Material topics

EMPLOYEE SKILL ENHANCEMENT PROGRAMS AND TRANSITION SUPPORT PROGRAMS
Petrolimex organizes advanced training programs for employees:
+ With the perspective that employees are the top priority for development, the Group has a clear policy on updating and enhancing the qualifications of employees, including managers, senior engineers, and other workers. This helps improve and enhance the Group’s activities based on technological development and process optimization.
+ Annually, the Group directs member units to investigate and compile data on the current status of cultural and professional skills of members and employees; on the training needs of workers, including retraining and upgrading their expertise in professional skills, management, political theory, foreign languages, computer skills, and basic skills to build organizational plans for members and employees to participate in learning, upgrading qualifications, and professional skills.
+ he Group organizes and encourages participation in training activities, including both internal and external training courses, to enhance qualifications, increase work efficiency, and develop careers for employees.
Petrolimex focuses on building and training personnel in key areas:
+ In addition to organizing advanced training for employees in general, Petrolimex also focuses on building and training personnel in key areas that have a significant impact on the Group’s results and efficiency. These include training programs for Petroleum Station Managers, etc. They also focus on building, training, and developing a professional working attitude, friendly demeanor, civilized communication, and politeness for sales staff at petroleum stations. This effort aims to improve and enhance Petrolimex's performance based on technological development, process optimization, and service quality improvement.

ESTABLISHING THE PETROLIMEX RESEARCH AND DEVELOPMENT TRAINING CENTER
Petrolimex plans to establish a Steering Committee for the establishment and investment in the construction of the Petrolimex Training and Research Center in the near future.

Petrolimex considers the people as one of the key factors for success in business operations. Therefore, Petrolimex always focuses on employee care policies, ensuring and improving salaries and incomes, and living standards of workers, while ensuring the harmonization of the Group's interests without differentiation in the basic salary and remuneration ratio between women and men.
At Petrolimex, there is no discrimination in labor, with the general goal of building a fair and equal working environment.

Training security personnel on procedures and human rights policies is an important part of ensuring that they operate within the bounds of the law and ethical principles.

REDUCTION OF GHG EMISSIONS
- Promoting the business of green energy products: Petrolimex has commenced the business of Euro V standard RON 95 gasoline (RON 95-V) since 1st January 2022, with higher technical requirements (setting lower limit thresholds) compared to RON 95-III gasoline, specifically concerning quality indicators related to health, environment, and engine performance. Setting lower limit thresholds for these indicators will help reduce harmful compound emissions during engine combustion, contributing to minimizing hazardous emissions and smoke affecting health and the environment, while also extending engine lifespan. - Investing in environmentally friendly technology
- Đầu tư vào công nghệ thân thiện với môi trường: Petrolimex đã đẩy mạnh đầu tư công nghệ thân thiện môi trường, áp dụng nhiều sáng kiến đổi mới giúp tiết kiệm và sử dụng năng lượng hiệu quả.
- Investing in environmentally friendly technology: Petrolimex has been actively investing in environmentally friendly technology, implementing numerous innovative initiatives to save energy and use it efficiently.

EMISSION REDUCTION EFFORTS
Implementing closed-loading and vapor recovery technology: One of the most effective measures Petrolimex has adopted to reduce VOC emissions is the application of closed-loading and vapor recovery technology at more than 2,834 petroleum stations nationwide. This technology minimizes the amount of fuel vapor released into the environment during fuel loading and controls the risk of explosions at petroleum stations. Petrolimex is the only petroleum business in the industry to adopt this technology.

WASTE MANAGEMENT
Petrolimex always prioritizes reviewing environmental protection systems at units to minimize environmental impacts, ensuring strict compliance with the Environmental Protection Law and the Environmental Protection Regulations issued by the Vietnam National Petroleum Group on 6th January 2016 (Decision No. 007/ PLXQĐ-HĐQT) along with regulations on inspection and maintenance of petroleum storage tanks and pipelines of the Group. Moreover, Petrolimex is also enhancing digital transformation, applying automation, improving the efficiency of inspection, maintenance, repair, and environmental protection in technical management at petroleum facilities and throughout the system. As a business in the petroleum industry, Petrolimex operates in the trade and service sector, not in direct production, and does not use raw materials, so the amount of solid waste and wastewater at Petrolimex is not large.
- 100% of facilities have environmental permits, environmental registrations, and environmental reports, and conduct environmental monitoring as required by regulations.
- 100% of waste treatment contractors are fully compliant with the required capabilities.
- 100% of waste is sorted at the source, with hazardous waste being specially managed and controlled from classification, storage, to transfer with transparent, clear documentation.
- 100% of petroleum stations (661 petroleum stations) have oil spill response plans approved by local authorities, and the remaining petroleum stations have oil spill response plans approved by the Group. Most terminals have oil spill response plans reviewed by the Group and approved by the provincial People’s Committee or the National Oil Spill Response and Salvage Committee.
- No violations of the law.
- No environmental incidents.
- No complaints from the surrounding community regarding the environment.

