therefore, it does not fall withinthe mandatory disclosure scope specified in the Guidelines. The Companyensures timely payments to small and medium-sized enterprises.
Climate responsePollutant dischargeWaste disposalEcosystem and biodiversity protectionEnvironmental compliance managementEnergy utilizationWater resources utilizationCircular economyRural revitalizationSocial contributionsInnovation
Responding to Climate Change, ESG Data and AnnotationsPollutant Discharge, ESG Data and AnnotationsWaste Disposal, ESG Data and AnnotationsEcosystem and Biodiversity Protection
EmployeesDue diligenceStakeholder engagementAnti-commercial bribery and anti-corruptionFair competition
Corporate GovernanceRisk and Compliance ManagementProduct Lifecycle ManagementDigital Transformation
Materiality AssessmentMateriality Assessment
Corporate GovernanceRisk and Compliance ManagementProduct Lifecycle Management, ESG Data and AnnotationsDigital Transformation
DisclosureContent
Ethics of science and technology
Employee Employment and Rights, Employee Training and Development,Occupational Health and Safety, ESG Data and Annotations
Environmental Compliance Management, ESG Data and AnnotationsEnergy Utilization, ESG Data and AnnotationsCircular EconomyWater Resources Utilization, ESG Data and AnnotationsCommunity Engagement and Contribution, ESG Data and AnnotationsCommunity Engagement and Contribution, ESG Data and AnnotationsR&D and Innovation, ESG Data and Annotations
Business Ethics, ESG Data and AnnotationsBusiness Ethics, ESG Data and AnnotationsSelf-disclosed Topics
Product Quality and Safety, Customer Relationship Management, ESG Dataand AnnotationsProduct and service safety and quality
Data Security and Customer Privacy Protection, ESG Data and AnnotationsData security and customer privacy
Sustainable Supply Chain Management, ESG Data and AnnotationsSupply chain securityEqual treatment of SMEs
Indicator
Unit2024
IndicatorUnit2024
101102IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological HarmonyGoodWe2024 Sustainability Report
201-3201-4202-1202-2
204-1205-1205-2
203-1203-2
GRI Content Index
GoodWe Technologies Co., Ltd. has reported the information cited in this GRI content index forthe period from 1 January 2024 to 31 December 2024 with reference to the GRI Standards.GRI 1: Foundation 2021Statement of useGRI 1 used
Organizational detailsEntities included in the organization’s sustainability reportingReporting period, frequency and contact pointRestatements of informationExternal assuranceActivities, value chain and other business relationshipsEmployeesWorkers who are not employeesGovernance structure and compositionNomination and selection of the highest governance bodyChair of the highest governance bodyRole of the highest governance body in overseeing the management of impactsDelegation of responsibility for managing impactsRole of the highest governance body in sustainability reportingConflicts of interestCommunication of critical concernsCollective knowledge of the highest governance bodyEvaluation of the performance of the highest governance bodyRemuneration policiesProcess to determine remuneration
2-12-22-32-42-52-62-72-82-92-102-112-122-132-142-152-162-172-182-192-20
GRI STANDARDDISCLOSURELOCATION
GRI 2:
GeneralDisclosures 2021
About GoodWe
About GoodWeIndependent AssuranceStatement
ESG Governance StructureCorporate GovernanceMateriality AssessmentESG Governance StructureCorporate GovernanceCorporate GovernanceCorporate Governance
Corporate Governance
Annual total compensation ratio2-21
Statement on sustainable development strategyStatement of the Chairman2-22
About this ReportESG Data and Annotations
CollaborativePartnership towardsEcological Harmony
Due to confidentialityrequirements, it is not disclosedto the public at this time.
Policy commitments2-23
Embedding policy commitments2-24
GRI 2:
GeneralDisclosures 2021
GRI 3:
Material Topics 2021GRI 201:
EconomicPerformance 2016
Financial implications and other risks and opportunities
due to climate change
Defined benefit plan obligations and other retirement plans
Financial assistance received from government
Ratios of standard entry level wage by gender compared to
local minimum wage
Proportion of senior management hired from the local
community
Infrastructure investments and services supported
Significant indirect economic impacts
Proportion of spending on local suppliers
Operations assessed for risks related to corruption
Communication and training about anti-corruption
policies and procedures
Confirmed incidents of corruption and actions taken
GRI 202:
Market Presence 2016GRI 203:
Indirect EconomicImpacts 2016GRI 204:
ProcurementPractices 2016GRI 205:
Anti-corruption 2016GRI 206:
Anti-competitiveBehavior 2016
Materiality AssessmentMateriality AssessmentFor details, please refer to the respectivesections of the report.Innovation Driven and Product ManagementMateriality AssessmentEmployee Employment and RightsMateriality AssessmentAbout GoodWeFeature Story: Energy Revitalization inLow-Carbon EraEmployee Employment and RightsFor details, please refer to the GoodWe2024 Annual Report.Due to confidentiality requirements, it is notdisclosed to the public at this time.Community Engagement and ContributionCommunity Engagement and ContributionDue to confidentiality requirements, it is notdisclosed to the public at this time.Business EthicsBusiness EthicsESG Data and AnnotationsBusiness EthicsESG Data and Annotations
Processes to remediate negative impacts
Mechanisms for seeking advice and raising concerns
Compliance with laws and regulations
Membership associations
Approach to stakeholder engagement
Collective bargaining agreements
Process to determine material topics
List of material topics
Management of material topics
Direct economic value generated and distributed
2-252-262-272-282-292-303-13-23-3201-1201-2
Feature Story: Energy Revitalization in Low-CarbonEraBusiness for Good and Robust GovernanceLow-Carbon Future and Environmental ProtectionInnovation Driven and Product ManagementCollaborative Partnership towards EcologicalHarmonyFeature Story: Energy Revitalization in Low-CarbonEraBusiness for Good and Robust GovernanceLow-Carbon Future and Environmental ProtectionInnovation Driven and Product ManagementCollaborative Partnership towards EcologicalHarmony
Legal actions for anti-competitive behavior, anti-trust, and
monopoly practices
205-3206-1
GRI STANDARDDISCLOSURELOCATION
103104IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report
For details, pleaserefer to the GoodWe2024 Annual Report.Energy UtilizationESG Data and Annotations
Energy UtilizationESG Data and AnnotationsESG Data andAnnotations
Operational sites owned, leased, managed in, or adjacent to,protected areas and areas of high biodiversity value outsideprotected areas
IUCN Red List species and national conservation listspecies with habitats in areas affected by operations
Approach to taxTax governance, control, and risk managementStakeholder engagement and management of concerns related to taxCountry-by-country reporting
207-1207-2207-3207-4GRI 207: Tax 2019
GRI 302: Energy 2016
GRI 303:
Water and Effluents 2018
GRI 304:
Biodiversity 2016
GRI 305Emissions 2016
Reduction of energy consumptionReductions in energy requirements of products and services
Energy UtilizationEnergy Utilization
Significant impacts of activities, products and services on biodiversityHabitats protected or restored
302-4302-5303-1
304-2304-3
Energy consumption within the organizationEnergy consumption outside of the organization
303-2303-3303-4303-5304-1
Energy intensity
Interactions with water as a shared resourceResource Management
Resource ManagementESG Data and AnnotationsESG Data and AnnotationsESG Data and Annotations
Management of water discharge-related impactsWater withdrawalWater withdrawalWater withdrawal
302-1302-2302-3
304-4
Direct (Scope 1) GHG emissionsEnergy indirect (Scope 2) GHG emissionsOther indirect (Scope 3) GHG emissionsGHG emissions intensityReduction of GHG emissions
Responding to ClimateChangeNAESG Data and AnnotationsEmissions of ozone-depleting substances (ODS)
305-1
Ecosystem andBiodiversity Protection
Responding to ClimateChangeESG Data and AnnotationsResponding to ClimateChangeESG Data and AnnotationsResponding to ClimateChangeESG Data and AnnotationsResponding to ClimateChangeESG Data and Annotations
305-2305-3305-4
305-7
Nitrogen oxides (NOx), sulfur oxides (SOx), and othersignificant air emissions
305-6305-5
Waste DisposalESG Data and Annotations
Sustainable Supply ChainManagementSustainable Supply ChainManagementEmployee Employment andRightsESG Data and Annotations
Occupational Health andSafetyESG Data and AnnotationsEmployee Training andDevelopmentESG Data and Annotations
Employee Employmentand RightsESG Data and AnnotationsDue to confidentialityrequirements, it is notdisclosed to the public atthis time.
