All Financial Information has been translated into English except for the Annual Corporate Governance Report, which is available in the Spanish versión. In the event of discrepancy, the Spanish-language version prevails.

STATEMENT OF RESPONSIBILITY OF THE DIRECTORS OF GRENERGY RENOVABLES, S.A. ON THE CONTENT OF THE ANNAL 2023 SEPARATE AND CONSOLIDATED FINANCIAL STATEMENTS

With regard to the annual separate and consolidated financial statements of Grenergy Renovables, S.A. for 2023, and in accordance with Article 8 of Royal Legislative Decree 1362/2007, of October 19, which enacts the consolidated text of the Securities Market Law, the members of the Board of Directors hereby state:

That, to the best of their knowledge, the annual financial statements, prepared in accordance with applicable accounting principles, provide a true and fair view of the financial position and profit and loss of Grenergy Renovables, S.A. and the undertakings included in the consolidation, taken as a whole, and that the directors' report includes a fair view of the development and performance of the businesses and the position of the Grenergy Renovables, S.A. and the undertakings in the consolidation, taken as a whole, together with a description of the principal risks and uncertainties that they face.

Statement issued by the Board of Directors of GRENERGY RENOVABLES, S.A. on February 27, 2024 for the purpose of authorizing the separate and 2023 consolidated financial statements.

__________________________ ________________________________

(Chief Executive Officer) (Board Member)

Mr. David Ruiz de Andrés Mr. Antonio Jiménez Alarcón

Mr. Florentino Vivancos Gasset Ms. Ana Peralta Moreno (Board Member) (Board Member)

___________________________ _________________________________ (Board Member) (Board Member)

Mr. Nicolás Bergareche Mendoza Ms. María del Rocío Hortigüela Esturillo

_____________________________ _________________________________ Ms. María Merry del Val Mariátegui Ms. Ana Plaza Arregui (Board Member) (Board Member)

response our audit procedures included the following:
Understanding the criteria established by management to identify indications of impairment.
Comparing the value of investments in group companies and associates and the related loans with their carrying amounts (equity), adjusted by unrealized capital gains existing at year end to identify indications of impairment.
> Reviewing the consistency and reasonableness of the methodology used to build the cash flow projections by verifying arithmetical calculations of recoverable amount.
Reviewing the reasonableness of the financial information included in the financial models, based on the judgments and hypotheses made, and the discount rate applied.
Verifying that the accompanying notes to the financial statements include the information required by the applicable financial reporting framework.

	Description As explained in Note 8.1 to the accompanying financial statements, in 2023, the Company signed agreements with third parties for the sale of several subsidiaries, for which it obtained a profit of 71,229 thousand euros. This amount is shown in "Impairment and gains/(losses) on disposal of financial instruments" on the accompanying income statement.
	relates.	As explained in Note 4.4.a) to the accompanying financial statements, in accordance with the regulatory financial reporting framework applicable in Spain, the Company will derecognize the investment in group companies when the risks and rewards incidental to ownership have been substantially transferred. The difference between the consideration received, net of attributable transaction costs and the carrying amount of the investment in group companies, determines the gain or loss generated upon derecognition and is included in the income statement for the year to which it
Due to the significant impact of the sale of these subsidiaries on the income statement and the complexity of the sale agreements entered into during the year, we determined this to be a key audit matter.
Our response		Our audit procedures included the following:
		Understanding the transactions carried out by analyzing the sale agreements reached and holding meetings with Company Management.
		> Reviewing the accounting effects arising from the difference between the acquisition cost of the investments in group companies and the value of the consideration received.
		Examining bank statements to verify collection of the sale of the subsidiaries in accordance with the payment schedule stipulated in the sale agreement.
		Verifying that the accompanying notes to the financial statements include the information required by the applicable financial reporting framework.
		Recognition of income from construction contracts
		Description The company carries out a significant part of its business though contracts for the construction of Photovoltaic solar plants. The information on the recognition of revenue from these contracts is provided in Notes 4.9.1 of the accompanying financial statements

-

FINANCIAL STATEMENTS AND MANAGEMENT REPORT FOR THE YEAR ENDED DECEMBER 31, 2023

STATEMENT OF FINANCIAL POSITION

AT DECEMBER 31, 2023 AND 2022

(Thousands of euros)

	Not es t o th e	Fin ial Y anc ear	Fin ial Y anc ear		Not es t o th e	Fin ial Y anc ear	Fin ial Y anc ear
AS SET S	fina nci al s tate nts me	202 3	202 2	EQ UIT Y A ND LIA BIL ITIE S	fina nci al s tate nts me	202 3	202 2

NO N-C UR REN T A SSE TS		446 ,033	253 ,252	EQ UIT Y		307 ,308	274 ,730
				CA ESE S PIT AL AN D R RVE		305 ,440	274 ,730
Inta ngi ble ets ass	5	565	248	Sha api tal re c	12.1	10,7 14	10,7 14
Pat ents , lic trad rks, et al. ens es, ema		10	10	Issu ed c apit al		10,7 14	10,7 14
Sof twa re		555	238	Sha ium re p rem	12.2	198 ,912	198 ,912
				Res nd ine d e ing reta erv es a arn s	12.3	77,9 92	78,8 95
Pro ty, pla nt, and uip nt per eq me	6	2,6 07	2,1 81	Leg al re serv e		2,14 3	1,95 5
Pla nt a nd o the r PP &E		1,89 7	1,83 3	Vol unta ry r ese rves		75,8 49	76,9 40
PP& E u nde nstr ucti nd p ents r co on a rep aym		710	348	(Tre s) har nd qui ty i stm ent asu ry s es a ow n e nve	12.4	(32 ) ,989	(19 ) ,728
				Pro fit ( loss ) fo r th e ye ar	3	50,8 11	5,93 7
Inv est nts in ies and oci ate me gro up com pan ass s	8.1	435 ,343	245 ,776
Equ ity i nstr nts ume		153 ,602	39,6 26	UN REA LIZ ED GA INS (LO SSE S) R ESE RVE	12 .5	1,86 8	-
Loa nies d as iate ns t o g rou p co mpa an soc s		281 ,74 1	206 ,150	Hed ging ctio tra nsa ns		1,86 8	-
Fin ial i stm ent	8.2	83	70
anc nve s nstr nts		2,7 40	2,6 40	NO N-C IES UR REN T L IAB ILIT		196	125
Equ ity i ume						,934	93,
Der ivat ives Oth er f inan cial ets		2,4 91 252	- 30	Bor ing row s Bon ds a nd o the arke tab le d ebt uriti	14.1	133 ,044 15	92, 343 31
ass			2,6	r m sec es Ban k bo	14.2 d 14 .3	51,9 46	83,2 7
Def d ta ts	16	35	77	ings rrow Fina lea bles	an 7.1	80,3 783	8,26 845
erre x a sse		4,7	2,3	nce se p aya
				Bor ing s fr Gr ani nd oci ate row om oup co mp es a ass s	15 a nd 20. 1	62,6 21	-

				Def d ta x li abi litie erre s	16	1,26 9	782
CU RR ENT AS SET S		204 ,792	180 ,473	CU RR ENT LIA BIL ITIE S		146 ,583	65,8 70
Inv ent orie s	9	10,1 61	16,3 89	Pro vis ion s	13	-	509
Raw teria ls a nd o the mab les ma r co nsu		864	2,1 36
Wo rk in pro gre ss		9,16 0	14,2 53	Bor ing row s		126 ,998	39, 835
Pre ts to plie pay men sup rs		137	-	Bon ds a nd o the arke tab le d ebt uriti r m sec es		68,4 30	34,5 29
Tra de and oth ivab les er r ece		143 ,463	144 ,947	Ban k bo ings rrow	14.2 d 14 .3 an	58,2 22	4,8 75
Tra de ivab les rece	10	5,26 4	259	Fina lea bles nce se p aya	7.1	346	301
Tra de ivab les from ies and ocia tes rece gro up c om pan ass	20. 1	108 ,965	115 ,233	Oth er f inan cial liab ilitie s	14.4	-	130
Oth eiva ble unts er a cco rec	10	17,2 90	27,4 57
Rec eiva ble from ploy em ees		154	-	Pay abl es t ies and iate o g rou p c om pan as soc s	15 a nd 20. 1	846	1,02 8
Cur rent inc tax ets ome ass	16	11,5 10	1,61 0
Oth from ivab les blic ad min istra tion er r ece pu s	16	280	388	Tra de and oth ble er p aya s		18,7 39	24,4 98
Inv est nts in ies and oci ate me gro up com pan ass s	8.1 and 20 .1	942	-	Sup plie rs		454	12,2 08
Loa ns t nies d as iate o g rou p co mpa an soc s		942	-	Sup plie nies d as iate rs, g rou p co mpa an soc s	20. 1	13,6 40	10,0 74
Fin ial i stm ent anc nve s	8.2	73	1,36 7	Oth unts able er a cco pay		2,8 19	530
Loa nies ns t o co mpa		66	727	Em ploy ben efits yab le (r ratio ndin nt) ee pa em une n pe g pa yme		1,16 8	1,24 6
Oth er f inan cial ets ass		7	640	Oth bles to pub lic a dm inis trat ions er p aya	16	331	295
Acc ls rua		1,03 3	404	Cus tom dva er a nce s	10	327	145
Cas h a nd h e qui val ent cas s	11	49, 120	17,3 66
Cas h in ha nd		35, 740	17,3 66
Oth ash uiva lent er c eq s		13,3 80	-
TOT AL AS SET S		650 ,825	433 ,725	TOT AL EQ UIT Y A ND LIA BIL ITIE S		650 ,825	433 ,725

The accompanying notes 1 to 22 and appendices are an integral part of the balance sheet at December 31, 2023 and 2022.

STATEMENT OF PROFIT OR LOSS FOR THE YEARS

ENDED DECEMBER 31, 2023 AND 2022

(Thousands of euros)

	Notes to the	Financial Year Financial Year
	financial statements	2023	2022

CONTINUING OPERATIONS
Revenue	17.1	16,224	104,061
Sale of goods		13,695	102,002
Rendering of services		2,529	2,059
Changes in inventory of finished products and work in progress		(5,093)	5,744
Work performed by the entity and capitalized		289	184
Cost of sales	17.2	(4,981)	(101,773)
Consumption of goods for resale		(4,981)	(101,773)
Other operating income	20.1	2,314	2,757
Ancillary income		2,314	2,757
Employee benefits expense		(9,459)	(9,140)
Wages, salaries, et al		(7,052)	(7,002)
Social security costs, et al	17.3	(2,407)	(2,138)
Other operating expenses		(14,311)	(7,242)
External services		(10,847)	(6,138)
Other taxes		(16)	(8)
Losses on, impairment of, and changes in trade provisions	13	(3,448)	(1,096)
Depreciation and amortization	5 and 6	(402)	(330)
Impairment and gains (losses) on disposal of assets		(1)	-
Gains (losses) on disposals		(1)	-
Other gains or losses		(20)	(116)

OPERATING PROFIT (LOSS)		(15,440)	(5,855)
Finance income	17.4	13,755	7,076
From marketable securities and other financial instruments		13,755	7,076
- Of group companies and associates		13,320	7,076
- Of third parties		435	-
Finance costs	17.4	(11,543)	(5,085)
Borrowings from third parties		(9,977)	(5,085)
Borrowings from group companies and associates		(1,566)	-
Exchange gains (losses)	17.4	(8,009)	5,747
Impairment and gains (losses) on disposal of financial instruments	8.1 and 17.4	69,384	9,320
Impairment and losses		(1,845)	(9,052)
Gains (losses) on disposals		71,229	18,372

FINANCE COST		63,587	17,058
PROFIT BEFORE TAX		48,147	11,203
Corporate income tax	16.1	2,664	(5,266)
PROFIT (LOSS) FOR THE PERIOD FROM CONTINUING OPERATIONS		50,811	5,937

PROFIT FOR THE YEAR		50,811	5,937

The accompanying notes 1 to 22 and appendices are an integral part of the income statement for the years ended December 31, 2023 and 2022.

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022

A) STATEMENT OF COMPREHENSIVE INCOME

(Thousands of euros)

	Notes to the financial statements	2023	Financial Year Financial Year 2022
PROFIT (LOSS) FOR THE PERIOD (I)	3	50,811	5,937
Income and expense recognized directly in equity IV. Other adjustments		- 2,491	- -
V. Tax effect TOTAL INCOME AND EXPENSE RECOGNIZED DIRECTLY IN EQUITY (II)		(623) 1,868	- -
Amounts transferred to the income statement		- -	- -
TOTAL AMOUNTS TRANSFERRED TO PROFIT OR LOSS (III)		- -	- -
TOTAL RECOGNIZED INCOME AND EXPENSE (I+II+III)		52,679	5,937

The accompanying notes 1 to 22 and appendices are an integral part of the statement of recognized income and expense for the years ended December 31, 2023 and 2022.

B) STATEMENT OF ALL CHANGES IN EQUITY

(Thousands of euros)

	Share capital (Note 12.1)	Share premium (Note 12.2)	Reserves (Note 12.3)	(Treasury shares and own equity investments ) (Note 12.3)	Profit (loss) for the year (Note 3)	Unrealized gains (losses) reserve	TOTAL
BALANCE AT DECEMBER 31, 2021	9,774	109,851	55,815	(17,577)	22,745	-	180,608
Adjustments and/or corrections of errors	-	-	-	-	-	-	-
ADJUSTED OPENING BALANCE 2022	9,774	109,851	55,815	(17,577)	22,745	-	180,608
Total recognized income and expense	-	-	-	-	5,937	-	5,937
Transactions with shareholders or owners
Capital increases	940	89,061	(1,075)	-	-	-	88,926
Transactions with treasury shares or own equity instruments
(net)	-	-	1,410	(2,151)	-	-	(741)
Other changes in equity	-	-	22,745	-	(22,745)	-	-
BALANCE AT DECEMBER 31, 2022	10,714	198,912	78,895	(19,728)	5,937	-	274,730
Adjustments and/or corrections of errors	-	-	-	-	-	-	-
ADJUSTED OPENING BALANCE 2022	10,714	198,912	78,895	(19,728)	5,937	-	274,730
Total recognized income and expense	-	-	-	-	50,811	1,868	52,679
Transactions with shareholders or owners
Capital increases	-	-	-	-	-	-	-
Transactions with treasury shares or own equity instruments
(net)	-	-	(7,254)	(13,261)	-	-	(20,515)
Other changes in equity	-	-	6,351	-	(5,937)	-	414
BALANCE AT DECEMBER 31, 2023	10,714	198,912	77,992	(32,989)	50,811	1,868	307,308

The accompanying notes 1 to 22 and appendices are an integral part of the statement of changes in equity for the years ended December 31, 2023 and 2022.

STATEMENT OF CASH FLOWS FOR THE YEARS ENDED

DECEMBER 31, 2023 AND 2022

(Thousands of euros)

	Notes	2023	2022
A) CASH FLOWS FROM OPERATING ACTIVITIES 1. Profit (loss) before tax		48,147	11,203
2. Adjustments to profit		11,493	2,740
a) Depreciation and amortization (+) b) Impairment losses (+/-)	5 and 6	402 3,448	330 -
c) Changes in provisions (+/-)	13	-	1,096
e) Gains (losses) from derecognition and disposal of assets (+/-)		1	-
f) Gains (losses) on derecognition and disposal of financial instruments (+/-)	17	1,845	9,052
g) Finance income (-)	17	(13,755)	(7,076)
h) Finance costs (+)	17	11,543	5,085
i) Exchange gains (losses) (+/-) j) Change in fair value of financial instruments (+/-)	17	8,009	(5,747)
3. Changes in working capital		2,183	(53,695)
a) Inventories (+/-)		6,228	34,632
b) Trade and other receivables (+/-)		(1,964)	(51,038)
c) Other current assets (+/-)		(629)	(174)
d) Trade and other payables (+/-)		(830)	(34,736)
e) Other current liabilities (+/-) f) Other non-current assets and liabilities (+/-)		(509) (113)	- (2,379)
4. Other cash flows from operating activities		(23,325)	(10,906)
a) Interest paid (-)		(9,977)	(3,540)
c) Interest received (+)		435	-
d) Income tax receipts (payments) (+/-)	16.2	(13,783)	(7,366)
5. Cash flows from operating activities (+/-1+/-2+/-3+/-4)		38,498	(50,658)
B) CASH FLOWS FROM INVESTING ACTIVITIES
6. Payments on investments (-)		(261,042)	(133,137)
a) Group companies and associates		(259,893)	(130,026)
b) Intangible assets	5	(339)	(195)
c) Property, plant, and equipment	6	(810)	(632)
e) Other financial assets		-	(2,284)
7. Proceeds from disinvestments (+)		72,523	6,131
e) Other financial assets	8.1	71,229	-
g) Other assets		1,294	6,131
8. Cash flows from (used in) investing activities (7-6)		(188,519)	(127,006)

C) CASH FLOWS FROM FINANCING ACTIVITIES
9. Proceeds from and payments on equity instruments		(20,429)	89,260
a) Proceeds from issuance of equity instruments	12.1	-	90,001
c) Acquisition of own equity instruments d) Disposal of own equity instruments	12.4	(41,575) 21,146	(30,242) 29,501

10. Proceeds from and repayment of financial liabilities a) Issues		202,204 420,985	56,290 227,761
1. Bonds and other marketable debt securities (+)		216,544	225,836
2. Bank borrowings (+)		142,002	1,925
3. Borrowings from group companies and associates (+)		62,439	-
b) Repayment and redemption of		(218,781)	(171,471)
1. Bonds and other marketable debt securities (-)		(213,959)	(171,445)
2. Bank borrowings (-)		(4,822)	-
4. Other borrowings (-)		-	(26)
12. Cash flows from financing activities (+/-9+/-10-11)		181,775	145,550
D) Effect of changes in exchange rates		-	-
E) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (+/-A+/-B+/-C+/- D)		31,754	(32,114)
Cash and cash equivalents at January 1	11	17,366	49,480
Cash and cash equivalents at December 31	11	49,120	17,366

The accompanying notes 1 to 22 and appendices are an integral part of the cash flow statement for the years ended December 31, 2023 and 2022.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

1. Activity

GRENERGY RENOVABLES, S.A. ("the Company") was incorporated in Madrid on July 2, 2007 via public deed, as filed at the Mercantile Registry of Madrid in Tome 24.430, Book 0, Folio 112, Section 8, Page M-439.423, 1st inscription. Its registered business and tax address, where it also performs its activities, is located at Calle Rafael Botí, nº 26, Madrid.

The corporate purpose of the Company and the sectors in which it performs its activities are as follows: the promotion, commercialization, and construction of renewable energy installations, the production and commercialization of electric energy as well as any complementary activities, and the management and operation of renewable energy installations.

As described in Note 12.1, the Company is a member of the Daruan group, the parent of which is Daruan Group Holding, S.L.U., which has its registered address at calle Rafael Botí no. 26, Madrid.

The Daruan group's consolidated financial statements for the year ended December 31, 2022, as well as the corresponding management and audit reports, were filed at the Mercantile Registry of Madrid on December 22, 2023. The Daruan group's consolidated financial statements for the year ended December 31, 2023, as well as the corresponding management and audit reports, will be filed at the Madrid Mercantile Registry.

The shares of the Company have been listed on the Madrid, Barcelona, Bilbao, and Valencia stock exchanges since December 16, 2019.

As disclosed in Note 8, the Company holds shares in subsidiaries and is the head of a group of companies which comprise the Grenergy Group. The consolidated financial statements of the Grenergy Group for the year ended December 31, 2023, as well as the corresponding management and audit reports, will be filed at the Madrid Mercantile Registry.

2. Basis of presentation of the financial statements

The financial statements have been prepared in accordance with the regulatory framework for financial information applicable to the Company, which corresponds to the Spanish GAAP approved by Royal Decree 1514/2007, of November 16, as last amended by Royal Decree 1/2021, of January 12, its enacting regulations, and all other prevailing mercantile legislation.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The financial statements have been prepared by the Company's directors and will be submitted for approval by the shareholders in general meeting. It is expected that they will be approved without modification.

The figures shown in the financial statements are presented in thousands of euros unless otherwise indicated.

2.1 True and fair view

The accompanying financial statements were prepared from the Company's auxiliary accounting records in accordance with prevailing accounting legislation to give a true and fair view of its equity, financial position, and results. The cash flow statement was prepared to present fairly the origin and usage of the Company's monetary assets representing cash and cash equivalents.

The Company's financial statements for the year ended December 31, 2022 were approved by the shareholders in general meeting on April 24, 2023. The accompanying 2023 financial statements, prepared by the directors, will be submitted for approval at the general shareholders meeting, where they are expected to be approved without modification.

2.2 Critical issues concerning the measurement and estimation of uncertainty

When preparing the Company's financial statements, the directors made estimates to determine the carrying amounts of certain assets, liabilities, income, and expenses, as well as for the disclosure of contingent liabilities. These estimates were made on the basis of the best information available at the reporting date. However, given the uncertainty inherent in these items, events could occur in the future which may require prospective adjustments in subsequent years.

In addition to other relevant information regarding estimation of uncertainty at the closing date, the key assumptions regarding the future which represent a considerable risk that the carrying amounts of assets and liabilities may require significant adjustments in the next financial year, are as follows:

Impairment losses on equity instruments (Notes 4.4 and 8.1)
The recognition of income based on degree of project completion (Notes 4.9 and 17)
The recoverability of capitalized tax credits and deductions pending application for which it is probable that future taxable profit will be available against which they may be utilized (Note 16)
The recognition of transactions with related parties at market prices (Note 20.1).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

These estimates and hypotheses are based on the best information available at the date of preparation of these financial statements regarding the estimation of uncertainty at the reporting date and are reviewed periodically. However, it is possible that these periodic reviews or future events may require the Company to modify the estimates made in coming periods. Should this occur, the effects of the changes in estimates shall be recognized prospectively in the income statement of the corresponding period and successive periods in accordance with the stipulations established in Spanish GAAP recognition and measurement standard number 22 on changes in accounting criteria, errors, and estimates.

2.3 Comparative information

In accordance with mercantile legislation, for each of the headings presented in the balance sheet, the income statement, the statement of changes in equity, and the cash flow statement, in addition to the figures for 2023, those for the prior year are also included for comparative purposes. Quantitative information for the previous year is also included in the notes to the accompanying financial statements unless an accounting standard specifically states that this is not required.

2.4 Climate change

The accompanying financial statements were prepared taking into account the provisions of the informative document issued by the International Accounting Standards Board (IASB) in November 2020, which included disclosure requirements with respect to climate change.

In February 2023, Grenergy published its ESG Action Plan 2023, including the objectives for the last phase of the ESG Roadmap 2023, affirming its commitment to informing the public on its progress every quarter.

The double materiality analysis was updated, taking into account the dual perspective of financial and impact materiality, in accordance with the main GRI and CSRD standards.

The double materiality assessment process lays the foundations for the recent update and approval of the 2024-2026 Sustainability Strategy, comprised of 6 dimensions and 9 levers, of which 44 objectives to be fulfilled based on a battery of more than 100 measures over a three-year period are worth highlighting.

The risks and opportunities of climate change were assessed towards the end of the year in line with the TCFD recommendations, and an internal report was prepared which will be approved and published at the beginning of 2024.

An analysis of the main physical climate risks was carried out based on a preliminary identification of climate scenarios as well as a quantitative assessment of their respective climate vulnerability.

In summary, Grenergy's growth contributes directly to the fight against climate change, enabling the energy transition and decarbonization of the economy.

Sustainability permeates all of Grenergy's decisions, generating a positive environmental and social impact on the surroundings and local communities, thereby

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

contributing to the well-being of the planet, social development, equal opportunities, and respect for human rights.

Analysis measures:

The scope 1, 2, and 3 emissions that Grenergy generates directly or indirectly in its activity are measured in accordance with the criteria established in the international GHG Protocol standard and the ISO 14064 standard, including emissions corresponding to all greenhouse gases relevant to Grenergy. Grenergy's identification of emission sources and carbon footprint calculations for 2023 have obtained independent verification for their alignment with the principles and requirements of the ISO 14064 standard.
A Net Zero by 2040 Strategy was prepared and approved, bringing Grenergy ten years ahead of European and national commitments such as the EU Green Deal and the National Integrated Energy and Climate Plan ("PNIEC" in its Spanish acronym). This strategy has both medium-term objectives (60% reduction in absolute GHG emissions for scopes 1 and 2 by 2030 and 50% reduction in relative GHG emissions (with respect to sales) for scope 3 by 2030) as well as long-term objectives (carbon neutrality for scopes 1, 2, and 3 by 2040), with 2021 as the base year and weighting the reduction objectives based on sales so as to take Grenergy's growth into account.
The degree of eligibility and alignment of revenue, OPEX, and CAPEX in accordance with the Environmental Taxonomy was presented in 2023.

3. Appropriation of profit

The Company's Board of Directors will submit the following proposed appropriation of profit for approval at the general shareholders' meeting:

	Thousands of euros

Proposed appropriation
Profit for the year	50,811


Appropriation to:
Voluntary reserves	50,811
	50,811

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4. Recognition and measurement standards

The recognition and measurement standards used in preparing the financial statements for 2023 are as follows:

4.1 Intangible assets

Intangible assets are considered to be identifiable non-monetary assets, without physical substance, which arise as a result of a legal business or are developed internally. Only those assets are recognized whose cost can be estimated reliably and for which the Company considers it probable that future economic benefits will be generated.

Intangible assets are initially recognized at acquisition or production cost, and subsequently they are measured at cost less any accumulated amortization and impairment losses.

Licenses and trademarks

Licenses and trademarks have a finite useful life and are carried at cost less accumulated amortization and impairment loss allowances recognized. Amortization is calculated using the straight-line method to allocate the cost of licenses and trademarks over their estimated useful lives.

Software

This heading includes the amounts paid to acquire software or user licenses for programs and computer applications, provided the Company plans to use them for several years. They are amortized systematically on a straight-line basis over a period of four years.

Expenses for maintenance or global reviews of the systems, or recurring expenses as a consequence of the modification or upgrading of these applications, are recognized directly as expenses in the year in which they are incurred.

Intangible assets are derecognized as soon as they are disposed of or when future economic benefits from their use or disposal are no longer expected. Gains or losses arising from the derecognition of an intangible asset (measured as the difference between the net disposal proceeds and the carrying amount of the asset) are recognized in the income statement when the asset is derecognized.

4.2 Property, plant, and equipment

PP&E items correspond to those assets owned by the Company which are used in production or the provision of goods and services, or for administrative purposes, and are expected to be used over more than one period.

The assets comprising PP&E are recognized at acquisition cost (updated as per various legal provisions, if applicable) or production cost, less accumulated depreciation and any impairment losses.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The cost of PP&E constructed by the Company is determined following the same principles as used for acquisitions. Capitalized production costs are recognized under "Work performed by the entity and capitalized" in the income statement.

Costs incurred to expand, upgrade, improve, substitute or renovate PP&E items which increase productivity, capacity or efficiency, or extend the useful life of the asset, are recognized as a greater cost of said assets with the corresponding derecognition of the assets or items that have been substituted or renovated.

The acquisition cost of the PP&E items which require a period of more than one year to be readied for use includes those financial expenses accrued before being readied for use. No corresponding amounts were recorded in this respect during the period. In contrast, finance interest accrued subsequent to said date, or related to financing acquisition of the remaining PP&E items, does not increase the acquisition cost and is recognized in the income statement for the year in which they accrue.

The costs incurred for refurbishing leased premises are included under the heading for plant, depreciated systematically on a straight-line basis over a period of 8 years and never exceeding the duration of the lease agreement.

Periodic expenses relating to conservation, repairs, and maintenance that do not increase the useful lives of assets are charged to the income statement for the year in which they are incurred.

Depreciation is calculated systematically on a straight-line basis over the estimated useful life of each asset, based on the acquisition or production cost less the residual value, as follows:

	Years of useful life

Machinery	5-10
Plant and tools	5-12
Transport equipment	5-10
Furniture and fixtures	10
Data processing equipment	4
Other PP&E items	6-8

The values and remaining life of these assets are reviewed at each reporting date and adjusted if necessary.

At the end of each period, the Company analyzes whether there are any indications that the carrying amounts of its PP&E assets exceed their corresponding recoverable amounts, that is, whether any of them are impaired. For those assets identified, it estimates the recoverable amount, which is understood to be the greater of (i) fair value less necessary sales costs and (ii) value in use. In the case of an asset that does not generate cash flows independently of other assets, the Company calculates the recoverable amount for the cash generating unit to which it belongs.

If the recoverable amount thus determined is lower than the asset's carrying amount, the difference is recognized in the income statement, reducing the carrying amount of the asset to the recoverable amount, and future depreciation charges are adjusted in proportion to the adjusted carrying amounts and the new remaining useful life, should a new estimate be necessary.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Similarly, if there is any indication of recovery in the value of an impaired asset, the Company recognizes the reversal of the impairment loss previously recorded and adjusts the future depreciation charges accordingly. Under no circumstances will said reversal result in an increase in the carrying amount of the asset exceeding that amount that would have been recognized had no impairment losses been recognized in previous years.

The gain or loss arising from disposal or derecognition of a PP&E item is calculated as the difference between the consideration received and the carrying amount of the asset, and is included in the income statement of the year in which the change occurs.

4.3 Leases

Leases qualify as finance leases when, based on the economic terms of the arrangement, all risks and rewards incidental to ownership of the leased item are substantially transferred to the lessee. All other lease arrangements are classified as operating leases.

Company as lessee

Assets acquired under finance lease arrangements are recognized, based on their nature, at the lower of the fair value of the leased item or the present value at the outset of the lease term of the minimum lease payments agreed upon, including the associated purchase option. A financial liability is recognized for the same amount. Contingent installments, service expenses, and reimbursable taxes (by the lessor) are not included in the calculation of agreed minimum lease payments. Lease payments are apportioned between finance charges and reduction of the lease liability. The total finance charge under the lease agreement is taken to the income statement in the period accrued using the effective interest rate method. Assets are depreciated, amortized, impaired, and derecognized using the same criteria applied to assets of a similar nature.

Operating lease payments are recognized as expenses in the income statement when accrued.

Company as lessor

Rental income from operating lease payments are recognized in the income statement as accrued. Direct costs attributable to the operating lease increase the value of the leased asset and are recognized as an expense over the term of the lease on the same basis as lease income.

4.4 Financial instruments

Financial instruments are recognized in the balance sheet when the Company becomes party to a contract or legal business in accordance with the stipulations contained therein, as either issuer, investor or acquirer of said instrument.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

a) Financial assets

Classification and measurement

The Company classifies all financial assets under one of the following categories upon initial recognition, thus determining the method applicable for initial and subsequent measurement:

financial assets at amortized cost;
financial assets at cost.

Financial assets at amortized cost

The Company classifies a financial asset under this category, even if it is admitted for trading on an organized market, if the following conditions are met:

The Company holds the investment under a management model with the objective of receiving the cash flows arising from execution of the contract.

Management of a portfolio of financial assets to obtain its contractual cash flows does not imply that all the instruments must necessarily be held to maturity; they can also be managed with this objective even if they are sold or are expected to be sold in the future. Thus, the Company takes the frequency, amounts, and timing for sales from prior years into account together with the motivation for these sales and the expectations generated with regard to future sales.

The contractual terms of the financial assets give rise to cash flows on specified dates which are solely receipts of principal and interest on the outstanding principal. That is, the cash flows are inherent to an agreement which has the nature of an ordinary or common loan, without prejudice to the fact that the transaction may be agreed upon at a zero interest rate or a rate below the market.

This condition is assumed to have been met in the case of a simple bond or loan with a fixed maturity date for which the Company collects a variable market interest rate which can be subject to a limit. On the contrary, it is assumed that this condition has not been met in the case of instruments convertible into equity instruments of the issuer, loans with inverse variable interest rates (that is, rates inversely related to market rates), or those in which the issuer can defer interest payments, if said payments can affect its solvency, without the deferred interest accruing additional amounts.

As a general rule, this category includes receivables arising from commercial transactions ("Trade receivables" and "Trade receivables from group companies and associates") and non-commercial transactions ("Other accounts receivable").

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Financial assets classified under this category are initially measured at fair value, which, unless there is evidence to the contrary, is the transaction price, deemed equivalent to the fair value of the consideration paid plus directly attributable transaction costs. That is, the inherent transaction costs are capitalized.

Nevertheless, trade receivables which mature within less than one year with no explicit contractual interest rate, as well as loans to personnel, dividends receivable, and called-up payments on equity instruments, the amount of which is expected in the short term, are carried at nominal value when the effect of not discounting the cash flows is not significant.

The amortized cost method is used for subsequent measurement. Accrued interest is recognized in the income statement (finance income) using the effective interest rate method.

Receivables maturing within a year that, in keeping with the above, are initially measured at nominal value will continue to be measured at nominal value unless they have become impaired.

In general, when the contractual cash flows of a financial asset measured at amortized cost are modified due to financial difficulties of the issuer, the Company analyzes whether it is appropriate to account for an impairment loss.

Financial assets at cost

At any rate, the Company includes the following under this category:

a) Equity investments in group companies, jointly controlled entities, and associates (in the individual financial statements).
b) Contributions made as a consequence of a joint venture agreement and similar.

The investments included under this category are initially measured at cost, which is equivalent to the fair value of the consideration delivered plus directly attributable transaction costs. That is, the inherent transaction costs are capitalized.

In the case of investments in group companies, if an investment has been made prior to qualification as a group company, jointly controlled entity or associate, the cost of said investment is deemed to be the carrying amount that would have been recognized immediately prior to classification of the entity in question.

Subsequent measurement is also performed at cost, less any accumulated impairment losses.

Contributions made as a consequence of a joint venture agreement or similar are measured at cost, increased or decreased by the gain or loss, respectively, which corresponds to the company as non-managing investee, less any accumulated impairment losses.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Derecognition of financial assets

The Company derecognizes a financial asset from its balance sheet when:

the contractual rights to receive cash flows expire. Thus, a financial asset is derecognized when it matures and the Company has received the amounts agreed upon.
the contractual rights to receive cash flows from the financial asset have been ceded. In this case, the financial asset is derecognized when the risks and rewards incidental to ownership are substantially transferred. Specifically, in sales transactions with repurchase agreements, factoring transactions, and securitizations, the financial asset is derecognized once the Company's exposure, before and after the transfer, to changes in amounts and time schedules for the net cash flows of the transferred asset has been analyzed and the related risks and rewards are deemed to have been transferred.

Subsequent to the risk and reward analysis, the Company derecognizes the financial assets when the risks and rewards inherent to ownership of the asset have been substantially transferred. The transferred asset is derecognized from the balance sheet and the Company recognizes the result of the operation: the difference between the consideration received net of attributable transaction costs (considering any new asset obtained less any liability assumed) and the carrying amount of the financial asset, plus any accumulated amount recognized directly in equity.