Petrolimex's production activities do not use water as an input material. Runoff rainwater in controlled areas constitutes a significant proportion of wastewater considered oil-contaminated and requiring treatment. Oil-contaminated wastewater is also generated during the cleaning of petroleum storage tanks.
Wastewater at petroleum facilities is collected and treated as follows:
- Wastewater at petroleum facilities: The wastewater generated from petroleum facilities is primarily domestic wastewater. The average domestic wastewater volume at a petroleum station is about 10m³ per station per month. Domestic wastewater from kitchens and personal hygiene of staff is collected into the drainage system and preliminarily treated in three-compartment septic tanks before being discharged into the general drainage system of the area.
- Oil-contaminated wastewater: This type of wastewater is generated at petroleum depots and stations from sources such as tank, container, and pipeline cleaning; tank bottom water discharge; vehicle washing; cleaning of oil-contaminated ground; and runoff rainwater on oil-contaminated ground.
- All wastewater generated at petroleum terminals and jetties is collected and treated in a wastewater treatment system to meet Vietnam Standard 29:2010/BTNMT before being discharged into the environment.
- All wastewater generated at petroleum stations is collected and treated in an oil-separating sedimentation tank to meet Vietnam Standard 29:2010/BTNMT before being discharged into the environment.

Oil spills are of utmost concern in petroleum operations due to their potential to cause significant environmental pollution (affecting soil, water, air, and living organisms) and pose a serious fire and explosion hazard. Petrolimex is committed to strictly adhering to state regulations and company policies regarding oil spill management and prevention, including:
- Environmental Protection Law
- Decision No. 133/QĐ-TTg by the Prime Minister: Issuing the National Plan for Oil Spill Response
- Decision No. 12/2021/QĐ-TTg by the Prime Minister: Issuing Regulations on Oil Spill Response
- Environmental Protection Regulations of Vietnam National Petroleum Group (Petrolimex): Issued on 6th January 2016, under Decision No. 007/PLX-QĐ-HĐQT
- Regulations on Inspection and Maintenance of Pipelines at Petroleum Terminals: Decision No. 286/PLX-QĐ-TGĐ dated 8th June 2017, by the General Director of the Group
- Regulations on Inspection and Maintenance of Petroleum Storage Tanks: Decision No. 755/PLXQĐ-TGĐ dated 25th December 2018, by the General Director of the Group
- Regulations on Inspection and Maintenance of Petroleum Pumps: Decision No. 332/PLX-QĐ-TGĐ dated 14th June 2023
- Technical Operation Regulations for Oil Terminals and Petroleum Products: Decision No. 316/XD-QĐ-HĐQT dated 21st July 2008
- Guidelines for Assessing Oil Spill Response Plans for Petroleum Terminals of the Group
- Regulations on Oil Spill Response Operations at Petrolimex Stations: Decision No. 322/PLX-QĐ-TGĐ dated 26th June 2020

Petrolimex manages oil spills through comprehensive measures, including:
- Control and prevention of oil spills
- Oil spill responses
- Public liability and environmental pollution insurance
In 2023, Petrolimex successfully avoided significant oil spill incidents that could have affected the surrounding environment.

Disaster prevention and search and rescue

as a leading enterprise in Vietnam's petroleum business sector with a network of petroleum stations nationwide, Petrolimex commits to leveraging infrastructure advantages and a management system built and perfected over more than 68 years based on regulations on Disaster Prevention and Search and Rescue (DP & SR) and various other measures.

Supplier Selection

- General requirements in selecting petroleum suppliers
In addition to financial requirements and pricing considerations, Petrolimex prioritizes ensuring the safety of the petroleum supply. Petroleum suppliers must clearly specify their production facilities or origins, provide goods of quality compliant with Vietnam's regulations or Petrolimex's requirements, and demonstrate credibility and experience in the petroleum business, with a clear sales network or technical infrastructure.
Domestic suppliers must adhere to Vietnam's environmental laws and other environmental standards. Foreign suppliers are all major players with policies and standards in environmental protection. In 2023, there were no legal violations or major incidents impacting the surrounding environment.
- Ensure the source of supply is reliable.
- Petroleum supply sources must be clearly defined.
- Ensure compliance with environmental laws.
Moreover, on 8th February 2023, Petrolimex issued Decision No. 44/PLX-QĐ-TGĐ on the issuance and implementation of Technical Requirements for generating Petroleum Sources. Some of the Group’s business items have higher technical requirements for generating sources than the National Technical Standards and Vietnamese Standards as follows: