Address: No. 336 Songling Road, Laoshan District, Qingdao City, Shandong Province.Tel.: 0532-80938126Email: ir@tgood.cnWebsite: http://www.tgood.cn
2024Sustainable Development
Report & ESG Report
Smart Manufacturing + IntegratedServices: Empowering New Power SystemConstruction with Innovative TechnologyElectric Vehicle Charging Network: Building aNew Ecosystem for the Dual Integration ofNew Energy and New Transportation
Topic IWisdom-Powered Green Motion: DrivingInnovation in the New Power System,Leading the New Forms of EnergyTransformation
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Contents
About This ReportAbout This Report
About TGOODAbout TGOOD
Message from theChairmanMessage from theChairmanMessage from theChairmanMessage from theChairman
Company ProfilePerformance in 2024Corporate CultureMilestones in 2024
0505
0808
0303
Future OutlookFuture OutlookFuture OutlookFuture Outlook
IndexFeedback
165165
AnnexAnnexAnnexAnnex
167167
Comprehensive Power Solutions Propel GlobalEnergy TransformationFuel the Global Electrification Acceleration withLeading Charging Network Ecosystem
Topic IIConnecting the Smart World — AcceleratingGlobal Expansion and Supporting the EnergyTransition3131
Sustainable Development GoalsSustainable Development ManagementCommunications with StakeholdersManagement of Material Topics
3737
Implementing ESG Philosophies and Buildinga New Harmonious Ecosystem
9191Customer Orientation: Delivering ExquisiteProducts and Exceptional Services
7373Innovation Leading the Way: “One StepAhead, Leading All the Way”
143143Exceptional Governance, Innovating a NewModel of Non-Public Sector Party Building
4545Green Pioneers: Eliminating Exhaust andSmog for a Healthier Future
4545Co-creating and Sharing: Building a Communityof Mutual Benefits and Shared FutureResponse to Climate ChangeEnhancing Environmental ManagementEfficient Utilization of Resources
Innovation Leading Industrial DevelopmentR&D Innovation Management SystemR&D Innovative Strategic GoalsR&D Innovative Achievements
Party Building Driving DevelopmentCorporate Governance ComplianceStrengthening Risk ControlEnhancing Investor Relations ManagementPracticing Business EthicsAdvancing Digital Transformation
Strict Control of Product QualityOptimizing After-Sales ServiceResponsible Supply ChainProtection of Information Security
Employee Care and BenefitsEmployee Recruitment and InterestsEmployee Training and DevelopmentOccupational Health and Safety
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This is the first Sustainable Development Report & ESG Report (hereinafter referred to as “the Report”) issued by Qingdao TGOODElectric Co., Ltd.(hereinafter referred to as “TGOOD” or “the Company”), aiming at providing stakeholders with a detailed disclosureof the Company’s ESG performance in 2024 and responding to ESG topics of critical concern to stakeholders.
Shenzhen Stock Exchange Self-Regulato Guidelines No. 17 for Companies Listed on Shenzhen Stock Exchange - SustainabilityRepo (For Trial Implementation)Shenzhen Stock Exchange Self-Regulato Guidelines No. 3 for GEM Listed Companies—Preparation of Sustainable DevelopmentRepoCorporate Sustainability Disclosure Standards—Basic Standards (for Trial Implementation)Sustainability Repoing Standards of the Global Reporting Initiative (“GRI Standards 2021”)Guidelines for China’s Enterprise Sustainable Development Repos (CASS-ESG 6.0) issued by the China Research Institute ofBusiness Reform and DevelopmentNational Standardization Administration of the People’s Republic of China (CNSA) Guidelines for Preparing Social ResponsibilityRepos (GB/T 36000-2015)Task Force on Climate-related Financial Disclosures (TCFD) FrameworkUN Sustainable Development Goals (SDGs) 2030Sustainability Accounting Standards Board (SASB) Standards
This report focuses on Qingdao TGOOD Electric Co., Ltd., including its branches and subsidiaries. Unless otherwise specified, thescope of this report is consistent with that of the Company’s Annual Report.
This report covers the period from January 1, 2024 to December 31, 2024. To improve the comparability and perspectiveness,some sections of this report may extend appropriately to previous and subsequent years.
All data sources used in this report include the Company’s actual operational data, annual financial data, internal statistical reports,third-party questionnaire surveys, third-party interviews, public data etc. Unless otherwise specified, the monetary amounts in thisreport are expressed in CNY. For any discrepancy between this report and the Annual Report, the Annual Report shall prevail.
The electronic version of this report is available for download at the websites of the Company (www.tgood.cn) or the ShenzhenStock Exchange (http://www.szse.cn), where you can find further insights about the Company.
For the ease of expression and readability, the following terms are used in this report:
AbbreviationQingdao TGOOD Electric Co., Ltd.TELD New Energy Co., Ltd.Qingdao TGOOD High-Voltage Equipment Co., Ltd.Chuan Kai Electric Co., Ltd.Yichang TGOOD Electric Co., Ltd.Leshan Yilade Electric Grid Automation Co., Ltd.Tavrida Electric (Qingdao) Co., Ltd.
TGOOD, the Company, or WeTELDTGOOD HVChuan Kai ElectricYichang TGOODYiladeTEQ
Company Name
About This Report
IntroductionData Sources
Appellation Description
Access to this Report
Reporting Period
Reporting Scope
Preparation Basis?????????
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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Dear shareholders, customers, partners, and friends from allwalks of life:
It is a great honor to present to you the 2024 SustainableDevelopment Report & ESG Report of Qingdao TGOOD ElectricCo., Ltd. This is not only the Company’s first publicly releasedESG Report but also a response to all friends who care aboutthe development of TGOOD. As an innovation-driven enterprise,TGOOD prioritizes building a new power system supportframework and serving the carbon peak and carbon neutrality.In line with the convergence trend of the energy and digitalrevolutions, the Company proactively plans and implementsdistinctive responsibility practices. On the journey ofconstructing a new power system centered on renewableenergy, TGOOD is dedicated to fulfilling its role as a Chineseenterprise to respond to the call of the era.The year 2024 is a year of milestone significance in thedevelopment process of TGOOD. At the pivotal moment of our20th anniversary, I often recall my commitment made in 2009when representing 28 listed companies at the launch of theChiNext Market: “As the first stock on the ChiNext Market, wemust uphold the flag of the ChiNext Market”. This phrase hasbecome the essence of our mission and the guiding principle formy team and me since then. Before listing, we strive for personaland enterprise growth; after listing, with the accumulation ofwealth and personal value, it becomes essential to give back tosociety, contributing meaningfully to the nation and futuregenerations. Over the past 20 years, TGOOD has evolved froma startup to an industry leader, thanks to the tireless efforts andselfless dedication of every TGOOD employee, as well as thestrong support from all sectors of society.Second Entrepreneurship: Deep Integration of the EnergyRevolution and Industrial Transformation
In the context of carbon neutrality, the government has set anew strategic goal to build a power system centered on
renewable energy. This new power system closelyintegrates two key industries—new energy generation andnew energy vehicles—accelerating the realization ofChina’s carbon neutrality targets. TGOOD, with its focus on“smart manufacturing + integrated services” for intelligentbox-type power equipment and its electric vehicle chargingnetwork business, is playing a pivotal role in empoweringthe development of China’s new power system, offeringcritical support for achieving carbon neutrality.Innovation is deeply embedded in TGOOD’s core DNA,serving as the inexhaustible driving force that leads ourgrowth. We steadfastly adhere to the innovative concept of“one step ahead, leading at every step”, continuallyovercoming technological bottlenecks and driving industrydevelopment. Since its inception, TGOOD has focused onthe research, development, and manufacturing of outdoorbox-type electrical equipment, establishing the largestresearch and production base for transformer substationsin China. We have pioneered several “firsts” in China’ssubstation products, including the first set of 10 kV mobiletransformer substations for high-speed railways, the firstset of 35 kV skid-mounted mobile substations, the first setof 110 kV prefabricated cabin-type modular substations,the first set of 220 kV prefabricated cabin-type offshorebooster substations, and the first set of 330 kVprefabricated cabin-type booster substations… Theseinnovations have not only filled gaps in domestic productofferings but also advanced China’s power equipmentindustry as a whole.In the historic intersection of the two major sectors—“newenergy generation + new energy vehicles”—TGOOD madea forward-looking layout in 2014 by venturing into theelectric vehicle charging industry, marking the beginning ofits second entrepreneurial phase with the establishment ofTELD. TELD pioneered a charging network technologysystem across the globe, strategically focusing on theefficient use of electrical resources to support thelarge-scale development of electric vehicles. By harnessingthe electric vehicles’ functions as mobile energy storage tosupport new energy development, TELD constructed adeeply integrated “new industrial internet”, combiningcharging networks, microgrids, energy storage networks,and data networks. This innovation has significantlyenhanced the distribution grid capacity and the greenelectricity consumption, addressing the energy bottleneckfor the scaled development of China’s electric vehicle
industry and leading the global development of the newenergy vehicle charging sector.Party-Enterprise Integration: The Red Engine Drives GreenInnovationFor over two decades, TGOOD has remained steadfast in thecore principle of “Party building leads enterprise development”,seamlessly embedding Party organization construction into theCompany’s entire governance process. The Company’s PartyCommittee has viewed Party-building as a strong driver forenhancing the enterprise’s core competitiveness. Over time,TGOOD has developed an ecological Party-building system,centered on values such as the “community with a sharedfuture, altruistic philosophy, and the happiness of Partymembers”, ensuring that Party work and corporatedevelopment are coordinated. TGOOD has been recognized asan Advanced Grassroots Party Organization in ShandongProvince and as a Model for Party-building work in “Two New”organizations at the provincial level. It is also the only non-publicenterprise selected for the Tsinghua University case database,with Party-building as the theme.TGOOD has constantly upheld the philosophy that “Partymembers are talents”. Since its establishment 20 years ago,it has adhered to the “three priorities” principle: prioritizingParty members in recruitment, in cadre selection, and inovercoming challenges. This approach has cultivated a highlycohesive, strong, high-caliber, high-performance, andresponsible Party member team, known for its “wolf spirit”,which has played a key role in the Company’s growth. Today,a significant majority of TGOOD’s core team members areParty members, with almost no turnover rate for key talents.
Global Vision: Making the Chinese Solution the UniversalLanguage for Zero-Carbon Transition
In its global expansion, TGOOD has implemented a “dual-drive”strategy of “technology export + standards leadership”, bringingChinese innovation to the world stage. Capitalizing on thenational “Belt and Road” initiative, the Company has spent overa decade executing international strategies and has promotedits self-developed power equipment systems to 56 countriesand regions. TGOOD has also established robust strategicpartnerships with global energy leaders, including GeneralElectric, Siemens, ABB, and Schneider, showcasing itstechnological prowess and brand influence internationally. Withits expertise in charging technology, products, platforms, andservices, TELD has tailored specialized product systems and
Message fromthe Chairman
Chairman of TGOOD
solutions for international markets, and established keybusiness regions in the Russian-speaking zone, Asia-Pacific,and Europe. Its partnerships extend to over ten countries andregions such as Russia, Australia, Kazakhstan, and Uzbekistan,offering comprehensive solutions that encompass professionalplatforms, equipment, operations, and maintenance. Throughinnovation in products and collaboration models, TELD isboosting global electrification.Guided by the national strategy to build new powersystems, Chinese private enterprises like TGOOD areinjecting substantial momentum into the green andlow-carbon energy transition with their technologicalinnovations. Standing at the crucial milestone of its 20thanniversary, TGOOD has officially embarked on its thirdphase of entrepreneurship. The goal is to lead throughinnovation and the energy revolution and build a digitalenergy group. Looking ahead, we will insist on independentinnovation, consistently upgrade the smart manufacturingof electrical equipment and the charging ecosystem, andaccelerate our efforts to seize key positions in the newenergy sector, thus offering systematic solutions for newpower systems and paving a green development path withthe unique characteristics of TGOOD.
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About TGOOD
TGOOD is primarily engaged in two main sectors: “Smart Manufacturing + Integrated Services”focusing on intelligent prefabricated power equipment, and the electric vehicle charging networkbusiness. Both sectors are important strategic emerging industries under the national “14th Five-YearPlan”, playing a significant role in promoting the construction of a new power system based on newenergy and achieving carbon neutrality goals in China.As China's leading outdoor integrated power equipment solutions provider, TGOOD has held the topmarket share in the Chinese railway market and maintained a leading position in local power marketswith its mid-to-high-end prefabricated power equipment products. At the same time, TGOOD’smodular prefabricated substation products and renewable Kiosk substation hold the industry’s leadingmarket share in the new energy generation sector.In the field of electric vehicle charging networks, TGOOD has developed into the largest electricvehicle charging network operator in China, ranking first nationwide in the number of public chargingterminals operated, charging volume, and registered user count. In addition, TGOOD is focused on atechnology roadmap that integrates charging networks, microgrids, and energy storage systems. Itcontinues to drive innovation in V2G, virtual power plants, megawatt-level charging, and autonomouscharging technologies, gaining profits through energy management, big data value-added services,and ecosystem optimization.
Company Profile
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Performance in 2024
Operating Income1,537,448 10,000 CNY
Net Profit Attributable to Shareholdersof the Listed Company
91,656 10,000 CNYTotal Assets
2,501,340 10,000 CNY
Net Asset Attributable to Shareholders
of the Listed Company
747,454 10,000 CNY
Economic Performance
Investment in R&D
57,459 10,000 CNY
Number of R&D Personnel
1,219 PersonPercentage of R&D Personnel
12.66 %
Total Number of Patents Granted
1,687 Item
R&D Performance
Environmental Investment
1,518 10,000 CNY
GHG Emission Intensity
0.018 tons / 10,000 CNY of revenue
PV Generation
298.77 10,000 kWh
Green Electricity Trading Volume
680.37 10,000 kWh
Environmental Performance
Percentage of Female Employees
24.92 %
Total Hours of Employee Training
470,149 Hour
Total Investment in Safety Production
1,614 10,000 CNY
Occupational Health Checkup Coverage Rate
100 %
Social Performance
YoY Growth
21.15%
YoY Growth
86.62%
YoY Growth
4.76%
YoY Growth
17.42%
YoY Growth
11.74%
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Consolidating the world’s largest brand of box-type power equipment.Building a trusted government and customer ecosystem operator for the largest and strongestcharging network in China.Creating a digital energy management company centered on new energy.
Build a cohesive, capable, high-quality, and high-performance team with astrong sense of responsibility and a “wolf-like” spirit.The team, not the leader, steers the enterprise, working in unison withoutfatigue, trusting one another implicitly.Stay loyal, brave, responsible, and principled.Extraordinary resilience and readiness, complementary and mutual achievements.
Corporate Culture
Goals
ThreeCulturalSystems
Adhere to a customer-centric approach and provide refined products and high-quality services.Focus on value creation and turn our shared ideals into reality.Values
Team Cohesion: The team, not the leader, steers the enterprise, ensuring that strategies andmajor decisions are correct.Innovation Leadership: Leverage the team’s foresight and future-focused approach to stayahead at every stage.Profit Sharing: Emphasize the importance of profit sharing for value creators, fostering acommunity of shared interests and common destinies.
ThreePillars
Team Culture
Innovative Culture
Share Culture
Team Objectives:
We create what the market will need through innovation, not merely byresponding to current demands.Innovative Concept:
Build a community of shared interests and common destinies, enablingindividual value creation.Profit Sharing Objective:
Share profits in both large platforms and small organizations; Focus onincreasing profits before sharing; and only share what is valuable.Profit Sharing Principle:
Create vitality and wealth with business partnerships and profit sharing.Enjoy a warm working atmosphere and a happy life in TELD.Profit Sharing Format:
Establish a forward-looking team and leading strategic system to forgecore competencies and guide the industry to new heights.Innovative Objectives:
Innovation means seeing the essence and spotting what others cannot.R&D means paving a new path and thinking about what others haven’timagined.Technology means breaking boundaries and doing what others cannotachieve.
Innovation Cognition:
Team Principles:
Team Standards:
Team Spirit:
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Milestones in 2024
On February 23, 2024, TGOOD Group successfullyhosted the 2024 Party Building Work Conferenceand the 2023 Party Building CommendationMeeting. The event provided a comprehensivereview and recognition of the significantachievements in Party building throughout 2023.Outstanding Party branch secretaries, exemplaryParty branches, and exceptional Communist Partymembers were honored. Additionally, a ceremonyfor the transfer of reserve party members washeld, further strengthening the development of theParty team.
TGOOD Holds the 2024 Party Building WorkConference and the 2023 Party BuildingCommendation Meeting
On March 16, 2024, TGOOD Group proudlylaunched its global 20th-anniversary celebration,themed “Special Love for a Special You”, featuredby co-establishment, base cooperation and modelinnovation. At the time of celebrating its 20thanniversary, the Company also committed its grandmission of “Creating a cleaner city by integratingrapid three-dimensional parking into zero-carbondigital buildings”. This also marks a new chapter ofour third phase of entrepreneurship.
TGOOD Celebrates its 20th Anniversary andEmbarks on Its Third Entrepreneurial Journey
On April 9, 2024, TGOOD was recognized withthe prestigious title of “Single ChampionManufacturing Enterprise” in China. This honorrepresents the pinnacle of excellence in theglobal manufacturing sub-sector andunderscores the Company’s leadership inadvancing the manufacturing industry.
TGOOD Awarded “Single ChampionManufacturing Enterprise” in China
On May 7, 2024, TELD’s platform reached acumulative charging volume of 30 billion kWh,setting a new record for domestic chargingoperators and marking a significant milestone inthe advancement of the new energy industry.
TELD’s Cumulative Charging Volume Hits 30Billion kWh
On September 30, 2024, TGOOD launched the “RedPulse Production Line for New Energy TransformerSubstations”, a groundbreaking initiative thatsymbolizes the integration of party and businessvalues. This new production line has revolutionizedthe assembly process, improving productionefficiency by over 50% and representing a keymilestone in driving deeper industry development.
TGOOD Unveils the First “Red Pulse ProductionLine for New Energy Transformer Substations”in China
On October 24, 2024, the Third “Belt and Road”Energy Ministers’ Conference took place in Qingdao.As a company for the conference’s technical tour,TELD presented its latest advancements in new energyvehicle charging technology to energy ministers,diplomats, and senior representatives from 27countries, as well as leaders from four internationalorganizations, and delegates from businesses, researchinstitutions, and universities at home and abroad. TheCompany showcased its innovative technologies andpractices aimed at driving energy transition andpromoting green development.
TELD Makes an Appearance at “Belt and Road”Energy Ministers’ Conference
On December 16, 2024, the “Zhangjiakou-BeijingRenewable Energy Comprehensive ApplicationDemonstration Project” and the “Huaneng JilvDaan 500 MW Wind Power Project,” bothparticipated by TGOOD, won the prestigious“National Quality Engineering Gold Award” and“2023 China Electric Power Quality EngineeringAward”. These honors mark the first time aprefabricated cabin-type station constructionproject in the industry has received suchaccolades.
TGOOD’s Project Wins National QualityEngineering Gold Award
In December 2024, TELD, with its technicalexcellence in charging networks, microgrids, andenergy storage networks, was selected as a typicalcase in the development of the Internet of Things(IoT) industry by the Ministry of Industry andInformation Technology. It was also recognized asa “People’s Craftsmanship Technology” case byPeople’s Daily. In addition, it was honored as anational “little giant” specialized and sophisticatedenterprise and ranked among the top 500 globalnew energy companies.
TELD Recognized for IoT DevelopmentExample by MIIT and “People’s CraftsmanshipTechnology” Case by People’s Daily
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Wisdom-Powered Green Motion:
Driving Innovation in the NewPower System, Leading the NewForms of Energy Transformation
TopicI
Under the wave of energy transformation led by the “Dual Carbon” strategy, the construction of a new power systemdominated on renewable energy is advancing at an accelerated pace. TGOOD’s two core businesses are fully alignedwith the national strategic framework, making dual efforts to empower the development of a new power system. Inthe “Smart Manufacturing + System Integration” sector, the Company integrates green development principles withcutting-edge technology, and through continuous technological breakthroughs and innovative models, providesrobust support for the construction of next-generation power infrastructure with industry-leading high-end powerequipment. The Company has pioneered an EV charging network technology system in its industry and successfullycreated a new industrial ecosystem that enables two-way integration of new energy and smart transportation. Thisprovides a demonstrative solution for promoting energy transition and the development of green transportation.
Leveraging its leading advantages in technology, products, and services and closely integrating the characteristics and needs ofnew energy power stations, the Company has innovatively developed new energy prefabricated substations and a new generationdigitalized high-voltage modular prefabricated substations integrated solutions, which have significantly enhanced the constructionefficiency of renewable energy power stations.The voltage level of the Company’s renewable Kiosk substation ranges from 10 kV to 66 kV, primarily including LV switchgear,transformers, and HV switchgear. Designed for harsh environments, these units withstand high temperatures, salt spray corrosion,and wind-sand exposure, while delivering exceptional electrical performance, excellent environmental compatibility, and enhancedcorrosion resistance.The Company's next-generation high-voltage digital fully prefabricated modular substation integrated solution significantlyenhances the construction efficiency of renewable energy power stations through comprehensive prefabrication ofprimary/secondary equipment and civil engineering. By innovatively applying digital management and intelligent O&Mtechnologies, it provides reliable and cost-effective lifecycle support for renewable energy power plants.
Case Study
Datang 400 MW Wind Power Project in Wuliji, Alashan LeagueThe Datang 400 MW Wind Power Project in Wuliji, Alashan League adopts a prefabricated substation layout schemethat enables the prefabrication of large GIS equipment, and meets the necessary of internal space requirements forO&M as well as overhead clearance. The prefabricated substation’s protective performance and thermal insulationcapabilities effectively resist wind--sand erosion and extreme diurnal temperature fluctuations, thereby ensuring thestable operation of the equipment.Once put into operation, the project will generate 1 billion kWh of clean energy annually, saving 312,000 tons ofstandard coal and reducing carbon dioxide emissions by 829,000 tons, which contributes positively to the optimizationof the energy structure and the ecological environment of the Alashan region.
Case Study
Huaneng’s 1 Million kW Wind Power Gathering Station Project in TurpanThe Huaneng’s 1GW Wind Power Collection Substation Project in Turpan takes full advantage of local solar thermalresources and wind speed conditions, deploying TGOOD’s prefabricated substation, which are designed withIP55-certified protection and sand-resistant ventilation systems, and deploys 131 wind turbines, each with a capacity of7 megawatts or more, along with a large-capacity energy storage system to handle the challenging wind and sandconditions. The prefabricated substation enclosure utilize non-metallic panels combined with an air-gap thermal barrierpanel technology, preventing heat conduction and creating an optimal operating environment for the equipment.Upon full commissioning, the project will deliver 2.2billion kWh of annual electricity generation, meetingthe electricity needs of 700,000 households whilesaving 710,000 tons of standard coal and reducingCO2 emissions by 1.91 million tons, alongsidecreating 5,600 hectares, thereby ensuring the localenergy supply and promoting green, low-carbondevelopment.