Impairment of financial assets

Financial assets at cost

In this case, the impairment loss corresponds to the difference between the carrying amount and the recoverable amount, deemed to be the higher of fair value less costs to sell or the present value of estimated future cash flows from the investment. For equity instruments this is calculated by either estimating the amounts to be received from dividend distributions carried out by the investee or the disposal or derecognition of the investment, or by estimating the Company's share of the cash flows expected to be generated by the investee from both its ordinary activities as well as its disposal or derecognition. Unless there is more reliable evidence available regarding recoverable amounts for investments in equity instruments, any estimates of impairment for this type of asset are calculated based on the equity of the investee, adjusted by any tacit gains at the measurement date, net of the tax effect.

Recognition of impairment losses and any subsequent reversals are recognized as an expense or as income, respectively, in the income statement. The reversal of impairment losses may not result in a carrying amount that is higher than the carrying amount of the investment which would have been recognized at the reversal date had no impairment been recognized in the first place.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Interest income and dividends received from financial assets

Interest and dividends from financial assets accrued subsequent to acquisition are recognized as income in the income statement. Interest is recognized using the effective interest rate method and dividends are recognized when the right to receive them is established.

If distributed dividends are clearly derived from profits generated prior to the acquisition date because amounts have been distributed which are higher than the profits generated by the investee since acquisition, the difference is accounted for as a reduction in the carrying amount of the investment and not recognized as income. The assessment of whether profits were generated by the investee will be made exclusively taking into account the profits accounted for in the individual income statements since the acquisition date, unless there is no doubt that the distribution against said profit must be qualified as recovery of an investment from the perspective of the entity which received the dividend.

b) Financial liabilities

Classification and measurement

At initial recognition, the Company classifies all financial liabilities under one of the following categories:

financial liabilities at amortized cost.

Financial liabilities at amortized cost

The Company classifies all financial liabilities under this category except when they must be measured at fair value through profit or loss.

In general, this category includes payables arising from commercial transactions ("Suppliers" and "Suppliers, group companies and associates") and non-commercial transactions ("Other accounts payable").

Participative loans which have the characteristics of a common or ordinary loan are also included under this category without prejudice to the fact that the transaction is agreed upon at a zero interest rate or at a rate below that offered by the market.

The financial liabilities included under this category are recognized at fair value upon initial recognition, which, unless there is evidence to the contrary, is deemed the transaction price, which is in turn equivalent to the fair value of the consideration received, adjusted by any directly attributable transaction costs. That is, the inherent transaction costs are capitalized.

Nevertheless, trade payables falling due within one year for which there is no contractual interest rate, as well as called-up payments on shares, payment of which is expected in the short term, are carried at their nominal value when the effect of not discounting the cash flows is not significant.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The amortized cost method is used for subsequent measurement. Accrued interest is recognized in the income statement (finance costs) using the effective interest rate method.

However, payables maturing within a year that, in keeping with the above, are initially recognized at nominal value will continue to be measured at nominal value.

Contributions received as a consequence of a joint venture agreement or similar are measured at cost, increased or decreased by the gain or loss, respectively, which must be attributed to the non-managing investees.

The same criteria are applied to participative loans which accrue interest of a contingent nature, either as a result of agreeing upon a fixed or variable interest rate conditional upon the borrowing company fulfilling an objective (for example, obtaining profits) or as a result of exclusively calculating the interest payable by reference to said company's activity. Finance costs are recognized in the income statement based on the accruals principle while transaction costs are taken to the income statement in accordance with financial criteria or, if not applicable, on a straight-line basis over the lifetime of the participative loan.

Derecognition of financial liabilities

The Company derecognizes a previously recognized financial liability when one of the following circumstances arise:

The obligation has been extinguished since the debt has been settled with the creditor (via cash payment, delivery of other goods or rendering of services) or the debtor has been legally exempt from any related responsibilities.
Own financial liabilities are acquired, even though the intention is to resell them in the future.
An exchange of debt instruments is carried out between a borrower and a lender, provided that the terms agreed upon are substantially different, recognizing the new financial liability which arises. A substantial modification to the current terms of a financial liability is recognized in the same manner, as indicated for debt restructuring processes.

The accounting derecognition of a financial liability is calculated as the difference between the carrying amount of the financial liability, or the part of that liability that has been derecognized, and the consideration paid, including attributable transaction costs, which must also include any asset transferred other than cash or liability assumed. The derecognition is presented in the income statement for the reporting period in which it occurs.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

c) Fair value

Fair value corresponds to the price receivable from sale of an asset or the price that would be paid for transferring or canceling a liability in an orderly transaction between market participants at the measurement date. Fair value is determined without applying any deduction for transaction costs which may be incurred as a result of the disposal or use by other means. The results of a forced or urgent transaction, or those arising as a consequence of a situation involving involuntary liquidation, can never be considered as fair value.

Fair value is estimated for a specific date and, given that the market conditions can vary over time, this value may be inadequate at another date. In addition, when estimating fair value, the company takes the conditions of the asset or liability into account which market participants would take into account when fixing the price of the asset or liability at the measurement date.

In general, fair value is calculated by reference to a reliable market value. For those items with respect to which there is an active market, fair value is obtained via application of valuation models and techniques. Valuation models and techniques include the use of references to recent arm's length transactions between knowledgeable and willing parties, if available, as well as references to the fair value of other assets that are substantially the same, discounting methods for estimated future cash flows, and the models generally used to value options.

At any rate, the valuation techniques employed are consistent with accepted methodologies used in the market for setting prices, and that technique which has demonstrably obtained the most realistic estimates for prices is used, if possible. Likewise, the techniques take observable market data into account together with other factors which the participants would consider when setting a price, limiting the use of subjective considerations and unobservable or unverifiable data to the maximum extent possible.

The Company periodically evaluates the effectiveness of the valuation techniques used, employing observable prices in recent transactions with the same asset that is being valued as a reference, or using prices based on observable market data or indices which are available and applicable.

Thus, a hierarchy emerges with respect to the variables utilized in the determination of fair value and a fair value hierarchy is established which permits classification at three levels:

Level 1: estimates which use unadjusted listed prices in active markets for identical assets and liabilities to which the company has access at the measurement date.
Level 2: estimates which use listed prices in active markets for similar instruments or other valuation methodologies in which all significant variables are based on directly or indirectly observable market data.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Level 3: estimates in which a significant variable is not based on observable market data.

An estimate of fair value is classified at the same fair value hierarchy level as the lowest level variable which is significant in the result of the valuation. For these purposes, a significant variable is one that has a decisive influence on the result of the estimate. When assessing the importance of a specific variable for the estimate, the specific conditions of the asset or liability being valued are taken into account.

d) Own equity instruments

All equity instruments issued by the Company are classified in "Share capital" under "Capital and reserves" in the accompanying balance sheet. The Company does not hold any other own equity instruments.

Said instruments are recognized under equity at the amount received net of direct issue costs.

When the Company acquires or sells own equity instruments, the amount paid or received is recognized directly in net equity accounts, and no amounts are recognized in the income statement for said transactions (Note 12).

e) Cash and cash equivalents

This heading in the accompanying balance sheet includes cash in hand, demand deposits at credit entities, and other short-term highly liquid investments with original maturities of three months or less. Bank overdrafts are classified as borrowings under current liabilities in the accompanying balance sheet.

4.5 Derivative financial instruments and hedge accounting

The Company's activities expose it to financial risk mainly arising from changes in interest rates. It hedges this risk exposure by using interest rate swaps. The Company does not use derivative financial instruments for speculative purposes, regardless of the fact that in certain cases the conditions for the application of hedge accounting are not met.

The derivatives are initially recognized at fair value and subsequently the necessary valuation adjustments are made to reflect their fair value at any given moment, recognizing said adjustments in the balance sheet as current or non-current assets under "Financial investments - Derivatives," if they are positive, or as current or noncurrent liabilities under "Borrowings - Derivatives," if they are negative.

The gains or losses arising from any such changes in the fair value of derivatives are recognized in the income statement for the year, unless the derivative instruments have been designated as hedging instruments for accounting purposes and are deemed to be highly effective, in which case they are recognized as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

• Cash flow hedges: the changes in fair value of the financial derivative hedging instruments are recognized in equity, to the extent considered highly effective and net of the tax effect, under "Unrealized gains (loss) reserve" in the balance sheet. The gains or losses accumulated under this heading and associated with the derivative are transferred to the income statement to the extent that the hedged item affects profit or loss, or in the year in which the corresponding item is disposed of, with said effect reflected under the same heading in the income statement.

When hedges relating to firm commitments or future transactions give rise to recognition of a non-financial asset or non-financial liability, the gain or loss accumulated in equity and associated with the derivative instrument is taken into account when determining the initial carrying amount of the asset or liability which gives rise to the hedged item.

In contrast, those changes in the fair value of derivative financial instruments which are deemed ineffective are recognized immediately in the income statement.

This type of hedge mainly corresponds to those derivatives contracted to convert variable interest rates on financial debt to fixed rates as well as to ensure a fixed price in the sale of energy.

• Hedge accounting is discontinued when the hedging instrument expires or is sold, terminated or exercised, or when it no longer qualifies for hedge accounting. When this occurs, the gain or loss accumulated under "Unrealized gains (loss) reserve" in equity is maintained under said heading until the hedged transaction is carried out, at which point the results of said transaction are adjusted. If it is expected that the hedged transaction will finally not be carried out, the loss or gain recognized in equity will be taken to the income statement for the year.

Derivatives which are implicit in other financial instruments or in other main contracts are accounted for separately when their characteristics and risks are not closely related, provided that the whole instrument is not being accounted for at fair value, recognizing the changes in fair value in the income statement.

4.6 Inventories

The Company promotes and constructs photovoltaic solar farms for their subsequent operation and/or sale. Further, the Company recognizes the related costs incurred under "Inventories" in the accompanying balance sheet until all the terms and conditions described in Note 4.9 are met, at which time the sale is recognized.

The photovoltaic solar park projects are valued at production cost, which is understood to be the costs directly attributable to the project, as well as a reasonable portion of indirectly attributable costs.

The Company valued projects under construction at year end and transferred the related attributable costs to "Inventories."

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The Company assesses the net realizable value of its inventories at each reporting date, recognizing any impairment losses as required if they are overstated. When the circumstances which gave rise to recognition of impairment losses on inventories no longer hold or there is clear evidence justifying an increase in the net realizable value due to changes in economic circumstances, the previously recognized impairment losses are reversed. This reversal is limited to the lower amount of either the cost or the new net realizable value of the inventories. Both impairment losses on inventories as well as their reversal are recognized in the income statement for the period.

4.7 Foreign currency transactions and balances

As the Company's functional currency is the euro, all balances and transactions denominated in currencies other than the euro are considered as denominated in foreign currency. Said transactions are recognized in euros applying the spot exchange rates prevailing at the transaction dates.

At financial year end, the monetary assets and liabilities denominated in foreign currencies are converted to euros utilizing the average spot exchange rate prevailing at said date in the corresponding currency markets.

The gains or losses obtained from settling transactions denominated in foreign currency and the conversion at closing date exchange rates of the monetary assets and liabilities denominated in foreign currencies are recognized in the income statement for the year under "Exchange gains (losses)."

4.8 Corporate income tax

Income tax expense for the year is calculated as the sum of current tax, resulting from applying the corresponding tax rate to taxable income for the year (after applying any possible tax deductions), and any changes in deferred tax assets and liabilities.

The tax effect relating to items directly recognized in equity is recognized under equity in the balance sheet.

Deferred taxes are calculated in accordance with the balance sheet method, considering the temporary differences that arise between the tax bases of assets and liabilities and their carrying amounts, applying the regulations and tax rates that have been approved or are about to be approved at the reporting date and which are expected to apply when the corresponding deferred tax asset is realized or deferred tax liability is settled.

Deferred tax liabilities are recognized for all taxable temporary differences except for those arising from the initial recognition of goodwill or other assets and liabilities in a transaction that is not a business combination and affects neither taxable profit nor accounting profit. Deferred tax assets are recognized when it is probable that the Company will generate sufficient taxable profit in the future against which the deductible temporary differences or the unused tax loss carryforwards or tax assets can be utilized.

At each reporting date the Company reviews the deferred tax assets and liabilities recognized to verify that they remain in force, making any appropriate adjustments on

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

the basis of the results of the analysis performed.

The Company has been filing its tax returns under a consolidated tax regime since 2021 together with the remaining Spanish companies included in the Grenergy Group, the identification number of which is 429/21 (Note 16.1).

4.9 Recognition of income and expenses

In accordance with the accruals principle, income is recognized when control is transferred and expenses are recognized when they are incurred, regardless of when actual payment or collection occurs. The Company is dedicated to the development, construction, and maintenance of photovoltaic and wind parks. In addition, it acts as supplier of the Grenergy Group for the sale of materials used in the construction of photovoltaic parks.

4.9.1 Recognition

The most significant criteria utilized by the Company for recognition of its revenue and expenses are the following:

Revenue from the sale of materials:

The Company acts as supplier for the Group in the purchase of materials used in the construction of photovoltaic parks. Revenue from the sale of materials is recognized when control over the asset is transferred to the client, generally corresponding to the moment when the material is delivered to the location where the photovoltaic park will be built. Given that there is a physical transfer to the client, control is transferred when ownership is implicitly accepted and the risks and rewards are transferred.

Revenue from construction contracts (EPC) on land owned by third parties:

Contract for the construction of the solar parks at a price payable based on the achievement of certain milestones (milestone billing). Thus, for engineering, procurement, and construction contracts ("EPC contracts"), the Group in general applies the criteria for recognizing income and results corresponding to each contract based on their stage of completion, obtained based on the percentage of costs incurred with respect to the total costs budgeted. Losses which may arise on the contracted projects are recognized, in their totality, at the moment said losses become apparent and can be estimated. The difference between the income recognized for each project and the amount invoiced is recognized as follows: if positive, as "Production executed pending invoice" (deferred billing) under "Trade and other receivables" in the balance sheet; if negative, as "Customer advances" (advance billing) under "Trade and other payables" in the balance sheet.

Revenue from development fees:

Contracts by virtue of which the Company commits itself to obtaining, on behalf of the SPV, the permits, licenses, and authorizations for construction of the parks. The Company in general applies the criteria for recognizing income from this type of contract when control over the services is transferred, which in general occurs when the contracts are finally obtained.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Revenue from operation and maintenance contracts and asset management contracts:

Revenue is recognized to the extent the entity satisfies performance obligations by transferring the services contracted, regardless of when actual payment or collection occurs.

4.9.2 Contract balances

a) Contract assets

Unconditional right to receive consideration

When the Company has an unconditional right to receive consideration, regardless of whether control over assets is transferred or not, a collection right is recognized in the subheadings "Trade receivables" or "Trade receivables from group companies and associates" under "Trade and other receivables" in current or non-current assets, depending on maturities and the normal operating cycle.

"Trade and other receivables" under current assets differentiates those client balances which, though within the normal operating cycle, mature in a period exceeding one year (non-current).

Right to consideration for transfer of control

When control over a contract asset is transferred without the unconditional right to billing, the Company recognizes a right to consideration for transfer of control. This right is derecognized when an unconditional right to receive consideration arises. However, impairment is analyzed at year end in the same way as for unconditional rights.

These balances, like unconditional rights, are presented as trade receivables. They are classified as current or non-current based on their maturities.

b) Contract liabilities

Contractual obligations

If the customer pays the consideration, or has an unconditional right to receive it, before transferring the good or service to the customer, the Company recognizes a contract liability when payment has been made or is due.

These contract liabilities are presented as customer advances under trade and other payables (current liabilities) or as non-current accruals (non-current liabilities) depending on their maturity.

Provision for delays and guarantees

At December 31, 2023, the Company did not recognize a provision for delays and guarantees for compliance with the construction contracts (Note 13).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Provisions and contingencies

At the date of authorization of the accompanying financial statements the directors of the Company made the following distinctions:

Provisions: existing obligations at the reporting date arising from past events that are uncertain as to amount or timing, but for which it is probable that the Company will suffer an outflow of resources which can be reliably estimated.
Contingent liabilities: possible obligations arising as a consequence of past events, materialization of which is conditional upon one or more uncertain events occurring in the future not entirely within control of the Company and which do not meet the requirements for recognition as provisions.

The financial statements of the Company present all the significant provisions with respect to which it considers the related obligation will probably have to be met. The provisions are quantified based on the best information available at the reporting date regarding the consequences of the triggering events and taking into account the time value of money, if significant.

Their allocation is made with a charge against the income statement for the year in which the obligation arises (legal, contractual, or implicit), and can be fully or partially reversed with a credit to the income statement when the obligations cease to exist or decrease.

The Company did not recognize any contingent liabilities at year end.

4.10 Environmental assets and liabilities

Environmental assets are classified as those the Company utilizes in its activities over a long period of time whose primary purpose is to minimize the environmental impact and protect or improve the environment, including those assets designed to reduce or eliminate future contamination from the Company's activities.

The criteria for initial recognition, allocation for amortization/depreciation, and possible impairment loss adjustments on said assets are as described in Note 4.2 above.

Given the Company's activities, and in accordance with prevailing legislation, it controls the degree of contamination produced by waste and emissions by applying an appropriate waste disposal policy. Expenses for these purposes are charged to the income statement for the year in which they are incurred.

4.11 Employee benefits expense

Employee expenses include all the Company's duties and obligations of a social nature, whether mandatory or voluntary, recognizing the obligations for bonus salary payments, holidays, and variable remuneration, as well as associated expenses.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

a) Short-term employee benefits

This type of remuneration is measured at the undiscounted amount payable in exchange for services received. These benefits are generally recognized as personnel expenses for the year and are presented as a liability in the balance sheet corresponding to the difference between the total expense accrued and the amount settled at the reporting date.

b) Termination benefits

In keeping with prevailing legislation, the Company is obliged to pay indemnities to employees who are dismissed through no fault of their own. Said termination benefits are payable when employment is terminated by the Company before the normal retirement date, or whenever an employee accepts voluntary redundancy in exchange for these benefits. The Company recognizes termination benefits when it has a demonstrable commitment to terminate its current labor contracts under an irrevocable and detailed plan or to provide termination benefits as part of an offer to encourage voluntary redundancy.

At year end the Company had no plan to reduce personnel that would require it to record a corresponding provision.

4.12 Payments based on shares and share options

Transactions in which the Company receives goods or services, including services rendered by employees, in exchange for its own equity instruments, or an amount based on the value of its equity instruments, such as share options or share appreciation rights, are considered equity-settled transactions.

The Company recognizes, on the one hand, the goods and services at the time they are received as an asset or expense, depending on their nature, and on the other, the corresponding increase in equity, if the transaction is settled using equity instruments, or the corresponding liability, if it is settled with an amount that is based on the value of equity instruments.

If the Company has the option to settle with equity instruments or in cash, it must recognize a liability to the extent that it has incurred a present obligation to settle in cash or with other assets; alternatively it shall recognize an increase in equity. If the choice corresponds to the supplier of the goods or services, the Company shall recognize a compound financial instrument, which shall include a liability component for the other party's right to demand payment in cash and an equity component for the right to receive the consideration in own equity instruments.

In transactions in which services must be completed throughout a certain period of time, these services shall be recognized as rendered during said period.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

In transactions with employees which are settled with equity instruments, both the services rendered and the increase in equity to be recognized shall be measured at fair value of the equity instruments assigned on the grant date.

Equity-settled transactions which relate to goods or services other than those provided by employees shall be measured at the fair value of said goods or services, if this can be measured reliably, at the date received. If the fair value of the goods or services received cannot be reliably measured, the goods or services received and the increase in equity shall be measured at the fair value of the equity instruments granted corresponding to the date on which the Company obtains the goods or the other party renders the services.

After recognition of the goods and services received, as established in the above paragraphs, as well as the corresponding increase in equity, no additional adjustments shall be made to equity after the vesting date.

For cash-settled transactions, the goods or services received and the liability to be recognized shall be measured at the fair value of the liability corresponding to the date on which the recognition requirements are met.

Thereafter, and until settlement, the corresponding liability shall be measured at fair value at each year end, and any changes in value during the year shall be recognized in the income statement.

At December 31, 2023, the Company had granted various incentive plans to its employees consisting of options on its shares. Said plan establishes that the transactions shall be settled via delivery of equity instruments (Note 12.5).

4.13 Related-party transactions

Commercial or financial transactions carried out with group companies, jointly controlled entities, associates, and other related parties are initially recognized at fair value regardless of the degree of relationship.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4.14 Classification of balances between current and non-current

The Company classifies assets and liabilities in the balance sheet as current and noncurrent. For these purposes, assets and liabilities are classified as current in accordance with the following criteria:

Assets are classified as current when they are expected to be realized or are intended for sale or consumption in the Company's normal operating cycle; they are held primarily for trading; they are expected to be realized within 12 months from the reporting date; or are cash or cash equivalents, unless they are restricted from being exchanged or used to settle a liability for at least 12 months after the reporting date.
Liabilities are classified as current when it is expected that they will be settled in the Company's normal operating cycle; they are held primarily for the purpose of trading; they are due to be settled within twelve months from the reporting date; or if the Company does not have the unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

5. Intangible assets

The breakdown and movements in this balance sheet heading during 2023 and 2022 were as follows:

	Patents, licenses, trademarks, et al.	Software	PP&E under construction and prepayments	TOTAL
COST
Balance at 12.31.2021	12	136	-	148
Additions	-	195	-	195
Balance at 12.31.2022	12	331	-	343
Additions	-	168	171	339
Balance at 12.31.2023	12	499	171	682
DEPRECIATION
Balance at 12.31.2021	(1)	(66)	-	(67)
Allowance for the year	(1)	(27)	-	(28)
Balance at 12.31.2022	(2)	(93)	-	(95)
Allowance for the year	-	(22)	-	(22)
Balance at 12.31.2023	(2)	(115)	-	(117)

Net carrying amount at 12.31.2022	10	238	-	248
Net carrying amount at 12.31.2023	10	384	171	565

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Description of the main movements

The additions during the year mainly correspond to the implementation of a new ERP system, part of which was still in the process of being implemented at year end.

Fully amortized intangible assets

At 2023 and 2022 year end, the Company's intangible assets included fully amortized assets still in use amounting to 8 thousand for both years.

Intangible assets acquired from group companies and associates

No intangible assets were acquired from group companies or associates in 2023 and 2022.

Impairment losses

The directors of the Company consider that there are no indications of any impairment losses on its intangible assets at 2023 and 2022 year end, thus not recognizing any impairment loss allowances for either year.

Leases

At December 31, 2023 and 2022, the Company held no intangible assets under finance leases. Likewise, the Company is not party to any operating lease agreements in connection with its intangible assets.

Firm purchase and sale commitments

The Company has no commitments to acquire or sell any intangible assets at significant amounts. Neither are any intangible assets affected by litigation or encumbered as guarantees to third parties.

Insurance

The Company has taken out various insurance policies to cover the risks to which its intangible assets are exposed and considers said coverage as sufficient.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

6. Property, plant, and equipment

The breakdown and movements in this balance sheet heading for 2023 and 2022 are as follows:

	Machinery and technical installations	Other plant, tools, and furniture	Other PP&E items	PP&E under construction and prepayments	TOTAL

COST Balance at 12.31.2021	40	1,701	595	114	2,450

Additions	14	135	249	234	632
Disposals, derecognitions, and reductions	-	-	-	-	-
Balance at 12.31.2022	54	1,836	844	348	3,082
Additions	-	24	425	362	810
Disposals, derecognitions, and	-	-	(7)	-	(7)
reductions
Balance at 12.31.2023	54	1,860	1,261	710	3,885

DEPRECIATION
Balance at 12.31.2021	(24)	(336)	(239)	-	(599)
Allowance for the year	(4)	(172)	(126)	-	(302)
Decreases	-	-	-	-	-
Balance at 12.31.2022	(28)	(508)	(365)	-	(901)
Allowance for the year	(4)	(197)	(179)	-	(380)
Decreases	-	-	3	-	3
Balance at 12.31.2023	(32)	(705)	(541)	-	(1,278)

Net carrying amount at 12.31.2022	26	1,328	479	348	2,181
Net carrying amount at

The useful lives of these assets and the depreciation criteria applied are disclosed in Note 4.2.

12.31.2023 22 1,154 721 710 2,607

The main additions during 2023 correspond to transport equipment as well as data processing equipment. The main additions during 2022 correspond to furniture and refurbishment work on the new offices located at calle Rafael Boti no. 26 in Madrid, as well as the acquisition of transport equipment.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

PP&E acquired from group companies and associates

No PP&E items were acquired from group companies in 2023 and 2022.

Impairment losses

The directors of the Company consider that there are no indications of any impairment losses on the different items comprising its PP&E at 2023 and 2022 year end.

Fully depreciated assets

At 2023 year end, the Company had fully depreciated PP&E items still in use amounting to 241 thousand euros (2022: 192 thousand euros).

Leases

"PP&E" at December 31, 2023 and 2022 presents balances amounting to 1,346 thousand euros and 1,250 thousand euros, respectively, corresponding to the net carrying amount for transport equipment, technical installations, and furniture which is held under finance lease agreements and classified under the corresponding heading according to their nature. The durations of the lease agreements range from 2 to 5 years (Note 7.1).

Firm purchase and sale commitments

The Company has no commitments to acquire or sell PP&E items in significant amounts and neither are any of said assets affected by litigation or encumbered as guarantees to third parties.

Insurance

The Company has taken out various insurance policies to cover the risks to which its PP&E items are exposed. The coverage of these insurance policies is considered sufficient.

Other information

The Company does not have any PP&E items located outside Spanish territory.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

7. Leases and other similar transactions

7.1 Finance Leases - Lessee

At December 31,2023 and 2022 the assets acquired by the Company by virtue of finance lease agreements were as follows:

Year ended December 31, 2023

Property, plant, and equipment	Cost	Accumulated depreciation	Net carrying amount
Transport equipment Plant	725 1,244	(264) (360)	462 884
Total	1,969	(624)	1,346

Year ended December 31, 2022

Property, plant, and equipment	Cost	Accumulated depreciation	Net carrying amount
Transport equipment Plant	418 1,244	(177) (235)	241 1,009
Total	1,662	(412)	1,250

The initial value of said assets corresponds to the lower of fair value of the good and the present value of minimum payments agreed upon, including the purchase option if applicable, at the lease date.

The finance lease agreement for the technical installations has the following characteristics:

The lease term is for 10 years and matures on December 31, 2026.
The interest rate is fixed: 1.30%
Maintenance and upkeep expenses are borne by the lessee.
The amount of the purchase option is equivalent to the last installment payable on the finance lease.
There are no contingent lease payments.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The most significant data at December 31, 2023 and 2022 in connection with the goods acquired under finance leases are as follows:

Year ended December 31, 2023

	Number of		Thousands of euros
Item	Lease	lease payments					Lease payments made		Pending payments
	maturity			Cost at source	Prior years	Current year	Current	Non current
Transport equipment	12/31/2023	60	a)	123	-	-	-	-
Transport equipment	2/26/2024	60	a)	33	26	7	1	-
Transport equipment	7/4/2024	60	a)	37	28	7	4	-
Transport equipment	1/4/2026	60	a)	21	9	4	4	5
Transport equipment	2/8/2026	60	a)	21	8	4	4	5
Transport equipment	2/8/2026	60	a)	21	8	4	4	5
Transport equipment	2/8/2026	60	a)	21	8	4	4	5
Transport equipment	3/13/2026	60	a)	20	8	4	4	5
Transport equipment	2/28/2026	60	a)	26	10	6	6	7
Transport equipment	2/28/2026	60	a)	26	10	6	6	7
Transport equipment	3/22/2027	60	a)	22	3	5	5	10
Transport equipment	3/22/2027	60	a)	22	3	5	5	10
Transport equipment	3/22/2027	60	a)	22	3	5	5	10
Transport equipment	4/17/2028	60	a)	27	-	6	6	20
Transport equipment	4/24/2028	60	a)	26	-	6	6	19
Transport equipment	6/24/2028	60	a)	26	-	6	6	20
Transport equipment	6/24/2028	60	a)	26	-	6	6	20
Transport equipment	6/24/2028	60	a)	28	-	6	6	21
Transport equipment	8/12/2028	60	a)	28	-	6	6	22
Transport equipment	8/13/2028	60	a)	29	-	6	7	22
Transport equipment	9/27/2028	60	a)	30	-	7	7	25
Transport equipment	9/27/2028	60	a)	30	-	7	7	25
Transport equipment	9/27/2028	60	a)	30	-	7	7	25
Transport equipment	9/27/2028	60	a)	30	-	7	7	25
Plant	11/12/2026	60	a)	1,244	287	252	223	470
Total				1,969	411	383	346	783

a) Monthly lease payments

Year ended December 31, 2022

		Number of lease payments		Thousands of euros
Item	Lease				Lease payments made		Pending payments
	maturity			Cost at source	Prior years	Current year	Current	Non current
Transport equipment	11/22/2022	48	a)	106	35	71	-	-
Transport equipment	2/26/2024	60	a)	33	17	7	8	1
Transport equipment	6/3/2024	60	a)	37	17	7	9	4
Transport equipment	1/4/2026	60	a)	21	3	4	4	10
Transport equipment	2/8/2026	60	a)	21	3	4	4	10
Transport equipment	2/8/2026	60	a)	21	3	4	4	10
Transport equipment	2/8/2026	60	a)	21	3	4	4	10
Transport equipment	2/13/2026	60	a)	20	2	4	4	10
Transport equipment	2/28/2026	60	a)	26	4	5	5	12
Transport equipment	2/28/2026	60	a)	26	4	5	5	12
Transport equipment	4/22/2027	60	a)	22	-	3	4	14
Transport equipment	4/22/2027	60	a)	22	-	3	4	14
Transport equipment	4/22/2027	60	a)	22	-	3	4	14
Plant Total	11/1/2026	60	a)	1,244 1,642	79 170	199 323	242 301	724 845

a) Monthly lease payments

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

7.2 Operating leases - Lessee

The Company leases the right to use certain goods from third parties or related parties to perform its activity. The conditions attaching to the main lease agreements which were in force during 2023 and 2022 were as follows:

Year ended December 31, 2023

Item	Lease maturity	Expense for the year
		2023

Offices Rafael Botí 26	2026	701
Vehicles	2023-2027	109
Other rents	2024	21
Total		831

Year ended December 31, 2022

		Expense for the year
Item	Lease maturity	2022

Offices Rafael Botí 26	2026	658
Vehicles	2022-2027	46
Other rents	2023	75
Total		779

At 2023 and 2022 year end, the Company had set up the legal guarantees demanded by the lessors, the value of which amounted to 29 thousand and 28 thousand euros, respectively (Note 8.2).

At December 31, 2023 and 2022, the future minimum payments for non-cancellable operating lease agreements, broken down by maturity, are as follows:

	Minimum payments 2023	Minimum payments 2022

Up to one year	831	771
Between 1 and 5 years	2,233	3,005
More than five years	-	-
Total	3,064	3,776

Neither at 2023 nor 2022 year end, or during either year, were the assets leased by the Company subleased to third parties.