Waste generation and significant waste-related impactsManagement of significant waste-related impacts
Waste DisposalWaste Disposal306-1306-2
GRI 306: Waste 2020
GRI 308:
Supplier EnvironmentalGRI 401:
Employment 2016GRI 402:
Labor/ManagementRelations 2016
GRI 403:
Occupational Healthand Safety 2018
GRI 404:
Training and Education2016
GRI 405:
Diversity and EqualOpportunity 2016
Employee Employmentand RightsDue to confidentialityrequirements, it is notdisclosed to the publicat this time.Benefits provided to full-time employees that are not provided totemporary or part-time employees401-2
Waste generated
Minimum notice periods regarding operational changes
Worker participation, consultation, and communication onoccupational health and safetyWorker training on occupational health and safetyPromotion of worker healthPrevention and mitigation of occupational health and safetyimpacts directly linked by business relationshipsWorkers covered by an occupational health and safetymanagement systemWork-related injuries
Occupational Healthand Safety
Work-related ill health
402-1
403-8
403-5403-6403-7
403-9
Average hours of training per year per employee404-1
Diversity of governance bodies and employees405-1Ratio of basic salary and remuneration of women to men405-2
403-10
New employee hires and employee turnover
306-3
401-1
Negative environmental impacts in the supply chain and actions taken
Waste diverted from disposalWaste directed to disposalNew suppliers that were screened using environmental criteria
Occupational health and safety management systemHazard identification, risk assessment, and incident investigationOccupational health services403-1403-2403-3403-4
Waste DisposalWaste Disposal
308-2
306-4306-5308-1
Programs for upgrading employee skills and transitionassistance programsPercentage of employees receiving regular performanceand career development reviews
Employee Training andDevelopmentESG Data and Annotations
404-2404-3
GRI STANDARDDISCLOSURELOCATIONGRI STANDARDDISCLOSURELOCATION
105106IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report
T?V Rheinland (Shanghai) Co., Ltd., a member of T?V Rheinland Group (hereinafter "T?V Rheinland" or "We"), was entrusted byGoodWe Technologies Co., Ltd. (hereinafter "GoodWe" or "the Company") to conduct an independent third-party assurance of 2024Sustainability Report of GoodWe (hereinafter, "Report"). The report disclosed sustainability information for the fiscal year 2024(January 1, 2024 to December 31, 2024) of GoodWe.
Introduction
The following assessment criteria were used in undertaking the work:
Self-Regulatory Guidelines for Listed Companies on the Shanghai Stock Exchange No. 14 – Sustainability Report (Trial) (2024)Self-Regulatory Guidelines for Listed Companies on the Shanghai Stock Exchange No. 1 – Standardized Operation (Revised inDecember 2023)Global Reporting Initiative Sustainability Reporting Standards (2021 Edition) ("GRI Standards")The United Nations Sustainable Development Goals (UN SDGs)Adherence to the AA1000 AP AccountAbility Principles, i.e., Inclusivity, Materiality, Responsiveness, and Impact
Assurance Criteria
GoodWe is not only responsible for the preparation of sustainability report and the collection and submission of sustainabilityinformation in accordance with applicable reporting standards but also has the obligation to implement and maintain effectiveinternal control of information and data to support the report compilation process.T?V Rheinland is a global service provider that provides CSR and sustainability services in more than 65 countries, with experiencedand technical expertise in the areas of environment, CSR, sustainability and stakeholder engagement. T?V Rheinland Assuranceteam follows the T?V Rheinland Global Business Ethics Compliance Policy and Procedures, covering the principles of integritycompliance and conflict of interest. Therefore, our assurance services are based on the principles of independence and impartiality,and we do not participate in the writing and preparation of the report of GoodWe. It is the duty of T?V Rheinland to carry outindependent assurance in accordance with the assurance agreement and the agreed scope of assurance work, and to makeindependent and impartial judgments on sustainability reporting.
Responsibilities
T?V Rheinland undertook assurance work for the sustainability information disclosed in sustainability report of GoodWe inaccordance with the AccountAbility AA1000 Assurance Standard v3 (AA1000AS v3), Type 1 and Moderate level.Assurance Standard
The purpose of the assurance was to provide management of GoodWe and stakeholders concerned with the company's sustainabili-ty information and performance to provide an independent view of the assurance, including assessment of whether the content ofthe report adhered to the AA1000AP (2018) Assurance Principles (including inclusivity, materiality, responsiveness and impact),and verification of sustainability information disclosure.Assurance Objectives
Independent Assurance Statemen
ESG GovernanceLow-Carbon Future andEnvironmental ProtectionInnovation Driven and ProductManagementCollaborative Partnershiptowards Ecological Harmony
GRI 406:
Non-discrimination 2016
GRI 408: Child Labor 2016
GRI 407:
Freedom of Association andCollective Bargaining 2016
GRI 409:
Forced or Compulsory Labor2016
GRI 414:
Supplier Social Assessment2016
GRI 413:
Local Communities2016
GRI 416:
Customer Health and Safety2016GRI 417:
Marketing and Labeling2016GRI 418:
Customer Privacy 2016
418-1
Incidents of discrimination and corrective actions taken
Employee Employmentand Rights
Operations with local community engagement, impactassessments, and development programsOperations with significant actual and potential negativeimpacts on local communitiesNew suppliers that were screened using social criteria
Sustainable SupplyChain Management
Product Quality and SafetyCustomer RelationshipManagement
Data Security and CustomerPrivacy Protection
Negative social impacts in the supply chain and actions takenAssessment of the health and safety impacts of product andservice categoriesIncidents of non-compliance concerning the health and safetyimpacts of products and servicesRequirements for product and service information and labelingIncidents of non-compliance concerning product and serviceinformation and labelingIncidents of non-compliance concerning marketing communications
406-1
Operations and suppliers at significant risk forincidents of child labor
408-1
413-1
Operations and suppliers in which the right to freedom ofassociation and collective bargaining may be at risk
407-1
Operations and suppliers at significant risk for incidents of forcedor compulsory labor
409-1
413-2414-1414-2416-1416-2417-1417-2417-3
Substantiated complaints concerning breaches of customerprivacy and losses of customer data
GRI STANDARDDISCLOSURELOCATION
107108IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report
Inquiring management and those personnel responsible for collecting and aggregating sustainability performance information tounderstand the management processes, systems, and controls for sustainability performance information.Reviewing and assessing the availability, adequacy, and relevance of performance information based on sampling principles.Applying analysis program to assess the accuracy of the information available for performance data.Collecting and examining the supporting evidence of available performance information to assess the extent to which the relevantevidence and information related to the scope of the assurance in the sustainability report supports and adheres to the AA1000APAccountAbility Principles.Reporting assurance observations or recommendations to give the company's management an opportunity to correct errors beforethe assurance process is completed.
2024 Sustainability Report of GoodWe and its contents are in adherence to the AA1000AP AccountAbility Principles and align withthe information disclosure requirements of Self-Regulatory Guidelines for Listed Companies on the Shanghai Stock Exchange No.14 – Sustainability Report (Trial) (2024) and GRI Standards.GoodWe has implemented processes and systems (such as energy intelligent management system, green supply chain manage-ment platform) to collect and aggregate performance information and data related to materiality issues within the reportingboundary, and the company's management practices have also shown that the company conducted double materiality analysis andevaluation of issues.The sustainability-related information and performance disclosed in the report have been assessed and supported by documentaryevidence, which truly reflected management practices of GoodWe in the field of sustainability.