Power Generation Side
Smart Manufacturing+ IntegratedServices
Empowering New Power SystemConstructionwith Innovative Technology
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Case StudyUrban Village Distribution Grid Modernization in ShenzhenIn collaboration with the Shenzhen Power Supply Bureau and three major design institutes, TGOOD co-developed aPrefabricated Landscape Distribution Substation for urban village grid modernization in Shenzhen. This initiativemodular solution features customizable exteriors that adapt to surrounding environments, ensuring environmentalfriendliness and reducing the “not in my backyard” effect. With shorter delivery time and compact footprint, this solutionis ideally suited for urban village scenarios, providing a new approach for upgrading urban power grids in megacitiesand megalopolis.
Case StudyMobile Substation Project in Xiong'an New AreaIn 2017, the Central Committee of the Communist Party of China and the State Council approved the establishment ofXiong'an New Area. The development of the new area is driven by a long-term vision, with a focus on high standardsand large-scale progress. To meet the urgent power needs of key districts such as Rongdong and Rongxi, it wasessential to deploy highly reliable temporary power infrastructure quickly. Since 2019, TGOOD has provided a total of12 mobile substations (5 sets of 110kV and 7 sets of 35kV) to the Xiong'an New Area. These substations werestrategically positioned at the heart of the construction zones, acting as primary power sources for large-scaledevelopment projects. Their efficient operation played a critical role in supporting the area's power supply during theearly stages of its extensive development.
Case Study
Expansion Project of the 110 kV Zhongxin Substation of Zhejiang Hangzhou Power SupplyCompany of State Grid
The 110kV Zhongxin Substation had operated at full capacity. To ensure a reliable power supply, an expansion wasrequired to meet the growing electricity demand in the surrounding areas. The project adopted a prefabricatedsubstation solution, addressing space limitations and construction challenges. Additionally, it features a Huizhou-styleprefabricated Substation design that seamlessly integrates the substation into its surroundings.
TGOOD’s core products include Prefabricated Substation, Transformers, and Switchgear, which are widely applied in theconstruction of main distribution networks. In addition, the Company keeps pace with the ongoing grid upgrades, focusing on keybusiness scenarios such as “construction of new substations”, “Legacy Substation Modernization and Retrofit”, “Grid-edgelow-voltage regulation”, and the “digital transformation of distribution networks”. Innovative solutions such as PrefabricatedSubstations, Prefabricated Distribution Kiosk, and Mobile Substations have been launched. TGOOD has demonstrated significantadvantages in shorter construction periods, reduced land occupancy, lower investment costs, flexible layouts, and environmentalfriendliness. These solutions have been successfully implemented in provincial grid systems in regions including Shaanxi,Shandong, Henan, Jiangsu, Ningxia, Guangdong, Yunnan, and Guangxi.
Power Grid Side
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Case StudyQingdao Metro Line 6 ProjectThe Qingdao Metro Line 6 is China’s first Train Autonomous Operation System (TACS) demonstration project, with atotal length of 30.8 km, traversing key areas such as the Lingshan Bay Cultural Zone, Qingdao Economic andTechnological Development Zone, and the International Economic Cooperation Zone. TGOOD provided a 110 kVprefabricated modular substation and switchgear solutions to help address the customer’s tight project timeline andhigh power demands while ensuring a stable power supply to the metro’s main line.
Case StudyMiaotan North Substation Project in Alibaba Zhangbei Cloud Computing CenterThe project faced a tight constructionschedule. To ensure that the data centercan be put into operation as scheduled,TGOOD customized a modular prefabricatedsubstation solution for the customer. Therapid construction and efficient service havegarnered high praise from the customer,offering a new and reliable solution for datacenter power requirements.
Case Study
Temporary Substation Project for Rongtong High-tech Battery MaterialsThe Rongtong High-tech Battery Materials project, recognized as the largest investment attraction initiative inMianyang, Sichuan for 2022-2023, required the construction of a dedicated 220kV substation to meet the powerdemand for production. However, the substation’s construction progress lagged behind the factory’s plannedproduction schedule, putting the company at risk of delayed operations. To address this challenge, the companyprocured two 110kV mobile substations from TGOOD and connected them to a 110kV temporary power supply line. Thisstrategic solution effectively resolved the power supply bottleneck, ensuring that the factory’s operations proceeded asplanned and stabilizing the production.
With China's ongoing economic transformation and industrial upgrading, the rapid development of sectors like rail transit and datacenters has created stringent new requirements for energy supply and power equipment. TGOOD offers customized andcomprehensive power system solutions tailored to the specific needs of different industries, meeting diverse customer needs.For the railway sector, TGOOD has specially designed a Railway remote control compact substation with intelligent visualinspection system for rail power supply applications. This system uses sensors, image recognition, communication, and dataanalysis to monitor operational status in real-time of the compact substation and find potential faults and hidden risks in time,providing support for safe and stable railway operations. In addition, our prefabricated modular substations and switchgearproducts are also widely used in several subway projects in cities such as Qingdao and Changchun.The Company offers a wide and comprehensive range of products for the data center industry. In addition to High and Low-voltageSwitchgear, TGOOD has launched a 110kV Prefabricated Substation to address the power supply and distribution needs of datacenters and smart prefabricated power modules designed for intelligent power distribution in server rooms. These products arerecognized for their efficiency, reliability, and intelligence, winning recognition from the market and ensuring the stable operationof data centers.
User Side
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The Company has consistently focused on technological innovation in the EV charging sector, independently mastered key coretechnologies for charging networks, covering every aspect of the electric vehicle charging industry chain. The Company hassuccessfully overcome the bottlenecks of charging technologies about the large-scale development of electric vehicles in China.This has significantly enhanced the distribution network’s capacity and its green energy consumption. In addition to drivingtechnological advancements in the charging industry, TELD aligns with national strategies for new energy development, offeringvital technical support for the transition to carbon neutrality in the transportation sector.As of the end of 2024, the Company’s charging network has established strategic points in over 360 cities and regions across thecountry, with more than 709,000 charging terminals in operation and under management. By building a large-scale, intelligentcharging service network, the Company continues to drive the transition from traditional fuel-powered vehicles to new energyvehicles. In 2024, the Company’s platform achieved an annual charging volume of 13 billion kWh, which reduced carbon emissionsby approximately 13.74 million tons compared to equivalent fuel-based travel.
Convenient Services: Creating an All-Scenario Smart Charging Networkto Ensure Hassle-Free Travel for EV OwnersEstablishing the Largest Nationwide Charging Network to Support theLarge-Scale Growth of New Energy Vehicles
Forward-Looking Strategy in High-Power Charging Technology: Building theMost Extensive High-Power Supercharging Network
Promoting the “Five Charging Networks” Layout Based on Local Conditions toProvide Safe and Convenient Charging Services for Electric Vehicle Owners
The Company continues to advance the development of bus, public, logistics, park, and community charging networks, tailored tothe specific characteristics of different charging scenarios and user needs. In alignment with the EV stock and development plansof various cities, the Company promotes the layout of the “Five Charging Networks” based on local conditions, providing electricvehicle owners with safe and convenient charging solutions.
As electric vehicle battery technology and charging speeds continue to advance, the Company constantly enhances its innovationand R&D efforts in high-power charging technology to meet the growing demand for high-power charging across differentscenarios, positioning itself as a leader in the development of high-power charging solutions. Currently, TELD has deployedapproximately 6,000 charging stations nationwide, equipped with megawatt-level power pools. In 2014, the Company hadpioneered the industry’s first intelligent group charging product, utilizing standard modular multi-level parallel technology tosupport the ongoing expansion of power pools. It now can achieve a megawatt-level power pool capable of reaching up to 4,000kW, effectively addressing the rapid rise in demand for high-power charging. The Company’s self-developed liquid-cooled terminalcan deliver up to 1,000 kW of megawatt-level charging power for passenger vehicles, enabling a rapid charge of up to 80 kWh injust 5 minutes. For buses and logistics vehicles, the Company has innovated flexible charging solutions, such as the intelligentflexible charging bow for buses and the intelligent flexible charging robot for commercial vehicles, capable of deliveringmegawatt-level power up to 1,000 kW and 1,600 kW, respectively.
Bus Charging Network
Case StudyChengdu Bus Jiulidi Charging StationThe Chengdu Bus Jiulidi Charging Station employs group management and control technology, making full use of thefunction about power sharing and flexible allocation. This enables high-power fast charging and intelligent schedulingfor buses. By the end of 2024, the total power capacity of the Chengdu Bus Jiulidi Charging Station had reached 10,800kW, with 94 DC charging terminals and 24 smart flexible charging bows. These facilities are designed to meet thedemand for high-power automatic charging during bus intervals. To improve the utilization efficiency of the chargingequipment, the station can also open its facilities to other social vehicles during bus downtime, thus providing chargingservices to the public while meeting the needs of the buses.
Electric VehicleChargingNetwork
Building a New Ecosystem for the DualIntegration of New Energy and NewTransportation
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Case StudySanya Rongxing Building Materials Mall Charging StationThe Sanya Rongxing Building Materials Mall Charging Station adopts a combination of fast charging and ultra-fastcharging, with a total power capacity of 960 kW. It is equipped with 14 DC fast charging terminals and 2 liquid-cooledultra-fast charging terminals, capable of serving various vehicles including ride-hailing cars, taxis, and private cars.Through intelligent scheduling technology, it can flexibly match the power requirements of different vehicles andoptimize the charging time for various types of vehicles, maximizing the use of limited social resources while servingmore electric vehicles.
Public Charging Network
Case StudySmart Microgrid Charging Station of Shanghai SAIC Anting BaseThe Smart Microgrid Charging Station of Shanghai SAIC Anting Base integrates distributed photovoltaic, cascadebattery energy storage, and electric vehicle charging and discharging elements. It supports off-peak charging and peakdischarging, pioneering energy trading scenarios for electric vehicle owners. The station enables the integration ofretired battery packs into the charging station, utilizing the canopy and rooftop space for distributed photovoltaicaccess and consumption, creating a low-carbon travel scenario for new energy vehicles. Additionally, the station isconnected to the TELD’s cloud platform energy management system, which uses forecasting and optimizationtechniques to develop strategies for electric vehicle charging and discharging, photovoltaic generation, and energystorage, effectively reducing the overall energy cost of the park.
Park Charging Network
Case Study
Qinzhou Port Automated Charging Project of Guangxi Beibu Gulf GroupThe Qinzhou Port Automated Charging Project of Guangxi Beibu Gulf Group is divided into two phases. The first phaseis equipped with 6 intelligent flexible charging robots, having an installed power capacity of 2,400 kW. The secondphase is equipped with 10 intelligent flexible charging robots, having an installed power capacity of 4,000 kW. Thissystem enables automatic rapid recharging during vehicle downtime. The station is primarily designed for automaticallycharging IGV vehicles that operate at the port. The vehicles and charging equipment are managed by an intelligentscheduling system for fully unmanned operation in a closed environment.
Logistics Charging Network
Case Study
Chengdu Longxiang Jiayuan Phase I Community Charging StationThe Chengdu Longxiang Jiayuan Phase I Community Charging Station adopts a combination of low-power DC and ACconfigurations, covering 14 public charging parking spaces within the community, including 8 DC charging spots and 6AC charging spots, available for shared use by the residents. After work, residents connect their electric vehicles to thecharging terminals, which are managed by a charging platform that performs intelligent scheduling. The platformprioritizes charging during off-peak nighttime hours to minimize the impact on the community’s power load.Additionally, TELD’s two-layer safety protection system monitors the charging process in real time, providing residentswith safe and secure charging services.
Community Charging Network
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Leveraging the core advantages of the charging network, the Company has innovatively launched a photovoltaic-storage-charging-integratedmicrogrid technology that combines photovoltaic power generation, cascade battery energy storage, and electric vehicle charging/dischargingfunctions. This technology enables the local consumption of distributed energy and significantly enhances the ability to absorb renewableenergy. With the self-developed microgrid operation control and optimization scheduling technology, TELD fully utilizes the adjustableattributes of electric vehicles to effectively address the disorder and fluctuations of renewable energy generation, greatly improving theabsorption capacity of renewable energy. Furthermore, this technology unlocks the potential value of electric vehicles as mobile energystorage, creating economic benefits from low-cost charging and high-price discharging. By the end of 2024, the Company had deployed over800 new energy microgrid stations through investment and sales, covering more than 140 cities.
Green Development: Microgrid + Virtual Power Plant Supporting China's DualCarbon Strategy
Case StudyTianfu Software Park Photovoltaic-Storage-Charging Smart Microgrid Demonstration ProjectThis station is the first smart microgrid project in Western China, integrating cadmium telluride photovoltaic powergeneration, cascade battery energy storage, liquid-cooled ultra-fast charging, fast charging, slow charging, and V2Gcharging and discharging technologies. The project consists of two parts, a public charging network and a parkmicrogrid. The station is equipped with a 52 kW cadmium telluride photovoltaic canopy, a 150 kWh cascade energystorage system, and 56 charging terminals (including 2 liquid-cooled ultra-fast charging terminals, 33 DC fast chargingterminals, 4 V2G charging and discharging terminals, 10 small DC charging terminals, and 7 AC slow chargingterminals). Based on TELD’s new energy microgrid system, this station integrates office electricity use, photovoltaics,energy storage, EV charging and discharging, enabling photovoltaic-storage-charging integration. When the largepower grid is insufficient, photovoltaics, energy storage, and electric vehicles can provide a reverse power supply tothe park’s office buildings, realizing local consumption of distributed energy.
Charging-Type Microgrid to Enhance Local Consumption of Renewable Energy
The Company’s Virtual Power Plant (VPP) operational platform is built around the core capabilities of aggregation, regulation,trading, and settlement. Based on key technologies such as load forecasting, renewable energy forecasting, market priceprediction, and resource scheduling, the platform integrates diverse resources, including electric vehicle charging and discharging,distributed photovoltaics, energy storage, and conventional electricity loads, enabling participation in power market trading andgenerating revenue. Since its engagement in North China Power Grid’s peak-shaving ancillary service market in 2019, the Companyhas consistently advanced and expanded the application of VPP technology. The Company was one of the first VPP operators toreceive technical certification and grid connection approval for benchmark projects across China, including in cities such asShenzhen and Shanghai. In demonstration areas like Shandong and Jiangsu, where VPPs have been integrated into real-time gridscheduling, the Company has showcased its significant technological innovations. In Shandong Province, the Company’s tradingvolume accounts for over one-third of the region’s total VPP transaction volume.By the end of 2024, the Company had achieved online information exchange with 38 power grid, provincial, and municipalelectricity control centers, VPP management centers, and load management centers. The number of dispatchable stations meetingVPP requirements had exceed 3,400. In 2024, the Company has been actively expanding grid-interactive services, includingpeak-shaving ancillary services and demand-side response, in regions such as Shanghai, Shenzhen, Jiangsu, and Fujian. The totalscale of these services exceeded 3 million kWh, with benefits approaching 10 million CNY. Additionally, the Company participatedin electricity market trading with a total trading volume exceeding 1.4 billion kWh in 2024.
Virtual Power Plants: Aggregating Distributed Loads for Participation in Power Market Trading
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Security Assurance: Disruptive Technological Innovation Safeguards Gridand User Safety
The industry-first cluster management & control chargingsystem developed by TELD adopts a “dynamic power pool”architecture. It utilizes advanced technologies such as highand low-voltage integration, standard cabinet parallelconnection, and modular power distribution to centrallymanage all power modules within the charging station,forming a shared power pool. Based on real-time electricityprice signals and grid load data, it achieves millisecond-leveldynamic allocation of charging power through adaptivealgorithms. The system breaks through the traditionalindependent control mode of single piles, which allows forflexible adjustment of charging power according tofluctuations in the capacity of the distribution network,effectively reducing the risk of transformer overload forbetter protection of the distribution network security.
In the TELD’s two-layer security protection technology, the first layer provides active protection for the Charging ManagementSystem (CMS), which is set up with 12 safety protection and early warning models that conduct real-time monitoring and safetyassessments of the charging process. It extends the security protection of new energy vehicle from the BMS side in car to thecharging side outside the car, enabling redundant protection of the vehicle’s Battery Management System (BMS) failures andreal-time protection of battery data during charging, making vehicle safety on the charging side measurable and controllable. Thesecond layer is the big data protection layer, which includes 24 safety protection and early warning models. It establishes acomprehensive lifecycle database for vehicles/model types through big data, allowing for fault tracing from the vehicle’s historicaldatabase and providing differentiated warnings and protections for the charging process of different vehicle models in variousregions and seasons. In 2024, TELD introduced the industry’s first large-scale battery safety model. Built on the Transformerarchitecture, this model utilizes vast amounts of charging big data to significantly enhance battery fault detection rates and achievea risk blockage rate exceeding 99.9%.
TELD has launched a two-layer security protectiontechnology of charging equipment and data platforms,innovatively applying the charging big data to the safetyassessment and early warning of power batteries. Toaddress the complex challenges of battery protection underconditions such as battery aging, charging and discharginghabits, and environmental climate, a multi-dimensional andsystematic dynamic charging and discharging safetyevaluation and protection model has been developed. Thisachieves cloud-edge collaboration and dynamic safetyprotection tailored to each vehicle, effectively resolving thesafety issues associated with electric vehicle charging. In2022, organized by the China Society of AutomotiveEngineers, TELD compiled the industry’s first TechnicalSpecication for Batte System Safety Risk Monitoring andFault Early Warning during the Electric Vehicle ChargingProcess.
Case StudyApplication of Two-Layer Safety Protection TechnologyTELD has been offering safety monitoring and early warning services based on its two-layer protection technology forseveral years:
For business customers, including automotive companies, bus operators, and taxi services, TELD provides monthlysafety warning analysis reports or custom-developed safety warning SaaS platforms. For individual users, TELD offersthe Battery Guardian Detection Report, which provides an accurate safety rating for vehicle batteries across variousdimensions. In 2024, the TELD platform issued a total of approximately 49 thousand warnings for high-risk vehicles, andusers accessed the Battery Guardian Detection Report around 458 thousand times.
Grid Security: Cluster Management & Control and EV-Grid Integration TechnologySafeguard Power Grid Security
User Safety: Two-Layer Security Protection Technology Protects Users and
Vehicle Safety
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To address the industry’s challenge of lacking efficient human-monitoring alternatives at charging stations, TELD has developedthe AI safety early warning device named AI Box, based on AI recognition and safety protection technology. This product integratesa charging station-specific image recognition algorithm with standard surveillance cameras. Based on “big data + machine vision”technology, AI Box’s customized recognition model is tailored to charging scenarios, enabling 24-hour intelligent monitoring ofsafety risks, such as electric vehicle self-ignition, personnel falls, children lingering, smoke/fire hazards, smoking, and equipmentcollisions. AI Box analyzes real-time images transmitted by network cameras, instantly identifying dangerous behaviors and issuingearly warning notifications. This solution provides round-the-clock unmanned security, adding an extra layer of intelligent safetyprotection to station operations.
Efficient Operations: Digitalization and Intelligence Reshape Industry Value
To meet the changing demands of a vast number of users across the country, TELD has developed an industry-leading smartoperations management platform for its charging network. Powered by big data and AI algorithms, this platform creates anall-scenario intelligent operational system that achieves smart management of charging services across processes. By utilizing abig data-driven site selection model, it guarantees “pre-investment success forecasting”, enabling precise investment in chargingstations. Additionally, the platform relies on a pricing analysis model to implement intelligent pricing strategies, optimizingoperational efficiency. The smart scheduling system monitors equipment status in real time, predicts charging peaks, anddynamically adjusts strategies, significantly enhancing equipment utilization. Furthermore, the platform utilizes user profiling tooffer personalized charging solutions, such as off-peak electricity price notifications and nearby available station recommendations,providing users with a more time-efficient, hassle-free, and cost-effective charging experience. This solution leads to the intelligentupgrade of charging services in an all-around manner.Currently, TELD has taken the lead in locally deploying the DeepSeek and Qwen large models, seamlessly integrating them withits charging operations. This innovation has resulted in the creation of the industry’s first AI-powered charging operations system,establishing an intelligent AI operations support framework that enables more efficient and accurate management of chargingoperations, thereby enhancing the overall profitability of charging stations.
To tackle the industry’s challenge of high O&M costs for large-scale charging equipment, TELD has developed innovative smartO&M technologies. Drawing on years of data and O&M experience from its charging network, and based on a deep understandingof charging equipment, TELD has embedded numerous small smart sensors into the equipment design. Based on themulti-dimensional and multi-type data collected by these sensors, the intelligent O&M large model enables remote smart upgrades,control, and configuration of charging network devices and core components, real-time health monitoring and alerts, hardwarefailure predictions, software self-repair, and intelligent equipment inspections. This significantly improves the O&M efficiency ofcharging equipment, reducing O&M costs.
Case StudyApplication of AI BoxSichuan Shudao New Energy Technology Development Co., Ltd. has deployed over 100 charging stations alonghighways, all equipped with intelligent monitoring systems. To enhance safety management and operational efficiency,Shudao Energy Company implemented AI Box products across its highway charging stations. The productaccuratelydetects various safety risks, such as smoke, open flames, personnel falls, charging gun misplacement, and more,delivering real-time warnings. This has enabled 24/7 unmanned, intelligent management, significantly improving stationoperation and maintenance efficiency. Given its exceptional security performance and management value, the AI Boxproduct has become a standard configuration for Shudao Energy Company’s charging stations.
Charging Station Safety: AI Box “Unmanned” Safety Guardian for Charging Stations
Smart Operation Makes Charging Operation More Intelligent
Smart O&M Significantly Reduces Costs
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Capitalizing on the national “Belt and Road” initiative, the Company has spent over a decade executing international strategies andhas promoted its self-developed power equipment systems to 56 countries and regions. The Company focuses on expanding itspresence in three key regional hubs: the Middle East and Africa, Central Asia and Europe, Southeast Asia, and the Pacific. The goalis to deeply explore industries such as new energy, power grids, non-ferrous metals, oil and gas chemicals, and data centers. Bycapitalizing on TGOOD’s advanced capabilities in smart manufacturing and integrated innovation, the Company is committed torapidly developing a localized marketing and service network covering international businesses, thereby providing overseascustomers with comprehensive and high-quality services and guarantees throughout the entire lifecycle.TGOOD focuses on the characteristics of overseas markets and provides comprehensive one-stop digital power solutions forinternational customers based on product and technology advantages. It has completed the R&D and certification of internationalproducts such as 33 kV new energy box-type substations, 33kV ring main units, medium-voltage eco-friendly gas-insulatedswitchgears, overseas mobile trailer substations, and overseas prefabricated cabin solutions, laying a solid foundation for furtherexpansion of overseas business.
In today’s world, a new wave of technological revolution and industrial transformation is unfolding, with greenlow-carbon development, digital intelligence, and sustainability becoming the themes of the era. In response to globaldevelopment trends and the demands of the times, TGOOD is translating its innovative practices into scalable globalenergy transition solutions—from high-end power equipment to electric vehicle charging infrastructure. This not onlyshowcases the sense of responsibility of Chinese enterprises but also injects “Chinese wisdom” into the global energytransformation, achieving a profound unity between national pride and global value contribution.
