Address by the Governance of OGK - 2, PJSC

[GRI 2-22]

Dear shareholders,

The Board of Directors of OGK-2, PJSC laid emphasis on sustainable development as one of priority areas. Of course, one of the most important components here is environment protection agenda. For several years, the Company has regularly held stable and high ranks in various openness ratings relating to environmental responsibility of electric and heat generating companies. This is a certain result that reflects social and corporate responsibility and demonstrates the Company's awareness in the use of natural resources.

We have significantly improved our environmental performance indicators. For the accounting period, a decrease in greenhouse gas emissions by more than 10% was reported. Protection of water bodies and compensatory policies are also another key area of focus. Thus, power engineers of Pskov State District Power Plant released pike-perch fry into the reservoir on the Shelon River to replenish biological resources. And employees of the Novocherkassk State District Power Plant stocked the Don river with more than 226,000 sterlet fry, listed in the Red Book of the International Union for Conservation of Nature and Natural Resources. In addition, in the reporting period, the personnel team of OGK-2, PJSC initiated and carried out more than 40 community work days, the total area of the cleared territory amounted to around 212 hectares. In addition, personnel in the regions of presence regularly conduct educational eco-lessons for schoolchildren and students, support federal environmental projects and campaigns, and initiate their own ones. And it is important that every employee of our Company contributes to the formation of an environmental culture.

Kirishi SDPP, Surgut SDPP-1 and Novocherkassk SDPP take part in the CCTMod modernization program. In Kirishi, we have already completed the first of the three modernization stages. In Surgut, in the next few years, a complete modernization of four power units will be carried out with the replacement of the main and auxiliary equipment, including turbine generators. New capacities of domestic production will have higher indicators of efficiency and reliability in operation. In Novocherkassk, construction of two new power units with a capacity of 165 MW and 324 MW, operating on natural gas, i.e. the cleanest environmental fuel, is scheduled. The project is aimed at diversifying production and improving environmental performance in Novocherkassk and Rostov region.

2022 at OGK-2, PJSC was marked by real labor achievements. Stavropol SDPP generated 500 billion kilowatt-hours of electricity, and Surgut SDPP-1 generated one trillion kilowatt-hours! The power facility became the second in the country among thermal power plants that reached such a high figure. This production result was a real present devoted to the 50th anniversary of the Surgut power plant. As part of the festive events, the Russian Post issued 300,000 envelopes with the image of Surgut SDPP-1. This year Adler TPP also celebrated the round-number anniversary. In honor of the 10th anniversary of commissioning, employees of OGK-2, PJSC planted an olive Alley of Power Engineers in the Ornithological Park of Sochi.

The Company implements a program of charitable activities. In 2022, funding was directed to educational, sports and medical institutions in the Leningrad, Sverdlovsk, Chelyabinsk, Vologda, Rostov and Ryazan regions. Special attention has traditionally been paid to organizations that support children with disabilities and children left without parental care. In addition, a number of inclusive events aimed at the creative and educational integration of children were implemented at the initiative of the Company's Young Professionals Board.

For many years, the Company has been successfully operating the Council of Young Professionals Board, which includes hundreds of talented, promising and involved young employees. They can rightfully be called the future of the energy industry, so special attention is paid to the development of their creative, business and professional competencies. Corporate training and development programs are regularly held in the Company: The School of TRIZ: Technology for Dealing with Inventive, Managerial and Production Issues, the Young Professionals’ School and the Mentor School. Also in 2022, the second Youth Forum of OGK-2, PJSC was held in the Leningrad Region, where the company’s active members attended a comprehensive seminar on teamwork and project governance. As a result, they presented five unique programs aimed at vocational guidance, attraction and adaptation of young professionals.

The Company's employees annually participate in professional skill competitions at the level of Gazprom Energoholding, LLC. In 2022, our colleagues took second place in the individual standings of the "Best Ecologist" Competition, won three silvers and gold at the Maintenance Personnel Professional Skill Competition, and Ryazan SDPP team became the winner of the Operational Personnel Competition.

The Company's success in the field of sustainable development is the labor victories of each of its employees. It can be said with confidence that the employees of our Company are capable of solving any problems. Our team is the main pride, value and achievement of OGK-2, PJSC! Our target is efficient and uninterrupted production of electrical and thermal energy, preserving nature for the prosperous future of every person, industry and the whole country!