InclusivityGoodWe has identified its key stakeholders including governments and regulators, shareholders and investors,customers, employees, suppliers and partners, as well as communities and the public who are disproportionatelyaffected by greenhouse gas emissions. Evidence indicated that in 2024, GoodWe's engagement with thesestakeholders was a regular occurrence. The company also conducted internal and external stakeholder surveys,covering topics such as response to climate change, product quality and safety, supply chain sustainability, andoccupational health and safety.
Materiality
Responsiveness
The evidence showed that in 2024, GoodWe has implemented a double materiality assessment. Based on theanalysis of the new guidelines of the exchange and the disclosure requirements of sustainability standards, thecompany adjusted the original list of issues, and combined with the specific analysis of the stakeholderquestionnaire survey, to evaluate the importance of these issues from the two dimensions of impact materialityand financial materiality, including the financial materiality of the company's senior management assessment ofrelated issues, and finally formed a double materiality issue matrix. The matrix showed the key issues of the year,including those that are both financial materiality and impact materiality (e.g., R&D and innovation, response toclimate change, product quality and safety, supply chain sustainability, employee training and development, etc.).The Board reviewed and confirmed the results of the materiality assessment.
GoodWe's communication channels with its key stakeholders are diverse. Evidence showed that in 2024, thecompany's practical activities with these stakeholder groups included industry association exchanges, govern-ment cooperation, customer service and satisfaction surveys, partner collaboration (supply chain cooperation),employee training and satisfaction surveys, community public welfare, etc.The report used a four-element disclosure framework of governance, strategy, risk and opportunity management,and metrics and targets to disclose information on financial materiality topics such as corporate governance. Atthe same time, the report also disclosed data on key performance indicators (such as energy use, water use,greenhouse gas emissions (including Scope 1 and 2 emissions), pollutant emissions, waste, employee employ-ment and rights, occupational health and safety, sustainable supply chain, etc.), and these performance data arehistorically comparable to give appropriate response to material concerns of stakeholders.Impact
Daniel Pan
In 2024, GoodWe established an ESG Strategy and Management Committee to promote ESG data integration andanalysis from the governance level. The evidence indicated that the company has assessed key risk points(involving operational risks, strategic risks, and market risks), created an early warning mechanism for majorrisks, and combined operation management, compliance management, and internal control systems to assessand control major risks related to its own operations and value chain business, and implemented a closed-looprectification. The Company has conducted due diligence on conflict minerals in its supply chain.The report disclosed an analysis and assessment of impacts, risks and opportunities on financial materialityissues, including addressing climate change, a description of the impacts and the scope of impacts. Evidenceindicated that in 2024, GoodWe continued to take corresponding measures (such as energy conservation andemission reduction) to reduce the impact on the company's operations and the upstream and downstream ofvalue chains.
Technical Manager of Corporate Sustainability ServicesT?V Rheinland (Shanghai) Co., LtdShanghai, China, April 21, 2025
T?V Rheinland shall not bear any liability or responsibility to a third party for perception and decision on GoodWe based on thisAssurance Statement.Adherence to the AA1000AP AccountAbility Principles
Our assurance activities and procedures include:
Methodology
T?V Rheinland planned and executed the verification in accordance with the scope of the assurance agreed upon in order to obtainall the information, evidence and necessary explanations to provide the basis for the conclusion of the assurance in accordancewith the moderate level of AA1000AS v3.The information and performance data relating to the assurance is limited to the disclosure of the contents of this report. Ourassurance work did not include financial report and its financial data, as well as other information not related to the topic ofsustainability.