Connecting the Smart World —Accelerating Global Expansion andSupporting the Energy Transition
TopicII
Comprehensive Power Solutions Propel GlobalEnergy Transformation
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Case StudyBoosting Overseas Operators in Building Charging NetworksWith the advantages of technologies, products and experiences in EV charging area, TELD assists Uzbekistan operatorsin establishing electric vehicle fast charging stations locally, providing DC charging services at multiple locations inUzbekistan and significantly enhancing the electrification level in this area.In Wellington, New Zealand, TELD provides public transportation charging solutions to support the electrificationtransformation of buses in New Zealand. In Malaysia, TELD provides AC/DC charging solutions for charging stationoperators, enhancing power utilization efficiency and achieving more effective charging services.
Relying on the Belt and Road policy, TELD actively pursues a global layout, establishing three major business regions: theRussian-speaking Zone, the Asia-Pacific Zone, and the European Zone. It collaborates on technical services with over ten countriesand regions, including Russia and Australia. By utilizing an industry-leading charging network technology system and architectureand combined with local advantages, TELD provides comprehensive solutions encompassing platform, equipment, and O&M.Through innovative product technologies and cooperative models, TELD is committed to propelling the global electrificationprocess.
Case StudyMeeting the Charging Needs of Overseas Customers in Harsh EnvironmentsTELD provides the first set of European-standard group charging solutions for Russian customers. With strong weatherresistance advantages, the solutions meet local environmental requirements such as low temperatures and extremecold. With its experience and strengths in safety management, TELD has received high recognition in the local market,collaborating with local distributors to support the electrification transformation of public transportation in Moscow.In the field of overseas heavy-duty trucks, TELD has established dedicated charging stations for heavy trucks at localmining sites for an Australian mining company. In a long-term heavy-dust environment, ultra-reliable products withstrong protection have significantly reduced equipment failure rates, making O&M management easier and moreefficient. This has improved logistics transportation efficiency and safety, ensuring the normal operation of local electricheavy-duty trucks.
Fuel the Global Electrification Acceleration withLeading Charging Network Ecosystem
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Case StudyAccelerate the Expansion of International Partnerships through Win-win CooperationIn Uzbekistan, TELD has signed a cooperation agreement with the Tashkent City Government to establish a publiccharging network in Tashkent to meet the charging needs of various scenarios, including highways, non-highways,electric buses, and electric passenger vehicles. Additionally, it has provided supporting charging network solutions forplanned projects under construction in Tashkent.In Kazakhstan, TELD has reached a cooperation with the largest automobile sales company in Kazakhstan to collaborateon industry standards, charging safety, public network construction, and the ecological operation of the chargingnetwork, promoting the development of the charging network in Kazakhstan. In Kyrgyzstan, TELD has collaborated withlocal charging operators to provide leading charging network infrastructure for building the charging network.
Case StudyAccelerate Overseas Expansion and Jointly Discuss International Cooperation in ChargingTechnologyIn the Brazilian market, TELD has built a multi-scenario charging network and established close partnerships withseveral well-known companies, effectively promoting the development of the new energy electric vehicle and chargingpile market in Brazil. In collaboration with its exclusive partner in Brazil, TELD jointly presented at the Brazil E-MOBSmart City and Renewable Energy Innovation Expo. Together with enterprises, government agencies, and professionalsfrom around the world, we explored innovations and trends in electric vehicles and mobility technology, smart cities,and new energy.TELD has signed a strategic cooperation memorandum with Malaysian electric vehicle charging operator EVPower SdnBhd. Both parties will jointly build a charging network in Malaysia, deploying 480 kW supercharging stations in variousscenarios such as highways, creating a widely covered, efficient, and convenient charging network.
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Sustainable Development GoalsSustainable Development Management
Implementing ESGPhilosophies andBuilding a NewHarmonious Ecosystem
Communications with StakeholdersManagement of Material Topics
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The Company’s sustainability is closely linked to its stakeholders, whose opinions and needs are important driving forces for theCompany’s sustainability. Therefore, we place great importance on two-way communication with all stakeholders and activelyestablish effective internal and external communication platforms to promote meaningful dialogue. We focus on the material topicsthat matter to our stakeholders, committed to enhancing the Company’s management to better respond to stakeholders’expectations, create value for all stakeholders, and collectively address future challenges and opportunities.
General meeting of shareholders
Investor relations activities
Periodic reportsInterim announcementEnhance product qualityCustomer satisfaction surveyCustomer privacy protectionImprove communication channels
Fair promotion pathways
Professional trainingCompensation and incentive mechanism
Occupational disease prevention
Safety production
Clean procurementIntegrity and commitment to agreements
Communication and mutual assistanceCompliance with laws and regulations
Lawful tax paymentStable operationsEmployment promotionPublic benefit activities
Response to the BRI
Green developmentPerformance briefingsTimely disclosure of information
Corporate governanceInformation disclosureReturn and growthBusiness ethicsProduct qualityCustomer serviceInformation securityEmployee training and career development
Compensation and benefitsOccupational health and safety
Employee care
Supply chain managementFair procurementTransparent procurementCompliant operationsBusiness ethicsDriving economic development
Charity and public welfareEnvironmental protectionCorporate social responsibilityInformation disclosure
Communications with Stakeholders
The Company adopts sustainability strategy as a core guiding principle and actively promotes the implementation and practice ofESG concepts. To enhance the understanding and practical capabilities of ESG concepts, the Company conducts regular ESGtraining activities to ensure that ESG principles are deeply integrated into its strategic planning, daily operations, and employeecode of conduct, laying a solid foundation for the Company’s long-term sustainability.
ESG Training Activities
Main Functions of the ESG Execution Working GroupOrganize various departments to implement the Company’s ESG development strategy and targets.Focus on identifying ESG risks that are closely related to the Company’s business, and develop risk managementstrategies and opportunity utilization plans.Assist in the development of the Company’s ESG policies and institutional framework, enhancing the ESG awarenessand capabilities of management and employees.Responsible for the disclosure of ESG information, including the preparation and review of ESG Reports to ensurethe authenticity, accuracy, and completeness of the information.Establish and maintain a communication mechanism with the Company’s stakeholders to regularly collect relevantopinions and suggestions.Report to the ESG Management Committee regularly .
Case StudyESG TrainingIn December 2024, the Company organized aspecific ESG training session, inviting industryexperts to provide a comprehensive analysis ofcurrent ESG regulations and the latestdevelopments. Through in-depth explanations andcase analyses, the training helps employees quicklygrasp the core knowledge of ESG and enhancepractical skills, which provides strong support forthe Company’s sustainability.
StakeholdersFocus and ExpectationsResponse Measures
Shareholders or investors
Customers
Employees
Suppliers
Government andregulatory agencies
Community and the public
Media
??????
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Based on its long-term development blueprint, the Company adheres to domestic and international ESG information disclosurestandards. It employs a dual assessment dimension of impact materiality and financial materiality and utilizes surveys and othermethods to comprehensively understand the expectations and demands of stakeholders, thereby providing a scientific basis forformulating sustainability strategies and risk management.
Management of Material Topics
After considering factors such as the “degree of impact of the Company onstakeholders”, “degree of impact of stakeholders on the Company”, and feasibility, theESG Executive Working Group has developed a list of key stakeholders to participate inthis material topic assessment and invited them to engage in the assessment. At thesame time, in accordance with the compliance requirements of the ESG Guidelines andbenchmark analysis of peer companies, we have identified 27 ESG topics relevant to theCompany.
The Company invited key stakeholders and major decision-makers to participate in anonline survey for the assessment of material topics, ranking ESG topics related toenvironmental, social, and governance aspects by their importance. The mainconsiderations for the Company’s key decision-makers in assessing the materiality oftopics are whether the topics are expected to have a significant impact on theCompany’s business model, financial condition, cash flow, financing methods, and costsin the short, medium, and long term. The main considerations for stakeholders whenconducting a materiality assessment include the extent of impact on the Company’sevaluation and decision-making, as well as the degree of impact on their interests.
Identify ESG topicsmainly concerned by keystakeholders
Conduct surveyquestionnaire
In line with its strategy and operational guidelines, the Company assesses theimportance of ESG based on two dimensions of “materiality to economic, social, andenvironmental impacts” and “materiality to corporate finance”.The results of the Company’s comprehensive survey were ranked to determine therelative materiality of ESG topics across two dimensions. ESG topics are considered“material topics” if their relative materiality is at least half or more across bothdimensions. The Company has identified a total of 5 topics of double materiality, 1topic of financial materiality, and 18 material topics of impact materiality across thethree dimensions of environment, social, and governance.
The management team reviews the assessment results of material topics inconjunction with the Company’s strategic goals and operational guidelines. Through acomprehensive analysis, we have identified the material topics that are significant toboth the Company and its stakeholders, along with their priority levels, which arehighlighted in specific sections of this report.
Rank the priority of
topics
Identify material topics
Importance to economic, social, and environmental impactsVery high
Very highMateriality to corporate finance
Neither financialmateriality nor impact
materialityFinancial materiality but
not impact materiality
Impact materiality butnot financial materiality
Both financial materiality
and impact materiality
ESG Topic Importance Analysis Matrix Chart
Environmental managementsystemResponse to climate changeGreen operationsResource and energymanagementWater resource managementGreen low-carbon productsPollutant and wastemanagementClean production
R&D and innovationProduct quality and safetyCustomer rights and satisfactionSupplier managementEmployee employment and humanrightsEmployee training & developmentOccupational health and worksafetyProtection of intellectual propertyrightsData privacy and securityPromotion of industry developmentCommunity public welfare activitiesRural revitalization
Corporate governanceRisk complianceBusiness ethicsInvestor relationsmanagementProtection of shareholders’rights and interestsESG governanceParty building
EnvironmentalSocialGovernance
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Response to Climate ChangeEnhancing Environmental Management
Green Pioneers:
Eliminating Exhaust andSmog for a HealthierFuture
Efficient Utilization of Resources
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The Company deeply understands the profound impact of climate change on the global ecological environment, social andeconomic stability, and corporate sustainability. To effectively manage related risks and grasp the opportunities for transformation,the Company has incorporated responsibilities related to climate change into its ESG (environmental, social, and corporategovernance) system. It has established an ESG Management Committee composed of senior management and heads of variousbusiness departments, which serves as the top governance organ to comprehensively coordinate, monitor and actively promotethe preparation and implementation of strategies for addressing climate change. Through clear division of responsibilities, regularrisk assessments and management process, and the integration of climate considerations into key business decisions, we ensurethat every aspect of our business operations—from strategic planning and operation management to investment evaluation—effectively identifies, assesses, and responds to climate change challenges. This approach continually strengthens our climateresilience and governance effectiveness.
Response to Climate Change
Governance
The Company closely follows theinternational climate action agenda.Based on the United Nations’Recommendations of the Task Force onClimate-related Financial Disclosures(TCFD), the Company accuratelyidentifies various risks and potentialimpacts brought about by climatechange, taking into account industrydevelopment trends and the Company’sown business characteristics. At thesame time, the Company activelyexplores and captures new opportunitiesbrought by climate change, such as theapplication and promotion of cleanenergy and green technologies. Whilereducing risks, the Company iscommitted to transforming climatechange into a development opportunityto ensure achieving sustainable growthin addressing climate change challenges.
Strategy
Medium toLong-termLow
Medium toLong-termMedium
Physical Risks
Risk TypeRisk Description
Likelihood ofOccurrence
ImpactDuration
Explanation of Financial ImpactResponse Measures
AcuteRisks
ChronicRisks
Sudden extreme weather events (suchas typhoons, floods, snowstorms,droughts, and heatwaves) may causedamage to company offices, factorybuildings, warehouses, andinfrastructure, affecting the normaloperation of businesses such as powerequipment production and theconstruction and operation of EVcharging networks.
Rising Operating Costs:
Investment is required forequipment maintenance andreconstruction.Reduction in Operating Revenue:
There may be delays in ordersand loss of customers because ofbusiness interruption. Increasedinsurance costs may also occur inthis situation.
Establish effective emergency response plansand regularly conduct emergency drills;Strengthen meteorological disaster earlywarning systems, collaborate with professionalmeteorological agencies to obtain weatherinformation in advance, and timely stockemergency supplies; Provide employees withpersonal protective equipment and conductregular specialized inspections; increase thepurchase of insurance related to personnel andproperty.
Rising Operating Costs:
Increased energy consumptionmay lead to higher electricityexpenses; Raising equipmentmaintenance costs may impactprofit margins.
Strengthen equipment management, adoptenergy-efficient devices, eliminate outdatedequipment, and reduce energy consumption;Increase the proportion of clean energy usage;Implement measures to prevent heat stressand arrange production schedules reasonably.
In summer high-temperature weather,the increase in average temperaturemay lead to increased energyconsumption for cooling and airconditioning and then raise energy costsduring the production process. At thesame time, high temperatures mayadversely affect the performance andlifespan of outdoor equipment, resultingin increased maintenance costs.
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Transformation
Risks
Risk TypeRisk Description
Likelihood ofOccurrence
ImpactDuration
Explanation of Financial ImpactResponse Measures
Legal and Policy Risks
Technological Risks
Market Risks
Reputation Risks
With the increasing stringency of national carbon reductionpolicies and international carbon emission requirements, theCompany may face more stringent carbon emission standards andlow-carbon technology innovation demands from regulators andinvestors.
The pace of technological innovation in the power equipmentand EV charging industry is accelerating. If the Company fails tokeep up with timely updates in technology, it may result inexisting technologies becoming obsolete, affecting the Company’scompetitiveness in the market.
The demand from consumers for low-carbon, environmentallyfriendly products and services is continuously increasing. If theCompany fails to meet market demand in a timely manner, it mayresult in a decline in market share. At the same time, the entry ofnew competitors or changes in the strategies of existingcompetitors will intensify market competition, resulting inpressure on the Company’s profit margins.
In addressing climate change, if the Company’s behavior fails tocomply with environmental protection requirements, it may beexposed by the media or social networks, damaging theCompany’s reputation and affecting its brand image.
Short toMedium-termMedium
Rising Operating Costs:
Increase the Company’senvironmental protectioninvestments and compliancecosts.Illegal Cost Incurred: Increasedcosts due to fines andjudgments or reduced demandfor products and services.
Closely monitor policy dynamics and establish adedicated policy research team to timely tracknational and local carbon reduction policies,energy policies, etc., and establish plans inadvance; Promptly adjust strategies to complywith the latest policies and governmentrequirements, ensuring environmentalcompliance in production operations; Activelyparticipate in the policy-making process,providing corporate perspective suggestions forpolicy formulation through industry associationsand other channels.
Short-term toLong-termLow
Rising Operating Costs: Thedevelopment of advancedtechnologies will increase theCompany’s R&D costs; Iftechnology updates are nottimely, it may lead to a declinein market share and affectoperating revenue.
Increase investment in R&D, establishcollaborative mechanisms with universities andresearch institutions to jointly conductcutting-edge technology research; Continuouslyupdate and improve technology and existingproducts; And establish incentive mechanismsto encourage employee innovation.
Short toMedium-TermMedium
Reduction in Operating Revenue:
Increased market competition,reduced market share, andcustomer attrition may lead to adecline in operating revenue.Rising Operating Costs:
Purchasing more green andenvironmentally friendly rawmaterials may lead to anincrease in production costs.
Continuously conduct market research to gainin-depth understanding of consumer demandcharacteristics, and proactively layout productand service strategies ; Analyze competitordynamics and formulate correspondingcompetitive strategies; strengthen theprocurement of green and low-carbon rawmaterials, screen high-quality green suppliers,and establish long-term and stable cooperativerelationships.
Short toMedium-TermLow
Reduction in OperatingRevenue: Declining reputationand customer loss may leadto a decrease in operatingrevenue.
Enhance brand building andpromotion;Maintain active communication withthe public and respond promptly to publicconcerns; establish and improve public opinionmonitoring mechanisms to timely identify andaddress negative public sentiment.
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HighMid-term
Opportunity TypeDescription
Likelihood ofOccurrence
ImpactDuration
Explanation ofFinancial Impact
EnergyAlternatives
Energy substitution has led to thecontinuous growth of new energy powergeneration installed capacity and the rapidincrease in the number of new energyvehicles in use, thus driving the vigorousdevelopment of the Company’s powerequipment and electric vehicle chargingnetwork businesses.
Increase in operatingrevenue.
High
Medium and
long-termProducts and
Services
Through the R&D and innovation of green,low-carbon technologies and products, theCompany can strengthen its marketcompetitiveness and secures new growthdrivers.
Increase in operatingrevenue and profitmargin.
Impact, Risk, and Opportunity ManagementClimate-related risk management has become a core element for TGOOD in advancing sustainability and enhancing overallbusiness resilience. The Company has established a systematic and pragmatic set of processes and policies aimed at accuratelyidentifying, scientifically assessing, reasonably prioritizing, and dynamically monitoring climate-related risks and opportunities,ensuring that the enterprise progresses steadily in a complex and ever-changing climate environment and market landscape.
Data CollectionTo identify climate-related risks, the Company collects input data from various sources, including management,operations teams, external sustainability professionals, suppliers, customers, and investors. By considering factorssuch as carbon emissions, resource scarcity, regulatory changes, and stakeholder expectations, the Company canidentify potential comprehensive climate-related risks that may impact the organization.
Scenario AnalysisThe Company employs scenario analysis to identify climate-related risks, focusing on the opportunities andchallenges associated with the low-carbon transition pathway. This includes new market opportunities arising fromthe robust development of new energy, as well as the dilemmas faced by businesses reliant on traditional energysources under increasing carbon constraints, in order to understand the scope of emerging risks and their potentialimpact on the Company’s operations.
Risk PrioritizationThe Company integrates sustainability and climate-related risks into its overall risk framework, carefully weighing thestrategic significance, economic significance, and long-term potential impacts of risks. It aligns these considerationswith the Company’s strategic objectives, stakeholder expectations, regulatory red lines, and industry benchmarkpractices to prudently determine risk priorities.
Risk MonitoringThe Company has established a long-term mechanism to regularly review its climate change policies and assess keyperformance indicators related to ESG factors, in order to timely identify and respond to changes in risk conditionsor emerging risks.
Risk AssessmentThe Company relies on publicly available climate databases and third-party professional data to assess the nature,probability, and impact of climate risks.
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Metrics and TargetsIn response to the national strategic deployment of carbon peaking and carbon neutrality, the Company integrates climate changeinto the core of its development strategy based on policies such as The 14th Five-Year Plan for Energy Conseation and EmissionReduction Comprehensive Work Plan. The Company is committed to promoting a comprehensive green and low-carbontransformation to contribute solidly to the nation’s ambitious goals for carbon reduction. During the Reporting Period, theCompany’s Greenhouse Gas (GHG) emissions were mainly derived from direct emissions (Scope I) from natural gas, gasoline anddiesel fuel consumed in daily office and production operations and indirect emissions (Scope II) from the use of purchasedelectricity.
Managing Measures
As a practitioner of green energyconsumption, TELD enables deepintegration between new energy vehiclesand renewable power generation throughits smart charging network. TELDcontinuously deepens its strategic layoutfor green power trading and has achievedlarge-scale procurement of new energy.
in 2024the trading volume of greenpower by TELD reached
6.8037
million kWh
reducing GHG emissions byapprox.5,585.84tCO2e
Total Emission of Greenhouse Gases28,280.20tCO2e
2024：
GHG Emission Intensity
0.018
tCO2e/10,000 CNY of revenueDirect GHG Emissions (Scope 1)
5,209.90tCO2e
Indirect GHG Emissions (Scope 2)
23,070.30tCO2e
Key Performance
Active Participation in Green Electricity Trading, Leading the Way in GreenEnergy Consumption
Centered around the concept of “Ultra-advanced Zero Carbon Digital Architecture”, the headquartersbuilding ofTELD integrates cadmium telluride PV glass, echelon battery energy storage, and bidirectional charging anddischarging technology for electric vehicles through a six-in-one microgrid framework of “Transformation,Distribution, Photovoltaic, Storage, Charging, and Discharging”, achieving 100% green energy self-sufficiency. Thebuilding is outfitted with rapid three-dimensional parking system which can achieve the capacity of a traditionalfour-story garage within only 1.5-story space. By integrating a four-dimensional shuttle robot and bottom automaticcharging technology, the building creates an efficient parking experience. The building is equipped with tenthousands of sensors to create a digital twin system, enabling real-time control of lighting, air conditioning, andother equipment, achieving an average annual energy savings rate of 35%. With a pioneered “Zero Carbon VirtualPower Plant” model, the building can participate in grid peak shaving and reduce carbon emissions through anenergy digitalization platform, providing an innovative blueprint for low-carbon operations in urban high-densitybuildings.
Ultra-Zero Carbon Digital Building Empowers SustainabilityDevelopment
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The Company upholds a strong sense of responsibility towards environmental protection and strictly adheres to relevant nationallaws and regulations. It has developed an HSE Manual to establish a comprehensive HSE management system. The Company andits subsidiaries have set up special environmental management departments with clearly defined responsibilities for each. Thesedepartments play a significant leadership role, ensuring the continuous optimization and efficient operation of the Company'senvironmental management system.As of the end of the reporting period, TGOOD and its subsidiaries, such as TELD, ChuanKai Electric and Yichang TGOOD, have allobtained ISO 14001 environmental management system certification. TGOOD, Qingdao TELD New Energy Technology Co., Ltd, (asubsidiary of TELD), and Chuan Kai Electric have received green factory certification, and ChuanKai Electric also has beenrecognized as Sichuan Environmental Protection Integrity Enterprise.
Enhancing EnvironmentalManagementEnvironmental Management System
TGOOD attaches high importance to environmental riskmanagement and has established the Environmental FactorIdentification and Evaluation Management Procedure to regulatethe identification, evaluation, and implementation of controlmeasures for environmental factors. As the lead department, theGeneral Office of TGOOD collaborates with various departmentsto systematically analyze the environmental impacts of theCompany’s production, services, and other activities. Thisensures the comprehensiveness and accuracy of theidentification process while avoiding any potential environmentalrisk points.To ensure the timeliness and accuracy of environmentalinformation, the Company has established a dynamic updatingmechanism for environmental factors. This mechanism isdesigned to sensitively perceive changes in key factors such asmonitoring results, management reviews, annual evaluations,changes in policies, adjustments in product processes, andupdates to laws and regulations. By promptly updatingenvironmental information, this mechanism provides reliable datasupport for environmental management decisions, therebypromoting the continual improvement of the Company'senvironmental performance.
Environmental ManagementMeasures
During the reporting period, the Company’s environmentalprotection investment totaled
15.18
million CNY.
Key Performance
Environmental Factor Identificationand Evaluation
The Company and its subsidiaries strictly adhere to theenvironmental impact assessment system and fully implementthe “Three Simultaneities” principle. For new construction,renovation, and expansion projects, the Company performsenvironmental impact assessments and entrusts third-partyorganizations to prepare environmental impact reports. Thisensures that environmental protection facilities are designed,constructed, and put into operation simultaneously with the mainengineering projects and that the completion acceptance ofenvironmental protection for projects is completed on time,effectively eliminating environmental risks from the source.