8. Financial investments

8.1 Investments in group companies

The breakdown and movements in this balance sheet heading during 2023 and 2022 were as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2023

	Balance at		12.31.2022 Additions Retirements Impairment	losses		Transfers Balance at 12.31.2023
Non-current investments
Equity instruments	39,803	114,003	(1,597)	1,564	-	153,773
Unpaid portion of equity investments	(177)	(3)	9	-	-	(171)
Loans to companies	206,150	79,001	-	(3,410)	-	281,741

	245,776	193,001	(1,588)	(1,846)	-	435,343

Current investments
Loans to companies	-	942	-		-	942
	-	942	-	-	-	942
Total	245,776	193,943	(1,588)	(1,846)	-	436,285

Year ended December 31, 2022

	Balance at		12.31.2021 Additions Retirements Impairment	losses		Transfers Balance at 12.31.2022
Non-current investments Equity instruments	37,585	10,408	(31)	(8,159)	-	39,803
Unpaid portion of equity investments Loans to companies	(139) 79,150	(38) 128,116	- -	- (1,116)	- -	(177) 206,150
	116,596	138,486	(31)	(9,275)	-	245,776
Current investments
Loans to companies	1,353	-	(1,353)	-	-	-
	1,353	-	(1,353)	-	-	-
Total	117,949	138,486	(1,384)	(9,275)	-	245,776

Equity instruments

The breakdown at 2023 and 2022 year end and the movements for this balance sheet heading are as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

	Balance				Balance				Balance
Company name	at 12.31.21		Additions Derecognitions Impairment	losses	at 12.31.22		Additions Derecognitions Impairment	losses	at 12.31.23
GRENERGY PACIFIC LTDA	43	-	-	-	43	-	-	-	43
GRENERGY PERU SAC	1	-	-	-	1	-	-	-	1
GREENHOUSE SOLAR FIELDS, S.L.	3	-	-	-	3	-	-	-	3
GREENHOUSE SOLAR ENERGY, S.L. GREENHOUSE RENEWABLE ENERGY, S.L.	3 3	- -	- -	- -	3 3	- -	- -	- -	3 3
GUIA DE ISORA SOLAR 2, S.L.	2	-	-	-	2	-	-	-	2
GR RENOVABLES MÉXICO	3	-	-	-	3	-	-	-	3
GR SOLAR 2020, S.L. GR SUN SPAIN, S.L.	3 3	- -	- -	- -	3 3	- -	- -	- -	3 3
GR EQUITY WIND AND SOLAR, S.L.	3	-	-	-	3	-	-	-	3
GR TARUCA S.A.C.	4,932	-	-	(4,079)	853	20,923	-	4,079	25,855
GR PAINO S.A.C. GRENERGY COLOMBIA S.A.S.	5,011 270	- -	- -	(4,080) -	931 270	20,887 -	- -	(2,515) -	19,303 270
GREENHUB S.L. DE C.V.	20	-	-	-	20	-	-	-	20
LEVEL FOTOVOLTAICA S.L.	2	-	-	-	2	-	-	-	2
GR BAÑUELA RENOVABLES, S.L. GR TURBON RENOVABLES, S.L.	968 968	- -	- -	- -	968 968	- -	- -	- -	968 968
GR AITANA RENOVABLES, S.L.	968	-	-	-	968	-	-	-	968
GR ASPE RENOVABLES, S.L.	968	-	-	-	968	-	-	-	968
KOSTEN S.A. GRENERGY RENOVABLES, S.A. (ARGENTINA)	2,623 402	- -	- -	- -	2,623 402	- -	- -	- -	2,623 402
EIDEN RENOVABLES, S.L.	3	-	-	-	3	-	-	-	3
EL AGUILA RENOVABLES, S.A.	3	-	-	-	3	-	-	-	3
MAMBAR RENOVABLES, S.L. CHAMBO RENOVABLES, S.A.	3 3	- -	- -	- -	3 3	- -	- -	- -	3 3
EUGABA RENOVABLES, S.L.	3	403	-	-	406	-	(406)	-	-
TAKE RENOVABLES, S.L.	3	423	-	-	426	-	(426)	-	-
NEGUA RENOVABLES, S.L.	3	395	-	-	398	-	(398)	-	-
GRENERGY OPEX, SPA PEQ (QUILLAGUA)	1 15,210	- -	- -	- -	1 15,210	- -	- -	- -	1 15,210
GRENERGY RINNOVABILI ITALIA SRL	100	250	-	-	350	950	-	-	1,300
GR POWER CHILE, SPA	1	-	-	-	1	-	-	-	1
GRENERGY PALMAS DE COCOLÁN, SPA CE CENTINELA SOLAR SPA	2,191 28	10,165 -	- (28)	- -	12,533 -	7,828 -	- -	- -	20,361 -
CE URIBE DE ANTOFAGASTA SOLAR SPA	3	-	(3)	-	-	-	-	-	-
CHAPIQUINA SOLAR SPA	1	-	-	-	1	-	(1)	-	-
MAITE SOLAR SPA MIGUEL SOLAR SPA	1,268 1,319	- -	(1,268) (1,319)	- -	- -	- -	-	- -	- -
GR RINNOVABILI 1 SRL	10	-	-	-	10	-	-	-	10
GR RINNOVABILI 2 SRL	10	-	-	-	10	-	-	-	10
GR RINNOVABILI 3, SRL GR RINNOVABILI 4 SRL	10 10	- -	- -	- -	10 10	- -	- -	- -	10 10
GR RINNOVABILI 5 SRL	10	-	-	-	10	-	-	-	10
GR RINNOVABILI 6 SRL	10	-	-	-	10	-	-	-	10
GR RINNOVABILI 7 SRL GR RINNOVABILI 8 SRL	10 10	- -	- -	- -	10 10	- -	- -	- -	10 10
GR RINNOVABILI 9 SRL	10	-	-	-	10	-	-	-	10
GR RINNOVABILI 10 SRL	10	-	-	-	10	-	-	-	10
BOTINTO S.P.Z.O.O PARQUE SOLAR TANGUA	3 -	- 913	- -	- -	3 913	1,711 -	- -	- -	1,714 913
MANZANO SOLAR SPA	-	20	-	-	20	-	-	-	20
GRENERGY ERNEUERBARE ENERGIEN GMBH	-	25	-	-	25	-	-	-	25
PFV EL LORO CHOROY GR CORTARRAMA S.A.C.	- -	363 -	- -	- -	363 -	- 13,544	(363) -	- -	- 13,544
GR ALGARROBO S.P.A.	-	-	-	-	-	26,738	-	-	26,738
GR HUAMBOS, S.A.C.	-	-	-	-	-	508	-	-	508
GR APARIC, S.A.C. GR LIUN, SPA	- -	- -	- -	- -	- -	377 5,913	- -	- -	377 5,913
GR ANDINO	-	-	-	-	-	3,072	-	-	3,072
GR RINNOVABILI 11 SRL	-	-	-	-	-	10	-	-	10
GR RINNOVABILI 12 SRL GR RINNOVABILI 13 SRL	- -	- -	- -	- -	- -	10 10	- -	- -	10 10
GR RINNOVABILI 14 SRL	-	-	-	-	-	10	-	-	10
GR RINNOVABILI 15 SRL	-	-	-	-	-	10	-	-	10
GR RINNOVABILI 16 SRL GR RINNOVABILI 17 SRL	- -	- -	- -	- -	- -	10 10	- -	- -	10 10
GR RINNOVABILI 18 SRL	-	-	-	-	-	10	-	-	10
GR RINNOVABILI 19 SRL	-	-	-	-	-	10	-	-	10
GR RINNOVABILI 20 SRL MARCODAVA ONE SRL	- -	- -	- -	- -	- -	10 6	- -	- -	10 6
MARCODAVA TEWOS SRL	-	-	-	-	-	1	-	-	1
SACIDAVA AXIONE SRL	-	-	-	-	-	1	-	-	1
SACIODAVA AXIMAR EVOLUTION SRL THRACIA NOVAE LAND SRL	- -	- -	- -	- -	- -	2 3	- -	- -	2 3
GRENERGY USA	-	-	-	-	-	8,695	-	-	8,695
GR REGENERABILE BUCURESTI SRL	-	-	-	-	-	1	-	-	1
LIRIOS DE CHUMAQUITO SPA ENERGIA EL MANZANO SPA	- -	- -	- -	- -	- -	352 304	- -	- -	352 304
PLANTA SOLAR LA GREDA SPA	-	-	-	-	-	364	-	-	364
FOTOVOLTAICA FARO I SPA	-	-	-	-	-	415	-	-	415
FOTOVOLTAICA FARO III SPA GR RENOVABLES INTL.HOLDCO, S.L	- -	- -	- -	- -	- -	274 3	- -	- -	274 3
JUAN SOLAR SPA	-	-	-	-	-	1,031	-	-	1,031
GR PEUMO, S.P.A.	-	-	-	-	-	-	(1)	-	(1)
GR MORRO MORENO, SPA CHAPIQUINA SOLAR SPA	- -	- -	- -	- -	- -	- -	(1) (1)	- -	(1) (1)
VIATRES RENEWABLE ENERGY, S.L.	1	-	-	-	1	-	-	-	1
Total	37,446	12,957	(2,618)	(8,159)	39,803	114,003	(1,597)	1,564	153,773

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Description of the main movements

The main movements during 2023 correspond to the incorporation of new companies, capital increases for those already incorporated, or non-monetary contributions of shares to another investee company, as can be seen in the above table. In addition, the main transactions carried out in 2023 were as follows:

Acquisition of Lirios de Chumaquito, SpA; Energía El Manzano, SpA; Planta Solar La Greda, SpA; Fotovoltaica Faro I; Fotovoltaica Faro III; and Jan Solar, SpA for amounts of 352 thousand, 304 thousand, 364 thousand, 415 thousand, 274 thousand, and 1,031 thousand euros, respectively.
Acquisition of an additional 60% of interest in the US solar project developer Sofos Harbert Renewable Energy, LLC.
Capital increase for Grenergy Palmas de Cocalán, SpA amounting to 14,749 thousand euros, as well as for GR Algarrobo and GR Liun, amounting to 26,738 thousand euros and 5,913 thousand euros, respectively.
Capital increase for GR Taruca SAC (20,923 thousand euros); GR Paino SAC (20,887 thousand euros); GR Huambos SAC (508 thousand euros); GR Apartic SAC (377 thousand euros); and GR Cortarrama SAC (13,544 thousand euros).
Sale of the interest held in GR Morro, SpA; GR Peumo, SpA; Eugaba Renovables, SL; Take Renovables SL; and Negua Renovables SL. Said transactions generated capital gains amounting to 71,229 thousand euros, recognized under "Impairment and gains (losses) on disposal of financial instruments" in the accompanying income statement (Note 17.4).

The main movements during 2022 correspond to the incorporation of new companies or capital increases in those already incorporated as can be seen in the above table. In addition, the following transactions were carried out in 2022:

Acquisition of the following companies: Parque Solar Tangua, SpA; Manzano Solar, SpA C; and PFV El Loro Choroy, SpA for amounts of 913 thousand; 20 thousand; and 363 thousand euros, respectively.
Capital increase for Grenergy Palmas de Cocalán, SpA. amounting to 10,165 thousand euros.
Sale of the investments held in the following companies: GR Nahuelbuta, SpA; GR Conguillio, SpA; La Cuesta Solar, SpA; GR Bayovar, SAC; and GR Vale, SAC. Said transactions generated capital gains amounting to 18,372 thousand euros, recognized under "Impairment and gains (losses) on disposal of financial instruments" in the accompanying income statement (Note 17.4).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The Company holds interests in numerous group companies. Most of these companies correspond to special purpose vehicles that hold or will hold each of the different projects included in the Group's pipeline. At December 31, 2023 and 2022, several of these companies presented negative equity. The Company's directors consider that there are no indications of impairment on the interests held in these group companies as they expect these companies will restore their equity when the parks become operational.

None of the entities in which the Company has invested are listed on an organized securities market.

At December 31, 2023 and 2022, the Company considers that holding less than 20% of interests in another company means no significant influence can be exercised over it, while holding more than 20% of interests in another company does allow for the exercise of significant influence.

The information on each of the entities in which the Company is invested is attached in Appendix I.

Impairment losses

At the end of each reporting period, the directors evaluate whether there are any indications of impairment with respect to the valuations of financial investments in equity instruments and borrowing facilities granted to Group companies. Management uses, amongst other means, financial projections for each company in order to review indications of impairment. Said financial projections are structured in such a manner as to determine the costs of each project (both in the construction phase and the operational phase) and allow for the income to be projected over the entire lifetime of the power plant, given that they are either regulated by long-term sales contracts or by means of the price curve obtained from independent experts when they are marketbased.

Given that at December 31, 2023 all investments in equity instruments for companies which own the solar plants and wind parks were obtaining revenue and reasonably complying with the business plans, the directors consider there are no indications of any impairment, except in the case of Kosten S.A. (wind park in Argentina), GR Taruca and GR Paino (wind parks in Peru), Green Hub (solar park in San Miguel de Allende, Mexico) and Colombia's portfolio, for which the Company performed an impairment test in light of the situation in which the respective countries find themselves, the increases in interest rates, and the current international environment.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

As a result of these tests, a reversal amounting to 4,079 thousand euros was recognized relating to the impairment of the interests held in GR Taruca, while an additional balance of 2,516 thousand euros was recognized for the already existing impairment loss allowance relating to the interests held in GR Paino. In contrast, though it was not necessary to recognize any additional impairment losses on the interests held in GR Kosten, an impairment loss was recognized on part of the receivable balance in the amount of 1,116 thousand euros. Finally, as a consequence of the test, an additional impairment loss on the balance receivable from the Group company Green Hub was recognized in the amount of 1,644 thousand euros, as well as an impairment loss relating to GR Cerritos in the amount of 264 thousand euros. These amounts were recognized under "Impairment and gains (losses) on disposal of financial instruments" in the accompanying income statement (Note 17).

At December 31, 2022, an impairment loss was recognized for the interests held in GR Taruca and GR Pain, amounting to 4,079 thousand and 4,080 thousand euros, respectively. In contrast, it was not necessary to recognize any additional impairment losses on the interests held in GR Kosten. Finally, as a consequence of the test, an impairment loss on the balance receivable from the Group company Green Hub was recognized in the amount of 1,116 thousand euros. These amounts were recognized under "Impairment and gains (losses) on disposal of financial instruments" in the accompanying income statement (Note 17).

The directors of the Company consider that there are no indications of additional impairment losses on interests held in group companies.

Impairment test for Kosten (Argentina)

The most sensitive issues included when evaluating the recoverable amount determined in accordance with value in use and applying the methodology described in Note 3.5, are as follows:

Electricity produced: the production performance was estimated based on a study carried out by an independent expert.
Price of electricity: the energy prices were determined based on the energy sales contract signed with a third party for a duration of 20 years at a fixed price. No additional sales were considered during this period. For subsequent years up to completing the 25 years of useful life, a terminal value was included given the uncertainty of market prices in Argentina in the years following finalization of the contract, which is an habitual market practice, corresponding to 25% of the value of the civil engineering work performed, connection rights and infrastructure (which go beyond 20 years) and the project site, of little significance (approximately 1 million euros).
Operation and maintenance costs: these were determined based on the contracts signed and experience of the markets where Grenergy operates.
In addition, the after tax discount rate used was 11.5% (2022: 10.5%).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Test result

A sensitivity analysis was performed for each of the following scenarios with regard to the key hypotheses:

an increase in the discount rate by 100 basis points would not result in recognition of impairment losses;
a decrease of 5% in electricity produced would not result in recognition of impairment losses;
a 5% increase in operating and maintenance costs would not result in any impairment losses being recognized.

Impairment test for Duna & Huambos (Peru)

In the second half of 2023, Grenergy agreed to sell 100% of Duna & Huambos wind park. Given that not all suspensive clauses of the agreement had been fulfilled at December 31, 2023, the sale was not completed and the wind park was not excluded from the consolidation scope. The method used to determine the recoverable amount was that of comparison with the sales price, and since the latter was higher than the carrying amount, no recognition of impairment losses was required.

Impairment test for San Miguel de Allende (Mexico)

The most sensitive issues included when evaluating the recoverable amount determined in accordance with value in use are as follows:

Electricity produced: the production performance was estimated based on a study carried out by an independent expert.
Price of electricity: the energy prices were determined based on a fixed price obtained when the long-term energy sales contract was awarded and on the price projections provided by independent experts for the last years in which contracts were awarded.
Operation and maintenance costs: these were determined based on the contracts signed and experience of the markets where Grenergy operates.
In addition, the after tax discount rate used was 7.37% (2022: 7.25%).

Test result

A sensitivity analysis was performed for each of the following scenarios with regard to the key hypotheses:

an increase in the discount rate by 100 basis points would result in recognition of an additional impairment loss of 2,389 thousand euros;
a decrease of 5% in electricity produced would result in recognition of an additional impairment loss of 1,620 thousand euros;

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

a 5% increase in operating and maintenance costs would result in recognition of an additional impairment loss of 421 thousand euros.

Impairment test for Colombia portfolio

The most sensitive issues included when evaluating the recoverable amount determined in accordance with value in use are as follows:

Electricity produced: the production performance was estimated based on a study carried out by an independent expert.
Price of electricity: the energy prices were determined based on a fixed price obtained when the long-term energy sales contract was awarded.
Operation and maintenance costs: these were determined based on the contracts signed and experience of the markets where Grenergy operates.
In addition, the after tax discount rate used was 14.00%.

Test result

A sensitivity analysis was performed for each of the following scenarios with regard to the key hypotheses:

an increase in the discount rate by 100 basis points would not result in recognition of impairment losses;
a decrease of 5% in electricity produced would not result in recognition of impairment losses;
a 5% increase in operating and maintenance costs would not result in any impairment losses being recognized.

For the remainder of the interests held and borrowing facilities recognized under "Equity instruments" and "Loans to group companies and associates" there are no indications of impairment other than that already recognized at December 31, 2023 and 2022.

Loans to group companies

These loans correspond to the financing granted by the Company to different group companies. At 2023 and 2022 year end, the breakdown of these borrowing facilities by entity, including their main characteristics, is as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2023

Entity	Non-current	Current	Total
	assets	assets
GR RENOVABLES MÉXICO S.A. DE C.V.	32,867	-	32,867
GRENERGY PERU SAC	11,300	-	11,300
GRENERGY COLOMBIA S.S.	22,469	-	22,469
KOSTEN.S.A.	17,623	-	17,623
GRENERGY ATLANTIC, S.A.	448	-	448
GR SOLAR 2020, S.L.U.	13,948	-	13,948
GR SUN SPAIN SLU	104	-	104
GR TARUCA	-	15	15
GR PAINO	-	927	927
GR AITANA RENOVABLES, S.L.	6,252	-	6,252
GR BAÑUELA RENOVABLES, S.L.	5,646	-	5,646
GR TURBON RENOVABLES, S.L.	5,644	-	5,644
GR ASPE RENOVABLES, S.L.	6,158	-	6,158
EIDEN RENOVABLES, S.L.U.	1,121	-	1,121
CHAMBO RENOVABLES, S.L.U.	1,091	-	1,091
MAMBAR RENOVABLES, S.L.	773	-	773
EL AGUILA RENOVABLES, S.L.	1,580	-	1,580
GR SISON RENOVABLES, S.L.U	604	-	604
GR PORRON RENOVABLES, S.L.U	154	-	154
GR BISBITA RENOVABLES, S.L.U	506	-	506
GR AVUTARDA RENOVABLES, S.L.U	463	-	463
GR COLIMBO RENOVABLES, S.L.U	254	-	254
GR MANDARIN RENOVANLES, S.L.U	407	-	407
GR FAISAN RENOVABLES, S.L.U	100	-	100
GR CALAMON RENOVABLES, S.L.U	155	-	155
GR MALVASIA RENOVABLES, S.L.U	188	-	188

GR MARTINETA RENOVABLES, S.L.U	247	-	247
GRENERGY RINNOVABILI ITALIA	4,707	-	4,707
GR LAS PALMAS DE COCALAN	33,891	-	33,891
GRENERGY RENEWABLES UK	4,266	-	4,266
PARQUE FOTOVOLTAICO NUEVO QUILLAGUA	2,164	-	2,164
GRENERGY POLSKA	2,903	-	2,903
GR SOL DE BAYUNCA	5,210	-	5,210
GR PARQUE SOLAR LA MEDINA SAS	5,006	-	5,006
GR PARQUE SOLAR CABALLEROS	5,027	-	5,027
GR MONTELIBANO SOLAR SAS	216	-	216
GR POWER CHILE SPA	2,114	-	2,114
GRENERGY OPEX SPA	855	-	855
CERRITOS SOLAR SAS	5,021	-	5,021
GRENERGY USA LLP	6,199	-	6,199
GRENERGY EPC EUROPA	9,069	-	9,069
GR CHARRAN RENOVABLES, S.L.U	151	-	151
GR CORMORAN RENOVABLES, S.L.U	214	-	214
GR GARCILLA RENOVABLES, S.L.U	282	-	282
GRENERGY ERNEUERBARE ENERGIEN GMBH	1,520	-	1,520
SOFOS HARBERT RENEWABLE ENERGY LLC	226	-	226
CABO DE HORNOS	15,873	-	15,873
LORO CHOROY	122	-	122
GRENERGY REGENERABILE BUCURESTI S.R.L.	215	-	215
GR VALENCIA 1 RENOVABLES	210	-	210
GR ALGARROBO SPA	36,523	-	36,523
GR LIUN SPA	8,134	-	8,134
Other group companies	1,521	-	1,521
Total	281,741	942	282,683

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2022

	Non-current
Entity	assets	Current assets	Total
GR RENOVABLES MÉXICO S.A. DE C.V.	4,051	-	4,051
GRENERGY PERU SAC	5,637	-	5,637
GRENERGY COLOMBIA S.S.	21,610	-	21,610
KOSTEN.S.A.	18,034	-	18,034
GRENERGY ATLANTIC, S.A.	439	-	439
GR SOLAR 2020, S.L.U.	1,209	-	1,209
GR SUN SPAIN SLU	103	-	103
GR TARUCA	22,778	-	22,778
GR PAINO	22,500	-	22,500
GR AITANA RENOVABLES, S.L.	5,464	-	5,464
GR BAÑUELA RENOVABLES, S.L.	5,351	-	5,351
GR TURBON RENOVABLES, S.L.	5,323	-	5,323
GR ASPE RENOVABLES, S.L.	5,825	-	5,825
GREEN HUB S. DE R.C. DE C.V.	14,339	-	14,339
EIDEN RENOVABLES, S.L.U.	286	-	286

CHAMBO RENOVABLES, S.L.U.	267	-	267
MAMBAR RENOVABLES, S.L.	257	-	257
EL AGUILA RENOVABLES, S.L.	508	-	508
EUGABA RENOVABLES, S.L.U.	1,714	-	1,714
NEGUA RENOVABLES, S.L.U.	1,665	-	1,665
TAKE RENOVABLES, S.L.U.	1,934	-	1,934
GR SISON RENOVABLES, S.L.U	473	-	473
GR PORRON RENOVABLES, S.L.U	91	-	91
GR BISBITA RENOVABLES, S.L.U	247	-	247
GR AVUTARDA RENOVABLES, S.L.U	308	-	308
GR COLIMBO RENOVABLES, S.L.U	221	-	221
GR MANDARIN RENOVANLES, S.L.U	338	-	338
GR FAISAN RENOVABLES, S.L.U	99	-	99
GR CALAMON RENOVABLES, S.L.U	125	-	125
GR MALVASIA RENOVABLES, S.L.U	62	-	62
GR MARTINETA RENOVABLES, S.L.U	180	-	180
GRENERGY RINNOVABILI ITALIA	2,298	-	2,298
GR LAS PALMAS DE COCALAN	16,072	-	16,072
GRENERGY RENEWABLES UK	1,486	-	1,486
GR ANDINO SAC	1,046	-	1,046
PARQUE FOTOVOLTAICO NUEVO QUILLAGUA	2,068	-	2,068
GRENERGY POLSKA	589	-	589
GR SOL DE BAYUNCA	4,959	-	4,959
GR PARQUE SOLAR LA MEDINA SAS	4,791	-	4,791
GR PARQUE SOLAR CABALLEROS	4,805	-	4,805
GR MONTELIBANO SOLAR SAS	223	-	223
GR POWER CHILE SPA	467	-	467
GRENERGY OPEX SPA	140	-	140
CERRITOS SOLAR SAS	5,028	-	5,028
GRENERGY USA LLP	4,672	-	4,672
GRENERGY EPC EUROPA	8,042	-	8,042
GRENERGY PACIFIC, LTDA.	7,755	-	7,755
Other group companies	271	-	271
Total	206,150	-	206,150

In 2023 and 2022, the Company recognized interest income amounting to 13,320 thousand and 7,076 thousand euros, respectively (Note 17.4). These loans bear interest at market rates.

Impairment losses

At December 31, 2023, the Company recognized impairment losses amounting to 1,644 thousand, 1,502 thousand, and 264 thousand euros on the borrowing facilities granted to the following Group companies: Green Hub, Kosten, and Cerritos, respectively (2022: 1,116 thousand euros of impairment losses relating to the Group

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

company Green Hub).

(Thousands of euros)	2023	2022
Opening balance	1,458	342
Net allowances	3,410	1,116
Reversals	-	-
Closing balance	4,868	1,458

8.2 Financial assets

The breakdown of financial assets at December 31, except for equity investments in group companies, jointly-controlled entities, and associates (Note 8.1), is as follows:

	12.31.2023				12.31.2022
	Equity instruments	Loans, derivatives, and other	Derivatives Total		Equity instruments	Loans, derivatives, and other	Derivatives Total
Non-current financial assets	40	252		2,491 2,783	40	2,630		- 2,670
Financial assets at amortized cost	-	252	-	252	-	2,630		- 2,630
Hedging derivatives Financial assets at cost	40	-	-	2,491 2,491 40	- 40	- -	- -	- 40
Current financial assets Financial assets at amortized cost	- -	73 73	- -	- 73 73	- -	1,367 1,367		- 1,367 - 1,367
Total	40	325		2,491 2,856	40	3,997		- 4,037

The Company did not reclassify any financial assets amongst different categories nor did it assign or transfer any financial assets during 2023 or 2022.

The movements during 2023 and 2022 in the different balances recognized under the headings for financial investments in the accompanying balance sheet are as follows:

	Balance at 12.31.21		Additions Decreases	Balance at 12.31.22		Additions Decreases	Balance at 12.31.23
Non-current investments Equity instruments Derivatives Security deposits and guarantees (Note 7.2) Other financial assets	803 - - 25 778	2,537 40 - 3 2,494	(670) - - - (670)	2,670 40 - 28 2,602	2,491 - 2,491 - -	(2,378) - - - (2,378)	2,783 40 2,491 28 224
Current investments Loans to companies Other financial assets	6,858 1,539 5,319	640 - 640	(6,131) (812) (5,319)	1,367 727 640	- -	(1,294) (661) (633)	73 66 7
Total	7,661	3,177	(6,801)	4,037	2,491	(3,672)	2,856

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Non-current investments

The balance recognized in connection with non-current equity instruments corresponds to a minority financial stake in an entity.

while the balance recognized for other non-current assets corresponds to the amount paid when purchasing various companies in Chile for the construction of solar plants, which at December 31, 2023 had not fulfilled the suspensive contractual conditions and which were therefore not recognized as investments in group companies. The derecognitions under this heading arose as a consequence of transferring items to the heading for investments in group companies given that said suspensive clauses were fulfilled in 2023.

Hedging derivatives

The breakdown of "Hedging derivatives" held by the Company at December 31 is as follows:

Type of hedge Financial entity		Notional amount at 12.31.2023 (Thousands of euros)	Notional amount at 12.31.2022 (Thousands of euros)	Fixed rate
Interest rate	Banco Santander	141,849,541	-	2.994%
Interest rate	Banco Santander	66,772,587	-	2.994%

The fair value of these financial instruments, calculated based on discounted cash flow analysis using the yield curves and futures exchange rates, are shown in financial assets and liabilities at December 31 as follows:

(Euros)	2023	2022

Non-current assets – Derivatives
Interest rate (SWAP)	2,491	-
	2,491	-

Current assets – Derivatives (Note 6.1)
Interest rate (SWAP)	-	-
	-	-

Total assets – Derivatives	2,491	-

Interest rate derivative

The Company contracted a hedging derivative for interest rates at the same time it was granted the bank financing.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The derivative contract is considered an effective cash flow hedge given that:

a) It involves payment of interest at a fixed rate and the collection of interest at a variable rate (6-month Euribor).
b) In terms of amortization schedules, liquidation, and calculation of interest, it is related to the loan which generates variable interest.
c) The underlying asset of the financial derivative will never exceed the nominal amount of the loan being covered.

At December 31, 2023 and 2022, the financial assets that have fixed maturities, or maturities determinable by residual maturity, present maturities of less than five years.

At December 31, 2023 and 2022, the Company had not delivered or accepted any financial assets as guarantees for transactions.

9. Inventories

		12.31.2023		12.31.2022
	Cost	Impairment losses	Balance	Cost	Impairment losses	Balance

Raw materials and other consumables	864	-	864	2,136	-	2,136
Work in progress	9,160	-	9,160	14,253	-	14,253
Prepayments to suppliers	137	-	137	-	-	-

Total	10,161	-	10,161	16,389	-	16,389

The breakdown of inventories at December 31, 2023 and 2022 is as follows:

At December 31, 2023 and 2022, the Company recognized materials yet to be used in the solar parks under "Raw materials and other consumables."

The amounts recognized as "Work in progress" mainly correspond to the costs incurred by the Company for the development of photovoltaic solar power projects which the Group is building/developing for subsequent sale to a third party or for its own use.

Since the directors of the Company consider that there are no indications of impairment losses on inventories at December 31, 2023 and 2022, no impairment loss adjustments were recorded in either year.

The Company has arranged insurance policies to cover the potential risks to which its inventories are exposed. The coverage of these insurance policies is considered sufficient.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

10. Trade receivables and other accounts receivable

"Trade receivables" in the accompanying balance sheet presents amounts receivable for the rendering of operation and maintenance services at photovoltaic installations for third parties.

"Other accounts receivable" reflects the amount pending collection for the sale of interests to third parties.

At 2023 year end, a provision amounting to 3,447 thousand euros was recognized for trade receivables past due by more than a year. At 2022 year end, none of the receivable balances were considered doubtful.

11. Cash and cash equivalents

The breakdown for this heading at 2023 and 2022 year end is as follows:

	Balance at 12.31.2023	Balance at 12.31.2022

Cash in hand	49,120	17,366
Total	49,120	17,366

The current accounts earn interest at the going market rates.

There are no restrictions on the availability of these balances.

12. Capital and reserves

12.1 Share capital

At December 31, 2023, the Company's share capital amounted to 10,714 thousand euros, corresponding to 30,611,911 shares with a nominal value of 0.35 euros each.

On June 28, 2022, the Company carried out a capital increase amounting to 90,001 thousand euros via the issue of 2,685,000 new shares at a nominal value of 0.35 euros each and a share premium of 33.17 euros each. The costs incurred for the capital increase amounted to 1,075 thousand euros, recognized by reducing voluntary reserves (Notes 12.3 and 16.1).

At December 31, 2023, the following shareholders held a direct stake of more than 10% of share capital:

Shareholder	2023	2022
Daruan Group Holding, S.L.	54%	54%

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

12.2 Share Premium

The share premium amounted to 198,912 thousand and 198,912 thousand euros at December 31, 2023 and 2022, respectively. This balance can be used for the same purposes as the voluntary reserves of the Company, including conversion to capital.

12.3 Reserves

The statement of changes in equity which forms a part of these financial statements provides the breakdown for aggregate balances and movements during 2023 and 2022 in this subheading of the accompanying balance sheet. The breakdown and movements of the different balances comprising reserves are shown below:

	Balance at 12.31.21	Increase	Decrease	Balance at 12.31.2022	Increase	Decrease	Balance at 12.31.23
Legal and statutory Legal reserve	1,701	254	-	1,955	188	-	2,143
Other reserves Voluntary reserves Capitalization reserves	52,593 1,521	23,901 -	(1,075) -	75,419 1,521	5,663 -	(6,754) -	74,328 1,521
Total	55,815	24,155	(1,075)	78,895	5,851	(6,754)	77,992

Legal reserve

In accordance with article 274 of the Spanish Corporate Enterprises Act, 10% of profit must be transferred to the legal reserve each year until it represents at least 20% of share capital.

This reserve cannot be distributed to shareholders and may only be used to offset income statement losses provided no other reserves are available. The balance recognized for this reserve can be used to increase share capital.

Voluntary reserves

These reserves are freely distributable.

The gains or losses obtained on the purchase-sale of treasury shares are recognized directly under voluntary reserves. The decrease in voluntary reserves in connection with this item recognized in 2023 totals 7,168 thousand euros (2022: an increase of 1,410 thousand euros).

Capitalization reserve

During 2017 the Company set aside a capitalization reserve, with a charge to available reserves, corresponding to 10% of the increase in capital and reserves of 2016, in accordance with the stipulations of article 25 of Law 27/2014 of November 27, on Corporate Income Tax (Note 16). This reserve will be restricted for a period of 5 years.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

12.4 Treasury shares

At 2023 and 2022 year end, the treasury share portfolio is broken down as follows:

	Balance at 12.31.2023	Balance at 12.31.2022
Number of shares in treasury share portfolio	1,200,222	611,148
Total treasury share portfolio	32,989	19,728
Liquidity Accounts	952	540
Fixed Own Portfolio Account	32,037	19,188

In November 2022, the Company launched a share buyback program in order to remunerate its key personnel via share option plans. This program finalized in March 2023 once the maximum number of shares allowed for under the share buyback program had been reached (400,000).

In October 2023, the Company launched a share buyback program to reduce its share capital and remunerate Grenergy's shareholder with increased earnings per share. This program was not complete at December 31, 2023, with the number of shares acquired at said date totaling 560,339.

During 2023 and 2022, the movements in the treasury share portfolio were as follows:

Year ended December 31, 2023

	Treasury shares
	Number of shares	Nominal value	Average acquisition price
Balance at 12.31.2022 Acquisitions Disposals	611,148 1,273,202 (684,128)	19,728 34,407 (21,146)	32.28 27.02 30.91
Balance at 12.31.2023	1,200,222	32,989	27.49

Year ended December 31, 2022

	Treasury shares
	Number of shares	Nominal value	Average acquisition price
Balance at 12.31.2021 Acquisitions Disposals	580,588 939,492 (908,932)	17,577 30,242 (28,091)	30.27 32.19 30.91
Balance at 12.31.2022	611,148	19,728	32.28

A loss was obtained on Grenergy treasury share transactions during 2023 amounting to 7,168 thousand euros (2022: a profit of 1,410 thousand euros), recognized under "Voluntary reserves" in the accompanying balance sheet.

The purpose of holding the treasury shares is to maintain them available for sale in the market as well as for the incentive plans approved for directors, executives, employees, and key collaborators of the Group (Note 12.5).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

At December 31, 2023, treasury shares represent 3.9% of all the Company's shares (2022: 2%).

12.5 Incentive plans for employees

The Board of Directors of the Company approved different incentive plans for certain executives and key personnel based on the granting of options on the Company's shares. Options are granted at different times for each incentive plan though with the same characteristics as the incentive plans to which they are associated:

Incentive plan	Grant date	Date of approval	Number of shares designated at 12/31/2023	Exercise price per share (euros)

Incentive Plan I	Options granted 4	3/29/2019	11,500	6.90
Incentive Plan II	Options granted 1	10/2/2019	42,990	7.73
Incentive Plan II	Options granted 2	9/28/2020	124,287	15.28
Incentive Plan II	Options granted 3	12/10/2021	94,414	30.45
Incentive Plan II	Options granted 4	11/16/2022	226,086	29.18
Incentive Plan II	Options granted 5	11/14/2023	262,643	24.48

The beneficiary of Incentive Plan I will be able to acquire:

a third of the shares granted for the option from the date on which two years have elapsed counting from the grant date.
a third of the shares granted for the option from the date on which three years have elapsed counting from the grant date.
a third of the shares granted for the option from the date on which four years have elapsed counting from the grant date.

In Incentive Plan II, each year the beneficiary will have the right to exercise up to 25% of the options granted. The right to exercise shall be approved by the Commission for Appointments and Remuneration based on the beneficiary's compliance with the objectives established in the Remuneration Policy for Senior Management. The beneficiary can exercise the share options starting two years from their grant date and for a period of three years.

The fair value of the equity instruments granted was determined at the grant date utilizing a Black Scholes valuation model based on the share price at the grant date.

As a consequence of accruals with respect to the estimated fair value of the equity instruments granted during the lifetime of the plan, a balance of 414 thousand euros was recognized under "Employee benefits expense" in the income statement for 2023 with a credit to "Reserves" in the balance sheet.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

13. Provisions and contingencies

The movements during the years ended December 31, 2023 and 2022 in the line items included under this heading in the accompanying balance sheet were as follows:

	Provision for penalties	Provision for guarantees	Total

Balance at 12.31.2021	1,283	509	1,792
Amounts provisioned	1,096	-	1,096
Amounts applied	(2,379)	-	(2,379)
Balance at 12.31.2022	-	509	509
Amounts provisioned		-	-
Amounts applied		(509)	(509)
Balance at 12.31.2023	-	-	-

Provision for penalties

This provision relates to the penalties for delays incurred with respect to the construction contract signed for the Escuderos solar park with the following Group companies: GR Aitana, S.L.U.; GR Aspe S.L.U.; GR Bañuela, S.L.U.; and GR Turbón S.L.U. The entire provision was applied during 2022.

Provision for guarantees

At each year end the Company evaluates the need to recognize a provision for guaranteeing and covering any inconsistencies that may arise with respect to materials, supplies, and spare parts delivered for the solar power plants. The reversal recognized at December 31, 2023 corresponds to the Escuderos solar park.

14. Non-current and current borrowings

The breakdown of these headings in the accompanying balance sheet at December 31, 2023 and 2022 is as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2023

	Non-current borrowings	Current borrowings	Total at 12.31.23
Bonds and other marketable debt securities	51,915	68,430	120,345
Bank borrowings Loans Credit lines Foreign financing (Confirming and Comex line)	80,346 80,346 - -	58,222 44,853 7,003 6,366	138,568 125,199 7,003 6,366
Other borrowings	-	-	-
Finance lease payables	783	346	1,129
Total	133,044	126,998	260,042

Year ended December 31, 2022

	Non-current borrowings	Current borrowings	Total at 12.31.22
Bonds and other marketable debt securities	83,231	34,529	117,760
Bank borrowings Loans Foreign financing (Confirming and Comex line)	8,267 8,267 -	4,875 4,623 252	13,142 12,890 252
Other borrowings	-	130	130
Finance lease payables	845	301	1,146
Total	92,343	39,835	132,178

All the financial liabilities held by the Company are classified as "Financial liabilities at amortized cost" for measurement purposes.

