ENVIRONMENTAL, ENERGY AND CLIMATE CHANGE POLICY

Sofia Med is committed to operate with responsibility and respect for the environment and society. Sound environmental and energy management of our production installations and auxiliary activities is one of the most important operational goals and is essential to secure the sustainability of our activities. This policy confirms our approach to be a part of the global effort to tackle climate change. As significant consumer of energy, we are committed to buying and using energy in a responsible, efficient and cost-effective manner with the aim to reduce our carbon footprint. The main parameters that govern the aforementioned framework, are integrated into the Environmental and Energy Management System which follows the requirements of the International Standards ISO 14001 and ISO 50001 and apply to all of our activities, for the design, production and sales of company products.

The principles that the implementation of the Environmental and Energy Management System is based upon, are specified in the present Environmental, Energy & Climate Change Policy with the commitment of the company to the following:

Environment

• Operate in compliance with applicable environmental legislation and other company commitments, as well as with the specific environmental operational terms of each installation;
• Operate responsibly, aiming to minimize potential impacts to the environment's components, including atmospheric air, soil and water, and biodiversity, and set up mechanisms for monitoring the environmental aspects, risks and opportunities;
• Set targets of the Company's environmental management system, as well as quantitative goals for continuously improving our environmental performance and minimizing our environmental footprint;
• Strive to increase the use and recycling of secondary raw materials in order to contribute to a circular economy and minimize our products' carbon footprint while at the same time optimize all processes and develop new technologies that allow for minimum generation of waste;
• Manage operational waste according to the principles of the circular economy;
• Take the necessary preventive measures to ensure environmental protection for the storage of hazardous substances;
• Recognize that water is a precious natural resource and that water resources must be conserved and aquatic life must be protected. The Company shall make efficient use of water in our operations and will strive to increase the efforts to reduce water consumption, and increase water reuse and recycling;
• Address any potential environmental incidents by following the designated procedure of environmental incident response and relevant investigation;
• Communicate our performance transparently and participate in an open dialogue on environmental issues with all stakeholders.
• Encourage business partners (suppliers, subcontractors) to adopt the same environmental principles as ours.

Energy and Climate Change

• Comply with all energy and carbon-related legislation and other regulatory and reporting requirements;
• Set targets to Improve energy efficiency continuously by implementing effective energy management programs that support all operations while providing a safe and comfortable work environment;
• Evaluate all infrastructure investments (new equipment, refurbishing of existing equipment) and new production processes on the basis of energy and carbon footprint contribution;
• Develop strategy to effectively identify and reduce the carbon footprint; both direct and indirect of the Company and its products;
• Engage in industry standard initiatives to set up a carbon reduction program throughout the value chain and involve all stakeholders;
• Train employees in energy management practices according to their role and area of influence;
• Actively engage with trade and public bodies to develop and implement best practices;
• Regularly review and report on our performance and ensure continuous improvement.