Environmental Impact Assessment
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During the reporting period, the Company and its subsidiaries conducted
hazard inspections, identifying
issues in total, all of which have already been rectified.
Key Performance
TGOOD implements the concept of green development and establishes a comprehensive environmental monitoring system. TheCompany regularly commissions qualified third-party testing organizations to conduct assessments and issue detailed testing reports ofpollution factors such as wastewater, exhaust emissions, and noise.To enhance environmental risk prevention and control, the Company requires all subsidiaries to adhere to a quarterly environmentalhazard inspection mechanism, actively conduct environmental inspections, and thoroughly investigate environmental hazards in theproduction process. By strictly implementing safety regulations and fulfilling their own safety responsibilities, the Company ensureseffective risk management and prevents potential accidents.
Environmental Monitoring and Inspection
To comprehensively enhance the capability of preventing and responding to sudden environmental incidents, the Company andits subsidiaries have developed an Emergency Response Plan for Environmental Incidents in accordance with the EmergencyResponse Law of the People's Republic of China and other relevant laws and regulations. An emergency organizational structure hasbeen established by the Company, covering an emergency command leadership group, an emergency office, a communicationgroup, a site response group, a logistics support group, and a warning evacuation group, among others. The emergency responseprocedures have been clearly defined to ensure a rapid and efficient response in the event of sudden environmental incidents.The Company regularly organizes drills and training to continuously enhance its responsiveness to emergencies, minimizing thelikelihood and impact of environmental emergencies, and ensuring personal health and environmental safety. During the reportingperiod, the Company conducted 8 emergency drills for environmental emergencies.
Emergency Response to Environmental Incidents
Case StudyEmergency Response Plan for Hazardous Chemical Leak DrillsOn January 21, 2024, a hazardous chemical leak drill was conducted in Workshop B of the TGOOD HV area. A painttechnician accidentally spilled paint and thinners. On-site personnel quickly contained the spill and reported it. Theproduction line manager organized emergency response, and the safety administrator conducted on-site inspections.The isolation team secured the area, and all emergency responders worked closely together to successfully control theleak, clean up the site, and restore production.
Case StudyEmergency Drill for Hazardous Waste Temporary Storage LeakOn December 3, 2024, Yichang TGOOD conducted an environmental emergency drill, simulating a liquid leak in thehazardous waste temporary storage area. Employees quickly reported an unusual odor, and the environmentalmonitoring team detected water quality exceeding standards and treated the wastewater. The emergency repair teaminvestigated and repaired the cracks, while the emergency response team secured the site and assessed the damage.After the drill, the environment was continuously monitored and walls were repaired to ensure a safe workingenvironment.
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The Company adheres to the concept of sustainability and strictly complies with relevant national laws, regulations, andenvironmental protection standards. At the same time, the Company continuously improves treatment facilities of wastewater,waste gas and residue, enhancing waste disposal efficiency and environmental protection levels through the adoption of advancedtechnologies and optimization of manufacturing process. As of the end of the reporting period, the Company’s subsidiary, TGOODHV, has been classified as a key polluting enterprise.During the reporting period, Chuan Kai Electric failed to place some paint sludge and waste-activated carbon into the hazardouswaste temporary storage area. Various hazardous wastes were mixed with other debris in the temporary storage area, violatingArticle 81, Paragraph 2 of the Law of the People's Republic of China on Prevention and Control of Environmental Pollution by SolidWastes, which states that “Storage of hazardous waste, shall adopt protective measures in compliance with the nationalenvironmental protection standards. Mixing hazardous waste with non-hazardous waste for storage is prohibited”. This resulted ina fine of 183.6 thousand CNY. After receiving the penalty, Chuan Kai Electric promptly convened a dedicated rectification meeting,assigning specialized departments and personnel to organize the hazardous waste temporary storage area, ensuring thathazardous waste was stored separately from other miscellaneous items. Additionally, employee training on hazardous wastemanagement was conducted to strengthen daily inspections and prevent the recurrence of similar issues. The penalty did not havea significant impact on the Company’s business and operating profit.
Note: The data statistical scope includes TGOOD production bases in Qingdao, Chengdu, and Yichang.
The Company implements the Law of the People's Republic of China on the Prevention and Control of Atmospheric Pollution andrelated laws and regulations, and has formulated the Management Procedures for Atmospheric Pollution Prevention and Controlto comprehensively strengthen the monitoring and management of waste gas emissions within the plant. Meanwhile, the Companyactively fulfills its corporate social responsibility by commissioning professional third-party organizations to regularly monitorexhaust and dust emissions, ensuring that all emission indicators comply with national environmental protection standards.
Waste Gas Management
Waste Gas Treatment Measures
TGOOD
TGOODHV
The dust generated during production is treated by dust collectors and exhaust gas purificationdevices, and is then discharged through a chimney of a certain height.The dust generated during the powder coating process is collected by dust removal equipment,and is cleaned regularly.
Welding fumes generated during the welding process are treated using electrostatic adsorptiontechnology.Dust generated from the sandblasting process is managed through cyclone dust collection andcartridge filtration.Volatile organic Compounds emissions generated during the coating process are treated throughwater vortex filtration, filter pad, activated carbon adsorption & concentration, and catalyticcombustion technology.
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???
Case StudyOptimizing and Upgrading the Heating Process of Heat Shrink TubingDuring the reporting period, TGOOD HV actively fulfilledits environmental responsibilities by optimizing andupgrading its production processes. Throughtechnological innovation, the heating process of heatshrink tubing has been transformed from the traditionalnatural gas combustion method to an efficient electricheating technology. Additionally, the original exhaustflue for waste gases generated by natural gascombustion has been closed, achieving anenvironmentally friendly upgrade of the productionprocess and reducing waste gas emissions at thesource. On the other hand, the TGOOD HV workshop Bhas replaced oil-based paint with water-based paint,reducing the emissions of volatile organic compounds(VOCs) and further promoting cleaner production, layinga solid foundation for the establishment of a greenfactory.
Total waste gas emissions131,76910,000 m3
Nitrogen oxide (NOx)
2.051
ton
Sulfur dioxide
0.174
ton
Volatile organic compound (VOC)
4.748
ton
Particulate matter (PM)
3.942
ton
Including:
Key Performance
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Regulations on the Emission of Wastewater,Waste Gas and Residue
Note: The data statistical scope includes TGOOD production bases in Qingdao, Chengdu, and Yichang.
Note: The data statistical scope includes TGOOD production bases in Qingdao, Chengdu, and Yichang.
The Company strictly adheres to the laws and regulations of the locations where it operates and has established a series ofmanagement systems, including the Management Procedures for Water Pollution Prevention and Control. These measures involvemonitoring the discharge of production and domestic wastewater to ensure that domestic sewage is treated rigorously and meetsdischarge standards, thereby reducing wastewater emissions and environmental pollution.
Wastewater Management
To properly handle factory waste, maintain environmental cleanliness, and improve resource recycling rates, the Company hasdeveloped a Solid Residue Management Procedure in accordance with the Law of the People's Republic of China on the Preventionand Control of Environmental Pollution by Solid Wastes, the National Catalogue of Hazardous Wastes, and other relevant standards.This procedure standardizes the classification, storage, and disposal processes of factory waste, ensuring that solid residue ismanaged appropriately. The Company clearly defines the responsibilities of each department in solid residue management,stipulating that the General Office is fully responsible for residue management and each business unit is tasked with workshopresidue disposal and daily inspections. The Company implements a reward and punishment mechanism, granting rewards to teamswith good performance in waste classification and management, thereby strengthening employees’ environmental awareness andsense of responsibility.
Residue Management
The Company always prioritizes environmental protection and employee health, strictly adhering to relevant laws and regulationssuch as the Law of the People's Republic of China on the Prevention and Control of Noise Pollution and the Emission Standards forIndustrial Enterprises Noise at Bounda (GB12348-2008). It has established and implemented the Noise Control ManagementProcedures, committed to effectively controlling noise during the production process and minimizing the impact on operators,surrounding residents, and relevant stakeholders.
Noise Management
Total wastewater discharges73,379ton
Suspended solids
0.59
ton
Ammonia nitrogen (NH3-N)
0.115
tonTotal phosphorus (P)
0.0009
ton
PH
7.3
Including:
Key Performance
Quantity of general waste generated3,145ton
Disposal rate of general waste
%Quantity of hazardous waste generated
583.14
ton
Disposal rate of hazardous waste
%
Key Performance
Types of Production Waste from TGOOD HVTreatment Measures
Noise SourcesNoise Reduction Measures
Waste paint sludge, activated carbon, filter pad,and other waste materialsSludgeMetal packaging barrels and waste oil
Entrust a qualified professional organizationfor incineration treatmentSecure landfillRecycling and Reuse
100%
Operating noise ofproduction and auxiliaryequipmentFixed noise source
Regularly maintain equipment prone to friction noise and ensurelubrication.Isolate, soundproof, mute, and absorb noise from key noise-emittingequipment.Timely repair faulty equipment that generates noise.Prioritize the selection of low-noise equipment.
Vehicle operation noise,noise from metal objectcollisions, etc.Mobile noise sources
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Enhancing employees’ environmental awareness through promotion todevelop a habit of handling and placing goods gently.Standardize the maintenance and operation of motor vehicles andwelding machinesRestrict honking and vehicle speed within the plant area to reduce noisepollution.
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Environmental Training
Number of environmentaltraining sessions
Number of person-times inenvironmental training
Total Hours of EnvironmentalTraining
Times3,970Person-times13,895Hour
Key Performance
The Company regularly organizes systematic environmental protection training courses to further strengthen employees’ awareness ofenvironmental protection and professional competence. This ensures that every employee deeply understands the importance ofenvironmental regulations and sustainability, enhancing practical skills such as energy conservation, emission reduction, and resourcerecycling.
2024
Promoting Green Development
Case Study Viewing Warning Educational Video Regarding Hazardous WastesDuring the reporting period, the Company organized a viewing of a warning educational video regarding hazardouswastes, which showed the serious environmental and health risks associated with improper handling of hazardouswaste, thereby enhancing employees’ awareness of the importance of hazardous waste management.
Case StudyEnvironmental Protection Training for Spray PaintingOn May 28, 2024, ChuanKai Electric held atraining regardingenvironmental protectionrequirements for spraypainting in Workshop A,further enhancingemployees’ awareness ofenvironmental protectionand operational skills inspray painting operations.
Case StudyEnvironmental Safety Special TrainingOn October 15, 2024, TGOOD HV organized a special training on environmental protection and safety. Through theexplanation of basic environmental knowledge, safety regulations at the workplace, and emergency preparedness andresponse measures, the training enhanced employees’ awareness of environmental protection, equipped them withnecessary environmental skills, and effectively reduced the risk of environmental pollution in their work.
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Green OfficeGreen ProductionThe Company actively responds to the national call for environmental protection, promotes the concept of green office, andintegrates resource conservation and low-carbon environmental protection into daily office and life, leading the construction ofecological civilization through practical actions.Electricity ManagementPost energy-saving reminders in prominent areas of the office, use air conditioning appropriately, set indoor airconditioning temperature to no lower than 26°C in summer and no higher than 20°C in winter, and turn off airconditioning and lighting equipment promptly after work.
Residue ManagementEstablish dedicated battery recycling points and implement waste sorting management, ensuring proper disposal ofhazardous materials and enhancing resource recycling rates.
Paperless OfficeAdvocate for paperless office practices, fully utilize the internal OA system, and encourage the use of electronicsignatures and online approval processes, thus reducing paper consumption and enhancing work efficiency.
Case StudyCurrently, TELD is actively embracing the green supply chain concept in the logistics operations for key componentslike charging guns, non-metallic materials, and printed circuit boards. The Company has adopted reusable pallets andlogistics boxes as packaging containers throughout the entire process, replacing traditional single-use cardboard boxesand enabling the recycling of packaging materials. These durable, reusable turnover boxes are used for transportingcomponents from suppliers to the Company. After use, they are collected, cleaned, maintained, and re-entered intocirculation. This approach not only eliminates significant packaging waste and reduces overall logistics costs but alsoensures the safety of sensitive electronic components during transit, minimizing transportation damage. This is a crucialstep in our sustainable packaging initiatives.
As part of our green production system, the Company is accelerating the electrification transformation of productionequipment in its internal logistics. Non-road mobile equipment, such as forklifts, transport flatbed trucks, and stackersare being systematically replaced, moving from traditional fuel-powered to more eco-friendly electric drives. Byharnessing the renewable nature of electric energy, we are improving the sustainability of our production processes.Currently, core operational areas like production workshops, finished goods warehouses, and component assemblyzones are progressively transitioning to electric production facilities and non-road mobile equipment, markingsubstantial progress in our efforts to build a low-emission, high-efficiency manufacturing environment.
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Governance StructureThe Company is committed to continuously optimizing its energy management system to promote the efficient use of energyresources, reduce energy consumption and environmental pollution, and achieve a dual enhancement of environmental protectionand economic benefits. To this end, the Company has established the Energy Resource Management Procedures, which clearlydefine the responsibilities and authorities of each department to ensure the systematic and standardized management of energy.
Energy Risks and OpportunitiesIn the context of the global energy transition, TGOOD deeply recognizes the critical role of energy management in thesustainability of enterprises. The Company accurately identifies and assesses energy risks and opportunities, pinpoints pathwaysfor energy optimization, and fully promote technological innovation and green transition. It is dedicated to achieving continualimprovement in energy usage, contributing to the sustainability of society and the environment.
Energy Risk ManagementThe Company adheres to the environmental protection principle of “enhancing efficiency, reducing consumption, saving energy,and reducing pollution”, and is committed to achieving an organic balance between economic benefits and environmental benefitsin corporate operations. The Company has developed a comprehensive energy risk management system, utilizing regular energyaudits and assessments to accurately identify critical areas of energy consumption and carbon emissions. In response, it hasimplemented a range of innovative energy-saving and carbon-reduction measures to minimize resource consumption andenvironmental pollution at the source.
Physical RiskMediumShort-term
Enhance the flood preventionand drainage capabilities ofinfrastructure, developemergency response plans,conduct regular emergencydrills, and purchase relevantproperty insurance to reducelosses caused by extremeweather events.
Extremeweatherevents(heavy rain,floods, etc.)
Extreme weatherdirectly damagesinfrastructure,further impactingproductionoperations andcustomer service.
IncreasedoperatingcostsDecreasedoperatingincome
Transformation
Risk
HighLong-termThe rise of newtechnologies isreshaping thecompetitive landscapeof the industry, withcustomers increasinglyfavoring products andservices that offermore advancedtechnological features.
Technologicaltransformation
Increasedoperatingcosts
Continuously boost investmentin R&D, establish a technologyinnovation incentive system,collaborate with researchinstitutions, enhancetechnological reserves andtalent development, andensure the Company retains itsleadership position intechnology.
OpportunityHighLong-termThe promotion ofpolicies and the growthof market demandhave accelerated therapid development ofthe new energy vehicleindustry, leading to arise in the demand forcharging infrastructure.
Expansion ofthe renewableenergy market
Increasedoperatingrevenue
Increase investment and layoutin the charging network sector,accelerate the construction ofcharging facilities, expand theservice network, enhanceservice quality, meet diversemarket demands throughtechnological innovation andbusiness model innovation, andconsolidate market leadership.
Energy Management System
Risk/Opportunity
Category
RiskDescription
Likelihood
ofOccurrence
ImpactDuration
Explanationof FinancialImpact
ResponseMeasures
Upgrade production equipment, adopt advanced energy-saving technologies and processes, and improveenergy utilization efficiency.Refine the management of production process, optimize production planning and scheduling, and avoidequipment idling and energy waste.Establish an energy monitoring system to monitor energy consumption in real-time, and promptly identifyenergy waste and potential energy-saving opportunities.Actively develop and utilize new energy by installing solar PV power generation systems at the Company’sproduction bases to reduce dependence on traditional energy sources.Regularly conduct employee training to enhance awareness and skills in energy management.Actively develop new energy microgrids to efficiently integrate resources including EVcharging/discharging, distributed photovoltaic power generation, conventional energy storage, andechelon battery storage. By leveraging the adjustable characteristics of electric vehicles,new energy microgrids aim to better match the intermittency and volatility ofrenewable energy generation, thereby enhancing renewable energyaccommodation capacity.TELD purchased green electricity to reduce the Company’scarbon emissions.
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Main Energy-saving and Consumption-reducing Measures:
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Metrics and TargetsThe Company conducted an in-depth analysis of its energy consumption, identifying natural gas, gasoline, diesel, and electricityas the primary components of its energy structure. When setting energy management goals, the Company strictly adheres to theSMART principles, taking into account its operational realities and relevant internal and external requirements to ensure that theestablished goals align with the Company’s long-term development strategy.
Water Resources Management and ControlThe Company deeply understands the importance of water resource management and integrates it into its sustainability strategy,striving to establish a comprehensive water resource management system. Through scientific planning and refined management,the Company strives to ensure operational continuity while achieving highly efficient water utilization and conservation. In dailyoperations, the water resources used by the Company are entirely sourced from the municipal water supply system, which areprimarily used for daily needs in office areas, including restrooms and break rooms, as well as for landscape irrigation.
Water Conservation MeasuresEnergy typesUnit2024Natural gasGasolineDiesel
Total purchased electricityPV generation
m3tonton
kWhkWh
2,278,731
3.56
42,993,4822,987,662Note: The data statistical scope includes TGOOD production bases in Qingdao, Chengdu, and Yichang.
Note: The data statistical scope includes TGOOD production bases in Qingdao, Chengdu, and Yichang.
Energy Consumption
Introduce advanced smart water meters and monitoring systems to enable real-time monitoring and accurate
measurement of water usage in office areas. Through data analysis, anomalies in water consumption can be promptly
identified, allowing for swift investigation and resolution of potential leakage issues.
Promote water-saving devices vigorously, install sensor faucets and efficient
water-saving drinking water equipment to meet employees’ daily water needs while
precisely controlling water flow.
By organizing environmental protection training and posting water-saving slogans,
the concept of water conservation is integrated into the corporate culture, enabling
employees to develop good water usage habits in their daily work.
Total Freshwater Consumption238,902ton
Total Water Consumption
238,902ton
Key Performance
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To enhance material usage efficiency, the Company has established a series of management regulations, including the RawMaterial Invento Management Regulations for the Small Transformer Division, Warehouse On-site Management Regulations for theSwitchgear Division, and Packaging Process Guidelines for Low and Medium Voltage Switchgear Products. Through standardizedwarehouse management processes and clear product packaging standards, the Company aims to achieve effective resourceallocation and high efficiency in utilization, thereby promoting sustainability.
Efficient Utilization of Resources
Comply with environmental standards and prioritize the selection of raw materials orpackaging materials that have obtained relevant certifications.Packaging Material
Selection
Optimize the packaging structure to reduce unnecessary packaging materials whileensuring that the packaging strength and protective performance meet the standards.Packaging
Design
Thoroughly clean the product surface before packaging to remove dust, grease, sweat,and other impurities. Apply anti-rust grease and neutral petroleum jelly to the metalsurfaces to prevent rusting.Packaging
Process
Select wood with a moisture content not exceeding 20% and sliding wood and auxiliarysliding wood not exceeding 24%, combined with conventional wooden plywood andeco-friendly materials such as magnesium oxide concrete, to create packaging boxes thatare both environmentally friendly and durable.Production ofPackaging Boxes
Case StudyGreen PackagingChuan Kai Electric actively practices a greendevelopment strategy. Proactively adoptinginnovative measures to comprehensively replacetraditional wooden packaging with recyclable paperpackaging, instead of being requested bycustomers. Meanwhile, Chuan Kai Electric has alsoconducted detailed optimization and rationalsimplification of the packaging methods, furtherimproving the packaging process and effectivelyreducing the overall consumption of packagingmaterials.
Currently, TELD uses reusable turnover pallets in theprocurement process for core components, includingcharging guns, non-metallic materials, and printedcircuit boards.
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Innovation Leading Industrial DevelopmentR&D Innovation Management System
Innovation Leading theWay: “One Step Ahead,Leading All the Way”
R&D Innovative Strategic GoalsR&D Innovative Achievements
Key Performance
new productprojects weredeveloped.
The Company participatedin the formulation of
national standards.
A total of1,687
valid patents wereauthorized.
73 74
Innovation is the core strategy for TGOOD. Since its establishment in 2004, the Company has consistently adhered to theinnovation philosophy of “one step ahead, leading all the way”, continuously breaking through technological bottlenecks andleading industry development, making it emerge as a leader in both the power equipment and EV charging network fields.
Innovation Leading IndustrialDevelopment
Since its inception, TGOOD has focused on the research, development, and manufacturing of outdoor box-type electricalequipment, establishing the largest research and production base for transformer substations in China. We have pioneered several“firsts” in China’s substation products, including the first set of 10 kV mobile transformer substations for high-speed railways, thefirst set of 35 kV skid-mounted mobile substations, the first set of 110 kV prefabricated cabin-type modular substations, the firstset of 220 kV prefabricated cabin-type offshore booster substations, and the first set of 330 kV prefabricated cabin-type boostersubstations. These innovations have not only filled gaps in domestic product offerings but also advanced China’s power equipmentindustry as a whole.As the developer and participant in the technical standards for prefabricated Power Equipment in China, the Company participatedin the preparation of the industrial standard titled Technical Specifications for Prefabricated Cabin-type Combined Equipment forSubstation – Part I: Switchgear Compartment. Released in 2024, this standard will play a key role in facilitating the wider adoptionof prefabricated substations, prefabricated distribution rooms, and other related products within the power grid system. TGOODhas undertaken multiple national and provincial projects, leveraging its leading technological innovation capabilities and strongcomprehensive strength. The Company has been recognized as a champion enterprise in the manufacturing sector by the Ministryof Industry and Information Technology due to its intelligent modular prefabricated substation products.
Smart Manufacturing + Integrated Service Business
TELD has pioneered a global charging network technology system, taking a forward-looking approach by focusing on the efficientutilization of electrical resources to support the large-scale development of electric vehicles. TELD fully exploits the effects ofelectric vehicles as mobile energy storage in advancing renewable energy. It has made significant strides in hard technologies,including vehicle-grid interaction, efficient power electronics, liquid-cooled ultra-fast charging, megawatt-level charging, V2G,energy regulation, virtual power plants, edge computing, big data modeling, artificial intelligence, and solar-storage-chargingmicrogrids. These innovations have addressed bottlenecks in the country’s EV industry, enhanced the distribution network’scapacity and green electricity consumption, solving energy challenges in the large-scale adoption of EVs.In 2020, the “Electric Vehicle Charging Module Product” developed and produced by TELD was recognized by the Ministry ofIndustry and Information Technology (MIIT) as a national-level “Manufacturing Industry Single Champion Product”. In 2024, after are-evaluation by MIIT, the Company was awarded the title of a national-level “Single-Champion Manufacturing Enterprise”. In 2021,TELD was named one of the first batch of national-level key “Specialized, Refined, Differentiated, and Innovative (Little Giant)Enterprises” by MIIT. In 2022, TELD’s Two-Layer Safety Protection System for “New Energy Vehicle Charging Safety EmergencyManagement” was recognized by MIIT as a “Pilot Demonstration Project for Big Data Industry Development”.