At December 31, 2023 and 2022, the breakdown of borrowings by residual maturities is as follows:

Year ended December 31, 2023

	Bonds and other marketable debt securities	Bank borrowings	Other borrowings	Finance lease payables	Total
Within one year	68,430	58,222	-	346	105,546
2025 2026 2027 2028	- - 51,915 -	3,642 872 293 130	- - - -	282 281 220 -	3,924 1,153 73,880 130
More than five years	-	75,409	-	-	75,409
Total	120,345	138,568	-	1,129	260,042

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2022

	Bonds and other marketable debt securities	Bank borrowings	Other borrowings	Finance lease payables	Total
Within one year 2024 2025 2026 2027 More than five years	34,529 9,846 21,450 - 51,935 -	4,875 4,852 2,475 765 175 -	130 - - - - -	301 294 294 257 - -	39,835 14,992 24,219 1,022 52,110 -
Total	117,760	13,142	130	1,146	132,178

During 2023 and 2022, the Company complied with the payment of all its financial debt at maturity. Likewise, at the date of authorization of these financial statements the Company had complied with all obligations assumed.

14.1 Bonds and other marketable debt securities

The breakdown for this heading is as follows:

								Balance at 12.31.2023	Balance at 12.31.2022		2023	2022
Program	Date of program	Nominal amount	Amount issued	Issue date	Interest rate	Maturity date	Non	current Current	Non	current Current Finance	costs	Finance costs
Green Bond program (MARF) () Green commercial paper program (MARF) Green Bond program (MARF) ()	Mar-22 Sept-21 Oct-19	100,000 100,000 50,000	52,500 60,916 22,000	April-22 Nov-19	4% Sept-21 0.7%-2.5% 4.75%	5 years 5 years 5 years	- - 51,915	21,860 44,988 1,582	21,415 9,846 51,970	445 32,539 1,545	1,197 2,273 2,100	1,288 758 1,546
TOTAL							51,915	68,430	83,231	34,529	5,570	3,592

(*) Subject to fulfillment of a series of covenants, which had all been fulfilled at December 31, 2022 and 2021.

The issue of the Green Bond programs was validated by Vigeo Eiris in terms of environmental, social, and governance (ESG) criteria, in accordance with the directives contained in the Green Bond Principles.

The commercial paper program uses a financing framework aligned with the Green Loan Principles 2021 of the Loan Market Association (LMA) and with the Green Bond Principles 2021 of the International Capital Markets Association (ICMA). It is the first such program in Spain.

The Company's green financing framework was subjected to a Second Party Opinion (SPO) issued by the rating agency ESG Sustainalytics. The report considers the positive impact on the environment of the funds used and evaluates the credibility of the green financing framework used by Grenergy, as well as its alignment with international standards.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

14.2 Bank borrowings

The breakdown of loans subscribed and their main contractual conditions at December 31, 2023 and 2022 is as follows:

Year ended December 31, 2023

				Thousands of euros
Financial entity	Maturity date	Type of guarantee	Installments	Non current liabilities	Current liabilities	Total

Banco Sabadell (ICO)	4/30/2025	Corporate	Monthly	259	767	1,026
Bankinter (ICO)	4/30/2025	Corporate	Monthly	805	1,840	2,645
BBVA (ICO)	5/13/2025	Corporate	Monthly	45	130	175
Bankia (ICO)	4/30/2025	Corporate	Monthly	237	559	796
Banco Santander (ICO)	4/30/2025	Corporate	Monthly	129	306	435
Caixabank (ICO)	4/30/2025	Corporate	Monthly	131	256	387
Banco Santander (ICO)	9/1/2025	Corporate	Monthly	193	253	446
Abanca	2/28/2027	Corporate	Monthly	1,647	742	2,389
CESCE - Santander	6/22/2031	Corporate	Monthly	76,900	0	76,900
BNP	6/21/2024	Corporate	Monthly	-	40,000	40,000
Total				80,346	44,853	125,199

Year ended December 31, 2022

					Thousands of euros
Financial entity	Maturity date	Type of guarantee	Installments	Non current liabilities	Current liabilities	Total
Banco Sabadell (ICO) Bankinter (ICO) BBVA (ICO) Bankia (ICO) Banco Santander (ICO) Caixabank (ICO) Banco Santander (ICO) Abanca	4/30/2025 4/30/2025 5/13/2025 4/30/2025 4/30/2025 4/30/2025 9/1/2025 2/28/2027	Corporate Corporate Corporate Corporate Corporate Corporate Corporate Corporate	Monthly Monthly Monthly Monthly Monthly Monthly Monthly Monthly	1,027 2,615 174 795 435 387 446 2,388	752 1,793 124 544 301 250 249 610	1,779 4,408 298 1,339 736 637 695 2,998
Total				8,267	4,623	12,890

These loans accrue interest at market rates.

14.3 Credit policies and foreign financing

At December 31, 2023 and 2022, the Company had subscribed credit facilities and credit financing for foreign operations with various financial entities. The breakdown of the credit drawn at said dates together with the corresponding contractual terms is as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2023

	Thousands of euros
Financial entity	Credit limit Amount Amount drawn granted available
SANTANDER	5,000	5,000	-
BANKINTER	1,000	-	1,000
BBVA	500	-	500
CAJAMAR	5,000	-	5,000
ABANCA	2,003	2,003	-
Total credit facilities	13,503	7,003	6,500
BBVA	15,000	2,556	12,444
SANTANDER	10,000	1,151	8,849
BANKINTER	10,000	-	10,000
UNICAJA	10,000	-	10,000
Total reverse factoring	45,000	3,707	31,293
BBVA	39,500	-	39,500
CAJAMAR	22,000	2,659	19,341
ABANCA	9,000	-	5,389
CAJA RURAL DEL SUR	-	-	196
SABADELL	9,000	-	8,307
SANTANDER	25,000	-	15,385
CAIXABANK	40,000	-	16,412
BANKINTER	12,000	-	10,921
NATIXIS	30,000	-	27,851
CAJAMAR	22,000	-	5,746
CAJA RURAL DEL SUR	5,500	-	196
UNICAJA	10,000	-	76
BANCO COOPERATIVO ESPAÑOL	20,000	-	1,511
SCOTIBANK	50,000	-	2,466
BNP	20,000	-	17,149
Total Comex Lines	314,000	2,659	170,446
Total	372,503	13,369	208,239

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2022

	Thousands of euros
Financial entity	Credit limit granted Amount drawn		Amount available
SANTANDER	650	-	650
BANKINTER	500	-	500
BBVA	500	-	500
BANCO SABADELL (VISA)	119	-	119
Total credit facilities	1,769	-	1,769
SABADELL	11,500	-	4,588
SANTANDER	30,000	-	-
CAIXABANK	25,000	-	4,702
BANKINTER	15,500	-	1,149
BBVA	40,000	252	1,217
ABANCA	6,000	-	411
CAJAMAR	30,000	-	30,000
CAJA RURAL DEL SUR	5,500	-	5,500
UNICAJA	11,000	-	10,000
BANCO COOPERATIVO ESPAÑOL	10,000	-	7,725
SCOTIABANK	25,000	-	23,660
Total foreign financing	209,500	252	88,952
Total	211,269	252	90,721

The foreign financing contracted by the Company for the years 2023 and 2022 includes credit transactions as well as warranty coverage, letters of credit, and guarantees (Note 21.2).

The maturities of said credit lines were established for 2023 and beyond, accruing interest at market rates.

14.4 Other borrowings

The breakdown of this heading at December 31, 2023 and 2022 was as follow:

There were no other borrowings for the year ended December 31, 2023.

Year ended December 31, 2022

					Thousands of euros
			Type of		Non
	Maturity	Interest			current	Current
Lender	date	rate	guarantee	Installments	liabilities	liabilities	Total

Spanish Center for the
Development of Industrial		Zero
Technology (CDTI)	5/12/2022	interest	No	Monthly	-	130	130
Total					-	130	130

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

This balance corresponds to the amount pending repayment at 2022 year end on a zero interest loan granted by the CDTI on October 13, 2011 in the amount of 521 thousand euros in order to help finance the necessary investments for the project known as "Design and Modeling of a forecasting system for performance and integral control at energy distribution installations."

15. Information on deferred payments to suppliers

In accordance with the stipulations of the third additional provision ("Disclosure requirements") of Law 15/2010, of July 5, modified by Law 18/2022, of September 28 ("On creation and growth of companies"), the information relating to the average supplier payment period is as follows:

	2023	2022
	Days	Days
Average supplier payment period	30.35	56.54
Ratio of payments made	30	58
Ratio of transactions pending payment	36	49
	Amount (thousands of	Amount (thousands of
	euros)	euros)
Total payments made	50,139	118,293
Total payments outstanding	3,009	22,814

	2023	2022
(Invoicing volume)
Total invoices payable during the current year	3,527	3,486
Number of invoices paid within deadline	3,351	3,381
Paid within deadline (%)	95	97
(Thousands of euros)
Total invoices payable during the current year	50,139	103,903
Total amount of payments within deadline	47,632	100,786
Paid within deadline (%)	95	97

16. Public administrations and tax matters

The breakdown of balances with public administrations at December 31, 2023 and 2022 is as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2023

Receivable from public administrations	Non-current	Current	Balance at 12.31.23
Deferred tax assets	4,735	-	4,735
Current tax assets	-	11,510	11,510
Other receivables from public administrations VAT receivable from the tax authorities	- -	280 280	280 280

Total	4,735	11,790	16,525

Payable to public administrations	Non-current	Current	Balance at 12.31.23
Deferred tax liabilities	1,269	-	1,269
Other payables to public administrations	-	331	331
Payable to the tax authorities for withholdings	-	178	178
Social security agencies	-	153	153

Total	1,269	331	1,600

Year ended December 31, 2022

Receivable from public administrations	Non-current	Current
Deferred tax assets	2,377	-	2,377
Current tax assets	-	1,610	1,610
Other receivables from public administrations VAT receivable from the tax authorities	- -	388 388	388 388
Total	2,377	1,998	4,375

Payable to public administrations	Non-current	Current	Balance at 12.31.22
Deferred tax liabilities	782	-	782
Other payables to public administrations Payable to the tax authorities for withholdings Social security agencies	- - -	295 101 194	295 101 194
Total	782	295	1,077

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Tax matters

Under prevailing tax regulations, tax returns may not be considered final until they have either been inspected by the tax authorities or until the four-year inspection period has expired. The Company is open to inspection of all taxes to which it is liable for the last four years.

Due to the varying interpretations of the tax regulations applicable, certain tax contingencies that are not objectively quantifiable could arise. Nevertheless, the directors consider that tax debts arising from possible future actions taken by the tax authorities would not have a significant effect on the financial statements taken as a whole.

16.1 Corporate income tax

Due to the differing treatment of certain transactions permitted under prevailing tax legislation, accounting profit differs from taxable income. The reconciliation of accounting profit with taxable income for 2023 and 2022 was the following:

Year ended December 31, 2023

	Income statement		Income and expense recognized directly in equity			Total
	Increase	Decrease	Total	Increase	Decrease	Total
Income and expenses for the year	50,811	-	50,811	-	-	-	50,811
Corporate income tax		(2,664)	(2,664)	-	-	-	(2,664)
Permanent differences From the individual Company	5,994 5,994		(71,942) (65,948) (71,942) (65,948)	- -	- -		- (65,948) - (65,948)
Temporary differences From the individual Company Eliminations of margins - Group	4,330 3,409 921	(509) - (509)	3,821 3,409 412	- - -	- - -	- - -	3,821 3,409 412
Application of tax loss carryforwards							-
Preliminary taxable income							(13,980)
Tax charge (25%) Tax deductions applied Tax payable (refundable)							- (582) -
Withholdings and payments on account							(13,810)
Tax payable (refundable) for the remaining companies in the tax group							6,388
Net amount payable (refundable)							(8,005)

The positive permanent differences mainly correspond to the portfolio provision of the group company GR Paino in the amount of 2,516 thousand euros.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The negative permanent differences recognized in the income statement correspond to the capital gains obtained from the sale of interests in Spanish and Chilean Group companies (Note 8.1). In accordance with the Double Taxation Agreement signed by Spain and Chile, profits obtained by a Spanish company arising from the sale of interests held in entities resident in Chile may be taxed in Chile. Further, in accordance with said Chilean tax regulations, the purchaser of the stakes is obliged to withhold a certain amount with respect to the payment made to the seller. In Spain, 95% of the capital gain is tax exempt. Consequently, it is treated as a negative permanent difference which adjusts taxable income, though subject to a withholding tax of 16% on the capital gains obtained in Chile.

Eliminations of group margins correspond to the margins obtained in 2023 in the transactions carried out with companies which belong to the tax group in Spain.

	Income statement			Income and expense recognized directly in equity	Total
	Increase	Decrease	Total	Increase	Decrease	Total
Income and expenses for the year	5,937	-	5,937	-	-	-	5,937
Corporate income tax	5,266		5,266	-	-	-	5,266
Permanent differences From the individual Company	9,391 9,391	(9,082) (9,082)	309 309	- -	(1,075) (1,075)	- -	(766) (766)
Temporary differences Eliminations of margins - Group	1,808 1,808	- -	1,808 1,808	- -	- -	- -	1,808 1,808
Application of tax loss carryforwards							(713)
Preliminary taxable income							11,532
Tax charge (25%) Tax deductions applied Tax payable (refundable) Withholdings and payments on account							2,883 (1,026) 1,857 (2,642)
Tax payable (refundable) for the remaining companies in the tax group							(825)
Net amount payable (refundable)							(1,610)

Year ended December 31, 2022

The positive permanent differences mainly correspond to the portfolio provision relating to the Group companies GR Paino and GR Taruca, amounting to 8,159 thousand euros, and the provision recognized for the balance receivable on the borrowing facilities granted to the Group company Green Hub, amounting to 1,116 thousand euros (Note 8.1).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The negative permanent differences recognized in the income statement correspond to the capital gains obtained from the sale of interests in Chilean and Peruvian Group companies (Note 8.1). In accordance with the Double Taxation Agreement signed by Spain and Chile, profits obtained by a Spanish company arising from the sale of interests held in entities resident in Chile may be taxed in Chile. Further, in accordance with said Chilean tax regulations, the purchaser of the stakes is obliged to withhold a certain amount with respect to the payment made to the seller. In Spain, 95% of the capital gain is tax exempt. Consequently, it is treated as a negative permanent difference which adjusts taxable income, though subject to a withholding tax of 16% on the capital gains obtained in Chile.

The negative permanent differences directly attributed to equity correspond to the expenses incurred for the capital increase that was carried out in 2022 (Note 12.1).

Eliminations of group margins correspond to the margins obtained in 2022 in the transactions carried out with companies which belong to the tax group in Spain.

The reconciliation of tax payable and tax expense is as follows:

	12.31.23	12.31.22

Tax payable	-	(1,857)
Change in deferred taxes	632	-
Current foreign tax	(2,454)	(4,724)
Deductions pending application	(37)	1,136
Application of tax loss carryforwards	1,796	(135)
Group margins	103	452
Losses limitation adjustment	2,539	-
Other	85	(138)

Income tax expense (income)	2,664	(5,266)

The line item identified as "Current foreign tax" corresponds to withholding taxes on the gains arising from the sale of interests in foreign Group companies carried out by the Company in 2023 and 2022 (Note 8.1).

As it was in compliance with the stipulations of Law 27/2014, of November 27, on Corporate Income tax, during 2021, via agreements reached by the Board of Directors, the Company chose to avail itself of the tax consolidation regime as Parent company along with the remaining companies which make up the consolidated tax group.

At December 31, 2023 and 2022, the reconciliation of the aggregate accounting results obtained by the companies in the Group and the consolidated tax base was as follows:

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2023

	Taxable income	Balance receivable	Balance payable
Grenergy Renovables, S.A.	(13,980)
Remaining companies in the Tax Group	31,345	6,388	-
Consolidated taxable income	17,365
Tax payable by the Group	4,341
Deductions	(582)
Withholdings and payments on account	(13,810)
Corporate Income Tax FY22	(1,459)
Payable (Refundable)	(11,510)

Year ended December 31, 2022

	Taxable income	Balance receivable	Balance payable
Grenergy Renovables, S.A.	11,532	-	-
Remaining companies in the Tax Group	(3,298)	-	(825)
Consolidated taxable income	8,234	-	-
Tax payable by the Group	2,059	-	-
Deductions	(1,026)	-	-
Withholdings and payments on account	(2,642)	-	-
Payable (Refundable)	(1,610)	-	-

Grenergy Renovables, S.A., as Parent company of a tax group (Note 4.8) recognized a balance receivable from the subsidiaries of the tax group, amounting to 6,388 thousand euros and corresponding to its accounting calculation of the corporate income tax payable for 2023 (2022: 825 thousand euros).

16.2 Deferred tax assets and liabilities

The difference between the tax expense for 2023 and prior years as compared to the tax already paid or payable for those years is recorded in "Deferred tax assets" or "Deferred tax liabilities," as applicable. Said deferred taxes were calculated by applying the prevailing nominal tax rate to the corresponding amounts.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The breakdown and movements under these balance sheet headings for 2023 and 2022 are as follows:

Year ended December 31, 2023

	Balance at		Recognized in the income statement	Recognized directly in equity		Balance at
	12.31.22		Additions Retirements Additions Retirements			12.31.23
Deferred tax assets Tax loss carryforwards pending offset Tax deductions pending application Temporary differences Capitalization reserve	2,377 - 1,155 487 735	2,395 1,796 599 -	(37) - (37) - -	- - - - -	- - - - -	4,735 1,796 1,118 1,086 735
Total	2,377	2,395	(37)	-	-	4,735
Deferred tax liabilities Temporary differences	(782) (782)	(487) (487)	-	- -	- -	(1,269) (1,269)
Total	(782)	(487)	-	-	-	(1,269)

Year ended December 31, 2022

	Recognized in the Balance			Recognized directly in		Balance
	at		income statement	equity		at
	12.31.21		Additions Retirements Additions Retirements			12.31.22

Deferred tax assets	1,102	1,410	(135)	-	-	2,377
Tax loss carryforwards pending offset	135	-	(135)	-	-	-
Tax deductions pending application	19	1,136	-	-	-	1,155
Temporary differences	213	274	-	-	-	487
Capitalization reserve	735	-	-	-	-	735

Total	1,102	1,410	(135)	-	-	2,377

Deferred tax liabilities	(782)	-	136	(623)	-	(1,269)
Temporary differences	(782)	-	136	-	-	(646)
Hedges	-	-	-	(623)	-	(623)

Total	(782)	-	136	(623)	-	(1,269)

The recoverability of deferred tax assets is assessed as soon as they are recognized, and at least at each closing date, in accordance with the results the Company expects to generate in coming years.

Tax loss carryforwards pending offset

At December 31, the breakdown of tax loss carryforwards pending offset corresponds entirely to 2023.

In 2021 the tax group of Grenergy Renovables in Spain generated 708 thousand euros of tax loss carryforwards which were used in their entirety in 2022.

Deductions

At 2023 and 2022 year end, there were deductions pending application in the amounts of 1,119 thousand and 1,156 thousand euros, respectively. These deductions mainly correspond to international double taxation relief generated in 2022 in connection with

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

tax borne in Peru. Said amount can be applied in the tax returns filed for the tax periods which conclude during the 15 subsequent and consecutive years following the tax period of generation.

Based on its budget forecasts, the Company estimated the taxable profit it expects to obtain over the next five years (the period for which it considers the estimates to be sufficiently reliable). It also analyzed the reversal periods for taxable temporary differences, identifying those that reverse in the years in which unused tax loss carryforwards may be applied. Based on this analysis, the Company recognized deferred tax assets for its unused tax loss carryforwards and deductible temporary differences in respect of which it considers it probable that sufficient taxable profit will be generated in the future.

17. Income and expenses

17.1 Revenue

Disaggregation by categories

The distribution of revenue from the Company's continuing operations by activity, geographical markets, as well as when income is recognized, is as follows:

Year ended December 31, 2023

	2023
(Thousands of euros)	Sales	Services rendered	Total
Disaggregation by activities
Sale of materials	491	-	491
Construction	9,454	-	9,454
Development fees	3,750	-	3,750
Operation and Maintenance and Asset Management	-	2,529	2,529
	13,695	2,529	16,224
Disaggregation by geographical markets
Chile	9,347	-	9,347
Spain	3,751	2,097	5,848
Colombia	597	-	597
Peru	-	293	293
Argentina	-	139	139
	13,695	2,529	16,224

Disaggregation by timing of transfer
Goods and services transferred at a given moment	4,241	2,529	6,770
Goods and services transferred over a period of time	9,454	-	9,454
	13,695	2,529	16,224

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2022

	2022
		Services
(Thousands of euros)	Sales	rendered	Total

Disaggregation by activities
Sale of materials	17,485	-	17,485
Construction	80,239	-	80,239
Development fees	4,278	-	4,278
Operation and Maintenance and Asset Management	-	2,059	2,059
	102,002	2,059	104,061

Disaggregation by geographical markets
Chile	62,358	-	62,358
Spain	8,123	1,736	9,859
Colombia	31,521	-	31,521
Peru	-	182	182
Argentina	-	141	141
	102,002	2,059	104,061

Disaggregation by timing of transfer
Goods and services transferred at a given moment	21,763	2,059	23,822
Goods and services transferred over a period of time	80,239	-	80,239
	102,002	2,059	104,061

Contract balances with clients

The breakdown of contract balances with clients is as follows:

(Thousands of euros)	2023	2022
Current contract assets Trade receivables, group companies and associates (Note 20.1)	5,652	38,239
Current contract liabilities Provisions	-	509

17.2 Cost of sales

The breakdown of this income statement heading for 2023 and 2022 is as follows:

Year ended December 31, 2023

	Purchases	Changes in inventories	Impairment (Reversal)	Total consumption
Consumption of goods for resale	3,709	1,272	-	4,981
Total	3,709	1,272	-	4,981

Year ended December 31, 2022

	Purchases	Changes in inventories	Impairment (Reversal)	Total consumption
Consumption of goods for resale	61,397	40,376	-	101,773
Total	61,397	40,376	-	101,773

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The breakdown of purchases carried out in 2023 and 2022, by origin, is as follows:

	Balance at 12.31.23	Balance at 12.31.22
Spain Imports	14,541 (10,832)	35,261 26,136
Total	3,709	61,397

17.3 Social security costs, et al

The breakdown of this income statement heading for 2023 and 2022 is as follows:

	2023	2022
Social security payable by the Company Other social security expenses	1,792 615	1,745 393
Total	2,407	2,138

The average number of employees, by professional category, in 2023 and 2022, was as follows:

Category	2023	2022

Directors and Senior Management (*)	14	13
Managers	5	6
Department heads	21	15
Technical staff	65	75
Laborers	6	11

Total	111	120

(*) The Company includes the members of its Management Committee as senior management personnel.

The breakdown by gender of employees, directors, and senior management at 2023 and 2022 year end, is as follows:

Year ended December 31, 2023 and 2022

		12.31.2023			12.31.2022
Category	Men	Women	TOTAL	Men	Women	TOTAL

Directors and Senior Management	9	6	15	7	6	13
Managers	4	1	5	4	1	5
Department heads	13	14	27	12	6	18
Technicians	41	32	73	52	33	85
Laborers	6	2	8	8	2	10

Total	73	55	128	83	48	131

At December 31, 2023 and 2022, the Company had no employees under contract with disabilities greater than or equal to 33%.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

17.4 Finance income and expenses

The breakdown of finance income and expenses recognized in the accompanying income statement is as follows:

Year ended December 31, 2023

	Third parties	Group companies	Total

Income	435	13,320	13,755
Interest from other financial assets (Note 20.1)	435	13,320	13,755
Expenses	(9,977)	(1,566)	(11,543)
Interest on borrowings	(9,130)	(1,566)	(10,696)
Other finance expenses	(847)	-	(847)
Exchange gains (losses)	(8,009)	-	(8,009)
Impairment losses and gains (losses) on disposals (Note 8.1)	69,384	-	69,384
Impairment and losses	(1,845)	-	(1,845)
Gains (losses) on disposals	71,229	-	71,229
Finance cost	51,833	11,754	63,587

Year ended December 31, 2022

	Third parties	Group companies	Total
Income Interest from other financial assets (Note 20.1)	- -	7,076 7,076	7,076 7,076
Expenses Interest on borrowings Other finance expenses	(5,085) (4,165) (920)	- - -	(5,085) (4,165) (920)
Exchange gains (losses)	5,747	-	5,747
Impairment losses and gains (losses) on disposals (Note 8.1) Impairment and losses Gains (losses) on disposals	9,320 (9,052) 18,372	- - -	9,320 (9,052) 18,372
Finance cost	9,983	7,076	17,058

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

18. Foreign currency

The breakdown of transactions carried out in foreign currency during 2023 and 2022 is as follows:

Year ended December 31, 2023

		Equivalent value in thousands of euros
	US Dollars	Total

Purchases	2,980	2,980
Sales	10,392	10,392
Total	13,372	13,372

Year ended December 31, 2022

		Equivalent value in thousands of euros
	US Dollars	Total

Purchases	26,136	26,136
Sales	57,538	57,538
Total	83,674	83,674

The breakdown of assets and liabilities denominated in foreign currencies at December 31, 2023 and 2022 is as follows:

Year ended December 31, 2023

	Equivalent value in thousands of euros
	US Dollars	Pound Sterling	Rums	Total
Assets Loans to group companies	209,303	4,266	797	214,366
Trade and other receivables	37,806	-	-	37,806
Cash and cash equivalents	4,225	-	-	4,225
Liabilities Suppliers	(9,825)	-	(4)	-9,829
Total	241,509	4,266	793	246,568

Year ended December 31, 2022

	Equivalent value in thousands of euros
	US Dollars Other		Total
Assets Loans to group companies Trade and other receivables Cash and cash equivalents	158,479 100,975 5,280	2,075 - -	160,554 100,975 5,280
Liabilities Suppliers	(3,624)	-	(3,624)
Total	261,110	2,075	263,185

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

19. Environmental disclosures

During the development phase of the renewable energy projects, either solar or wind, the Company carries out Environmental Impact Assessments systematically. These assessments include a description of all project activities susceptible of having an impact during the life of the project, from civil engineering work up to dismantling activities, and a complete study on alternatives for the installations and their evacuation lines is also performed. It further includes an environmental inventory which discloses the characteristics relating to air, soil, hydrology, vegetation, fauna, protected items, the countryside, heritage items, and socio-economic factors. The main objective is to identify, quantify, and measure all the possible impacts on the natural and socioeconomic environment as well as the activities which give rise to them throughout the life of the project, and also to define the preventive, corrective, and compensatory measures with regard to said impacts.

Once the environmental permits have been obtained from the competent authority in the form of an Environmental Impact Statement and the initial construction phase of the projects has started, the Environmental Monitoring Programs are initiated and continued until the dismantling phase of the projects. These programs constitute the system which guarantees compliance with the protective measures defined and with respect to those incidents which may arise, allowing for detection of deviations from foreseen impacts and detection of new unexpected impacts, as well as recalibrating the proposed measures or adopting new ones. These programs also permit Management to monitor compliance with the Environmental Impact Statement efficiently and systematically as well as other deviations which are difficult to foresee and may arise over the course of the construction work and functioning of the project.

The Company contracts specialized professional services for each project in order to perform the Environmental Impact Assessments and execute the Environmental Monitoring Programs together with the associated periodic reports, adding transparency and rigor to the process. Likewise, environmental management plans are established which comprise all the possible specific plans developed in a complementary manner, such as in the case of landscape restoration and integration plans or specific plans for monitoring fauna.

The projects performed by the Company are in general mainly affected by the environmental impact arising out of the occupation of land. Thus, the land selection phase plays a fundamental role and the Company searches for and locates land using a system for analyzing current environmental variables with a view to minimizing environmental impact.

20. Related-party transactions

20.1 Balances and transactions with related parties

In addition to group entities, the Company's related parties also include its directors and senior management (including close family members) as well as those entities over which they may exercise control or significant influence.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

At 2023 and 2022 year end, the debit and credit balances the Company held with related parties are broken down as follows:

Year ended December 31, 2023

	Parent company	Other group companies	Total
Assets
Trade receivables from group companies	-	108,965	108,965
Loans to group companies (Note 8.1)	-	282,683	282,683
	-	391,648	391,648
Liabilities
Suppliers - group companies	15	13,625	13,640
Borrowings from group companies	-	63,467	63,467
	15	77,092	77,107

Year ended December 31, 2022

	Parent company	Other group companies	Total
Assets
Trade receivables	-	115,233	115,233
Loans to group companies (Note 8.1)		206,150	206,150
	-	321,383	321,383
Liabilities
Suppliers	71	10,003	10,074
Borrowings from group companies	-	1,028	1,028
	71	11,031	11,102

The balances with related parties at December 31, 2023 and 2022 are comprised of the following:

Receivables from group companies: mainly reflects the debt pending collection by the Company from investees and related parties at year end for the sale of consumables and the construction of solar parks, amounting to 77,083 thousand euros and mainly corresponding to Grenergy Renovables Pacific at December 31, 2023 (2022: 71,046 thousand euros) as well as invoices pending issue to different Group companies in connection with the production executed and pending certification for the construction of different projects, amounting to 5,652 thousand euros (2022: 38,239 thousand euros) (Note 17.1).
Suppliers group companies: mainly reflects the invoices pending receipt from the Group company Grenergy Renovables Pacific for project development services in the amount of 9,747 thousand euros (2022: 10,003 thousand euros).
Borrowings from group companies: mainly reflects the balance repayable to Grenergy EPC Europa amounting to 60,897 thousand euros.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The breakdown of transactions performed with related parties in 2023 and 2022 is as follows:

Year ended December 31, 2023

	Parent company	Other group companies	Key management personnel	Other related parties	Total
Income Sale of goods Services rendered Other current management income Accrued interest	10 - - 10 -	31,290 13,695 2,318 1,957 13,320	- - - - -	- - - - -	31,300 13,695 2,318 1,967 13,320
Expenses Services received Losses on, impairment of, and changes in trade provisions	701 701 -	- - -	- - -	- - -	701 701 -

The transactions with related parties carried out during 2023 relate to the normal course of the Company's business and were carried out on an arm's length basis. The most significant transactions were the following:

The sale of necessary components for solar installations (panels, inverters, etc.) to Grenergy Pacific Ltda. for a total amount of 491 thousand euros.
Income from the construction of different solar parks amounting to 9,453 thousand euros.
Development fees invoiced for an amount of 3,750 thousand euros.
Rendering of operation and maintenance services for solar and wind parks amounting to 2,318 thousand euros.
Other current management income includes management fees invoiced to the Group's subsidiaries. This income was recognized under "Other operating income" in the accompanying income statement.
Interest accrued on the loans granted to various group companies (Note 8.1).
Services received mainly correspond to the lease expense for the properties where the Company carries out its activity (Note 7.1).

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Year ended December 31, 2022

	Parent company	Other group companies	Key management personnel	Other related parties	Total
Income Sale of goods Services rendered Other current management income Accrued interest	28 - - 28 -	113,324 102,002 1,775 2,471 7,076	- - - - -	- - - - -	113,352 102,002 1,775 2,499 7,076
Expenses Services received Losses on, impairment of, and changes in trade provisions	658 658 -	1,096 - 1,096	- - -	- - -	1,754 658 1,096

The transactions with related parties carried out during 2022 relate to the normal course of the Company's business and were carried out on an arm's length basis. The most significant transactions were the following:

The sale of necessary components for solar installations (panels, inverters, etc.) to Grenergy Pacific Ltda. for a total amount of 17,485 thousand euros.
Income from the construction of different solar parks amounting to 80,239 thousand euros.
Development fees invoiced for an amount of 4,278 thousand euros.
Rendering of operation and maintenance services for solar and wind parks amounting to 1,775 thousand euros.
Other current management income includes management fees invoiced to the group's subsidiaries. This income was recorded under "Other operating income" in the accompanying income statement.
Interest accrued on the loans granted to various group companies (Note 8.1).
Services received mainly correspond to the lease expense for the properties where the Company carries out its activity (Note 7.1).
Losses on, impairment of, and changes in trade provisions corresponds to the provision for guarantees relating to the construction contract for the Escuderos park.

20.2 Disclosures relating to the directors and senior management

During 2023 and 2022, the Company did not extend any advances or credit to its directors, nor did it assume any obligations on their behalf by way of guarantees extended. Likewise, the Company has no pension or life insurance commitments for any of its current or former directors.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

The amounts accrued by members of the Board of Directors during 2023 and 2022 were as follows:

Type of remuneration	2023	2022

Remuneration for membership of Board and/or Board committees	415	280
Salaries	80	90
Variable remuneration in cash	84	84
Share-based remuneration schemes	-	39
Other items	14	42
TOTAL	593	535

The directors of the Parent company are covered by a civil liability insurance policy for which the Company settled a premium amounting to 52 thousand euros in 2023 (2022: 25 thousand euros).

The amounts accrued by senior management corresponding to fixed remuneration, variable annual remuneration, and other items, amounted to 3,937 thousand euros in 2023 (2022: 742 thousand euros).

20.3 Other disclosures relating to the directors

At the date of authorization of these financial statements none of the members of the Board of Directors disclosed any conflicts of interest, direct or indirect, with those of the Company in connection with said members themselves or any persons to whom article 229 of the Spanish Corporate Enterprises Act refers.

21. Other disclosures

21.1 Risk management policy

The Company's risk management policy has been approved by its Board of Directors. It is the Audit Committee which supervises the efficacy of the risk management system. Based on these policies, the Company's Finance Department has established a series of procedures and controls which make it possible to identify, measure, and manage the risks arising from financial instrument activity.

The use of financial instruments exposes the Company to credit, market, exchange rate, interest rate, and liquidity risk.

Market risk

The market in which the Company operates is related to the sector for production and commercialization of renewable energies. It is for this reason that the factors which influence said market positively and negatively can affect the Company's performance.

Market risk in the electricity sector is based on a complex price formation process in each of the markets in which the Company performs its business activities.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

In general, the price of products offered in the sector of renewable energies contains a regulated component as well as a market component. The first is controlled by the competent authorities of each country or market and can vary whenever said authorities consider it appropriate and necessary, resulting in an obligation for all market agents to adapt to the new circumstances. The cost of energy production would be affected as well as distribution to networks, thereby also affecting the price paid by the Company's clients, either with respect to the negotiation of purchase-sales prices for its projects or price formation in the wholesale market ("merchant"), or under the Power Purchase Agreements ("PPAs").

As far as the market component is concerned, there is the risk that the competitors of Grenergy, both for renewable energies as well as for conventional energies, may be able to offer lower prices, generating competition in the market which, via pricing, may endanger the stability of the Grenergy client portfolio and could thereby provoke a substantial negative impact on its activities, results, and financial position.