Limitations
Based on the above assurance procedures and methodology performed and the evidence obtained, we conclude that there are noinstances or information that would be contrary to the following statements:
Conclusions
影响性：2024年，固德威成立了ESG战略与管理委员会，并从治理层面推动ESG数据整合与分析。证
据表明，公司评估了关键风险点（涉及运营风险、战略风险、市场风险），且创建重大风险预警机制，并结合运营管理、合规管理、以及内部控制体系来评估和管控自身运营和价值链业务的相关重大风险，并落实整改闭环。公司开展了供应链冲突矿产尽职调查。报告披露了针对具有财务重要性的议题（其中包括应对气候变化）的影响、风险与机遇分析和评估的相关内容，包括影响描述、影响范围。证据表明，2024年，固德威持续采取相应措施（如节能减排等）以减少对公司运营和价值链上下游的影响。
潘敏
企业可持续发展服务技术经理莱茵技术（上海）有限公司中国上海, 2025年4月21日
独立审验声明
介绍莱茵技术（上海）有限公司，是德国莱茵T?V集团成员之一（简称“莱茵”或“我们”）受固德威技术股份有限公司（简称“固德威”或“公司”）的委托针对固德威2024年可持续发展报告（简称“报告”）做独立第三方审验。报告披露固德威在2024财年内（2024年1月1日至2024年12月31日）的可持续发展信息。职责
固德威的职责是不仅负责可持续发展报告的准备以及符合适用报告准则的可持续发展信息收集与提报，而且有义务落实和维护有效的信息和数据的内控以支持报告编撰流程。T?V莱茵是一家世界性的服务供应商，在超过65个国家提供企业社会责任和可持续发展服务，并拥有在环境、企业社会责任、可持续发展和利益相关方参与等领域具有丰富的审核和验证经验与专业技术能力的资深专家。莱茵审验团队遵循T?V莱茵全球商业道德合规政策和程序，涵盖诚信合规和利益冲突原则。因此，我们的审验服务遵循独立性和公正性原则，并不参与固德威的报告编制和准备。莱茵的职责是依据审验协议以及约定的审验工作范畴执行独立审验工作，并对可持续发展报告做出独立和公正的判断。
审验标准T?V莱茵依据 AccountAbility AA1000 审验标准v3（AA1000AS v3），针对固德威可持续发展报告披露的可持续发展信息按类型-1和中度等级进行审验。
审验目的
审验旨在为固德威管理层和关注公司可持续发展信息与绩效的利益相关方提供独立的审验观点，具体包括：评估报告内容是否遵循AA1000AP（2018）审验原则（包括包容性、实质性、回应性和影响性），以及对可持续发展信息披露进行验证。审验准则
下列评估准则用于审验工作：
? 《上海证券交易所上市公司自律监管指引第14号——可持续发展报告（试行）》（2024年）? 《上海证券交易所上市公司自律监管指引第1号——规范运作》（2023年12月修订）? 全球报告倡议组织《可持续发展报告标准》（2021年版）（简称“GRI 标准”）? 遵循AA1000 AP审验原则，即，包容性、实质性、回应性和影响性
审验方法
我们的审验活动和程序包括：
? 问询管理层和负责可持续发展绩效信息收集和汇总的人员，以理解可持续发展绩效信息的管理
流程、系统和控制。? 基于抽样原则，审查和评估绩效信息的可用性、充分性以及与审验的相关性。
| 1 独立审验声明 介绍 莱茵技术（上海）有限公司，是德国莱茵T?V集团成员之一（简称“莱茵”或“我们”）受固德威技术股份有限公司（简称“固德威”或“公司”）的委托针对固德威2024年可持续发展报告（简称“报告”）做独立第三方审验。报告披露固德威在2024财年内（2024年1月1日至2024年12月31日）的可持续发展信息。 职责 固德威的职责是不仅负责可持续发展报告的准备以及符合适用报告准则的可持续发展信息收集与提报，而且有义务落实和维护有效的信息和数据的内控以支持报告编撰流程。 T?V莱茵是一家世界性的服务供应商，在超过65个国家提供企业社会责任和可持续发展服务，并拥有在环境、企业社会责任、可持续发展和利益相关方参与等领域具有丰富的审核和验证经验与专业技术能力的资深专家。莱茵审验团队遵循T?V莱茵全球商业道德合规政策和程序，涵盖诚信合规和利益冲突原则。因此，我们的审验服务遵循独立性和公正性原则，并不参与固德威的报告编制和准备。莱茵的职责是依据审验协议以及约定的审验工作范畴执行独立审验工作，并对可持续发展报告做出独立和公正的判断。 审验标准 T?V莱茵依据 AccountAbility AA1000 审验标准v3（AA1000AS v3），针对固德威可持续发展报告披露的可持续发展信息按类型-1和中度等级进行审验。 审验目的 审验旨在为固德威管理层和关注公司可持续发展信息与绩效的利益相关方提供独立的审验观点，具体包括：评估报告内容是否遵循AA1000AP（2018）审验原则（包括包容性、实质性、回应性和影响性），以及对可持续发展信息披露进行验证。 审验准则 下列评估准则用于审验工作： ? 《上海证券交易所上市公司自律监管指引第14号——可持续发展报告（试行）》（2024年） ? 《上海证券交易所上市公司自律监管指引第1号——规范运作》（2023年12月修订） ? 全球报告倡议组织《可持续发展报告标准》（2021年版）（简称“GRI 标准”） ? 遵循AA1000 AP审验原则，即，包容性、实质性、回应性和影响性 审验方法 我们的审验活动和程序包括： ? 问询管理层和负责可持续发展绩效信息收集和汇总的人员，以理解可持续发展绩效信息的管理流程、系统和控制。 ? 基于抽样原则，审查和评估绩效信息的可用性、充分性以及与审验的相关性。 | 1 独立审验声明 介绍 莱茵技术（上海）有限公司，是德国莱茵T?V集团成员之一（简称“莱茵”或“我们”）受固德威技术股份有限公司（简称“固德威”或“公司”）的委托针对固德威2024年可持续发展报告（简称“报告”）做独立第三方审验。报告披露固德威在2024财年内（2024年1月1日至2024年12月31日）的可持续发展信息。 职责 固德威的职责是不仅负责可持续发展报告的准备以及符合适用报告准则的可持续发展信息收集与提报，而且有义务落实和维护有效的信息和数据的内控以支持报告编撰流程。 T?V莱茵是一家世界性的服务供应商，在超过65个国家提供企业社会责任和可持续发展服务，并拥有在环境、企业社会责任、可持续发展和利益相关方参与等领域具有丰富的审核和验证经验与专业技术能力的资深专家。莱茵审验团队遵循T?V莱茵全球商业道德合规政策和程序，涵盖诚信合规和利益冲突原则。因此，我们的审验服务遵循独立性和公正性原则，并不参与固德威的报告编制和准备。莱茵的职责是依据审验协议以及约定的审验工作范畴执行独立审验工作，并对可持续发展报告做出独立和公正的判断。 审验标准 T?V莱茵依据 AccountAbility AA1000 审验标准v3（AA1000AS v3），针对固德威可持续发展报告披露的可持续发展信息按类型-1和中度等级进行审验。 审验目的 审验旨在为固德威管理层和关注公司可持续发展信息与绩效的利益相关方提供独立的审验观点，具体包括：评估报告内容是否遵循AA1000AP（2018）审验原则（包括包容性、实质性、回应性和影响性），以及对可持续发展信息披露进行验证。 审验准则 下列评估准则用于审验工作： ? 《上海证券交易所上市公司自律监管指引第14号——可持续发展报告（试行）》（2024年） ? 《上海证券交易所上市公司自律监管指引第1号——规范运作》（2023年12月修订） ? 全球报告倡议组织《可持续发展报告标准》（2021年版）（简称“GRI 标准”） ? 遵循AA1000 AP审验原则，即，包容性、实质性、回应性和影响性 审验方法 我们的审验活动和程序包括： ? 问询管理层和负责可持续发展绩效信息收集和汇总的人员，以理解可持续发展绩效信息的管理流程、系统和控制。 ? 基于抽样原则，审查和评估绩效信息的可用性、充分性以及与审验的相关性。 |
109110IntroductionIntroductionAbout GoodWeESG GovernanceFeature Story: Energy
Revitization in Low-Carbon Era
Business for Good andRobust Governance
Low-Carbon Future andEnvironmental Protection
Innovation Driven andProduct Management
Collaborative Partnershiptowards Ecological Harmony
GoodWe2024 Sustainability Report