EV Charging Network Business
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R&D Innovation Management System
The Company has established a series of systems, including the Product Development Procedure and Product Development ReviewManagement Standards, to comprehensively regulate the entire process of new product development, from the conceptual stageto mass production introduction, defining control requirements and review standards for each key milestone. The Group’s ResearchInstitute, as the leading department, is responsible for overseeing the overall process of product development, ensuring that R&Dprojects are efficiently advanced within budget. At the same time, the Company focuses on building a team of product managers,empowering them with management responsibilities for the entire product lifecycle, covering all aspects from demand analysisand design development to market launch. Based on this, relevant departments work closely together to form an efficientcollaborative working mechanism, ensuring the standardization and efficiency of the development process, thereby continuouslyimproving the Company’s R&D technology level and promoting product innovation and market competitiveness.
R&D System
As one of the first batches of “Single-Champion Manufacturing Enterprise” recognized by the Ministry of Industry and InformationTechnology of the People’s Republic of China, TGOOD has achieved remarkable results in innovation and intellectual property. Ithas successively been awarded titles such as “National Innovative Pilot Enterprise” and “National Intellectual PropertyDemonstration Enterprise”. Furthermore, the Company has established multiple high-end technological innovation platforms,including postdoctoral research, national engineering research center, expert workstation, and provincial engineering laboratories.During the reporting period, TELD was successfully listed in the Shandong Province Green Low-Carbon Technology AchievementsCatalog, Qingdao TELD New Energy Technology Co., Ltd, (a subsidiary of TELD) was recognized as a national-level key“Specialized, Refined, Differentiated, and Innovative (Little Giant) Enterprises”, and Xi'an TELD Intelligent Charging Technology Co.,Ltd. (a subsidiary of TELD) was recognized as “Single-Champion Manufacturing Enterprise” at the national level.
As of the end of the reportingperiod, the Company has a totalof 12 high-tech enterprises.
R&D Platform
Key Performance
In 2024, the Company’s R&D investment amounted to
574.59
million CNY, accounting for
3.74
%of the operating income.
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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To fully stimulate the innovative vitality of technical personnel, the Company has established an innovation incentive mechanismthat includes multiple systems such as the Innovation Achievement Review and Reward Standards and the Management Measuresfor Technical Research and Development Incentives. Based on this, the Company further optimizes the management process of R&Doutcomes, clarifying project grading standards and reward details to ensure more scientific and precise evaluation and incentivesfor innovative results. At the same time, the Company has established a dedicated growth fund pool, introducing a points-basedmanagement system that closely links the innovative contributions of technical personnel to their individual career development.Once the innovative R&D results undergo rigorous evaluation and are recognized, the technical personnel will be rewardedaccordingly. This not only acknowledges their innovative contributions but also provides strong momentum for the company’stechnological advancement and long-term sustainability.
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Innovation Incentive
The Company utilizes the “Leading Innovation Forum” as a platform to vigorously carry out training for enhancing the capabilitiesof technical personnel, promote the evaluation and certification of professional technical titles, and facilitate collaborative effortsand experience sharing within the technical system. This further strengthens the technical foundation and provides solid supportfor the Company’s integrated innovation.
Below Bachelor’s
Cultivation of R&D Team
During the reporting period, the Company combined the research activities in technology from variousdepartments and distributed rewards totaling 694.9 thousand CNY in the form of technology points. It conductedstatistical evaluations of intellectual property that met the reward criteria, distributing a reward amount of 165.9thousand CNY. Additionally, it carried out a challenge initiative, with a total of 44 projects passing the review, andthe total prize money for these projects amounted to 2.67 million CNY. TELD issued reward funds of 234.7thousand CNY for the new product development projects.
Case StudyTGOOD Leading Innovation ForumIn 2024, the Company conducted Phase I and Phase II Training Programs of the “Leading Innovation Forum”, attractinga total of 249 technical personnel. The training content covers multiple key areas, including industry standards forelectrical equipment manufacturing, sharing of product design case studies, and management of the R&D process.Through carefully designed courses, the Company has comprehensively enhanced the professional capabilities of itstechnical personnel in product development, laying a solid talent foundation for the Company’s technological innovationand product upgrades.
R&D Team byEducational Level
R&D Teamby Gender
10%
16%
74%
22%78%
Bachelor’s
MaleFemaleMaster’s Degree
Education Composition of R&D Personnel
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The Company analyzes the technological risks, market risks, and potential opportunities in the R&D fields of high-end electricalequipment and EV charging, in line with the development trends of the energy and electricity industry. It coordinates variousaspects of R&D activities and formulates response strategies to continually improve the capability of technological innovation.
Identification of R&D Impacts, Risks, and Opportunities
Risk TypeRisk DescriptionFrequencyImpact DurationFinancial ImpactResponse Measures
ResourceManagement Risk
The R&D process may involve multiplestakeholders (such as customers, suppliers,etc.), requires significant resources, and iseasily affected by external factors, leading toincreased coordination challenges anddifficulties in project scheduling and costcontrol.
Whole projectlifecycleMedium toHigh
Cost Overrun: This may lead to R&D costsexceeding the budget.Resource Waste: Increased externaldependencies may lead to resource idlenessor waste.
Perform R&D strictly in accordance with the productdevelopment process. The project manager overseesand monitors the progress, conducting phase reviewson schedule to confirm the implementation and controlstatus at each stage.
Market Risk
Research and development of products mustbe based on clear market demand and projectfeasibility. However, actual market demandmay be inaccurate or incomplete, leading to adeviation of the R&D direction from marketneeds and insufficient market competitivenessof the products.
Whole projectlifecycleLow
Reduced Return on Investment: The productmay fail to achieve the expected marketacceptance, affecting sales revenue.Waste of R&D Funds: The resources investedcannot be converted into commercial value.
Enhance market research by regularly collecting andanalyzing market feedback，proactively grasping markettrends.Establish a close communication mechanism withcustomers to ensure accurate transmission of theirneeds.Establish a demand change management process totimely adjust the R&D direction.
Project Management Risk
Integrated R&D projects are typically dividedinto multiple stages, each with clearly definedmilestones. However, if process node control isnot rigorously enforced, it can easily result inproject delays, and an inability to meetdeadlines.
Whole projectlifecycleMedium
Project Delay Costs: This may lead toadditional development and testing costs.Opportunity Cost: Project delays may resultin the loss of market opportunities.
Develop a detailed project plan that outlines themilestones for each stage.Regularly monitor project progress to promptly identifyand correct deviations.
Legal Risk
Failure to prioritize the standardizedmanagement of intellectual property at variousstages of R&D may result in insufficientprotection of the intellectual property of R&Dachievements, and even lead to infringementof others' intellectual property, triggering legaldisputes.
Long-termLow
Revenue expansion failed to meet targets:
Insufficient intellectual property protectionmay lead to rapid erosion of competitiveadvantages in new technologies andproducts.Legal Compensation Costs: Compensationfor infringement may be required.
Establish a system for managing intellectual property andclarify the management processes.Enhance intellectual property training to raise awarenessamong R&D personnel.Conduct regular intellectual property risk assessments andtake timely protective measures.
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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HighLong-term
Opportunity TypeDescription
Likelihood ofOccurrence
ImpactDuration
Financial Impact
MarketOpportunity
Develop techonologies andproducts of electrical equipmentand EV charging fields to meetthe market demand for greeningand intelligentization.
Enhance the green andsmart features ofproducts to increasesales revenue.Enhance market shareand increase return oninvestment.
HighLong-term
DigitalTransformation
Drive digital transformation inbusiness and enhance the addedvalue of products and servicesutilizing big data, artificialintelligence, and Internet ofThings technologies.
Enhance the added valueof products and servicesto increase salesrevenue.Optimize productionprocesses to reduceoperational costs.
HighLong-term
PolicyOpportunity
With the continuous advancementof China’s “Double Carbon” and“New Power System” strategies,strong support has been given tothe new energy industry. Anumber of incentive policies havebeen introduced to promote thedevelopment of electric vehiclesand charging infrastructure,creating a favorable policyenvironment and marketopportunities for TGOOD.
It is conducive to marketexpansion, increase insales revenue and profits,and enhancement ofbrand influence.
R&D Innovative Strategic Goals
Based on its innovation philosophy and R&D system, while aligning with practical development needs, the Company hasestablished its annual innovation goal as follows:
“Build integrated innovation capabilities supporting the new power system through primary and secondary equipment integration,drive a cost revolution through standardization and modularization, position products with digitalization and full-lifecycleperspectives, and enhance core market competitiveness comprehensively”.During the reporting period, the Group’s Research Institute advanced the processes of standardization, modularization, anddigitalization. Through the use of innovative approaches such as technology and supply chain collaboration, integration of productsystem solutions, component selection, structural optimization, and modularization standardization, the Company continuouslyiterated its core products. This led to the digitalization and lifecycle design of core products, achieving a 100% completion rate forR&D projects.
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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Note: The data statistics scope includes the Company, TELD, TGOOD HV, Yichang TGOOD, Yilade, and Chuan Kai Electric (a wholly-owned subsidiaryof TGOOD HV), and Yilade.
R&D Innovative Achievements
In 2024, we independently developed a complete set of new energy step-up box transformer, featuring fully insulated, hermeticallysealed, and maintenance-free design. The entire enclosure achieves IP66 protection rating, enabling reliable operation in harshrenewable energy environments with high humidity, high salinity, and high altitude conditions. In response to international marketdemand, we innovatively developed a 33kV overseas new energy box transformer for international renewable applications, whichobtained T?V Rheinland certification and certification for the entire product series, including the prefabricated substation andinternal components. For switchgear systems, we introduced our second generation intelligent MV/LV switchgear in 2024. Theseproducts incorporate high-precision sensors that collect real-time data on equipment status and electrical information, enablingearly detection of potential risks and improving operational and maintenance efficiency while reducing costs. Furthermore, we havedeveloped Eco-Friendly Gas-Insulated Switchgear, utilizing novel environmentally friendly insulation media that completely replaceSF6 gas. After rigorous testing, it has been certified under both the GB/T 3906-2020 China National Standards and the IEC62271-200 International Electrotechnical Commission Standards.
Smart Manufacturing + Integrated Services
In 2024, TELD independently developed an automatic charging robot for passenger vehicles, which adopts an innovative bottomcharging mechanism, contact conduction, and a single-axis movement system. This design effectively addresses commonchallenges in the practical application of current automatic charging products for passenger cars, such as large footprint, highcosts, and complex installation. This lays an important foundation for the large-scale application of automatic charging technologyin passenger vehicles.In 2024, TELD introduced three key AI big models focused on charging safety, energy regulation, and intelligent O&M. Thesemodels utilize the advanced computing performance and neural network capabilities of large models, enhancing the precision ofelectric vehicle charging safety, load prediction, PV power generation, and O&M efficiency of large-scale charging systems.
The Company has established robust internal and external collaboration frameworks, with the technology center creatingcross-departmental teams to foster information flow and knowledge sharing, stimulating team innovation, and enhancing R&Defficiency. Establish partnerships with universities, research institutions, and other entities to Partnerships have been forged withuniversities, research institutions, and other entities to collaborate on R&D, accelerate the commercialization of technologicaladvancements, and boost the Company’s technological and innovation competitiveness.
Electric Vehicle Charging Network
Industry-University-Research Cooperation66kV new energy step-up box transformer
33kV overseas new energy box transformer
Intelligent MV/LV switchgear
Key Performance
Case StudyCollaborating on the National Key R&D Program to Lead Industry UpgradingIn November 2024, Qingdao TELD New Energy Technology Co., Ltd. (a subsidiary of the Company), in collaboration withTsinghua University, Hunan University, and other academic and research institutions, jointly applied for the SpecialProject on Key Technologies and Equipment for Urban Sustainable Development under the National Key R&D Program.The project aims to address critical low-carbon and high-efficiency synergies between buildings and transportation,focusing on the research and application of key technologies for flexible interactive energy consumption systemsbetween buildings and electric vehicles. It will work to overcome bottlenecks from foundational theories to coreautonomous equipment, ultimately driving industry and upgrading.
During the reporting period, the Company and its subsidiaries undertook a total of
new productdevelopment projects.
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
As the developer and participant in the technical standards for prefabricated Power Equipment in China, the Company participatedin the preparation of the industrial standard titled Technical Specifications for Prefabricated Cabin-type Combined Equipment forSubstation – Part I: Switchgear Compartment. Released in 2024, this standard will play a key role in facilitating the wider adoptionof prefabricated substations, prefabricated distribution rooms, and other related products within the power grid system. TheCompany has been recognized as a champion enterprise in the manufacturing sector by the Ministry of Industry and InformationTechnology due to its intelligent modular prefabricated substation products.The Company is committed to technological innovation, driving the development of the long-duration charging industry throughcutting-edge technology. In the electric vehicle charging sector, we have undertaken and participated in numerous national-levelmajor research projects, and have led or participated in the development of multiple national and industry standards. As arecognized National Intellectual Property Advantage Enterprise, we are proud to host the National Local Joint EngineeringResearch Center for Electric Vehicle Intelligent Charging, approved by the National Development and Reform Commission (NDRC).The “Electric Vehicle Charging Module” developed and produced by the Company has been recognized by the Ministry of Industryand Information Technology (MIIT) as a national-level “Manufacturing Industry Single Champion Product”.
Contributing to the Industry Development
Protection of Intellectual Property Rights
Key Performance
Intellectual Property ManagementAdhering to the management philosophy of “unified management, collaborative division of labor, and orderly regulation”, theCompany has established a comprehensive intellectual property management system. The Company has established theIntellectual Propey Management Standards, clarifying the responsibilities of the intellectual property management organizationand standardizing the management processes from application, and registration to changes. Based on this, the Company identifiesand effectively manages potential risks such as non-compliance in patent applications, missing management content, and unclearreward and punishment mechanisms, further improving the incentive and constraint mechanisms.
As of the end of the reporting period, the Company and some subsidiaries have obtained
certification for their intellectual property management system.
As of the end of the reporting period, the Company has contributed to the development of
nationalstandards,
industry standards, and
group standards.
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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Tiered Management of Intellectual Property
The Company implements classified management and tiered evaluation of intellectual property based on key metrics such astechnological advancement, applicability, and market value. By comprehensively reviewing patent value, technological layout, andmarket application prospects, the Company systematically optimizes its intellectual property management system. At the sametime, the Company has implemented a regular infringement monitoring mechanism for its authorized patents and trademarks,actively tracking market trends in real time. This allows the Company to promptly identify and effectively address potentialinfringement risks, thereby safeguarding the legitimate rights and interests of its intellectual property.
Protection of Intellectual Property RightsIn key areas such as project R&D, product development, and market promotion, the Company conducts systematic intellectualproperty investigations and evaluations. This includes regular searches, analysis, and new product reviews to comprehensivelyidentify potential infringement risks and ensure compliance with business activities.At the same time, the Company actively builds a robust system for intellectual property protection by promptly applying for patentsand trademark registrations for innovative achievements. This strengthens the protection of its intellectual property rights. Inresponse to potential infringement actions, the Company takes proactive measures led by the Group Research Institute, incollaboration with the Legal and Risk Control Department, to conduct investigations and gather evidence. Based on riskassessments, tailored response strategies are formulated, and legal means are employed when necessary to protect theCompany’s intellectual property rights and safeguard its legitimate interests.
Case StudyPatent Infringement Risk Training
The Company organizes training sessions aboutintellectual property laws and regulations foremployees in relevant departments. The trainingcovers topics such as criteria for determininginfringement, legal consequences, strategies forprotecting intellectual property, and measures toresolve infringement disputes. This aims to enhanceemployees’ awareness of intellectual propertyprotection and help them understand riskprevention methods in their daily work.
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
As of the end of thereporting period
Key Performance
the Company has accumulated a total of1,687 valid authorized patents
including
invention patents
1,221utility model patents
design patents
software copyrights
trademarks
published papers
Qingdao TGOOD Electric Co., Ltd.2024 Sustainable Development Report & ESG Report
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Strict Control of Product QualityOptimizing After-Sales Service
Customer Orientation:
Delivering ExquisiteProducts andExceptional Services
Responsible Supply ChainProtection of Information
91 92
Quality Management ObjectivesThe Quality and Basic Management Center of the Company has analyzed historical data and, in conjunction with the Company’sstrategy, established reasonable and effective quality management objectives. It closely monitors the implementation progress andensures the efficient achievement of these goals through practical measures, thereby contributing to the steady improvement ofthe Company’s quality management level.
Quality Management MeasuresThe Company has established an annual quality training plan, which mainly includes professional skill courses such as qualityplanning, response to quality issues, process management, and QC methods. Various forms of training, including the use of theTGOOD Learning Platform and internal professional instructors, are actively implemented to conduct internal quality training. Theaim is to comprehensively enhance employees’ quality awareness and professional competence, ensuring the quality of productsand services.
Key Performance
Key Performance
The Company has established Internal Audit Standards to continuously improve the internal audit workflow, set up a professionalinternal audit team, and developed a comprehensive quality management system audit plan. The audit covers the Company’sdesign processes, production and inspection processes, and after-sales service processes. It aims to identify deficiencies in theoperational systems of various departments, formulate rational improvement suggestions, and ensure the continuous and effectiveoperation of the Company’s quality system.The Company values the training of internal auditors and enhances their capabilities through various methods such as mentorship,offline learning, online examinations, and participation in internal audits, thereby cultivating a reserve of internal auditors.
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Quality System Audit
Case StudyIn June 2024, the Company implemented a training program to enhance the skills of internal auditors for the qualitymanagement system. The training covered aspects such as quality management system standards, managementresponsibilities, resource management, performance evaluation and improvement, and audit requirements. Qualifiedinternal auditors who passed the examination were involved in internal audits, thereby improving internal auditingcapabilities through practical experience.
During the reporting period, the Company organized
internal audits of the quality management system andconducted
external audit. The quality management system documentation complies the requirements of ISO 9001.
During the reporting period, the Company and its subsidiaries conducted a total of
quality training sessions,with a total duration of5,017hours, and a cumulative participation of2,978 person-times participated.
Enhancement of Internal Auditor Competencies
Case StudyOn June 12, 2024, the Company’s subsidiary, TELD,organized QC method training for variousdepartments through an online platform. Thetraining covered inspection checklists, Paretocharts, cause-and-effect diagrams, and other sevenQC tools, providing a detailed explanation of thespecific applications of each method. After learningand practicing, employees from differentdepartments were able to apply QC tools in theiractual work, effectively enhancing their qualitycontrol capabilities.
QC Method Training
Case StudyOn September 26, 2024, the Company’ssubsidiary, TELD, organized training on handlingmarket quality issues, aimed at comprehensivelyoptimizing the handling process. The trainingguided employees to understand problems usingthe 5W2H framework, shared typical cases,analyzed the causes of issues based on actualmarket data, explained improvement measures,and enhanced employees’ ability to address qualityproblems.
Quality Issue Analysis Training
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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Post-Sales Management SystemThe Company has established the After-Sales Seice Workow and other systems to standardize the comprehensive serviceprocess standards for various products during installation, commissioning, and maintenance. During the service process, theCompany implemented a series of quality and safety control measures, including rigorous inspection and commissioning of equip-ment, conducting on-site safety checks, and acceptance testing after equipment operation, to ensure the absence of hiddenhazards. In addition, the Company has established smooth communication channels and conducted follow-up phone calls tocustomers within a specified time after service completion to continuously enhance the customer experience.The Company has developed an emergency response plan for customer site issues and established an abnormal service process.In response to various on-site incidents, the Customer Service Center promptly arranges for after-sales personnel to understandthe on-site problem information. Based on the emergency handling plan and actual circumstances, they propose resource require-ments to address the issues and complete the closure of the work.
Enhancement of Customer SatisfactionOptimizing After-Sales Service
As of the end of the reporting period, the Company’s subsidiary,TELD, has passed the product after-sales service evaluationsystem.In 2024, the Company and its subsidiaries received a total of
customer feedback issues, with a
% problemresolution rate.
The Company has established the External Customer Satisfaction Work Standards to create a comprehensive customer satisfactionsurvey process. Through various methods such as telephone follow-ups, on-site surveys, and online technology surveys, theCompany collected feedback from different types of customers regarding product quality, design schemes, service attitude, andother aspects. This enables effective improvements based on customer feedback, continuously enhancing customer satisfactionand product quality.During the reporting period, the Company’s customer satisfaction score was 95.
Satisfaction Measurement
Premium service serves as the cornerstone of our market presence and customer trust. The company places strong emphasis onenhancing the professional competencies of our customer service teams. Through ongoing targeted training programs, wecontinuously strengthen employees' capabilities in analyzing and resolving critical business issues.
Customer Service Training
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Responsible Marketing
The Company recognizes that its reputation and the trust of its customers are built on the foundation of providing truthful andaccurate information. The Company has established and strictly implemented relevant regulations such as the TELD MediaManagement System and the Guidelines for Publishing on the WeChat Ocial Accounts of TGOOD and TGOOD Community tostandardize the information dissemination on new media platforms, ensuring the authenticity and accuracy of promotionalinformation.While pursuing business success, TGOOD also remains committed to social responsibility, actively conveying the Company’s valuesand commitment to sustainability through new media channels. We are committed to building a positive, professional, and sociallyresponsible brand image, and to engaging in open and sincere communication with all sectors of society through new mediaplatforms. TGOOD will continuously strive to promote the harmonious coexistence of enterprises and society throughhigh-standard marketing practices, achieving a win-win situation that generates both economic and social benefits.
Key Performance
Case Study
In October 2024, to effectively enhance customer service quality, the Company organized a training session for 291 staffmembers at the Customer Service Center focused on analyzing quality issues at project sites. The training lasted for 2hours, during which the effectiveness of the training was assessed through communication and interaction, reinforcingemployees’ ability to control quality at project sites.
Customer Service Training
During the reporting period, TELD organized
assessments on customer complaint response, achieving a
%assessment pass rate.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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The Company has established the Procurement Control Procedures and Supplier Management Standards to standardize procurementbusiness processes and establish management standards for production material suppliers. The Supply Chain Center is responsible forthe full lifecycle management of qualified suppliers, continuously promoting the achievement of three major goals and building anefficient supply chain system.
Supply Chain Management System
Supplier Management Mechanism
Responsible Supply Chain
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
The Company introduces new suppliers based on actual needs and establishes a supplier resource database through screening.Information surveys and evaluations are conducted on the qualifications, supply capabilities, quality, safety, and environmentalmanagement system certifications of new suppliers. An evaluation team conducts on-site inspections of production suppliers, andthose meeting the qualification standards are included in the qualified supplier list, which is prioritized for selection in dailyoperations.
Development and Access
The Company implements dynamic management of qualified suppliers, summarizing supplier performance data every half a year,with relevant departments conducting comprehensive evaluations based on quality, technology, price, and other aspects.