At any rate, as the performance of said sector varies significantly from country to country and continent to continent, three years ago the Group initiated a geographical diversification process, breaking into markets outside Spain (currently the Group is present in Spain, Chile, Mexico, Colombia, Argentina, Peru, Italy, the United Kingdom, Poland, the USA, Germany, and Romania), thereby reducing this type of risk even more. All the efforts being made by Grenergy at present are focused on further developing the project portfolio it owns in these countries.

Credit risk

Credit risk relates to the risk of potential loss caused by the Company's counterparties not meeting their contractual obligations, i.e. the possibility that financial assets will not be recovered at their carrying amounts within the established time frames.

Each month a breakdown giving the age of each of the accounts receivable is prepared, which serves as the basis for collection management. The Finance Department requests payment of overdue amounts on a monthly basis.

Exchange rate risk

GRENERGY performs a large part of its economic activities abroad and outside the European market, specifically, in Chile, Peru, Argentina, Mexico, Colombia, and the United States. At December 31, 2023 practically all the revenue generated by Grenergy in these countries was denominated in currencies other than the euro, specifically, the US dollar. Likewise, a large part of the expenses and investments, mainly corresponding to expenses incurred for consumables required in construction activities and investments in development projects, were also denominated in US dollars.

As a consequence of the fluctuations in the value of the US dollar with respect to the euro, and to the extent that the Group does not at present have any mechanisms or hedging agreements for mitigating these exchange rate risks, Grenergy could suffer a negative impact.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Liquidity risk

Liquidity risk refers to the possibility that the Company may not be able to meet its financial commitments in the short term. As the Company's business is capital intensive and involves long term debt, it is important for the Company to analyze the cash flows generated by the business so that it can fulfill its debt payment obligations, both financial and commercial.

Liquidity risk arises from the financing needs of Grenergy's activities due to the time lag between requirements being met and the generation of funds.

With a view to guaranteeing liquidity should there be an additional deterioration in the generation of cash by the businesses, the sources for liquidity were expanded during 2023, ensuring that even in an environment of low liquidity the Company would receive support from banking entities at competitive prices.

As the Company has no significant financial commitments in the short term, at the date of authorization of these financial statements, the cash flows generated in the short term by the Company are sufficient to meet the maturities of financial and commercial debt in the short term.

Interest rate risk

The changes in variable interest rates (e.g. EURIBOR) alter the future flows of assets and liabilities referenced to such rates, especially short and long-term financial debt. The objective of Grenergy's interest rate risk management policy is to achieve a balanced structure of financial debt with a view to reducing the financial cost of debt to the extent possible.

Not only Spain experienced a sharp increase in inflation during 2023 but also the remaining countries where the Group operates.

This scenario is leading central banks to raise official interest rates as a measure to reduce the high inflation rates.

Practically all of the Company's debt at December 31, 2023 and 2022 was arranged at fixed rates, thus limiting the exposure to changes in interest rates.

21.2 Guarantee commitments to third parties

At 2023 year end, the Company held guarantees and sureties with respect to third parties in the amount of 52,758 thousand euros, mainly corresponding to guarantees for the presentation of tenders and participation in auctions for renewable energies (2022: 124,421 thousand euros). Likewise, Grenergy extended guarantees totaling 21,777 thousand euros to third parties to cover credit and surety risk.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

21.3 Audit fees for the auditors and related entities

The fees accrued during 2023 and 2022 for the audit of accounts and other services rendered by the auditors of the individual financial statements and the consolidated financial statements of the Group (Ernst & Young, S.L. for 2023 and 2022) and by companies belonging to the same network were as follows:

Categories	2023	2022

Audit services	117	82
Limited review at June 30	50	38
Other audit-related services	56	26
Total audit and related services	223	146

Other	-	-
Total other professional services	-	-
Total professional services	223	146

The amount indicated in the table above for "Audit services" includes all fees related to the audit of the financial years 2023 and 2022, irrespective of the invoice date.

22. Events after the reporting period

In 2023, the Group agreed upon the sale of 100% of the Matarani solar park in Peru (97 MW). This sale was subject to fulfillment of certain suspensive clauses which were fulfilled at the date of authorization of the consolidated financial statements.

								Tho nds of e usa uros
			% c apit al - voti ight ng r s				Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
GRE ENH OUS E SO LAR FIE LDS , S.L	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	(1)	-	-	2
GRE ENH OUS E SO LAR EN ERG Y, S .L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	3	-	3	3	(1)	-	-	2
GRE ENH OUS E RE NEW ABL E EN ERG Y, S .L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	(1)	-	-	2
GUI A D E IS ORA SO LAR 2, S .L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2	-	2	3	(7)	-	-	(4)
GR SOL AR 2020 , S.L	Spa in	n of Prod uctio wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	8	-	(21)	(10)
GR SUN SPA IN, S .L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	(3)	-	-	-
GR EQU ITY WIN D AN D SO LAR , S.L	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	287	-	-	290
LEV EL F OTO VOL TAIC A S .L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	50%	0%	50%	2	-	2	3	(328 )	-	-	(325 )
BAÑ GR UEL A R ENO VAB LES , S.L	Spa in	Prod uctio n of wab le el ic ectr rene ener gy	100%	0%	100%	968	-	968	3	(723 )	6,92 6	453	6,65 9
GR TUR BON RE NOV ABL ES, S.L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	968	-	968	3	(487 )	6,89 9	295	6,71 0
GR AITA NA R ENO VAB LES , S.L	Spa in	n of Prod uctio wab le el ectr ic rene ener gy	100%	0%	100%	968	-	968	3	(420 )	6,89 9	192	6,67 4
GR ASP E RE NOV ABL ES, S.L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	968	-	968	3	(885 )	6,92 7	445	6,49 0
VIAT RES RE NEW ABL E EN ERG Y, S .L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	40%	0%	40%	1	-	1	3	-	-	-	3
EIDE N R ENO VAB LES , S.L	Spa in	n of Prod uctio wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	(1)	293	(1)	294
CHA MBO RE NOV ABL ES, S.L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	(1)	293	(1)	294
MAM BAR RE NOV ABL ES, S.L.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	(1)	293	(1)	294
EL A GUI LA R ENO VAB LES , S.L	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	(1)	293	(1)	294
GR SISO N R ENO VAB LES , S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	-	-
GR POR RON NOV ES, S.L. RE ABL U.	Spa in	Prod uctio n of wab le el ic ectr rene ener gy	100%	0%	100%	3 (3)	-	-		(1)	262	-	261
GR BISB ITA REN OVA BLE S S. L.U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-		(1)	262	-	261
GR AVU TAR DA R ENO VAB LES , S.L .U.	Spa in	n of Prod uctio wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	(1)	-	(1)	(2)
GR COL IMB O R ENO VAB LES , S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	262	(1)	261
GR MAN DAR IN R ENO VAB LES S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	-	-
GR ICO OVA S S. DAN REN BLE L.U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	3 (3)	-	-	-	(1)	-	(1)	(2)
GR CHA RRA N R ENO VAB LES S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	3	-	-	-	-	-	-	-

									Tho nds of e usa uros
			% c apit al - voti ight ng r s			Bala at 1 2.31 nces	.202 3					Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	Oth er ity equ item s	Prof it (los s) fo r the yea r	ity o f equ the inve stee
		ener gy				(3)
		(Ina ctive ) com pany
GR CER CET A R ENO VAB LES S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	-	-
		(Ina ) ctive com pany
GR CAL AMO N R ENO VAB LES S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	3 (3)	-	-	-	(1)	262	-	261
		ener gy Prod uctio n of wab le el ic ectr rene
GR COR MOR AN REN OVA BLE S S. L.U.	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	-	-
		(Ina ctive ) com pany
GR GAR CILL A R ENO VAB LES S.L .U.	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	-	-
		Prod uctio n of wab le el ectr ic rene
GR LAU NIC O R ENO VAB LES S.L .U.	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	-	-
		(Ina ctive ) com pany Prod uctio n of wab le el ectr ic
GR MAL VAS IA R ENO VAB LES S.L .U.	Spa in	rene ener gy	100%	0%	100%	3 (3)	-	-	-	(1)	-	-	(1)
		(Ina ctive ) com pany
GR MAR TINE TA R ENO VAB LES S.L .U.	Spa in	n of Prod uctio wab le el ectr ic rene	100%	0%	100%	3 (3)	-	-	-	(1)	262		261
		ener gy Prod uctio n of wab le el ectr ic rene
GR FAIS AN REN OVA BLE S S. L.U.	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	262	(1)	261
		Ope ratio d ma inten of n an ance
GRE NER GY OPE X, S .L	Spa in	wab le el ectr ic en rene ergy insta llatio ns ( Inac tive ) com	100%	0%	100%	3 (3)	-	-	-	(1)	-	230	229
		pany Con of e struc tion lectr ic en ergy
GRE NER GY EPC EU ROP A, S .L.	Spa in	insta llatio ns	100%	0%	100%	3	-	3	3	2,04 1	-	16,4 12	18,4 56
GR POW ER C OME RCIA LIZA CIO N, S .L	in	Com ciali zatio n of wab le mer rene elec tric e activ	100%	0%	100%
	Spa	y (In ny) nerg e co mpa (Ina ) ctive com pany				3 (3)	-	-	-	-	-	-	-
		Prod uctio n of wab le el ectr ic rene
GR LA P ARE D 2, SL	Spa in	ener gy ctive	100%	0%	100%	3	-	3	3	-	-	(1)	2
		(Ina ) com pany Prod uctio n of wab le el ectr ic rene
GR LA P ARE D 3, SL	Spa in	ener gy	100%	0%	100%	3	-	3	3	-	-	(1)	2
		(Ina ctive ) com pany
GR LA P ARE D 4, S.L	Spa in	n of Prod uctio wab le el ectr ic rene ener gy	100%	0%	100%	3	-	3	3	-	-	(1)	2
		(Ina ctive ) com pany
		Prod uctio n of wab le el ic ectr rene
GR LA P ARE D5, S.L	Spa in	ener gy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	-	-	(1)	2
		Prod uctio n of wab le el ic ectr rene
GR S.L LA P ARE D 6,	Spa in	ener gy ctive	100%	0%	100%	3	-	3	3	-	-	(1)	2
		(Ina ) com pany Prod uctio n of wab le el ectr ic rene
GR LA P ARE D 7, S.L	Spa in	ener gy	100%	0%	100%	3	-	3	3	-	-	(1)	2
		(Ina ) ctive com pany
GR ARL ANZ ON REN OVA BLE S, S .L	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		(Ina ctive ) com pany
		Prod uctio n of wab le el ectr ic rene
GR AND ALU CIA 1 RE NOV ABL ES, SLU	Spa in	ener gy (Ina ctive ) com pany	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		Prod uctio n of wab le el ectr ic rene
IÑEN GR CAR RE NOV ABL ES, SLU	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		(Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene
NOV GR CAN TAB RIA 5 RE ABL ES, SLU	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)

										Tho	nds of e usa	uros
			% c	apit al - voti ight Bala at 1 2.31 .202 ng r s nces		3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
		(Ina ctive ) com pany
		Prod uctio n of wab le el ectr ic rene
GR AST S 1 OVA S, S URIA REN BLE LU	Spa in	ener gy (Ina ctive ) com	100%	0%	100%	3 (3)	-	-	-	-	-	(1)
		pany Prod uctio n of wab le el ectr ic rene
GR CAN TAB RIA 3, S LU	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		(Ina ) ctive com pany
GR VAL ENC IA 3 REN OVA BLE S, S LU	Spa in	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)
		(Ina ctive ) com pany												(1) (1) (1) (1) 7 () ( ) () - () - () () ( ) - 5 () ( ) () - () ( ) ) ()
		Prod uctio n of wab le el ectr ic rene
GR MAD RID 2 RE NOV ABL ES, SLU	Spa in	ener gy (Ina ctive ) com pany	100%	0%	100%	3 (3)	-	-	-	-	-	(1)
		n of Prod uctio wab le el ectr ic rene
GR CAN TAB RIA 4 RE NOV ABL ES, SLU	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		(Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene
GR MAD RID 1, S LU	Spa in	ener gy	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		(Ina ctive ) com pany
GR ENC IA 2 , SL VAL U	in	Prod uctio n of wab le el ectr ic rene	100%	0%	100%
	Spa	ener gy (Ina ctive ) com pany				3 (3)	-	-	-	-	-	(1)
		Prod uctio n of wab le el ectr ic rene
GR VAL ENC IA 1 , SL U	Spa in	ener gy ctive	100%	0%	100%	3 (3)	-	-	-	-	-	(1)	(1)
		(Ina ) com pany Prom otion and struc tion of con
GRE NER GY PAC IFIC LTD A	Chil e	elec tric e y ins talla tions nerg	99.9 %	0%	100%	43	-	43	38	4,36 2	-	(643 )	3,75
		Prod uctio n of wab le el ic ectr rene
GR QUE ULE , S.P .A.	Chil e	ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-
		Prod uctio n of wab le el ectr ic rene
GR , S.P MAI TEN .A.	Chil e	ener gy	100%	0%	100%	2 (2)	-	-	-	-	-	-
		(Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene
GR ALG ARR OBO S.P .A	Chil e	ener gy	100%	0%	100%	26,7 39	-	26,7 39	26,5 28	(3)	1,70 6	2,10 8	30,3 39
		(Ina ctive ) com pany
GR PAC IFIC CH ILOE SPA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy		98%	98%	1 (1)
		(Ina ctive ) com pany	-				-	-	-	-	-	-
		Prod uctio n of wab le el ectr ic rene
GR PAC IFIC OV ALL E, S PA	Chil e	ener gy (Ina ctive ) com pany	-	98%	98%	1 (1)	-	-	917	(912 )	-	-
		n of Prod uctio wab le el ectr ic rene
GR PIM IENT O, S PA	Chil e	ener gy	100%	0%	100%	1 (1)	-	-	-	-	-	-
		(Ina ctive ) com pany Prod uctio n of wab le el ic ectr
ÑAR GR CHA , SP A	Chil e	rene ener gy	100%	0%	100%	1 (1)	-	-	2	-	-	42	44
		(Ina ctive ) com pany
GR EST REM ERA EN ERG IA	Chil e	Prod uctio n of wab le el ectr ic rene ener	100%	0%	100%	-	-	-	3	(84)	-	-	(81)
		gy Prod uctio n of wab le el ectr ic rene
GR GUI NDO	Chil e	ener gy	100%	0%	100%	-	-	-	1	(629 )	-	-	(628
LÚC GR UMO A	Chil	Prod uctio n of wab le el ic ectr rene	100%	0%	100%
, SP	e	ener gy (Ina ctive ) com pany				1 (1)	-	-	-	-	-	-	-	(*)
GR LLE UQU E, S PA	Chil e	Prod uctio n of wab le el ectr ic rene	-	100%	100%	1 (1)	-	-	1	771	-	762	1,53 4	() ( ***)
		ener gy Prod uctio n of wab le el ectr ic
GR NOT RO, SPA	Chil e	rene ener gy	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)

									Tho	of e nds usa	uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
GR LEN GA, SPA	Chil e	(Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	2	-	-	41	43	(*)
Ú, S GR TEP PA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PAC AMA ,S P A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR TEM O, S PA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR RUI L, S PA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy	-	100%	100%	1 (1)	-	-	1	464	-	168	633	() ( ***)
POL O P GR PAIC ACI FIC, SPA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	-	98%	98%	1 (1)	-	-	-	-	-	-	-	() ( **)
GR Man SpA zano	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Nara njillo SpA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Mañ io S pA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Tara SpA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Hua lo S pA	Chil e	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Corc olén SpA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR a Sp Lum A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Fuin SpA que	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Que ñoa SpA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Tay ú Sp a	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Petr a Sp A	Chil e	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Coro ntillo SpA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Liun SpA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	5,91 4	-	5,91 4	5,86 9	400	-	61	6,33 0	(*)
GR Kew iña S pA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)

								Tho nds of e usa uros
		Acti vity	% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress		Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
GR Fran gel S pA	Chil e	(Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Maq ui S pA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Petr illo S pA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Tep a Sp A	Chil e	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
Gren OP EX S pA ergy	Chil e	Ope ratio d ma inten of n an ance wab le el ectr ic en rene ergy insta llatio ns	100%	0%	100%	1	-	1	1	2,26 7	-	674	2,94 2	() ( *)
Parq ue F oltai co N Qui llagu a Sp A otov uevo	Chil e	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	15,2 10	-	15,2 10	19,9 35	(1,3 64)	-	(4,8 65)	13,7 06	() ( *)
GR COR COV ADO , SP A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR YEN DEG AIA , SP A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR KAW ESQ AR	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR ALA RCE AN DINO SPA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy	0%	100%	100%	2 (2)	-	-	1	117	-	82	200	() ( ***)
GR ALE RCE CO STE RO SPA	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR TOR RES DE L PA INE SPA	Chil e	Prod uctio n of wab le el ectr ic rene ener	0%	100%	100%	1	-	1	1	157	-	307	465	() ( ***)
OLÁ GRE NER GY PAL MAS DE COC N, S PA	Chil e	gy Hold ing c omp any	100%	0%	100%	18,7 95	-	18,7 95	18,6 27	(1,1 78)	-	1,01 7	18,4 66	() ( *)
GR LA C AMP ANA , SP A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR VOL CAN ISL UGA , SP A	Chil e	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR LAU CA, SPA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PAN DE AZU CAR , SP A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR MOR RO MOR ENO , SP A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	0	-	-	-	-	-	-	-	(*)
GR NEV ADO TR ES C RUC ES, SPA	Chil e	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR LLU LLA ILLA CO, SPA	Chil e	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR SAL SCO , SP AR HUA A	Chil e	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR RAP ANU I, SP A	Chil e	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	1	-	-	-	-	-	-	-	(*)

										Tho	nds of e usa	uros
			% c apit al - voti ight ng r s			Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
		ener gy ctive				(1)
		(Ina ) com pany Prod uctio n of wab le el ic ectr rene
GR E, S PUY EHU PA	Chil e	ener gy ctive	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR CAB O D E HO RNO PA	Chil	(Ina ) com pany Prod uctio n of wab le el ectr ic rene	100%	0%	100%				1
S, S	e	ener gy Prod uctio n of wab le el ectr ic				1 (1)	-	-		(6)	-	(1,8 89)	(1,8 94)	(*)
GR CER RO CAS TILL O, S PA	Chil e	rene ener gy	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
		(Ina ctive ) com pany n of Prod uctio wab le el ectr ic rene
GR PAL I AIK E, S PA	Chil e	ener gy	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
		(Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene
GR RAD AL S IETE TAZ AS, SPA	Chil e	ener gy	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
		(Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene
GR ISLA GDA A, S MA LEN PA	Chil e	ener gy ctive	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
		(Ina ) com pany Prod uctio n of wab le el ectr ic rene
GRE NER GY LLA NOS CH ALL E, S PA	Chil e	ener gy (Ina ) ctive com	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
		pany Prod uctio n of wab le el ectr ic rene
GR LAG UNA SAN RA FAE L, S PA	Chil e	ener gy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR POW ER C HILE , SP A	Chil e	Com ciali zatio n of wab le mer rene	100%	0%	100%	1	-	1	1	(802 )	-	(372 )	(1,1 73)	() ( *)
		elec tric e nerg y Com ciali zatio n of wab le mer rene
CE C ENT INEL A SO LAR SPA	Chil e	elec tric e nerg y	0%	100%	100%	-	-	-	22	134	-	574	730	() ( ***)
CE URI BE D E AN TOF AGA STA SO LAR SPA	Chil e	Com ciali zatio n of wab le mer rene elec tric e nerg y	0%	100%	100%	-	-	-	2	384	-	1,41 8	1,80 4	() ( ***)
CHA PIQ UINA SO LAR SPA	Chil e	Com n of ciali zatio wab le mer rene elec tric e	100%	0%	100%	0	-	-	1	3	-	(189 )	(185 )	(*)
MAI TE S OLA R SP A	Chil e	nerg y Com ciali zatio n of wab le mer rene	100%	0%	100%	1,26 8		1,26 8	1	(1)		(3)	(3)	(*)
		elec tric e nerg y Com ciali zatio n of wab le mer rene					-				-
MIG UEL SO LAR SPA	Chil e	elec tric e nerg y	100%	0%	100%	-	-	-	1	(1)	-	(4)	(4)	(*)
PAR QUE SO LAR TAN GUA	Chil e	Com ciali zatio n of wab le mer rene elec tric e nerg y	100%	0%	100%	913	-	913	1,01 6	(609 )	-	133	540	(*)
MAN ZAN O S OLA R SP A	Chil e	Com ciali zatio n of wab le mer rene elec tric e	100%	0%	100%	20	-	20	22	(22)	-	32	32	(*)
ISIÓ ECO GRE GY NSM N SP NER TRA A	Chil e	nerg y Com ciali zatio n of wab le mer rene	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
		elec tric e nerg y Com ciali zatio n of wab le mer rene
PLA NTA SO LAR LA PAZ II S PA	Chil e	elec tric e nerg y	0%	100%	100%	-	-	-	1	39	-	196	236	() ( ***)
ÑAF PLA NTA SO LAR PE LOR II S PA	Chil e	Com n of ciali zatio wab le mer rene elec tric e nerg y	0%	100%	100%	-	-	-	1	(1)	-	108	108	() ( ***)
PLA NTA SO LAR LO MIG UEL II S PA	Chil e	Com ciali zatio n of wab le mer rene elec tric e nerg y	0%	100%	100%	-	-	-	1	38	-	(12)	27	() ( ***)
PLA NTA SO LAR SA NTA TER ESIT A II SPA	Chil e	Com ciali zatio n of wab le mer rene elec tric e nerg y	0%	100%	100%	-	-	-	1	36	-	(34)	3	() ( ***)
PFV EL LOR O C HOR OY	Chil e	Com ciali zatio n of wab le mer rene	100%	0%	100%	0	-	-	1	-	-	(3)	(2)	(*)
GRE NER GY PER U SA C	Peru	elec tric e nerg y Prom otion and struc tion of con	99%	0%	99%	1		1	1
		elec tric e y ins talla tions nerg Prod uctio n of wab le el ic ectr					-			(304 )		(422 )	(725 )	(*)
GR JUL IACA , S.A .C.	Peru	rene ener gy ctive	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR HUA MBO S, S .A.C	Peru	(Ina ) com pany Prod uctio n of wab le el ectr ic rene	100%	0%	100%	508	-	508	514	-	-	(1)	513	(*)

% c apit al - voti ight Bala at 1 2.31 .202 3 Tota l ng r s nces Oth Prof it er Sha ity o f re equ Res ity (los s) fo Reg red add iste Carr ying erve s equ r ital the Com Cos Acti vity Dire ct Indi rect Tota l t Imp airm ent cap amo pan y na me item the unt s yea r ress inve stee ener gy (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene GR APO RIC , S.A .C. Peru 100% 0% 100% 383 (1) 382 () ener gy - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene GR COR TAR RAM A S .A.C Peru 100% 0% 100% 13,5 45 13,5 45 13,1 18 (89) 13,0 29 () ener gy - - (Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene GR GUA NAC O S .A.C 100% 0% 100% () Peru ener gy - - - - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene GR TAR UCA S.A .C. Peru 90% 0% 90% 25,8 55 25,8 55 25,4 94 (4,62 3) 3,39 4 24,2 65 () ( ) - - ener gy Prod uctio n of wab le el ectr ic rene GR PAIN O S .A.C Peru 90% 0% 90% 25,8 99 (6,5 95) 25,8 99 25,5 71 (4,9 65) 2,23 7 22,8 43 () ( ) - ener gy Prod uctio n of wab le el ic ectr rene GR PAIC HE S .A.C Peru 100% 0% 100% () ener gy - - - - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene GR LIBL ANC A S .A.C Peru 100% 0% 100% () ener gy - - - - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene GR AND INO S.A. C. Peru 100% 0% 100% 3,07 2 3,07 2 3,02 0 (27) (118 ) 2,87 5 () - - ener gy Prod uctio n of wab le el ectr ic rene GR CAO BA S .A.C Peru 100% 0% 100% () ener gy - - - - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene GR CEI BO S.A. C. Peru 100% 0% 100% () ener gy - - - - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene GR CHA BA S .A.C 100% 0% 100% () BAR BAM Peru ener gy - - - - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene GR MIT OCO NGA S.A .C. Peru 100% 0% 100% () ener gy - - - - - - - - (Ina ctive ) com pany Prom otion and struc tion of con ÉXIC GR REN OVA BLE S M O Mex ico 98% 0% 98% 3 3 3 (939 ) 255 (681 ) () ( ) - - elec tric e y ins talla tions nerg n of Prod uctio wab le el ectr ic rene GRE ENH UB S .L. D E C. V. Mex ico 20% 80% 100% 20 20 120 (2,8 54) 2,34 5 (389 ) () ( ) ( * - - ener gy Prod uctio n of wab le el ectr ic rene FAIL O 3 SAC V Mex ico 50% 50% 2 2 15 (23) (4) (12) ( ) (* ) ener gy - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene 3 (3) AST ILO 1 SO LAR , SA CV Mex ico 100% 100% (48) (28) (76) ( ) ( ) ener gy - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene 3 (3) CRI SON 2 S OLA R, S ACV Mex ico 100% 100% (23) (6) (29) ( ) ( ) ener gy - - - - - (Ina ctive ) com pany n of Prod uctio wab le el ectr ic rene 3 (3) MES O 4 SOL AR, SAC V Mex ico 100% 100% (36) (6) (42) ( ) ( ) ener gy - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene 3 (3) ORS IPO 5 SO LAR , SA CV Mex ico 100% 100% (33) (7) (40) ( ) ( ) ener gy - - - - - (Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene 3 (3) GAC SOL SAC 100% 100% (9) (2) (11) ( ) ( **) MIR A 6 AR, V Mex ico ener gy - - - - - (Ina ctive ) com pany Prom otion and struc tion of con							of e Tho nds usa uros







)













































- - elec tric e y ins talla tions nerg	GRE NER GY COL OMB IA S .A.S	Colo mbia	100%	0%	100%	270	270	226	(5,8 35)	1,09 5	(4,5 14)	() ( *)

									Tho	nds of e usa	uros
			% c apit al - voti ight ng r s				Bala at 1 2.31 .202 nces			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
GR PAR QUE BR ISA SOL AR 2	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR ISA SOL AR 3	Colo mbia	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE PRA DO SOL AR 1	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR QUE SO SAN O 2 PAR LAR DAL	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
SAN AG UST IN S OLA R S. A.S	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
SAN TAM ART A SO LAR S.A .S	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR SOL DE BAY UNC A SA S	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	-	-	-	1	(1,7 18)	-	156	(1,5 61)	() ( *)
CER RITO S SO LAR S.A S	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy	100%	0%	100%	-	-	-	1	(116 )	-	(141 )	(256 )	() ( *)
CEN TRO SO LAR , S.A .S	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
MON TEL IBAN O S OLA R, S .A.S	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	-	-	-	1	(6)	-	385	380	() ( *)
TIÓ GRE GY GES AES CTU RA S .A.S NER N E INFR TRU	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO L DE AYA PEL S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE CE NTR O S OLA R 2 S.A. S E. S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR ISA SOL AR 4 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE GA LAP A SO LAR 2 S .A.S E.S .P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE CA MPO DE LA C RUZ S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
QUE GR PAR TUC ANE S 3 S.A. S E. S.P	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE NU EVA MO NTE RIA SOL AR 1 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE NU EVA BA RRA NQU ILLA 2 S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SA N JU AN SOL AR 1 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SA N JU AN SOL AR 2 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	-	-	-	-	-	-	-	-	(*)

										Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
		(Ina ctive ) com pany n of
GR PAR QUE BR EZO SO LAR 1 S .A.S E.S .P	Colo mbia	Prod uctio wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR EZO SO LAR 2 S .A.S E.S .P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE GU ACA MAY AL S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO L DE ZAW ADY S.A .S E .S.P	Colo mbia	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SIN CE S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR QUE LOS CA OS 2 S. A.S E.S. PAR BAL LER P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR TUC ANE S 2 S.A. S E. S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE NU EVA BA RRA NQU ILLA 1 S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR SOL DE SAN TAN DER S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR SO L DE L MA R II S.A. S. E .S.P	Colo mbia	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR SAN DAL O II S.A. S E. S.P.	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR LA MED INA SAS	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	-	-	-	1	167	-	(238 )	(70)	( ) ( *)
GR PET ALO DE MAG DAL ENA SAS	Colo mbia	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	-	-	-	1	(92)	-	231	140	() ( *)
GR QUE SO LOS CA OS SAS PAR LAR BAL LER	Colo mbia	Prod uctio n of wab le el ic ectr rene ener gy	100%	0%	100%	-	-	-	1	241	-	(307 )	(65)	( ) ( *)
GRE NER GY RIN NOV ABI LI IT ALIA SR L	Italy	Prom otion and struc tion of con elec tric e y ins talla tions nerg	100%	0%	100%	1,30 0	-	1,30 0	1,30 0	(162 )	-	(432 )	706
GR RIN NOV ABIL I 1 S RL	Italy	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR NOV I 2 S RIN ABIL RL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 3, S RL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 4 S RL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 5 S RL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 6 S RL	Italy	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	10	-	10	10	-	-	-	10

										Tho	of e nds usa	uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
GR RIN NOV ABIL I 7 S RL	Italy	(Ina ctive ) com pany Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 8 S RL	Italy	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 9 S RL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 10 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 11 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 12 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 13 SRL	Italy	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 14 SRL	Italy	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 15 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 16 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 17 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 18 SRL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 19 SRL	Italy	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR NOV I 20 SRL RIN ABIL	Italy	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GRE NER GY REN EWA BLE S UK LIM ITED	UK	Prom otion and struc tion of con elec tric e y ins talla tions nerg Prod uctio n of wab le el ectr ic rene	100%	0%	100%	-	-	-	-	(206 )	-	(294 )	(500 )
GR REN EWA BLE S 1 LIM ITED	UK	ener gy (Ina ctive ) com pany n of Prod uctio wab le el ectr ic rene	100%	0%	100%	-	-	-	-	-	-	-	-
GR REN EWA BLE S 2 LIM ITED	UK	ener gy (Ina ctive ) com pany Prod uctio n of wab le el ic ectr	100%	0%	100%	-	-	-	-	-	-	-	-
GR REN EWA BLE S 3 LIM ITED	UK	rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REN EWA BLE S 4 LIM ITED	UK	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REN EWA BLE S 5 LIM ITED	UK	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	-	-	-	-	-	-	-	-

									Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	f ity o equ the inve stee
		(Ina ctive ) com pany
GRE NER GY POL SKA S.P .Z.O .O	Pola nd	Prom otion and struc tion of con elec tric e y ins talla tions nerg	100%	0%	100%	1,71 4	-	1,71 4	1,72 5	(167 )	-	(280 )	1,27 8
GRE GY GIE N G NER ERN EUE RBA RE E NER MBH	Germ any	Prom otion and tion of struc con elec tric e y ins talla tions nerg	100%	0%	100%	25	-	25	25	-	-	(374 )	(349 )
GRE NER GY REG ENE RAB ILE BUC URE STI S.R .L.	Rom ania	Prom otion and struc tion of con elec tric e y ins talla tions nerg	100%	0%	100%	1	-	1	1		-	(46)	(45)
GR KILO SR L	Rom ania	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR SR LIMA L	Rom ania	Prod uctio n of wab le el ic ectr rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR MIK E SR L	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR NOV EMB ER S RL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR OSC AR SRL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR PAP A S RL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR QUE BEC SR L	Rom ania	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR ROM EO SRL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR SIER RA S RL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR TAN GO SRL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE A LPH A S RL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE BRA VO SRL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE CHA RLIE SR L	Rom ania	n of Prod uctio wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG TA S ENE RAB ILE DEL RL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE ECH O S RL	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE FOX TRO T SR L	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE GOL F SR L	Rom ania	Prod uctio n of wab le el ectr ic rene ener gy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-
GR REG ENE RAB ILE HOT EL S RL	Rom ania	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	-	-	-	-	-	-	-	-

										Tho	nds of e usa	uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 3			Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	f ity o equ the inve stee
		ener gy
		(Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene
GR REG ENE RAB ILE JUL IET SRL	Rom ania	ener gy	100%	0%	100%	-	-	-	-	-	-	-		-
		(Ina ctive ) com pany
GR REG ENE RAB ILE IND IA S RL	Rom ania	Prod uctio n of wab le el ectr ic rene	100%	0%	100%
		ener gy (Ina ctive ) com pany				-	-	-	-	-	-	-		-
		n of Prod uctio wab le el ectr ic rene
MAR COD AVA TEW OS SRL	Rom ania	ener gy ctive	100%	0%	100%	1	-	1	-	-	-	-		-
		(Ina ) com pany Prod uctio n of wab le el ic ectr rene
SAC IDAV A AX ION E SR L	Rom ania	ener gy	100%	0%	100%	1	-	1	-	-	-	-		-
		(Ina ctive ) com pany
SAC IOD OLU TIO N SR AVA AX IMA R EV L	Rom ania	Prod uctio n of wab le el ectr ic rene ener	100%	0%	100%	2		2
		gy (Ina ctive ) com pany					-		-	-	-	-		-
		Prod uctio n of wab le el ectr ic rene
THR ACIA NO VAE LAN D SR L	Rom ania	ener gy ctive	100%	0%	100%	3	-	3	-	-	-	-		-
		(Ina ) com pany Prod uctio n of wab le el ectr ic rene
MAR COD AVA ON E (S PV R UMA NIA)	Rom ania	ener gy	100%	0%	100%	6	-	6	-	-	-	-		-
		(Ina ctive ) com pany
LIRI OS DE C HUM AQU ITO SPA	Chil e	Prod uctio n of wab le el ectr ic rene ener	100%	0%	100%	352		352	-	(1)	-	7		6
		gy Prod uctio n of wab le el ectr ic rene
ENE RGI A E L MA NZA NO SPA	Chil e	ener gy	100%	0%	100%	304		304	-	-	-	-		(*) -
PLA NTA SO LAR SA N JU AN SPA	Chil e	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	(9)		(9)	-	-	-	-		(*) -
		ener gy Prod uctio n of wab le el ic ectr rene
SO GRE DA S PLA NTA LAR LA PA	Chil e	ener gy	100%	0%	100%	365		365	-	-	-	-		(*) -
PLA NTA SO LAR LA PUN TILL A S PA	Chil e	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	-		-	-	-	-	-		(*) -
		ener gy Prod uctio n of wab le el ectr ic
FOT OVO LTA ICA FAR O I S PA	Chil e	rene ener gy	100%	0%	100%	415		415	-	-	-	-		(*) -
FOT OVO LTA ICA FAR O III SPA	Chil e	Prod uctio n of wab le el ectr ic rene	100%	0%	100%	274		274						(*)
		ener gy							-	-	-	-		-
VIAT RES RE NEW ABL E EN ERG Y, S .L.	Chil e	Prod uctio n of wab le el ectr ic rene ener gy	100%	0%	100%	1,20 0		1,20 0	-	-	-	-		(*) -
N SO SPA JUA LAR	Chil	Prod uctio n of wab le el ic ectr rene	100%	0%	100%	1		1
	e	ener gy				1,14		1,14	-	-	-	-		(*) -
GR Las Vicu ñas	Chil	Prod uctio n of wab le el ectr ic rene	100%	0%	100%
SpA	e	ener gy (Ina ctive ) com pany				-		-	-	-	-	-		(*) -
		Prod uctio n of wab le el ectr ic rene
GR Las Chin chill as S pA	Chil e	ener gy	100%	0%	100%	-		-	-	-	-	-		(*) -
		(Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene
GR Pich SpA asca	Chil e	ener gy	100%	0%	100%	-		-	-	-	-	-		(*) -
		(Ina ctive ) com pany
GR Alto s de Lirc	Chil	n of Prod uctio wab le el ectr ic rene	100%	0%	100%
ay S pA	e	ener gy (Ina ctive ) com pany				-		-	-	-	-	-		(*) -
		Prod uctio n of wab le el ectr ic rene
GR SpA Nibl into	Chil e	ener gy	100%	0%	100%	-		-	-	-	-	-		(*) -
		(Ina ctive ) com pany Prod uctio n of wab le el ectr ic rene
GR Non gué n Sp A	Chil e	ener gy	100%	0%	100%	-		-	-	-	-	-		(*) -
		(Ina ctive ) com pany

GRENERGY RENOVABLES, S.A. Equity investments in Group companies and associates at December 31, 2023

										Tho nds of e usa uros
			% c apit al - voti ight ng r s		Bala at 1 2.31 .202 3 nces					Oth er	Prof it	Tota l
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	ity equ item s	(los s) fo r the yea r	ity o f equ the inve stee
GR REN OVA BLE S IN TL.H OLD CO, S.L	Spa in	Hold ing c (inac tive) omp any	100%	0%	100%	3 (3)		-
GRE NER GY REN OVA BLE S US A LL C	USA	Prom otion and struc tion of con elec tric e y ins talla tions nerg	100%	0%	100%	8,69 5	-	8,69 5	8,50 7	-	-	-	8,50 7	(*)
SOF OS HAR BER T RE NEW ABL E	USA	Prom otion and struc tion of con elec tric e y ins talla tions nerg	100%	0%	100%	-	-	-	4,79 5	(1,0 57)	-	(601 )	3,13 7	() ( ****)
GRE GY A NTIC , S.A NER TLA .U.	Arge ntina	Prom otion and tion of struc con elec tric e y ins talla tions nerg	100%	0%	100%	402	-	402	74	(176 )	-	(131 )	(233 )	(*)
KOS TEN S.A	Arge ntina	Ope ratio d ma inten of n an ance wab le el ectr ic en rene ergy insta llatio ns	100%	0%	100%	8,15 9	(5,5 36)	2,62 3	454	2,69 5	-	(356 )	2,79 3	() ( *)

(*) Exchange rate at closing of 12.31.2023 applied, with average rates applied to the 2023 income statement.

