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According to a recent amendment of the Kazakhstani Environmental Code, the authorised body for environmental protection has classified the majority of MES branches as items falling under category IV, for which there are no specified emission criteria.

Gross emissions of pollutants from stationary sources totalled 9.34 tonnes in 2022 vs the reguatory limit of 11.63 tonnes. Thus, gross emissions from stationary sources (with regard to standard rate) dropped by 20%.

The Company does not emit any ozone-depleting substances influencing the climate change.

To mitigate transitional climate risk in 2022, the Company adopted its 2031 Low-Carbon Development Programme and a 2060 carbon neutrality vision.

The incorporation of the low-carbon agenda will allow the Company to contribute as a network company and System Operator connecting renewable energy sources.

The Company sees the key measure of its own Carbon Footprint Reduction Programme as the purchase of green electricity through:

1. country scheme to support the implementation of RES projects in accordance with the current legislation (current at about  4%) and / or
2. bilateral contracts for existing and prospective renewable energy facilities.

The Programme sets out the low-carbon development targets by 2031:

• for Scope 1 (direct emissions): gradual replacement of passenger cars with internal combustion engines with similar modes of transport using low-carbon fuels (electric vehicles, LPG) to achieve a 2% reduction in emissions by 2030;
• for Scope 2 (indirect emissions): gradual increase the share of "green" RES electricity to compensate for losses in  KEGOC’s networks and reach 20% by 2031.

According to the Environmental Code of Kazakhstan, "A quotable installation is an installation whose quota greenhouse gas emissions exceed twenty thousand tonnes of carbon dioxide per year in the regulated sectors of the economy". KEGOC is not subject to quotas. However, in accordance with the terms of the UN Framework Convention on Climate Change, the Kyoto Protocol, the Paris Agreement following the results of 2022, KEGOC developed and verified the Greenhouse Gas Emissions Inventory Report. The data is consolidated at the corporate level using an operational approach. It includes greenhouse gases: CO2, CH4, N2O, SF6. Greenhouse gas emissions from air conditioning systems are excluded from Scope1 emissions due to insufficient data and their insignificance. Scope 3 greenhouse gas emissions are not included in the report due to insufficient data.

The base year 2022 is chosen as the GHG Protocol Greenhouse Gas Inventory Report has been prepared by KEGOC for the first time. The base year will be recalculated if a new category is added or if a switch to a more accurate methodology is made.

Emission factors are calculated according to the IPCC Guidelines for National Greenhouse Gas Inventories for the Electricity Sector (Intergovernmental Panel on Climate Change (IPCC)); the climate change factors are taken from the Report of the Nineteenth Session of the UN Working Group on Climate Change.

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The majority of Scope 2 indirect emissions are created during the generation of power acquired by the Company to compensate for the technological consumption of electricity during its transmission through Kazakhstan's NPG (transmission losses). The amount of technology consumption is proportional to the length of transit transmission lines and is determined by the operational states of neighbouring nations' energy systems (transit, export and import of power), climatic circumstances, and cannot be avoided by the Company.

The 2022 Greenhouse Gas Inventory Report (Scope 1, Scope 2) has been validated by the validation and verification body in accordance with the requirements of ST RK ISO 14064-3-2019 for compliance with the Greenhouse Gas Protocol (GHG Protocol), WRI/WBCSD GRI 305 Emissions 2016, CDP Climate Change 2021 Reporting Guidance on a reasonable assurance basis with a 2% materiality level.

The Company uses SF6 equipment such as SF6 circuit breakers. Modern 110-500 kV SF6 circuit breakers built by ABB, Siemens, and GE have been installed in substations as part of the company's technical upgrading. They are of high quality, reliable, and ecologically friendly. The SF6 circuit breakers are operated in strict accordance with the instructions and regulations; the use of SF6 gas is monitored and managed; there was an average yearly leakage rate of 0.03% from 2016 to 2022; there was no leakage in 2022.

The use of ecologically friendly vacuum circuit breakers with a voltage range of 6-10-35 kV in substations helps to limit the usage of SF6 in rehabilitation projects.

The specific greenhouse gas emission factor (total for Scope 1 and Scope 2) is 0.045 tonnes of CO 2 per MWh of transmitted electricity.

In 2022, in order to contribute to improving the environment and supporting global trends in reducing the carbon footprint, the Company's employees planted about 570 seedlings of trees and shrubs in Astana, in the Almaty, Western and Northern regions of Kazakhstan.