Evaluation and Grading
The Company forms a review team consisting of leaders from multiple departments to evaluate the qualifications of suppliers. Afterthe evaluation, an on-site inspection process is established, followed by a comprehensive review of the supplier’s quality systemand technical aspects. A detailed review report is then compiled, and suppliers are monitored to ensure they addressnon-conformance issues within a specified timeframe. Suppliers who cause economic losses due to ineffective rectification ofquality problems or who violate business conduct standards are subject to dynamic blacklist management. Relevant personnel willreview the supplier’s behavior and make decisions regarding their potential removal from the supplier list.
Review and Elimination
Supply Chain Objectives
Supplier GradingManagement MeasuresEnhance marketing competitivenessPromote operational efficiency to achieve goalsAchieve sustainable cost reduction through ecological partnerships
Key Performance
Grade A
Ensure support in resource planning, new product development procurement, and allocationof shares.
Grade B
Perform equal selection in resource planning, new product development procurement, andshare allocation.
Grade C
Focus on key management of issues, analyze and propose improvement suggestions, andlimit the procurement share of new project selections.
Grade DInitiate a comprehensive phase-out or partial phase-out process for the supplied materials.
As of the end of the reporting period, the Company had
suppliers, with local supplier procurementexpenditures accounting for
19.53
%.
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The Company’s supplier management specialist regularly compiles supplier performance data provided by various departments,monitors non-conformities and other anomalies, communicates feedback promptly, understands the reasons for the anomalies, andimplements dynamic management.
Supplier Communication
To continuously improve the quality assurance capabilities of suppliers, the Company conducts quality management of suppliersbased on the quality management system. By signing a Quality Assurance Agreement with suppliers, specific standards for theproducts and services provided by suppliers are established. The Company controls the quality processes of suppliers throughmethods such as factory audits and product inspections.The Company and its subsidiaries conduct supplier training in accordance with the annual quality training plan, promote qualityculture, enhance suppliers’ quality awareness, and strengthen economic cooperation between both parties.
Supplier Quality Management
案例On April 29, 2024, the Company’s subsidiary, TELD, organized quality management training for suppliers, primarilyemphasizing the leadership role and related responsibilities of the Company’s management in quality management. Thisinitiative assists suppliers in gradually improving and enhancing their quality management practices.
Supplier Training
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Key Performance
The Company conducts a supplier satisfaction survey in the form of an online questionnaire, acceptingreasonable opinions and suggestions from suppliers to build a fair and equitable cooperation platform.Satisfaction
Surveys
The Company has established feedback channels to receive supplier complaints. The suppliermanagement specialist is responsible for regularly summarizing the complaints. After investigationand confirmation of validity by relevant departments, corrective actions are taken.GrievanceChannels
During the reporting period, the Company and its subsidiaries conducted a total of
supplier quality trainingsessions, with a total training duration of
hours.
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Sustainable Supply Chain
To strengthen the core competitiveness of the Company’s procurement business, the Company has organized specialized trainingto comprehensively enhance the procurement team’s ability to accurately manage the procurement process and optimize resourceallocation. This initiative aims to help the Company reduce operational costs and achieve the goals of cost control and maximizationof benefits.
Improvement of Procurement Capability
The Company places great importance on suppliers’effectiveness in fulfilling social responsibilities and hasdeveloped a comprehensive ESG scoring system forsuppliers to conduct self-assessments. This standardevaluates various dimensions, including labor rights, healthand safety, environmental impact, business ethics, andmanagement systems. An evaluation report is generated,and cooperation is suspended with suppliers who commitzero-tolerance violations. Serious issues identified arerequired to be rectified within a specified timeframe.
Supplier ESG Management
To build a clean and honest supply chain ecosystem, the Company continuously improves the integrity management of its suppliersand formulates integrity measures in the procurement process. The Audit and Supervision Center is responsible for supervisingintegrity practices in procurement activities, and accepting reports of violations from external suppliers and internal employees toprevent integrity risks in the supply chain.
Supplier Integrity Development
Case StudyDuring the reporting period, the Company’s Supply Chain Center organized internal training for all employees toenhance procurement capabilities. The training included courses on supplier sourcing management, supplierperformance management, and quality SQE business learning related to the supply chain. Assessments were conductedthrough on-site Q&A sessions to ensure effective outcomes, laying a solid talent foundation for the efficient operationof the Company’s supply chain.
Training for Procurement Personnel
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV).
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Key Performance
Key Performance
Supplier Social Responsibility Evaluation Indicators
80%100%60%Responsible ProcurementBusiness EthicsEnergy Conservation and
Emission Reduction
Decent WorkManagement SystemChild LaborLabor CompensationHumanitarian and FairnessFreedom and CommunicationEnvironmental ProtectionSafety and AwarenessFirefighting FacilitiesLiving FacilitiesHealth and WellnessMechanical Equipment SafetyChemical Management
0%
20%40%
During the reporting period, the Company conducted a total of
procurement training sessions, with a total of
3,813person-times participated and a training duration of5,513 hours.
As of the end of the reporting period, the Company has
suppliers certified for quality managementsystems,
suppliers certified for environmental management systems, and
suppliers certified foroccupational health and safety management systems.
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Information Security Management SystemThe Company strictly adheres to the Cybersecurity Law of the People's Republic of China and other relevant laws and regulations. Ithas established management systems related to network and information security management such as the Information SecurityOrganization and Emergency Plans. The Company has set up standardized management practices, implemented unifiedmanagement, and established a cybersecurity leadership group, which includes a network and information security working groupand an emergency response working group. This ensures efficient collaborative management and guarantees the normal operationof network and information systems.The Company has established a professional network and information security team that focuses on monitoring the networksecurity status, assessing potential security risks, and responding swiftly to various security threats. During the reporting period,the Company did not experience any incidents of information security or customer privacy violations.
Measures for Fair Procurement
Establish an integrity registration ledger to record all items delivered by suppliers, including notebooks, pens, andcalendars, which will be managed by the auditing department.During the supplier evaluation process, implement the process management of the Supplier On-Site IntegrityAcknowledgment Letter.Establish integrity warning signs in the Company’s internal office areas and conduct regular integrity training andawareness activities.The Company has signed the Integrity Self-Discipline Agreement with all employees in the supply chain system andthe Supplier Integrity and Honesty Agreement with suppliers, clearly defining the standards of integrity and theliability for breach of contract for employees and suppliers in procurement activities, thereby strengthening theintegrity defense line.
Procurement Personnel Sign Integrity AgreementsSuppliers Sign Integrity Agreements
Case Study
On March 17, the Company held the 2024 Supply ChainSummit Forum themed “Coexistence, Co-creation, andWin-win: Creating a Bright Future with a Smart Chain”.The Company is committed to creating a clean,self-disciplined, fair, and just supply chain environment,continuously strengthening strategic partnerships to jointlyaddress market challenges and achieve mutual benefits.
Fostering a Clean-fingered Supply Chain through Win-win Cooperation
Key Performance
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
The Company places significant emphasis on information security and privacy protection throughout the digital constructionprocess, working diligently to establish a comprehensive information security management system. In the areas of data collection,storage, and transmission, we strictly follow industry standards to ensure the security and privacy of both internal information andcustomer data. This commitment helps us provide customers with a high-quality service experience.
Protection of Information Security
As of the end of the reporting period, the Company’s subsidiary,TELD, has passed the certification for its information securitymanagement system.
During the reporting period,
% of suppliers signed the Integrity and Honesty Agreement with the Company.
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Information Security Management ObjectivesThe Company’s Digital Center ensures the long-term stable operation of systems by establishing information security performanceindicators, while also focusing on customer experience with system usage. Based on the achievement of goals, continualimprovements and optimizations are made to ensure business continuity and data integrity.
Information Security and Privacy Protection MeasuresThe Company has established and implemented comprehensive protection measures in data security and customer privacyprotection, including data center construction, security platform planning, data encryption, and backup. Regular training sessionsare organized for information security personnel to participate in internal and external training, obtaining specialized certificationsin areas such as network information, system management, and project management, thereby enhancing the overall capability ofinformation security management.
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Number of days of system security operation peryear/ total calendar days ≥ 99%
Secure core data backup, without loss of criticalbusiness
100%
100%
System security operation rate
Data security
On-time completion rate of digitalkey projects
System smooth operation rate
Key Performance MetricsAchievementTarget Value
Information Security Management Strategies
Data Center andSecurity Protection
Platform
Establish a Huawei Modular Data Center to support the stable operation of the Company’s corebusiness systems.In terms of cybersecurity, establish protective products such as boundary security defenses,IPS intrusion prevention, Internet behavior control, WAF security protection, VPN secure accessdevices, vulnerability scanning, and access control systems.
Data Encryption
Each department organizes important data and protects it using a data encryption system.When collecting personal information, obtain user consent and do not collect irrelevantinformation.Destroy important data when data storage devices are decommissioned or replaced.
Safety Inspection
Conduct security inspections of key facilities such as core servers, create inspection records,and ensure the stable operation of infrastructure.
Case Study
During the reporting period, the Company’s informationsecurity personnel in the Laoshan area participated incybersecurity promotion training organized by the localCyberspace Administration and Public SecurityDepartment. They learned about new-generationransomware and APT attack cases, understood methodsof cyber virus attacks, and enhanced the professionalskills of information security personnel.
Cybersecurity Awareness Training
Key Performance
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
100%
100%
100%
100%
During the reporting period, the Company conducted a total of
training sessions on information security andprivacy protection, with a total training duration of 503hours, covering
person-times participated.
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Employee Care and BenefitsEmployee Recruitment and Interests
Co-creating andSharing: Building aCommunity of MutualBenefits and Shared
Employee Training and DevelopmentOccupational Health and Safety
Key PerformancePercentage of contractworkers:
Social insurance coveragerate:
Investment in employeetraining:
Total training hours foremployees:
%
%
3.155
million CNY470,149hours
115 116
To create a warm and harmonious work atmosphere and enhance employees’ sense of belonging and happiness, the Companyhas formulated the Management System for Employee Benets, demonstrating the Company’s care for employees from multipledimensions and the aim to build a supportive work environment filled with humanistic care. The Company not only offerscompetitive compensation and various benefits but also pays social insurance for all employees. It strictly implements the EmployeeAttendance Management Regulations, and fully ensures employees’ rest and physical and mental health. During the reportingperiod, the Company did not identify any incidents of forced labor.
Welfare System
The Company deeply implements the value concept of “Focusing on value creators” and has established a profit-sharing systemthat spans the entire business chain, centered around “value creation, value accounting, and value sharing”. By implementingequity incentives and employee stock ownership plans, the Company stimulates employee potential and innovation. This approachaligns employee interests with the Company’s development, fostering a mutually beneficial win-win situation between theCompany and its employees.
Employee Incentives
The Company implements performance assessment management regulations by using a blend of qualitative and quantitativemethods for regular, objective evaluations of employees and mid-to-senior level management across multiple dimensions.Quantitative assessments are the primary basis for determining employee performance rewards. Based on the overall assessmentresults, department heads offer employees tailored improvement suggestions.The Company highly values bilateral communication between employees and management, integrating employee performancefeedback and complaints throughout the performance evaluation process to ensure fairness and impartiality in performanceassessments, thereby promoting mutual growth and sustainability between the Company and its employees.
Performance Appraisals
Employee Care and Benefits
Social insurance, housingprovident fund, statutoryholidays
StatutoryBenefits
Welfare SystemUnifiedBenefits
SpecialBenefitsFestival gifts, quarterlybenefits, birthday gifts,wedding gifts, healthcheck-ups, etc.
Housing allowance, interviewexpense reimbursement,outstanding employeerewards, innovation andpatent rewards, on-the-jobfurther education, etc.
Case Study
In 2024, the Company convened its board meeting and general meeting of shareholders, which reviewed and approvedthe implementation of the 2024 restricted stock incentive plan. The Company set May 24, 2024 as the grant date andgranted 1.4 million restricted shares at a price of 9.88 CNY per share to 10 eligible incentive targets.
Restricted Stock Incentive Plan
Case Study
In 2024, the Company convened its board meeting and general meeting of shareholders, which reviewed and approvedthe implementation of the 2024 Employee Stock Ownership Plan. On November 18, 2024, the Company transferred7,489,000 shares of its stock to the special securities account of the “Qingdao Tgood Electric Co., Ltd. - 2024 EmployeeStock Ownership Plan” through non-trading transfer. The shares are held by a total of 326 holders, and the transfer priceis 9.78 CNY per share.
Employee Stock Ownership Plan
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Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
Protection of the Rights and Interests of Female EmployeesData in 2024 (Persons)
To better support female employees, the Company follows legal requirements by offering maternity check-up leave andbreastfeeding leave to registered pregnant employees. Additionally, the Company provides an extra sixty days of maternity leavewith regular salary payments. To further accommodate female employees, “Mother’s Rooms” have been established in both theLaoshan and Jiaozhou parks, and special seats for pregnant women are designated on company shuttles. The Company iscommitted to continuously addressing the needs of female employees by optimizing internal policies and facilities, ensuring a morecomfortable and convenient working environment for all female staff.
Protection of Female Employees
The Company embraces the caring philosophy of “Caring forEmployees, Sincere Service” and actively collaborates with theQingdao Special Warm Charity Foundation to organizeinitiatives that support employees, particularly those facingdifficulties. During the reporting period, the Company and itssubsidiaries supported a total of 33 employees in need, with afinancial investment of 430 thousand CNY.
Support for Employees in Difficulty
During the reporting period, the Company hosted its fifthcollective wedding ceremony, providing newlyweds with theopportunity to celebrate this significant moment in their livessurrounded by friends, family, and colleagues. This event notonly offered the newlyweds a sense of warmth and supportfrom the extended family but also highlighted the Company’scommitment to fostering a culturally humanistic “home”culture.
Connected with TGOOD, Energized by Love
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
Key PerformanceDuring the reporting period,
96.58
% of employees in the Company and its subsidiaries regularly underwentperformance and career development assessments.
“Mother’s Rooms” at Lao Mountain and Jiaozhou Park
Women’s Elegance, Extraordinary Excellence | 2024 Women’s Day Event at TELD
Number of women in managementNumber of employees on maternity leaveNumber of employees returning from maternity leaveNumber of employees who took parental leaveNumber of employees returning from parental leave
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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FemaleMale
Chinese mainlandoverseas
Below Bachelor’sBachelor’sMaster’sDoctoral Degree
Under 30 (excluding 30)30-40 (including 30,excluding 40)40-50 (including 40,excluding 50)50 and above years old
The Company is committed to creating a fair and transparent recruitment environment by establishing relevant systems such asthe Human Resource Management Procedures, Inteiewer Handbook, and TGOOD Recruitment Work White Paper to standardize therecruitment process and ensure that every step is fair and reasonable. The Company requires interviewers to strictly adhere to thecode of conduct, ensuring that every candidate is treated with respect. It explicitly prohibits interviewers from asking anydiscriminatory questions and firmly eliminates biases against candidates based on factors such as gender, race, or religious beliefs.During the resume screening stage, the Company strictly follows standard procedures to verify resume information, resolutelypreventing any instances of misinformation or violations. The Company ensures a strict prohibition of child labor practices andsafeguards equal employment opportunities for all job seekers.Furthermore, the Company is well aware of the importance of the interviewers’ professional competence in selecting high-qualitytalent. The Company has launched a variety of training courses through the online platform “Interviewer Cloud Classroom”,covering multiple aspects such as talent management, resume analysis, interview skills, and candidate evaluation. This initiativehelps interviewers continuously enhance their professional competencies and better fulfill their recruitment responsibilities.
Equality and Diversity
Employee Recruitmentand Interests
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
Key Performance
EmployeeNumber byGender
EmployeeNumber byAge
EmployeeNumber byEducational
Level
EmployeeNumber byRegion
24.94%
3.59%
41.54%54.81%
0.05%
75.06%
11.42%
38.83%
2.98%
46.77%
0.01%
99.99%
As of the end of the reporting period, the total number of employees of the Company and its subsidiaries is
9,627, with a labor contract signing rate of
%.The number of employees with disabilities is
and the number of employees from minority ethnic groupsis
.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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The Company consistently upholds the core values of legality, reasonableness, and fairness. It has established and improved theEmployee Congress System and is committed to enhancing the internal governance structure while promoting democraticmanagement processes. The Company regularly holds employee representative meetings to incorporate regulations and majordecision-making that involve employees’ vital interests into a democratic decision-making process. It widely solicits employeeopinions, and fully safeguards employees’ rights to be informed, participate, and supervise, further enhancing the scientific natureand transparency of the Company’s decisions, and strengthening employees’ sense of identity and belonging to the enterprise.
Democratic Governance
Case StudyThe Company adheres to the philosophy of talent-driven development and collaborative innovation. It has establishedpartnerships with several renowned universities, including Shandong University, Shandong University of Science andTechnology, China University of Petroleum, Dalian Polytechnic University, and Qingdao University of Science andTechnology, to create employment practice bases for university students. During the reporting period, the Companyactively conducted over 50 on-campus presentations and other school-enterprise cooperation projects, successfullyrecruiting more than 200 outstanding graduates, and providing a wide range of development opportunities foruniversity students.
TGOOD Establishes Employment Practice Bases with Several Universities
The Company adheres to an open and inclusive talent philosophy, fully promoting diversity strategies in its recruitment efforts. Itis committed to creating a diverse and vibrant talent ecosystem. The Company places great emphasis on the identification anddevelopment of internal talent. Through mechanisms such as internal promotions and job rotation, it creates opportunities foremployee growth while stimulating their intrinsic potential.In terms of external recruitment, the Company employs multiple channels, including designated recruitment websites, employeereferrals, talent recruitment fairs, and campus recruitment events, to publish job openings. It conducts talent assessments for bothcampus and social recruitment in accordance with regulations, ensuring the selection of the best candidates. At the same time,the Company leverages a digital talent management system to efficiently screen resumes and accurately assess candidates. Thissystem ensures that every individual who joins TGOOD is placed in the right position.
Compliant Employment
Broadening Employee Communication Channels
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, and Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Key Performance
Case StudyOn March 29, 2024, the Company convened the first session of the 20th Employee Congress, with 70 employeerepresentatives participating. Upholding a responsible attitude towards the Company’s development and all employees,they engaged in in-depth discussions on key topics and actively shared their insights.
Employee Congress
During the reporting period, the Company and its subsidiaries hired2,455new employees, including:
people from campus recruitment and1,978 people from social recruitment.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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The Company has established various communication channels to ensure transparency and openness in its operations. A “TGOODHeart-To-Heart Communication” Party Representative Work Studio has been set up in the headquarters office building, along witha democratic bulletin board and multiple functional areas to promote transparency in factory operations. Employees can submitreal-name feedback online through platforms like the “Voice of Appeals” and the “Heartfelt Echo Wall”. Additionally, offlinesuggestions can be made anonymously using small stickers. The union chairman, acting as the Party representative, holds areception day for Party representatives on the 28th of each month and organizes occasional sunshine complaint sessions, givingemployees the opportunity to express their concerns face-to-face and ensuring comprehensive collection of employee feedbackand recommendations.The Company has established a robust closed-loop system for handling employees’ constructive suggestions. Employeerecommendations are regularly collected, categorized, and reviewed in collaboration with relevant departments for professionalevaluation and effective feedback. For suggestions with practical value, the Company will create a detailed plan for implementationand provide regular updates on progress. For suggestions that cannot be implemented immediately, the Company will also providesufficient explanations and constructive responses. This approach not only enhances the Company’s management practices butalso fosters a stronger sense of engagement and ownership among employees. Going forward, the Company will continue refiningthe suggestion management process to further inspire employee contributions and jointly drive sustainable development.
Diverse Communication Channels
Key Performance
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
Case Study
On April 15, 2024, the Company’s Laoshan Industrial Park organized a series of cultural construction discussion meetingsand open-hearted feedback sessions for all employees. Based on the cultural construction aspect, the opinions andneeds of the employee group were gathered. The Party Building Culture Office formulated an effective action reportbased on the meeting results, providing an important reference for the development of corporate culture.
Cultural Development Discussion Meeting at the Lao Mountain Industrial Park
Party Representative Work Studio
As of the end of the reporting period, the Company’s employee representative assembly approved
projects,and the proportion of union members among active employees is
%.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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Talent DevelopmentThe Company follows the talent philosophy of “precise recruitment and empowering growth,” ensuring that the principles offairness, justice, and transparency are central to the promotion process. To support this, it has implemented the Employee PositionPromotion Management System, which establishes clear and scientific standards for job levels and promotion criteria. The Companyhas implemented a dual-channel promotion system for both management and professional roles, offering clear careerdevelopment paths tailored to employees with different areas of expertise. This system allows employees to choose theirdevelopment direction based on their strengths and interests.
Employee TrainingThe Company has developed the External Training Management Measures for TGOOD Group Employees and the TrainingManagement Standards to establish a comprehensive and diversified multi-level training system. By leveraging both internal andexternal training resources, the Company provides a variety of learning opportunities, including annual training sessions,onboarding programs for new employees, and external training programs. These initiatives help continuously improve employees’overall quality and business skills, laying a foundation of talents for the long-term development of the Company.
Guided by the principle of “focusing on strategy and supporting business”, the Company has developed its training initiatives bysetting up clear training pathways, including management, professional, and general tracks, each offering a rich variety of trainingcontent. This approach has resulted in a comprehensive and well-structured tiered training system designed to enhanceemployees’ overall quality and professional skills. In addition, the Company has established a comprehensive training managementand evaluation system, covering needs analysis, instructor management, course management, internal and external trainingmanagement, mentoring systems, and learning platform management, to ensure the quality and effectiveness of training content.This aims to enhance the overall capabilities of employees while focusing on the long-term development of both employees andthe enterprise.
Tiered Training
To better understand employee needs and improve their work experience and satisfaction, the Company regularly conductssatisfaction surveys across various departments. These surveys cover key areas such as cultural care, welfare benefits, dining andleisure preferences, training needs, and business satisfaction. By organizing frequent feedback collection activities, the Companyensures that all employees feel valued and respected, fostering a positive and vibrant work environment.
Employee Satisfaction Surveys
To maintain the stable operation of the human resource system, the Company has established the Employee ResignationManagement Standards to continuously improve the employee departure process, avoid losses to the Company due toresignations, and effectively mitigate labor risks.In practice, the dedicated legal personnel of the Company’s Legal and Risk Control Center are primarily responsible for managinglabor risks. Relevant departments work together to form an incident-handling team, which conducts thorough investigations andcommunications in response to labor dispute events. In cases of non-compliance with management standards, promptrectifications and corrective actions are taken to address the issues.
Labor Dispute Management
Employee Training andDevelopment
Key Performance
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, Yilade, TEQ, and Chuan Kai Electric (a wholly-owned subsidiary ofTGOOD HV).
Key Performance
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
During the reporting period, the total training investment by the Company and its subsidiaries amounted to
3.155
million CNY.
As of the end of the reporting period, the employee satisfaction rate for the Company and its subsidiaries was
%.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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The Company effectively integrates internal talent resources and formulates the Internal Lecturer Management System of TGOODGroup. It assesses qualifications based on professional criteria and builds a strong faculty system with comprehensive capabilities.The internal training plan is developed according to actual training needs, and learning courses are created. Annual evaluationsserve as the basis for rewards and penalties for internal trainers, effectively ensuring the quality of internal training.