(**) Audited financial statements

(***) Indirect ownership via GR Equity Wind and Solar

(****) Indirect ownership via GR Las Palmas de Cocolán

(****) Indirect ownership via GR Renovables México

(*****) Indirect ownership via Grenergy Renovables USA

										Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 2	Sha re		Oth quit er e	Prof it (lo	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	ital cap	Res erve s	y item s	ss) for t he y ear	of th e inve stee
GRE ENH OUS E SO LAR FIE LDS , S.L	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	(1)	-	-	2
GRE ENH OUS E SO LAR EN ERG Y, S .L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	3	-	3	3	(1)	-	-	2
GRE ENH OUS E RE NEW ABL E EN ERG Y, S .L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	(1)	-	-	2
GUI A D E IS ORA SO LAR 2, S .L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2	-	2	3	(7)	-	-	(4)
GR SOL AR 2020 , S.L	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	3	-	3	3	(2)	-	10	11
GR SUN SPA IN, S .L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	3	-	3	3	(3)	-	-	-
GR EQU D SO , S.L ITY WIN D AN LAR	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	3	-	3	3	287	-	-	290
LEV EL F OTO VOL TAIC A S .L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	50%	0%	50%	2	-	2	3	(328 )	-	-	(325 )
BAÑ GR UEL A R ENO VAB LES , S.L	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	968	-	968	3	(1,1 61)	(5,9 82)	438	(6,7 02)	(**)
GR TUR BON RE NOV ABL ES, S.L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	968	-	968	3	(1,1 53)	(6,0 09)	666	(6,4 94)	(**)
GR AITA NA R ENO VAB LES , S.L	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	968	-	968	3	(1,1 10)	(6,0 63)	691	(6,4 80)	(**)
GR ASP E RE NOV ABL ES, S.L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	968	-	968	3	(1,1 78)	(5,9 82)	293	(6,8 64)	(**)
RES ERG Y, S VIAT RE NEW ABL E EN .L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	40%	0%	40%	1	-	1	3	-	-	-	3
EIDE N R ENO VAB LES , S.L	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ic en ectr rene ergy	100%	0%	100%	3	-	3	3	(1)	-	-	2
CHA MBO RE NOV ABL ES, S.L.	Rafa el B otí, 2 6, 2802 3 Ma drid (Spa in)	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	3	-	3	3	(1)	-	-	2

										Tho nds of usa eur os
			% c apit al - vot ing righ ts		Bala	s at 12. 31.2 nce	022					Tot al
Com pan y na me	Reg iste red add ress	Act ivity	Dire ct	Indi rect	Tot al	Cos t	Imp airm ent	Car ryin g unt amo	Sha re ital cap	Res erve s	Oth quit er e y item s	Pro fit ( loss ) for the yea r	ity o f equ the inve stee
GR COR MO NOV ES S.L RAN RE ABL .U.	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR GAR CIL LA R ENO VAB LES S.L .U.	Rafa otí, 26, el B 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR NIC O R ENO LES S.L LAU VAB .U.	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR MAL VAS IA R ENO VAB LES S.L .U.	Rafa otí, 26, el B 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR NOV ES S.L MAR TIN ETA RE ABL .U.	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	n of Prod uctio ble elec tric ren ewa ene rgy	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR FAIS AN REN OVA BLE S S .L.U	Rafa otí, 26, el B 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR RGY OP S.L ENE EX,	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Ope ratio d m aint of r wab le e lect ric n an ena nce ene insta llatio ns ( Inac tive y) ene rgy com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR ENE RGY EP C E URO PA, S.L	Rafa otí, 26, el B 280 23 M adri d (Sp ain)	Con stru ctio n of ele ctric insta llatio ene rgy ns	100 %	0%	100 %	3 (3)	-	-	-	-	-	2,24 5	2,24 5
GR POW COM ERC ZAC ION , S.L ER IALI	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Com ciali zati f ren ble elec tric mer on o ewa ene rgy (Ina y) ctive com pan (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR LA P ARE D 2 , SL	Rafa otí, 26, el B 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR D 3 , SL LA P ARE	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR LA P ARE D 4 , S.L	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR S.L LA P ARE D5,	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR LA P ARE D 6 , S.L	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR LA P ARE D 7 , S.L	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-

										Tho nds of usa eur os
			% c	apit al - vot ing	righ ts	Bala	s at 12. nce	31.2 022					Tot al
Com pan y na me	Reg red add iste ress	Act ivity	Dire ct	Indi rect	Tot al	Cos t	Imp airm ent	Car ryin g amo unt	Sha re ital cap	Res erve s	Oth quit y item er e s	Pro ) for fit ( loss the yea r	ity o f equ the inve stee
GR ARL ANZ ON REN OVA BLE S, S .L	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR AND ALU CIA 1 R ENO VAB LES , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
IÑE GR CAR N R ENO VAB LES , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR CAN TAB RIA 5 R ENO VAB LES , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR AST URI AS 1 RE NOV ABL ES, SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	n of Prod uctio ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR CAN TAB RIA 3, S LU	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR VAL ENC IA 3 RE NOV ABL ES, SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	n of Prod uctio ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR MAD RID 2 R ENO VAB LES , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina y) ctive com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR CAN TAB RIA 4 R ENO VAB LES , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	n of Prod uctio ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR MAD RID 1, S LU	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina y) ctive com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR VAL ENC IA 2 , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	n of Prod uctio ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-
GR VAL ENC IA 1 , SL U	Rafa el B otí, 26, 280 23 M adri d (Sp ain)	Prod uctio n of ble elec tric ren ewa ene rgy (Ina y) ctive com pan	100 %	0%	100 %	3 (3)	-	-	-	-	-	-	-

									Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 2	Sha re		Oth quit er e	Prof it (lo	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	ital cap	Res erve s	y item s	ss) for t he y ear	of th e inve stee
GRE GY PAC IFIC NER LTD A	Chil e	Prom otion and tion of e lectr ic en struc con ergy insta llatio ns	% 99.9	0%	100%	43	-	43	39	4,97 2	-	(476 )	4,53 5	() ( *)
GR PEU MO, S.P .A.	Chil e	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR QUE ULE , S.P .A.	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR MAI TEN , S.P .A.	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR ALG ARR OBO SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PAC IFIC CH ILOE SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	98%	98%	1 (1)	-	-	-	-	-	-	-	() ( **)
GR PAC IFIC OV ALL E, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	98%	98%	1 (1)	-	-	890	(883 )	-	-	7	() ( **)
GR PIM IENT O, S PA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
ÑAR GR CHA , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
LÚC GR UMO , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR LLE UQU E, S PA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy	-	100%	100%	-	-	-	1	42	-	767	810	() ( ***)
GR NOT RO, SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR LEN GA, SPA	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
Ú, S GR TEP PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PAC AMA , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR TEM O, S PA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ) ctive com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR RUI L, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy	-	100%	100%	-	-	-	1	36	-	450	487	() ( ***)
GR POL PAIC O P ACI FIC, SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	98%	98%	1 (1)	-	-	-	-	-	-	-	() ( **)
GR Man SpA zano	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Nara njillo SpA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR io S Mañ pA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)

										Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 2	Sha re		Oth quit er e	Prof it (lo	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	ital cap	Res erve s	y item s	ss) for t he y ear	of th e inve stee
GR Tara SpA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Hua lo S pA	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Corc olén SpA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Lum a Sp A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Fuin SpA que	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Que ñoa SpA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR ú Sp Tay a	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ) ctive com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Petr a Sp A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Coro SpA ntillo	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Liun SpA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Kew iña S pA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Fran gel S pA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Maq ui S pA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Petr illo S pA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
GR Tep a Sp A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	2 (2)	-	-	-	-	-	-	-	(*)
Gren OP EX S pA ergy	Chil e	Ope of r ratio d ma inten able elec tric n an ance enew gy in stall ation ener s	100%	0%	100%	1	-	1	1	1,12 9	-	1,27 5	2,40 5	() ( *)
Parq ue F oltai co N Qui llagu a Sp A otov uevo	Chil e	Prod uctio n of wab le el ic en ectr rene ergy	100%	0%	100%	15,2 10	-	15,2 10	20,5 83	2,05 3	-	1,16 1	23,7 97	() ( *)
GR COR COV ADO , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR YEN DEG AIA , SP A	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR KAW ESQ AR	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR ALA RCE AN DINO SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy	0%	100%	100%	1 (1)	-	-	1	-	-	122	123	() ( ***)
GR ALE RCE CO STE RO SPA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ) ctive com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)

										Tho nds of e usa uros
			% c	apit al - voti ng r	ight s	Bala at 1 2.31 nces		.202 2	Sha re		Oth quit er e	Prof it (lo	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	ital cap	Res erve s	y item s	ss) for t he y ear	of th e inve stee
GR TOR RES SPA DE L PA INE	Chil e	n of Prod uctio wab le el ectr ic en rene ergy	0%	100%	100%	-	-	-	1	3	-	183	187	() ( ***)
OLÁ GRE NER GY PAL MAS DE COC N, S PA	Chil e	Hold ing c omp any	100%	0%	100%	12,3 56	-	12,3 56	9,90 3	(180 )	(1,4 56)	(1,1 05)	7,16 2	() ( *)
GR LA C AMP ANA , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR VOL CAN ISL UGA , SP A	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR LAU CA, SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PAN DE AZU CAR , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR MOR RO MOR ENO , SP A	Chil e	Prod uctio n of wab le el ic en ectr rene ergy	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR NEV ADO TR ES C RUC ES, SPA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
CO, GR LLU LLA ILLA SPA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR SAL AR HUA SCO , SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR RAP ANU I, SP A	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PUY EHU E, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR CAB O D E HO RNO S, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	1 (1)	-	-	1	-	-	(6)	(5)	(*)
GR CER RO CAS O, S TILL PA	Chil e	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR PAL I AIK E, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR RAD AL S IETE TAZ AS, SPA	Chil e	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR ISLA MA GDA LEN A, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GRE NER GY LLA NOS CH ALL E, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR LAG UNA SAN RA FAE L, S PA	Chil e	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
GR POW ER C HILE , SP A	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	100%	0%	100%	1	-	1	1	(191 )	-	(648 )	(838 )	() ( *)

									Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 2					Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	Sha re ital cap	Res erve s	Oth quit y item er e s	ss) for t Prof it (lo he y ear	of th e inve stee
CE C ENT INEL A SO LAR SPA	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	0%	100%	100%	-	-	-	22	-	-	141	163	() ( ***)
CE URI BE D E AN TOF AGA STA SO LAR SPA	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	0%	100%	100%	-	-	-	2	-	-	403	405	() ( ***)
PIQ SO CHA UINA LAR SPA	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	100%	0%	100%	1	-	1	1	-	-	3	4	(*)
TE S OLA R SP MAI A	Chil e	Com n of ciali zatio wab le el ectr ic en mer rene ergy	100%	0%	100%	-	-	-	1	-	-	-	1	(*)
MIG UEL SO LAR SPA	Chil e	Com ciali zatio n of wab le el ic en ectr mer rene ergy	100%	0%	100%	-	-	-	1	-	-	-	1	(*)
PAR QUE SO LAR TAN GUA	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	100%	0%	100%	913	-	913	-	-	-	-	-	(*)
MAN ZAN O S OLA R SP A	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	100%	0%	100%	20	-	20	-	-	-	-	-	(*)
ISIÓ ECO GRE NER GY TRA NSM N SP A	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	100%	0%	100%	1 (1)	-	-	-	-	-	-	-	(*)
SO II S PLA NTA LAR LA PAZ PA	Chil e	Com n of ciali zatio wab le el ectr ic en mer rene ergy	0%	100%	100%	-	-	-	-	-	-	-	-	() ( ***)
ÑAF PLA NTA SO LAR PE LOR II S PA	Chil e	Com ciali zatio n of wab le el ic en ectr mer rene ergy	0%	100%	100%	-	-	-	-	-	-	-	-	() ( ***)
PLA NTA SO LAR LO MIG UEL II S PA	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	0%	100%	100%	-	-	-	-	-	-	-	-	() ( ***)
PLA NTA SO LAR SA NTA TER ESIT A II SPA	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	0%	100%	100%	-	-	-	-	-	-	-	-	() ( ***)
PFV EL LOR O C HOR OY	Chil e	Com ciali zatio n of wab le el ectr ic en mer rene ergy	100%	0%	100%	363	-	363	-	-	-	-	-	(*)
GRE GY U SA C NER PER	Peru	Prom otion and tion of e lectr ic en struc con ergy insta llatio ns	99%	0%	99%	1	-	1	1	(1,0 77)	-	816	(260 )	(*)
GR JUL IACA , S.A .C.	Peru	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR HUA MBO S, S .A.C	Peru	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR APO RIC , S.A .C.	Peru	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR COR TAR RAM A S .A.C	Peru	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR GUA NAC O S .A.C	Peru	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR TAR UCA S.A .C.	Peru	Prod uctio n of wab le el ectr ic en rene ergy	90%	0%	90%	4,93 2	(4,0 79)	853	5,76 4	(1,8 58)	-	(2,5 93)	1,31 3	() ( *)

			% c	apit al - voti ng r	ight s		Bala at 1 2.31 nces	.202 2	Sha re		Oth quit er e	Prof it (lo	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	ital cap	Res erve s	y item s	ss) for t he y ear	of th e inve stee
GR PAIN O S .A.C	Peru	Prod uctio n of wab le el ectr ic en rene ergy	90%	0%	90%	5,01 1	(4,0 80)	931	5,86 6	(2,32 9)	-	(2,7 96)	741	() ( *)
GR PAIC HE S .A.C	Peru	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	278 (278 )	-	-	-	-	-	-	-	(*)
GR ANC A S .A.C LIBL	Peru	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	278 (278 )	-	-	-	-	-	-	-	(*)
GR AND INO S.A. C.	Peru	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	-	-	-	-	-	-	(5)	(5)	(*)
GR CAO BA S .A.C	Peru	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR CEI BO S.A. C.	Peru	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR CHA BAR BAM BA S .A.C	Peru	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR MIT OCO NGA S.A .C.	Peru	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
ÉXIC GR REN OVA BLE S M O	Mex ico	Prom otion and struc tion of e lectr ic en con ergy insta llatio ns	98%	0%	98%	3	-	3	2	(996 )	-	(6)	(1,0 00)	() ( *)
GRE ENH UB S .L. D E C. V.	Mex ico	Prod uctio n of wab le el ectr ic en rene ergy	20%	80%	100%	20	-	20	109	(2,42 9)	-	(66)	(2,3 86)	() ( ) ( * )
O 3 SAC FAIL V	Mex ico	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	-	50%	50%	-	-	-	2	(18)	-	(3)	(19)	( ) ( **)
AST ILO 1 SO LAR , SA CV	Mex ico	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	100%	100%	3 (3)	-	-	2	(31)	-	(12)	(41)	( ) ( **)
CRI SON 2 S OLA R, S ACV	Mex ico	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	100%	100%	3 (3)	-	-	2	(4)	-	(16)	(18)	( ) ( **)
MES O 4 SOL AR, SAC V	Mex ico	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	100%	100%	3 (3)	-	-	2	(28)	-	(4)	(30)	( ) ( **)
ORS IPO 5 SO LAR , SA CV	Mex ico	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	-	100%	100%	3 (3)	-	-	2	(14)	-	(10)	(22)	( ) ( **)
GAC A 6 SOL SAC MIR AR, V	Mex ico	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	-	100%	100%	3 (3)	-	-	2	(2)	-	(5)	(5)	() ( **)
GRE NER GY COL OMB IA S .A.S	Colo mbia	Prom otion and struc tion of e lectr ic en con ergy insta llatio ns	100%	0%	100%	270	-	270	187	(686 )	-	(4,5 15)	(5,0 14)	() ( *)
GR PAR QUE BR ISA SOL AR 2	Colo mbia	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR ISA SOL AR 3	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE PRA DO SOL AR 1	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)

								Tho nds of e usa uros
			% c	apit al - voti ight Bala at 1 2.31 .202 2 ng r s nces			Sha		Oth	Prof	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	re ital cap	Res erve s	quit y item er e s	ss) for t it (lo he y ear	of th e inve stee
GR PAR QUE SO LAR SAN DAL O 2	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
SAN AG UST IN S OLA R S. A.S	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
SAN TAM ART A SO LAR S.A .S	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR SOL DE BAY UNC A SA S	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy	100%	0%	100%	-	-	-	-	(66)	-	(1,7 67)	(1,8 33)	() ( *)
CER RITO S SO LAR S.A S	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	-	-	-	-	-	-	153	153	() ( *)
CEN TRO SO LAR , S.A .S	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
MON TEL IBAN O S OLA R, S .A.S	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	-	-	-	-	-	-	(5)	(5)	(*)
TIÓ GRE NER GY GES N E INFR AES TRU CTU RA S .A.S	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO L DE AYA PEL S.A .S E .S.P	Colo mbia	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE CE NTR O S OLA R 2 S.A. S E. S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR ISA SOL AR 4 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE GA LAP A SO LAR 2 S .A.S E.S .P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE CA MPO DE LA C RUZ S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR QUE TUC S 3 S.A. S E. S.P PAR ANE	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE NU EVA MO NTE RIA SOL AR 1 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE NU EVA BA RRA NQU ILLA 2 S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SA N JU AN SOL AR 1 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SA N JU AN SOL AR 2 S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR EZO SO LAR 1 S .A.S E.S .P	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE BR EZO SO LAR 2 S .A.S E.S .P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)

									Tho nds of e usa uros
			% c	apit al - voti ng r	ight s		Bala at 1 2.31 .202 2 nces		Sha re		Oth quit er e	Prof it (lo	Tota l eq uity
Com pan y na me	Reg red add iste ress	Acti vity	Dire ct	Indi rect	Tota l	Cos t	Imp airm ent	Carr ying amo unt	ital cap	Res erve s	y item s	ss) for t he y ear	of th e inve stee
GR PAR QUE GU ACA MAY AL S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR QUE SO S.A .S E .S.P PAR L DE ZAW ADY	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SIN CE S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE LOS CA BAL LER OS 2 S. A.S E.S. P	Colo mbia	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR TUC ANE S 2 S.A. S E. S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE NU EVA BA RRA NQU ILLA 1 S OLA R S. A.S E.S. P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR SOL DE SAN TAN DER S.A .S E .S.P	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy (Ina ) ctive com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR SO L DE L MA R II S.A. S. E .S.P	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
QUE SO O II GR PAR LAR SAN DAL S.A. S E. S.P.	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	-	-	-	-	-	-	-	-	(*)
GR PAR QUE SO LAR LA MED INA SAS	Colo mbia	Prod uctio n of wab le el ectr ic en rene ergy	100%	0%	100%	-	-	-	-	-	-	304	304	() ( *)
GR PAR QUE SO LAR LOS CA BAL LER OS SAS	Colo mbia	Prod uctio n of wab le el ic en ectr rene ergy	100%	0%	100%	-	-	-	-	-	-	382	382	() ( *)
GRE NER GY RIN NOV ABI LI IT ALIA SR L	Italy	Prom otion and struc tion of e lectr ic en con ergy insta llatio ns	100%	0%	100%	350	-	350	350	(32)	-	(130 )	188
GR RIN NOV ABIL I 1 S RL	Italy	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 2 S RL	Italy	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR NOV I 3, S RIN ABIL RL	Italy	Prod uctio n of wab le el ic en ectr rene ergy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 4 S RL	Italy	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 5 S RL	Italy	n of Prod uctio wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 6 S RL	Italy	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 7 S RL	Italy	Prod uctio n of wab le el ectr ic en rene ergy (Ina ctive ) com pany	100%	0%	100%	10	-	10	10	-	-	-	10
GR RIN NOV ABIL I 8 S RL	Italy	Prod uctio n of wab le el ectr ic en rene ergy (Ina ) ctive com pany	100%	0%	100%	10	-	10	10	-	-	-	10

GRENERGY RENOVABLES, S.A. Equity investments in Group companies and associates at December 31, 2022

									Tho nds of usa eur os
			% c	apit al - vot ing	righ ts	Bala	s at 12. 31.2 nce					Tot al
Com pan y na me	Reg red add iste ress	Act ivity	Dire ct	Indi rect	Tot al	Cos t	Imp airm ent	Car ryin g amo unt	Sha re ital cap	Res erve s	Oth quit y item er e s	) for Pro fit ( loss the yea r	ity o f equ the inve stee
GR RIN NOV ABI LI 9 SR L	Italy	n of Prod uctio ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	10	-	10	10	-	-	-	10
GR RIN NOV ABI LI 1 0 SR L	Italy	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	10	-	10	10	-	-	-	10
GR ENE RGY RE NEW ABL ES UK LIM ITE D	UK	Pro mot ion and stru ctio n of ele ctric con insta llatio ene rgy ns	100 %	0%	100 %	-	-	-	-	(42)	-	(153 )	(195 )	(*)
GR ES 1 LI REN EW ABL MIT ED	UK	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	100 %	0%	100 %	-	-	-	-	-	-	-	-	(*)
GR ES REN EW ABL 2 LI MIT ED	UK	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	% 100	0%	% 100	-	-	-	-	-	-	-	-	(*)
GR ES REN EW ABL 3 LI MIT ED	UK	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	% 100	0%	% 100	-	-	-	-	-	-	-	-	(*)
GR ES REN EW ABL 4 LI MIT ED	UK	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	% 100	0%	% 100	-	-	-	-	-	-	-	-	(*)
GR ES REN EW ABL 5 LI MIT ED	UK	Prod uctio n of ble elec tric ren ewa ene rgy (Ina ctive y) com pan	% 100	0%	% 100	-	-	-	-	-	-	-	-	(*)
GR RGY PO LSK A, S OO ENE .P. Z	Pola nd	Pro mot ion and stru ctio n of ele ctric con insta llatio ene rgy ns	% 100	0%	% 100	3	-	3	1	-	-	(156 )	(155 )
GR RGY ERG GM ENE ER NEU ERB ARE EN IEN BH	Ger man y	Pro mot ion and stru ctio n of ele ctric con insta llatio ene rgy ns	% 100	0%	% 100	25	-	25	25	-	-	-	-
GR ENE RGY RE NOV ABL ES USA LLC	USA	Pro mot ion and stru ctio n of ele ctric con insta llatio ene rgy ns	100 %	0%	100 %	-	-	-	-	-	-	-	-	(*)
SOF OS HAR BER T R ENE WA BLE	USA	Pro mot ion and stru ctio n of ele ctric con insta llatio ene rgy ns	0%	40%	40%	-	-	-	6,45 0	(1,2 75)	-	(1,0 18)	4,15 7	() ( ***
GR ENE RGY AT LAN TIC , S.A .U.	Arg enti na	Pro mot ion and stru ctio n of ele ctric con insta llatio ene rgy ns	100 %	0%	100 %	402	-	402	227	(245 )	-	(138 )	(156 )	(*)
KOS TEN S.A	Arg enti na	Ope ratio d m aint of n an ena nce wab le e lect ric e y in stal latio rene nerg ns	100 %	0%	100 %	8,15 9	(5,5 36)	2,62 3	5,27 2	(4,7 88)	-	1,69 1	2,17 5	() ( *)

(**) Audited financial statements

(***) Indirect ownership via GR Equity Wind and Solar

(****) Indirect ownership via GR Las Palmas de Cocalán

(****) Indirect ownership via GR Renovables México

(*****) Indirect ownership via Grenergy Renovables USA

Management Report for the year ended December 31, 2023

1. 2023 Business Performance

According to Bloomberg New Energy Finance ("BNEF"), 450 GW of solar energy installations were installed globally during 2023. Installing this capacity during the year involves a 48% year on year increase in investments, up to approximately 455 trillion euros.

Though global cost inflation has been putting pressure on costs in the renewable energy industry, increasing the cost of key components for its installations, the cost of other sources of energy, such as gas or petroleum, experienced even more severe inflation, which strengthened the relative competitiveness of renewable energies and evidenced the need for reducing dependency on certain non-renewable energy commodities.

BNEF expects new installed capacity of 565 GW in 2024 for solar energy at a global level, as compared to the 450 GW of installed capacity estimated for 2023.

As far as storage installations are concerned, this activity continues to grow exponentially with an estimated 87 GW installed in 2023 and 656 GW expected by 2030.

In the long term BNEF expects exponential growth in the renewable energy sector until it reaches 85% of energy supplied in 2050.

The main headings for the income statement and balance sheet are explained below:

Total revenue for the year amounted to 16,224 thousand euros, representing a decrease of 84% with respect to 2022. This decrease is mainly due to the fact that another Group company started performing the construction activity towards the end of 2022.
The breakdown of all operating income by nature in 2023 was as follows:
- TOTAL Revenue: 16,224 thousand euros:
  - Sale of solar panels and other materials: 491 thousand euros
  - Revenue from construction: 9,454 thousand euros
  - Revenue from development fees: 3,750 thousand euros
  - O&M income (maintenance of plants): 2,529 thousand euros.
- TOTAL Other Operating Income: 2,314 thousand euros:
  - Revenue from management fees: 1,253 thousand euros
  - Reversal of provision for guarantees: 509 thousand euros
  - Other operating income: 552 thousand euros.
The results for the year before taxes showed profits amounting to 48,147 thousand euros, while net profit for the year came in at 50,811 thousand euros. These results confirm the continuity of Grenergy's activities in the development of its projects, construction, and connecting plants, as reflected in last year's management report. In addition, 2 photovoltaic parks in Chile and one in Spain (Belinchón) were transferred

Management Report for the year ended December 31, 2023

during 2023 together with their respective vehicle entities. Grenergy considers these results as very positive given that they reflect the continuity of growth in Latin America and the consolidation of sales of installations in this region.

The balance for employee benefits expenses increased by 3%, amounting to 9,459 thousand euros in 2023, reflecting the continued strengthening of the workforce and an important sign that talent is being attracted, resulting in a larger corporate structure for Grenergy in all its departments.
The balance recognized under "Finance cost" for the year increased with respect to the prior year, amounting to a positive 63,587 thousand euros in 2023 as a consequence of selling less interests held in group companies, all of them vehicle entities which own the developments and permits for the transferred projects.
Capital and reserves amount to 307,308 thousand euros, an increase of 32,578 thousand euros with respect to the previous year end (a 12% increase).
In 2023 Grenergy will continue to develop its portfolio of projects via its subsidiaries in Latin America and Europe.
The average number of employees during 2023, broken down by professional categories, was the following:

Category	2023	2022
Directors and Senior Management	14	13
Managers	5	6
Department heads	21	15
Technical staff	65	75
Laborers	6	11
Total	111	120

Management Report for the year ended December 31, 2023

2. Privileged information and other relevant information for FY 2023

On February 3, 2023, Grenergy inaugurated three solar power plants with a capacity of 37 MW in Colombia, which provided light to 40,000 homes and will save 27,000 tons of CO2 per year.
On February 8, 2023, Grenergy signed a senior financing agreement with Norddeutsche Landesbank - Girozentrale - ("NORD/LB") and Bankinter for a total balance of 89.5 million euros and a duration covering construction of the 150 MW Belinchón solar project located in Belinchón plus an additional 19 years.
On February 14, 2023, Grenergy announced that it had acquired an additional 60% of interest in Sofos Harbert Renewable Energy, thereby owning 100% of said entity and renaming it Grenergy US.
On February 21, 2023, Grenergy announced the sale of three PMGD distribution projects in Chile, with a joint capacity of 32.5 MWp, for a total amount of 44.2 million US dollars.
On March 10, 2023, Grenergy signed a PPA with LyondellBasell for a 259 MW solar project. The agreement provides for annual delivery of 330 GWh from the La Cereal solar park and was arranged for a duration of 15 years. The park is expected to become operational in the first half of 2025.
On March 29, 2023, Grenergy signed long-term power purchase agreements (PPAs) with a U.S. company for a duration of more than 10 years and covering the sale of approximately 665 GWh/year. This agreement was signed for a package of three photovoltaic solar projects located throughout Spain.
On June 15, 2023, Grenergy agreed to sell 100% of the 150 MW Belinchón photovoltaic park located in Cuenca (Spain) to a European IPP for proceeds amounting to 83 million euros net of debt (equity value).
On June 29, 2023, Grenergy signed a long-term power purchase agreement (PPA) with an international energy company, boasting an investment grade credit rating and present in the Chilean market, corresponding to approximately 140 GWh/year for a duration of 12 years counting from the start-up date of the power plant.
On July 3, 2023, Grenergy signed a senior financing agreement with BNP Paribas and Société Générale for a total balance of 148 million US dollars, to be dedicated to construction of the Gran Teno and Tamango solar projects with a capacity of close to 300 MWp in central Chile. This financing corresponds to a green loan, in line with the Green Loan Principles (GLP).
On September 11, 2023, Grenergy signed a long-term power purchase agreement (PPA) to supply Enel Generación Perú with green energy from the Matarani solar park, which is located in the Peruvian region of Arequipa and boasts a peak capacity of 97 MW.

Management Report for the year ended December 31, 2023

On October 18, 2023, Grenergy agreed to sell 100% of two photovoltaic parks (297 MW) in Spain to Allianz Capital Partners for an enterprise value of 270.6 million euros.
On October 19, 2023, Grenergy agreed to establish a share buyback program of up to 40 million euros in order to reduce Grenergy's share capital via redemption of treasury shares.
On June 22, 2023, Grenergy signed a corporate financing facility totaling 157 million US dollars with Banco Santander and covered by CESCE, a Spanish export credit insurance company, in accordance with its Green Investment Policy.
On November 17, 2023, Grenergy signed its first non-solar PPA to supply the Chilean company EMOAC with green energy for a period of 15 years.

On November 21, 2023, Grenergy held its first Capital Markets Day in Madrid.

3. Corporate governance

The governance of Grenergy is conducted in accordance with the established principles of efficacy and transparency as per the main recommendations and standards prevailing at an international level.

Board of Directors

Below is a description of Grenergy's Board of Directors at the date of preparation of these consolidated financial statements, indicating the positions filled by each member:

			Date of first	End of
Name/corporate name	Position	Type of director	appointment	appointment
Mr. David Ruiz de Andrés	Chairman / CEO	Executive	5/19/2015	4/24/2027
Mr. Antonio Jiménez Alarcón	Board member	Proprietary	11/15/2019	4/24/2027
Mr. Florentino Vivancos Gasset	Board member	Proprietary	5/19/2015	4/24/2027
Ms. Ana Peralta Moreno	Board member	Independent	6/27/2016	6/29/2024
Mr. Nicolás Bergareche Mendoza	Board member	Independent	6/27/2016	6/29/2024
Ms. María del Rocío Hortigüela Esturillo	Board member	Independent	11/15/2019	4/24/2027
Ms. María Merry del Val Mariátegui	Board member	Proprietary	6/29/2021	6/29/2025
Ms. Ana Plaza Arregui	Board member	Independent	9/26/2023	6/30/2024

The Board of Directors has in turn established the following committees:

Audit and Control Committee
Appointments, Remuneration, and Sustainability Committee.

These committees have been attributed legal functions as well as those established in the Code for Good Corporate Governance approved by the CNMV.

Management Report for the year ended December 31, 2023

Senior executives

Steering Committee

The senior executives of the Group (understood as those who report directly to the Board of Directors and/or the CEO) at the date of preparation of these consolidated financial statements follow:

Name	Position
Mr. David Ruiz de Andrés	Chief Executive Officer (CEO)
Mr. Pablo Miguel Otín Pintado	Director of Operations
Mr. Daniel Lozano Herrera	Strategy and Capital Markets Director
Ms. Mercedes Español Soriano	M&A Director
Ms. Emi Takehara	Financial Director
Mr. Álvaro Ruiz Ruiz	Director of Legal Area
Mr. Francisco Quintero Berganza	Generation and Equity Director
	Director of Human Resources and Director of Digital
Mr. Luis Rivas Álvarez	Transformation and Innovation

Internal Audit

The internal audit function is performed by Ms. Carlota Seoane, who reports to the Audit Committee.