Faculty Team Development
Case StudyTo build an excellent marketing system, the Company has designed a comprehensive training program for newmarketing personnel, which includes phased mentorship and training sessions. This program covers essential areassuch as market operations, integrated business, smart manufacturing, and marketing skills. It incorporates practicalactivities, such as simulated presentations, to assess and evaluate the trainees’ progress. The systematic approach isaimed at quickly enhancing new employees’ understanding of the Company’s products, business, and industry in theshort term. In the long term, it supports their rapid growth and development in the marketing field.
Training Newcomers in Marketing
Case StudyThe Company aims to enhance capabilities, improve performance, and elevate awareness as training objectives,primarily targeting product line managers and production supervisors. A comprehensive capability enhancementprogram for product lines is developed through specialized courses, business practices, and coaching, whichstimulates individual expertise to achieve training goals.
Enhancing Product Manager Skills
Talent Development Program
Key Performance
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, Chuan Kai Electric (a wholly-owned subsidiary of TGOOD HV),and Yilade.
Key Performance
Focus on Strategy to Support BusinessManagement Line - LeadershipPipeline Development
StrategicOrientation
General Line - Enhancement ofOverall Employee QualitySeniorManagementEmergingLeadersResourceSupport
SetGoals
Change
Roles
ExecuteEffectively
Recruitment of NewEmployees - Blueprint
ProgramUndergraduate -
Wild GooseNavigational
Plan
InstructorCourseMentorLearning Platform
Sailing
Plan
NewEmployees
AllEmployees
InternalTraining
ExternalTraining
TGOODClassroom
ExternalEmpowerment
Professional Line - Key Team Building
MarketingManager
Implementation ofInstitutional Safeguards
TrainerManagement
CourseManagement
Focus on building a key core talent team to achieve the overall improvement of all employees’ quality and capabilities
Internal/ExternalTraining Management
Learning Platform
ManagementMentorship
ProjectManager
TechnicalManager
EngineeringKeyPositions
IndustrialWorkers
Craftsman
ProductionFrontlineShiftLeaderIndustrialWorkers
During the reporting period, the Company and subsidiaries conducted a total of1,693training sessions,with a total training duration of470,149hours and83,165 person-times participated.
As of the end of the reporting period, the Company had a total of
internal trainers and offered
training courses.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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The Company keeps pace with the digital wave and is dedicated to building the “TGOOD Learning“ platform, providing employeeswith a comprehensive and personalized learning experience. The learning platform encompasses five key specialty college sectors:
general capabilities, intelligent manufacturing, professional training, leadership breakthroughs, and excellence in development. Itintegrates over 1,500 high-quality training resources from both internal and external sources, creating a comprehensiveclosed-loop learning ecosystem that spans course design, resource management, and learning assessment. Through a hierarchicalmanagement model across departments and leveraging information technology, the Company meets the diverse learning needsof all employees, creating a positive and engaging learning atmosphere that supports employee growth and the high-qualitydevelopment of the enterprise.The Company has established a Learning Platform Operations Committee to manage the online learning platform and formulatedthe TGOOD Training Operations Ocer Management Mechanism. After selection and certification, a team of internally qualified“Training Operations Officers” with comprehensive capabilities has been formed to organize and plan online training. The teamcontinuously optimizes the employee online learning experience and implements a points-based management system for trainingplans and implementation, which serves as the basis for the appointment and rewards of the Operations Officers.
The Company consistently views occupational health and safety as a critical factor for corporate development. In light of theunique characteristics of the high-voltage power industry, a comprehensive set of safety operating procedures and emergencyresponse mechanisms has been established to ensure the safety of employees and minimize risks. The Company focuses on themonitoring and protection of employees’ occupational health, effectively ensuring their physical and mental well-being, andstriving to achieve a harmonious unity between work safety and corporate development.
Digital Learning Platform
The Company strictly complies with the Law of the People's Republic of China on Work Safety, the Production Safety Regulations inShandong Province, and other laws, regulations, and local provisions. It has developed an HSE Manual and a series of proceduraldocuments that cover all aspects of occupational health and safety management within the Company. The Company’s SafetySupervision Department has established a Work Safety Committee to lead and coordinate all work related to work safety, ensuringthe overall safety of employees’ lives and the protection of company assets.
Management System
Main Procedural Document for Occupational Health and Work Safety in the Company
Establishing a Sound Health and Safety System
Occupational Health and Safety
Key Performance
Note: The data statistical scope includes the Company, TELD, Yichang TGOOD, TEQ, and Chuan Kai Electric (a wholly-owned subsidiary of TGOODHV), and Yilade.
Key Performance
“TGOOD Study” Learning Platform
Management Procedures for Occupational Disease
Prevention and ControlControl Procedures for Occupational Disease Prevention
Facilities in New, Renovated, and Expanded ProjectsElectricity Safety Management ProceduresCrane Operation Safety Management Procedures
Management Procedures for Labor Protection EquipmentManagement Procedures for Safe and Environmental Lifting
and TranspoationFire Safety Management ProceduresManagement Procedures for Accidents, Incidents, and
Near-Misses
As of the end of the reporting period, the Company’s online learning platform offered a total of
courses,encompassing a total of1,694knowledge points. The total learning duration was approximately
15,157.88hours, with an average learning duration per person of
7.86
hours, and the platform’sactivity rate was
91.38
%.
The investment in work safetyamounted to
16.141
million CNY.
The rectification rate forhidden dangers reached
%.
The duration of safetytraining totaled
422,096 hours.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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Opportunities
Risk Identification
Three tenses: past, present, future;Three states: normal state, abnormal state, emergency state;Seven aspects: mechanical energy, electrical energy, thermal energy, chemical energy, radiative energy,biological factors, and ergonomics factors.
The Company has established the Management Procedures for Hazard Identication, Risk Assessment, and Control Measures anddesignates the General Office as the managing entity. This initiative helps systemically control occupational health and safety risks,clarify the processes and key points for risk identification and assessment, and formulate targeted response strategies to enhancethe Company’s ability to manage occupational health and safety risks.
During the risk identification phase, the Company comprehensively considers the characteristics and potential hazardsof various activities, personnel, facilities, and workplaces, and specifically identifies potential sources of danger byintegrating the analysis process of “three tenses, three states, and seven aspects”.
Risk AssessmentDuring the risk assessment phase, the Company uses a combination of qualitative and semi-quantitative evaluations.This approach involves quantifying the likelihood of accidents, the frequency and severity of exposure to hazardousenvironments, the potential consequences of accidents, and categorizing the associated risk levels. Additionally, relevantqualitative factors, including social and legal considerations, are integrated to provide a comprehensive assessment ofoccupational health and safety risks. Based on this evaluation, the Company develops tiered and categorized responsestrategies.
Enhancement of Risk and Opportunity Management
The Company strictly adheres to laws,regulations, and rules, effectivelyensuring the occupational health andsafety of employees, establishing apositive social image, and enhancingthe Company’s visibility.
HighLong-term
Increase in market shareand revenue
CategoryDescription
ImpactDuration
Financial ImpactLikelihood ofOccurrenceCompliancewith Legal andRegulatoryRequirements
By introducing new productionequipment and improving processes,the Company can enhance itstechnological level and reduceoccupational health and safety risks.
MediumLong-termDecreased operating costsDevelopmentof NewTechnologiesand Processes
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In accordance with the Law of the People's Republic of China on Prevention and Control of Occupational Diseases and relevant lawsand regulations, the Company regularly conducts monitoring for occupational disease hazard factors. By engaging a third-partytesting organization to conduct comprehensive assessments of the workplace, the Company evaluates the safety of the employeework environment, promptly identifies potential health risks, and ensures that the Company’s various indicators comply withnational health standards.
The Company is deeply concerned about the occupational health and safety of its employees and regularly organizes occupationaldisease health check activities. Conduct occupational health examinations for workers exposed to occupational disease hazardsthrough professional medical institutions, establish monitoring files for employees’ occupational hazards, promptly identifypotential occupational disease risks, and effectively prevent and control the occurrence of occupational diseases.
In addition to occupational health examinations, the Company and its subsidiaries have implemented a series of comprehensiveoccupational disease protection measures, including the distribution of personal protection equipment and the establishment ofoccupational disease notification cards, to vigorously build a multi-faceted and multi-level occupational disease protection system,ensuring the occupational health and safety of employees.
Occupational Disease Prevention
Occupational Disease Detection
Case Study
In June 2024, the Company commissioned a testingagency to conduct on-site testing and measurementof occupational disease hazard factors. According tothe test, the Company has complied with relevantregulations regarding dust, chemical toxins, noise,and other factors.
Detection of Occupational Disease Hazard Factors at TGOOD
Case Study
In June 2024, the TGOOD HV commissioned a testingagency to conduct on-site testing and measurement ofoccupational disease hazard factors in the workplace.According to the test, TGOOD HV’s chemical andphysical hazardous factors have complied with relevantregulatory requirements.
Detection of Occupational Disease Hazard Factors at TGOOD HVImplementing Occupational Health Management
During the reporting period, the Company and its subsidiaries, including TGOOD HV, Yichang TGOOD, and Chuan KaiElectric, engaged third-party testing companies to conduct assessments of occupational disease hazard factors. Basedon the test results and professional recommendations, the Company and its subsidiaries timely adjusted and formulateda series of rectification and preventive measures, effectively reducing the risk of occupational diseases.
Key Performance
Case Study
In November 2024, the Company commissioned a testingagency to conduct occupational health examinations for80 employees. Additionally, TGOOD HV commissionedJiaozhou Min’an Hospital to carry out occupational healthchecks for 405 employees, with no suspectedoccupational diseases or contraindications detected.
Employee Occupational Health Examination
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To enhance the effectiveness of work safety management, the Company regularly conducts safety inspections and hazardassessments through various methods, including routine and special checks. This process is institutionalized to systematicallyidentify potential safety risks. Identified hazards are recorded and categorized, and based on their severity, rectification plans aredeveloped and corrective actions are taken. This ensures that all safety hazards are effectively controlled and eliminated,safeguarding both safe production and employee health.
Identification of Hidden Hazards
To effectively address and prevent various potential work safety accidents, the Company and its subsidiaries, including TGOOD HVand Yichang TGOOD, have developed an Emergency Response Plan for Production Accidents. This plan details the emergencyresponse procedures, division of responsibilities, handling measures, and subsequent recovery efforts in the event of an accident,ensuring that response actions can be carried out swiftly and orderly in emergencies. At the same time, the Company activelyorganizes emergency drills to test the effectiveness of response plans by simulating accident scenarios, training employees’emergency response capabilities, and continuously improving the emergency management level for work safety incidents.
Emergency Management
The Company places a high priority on the management of work safety accidents and has established a comprehensive work safetyaccident management system. It has formulated management regulations such as the Safety Production Accident ManagementSystem and the Management Procedures for Handling Accidents, Incidents, and Near Misses. Responsibilities have been assigned tosupervisors?and?relevant departments to effectively respond to various work safety accidents. In-depth analyses of accident causesare conducted, and corrective and preventive measures are developed to ensure the safety of employees and the protection ofcorporate assets.
Safety Accident Handling
The Company sees employee safety training as a crucial part of daily management. An annual Occupational Health and SafetyTraining Plan is established to systematically provide training content, allowing employees to acquire essential safety knowledgeand operational skills. This enhances their self-protection abilities, reduces workplace safety risks, and provides a strong foundationfor the Company’s stable development.
Safety Training
Strengthening Work Safety Management
Case StudyIn July 2024, Chuan Kai Electric organized an emergency evacuation drill themed “Everyone Speaks of Safety, EveryoneKnows Emergency Response - Smooth Life Channels”. All departments worked closely together and participatedactively, allowing all employees to complete the emergency drill in an orderly manner and achieve the expected resultsof the exercise.
2024 Emergency Evacuation Drill at Chuan Kai Electric
Key Performance
During the reporting period, the Company conducted
safety emergency drills.
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The Company prioritizes its own work safety while strictly controlling the safety supervision of contractors and construction parties.It has established the Safety Management System for External Construction Units and the Management Procedures for RelevantStakeholders that May Have an Impact, clarifying the safety responsibilities and supervision measures for relevant stakeholders.Additionally, through efforts such as signing of the HSE Agreement, on-site inspections, and hazard identification, the Companycomprehensively enhances its occupational health and safety management level of relevant stakeholders.
Stakeholder Management
Case StudyTo actively respond to the theme of the 23rd National Safety Production Month, “Everyone Speaks of Safety, EveryoneKnows Emergency Response - Smooth Life Channels”, and to strengthen employees’ safety awareness, in June 2024,the Company promoted safety through activities such as work safety promotional posters, hazard identification andrectification, viewing safety evacuation videos, and safety games. These initiatives helped employees deeply understandthe importance of safety and prevent work safety accidents.
Safety Production Month
Case Study
In November 2024, the Company actively responded torelevant requirements by enhancing the safety managementawareness of its primary responsible personnel and worksafety management staff. It invited safety managementexperts from Sichuan Province to conduct training on SafetyLaws and Regulations and Typical Accident Cases as well asOn-Site Safety Management Knowledge. The training resultwas assessed through theoretical examinations, aiming toimprove the safety management level of the managementteam.
Training for Safety Management Personnel
Note: The data statistics scope includes the Company, TGOOD HV, TELD, Yichang TGOOD, and Chuan Kai Electric (a wholly-owned subsidiary ofTGOOD HV).
10,000 CNY
Sessions
Person-times
Hour
Person
Total investment in safety training
Number of safety training sessionsNumber of person-times participatedin safety trainingTotal training duration
Number of participants in safety training
30.84
1,418
56,551
422,096
9,712
Key Performance2024Unit
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
141 142
Party Building DrivingDevelopmentCorporate GovernanceCompliance
Strengthening RiskControlEnhancing InvestorRelations Management
Practicing BusinessEthicsAdvancing DigitalTransformation
Exceptional Governance,Innovating a New Modelof Non-Public SectorParty Building
143 144
特来缘
数字能源
Forging a Community of Shared Future
TGOOD fully embraces the spirit of General Secretary Xi Jinping on party-building in non-public enterprises, actively promotingthe integration of party and business, and driving innovation. The Company has pioneered a new “Ecological Party Building” modelfor non-public enterprises. By establishing an ecological party-building system based on the principles of “Community with ashared future, altruistic philosophy, and the happiness of Party members”, the Company has successfully integrated party-buildingwith corporate culture and development, creating a “Red Engine” that propels the Company’s growth.The core philosophy of TGOOD’s ecological party-building is that “Party building should not be a cost to the Company, but asource of profit; it should not be a lofty ideal, but the solid root anchoring the Company”. The Company follows the “threepriorities” principle: prioritizing Party members in recruitment, in cadre selection, and in overcoming challenges. This approach hascultivated a highly cohesive, strong, high-caliber, high-performance, and responsible Party member team, known for its “wolfspirit”, which plays a key role in the enterprise development.
The Company has established the “Wall of Original Aspirations” and “Tree of Dreams”, showcasing 100 selected party members’original aspirations each year, integrating communist ideals with the growth of the Company and its employees. Every two years,a selection of “Party Member Craftsmen” is conducted, highlighting 50 exemplary cases each time to reinforce the pioneering andexemplary role of party members. Regularly, the Company holds its “Special Three Meetings”: a quarterly senior leadershipdemocratic life meeting, a monthly mid-level reflection meeting, and occasional employee “Sunshine Criticism” sessions,encouraging frequent self-criticism and constructive feedback to ensure party members remain aligned with their original idealsand are ready to embrace their responsibilities.
Cultivating an Altruistic PhilosophyThe Company has embedded the principle of “altruism” in every party member’s mindset, consistently adhering to the philosophythat party members serve the people, employees serve customers, and the enterprise contributes to society. The Company carriesout a themed practice activity called “Pairing Three People, Doing Three Acts of Altruism”, where one party member mentors twoemployees to perform three acts of kindness each year. This initiative nurtures an altruistic ecosystem that promotes mutualwarmth, personal growth, customer satisfaction, business development, and social benefit.
Fostering the Well-being of Party MembersThe Company’s Party Committee actively creates platforms to provide comprehensive incentive policies for party members andemployees. The “Party Member Innovation Wall” is established to showcase 20 outstanding innovation projects annually, allowingevery employee to fully utilize their strengths. The Company has also implemented an employee stock ownership plan, enablingoutstanding party members and employees to share in the Company’s growth and success. Furthermore, the Company hasestablished a Party Members’ Public Welfare Association, a Gratitude Fund, and a “Filial Piety Salary” system, where employeeswho have worked for one year can receive a “Filial Piety Salary” for their parents. These initiatives foster harmony and mutualbenefits in employees’ families, careers, and social lives.
Party Building DrivingDevelopment
In June 2017, TGOOD’s ecological party-building case wasselected and included in the Tsinghua University TeachingCase Library, marking a pioneering achievement in both thenon-public and national party-building fields. This case wasalso added to the Party Building Case Library of the ListedCompanies Association and the Harvard University CaseLibrary. The Company’s Party Committee has receivednumerous accolades, including “Advanced Grassroots PartyOrganization of Shandong Province”, “Demonstration Site forParty Building in Two New Organizations of ShandongProvince”, “Qilu Pioneer Party Organization in Non-PublicEnterprises of Shandong Province”, “Advanced GrassrootsParty Organization in Non-Public Economic Organizations ofQingdao”, and “First Batch of Five-Star Party Organizations inQingdao”. In 2023, it was recognized as the “First Classroomfor Party Building in Municipal Direct Departments ofQingdao”.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
145 146
Party Building Practices
Integration of Party Building and Business OperationsParty Building Honors
Case StudyIn the technical R&D phase, a multi-layer station innovation team, led by the Party branch secretary, played a pivotalrole in the first-unit project. This team not only ensured the high-quality R&D, design, and manufacturing of theproduct but also effectively controlled process costs, creating a high profit margin for the first unit. When EPCconstruction capacity was insufficient, the team took the initiative to manage on-site construction and providetechnical guidance, ensuring the project was successfully executed.
Party Members Leading the Full-Process Implementation of South Grid’s First Three-LayerIntegrated Station
The Company has closely integrated party leadership with business management, ensuring that the Party’s ideals, guidelines, andpolicies serve as the internal driving force for company decision-making and execution. This alignment has enabled thesynchronized advancement of both party building and corporate development, enhancing the Company’s overall competitivenessand sustainable development capacity.
The Company’s Party Committee has harnessed its strengths to innovate its party-building model, implementing a strategicapproach with four key pillars: “Consolidating the grassroots organizational foundation, promoting business integration,establishing party member responsibility, and strengthening innovation and development”. These initiatives have effectively driventhe Company’s high-quality growth.
Successfully managed the full process of product R&Dand manufacturing, with the project delivered onschedule.Leveraged technical innovation and product structureimprovements to significantly increase the project’sgross margin.
Key Performance
Key Performance
Case StudyThe Value Operations Party Branch fully leveraged the expertise of its party members, establishing an annual “TurningChallenges into Opportunities” research initiative. By using a competitive “research leaderboard” approach, theCompany empowered outstanding party members to lead teams in solving complex business challenges.
Party Member Team Leading the Research by “Turning Challenges into Opportunities”
Eight cases, including Optimization of Design andResource Allocation for Prefabricated SubstationSelf-Manufactured Equipment, successfully transformedchallenges into opportunities. The results and materialswith significant market value have been added to theMarket Support Center’s Shared Repository.
Key Performance
During the reporting period, the Company held
Party Committee meetings.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
147 148
The General Meeting of Shareholders
The Company strictly adheres to the Code of Corporate Governance for Listed Companies, the Company Law of the People's Republicof China, and other relevant laws and regulations. It has established a core governance framework based on its Articles ofAssociation, integrating key systems such as the Rules of Procedure for the Board of Directors, and the working rules of the BoardCommittees. This framework comprises a governance structure formed by the General Meeting of Shareholders, the Board ofDirectors, and the management team, committed to continuously enhancing governance effectiveness and promoting theCompany’s standardized operations.
As the highest governing body of the Company, the General Meeting of Shareholders strictly convenes in accordance with therelevant regulations such as the Aicles of Association and the Rules of Procedure for General Meetings of Shareholders, makinginformed decisions on matters related to the Company in a lawful and compliant manner. The Company places great importanceon the protection of shareholder rights, particularly the legitimate rights of minority shareholders. To this end, the Company’sGeneral Meeting of Shareholders provides a comprehensive online voting option to ensure that shareholders can convenientlyexercise their voting rights.
The Board of DirectorsDuring the reporting period, the Company’s Board of Directors consisted of 9 members, including 3 independent directors. Thesize and composition of the board comply with relevant laws, regulations, and the provisions of the Aicles of Association. TheCompany’s directors strictly adhere to laws, regulations, the Aicles of Association, and internal rules and regulations. They attendGeneral Meeting of Shareholders and meetings of the Board of Directors on time, actively participate in the decision-makingprocess for major company matters, and continuously enhance their professional capabilities by regularly attending trainingprograms, fulfilling their duties and obligations with diligence and responsibility.Independent directors, in accordance with the System of Work of Independent Directors, fully leverage their independence andprofessional expertise to make independent judgments and deliberations on significant matters of the Company, providingconstructive opinions and suggestions. During the reporting period, independent directors actively participated in meetings of theBoard of Directors and specialized committee meetings, expressing independent opinions on key topics such as related partytransactions, profit distribution, and the appointment and dismissal of senior management. They effectively supervised theCompany’s operations, protected the interests of minority shareholders, and ensured the fairness, transparency, and scientificnature of the decisions of the Board of Directors.
The Company views the diversification of the Board of Directors as a key factor in promoting balanced and healthy corporatedevelopment and enhancing core competitiveness. The board members show a diverse distribution in terms of gender, age,professional background, and educational level, bringing diverse perspectives and extensive industry experience to the Company,thereby providing a wealth of knowledge resources and professional insights for decision-making. A diverse Board of Directors cancomprehensively assess market trends, industry dynamics, and potential risks, enabling the formulation of more forward-lookingand adaptive strategic plans, thereby enhancing corporate governance and decision-making efficiency and ensuring theCompany’s stable operation.
Corporate Governance Compliance
Key Performance
During the reporting period, the Company held a total of
General Meetings of Shareholders, including
extraordinary General Meeting, during which
proposals were approved.
Key PerformanceDuring the reporting period, the Company held a total of
meetings of the Board of Directors and approved
resolutions.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
149 150
Compliance ManagementThe Company consistently adheres to a compliance-first management philosophy, establishing a rigorous compliance managementsystem that permeates the entire governance process. This ensures that all business activities of the Company comply with laws,regulations, industry standards, and internal rules and regulations. At the same time, the Company actively conducts compliancetraining to strengthen employees’ awareness of compliance, prevent compliance risks and operational risks, and ensure thestandardization of corporate behavior.