4. Environmental disclosures

During the development phase of the renewable energy projects, either solar or wind, the Company carries out Environmental Impact Assessments systematically. These assessments include a description of all project activities susceptible of having an impact during the life of the project, from civil engineering work up to dismantling activities, and a complete study on alternatives for the installations and their evacuation lines is also performed. It further includes an environmental inventory which discloses the characteristics relating to air, soil, hydrology, vegetation, fauna, protected items, the countryside, heritage items, and socio-economic factors. The main objective is to identify, quantify, and measure all the possible impacts on the natural and socio-economic environment as well as the activities which give rise to them throughout the life of the project, and also to define the preventive, corrective, and compensatory measures with regard to said impacts.

Management Report for the year ended December 31, 2023

The Company contracts specialized professional services for each project in order to perform the Environmental Impact Assessments and execute the Environmental Monitoring Programs together with the associated periodic reporting, adding transparency and rigor to the process. Likewise, environmental management plans are established which comprise all the possible specific plans developed in a complementary manner, such as in the case of landscape restoration and integration plans or specific plans for monitoring fauna.

The Company's projects are generally affected by the environmental impact of land occupation. Thus, the land selection phase plays a fundamental role and the Company searches for and locates land using a system for analyzing current environmental variables with a view to minimizing environmental impact.

5. ESG analysis

December 2023 saw the successful completion of the ESG Roadmap 2021- 2023, a strategy focused primarily on laying the foundations and a sound basis for ESG performance.

Milestones were achieved during the three years of the plan, such as the issuance of the first green bond program in 2021, the creation of an internal monitoring procedure for ESG indicators in 2022, or the first third-party verification of the Sustainability Report in 2023, amongst others.

Compliance with the ESG Action Plan 2023

In February 2023 the Group published its ESG Action Plan 2023, including the objectives for the last phase of the ESG Roadmap 2023, affirming its commitment to informing the public on its progress every quarter.

During 2023, the main milestones were as follows:

Verification with a limited assurance scope for the 2022 Sustainability Report was performed for the first time, without any deviation.
An IT application (Sygris) was acquired for implementation of a collection and validation tool for non-financial information as a support for the future Internal Control System for Non-Financial Information, SCIINF.
The information security policy was approved and published together with the health and safety policy, while the human rights policy and code of conduct for suppliers were updated.
The science-based emission reduction targets (medium and long term) were validated by the Science-Based Targets Initiative (SBTi) following the SME pathway.
The Double Materiality analysis was carried out, from the perspective of both financial impact as well as impact on the environment and people.
The employee performance evaluation methodology was presented.

Management Report

for the year ended December 31, 2023

An ESG training session was conducted for Grenergy's Board of Directors, Management Committee, and key personnel.
Triple recognition was obtained from Choose My Company with HappyIndexatWork, ImpactESG, and HappyTrainees certifications.
A climate change risk and opportunity assessment was performed, aligned with TCFD recommendations.
The Net Zero by 2040 Strategy was presented

Table: Progress of the ESG Action Plan 2023

Greater coverage of ESG ratings and sustainability indicators

As a consequence of growing investor interest, Grenergy continues to expand its coverage of ESG rating agencies and sustainability indicators. In this regard, Grenergy's performance in 2023 improved in terms of assessments carried out by Sustainalytics and the Dow Jones Sustainability Index, demonstrating its leadership position in MSCI ESG and CDP Climate Change, four of the world's most prestigious ESG rating agencies.

o Sustainalytics

Grenergy has been acknowledged as one of the 250 most sustainable companies in the world for the third consecutive year, according to the latest analysis carried out by Sustainalytics, one of the main indices in the world that addresses the ESG criteria of companies. Specifically, Grenergy holds the 235th position in the ranking of 15,000 companies analyzed. In addition, the Company obtained first position in its sector in terms of capitalization; fourth place amongst the 95 companies specialized in independent energy production analyzed by Sustainalytics; as well as seventh position amongst the more than 700 utilities of the index.

Sustainalytics measures the exposure of companies to ESG risks and their ESG risk management on a scale of 0 to 100 (the lowest number representing the best rating). In this

Management Report for the year ended December 31, 2023

edition, the international index rated Grenergy with a 9.7, placing it in the negligible ESG risk category (the lowest category).

After thoroughly evaluating the behavior and performance of Grenergy in environmental, social and governance matters, Sustainalytics positively assessed the great efforts made by the Company to improve community relations, invest in human capital as well as health and safety at work, and its governance policies.

Table: Comparison of Grenergy's results provided by Sustainalytics in 2023.

o S&P Global ESG Score – Dow Jones

Grenergy has consolidated its noteworthy presence in the S&P Global ESG Score rating subsequent to the S&P Global Corporate Sustainability Assessment (CSA) of the Dow Jones Sustainability Index. Grenergy obtained a remarkable score of 68 out of 100 in the report corresponding to 2023, which represents a significant improvement of 12 points over the previous year. This achievement places Grenergy in the 85% percentile of the electrical utilities industry, positioning it in the TOP 15% of all companies evaluated.

o MSCI ESG Rating

In addition, in 2023 Grenergy maintained its leadership position in the MSCI ESG Rating index, obtaining the highest rating (AAA) for the second consecutive year as one of the most sustainable companies in the utilities sector with an overall industry-adjusted score of 9.8/10, a rating which includes only 13% of all participants. According to the MSCI report, the Company leads the sector locally and globally, achieving the highest scores in the following categories: "Carbon emissions"; "Opportunities in Renewable Energy"; and "Corporate Governance.

Management Report for the year ended December 31, 2023

GRENERGY RENOVABLES, S.A	AAA	MSCI (
PEER 1	AAA
PEER 2	AAA
PEER 3	AA
PEER 4	র্ব
PEER 5	A

Table: MSCI ESG rating obtained by Grenergy in 2023 in comparison with its peers.

o ISS ESG

Grenergy was assessed by ISS ESG in December 2023 and again received an A- rating with a "very high" level of transparency, thereby distinguishing itself as a Prime company. This result continues to strengthen Grenergy's positioning as an ESG leader, outperforming all of its peers as of the ISS report publication date.

o Ethifinance ESG

Finally, the ESG and credit rating agency (formerly Axesor), Ethifinance ESG, evaluated Grenergy in 2023 (based on 2022 information), obtaining a score of 80/100 and improving with respect to 2020 (64/100) and 2021 (75/100). Grenergy's score in Ethifinance's ESG assessment indicates above average performance in all index categories of the Utilities sector out of a total of 50 companies.

6. Investment in research and development

The Company did not capitalize any amounts relating to R&D investments in 2023.

However, the Strategy Department created the New Technologies Division, which will focus on implementing the emerging energy storage technologies in the Group's value chain, taking charge of the design in terms of both engineering and economics as well as the development of such plants in the different markets where the Group operates. Further, in order to make these projects competitive as soon as possible, the Group has also organized its own team which is working with consultancy firms to analyze access to public funds aimed at transforming the energy matrix to renewable energies.

Management Report for the year ended December 31, 2023

7. Treasury shares

The treasury share portfolio at the closing of FY 2023 is comprised of the following:

	Balance at 12.31.2023
Number of shares in treasury share portfolio	1,200,222
Total treasury share portfolio	32,989
Liquidity Accounts Fixed Own Portfolio Account	952 32,037

During FY 2023, the movements in the treasury share portfolio of the Company were as follows:

	Treasury shares
	Number of shares	Nominal value	Average acquisition price
Balance at 12.31.2022 Acquisitions Disposals	611,148 1,273,202 (684,128)	19,728 34,407 (21,146)	32.28 27.02 30.91
Balance at 12.31.2023	1,200,222	33,989	27.49

The purpose of holding the treasury shares is to maintain them available for sale in the market as well as for the incentive plan approved for directors, executives, employees, and key collaborators of the Company.

At December 31, 2023 treasury shares represent 3.9% of all the Company's shares.

8. Risk management policy

Organizational model

Grenergy created the Internal Audit function in 2022 with a view to improving and protecting the value of the organization, providing assurance, advice and analysis based on risks, and ensuring independent and objective assurance, internal control, and consultation services that support the organization in effectively fulfilling its responsibilities.

Management Report for the year ended December 31, 2023

In its Policy for Management, Risk Control and Internal Audit, Grenergy describes the basic principles and general framework for the control and management of the different types of risks which affect Grenergy in the different countries in which it operates, so that the risks are identified, quantified, and managed at all times. The macroeconomic, regulatory, and business risk factors are identified in said Policy. The Audit Committee is responsible for supervising the efficacy of the Company's internal control and risk management systems, periodically reporting to the Board of Directors on their performance. Risk control and management is carried out at the corporate level with three levels of defense involving executives as well as the compliance and internal audit functions. The latter is independent of the businesses and assesses the risk status, reporting periodically to the Board of Directors thereon.

The starting point for the process is in the definition of the risk concept and identification of the main risk factors that may affect the Company. This was performed by drawing up a risk map which assesses each risk in terms of probability and impact on key management objectives and financial statements. This risk classification allows for prioritization of risks. This risk map is updated annually.

A high level risk analysis was performed with respect to corporate risks during 2023. The main executives of the different areas in Grenergy individually reflected on the risks faced by Grenergy on a daily basis, subsequently aligning and agreeing on the risks identified to rank them in order of priority and relevance. We had the opportunity to discuss the most relevant risks during the year, such as talent management, supply chain risks, or project management risks.

Within the Risk Management System, the business and support units must function as the first line of defense: they are responsible for adequately identifying and quantifying the risks which affect them, as well as implementing the procedures and controls necessary for reasonable mitigation of said risks. These risks include tax risks and risks related to ESG criteria.

Internal Audit, which is independent of the businesses, performs reviews regarding the functioning of the Group's processes and activities as well as regarding the adequacy and effectiveness of the controls established by the different business units.

The business and support areas which manage risk to achieve organizational objectives:

They direct and guide actions and resources in order to achieve the organization's objectives, including management of the risks that affect them,
establish and maintain appropriate structures and processes for management of operations and risk, and
they are responsible for compliance with legal, regulatory, and ethical expectations in their respective areas.

The Compliance Committee is responsible for carrying out all necessary actions for the correct implementation and functioning of the Crime Prevention System, as well as its monitoring. It must likewise promote and supervise the degree of implementation with regard to regulatory requirements, both internal and external, within the group, participating in the clarification of potential non-compliance issues that are reported through the established communication channels.

Management Report for the year ended December 31, 2023

Internal Audit independently assesses the risk status, reporting periodically to the Board of Directors thereon.

9. Average supplier payment period

In compliance with Law 31/2014 of December 3, modifying the third additional provision, "Disclosure requirements," of Law 15/2010 of July 5, the Company declared an average supplier payment term of 30.35 days.

10. Proposed appropriation of profit

The results obtained during the year by Grenergy Renovables, S.A. amount to 50,811 thousand euros, which will be allocated entirely to voluntary reserves.

11. Annual Corporate Governance Report

The Annual Corporate Governance Report for 2023 is attached as an appendix to this Management Report and forms an integral part thereof, as required by article 538 of the Spanish Corporate Enterprises Act.

12. Annual Report on Remuneration for Directors

The Annual Report on Remuneration for Directors, which forms a part of this management report as required by article 538 of the Spanish Corporate Enterprises Act, is presented in a separate document that can be accessed at the website of the Spanish National Securities Market Commission (CNMV in its Spanish acronym).

13. Non-financial statement

The statement of non-financial information, referred to in article 262 of the Spanish Corporate Enterprises Act and article 49 of the Commercial Code, is presented in a separate report known as the non-financial statement. The consolidated non-financial statement for Grenergy Renovables, S.A. and its subsidiaries corresponding to FY 2023 expressly states that the information contained therein forms a part of this Management Report. Said document will be subject to verification by an independent verification service provider and is subject to the same criteria for approval, filing, and publication as this Management Report.

Management Report for the year ended December 31, 2023

14. Events after the reporting period

15. Final considerations

We would like to thank our clients for their confidence in our business, our strategic suppliers and partners with whom we have been working for their constant support, our investors who have deposited their trust in Grenergy since its shares were listed, and, especially, the collaborators and employees of this Group, as without their efforts and dedication it would have been difficult to reach the objectives set or achieve the results obtained.

Authorization of the financial statements and management report

The financial statements and management report for FY 2023 were authorized for issue by the Board of Directors of GRENERGY RENOVABLES, S.A. in its meeting on February 27, 2024, for the purpose of submission for verification by the auditors and subsequent approval by the shareholders in general meeting.

Ms. Lucía García Clavería is authorized to sign all pages comprising the financial statements and management report for FY 2023.

Mr. David Ruiz de Andrés	Mr. Antonio Jiménez Alarcón
(Chief Executive Officer)	(Board Member)

__________________________ ________________________________ Mr. David Ruiz de Andrés Mr. Antonio Jiménez Alarcón

__________________________ ________________________________ Mr. Florentino Vivancos Gasset Ms. Ana Peralta Moreno (Board Member) (Board Member)

___________________________ _________________________________ (Board Member) (Board Member)

Mr. Nicolás Bergareche Mendoza Ms. María del Rocío Hortigüela Esturillo

_____________________________ _________________________________ Ms. María Merry del Val Mariátegui Ms. Ana Plaza Arregui (Board Member) (Board Member)

THE SKY IS THE LIMIT

2023 SUSTAINABILITY REPORT Growing to the Next Level

INDEX

Key figures 2023

1 Sustainable growth strategy

1.1 Regulatory framework
1.2 Business model and strategy
1.3 A success story
1.4 Main milestones 2023

Sustainable finance

2.1 Sustainable Finance

2.2 ESG Ratings

2.3 Environmental taxonomy

Responsible leadership

3.1 Governance

3.2 Compliance

3.3 Risk and opportunity management

3.4 Cybersecurity, information security and innovation
3.5 Fiscal transparency

Building a sustainable future

4.1 Biodiversity conservation

4.2 Fight against climate change

4.3 Efficient water management

4.4 Circular economy promotion

Creating shared value

5.1 Growing with our employees
5.2 Building links with our communities
5.3 Responsible supply chain management
5.4 Human Rights commitment

ANNEXES

6.1 About this report
6.2 Definition of material topics
6.3 Key indicators table
6.4 Non-financial statement content table, as per act 11/2018 and GRI content index
6.5 Principles of the UN Global Compact
6.6 Environmental taxonomy
6.7 TCFD recommendations
6.8 Verification report

CEO INTERVIEW

What is your assessment of Grenergy's performance in 2023?

In this regard, I would like to highlight the Valkyria project, the divestment process of a 1GW project portfolio in Spain that we announced at the beginning of the year, and of which I can say that we have already completed 85%. We have also recently announced the divestment of 174MW of renewable energy in Peru.

Grenergy recently announced its 2024-2026 strategic plan, what are the general objectives?

Our growth plans for the coming years are closely linked to energy storage, a technology that we consider key to making the energy transition a reality. In addition, we have also announced our installed capacity targets for 2026, which amount to 5GW solar and 4.1GWh in batteries.

We have announced a financial plan to address an investment of €2.6 billion through 2026. Our growth will be financed, in addition to the support of our banking pool, with dividends generated on the platform itself and asset rotation. Specifically, we have increased the rotation target to 350 and 450 MW per year of installed solar capacity, with which to generate more than 600 million euros by the end of the period.

dollars and, once fully operational, will supply energy to more than 145,000 homes and prevent the emission of more than 146,000 to 1990 levels, but also to achieve more than 45% share of renewable energy in the energy mix and, also, to reach the photovoltaic target of 740 GW in 2030 and to accelerate the deployment of renewable energy sources to Act (IRA). Among the objectives, the U.S. government hopes to increase the deployment of solar photovoltaic technology from the current 67GW to 1000GW by 2035, a With what actions have the pillars on which the company's ESG strategy is

In 2023, we have continued to add initiatives -and also achievements- that allow us to advance as a company in our commitment to the environment, society and our own governance. This has also been perceived by the market and we are very proud to have these lines, we have validated our near-term targets for Scope 1 and 2 in 2030, taking 2021 of life. In fact, in the last year we have generated a total of 3,500 direct and indirect jobs, contributing to the creation of wealth. The main lines of work have been: environmental education and awareness, training and generation of local employment, and the provision of affordable, non-polluting energy. The latter includes the Quillagua solar plant in Chile, built specifically so that the local community, which did not have access to the grid, could have electricity 24 hours a day; or Gran Teno, our 240 MW solar plant located in the Chilean commune of Teno, which has contributed to strengthening the electrical stability of the health center not only in that community, but also in neighboring towns such as San Rafael, El Quelmén, Villa Los Robles, Villa San Ramón and Eucalipto. Also in Chile, this time in the Maule region, the Tamango photovoltaic park generated employment opportunities for 100 people, thus contributing to local economic development. In the field of education, although also linked to the objectives of raising awareness and mitigating the effects of climate change, the Kosten scholarship has been created in Argentina to promote the study of careers related to aimed at creating long-term value and safeguarding the interests of all parties. In 2023, we have been working on gender equality policies, both within our company and within our collaborators and local institutions. Thus, we have maintained parity on the company's Board of Directors, we have increased the number of women in management positions to 39, and we have succeeded in promoting the participation of women in the construction, operation and maintenance of wind farms, traditionally occupied by men. We cannot fail to mention the demanding sustainability reporting regulations that all companies face, which oblige us to establish a rigorous, homogeneous and transparent reporting system. This is in addition to the high standards of evaluation and management of financial and non-financial risks and opportunities to which we must respond. Finally, it is worth highlighting the relevant efforts made to improve cybersecurity due to its relevance in view of the possible vulnerabilities it could entail for the company.

plan, which focuses on nothing less than perfecting the initiatives carried out in this area and establishing more ambitious commitments. Through six key dimensions for the company, such as climate change, environment, people, value chain, sustainable finance and innovation and corporate governance. Grenergy will carry out more than 100 actions in the 2024-2026 period, with which it will reinforce its leadership in ESG and maintain its position as a benchmark in the sector. Yes, we are leaders in our industry in terms of sustainability. And it's not just me saying, but many global indexes have put us in this position. From the prestigious Dow Jones, which celebrates its 25th anniversary this year, to the CDP or MSCI, and including Sustainalytics, they place us as a benchmark, which fills us with pride and for which we will undoubtedly work to maintain and even, why not, reinforce. In 2023, as a novelty, we have also been included in the IBEX ESG index, as one of the 47 listed companies that promote tion of all employees. For value-chain issues, efforts will be made to assess the suppliers in terms of ESG prior to contracting. In matters related to sustainable finance and innovation, the company expects to invest more than 90% of capital expenditure in activities aligned

Finally, in corporate governance, we aim to satisfactorily report on ESG aspects according to the CSRD, while improving the assessment and management of risks and opportunities.

The people who make up Grenergy's workforce are a fundamental part of the company's success. Our sustainability policy places our more than 420 employees at the center, and is committed to guaranteeing equal opportunities, favoring labor flexibility, fostering professional development and promoting a culture of health and safety. A good place to work is characterized by close communication and collaborative relationships based on respect, credibility and integrity of people, while at the same time promoting fairness and diversity based on impartiality, fostering the feeling and pride of belonging. Grenergy, as a global organization, demonstrates its ability to attract and retain talent, backed by the Choose My Company certification. In 2023, Grenergy was recognized worldwide with the certifications: "HappyAtWork", "WeImpactESG" and "Happ-

How does Grenergy integrate its employees into its sustainability

with the EU taxonomy.

strategy?

yIndexTrainees".

the best sustainable investments.

new ESG 2024-2026 strategy?

What are the biggest challenges of the

Recently, Grenergy has announced its 2024-2026 strategic plan, how does the company approach its ESG-focused

2023 has been the successful culmination of the sustainability roadmap we launched in 2021, focused mainly on laying the foundations and a solid foundation for the company's ESG performance. From this privileged position, Grenergy now faces a new strategic

growth strategy?

renewable energies.

What about governance issues?

During this fiscal year, we will work on a new validation for the most ambitious reduction targets, aligned with our net zero to 2040 strategy, with which we are ten years ahead of European and national commitments such as

Regarding the restoration of natural habitats and the minimization of impacts on biodiversity, Grenergy conducts comprehensive environmental assessments prior to any project definition and design. In addition, in 2023 we have implemented several notable concrete measures such as the rescue and relocation of wildlife at the Gran Teno solar plant in Chile, the compensation plan at the Tucanes solar park in Colombia, and the rescue and relocation of Violets at the Condor photovoltaic project in Chile. We also carried out lizard rescue and relocation efforts, as well as the cultivation of aromatic plants and soil improvement at the San Miguel de Allende solar park in Mexico.

In the social sphere, we are fully aware of the impact we leave in the communities where we carry out our operations, and we strive to generate a positive social impact. In 2023, Grenergy's commitment to local communities has been manifested through concrete initiatives that seek to generate shared value and contribute to improving people's quality

as the base year.

the EU Green Deal and PNIEC.

What about social issues?

In general terms, as a company we feel responsible for contributing to building a greener future, which is why we have made it a strategic priority to adopt urgent measures to combat climate change and its effects and to promote the sustainable use of terrestrial ecosystems, combat desertification and halt

With respect to climate change mitigation, Grenergy's own business model plays a key role in driving the transition to a fossil-free energy system, with the aim of effectively reducing greenhouse gas emissions into the atmosphere. By 2023, through the generation of renewable electricity from our projects, we will avoid the emission of more than 325,400 tCO2e. This amount translates into the annual emissions associated with the energy consumption of

But we are going further, and have joined the SBTi initiative, which validates emission reduction targets based on science. Along

based materialized in 2023?

been included in different indexes.

And, specifically, with respect to

the loss of biodiversity.

environmental issues?

more than 333,200 households.

739 billion and authorize US\$369 billion in expenditures associated with energy security and climate change. Chile, a key market for the company, has also shown its concern as a country highly vulnerable to the effects of climate change and, through the law known as Chile's Climate Change Framework, seeks a 45% reduction in greenhouse gas emissions by 2030 and carbon neutrality by 2050.

In the specific case of Grenergy, this year marked the successful consolidation of our 2021-2023 plan, which laid the foundations for our performance in this area. During this period, milestones have been achieved, such as the issuance of the first green bond program in 2021, the creation of an internal monitoring procedure for ESG indicators in 2022, or the first third-party verification of the Sustainability Report in 2023. These are just a few examples that highlight our commitment to making sustainability the transversal axis of the entire business. 2023 was also the time to design the company's sustainable future, which is set out in our Sustainability Strategy 2024-2026. With it in hand, we can proudly say that ESG aspects are at the heart of Grenergy.

project that is expected to raise

What is your assessment of the company's sustainability strategy in

2023?

How do these commitments translate

Paris Agreement on climate change.

where Grenergy operates?

present.

What is the sustainability regulatory framework like in other key markets

Very similar levels of commitment are being achieved in all the areas in which Grenergy is

The United States, for example, is planning the largest investment in its history to address climate change and accelerate the energy transition, as set out in the Inflation Reduction

The European commitment is of no use if it is not transposed to the national level of each of its members. In this sense, the EU urges each country to design their respective national roadmaps that contribute to the achievement of the common objective. In the case of Spain, they have been embodied in the Strategic Framework for Energy and Climate, and its subsequent implementation through the National Integrated Energy and Climate Plan (PNIEC) 2021-2030. Its goals are none other than to comply with the pacts assumed by the country within the framework of the European Union and the

69% by the same date.

into the national context?

Turning to sustainability, what is your assessment of global progress on

leave behind the use of fossil fuels.

ments and infrastructures.

this decade.

Despite the criticisms launched from some quarters and the need expressed by others to accelerate the implementation of measures, the fact is that decisions continue to be taken and commitments made by international institutions. In this regard, it is important to highlight the milestone achieved during the COP28 in Dubai, where all participating countries agreed for the first time to

And with this same objective on the horizon, there is the commitment promoted by the International Energy Agency (IEA) and the European Union to no less than triple the installation of renewable energies by 2030. This inevitably entails a firm commitment to energy trans- formation that will entail a qualitative and quantitative leap in invest-

Moreover, at the European level, we must remember that the Green Pact aims to make Europe climate neutral by 2050 and that the planned economic effort is expected to reach one trillion euros of investment over

The challenge is to reduce greenhouse gas emissions by at least 55% by 2030, compared

tons of CO2.

sustainability in 2023?

Also, in ESG terms, the new sustainability strategy 2024-2026 has been announced, which will focus on improving our performance in environmental, social and governance issues.

Why is Grenergy betting on storage?

Storage is our major commitment between now and 2026 because it is a technology that, on the one hand, provides flexibility in energy management, reducing the risk of solar cannibalization and, on the other hand, provides us with even higher returns than those traditionally obtained from solar energy. To boost storage in the coming years, we plan to invest EUR 800 million. Our Oasis de Atacama project in Chile, which we presented at the successful Capital Markets Day in November, is the world's largest battery project with a capacity of 4.1 GWh and around 1GW solar. We will invest up to 1,400 million

dollars and, once fully operational, will supply energy to more than 145,000 homes and prevent the emission of more than 146,000 tons of CO2.

Turning to sustainability, what is your assessment of global progress on sustainability in 2023?

What is your assessment of Grenergy's

and exponential growth of Grenergy.

Grenergy recently announced its 2024-2026 strategic plan, what are the

general objectives?

in batteries.

2023 has been a very positive year for Grenergy. We are very satisfied with the evolution of the business in our three geographic platforms: Latin America, Europe and the United States, through the sale of energy, the increase in our production and the rotation of different assets. Throughout the year we have achieved historical figures in our results, which reflect the consolidation of our business and demonstrate the acceleration We have announced a financial plan to address an investment of €2.6 billion through 2026. Our growth will be financed, in addition to the support of our banking pool, with dividends generated on the platform itself and asset rotation. Specifically, we have increased the rotation target to 350 and 450 MW per year of installed solar capacity, with which to generate more than 600 million

Also, in ESG terms, the new sustainability strategy 2024-2026 has been announced, which will focus on improving our performance in environmental, social and gover-

Why is Grenergy betting on storage? Storage is our major commitment between now and 2026 because it is a technology that, on the one hand, provides flexibility in energy management, reducing the risk of solar cannibalization and, on the other hand, provides us with even higher returns than those traditionally obtained from solar energy. To boost storage in the coming years, we plan to invest EUR 800 million. Our Oasis de Atacama project in Chile, which we presented at the successful Capital Markets Day in November, is the world's largest battery project with a capacity of 4.1 GWh and around 1GW solar. We will invest up to 1,400 million

euros by the end of the period.

nance issues.

performance in 2023?

The challenge is to reduce greenhouse gas emissions by at least 55% by 2030, compared to 1990 levels, but also to achieve more than 45% share of renewable energy in the energy mix and, also, to reach the photovoltaic target of 740 GW in 2030 and to accelerate the deployment of renewable energy sources to 69% by the same date.

How do these commitments translate into the national context?

In the case of Spain, they have been embodied in the Strategic Framework for Energy and Climate, and its subsequent implementation through the National Integrated Energy and Climate Plan (PNIEC) 2021-2030. Its goals are none other than to comply with the pacts assumed by the country within the framework of the European Union and the Paris Agreement on climate change.

What is the sustainability regulatory framework like in other key markets where Grenergy operates?

Very similar levels of commitment are being achieved in all the areas in which Grenergy is present.

The United States, for example, is planning the largest investment in its history to address climate change and accelerate the energy transition, as set out in the Inflation Reduction Act (IRA). Among the objectives, the U.S. government hopes to increase the deployment of solar photovoltaic technology from the current 67GW to 1000GW by 2035, a project that is expected to raise

What is your assessment of the company's sustainability strategy in 2023?

With what actions have the pillars on which the company's ESG strategy is

Finally, in corporate governance, we aim to satisfactorily report on ESG aspects according to the CSRD, while improving the assessment and management of risks and opportunities.

How does Grenergy integrate its employees into its sustainability

with the EU taxonomy.

strategy?

yIndexTrainees".

the best sustainable investments.

new ESG 2024-2026 strategy?

What are the biggest challenges of the

Recently, Grenergy has announced its 2024-2026 strategic plan, how does the company approach its ESG-focused

growth strategy?

renewable energies.

What about governance issues?

as the base year.

the EU Green Deal and PNIEC.

What about social issues?

But we are going further, and have joined the SBTi initiative, which validates emission reduction targets based on science. Along

based materialized in 2023?

been included in different indexes.

And, specifically, with respect to

the loss of biodiversity.

environmental issues?

more than 333,200 households.

With what actions have the pillars on which the company's ESG strategy is based materialized in 2023?

project that is expected to raise

What is your assessment of the company's sustainability strategy in

2023?

How do these commitments translate

Paris Agreement on climate change.

where Grenergy operates?

present.

What is the sustainability regulatory framework like in other key markets

Very similar levels of commitment are being achieved in all the areas in which Grenergy is

The United States, for example, is planning the largest investment in its history to address climate change and accelerate the energy transition, as set out in the Inflation Reduction

69% by the same date.

into the national context?

Turning to sustainability, what is your assessment of global progress on

leave behind the use of fossil fuels.

ments and infrastructures.

this decade.

The challenge is to reduce greenhouse gas emissions by at least 55% by 2030, compared

tons of CO2.

What is your assessment of Grenergy's

and exponential growth of Grenergy.

Grenergy recently announced its 2024-2026 strategic plan, what are the

general objectives?

in batteries.

Also, in ESG terms, the new sustainability strategy 2024-2026 has been announced, which will focus on improving our performance in environmental, social and gover-

euros by the end of the period.

nance issues.

performance in 2023?

sustainability in 2023?

And, specifically, with respect to environmental issues?

But we are going further, and have joined the SBTi initiative, which validates emission reduction targets based on science. Along these lines, we have validated our near-term targets for Scope 1 and 2 in 2030, taking 2021 as the base year.

What about social issues?

The main lines of work have been: environmental education and awareness, training and generation of local employment, and the provision of affordable, non-polluting energy. The latter includes the Quillagua solar plant in Chile, built specifically so that the local community, which did not have access to the grid, could have electricity 24 hours a day; or Gran Teno, our 240 MW solar plant located in the Chilean commune of Teno, which has contributed to strengthening the electrical stability of the health center not only in that community, but also in neighboring towns such as San Rafael, El Quelmén, Villa Los Robles, Villa San Ramón and Eucalipto. Also in Chile, this time in the Maule region, the Tamango photovoltaic park generated employment opportunities for 100 people, thus contributing to local economic development. In the field of education, although also linked to the objectives of raising awareness and mitigating the effects of climate change, the Kosten scholarship has been created in Argentina to promote the study of careers related to renewable energies.

What about governance issues?

Corporate governance is the cornerstone on which the implementation of the sustainability strategy is based. Grenergy is firmly committed to the establishment of a transparent and efficient corporate governance system, aimed at creating long-term value and safeguarding the interests of all parties. In 2023, we have been working on gender equality policies, both within our company and within our collaborators and local institutions. Thus, we have maintained parity on the company's Board of Directors, we have increased the number of women in management positions to 39, and we have succeeded in promoting the participation of women in the construction, operation and maintenance of wind farms, traditionally occupied by men. We cannot fail to mention the demanding sustainability reporting regulations that all companies face, which oblige us to establish a rigorous, homogeneous and transparent reporting system. This is in addition to the high standards of evaluation and management of financial and non-financial risks and opportunities to which we must respond. Finally, it is worth highlighting the relevant efforts made to improve cybersecurity due to its relevance in view of the possible vulnerabilities it could entail for the company.

Finally, in corporate governance, we aim to satisfactorily report on ESG aspects according to the CSRD, while improving the assessment and management of risks and opportunities.

How does Grenergy integrate its employees into its sustainability

with the EU taxonomy.

strategy?

yIndexTrainees".

the best sustainable investments.

new ESG 2024-2026 strategy?

What are the biggest challenges of the

Recently, Grenergy has announced its 2024-2026 strategic plan, how does the company approach its ESG-focused growth strategy?

dollars and, once fully operational, will supply energy to more than 145,000 homes and prevent the emission of more than 146,000

to 1990 levels, but also to achieve more than 45% share of renewable energy in the energy mix and, also, to reach the photovoltaic target of 740 GW in 2030 and to accelerate the deployment of renewable energy sources to Act (IRA). Among the objectives, the U.S. government hopes to increase the deployment of solar photovoltaic technology from the current 67GW to 1000GW by 2035, a With what actions have the pillars on which the company's ESG strategy is

Recently, Grenergy has announced its 2024-2026 strategic plan, how does the company approach its ESG-focused

growth strategy?

renewable energies.

What about governance issues?

as the base year.

the EU Green Deal and PNIEC.

What about social issues?

But we are going further, and have joined the SBTi initiative, which validates emission reduction targets based on science. Along

based materialized in 2023?

been included in different indexes.

And, specifically, with respect to

the loss of biodiversity.

environmental issues?

more than 333,200 households.

project that is expected to raise

What is your assessment of the company's sustainability strategy in

2023?

How do these commitments translate

Paris Agreement on climate change.

where Grenergy operates?

present.

What is the sustainability regulatory framework like in other key markets

Very similar levels of commitment are being achieved in all the areas in which Grenergy is

The United States, for example, is planning the largest investment in its history to address climate change and accelerate the energy transition, as set out in the Inflation Reduction

69% by the same date.

into the national context?

Turning to sustainability, what is your assessment of global progress on

leave behind the use of fossil fuels.

ments and infrastructures.

this decade.

The challenge is to reduce greenhouse gas emissions by at least 55% by 2030, compared

tons of CO2.

What is your assessment of Grenergy's

and exponential growth of Grenergy.

Grenergy recently announced its 2024-2026 strategic plan, what are the

general objectives?

in batteries.

Also, in ESG terms, the new sustainability strategy 2024-2026 has been announced, which will focus on improving our performance in environmental, social and gover-

euros by the end of the period.

nance issues.

performance in 2023?

sustainability in 2023?

What are the biggest challenges of the new ESG 2024-2026 strategy?

Grenergy takes a holistic view of sustainability. In climate change, we want to become a carbon neutral company by 2040, i.e. a decade ahead of the target set by Europe. In the environmental area, we have set ourselves the short- and medium-term goal of achieving a positive biodiversity footprint, while in people we want to reinforce the inclusion of key ESG elements in the variable compensation of all employees. For value-chain issues, efforts will be made to assess the suppliers in terms of ESG prior to contracting. In matters related to sustainable finance and innovation, the company expects to invest more than 90% of capital expenditure in activities aligned with the EU taxonomy.

Finally, in corporate governance, we aim to satisfactorily report on ESG aspects according to the CSRD, while improving the assessment and management of risks and opportunities.

How does Grenergy integrate its employees into its sustainability strategy?

A good place to work is characterized by close communication and collaborative relationships based on respect, credibility and integrity of people, while at the same time promoting fairness and diversity based on impartiality, fostering the feeling and pride of belonging. Grenergy, as a global organization, demonstrates its ability to attract and retain talent, backed by the Choose My Company certification. In 2023, Grenergy was recognized worldwide with the certifications: "HappyAtWork", "WeImpactESG" and "HappyIndexTrainees".