Risk ManagementIn the strategic deployment of risk management, the Company has established a comprehensive and robust risk managementsystem. The Company has established a Risk Control Committee and a Decision-making Committee by formulating the OperationalRegulations for the Risk Control Committee and Decision-making Committee of TGOOD Group. Leveraging the expertise andcapabilities of committee members in financial, legal, auditing, and operational fields, the committees assess factors such as thealignment of projects with the Company’s development strategy, profit expectations, changes in the market environment, thecredit status of partners, and compliance with laws and regulations. This enables a comprehensive and in-depth identification andevaluation of the Company’s risks and their impact.
To enhance decision-making efficiency and management standards, the Board of Directors has established four BoardCommittees: the Audit Committee, the Strategy Committee, the Nomination Committee, and the Remuneration and AssessmentCommittee. Each committee performs its designated functions and collaborates effectively to provide strong support for theCompany’s stable development and the maximization of shareholder interests.
Case Study
During the reporting period, the Company, incollaboration with the continuous supervisioninstitution, China Merchants Securities, conductedtraining for directors, supervisors, and seniormanagement. The Company’s directors, supervisors,and relevant staff actively participated in the training,resulting in a positive response.
Strengthening Risk Control
Key Performance
BoardMembers byGender
BoardMembers byAge
Compliance TrainingBoardMembers by
EducationLevel
Board Membersby ProfessionalBackground
MaleFemale
Below Bachelor’sBachelor’sMaster’sDoctorate
AccountingElectrical-relatedLawFinanceOthers
50-60 years old40-50 years old
8 (89%)6 (67%)1 (11%)
2 (22%)
5 (56%)2 (22%)
4 (45%)
1 (11%)
1 (11%)
1 (11%)1 (11%)1 (11%)
3 (33%)
During the reporting period, the Company held a total of
meetings of the Board Committees, including:
meetings of theAudit Committee;
meetings of theNomination Committee;
meetings of the Remunerationand Assessment Committee.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
151 152
Management of Related Party Transactions
The Company has established a comprehensive approval process and control mechanism for related party transactions, effectivelystrengthening the standardized management and effective supervision of related party transactions. The Related Pay TransactionManagement System has been established, which covers key aspects such as identification, approval, reporting, and informationdisclosure of related party transactions. Through this, the Company ensures that each related party transaction strictly adheres tothe principles of market fairness, justice, and openness. This prevents any form of benefit transfer and effectively protects thelegitimate rights and interests of the Company and all shareholders, especially minority shareholders, from being infringed upon.
Case Study
In July 2024, the Company’s Legal and Risk Control Center conducted procurement management training, explainingcontract signing requirements and basic legal litigation knowledge to relevant personnel, strengthening the procurementteam’s risk awareness in contract management.
Procurement Management Risk Management Training
Case Study
In October 2024, the Company’s Legal and Risk Control Center conducted legal training related to marketing,enhancing the marketing team’s ability to manage legal risks during the consortium bidding process by explaining therisk points and precautions involved in consortium bids.
Risk Management Training for the Marketing and Business Department
To enhance the risk management effectiveness of TGOOD, the Internal Audit Department regularly conducts comprehensive auditson key business segments such as smart manufacturing, integrated services, and marketing. During the reporting period, the AuditDepartment planned and executed dozens of audit projects, providing hundreds of targeted recommendations. At the same time,the Company is committed to continuously tracking and rectifying issues identified in audits on a monthly basis to ensure theeffective implementation of corrective measures and closed-loop management.
Risk Audit
The Company places great importance on risk management training. Through a systematic training curriculum, it comprehensivelyenhances employees’ ability to identify and respond to various risks, including market, financial, operational, and legal risks. Thisfurther strengthens employees’ risk awareness, providing a solid guarantee for the Company’s stable operations.
Risk Management Training
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
153 154
Information Disclosure ManagementThe Company strictly complies with the Administrative Measures for Information Disclosure of Listed Companies and other relevantlaws and regulations, and has established the Information Disclosure Management System to standardize matters related toinformation disclosure. It clarifies the standards and procedures for information disclosure, as well as the departments andresponsible personnel involved in investor relations. The Company strengthens the supervision and control of the informationdisclosure process to ensure that disclosures are true, accurate, complete, and timely, thereby enhancing the transparency andquality of information disclosure.The Company values the management of insider information confidentiality and has developed a series of regulatory documents,including the Insider Information Management System. It continuously strengthens the confidentiality of insider information,maintains the principle of fair information disclosure, and ensures that the processes of transmitting, reviewing, and disclosingnon-public information are legal and compliant, thereby preventing insider trading. The Company’s Board of Directors isresponsible for the management of insider information, ensuring that the records of individuals privy to insider information areauthentic, accurate, and complete, with the chairman being the primary responsible person.
Investor Relations Management
To enhance communication with investors and improve corporate governance compliance, the Company has established theInvestor Relations Management System. This system standardizes the principles, functional departments, and specific processes forinvestor relations management. Through various channels such as performance briefings, investor open days, and IR interactiveplatforms, the Company builds a comprehensive communication bridge with investors, ensuring timely and transparent informationdissemination. This effectively addresses investor concerns, strengthens their trust and support for the Company, and creates astable and harmonious external environment for the Company’s sustainability.
Shareholder ReturnsThe Company adheres to a shareholder value-centric approach, upholding the concept of actively returning value to shareholders.It is committed to achieving sustainable and stable profitability through excellent operational management and robust businessdevelopment. The Company, while pursuing performance growth, comprehensively considers its financial status, marketenvironment, and future development plans to formulate a scientific and reasonable dividend strategy, ensuring that shareholderscan genuinely benefit from the substantial returns from the Company’s growth.During the reporting period, the Company implemented the 2023 Annual Profit Distribution Plan, distributing a cash dividend of
1.00 CNY (tax included) for every 10 shares to all shareholders. The total amount distributed was 104,020,337.30 CNY, accounting
for 21.18% of the net profit attributable to shareholders of the listed company in the consolidated financial statements.
Enhancing Investor RelationsManagement
Key Performance
Key Performance
Case StudyIn May 2024, TGOOD successfully held an Investor Open Day event, attracting active participation from numerouswell-known investment institutions and individual investors. During the event, investors visited the Company’s NewEnergy Eco-Technology Museum to gain an in-depth understanding of TGOOD’s cutting-edge technologies andinnovative achievements in the field of new energy. Subsequently, investors engaged in in-depth discussions with theCompany’s executive team, exploring core topics such as corporate strategy, business development, and futureplanning. This built an efficient communication bridge between both parties, further enhancing investors’ confidenceand expectations towards the Company.
Investor Open Days
During the reporting period, the Company disclosed a total of
announcements, including:
regular reports;
interim announcements;The Company received an annual information disclosure assessment rating of GradeA, and it has not been penalizedfor violations related to information disclosure.
During the reporting period,the Company held
open days;
Held
open investorforums;
Received
person-times of visits frominvestors for research;
Conducted
interactive Q&A sessionswith investors.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
155 156
Anti-CorruptionThe Company strictly adheres to relevant laws, regulations, and business ethics. Based onthe TGOOD Group Management Measures on Anti-Corruption and Supeision, it hasestablished stringent rules and regulations against bribery and corruption, along with anindependent supervision mechanism. This framework clearly defines the scope andauthority of supervisory work, covering everything from anti-corruption to accountabilityfor dereliction of duty, and from internal supervision to integrity education, ensuringcomprehensive protection of the Company’s operational integrity and self-discipline. Byestablishing an independent audit supervision center, the Company ensures theindependence, objectivity, and fairness of its oversight work. Meanwhile, it introduces asuperior joint penalty mechanism to strengthen the awareness of joint responsibility,further consolidating the integrity red line mechanism, thus providing a solid guarantee forthe Company’s steady development.
Practicing Business Ethics
Establish a red-line deterrent mechanism where corruption is bothunthinkable and impossible, ensuring that corrupt individuals pay theprice while fostering the healthy growth of self-disciplined individuals.Prevent corruption risks and enhance the Group’s profitability.
Anti-Corruption Goals
The Company focuses on enhancing integrity risk control, concentrating on key areassuch as procurement and marketing to combat commercial bribery and corruption. Eachyear, it organizes frequent audit inspections conducted by experienced professionals.Meanwhile, the Company leverages advanced big data analytics technology to accuratelyidentify potential risk points, significantly enhancing the foresight and effectiveness ofintegrity risk management, and maintaining the Company’s good image in business ethics.
Integrity Risk Control
The Company implements strict anti-corruption supervision and management measures,and establishes the Red Line Management System of TGOOD Group and the Integrity andProfessional Conduct Supeision and Management System. Through measures such asconducting integrity follow-ups and interviews, and maintaining records of relatedparties, the Company strengthens the supervision and inspection of employees’ businessconduct to ensure that various corrupt behaviors can be detected and addressed in atimely manner. The Company adopts a zero-tolerance approach towards any violations ofeconomic boundaries and acts of corruption. Serious actions will be taken in accordancewith laws and regulations, including disciplinary measures, financial compensation, andeven referral to judicial authorities, depending on the severity of the case. The aim is tofully safeguard the healthy operation of the enterprise.In addition, the Company has signed the Integrity Self-Discipline Agreement with keyposition employees to implement the business ethics and integrity standards thatemployees should adhere to in their professional conduct. The Company has also signedthe Supplier Integrity Commitment Agreement with suppliers and other partners, requiringthem to uphold the principle of integrity in business dealings and jointly create a fair andequitable business environment.
Supervision and Management
Key Performance
During the reporting period,
% of the Company’s employeessigned the Integrity Self-Discipline Agreement.
% of the Company’s suppliers signed the Integrity CommitmentAgreement.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
157 158
Anti-Unfair CompetitionAs a leading domestic power equipment and charging network operator, the Company understands that a market competitionenvironment characterized by integrity, transparency, fairness, and justice is the cornerstone for promoting the healthydevelopment of the industry. The Company strictly adheres to the Anti-Monopoly Law of the People's Republic of China and theAnti-Unfair Competition Law of the People's Republic of China, as well as other relevant laws and regulations. During its productionand operation processes, the Company upholds the bottom line and consistently adheres to the principle of fair competition. Itresolutely refrains from engaging in monopolistic behavior by leveraging its market position and continuously enhancing its owncapabilities, product quality, and service quality to earn the trust and support of its customers. During the reporting period, theCompany did not experience any incidents of violating laws and regulations related to unfair competition.
Reporting ChannelsThe Company actively improves its corruption reporting mechanism toeffectively curb corruption and unfair competition. Multiple reportingchannels have been established, including phone, mail, email, andpublic account reporting links, which are publicly disclosed on theofficial website and other platforms to protect the legal interests of theCompany and relevant personnel. While ensuring the transparency andefficiency of the reporting process, the Company focuses on improvingthe handling procedures for whistleblower tips and strengthening theconfidentiality of the information of complainants. Whistleblowers canchoose to report anonymously or with their real identity. They willreceive a prompt response after the report is received, and theinvestigation results will be regularly communicated back to thewhistleblower.
Tel.: 0532-89087382Email: shenji@tgood.cn
The Company is committed to building a clean corporate culture and actively promotes activities such as “Integrity Activity”,anti-corruption conferences, and procurement empowerment training within the organization. Through leadership at all levels, theCompany comprehensively implements the requirements for integrity construction, enhances employees’ awareness of cleanpractices, and effectively prevents and reduces corruption risks.
Integrity Training
During the reporting period, theCompany conducted
integritytraining sessions.
The number of person-timesparticipated in integrity trainingactivities was8,600.
The participation duration inintegrity training activitiestotaled13,000 hours.
Key Performance
Reporting Channels
Procurement Empowerment TrainingIntegrity Conference
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
159 160
TGOOD is accelerating its digital transformation to achieve the strategic goal of Excellence by 2025. The Company has developeda three-year digital blueprint that focuses on the deep integration of business, finance, incentives, and data, committed to buildingan end-to-end value chain and a digital platform for the entire product lifecycle. Currently, the digitalization process has reachedstage 3.5, focusing on integrating business flows with customers and suppliers to achieve more efficient collaboration and valuecreation.
During the transformation process, TGOOD optimized its R&D model, shifting from Engineer-to-Order (ETO) to Make-to-Stock(MTS), enhancing the profitability of intelligent manufacturing. Meanwhile, by leveraging production execution planning andInternet of Things (IoT) technologies, it optimized manufacturing processes, achieving shorter delivery times, reduced costs,improved efficiency, and enhanced quality. Additionally, the Company has optimized inventory management and enhancedafter-sales service capabilities through digital means, significantly improving operational efficiency and customer satisfaction.
Advancing Digital Transformation
Streamlining internal businessprocesses at TGOOD—3 points
Exploring the full business flowdata value—4 pointsStreamlining the business flowbetween TGOOD and customersuppliers—3.5 pointsOrganization:
Cross-organizationalcollaboration; providetraining mechanisms andresource support for thecontinuous enhancementof supply chain personnelcapabilities.Business: From order todelivery, with planning asthe leader, achieve anefficient and integratedplanning system forproject management,master planning, solutions,secondary processes,materials, production, andshipping, along with acoordination mechanismfor production and sales.Performance: The KPImetric system drivesimprovements in supplychain efficiency.IT: Build an integratedsupply chain platform withTGOOD’s characteristicsthat promote informationtransparency, sharing, andefficient collaboration.
Iterative upgrade ofinternal operations, andKPI system upgradeEfficient collaboration withstrategic suppliers:
Coordination of themaster plan, long-termplan, and supplier plan;coordination of materialplanning with supplierstocking plans andsupplier productionschedules; coordination ofsupplier delivery planswith warehouse receivingplans.Efficient collaboration withkey customers: Formulatejoint business plans withkey customers to achievedeep synergy betweencustomer needs andTGOOD’s delivery.IT: Build an integratedsupply chain ecosystemplatform for keycustomers, TGOOD, andstrategic suppliers.
Establish the TGOOD DataCenter: Based on the datafrom the TGOODIntegrated Supply ChainEcological Platform,extract data value andsupport decision-makingutilizing data modelingand new technologyapplications.Deepen the conversion ofdata value into businessvalue, provide upstreamand downstream partnersand customers withvalue-added servicesbased on data insights,and explore innovations inbusiness models andrevenue models.
Enhancement ofRevenue ReserveCapacity
Improvement inRevenue Forecasting
Capability
Enhancement ofProject ExecutionCapability
Improvement inProfit ContributionAbility
Improvement ofNet ProfitCapabilityBusinessClosed-loop
Capability
Business
DigitalContinuityCapability
DigitalizationCapability in
Business
Digitalization of Core Business Competencies(Technology, project execution, procurement,
and other capabilities)
End-to-end Process Digitization(Digitalization of processes, rules,
and risks)
Digitalization of Operational Capability(Digitalization of KPI, variance analysis, and
performance)
Corporate InnovationChain Data
Opportunity –Bidding StageBusinessOpportunity
BiddingContract
Corporate Value
Chain Data
Corporate Asset
Chain DataLowest Cost/Fastest Delivery
Business DigitalContinuity Capability
Digitalization ofOperational Capability
End-to-end Process
Digitization
Cost Model
DeliveryTime Model
Risk Model
DifferenceAnalysis Model
Early Warning
Model
TriggerMechanism
Model
Raw MaterialCirculation Model
ProductCirculation
Model
ReceivableCirculation
Model
KPI ImprovementAsset Turnover Rate
Project ExecutionAfter-sales Stage
Agreement
Plan
OrderDesignProcurementConstructionLogistics
EngineeringAfter-Sales
PowerTransmission
Receivables
QualityAssurance
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
161 162
During the reporting period, the Company established the systemcapabilities of the Intelligent Manufacturing Factory, achieving dataintegration across LTC, PLM, CAM, WMS, and IOT. The unfolding,auto-layout, and auto-programming were automatically generatedthrough programming, from the production plan to the equipment.Programming efficiency was improved by 25%, the production cycleshortened by 15.38%, and the OEE increased by 29.54%.The Company has launched a comprehensive digital qualitymanagement system, achieving visualization of quality managementand full-process traceability, providing managers with real-time datasupport and decision-making basis. At the same time, the Companyhas introduced an SRM procurement management platform, which hasreduced procurement costs and improved delivery timeliness, furtherstrengthening the stability and efficiency of the supply chain. This hasenhanced TGOOD’s internal operational efficiency and increased theCompany’s competitiveness in the market, laying a solid foundation forachieving long-term strategic goals. During the reporting period, theCompany received the certificate for the Second China IndustrialDigital Transformation Pioneer Enterprises.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
163 164
Technological Innovation and Digital TransformationTGOOD will continue to increase its investment in R&D, focusing on technological innovations inintelligence, digitalization, and sustainability. Through the deep application of technologies suchas the Internet of Things, big data, and artificial intelligence, we enhance the intelligence level ofour products and optimize user experience, while also improving internal operational efficiency,contributing to the establishment of a cleaner and more efficient energy system.
Green Development and Carbon Neutrality GoalsIn the context of the global energy transition, TGOOD is committed to actively supporting thenational “dual carbon” strategy. The Company is focused on the development and operation ofnew energy-charging infrastructure to accelerate the adoption of new energy vehicles, therebycontributing to carbon reduction in the transportation sector. At the same time, TGOOD willcontinue to optimize its energy structure, increase the proportion of clean energy use, reducecarbon emissions, and contribute to achieving carbon neutrality goals.
Future OutlookLooking ahead, TGOOD will continue to uphold the core concept of sustainability, driven by technological innovation.The company is committed to green development and embracing its social responsibility. TGOOD aims to makesignificant breakthroughs in fields such as high-end power equipment and electric vehicle charging, with the goal ofcreating greater value for society.
Social Responsibility and Value CreationTGOOD has always regarded social responsibility as one of the core values of its corporate devel-opment. In the future, we will continue to focus on the health and safety of our employees,promote the development of corporate culture, and create a more harmonious working environ-ment. At the same time, TGOOD will actively engage in public welfare initiatives, making mean-ingful contributions to society through efforts in education, poverty alleviation, and environmentalprotection, all while working towards the creation of a better future.
Global Layout and Market ExpansionWith the rapid development of the global new energy market, TGOOD will continue to expand itsinternational market and strengthen deep cooperation with global partners. Through opportuni-ties such as the “Belt and Road” initiative, TGOOD will bring China’s advanced new energytechnologies and solutions to more countries and regions, contributing to global energy transfor-mation and sustainability.
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
165 166
IndexAnnex
About this Report2-1/2-2/2-3/2-4P1.1/P1.2
P2.12-22Message from the Chairman
Chapters and Sections
Guide to CorporateSustainability Repoing inChina（CASS-ESG6.0）》Sustainability Repoing
Standards of GlobalSustainability Standards Board(GSSB)(GRI Standards)
Chapters and Sections
Guide to CorporateSustainability Repoing inChina（CASS-ESG6.0）》Sustainability RepoingStandards of GlobalSustainability Standards Board(GSSB)(GRI Standards)
About TGOOD
Topic I: Wisdom-PoweredGreen Motion: DrivingInnovation in the NewPower System, Leading theNew Forms of EnergyTransformation
P3.1/P3.32-1/2-2/2-6Company Profile
//Smart Manufacturing + IntegratedServices: Empowering New PowerSystem Construction withInnovative Technology
//Electric Vehicle Charging Network:
Building a New Ecosystem for theDual Integration of New Energy andNew TransportationTopic II: Connecting theSmart World —Accelerating GlobalExpansion and Supportingthe Energy Transition
//Comprehensive PowerSolutions Propel GlobalEnergy Transformation
//Fuel the Global ElectrificationAcceleration with LeadingCharging Network Ecosystem
P3.22-17Corporate Culture
//Milestones in 2024
Innovation Leadingthe Way: “One StepAhead, Leading Allthe Way”
Customer Orientation:
Delivering ExquisiteProducts andExceptional Services
Co-creating andSharing: Building aCommunity ofMutual Benefits andShared Future
ExceptionalGovernance,Innovating a NewModel of Non-PublicSector PartyBuilding
Future OutlookA1/Annex
A3/Index
A62-3/2-29Feedback
201-1Performance in 2024/
Implementing ESGPhilosophies andBuilding a NewHarmoniousEcosystem
Green Pioneers:
Eliminating Exhaust andSmog for a HealthierFuture
2-27/203-2Sustainable Development GoalsS2.12-27/416-1/416-2Sustainable DevelopmentManagement
S3.3417-3Communications withStakeholders
S3.32-27/204-1/308-1/414-1Management of Material TopicsS3.1
2-27/203-2Innovation Leading IndustrialDevelopment
S2.1
2-27/203-2R&D Innovation ManagementSystem
S2.1
2-27/203-2R&D Innovative Strategic GoalsS2.1
2-27/203-2R&D Innovative AchievementsS2.12-27/416-1/416-2Strict Control of Product QualityS3.3417-3Optimizing After-Sales ServiceS3.3
404-1/404-2Employee Training andDevelopment
S4.3
2-27/204-1/308-1/414-1Responsible Supply ChainS3.12-27/418-1Protection of Information SecurityS3.4
207-2Strengthening Risk Control/2-16/2-27/2-29Enhancing Investor RelationsManagement
//Advancement of DigitalTransformation
/2-27/205-2Practicing Business EthicsG2.1/G2.2
301-2/301-3Efficient Utilization of ResourcesE3.3
2-9/2-27/201-2/305-1/305-2/305-4/305-5Response to Climate ChangeE1.1
2-9/2-27/302-1/302-2/302-3/302-4/303-5/306-1/306-2/306-3Enhancing EnvironmentalManagementE2.1/E2.2/E2.4/E3.1/E3.2
2-19/2-20/401-2/404-3/2-26/401-3Employee Care and BenefitsS4.1
/Party Building Driving Development/2-9/2-10/2-12/2-13/2-14/2-27/405-1Corporate Governance Compliance/
2-7/2-26/2-27/401-1/405-1/406-1/408-1/409-1Employee Recruitment andInterests
S4.1
403-2/403-3/403-6/403-7/403-9/403-10/403-5Occupational Health and SafetyS4.2
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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1. For TGOOD, you are:
□ Government / Regulatory Agencies □ Shareholders/Investors □ Customers/Suppliers
□ Employees □ Community/the Public □ Media / Industry Association □ Others (please specify)
2. Your overall assessment of the Company’s ESG report:
□ Very Good □ Good □ Average
3. How do you think we have communicated with stakeholders?
□ Very Good □ Good □ Average
Thank you for reading this report. We highly value and look forward to hearing your feedback on this report. Your comments andsuggestions are crucial for us to continuously improve our information disclosure, management and practices in connection withESG. We welcome and sincerely appreciate your valuable comments!
You can contact us through the following modes:
Tel.: 0532-80938126Email: ir@tgood.cnAddress: No. 336 Songling Road, Laoshan District, Qingdao City, Shandong Province.
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4. How do you think we have fulfilled our product responsibilities?
□ Very Good □ Good □ Average
5. How do you think we have performed in terms of environmental, safety, and occupational health?
□ Very Good □ Good □ Average
6. How do you think we have fulfilled our employee responsibilities?
□ Very Good □ Good □ Average
7. How would you rate the information disclosure, layout design, and readability of this report?
□ Very Good □ Good □ Average
8. Any comments or suggestions on our ESG performance and this report?
Qingdao TGOOD Electric Co., Ltd.2024 Environmental, Social, and Governance (ESG) Report
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