KEY FIGURES 2023

SUSTAINABLE GROWTH 01 STRATEGY

REGULATORY FRAMEWORK

BUSINESS MODEL AND STRATEGY

A SUCCESS STORY

MAIN MILESTONES 2023

REGULATORY FRAMEWORK

1.1.1 ENERGY REGULATORY CONTEXT

SPAIN:

1.1

National Energy and Climate Integrated Plan (PNIEC 2021-2030)

Spain's National Integrated Energy and Climate Plan 2021-2030, integrated into the Strategic Energy and Climate Framework, is a comprehensive roadmap that reflects the country's commitment to decarbonization, energy efficiency and the promotion of renewable energies to address the challenges of climate change and move towards a more sustainable future. In this sense, it seeks to integrate at the national level the energy and climate policies determined by the European Union.

In this context, their preparation is a requirement of the European Union regulations, which require the development of a National Plan for each Member State to achieve the agreed energy and climate objectives. The PNIECs submitted by each Member State will help the Commission to determine the degree of joint compliance and the establishment of actions for the correction of possible deviations.

The main objective of the PNIEC is to comply with the commitments assumed by Spain within the framework of the European Union and the Paris Agreement on climate change. These are about:

Just Transition Strategy

The Just Transition Strategy, also included in the Strategic Energy and Climate Framework, mainly seeks to maximize the social gains of the ecological transformation and mitigate negative impacts, following the guidelines of the International Labor Organization (ILO) and the recommendations of the Paris Agreement.

EUROPE:

REPowerEU

In 2022, the European Commission presented the REPowerEU Plan with the aim of transforming the European energy system, accelerating the transition to clean energy and strengthening energy security. The plan includes measures such as energy savings, supply diversification and rapid substitution of fossil fuels. It is proposed to increase the renewable energy target for 2030 to 45%, with a focus on solar energy. The plan requires an investment of €210 billion and has financial support from the Recovery and Resilience Mechanism.

The package of measures aims to reduce net greenhouse gas emissions by at least 55 % by 2030 and to achieve climate neutrality by 2050.

REPowerEU seeks effective coordination between European and national measures, investments, reforms and an interconnected energy network. Collaboration between Member States is essential to make the phasing out of dependence on Russia feasible and affordable.

European Green Deal

The global energy sector is undergoing a profound transformation process, in which renewable energies are a key element to accelerate the energy transition and thus achieve the climate neutrality goals that organizations, countries and regions are setting for themselves. The EU Green Deal (2020) aims to make Europe climate neutral by 2050, mobilizing at least 1 trillion euros in sustainable investment over the next 10 years.

Its main objectives are:

To ensure that Europe is a pioneer of industrial innovation and clean technology, the Green Pact Industrial Plan will rest on four pillars: predictable and simplified regulatory framework, faster access to finance, improved skills and open trade for resilient supply chains.

USA:

IRA

The United States, in its fight against inflation and deficit reduction, also seeks to reduce its emissions in half by 2030. In August 2022 it passed the Inflation Reduction Act (IRA) to accelerate the energy transition and boost clean energy. The act represents the largest investment to address climate change in the country's history.

The government's solar PV technology deployment target aims for an increase from the current 67 GW to 1000 GW by 2035.

GHG emissions -45% in 2030

Investment associated with energy security and climate change 369 MM USD

1000 GW

Solar photovoltaic technology in 2035

CHILE:

LAW 21455-framework law on climate change

Chile is a country highly sensitive to climate change and Law 21455, known as Chile's Climate Change Framework, published in 2021, aims to address the climate change challenges it faces. This legislation sets significant targets such as a 45% reduction in greenhouse gas (GHG) emissions by 2030 and carbon neutrality by 2050. It also encourages the use of renewable energies and the phasing out of fossil fuels, as well as the protection of biodiversity and ecosystems.

Retirement and/or Conversion Plan for Coal-Fired Units

The plan to retire and reconvert coal units in Chile seeks to reduce dependence on coal energy, replacing these plants with cleaner and renewable sources. It includes the progressive closure of coal plants and the transition to energy sources such as solar, wind and hydroelectric. This process is aligned with sustainability and climate change mitigation objectives, promoting the decarbonization of the Chilean energy sector.

Achieving zero net GHG 100% emissions by 2050

1.1.2 ESG REGULATORY CONTEXT

Climate Change and Energy Transition Act (PNIEC 2021-2030)

In 2019, the Strategic Energy and Climate Framework was presented, which includes an essential regulatory and legal framework to achieve the decarbonization of the Spanish economy in line with European Union regulations. This framework includes, among others, the Climate Change and Energy Transition Law, explained below, the National Energy and Climate Plan and the Just Transition Strategy explained in the previous section.

The Climate Change and Energy Transition Law was approved in 2021 and its main objective is to reduce greenhouse gas emissions, promote the transition to renewable energies and promote sustainable practices in various economic sectors. Its implementation reflects a governmental commitment to address environmental impacts and promote more sustainable development. It is an essential regulation for the decarbonization of the Spanish economy.

CNMV Recommendations

The CNMV's Recommendations seek to promote transparency and quality in the disclosure of non-financial information, allowing companies to communicate in a transpa-

rent and transparent manner.

effectively their performance in environmental, social and corporate governance areas. They mainly affect companies subject to Non-Financial Information Reporting (NFR) in Spain.

These include the importance of a clear definition of the perimeter and scope of the Non-Financial Information Report (NFR), greater detail in the business model, including objectives and relationship with non-financial issues, as well as a double materiality approach. Additionally, it is urged to improve the presentation of environmental impacts and follow TCFD recommendations. Finally, more detail on policies and preventive actions for corruption and bribery and a detailed risk analysis on human rights and society.

Human Rights and Environmental Due Diligence Directive

The Human Rights and Environmental Due Diligence Directive aims to promote sustainable and responsible business behavior by implementing specific measures to identify, prevent and mitigate actual and potential adverse effects on the environment and human rights of their own activities, the activities of their subsidiaries and the activities in the value chain of entities with which they have an established business relationship. This Directive will affect large companies in the European Union, but it also includes supporting provisions for all organizations, including SMEs.

The national administrative authorities

designated by the Member States shall be responsible for supervising compliance of these

standards, with the ability to

impose fines in the event of non-compliance. With this Directive, the requirements will be increased, toughening sanctions and the recognition of damages, bans and limitations. In short, these measures will seek to establish an aligned regulatory basis in all member states to promote ethical and sustainable practices in all business operations.

Environmental taxonomy

The European Green Pact emerged as a growth strategy to transform the European Union into an equitable and prosperous society with an efficient, modern and competitive economy, achieving net zero greenhouse gas emissions by 2050.

To meet these objectives, the European Union established a regulatory framework that incorporates the Sustainable Finance Action Plan. This plan has three main goals: to redirect capital flows toward sustainable investments, to manage financial risks related to climate change and other environmental and social aspects, and to promote transparency and a long-term approach to financial and economic activities.

To achieve the first goal, the Taxonomy Regulation (EU) 2020/852, adopted on June 18, 2020 , was created by the Euro-

pean Parliament and the Council. This initiative is complementary to the Corporate Sustainability Reporting Directive (CSRD) and other regulations that seek to promote more sustainable financial practices. It is a rating system designed to encourage private investment in sustainable growth and contribute to a climate-neutral economy. Grenergy's taxonomic eligibility, alignment and methodology exercise will be addressed in chapter 2.3.

CSRD

The Corporative Sustainability Repor ting Directive (CSRD) is the new standard at the international level.

The European Union's Sustainability Reporting Framework Directive (CSRD), which replaces the former Non-Financial Reporting Directive (NFRD) and which will be in force from 2024, with a staggered entry, for the disclosure of information on the sustainability of companies in the European Union. In the national context, the Instituto de Contabilidad y Auditoría de Cuentas (ICAC) is the body in charge of transposing the CSRD in Spain.

The objective of the CSRD is to strengthen and broaden the scope of sustainabili ty reporting requirements, covering a greater number of companies subject to the reporting obligation. It seeks to standardize reporting to ensure reliable, com parable and accessible information, responding to current information demands. Some of the main new features are double materiality, disclosure of sustainability objectives and targets, impact, risk and opportunity analysis (IRO), new topics, man datory independent verification and alignment with other European standards (SFDR, Taxonomy, Coporate Due Diligence Directi- ve, GRI and ISSB).

standards for corporate reporting. The European Sustainability Reporting Standards (ESRS) are the proposed CSRD

The results of the EFRAG ("European Financial Repor ting Advisory Group") working group have been used as a basis for the preparation of this report.

Through these standards The EU is pursuing greater harmonization and efficiency in the dissemination of sustainability information

1.2 BUSINESS MODEL AND STRATEGY

Our business model is sustainable and contributes fully to the advancement of energy transition

1.2.1 BUSINESS MODEL

Grenergy is an independent power producer (IPP) that integrates the development, construction, operation and maintenance of large-scale renewable energy plants, achieving, as a consequence of such integration, maximum control over the processes and the reduction of investment costs, operational expenses, project quality, environmental and social impacts of the plants and their mitigation. Our activities consist in the search for viable projects, both financially and technically, construction management and project start-up. In addition, Grenergy performs asset management, operation and maintenance, both for its own projects, as IPP, and for third party projects. In addition, the company incorporates in-house teams dedicated to structured financing, M&A transactions and the negotiation of Power Purchase Agreements (PPAs).1

Independent and integrated power producer Grenergy has extensive experience in the construction and operation of large-scale renewable energy plants

Thanks to the support of global teams:

Sale of energy Establishment of PPAs Structured financing

M&A Asset turnover

A business model that drives value creation for all:

Accelerating the growth of renewable energy generation activities
Diversifying our geographic presence
Betting on new technologies
Meeting the expectations of our stakeholders
Driving sustainability throughout the company

¹ Power Purchase Agreement: is a long-term power purchase agreement or contract between a renewable developer and a consumer.

1.2.2 STRATEGY

Accelerating the growth of renewable activities

Grenergy already has 1.8 GW and 1.0 GWh of projects in operation and under construction, and a pipeline of 15.3 GW of solar projects at different stages of development in 12 countries. In 2023, the company has continued to invest in an additional pipeline of storage projects reaching 11 GWh.

The key growth strategies for the next three years are as follows:

Strengthen growth in the United States and key European markets.
Lead the installation of energy storage projects.

All this makes it possible to set ambitious targets for 2026:

Sum of projects of all phases (including in operation). Assets in operation and under construction. The difference between gross and net is the asset turnover.

Grenergy's installed capacity target for 2026 is to achieve 5GW gross from solar PV and 4.1GWh gross from storage in operation and construction

PORTFOLIO BY GEOGRAPHIC PLATFORM

Diversifying our geographic presence

Since its creation in 2007, the company has experienced exponential growth. In 2013, Grenergy shifted its growth strategy to Latin America, becoming a leading company in Chile, and continued its expansion to other countries in the region such as Colombia, Argentina and Peru, among others. In recent years, Grenergy has implemented a strategy of geographic diversification in three platforms, Latam, Europe and the United States. The company is already present in Europe's most strategic markets, such as Italy, the United Kingdom, Poland, Romania and, as of June 2022, also in Germany. In 2022, Grenergy acquired 40% of the U.S. solar developer Sofos Harbert, based in Birmingham (Alabama), and in early 2023 the transaction was completed to reach 100%. This consolidates the company's entry into the world's largest and booming renewable energy market, the United States, which forecasts an increase in solar photovolt a i c deployment to 61 GW.

Grenergy continues to implement diversification strategy on three platforms: Europe, Latin America and the

to 1,000 GW by 2035. The company already has a presence in 12 countries, maintains its headquarters in Madrid and c o o r d i n a t e s Latin American operations from its Santiago de Chile office.

11.3GWh

Betting on new technologies

The company considers the positioning in storage technology as a trend and key factor in the evolution of the business in the coming years and has incorporated specialized senior talent to its team to drive its development. Grenergy already has a pipeline of 11 GWh of battery projects in Latam, Europe and the United States and has recently updated the publication of its objectives at the Capital Markets Day, announcing its growth plans, closely linked to its strategic commitment to energy storage, which is key to progress in the decarbonization of the energy system for a green and sustainable future. In this regard, an investment of €800 million has been announced in BESS.

Chile will be key to the company's growth in the field of storage, as construction has already begun in the north of the country on the project known as Oasis Atacama, the largest battery project in the world with a capacity of 4.1 GWh (and 1GW solar). Grenergy will invest in this initiative, which is divided into five phases, a total of

1.4 billion (Solar + BESS). It is scheduled to come online in phases over the next 36 months, helping to improve grid stability and help the economy achieve 3GWh of storage projects in operation and under construction by 2026.

Thanks to the Oasis Atacama project, the largest storage project in the world, Grenergy has set its sights on 3GWh of storage projects in operation and under construction by 2026 by investing €800M in BESS

Understanding the expectations of our stakeholders makes it possible for us, within the framework of responsible governance, to assume solid environmental, social and economic commitments

Meeting the expectations of our stakeholders

Grenergy seeks to maintain a relationship of trust based on the creation of shared value with all its stakeholders. Our Sustainability Policy reflects this commitment with the understanding that this requires fluid and transparent communication. Thus, continuous dialogue is part of our daily work, based on each of the interactions with our stakeholders, for which we have established different communication channels and tools that cover our main stakeholders.

STAKEHOLDERS	MAIN DIALOGUE CHANNELS
Shareholders and investment community	Periodic meetings, conferences, roadshows and presenta tions of results. In addition, the website contains the proce dures for voting at the General Shareholders' Meeting, as well as all the relevant information that is continually being added to keep all the information updated and easily accessible.
Power purchase customers and landowners	Quarterly follow-up meetings, site visits and support through explanatory documents adapted to the peculiarities of each market. The objective is to ensure maximum transparency.
Employees	Development of events to facilitate networking and the transmission of corporate information to all employees. 5.1. Growing with our employees
Suppliers	Meetings, training sessions, questionnaires, environmental engagement and site visits. 5.3. Responsible supply chain management

STAKEHOLDERS	MAIN CHANNELS OF DIALOGUE
Local communities and vulnerable groups	Meetings with associations, leaders and local communities, opening of communication channels: web forms, e-mails, telephones and/or suggestion boxes. 5.2. Building links with our communities
Public administrations and regulatory agencies	Participation in industry associations, meetings, events and visits
Influence groups (analysts, media, NGOs, etc.)	Presentations, events, meetings, informative videos and interviews with local and national groups, implementation of a communication area within the company with full dedica tion to maintain a fluid relationship with the media
Society in general	We use all the channels at our disposal in a bidirectional way: web, social networks, events, etc. We communicate our business actions to society, with the aim of being transparent, and to push for a change in social awareness towards the concepts of sustainability. We develop video campaigns as a loudspeaker for local community development initiati ves. As well as, local websites adapted to the language and needs in order to expand the information of interest to each market.

Maintaining a fluid relationship with our stakeholders helps us to identify real or potential impacts and to strengthen these links, which in turn is a risk management and mitigation tool.

In addition to the channels, Grenergy reinforces its commitment to stakeholders and to safeguarding two-way communication by establishing a whistleblower channel through which stakeholders can securely submit their reports, concerns, complaints or questions.

Grenergy holds quarterly feedback meetings with its customers to enable them to communicate their complaints, claims or concerns. In addition, access controls and compliance with basic health and safety measures (PPE, instructions and measures to be taken in the event of unforeseen events, etc.) are carried out for visits to our facilities. In terms of customer satisfaction, we hold regular meetings with 100% of our main customers and, through the country's electricity system, we receive satisfactory compliance with the quality of the energy produced.

Sector associations

Grenergy is an active member of various industry associations in the countries in which it operates and, in 2023, contributed €74,559 for membership, participation in forums and training activities.

	Association of the solar photovoltaic sector in Spain (UNEF)
SPAIN	Spanish Association of Batteries and Energy Storage (AEPIBAL)
	Secartys (Association for the Promotion of electronics, ICT, energy and applied smart technologies)
	Spanish Hydrogen Association (EAH2)
ITALY	Association of companies in the Italian electricity sector (Electricitta Futura)
	RIP Rivista Italiana Petrolio Srl
	Associazione Italiana Agrivoltaico Sostenibile
MEXICO	AIAS Spanish Chamber of Commerce AC
	Spanish chamber of commerce
GERMANY	Bundesverband Neue Energiewirtschaft e.V.
	Berufsgenossenschaft Energie Textil Elektro Medienerzeugnisse
PERU	Peruvian Renewable Energy Company (SPR)
CHILE	Chilean Association of Renewable Energies and Storage (ACERA)
	Chilean Solar Energy Association (ACESOL)
	ACEN (Association of marketing companies)
	Spanish Chamber of Commerce in Chile
	Chilean Hydrogen Association (H2 Chile)
COLOMBIA	Renewable Energy Association of Colombia (SER Colombia)

In addition, Grenergy has a Political Neutrality Policy in which the company is committed to political neutrality, i.e., donations, sponsorships or other contributions without consideration to political parties, or political offices, or individuals who are members of parties, or organizations related to any of these, are prohibited. In this sense, no direct or indirect political contributions have been made during 2023.

Investment community

Our objective is to continually strengthen our relationship with our investors by seeking opportunities for dialogue to better understand our corporate strategy, challenges and progress toward operational goals. We detail financial, operational and ESG information on a quarterly basis in the company's earnings presentations, explaining it at the various investor events in which we participate.

Grenergy has been recognized in the 2nd edition of the Iberian

Equity Awards organized by the the AERI Institution with the ESG and IR awards,

"Award for the greatest improvement in ESG strategy (Small Cap category)" and "Award for the best investor relations (Small Cap category)".

Grenergy's executives have been present in different media explaining the company's strategy in interviews, as well as in sectorial tribunes and panels. We also publish all communications to investors and the media on our corporate website.

It should be noted that this year we held our first Capital Markets Day with the aim of conveying to the entire investment community our track record, our 2024-2026 strategic plan and the major company milestones that will take place in the coming months. The event was developed both live and streaming to reach the largest number of people and a platform was created where all the information provided at the event is collected. We have involved all our stakeholders (analysts, investors, banks, suppliers, customers, press and employees) in the strategic event, adapting the information to their needs. In addition, we developed a carbon-neutral event by establishing best practices in sustainability, such as measuring the carbon footprint produced at the event and offsetting the emissions emitted.

Throughout 2023, the company has carried out a detailed analysis of its communication strategy with the launch of new lines of action. The aim is to intensify business-related information, in addition to promoting new topics of great value for the company, such as sustainability, people and innovation. This new framework has resulted in an increase in press appearances because of greater activity both qualitatively (meetings) and quantitatively (dissemination of press releases). Thus, the total number of press releases issued was 26. On the social media side, the growth of the community stands out: in the case of Linkedin, by 22%, reaching almost 125,000 followers. It is worth highlighting the impact of more than 9 videos with content that also focus on stories of social and environmental impact of our projects in Colombia, Argentina, Peru and Spain.

All this contributes significantly to increasing Grenergy's notoriety among its main stakeholders and in society as a whole.

In 2023, the company has implemented an audiovisual communication strategy on social networks

We increased the number of followers in our networks by 22% in relation to 2022 reaching a community of almost 125,000 followers

In 2023 we celebrated our First Capital Markets Day

4 Quarterly virtual presentations of results 158 Meetings with investors 32 Events and roadshows ACTIVITY WITH INVESTORS

275 Investors contacted

ACTIVITY IN SOCIAL NETWORKS

263 Posts on Linkedin and Twitter
125,000 Followers (+22% over the previous year)
+2,000 New followers on average per month
- 9 Corporate videos

ACTIVITIES WITH THE MEDIA

26 Press releases
6 Interviews or tribunes with executives
11 Meetings with the media
18 Participation in sector panels

FOLLOW-UP WITH ANALYSTS

Driving sustainability in the company

Sustainability Strategy

We are firmly committed to sustainability as a transversal axis of the company. ESG aspects are at the heart of Grenergy. We are committed to the promotion of ESG aspects as we are confident in:

A positive impact on both the environment and the communities in the countries where we operate.
Excellent ESG performance as the foundation of our business, to be a stronger and more reliable company for our stakeholders in the long term.
Transparent access to green finance, aligned with existing rules and regulations, such as the European taxonomy of sustainable activities.

December 2023 marks the successful completion of the 2021- 2023 ESG Roadmap, a strategy focused primarily on laying the foundations and a solid foundation in ESG performance. In the three years of the plan, milestones have been achieved such as the issuance of the first green bond program in 2021, the creation of an internal monitoring procedure for ESG indicators in 2022, or the first third-party verification of the Sustainability Report in 2023, among others.

KEY ACHIEVEMENTS ESG ROADMAP 2021-2023

2021	2022	2023
Launch of the 21-23 ESG Roadmap	Calculation of the wage gap	Publication of our policy book (Human Rights, Information Security, Cybersecurity)
Creation of the Sustainability Committee	Energy efficiency and emission reduction plan	Approval of the information security policy
Adherence to the United Nations Global Compact	Sustainability report verified for the first time	First employee performance evaluation process
Issuance of the first green bond program	ESG Training	Double materiality analysis for a selection of priority topics
Approval of key policies: procurement, human rights and harassment	Approval of ESG KPIs monitoring procedure	Acquisition of a tool for the management of non-financial information
ESG Industry Top Rated by Sustainalytics	First-time development and verification of carbon footprints	Elaboration of the Net Zero Strategy (Objectives to be validated by SBTi during the next year)

The 2021-2023 ESG Roadmap

concluded successfully, having laid the foundation for Grenergy's ESG performance.

The new 2024-2026 Sustainability Strategy focuses on the company's long-term value creation, strengthening our ESG strategy

ESG strategy objectives 2023

	DEFINITION OF THE CORPORATE PURPOSE
ESG GOALS IN
GOVERNANCE	APPROVAL OF THE INFORMATION SECURITY POLICY PREPARATION OF THE SUSTAINABILITY REPORT 2022 WITH EXTERNAL VERIFICATION

OUR STRATEGY IT TOOL FOR MEASUREMENT AND MONITORING OF ESG PERFORMANCE

ESG RISKS	ELABORATION OF AN INTERNAL CLIMATE CHANGE RISKS AND OPPORTUNITIES REPORT ACCORDING TO TCFD RECOMMENDATIONS
MANAGEMENT	ESG ASSESSMENT PERFORMANCE OF A SELECTION OF SUPPLIERS

ESTABLISHMENT OF A FORMAL BENEFIT PLAN

APPROVAL OF A CORPORATE POLICY FOR DIALOGUE WITH THE COMMUNITIES

PRESENTATION OF THE EMPLOYEE PERFORMANCE EVALUATION PROCESS

PRESENTATION OF THE RESULTS OF THE WORK ENVIRONMENT SURVEYS

ESG COMMUNICATION

ESG IMPACTS

IMPLEMENTATION OF A COMPLIANCE COMMUNICATION AND TRAINING PLAN PRESENTATION OF THE NET ZERO STRATEGY INTERNAL SUSTAINABILITY TRAINING

The definition of the new Sustainability Strategy 2024-2026 has followed a working methodology based on 5 phases:

Establishment of dimensions, levers and objectives.

Double materiality analysis and analysis of the sustainability strategies of the main competitors.

Establishment of actions. Prioritization and temporality.

Analysis of trends, regulations, standards and areas for improvement detected by rating agencies.

Consensus with the management of the different areas of the company.

The design of this strategy would not have been possible without the successful collaboration of all areas of Grenergy in all countries, who have been the veins and arteries that make it possible for the company's heart to beat at the right pace.

Definition and approval by committees and the Board of Directors

Communication and training

The new sustainability roadmap is structured in 4 levels according to the degree of concreteness, distinguishing, from the lowest to the highest level of detail: dimensions, levers, objectives and actions.

STRUCTURE | 4 LEVELS

DESIGN OF THE NEW SUSTAINABILITY

STRATEGY 2024- 2026

DIMENSIONS | 6 The 6 dimensions represent the key blocks of ESG aspects, but with a unique approach. Thus, at Grenergy we present ourselves as.

Climate change fighters
Protectors of the environment
Promoters pf the best teams and people
Value chain integrators
Meeting the criteria of sustainable financing and driving innovation
Drivers of good corporate governance

The 9 critical levers out of the 17 levers were selected following the double materiality analysis, a methodology mentioned above, which considers a double impact perspective, the impact on the environment and people and the impact on financial aspects. An internal exercise was carried out, as well as an external consultation with the main stakeholders: investors, analysts, board of directors, management committee, etc., and finally resulted in the 9 priorities of the company for the next three years, which are those you can see in bold in the figure on the right: climate neutrality, biodiversity conservation, circular economy, talent retention and attraction, respect for human rights, development of local communities, green finance and global risk management. The other eight issues will also be addressed over the next three years, but those that are critical or material to the company have been prioritized. For more details on the double materiality analysis see chapter 1.3.

LEVERS | 17 (9 REVIEWS)

CLIMATE CHANGE fighters

• Climate neutrality and energy transition

Protectors of the ENVIRONMENT

Conservation and restoration of biodiversity and ecosystems
Circular economy and efficient resource management
Responsible management of water resources

Promoters of the best teams and PEOPLE

Attraction, development and retention of human capital
Respect and protection of human rights Diversity, equality and inclusion

integrators VALUE CHAIN

Contribution to the development and involvement of local communities
Sustainable supply chain
Health and safety
Customer and supplier commitment

Meeting the criteria of SUSTAINABLE FINANCING and driving INNOVATION

Economic financial performance and green financing
IR&D&I in new markets and technologies

Drivers of good CORPORATE GOVERNANCE

Transparency and responsible quality
Good governance and fair corporate conduct
Financial and non-financial risk management
Cybersecurity and information security

Once the dimensions and levers were established, specific objectives were defined for each lever. To this end, measurable, achievable and quantifiable objectives were set for the short, medium and long term. Among the 44 objectives of the 2024-2026 global strategy, the following key objectives stand out:

Finally, to ensure compliance with these objectives, a set of more than 100 actions were defined to be carried out over the next three years, some of which must be reported to the ESG department and the Sustainability Committee, while critical actions must also be reported to the Management Committee, the Appointments, Remuneration and Sustainability Committee, the Audit and Control Committee and the Board of Directors.

Like the previous Plan, the new 2024-2026 Sustainability Strategy is perfectly aligned with Grenergy's Sustainability Policy, which was approved by the Board of Directors and revised in 2021. In this way, the actions defined for each of the dimensions respond to the four foundational objectives of the Policy and strengthen the Company's performance in relation to its commitments.

The Sustainability Policy applies to all the Group's companies, including those in which Grenergy has effective control. Likewise, the Policy applies to all geographies where Grenergy develops its operations, of any nature, in any geographic area and at any stage of the corporate value chain.

In order to carry out an adequate periodic control of the implementation of the principles assumed in the Sustainability Policy, the Board relies on the Audit and Control Committee, the Appointments, Remuneration and Sustainability Committee, and the Sustainability Committee, all of which have sustainability functions as described in the relevant regulations.

The company will publicly present its annual ESG action plans, extracted from its three-year Sustainability Strategy 2024-2026, and will report on the progress of the objectives on a quarterly basis, in the corresponding results presentations and at the relevant Committees and Board of Directors.

	PUBLIC OBJECTIVES OF THE 2024 SUSTAINABILITY STRATEGY
DIMENSIONS	OBJECTIVES	Q1	Q2	Q3	Q4
Climate change	- Climate change risks and opportunities report in accordance with TCFD recommendations
Environment	- Positive Biodiversity Footprint Strategy in accordance with TNFD recommendations
People	- Development plan for the inclusion of ESG criteria in the variable compensation of all employees. Implementation as of 2025
	- Equality, Diversity and Inclusion Policy
Value Chain	- Alignment of supplier approval criteria with long-term ESG objectives
Sustainable finance and innovation	- Update of green financing framework and renewal of promissory note program
	- Gap analysis to align the reporting of non-financial information with the requirements of the CSRD and update the double materiality analysis
	- Update of the double materiality analysis in accordance with the CSRD
Corporate governance	- 2023 Sustainability Report - external verification (includes eligibility and taxonomy alignment)
	- Corporate Purpose Update
	- Update of the ESG risk map

Double materiality:

In a context increasingly focused on sustainability, Grenergy is aware of the need to update its materiality approach carried out in 2020. As proof of this, in 2023 the Materiality Analysis has been updated based on the latest regulatory standards and recommendations, particularly highlighting the recent entry into force of the CSRD. In this way, the concept of "double materiality" is integrated to align with the new regulatory requirements and thus lay the foundations for the 2024-2026 Sustainability Strategy.

Regulatory context

The European Commission introduced the term "double materiality" in 2019 in its Guidelines on reporting climate-related information. This change marked a milestone by broadening the classic perspective of materiality, incorporating both the traditional consideration of the company's impacts on the environment and people and the assessment of how material issues affect the company's own financial performance. Numerous regulatory, supervisory and reporting standards bodies are making their approach to double materiality. While the definitions of double materiality in the various initiatives are aligned, the methodologies and reporting requirements differ considerably.

The CSRD drives a fundamental shift towards double materiality. This approach requires companies to report on how sustainability affects their business from the inside out and vice versa. In response, the European Sustainability Reporting Standards (ESRS) standardize indicators, highlighting the criterion of double materiality. The Global Reporting Initiative (GRI) emphasizes the identification of material issues based on significant impacts on the Economy, Environment and People. In addition, the International Financial Reporting Standard (IFRS) and the European Securities and Markets Authority (ESMA) insist on double materiality, evaluating the effect of non-financial issues on the entity and the effect of the entity on the environment.

At the national level, the National Securities Market Commission (CNMV) stresses the importance of considering both the internal and external perspective in materiality.

Overall, this regulatory evolution reflects a shift towards a comprehensive materiality where not only environmental and social impacts are considered, but also their financial impacts on the Company, broadening the scope of simple materiality towards a double materiality and, thus, positioning itself as a critical analysis for companies to build their financial and non-financial strategies, as well as improving transparency by complying with regulations and social expectations.

Concept of double materiality

Thus, an issue is considered material if it meets the criteria of double materiality, i.e. if it is material from the impact perspective, from the financial perspective or from both perspectives.

Double materiality is the union of financial materiality and impact materiality

Financial materiality: A matter of sustainability is material from a financial perspective if it causes or may cause significant financial effects on companies, i.e. if it generates or may generate significant risks or opportunities that influence or may influence future cash flows and, therefore, the value of the company in the short, medium or long term.

Impact materiality: A matter of sustainability is material from an impact perspective if it relates to significant actual or potential impacts of the company on people or the environment in the short, medium or long term. This includes impacts directly caused or contributed to by the company in its own operations, products or services, as well as impacts that are directly related to the company's value chain (downstream or upstream).

Grenergy Methodology

Grenergy has included the dual perspective in the Company's double materiality analysis process where it combines impact materiality and financial materiality taking into consideration the most recent publications of the main international and European standards EFRAG, GRI, SASB and its own internal methodology.

1. Organizational Context: An assessment has been carried out prior to the double materiality analysis considering Grenergy's strategy and business model, its business relationships, the sustainability context and the identification of key stakeholder require ments and their impacts
2. Identification of ESG Impacts: Identification of the main ESG impacts classified by source typology according to agnostic (GRI standards, ESRS, ratings...), sectorial (bench mark peers, sectorial trend reports) and company (policies, procedures, strategy...) levels
3. Impact Materiality Analysis: Evaluation of the impacts generated on people and the environment
4. Financial Materiality Analysis: Evaluation of impacts in financial terms
5. Prioritization of impacts suffered and generated: Establishment of an impact priori tization methodology based on EFRAG and GRI standards
6. Preparation of the 2023 Material Topics List: Obtaining and prioritization of the Com pany's main material topics based on the categorization and prioritization of impacts. We have tended to a reduction approach of the material topics with respect to the previous materiality analysis highlighting the inclusion of the following material topics: "Responsible management of water resources", "Respect and protection of human rights", "Cybersecurity and information security" and "Commitment with the customer and supplier"
7. External double materiality Analysis: Involvement of our main stakeholders (funders, shareholders and investors, employees and Board of Directors, among others) to priori tize the main material issues taking into account the double perspective
8. Mathematical Weighting: Mathematical intersection in a matrix to evaluate the impor tance of material issues according to impact and financial materiality, considering the same weighting for both internal and external analysis. Obtaining the critical material issues

Grenergy's double materiality analysis has been approved by the Board of Directors. For more information on the double materiality analysis please refer to our report on our website.

Climate Neutrality and Energy Transition Conservation and restoration of biodiversity and ecosystems Circular economy and efficient consumption and waste management Responsible management of water resources Contribution to the development and involvement of local communities Diversity, equality and inclusion Health and safety Attraction, development and retention of human capital Sustainable supply chain Respect and protection of human rights Transparency and responsible taxation Financial and non-financial risk management system Good governance and fair corporate conduct Cybersecurity and information security Customer and supplier commitment Economic financial performance and green financing R&D&I in new markets and renewable technologies Environmental

















	16	12 3	5 1
14				2 9
17 11		4











		13 15	Social 8 7 Impact Materiality	Governance 6	Financial Level of critical relevance 10

EXPONENTIAL GROWTH 2016

• Numerous plants under construction in Chile and allocation of two wind farms in Peru

2018

• Grenergy becomes the most appreciated listed company on the stock exchange during 2018 (254%)

• Agreement for the sale and construction of twelve solar power plants (PMGD) of up to 270MW in Chile

2019

2017

• Increased number of PMGD plants in operation in Chile and acquisition of 24 MW of wind power in Patagonia

• Closing of financing and start of construction of wind farms in Peru and Argentina

2020

First issue of green bonds in the Alternative Fixed Income Market 50 MM€
Listing in the continuous market

2022

Presentation of growth targets to 2025: 5GW solar in construction and operation, and 1 GWh of storage
1.7 GW of installed or under construction capacity and 11.7GW of pipeline capacity
Entry into Germany with development target (3GW)
Entry into the U.S. with the purchase of 100% of solar developer Sofos Harbert
New €52.5 million green bond issue in the MARF and signing of the first green commercial risk line in the Spanish market with CaixaBank
90M€ capital increase
First time verification of the Sustainability Report
Substantial improvement in ratings: CDP A- / MSCI AAA / Sustainalytics 10.2

2021

• Commissioning of the largest solar plant to date (100MW, Quillagua, Chile) • Signing of the first PPA in Colombia for

• Total construction of 17 parks in 2020 • Approval and publication of the first

• First ESG rating issued by Sustainalytics with a score of Low Risk (13.6) • Great Place to Work Certification

120 GWh/year

Sustainability Report

Pioneer in green finance with the issuance of the first green notes program in Spain for €100 MM
Grenergy is positioned in three platforms, Europe, Latin America and the United States and a total of 10 countries
105 M€ Capital increase
Launch of the 3-year Sustainability Strategy: ESG Roadmap 2021-2023

• ESG Industry Top Rated. ESG distinction among more than 4000 companies awarded by Sustainalytics.

JANUARY

Presentation of Gran Teno PV in Chile, Grenergy's largest solar farm (240 MW)
Obtained nearly 500 MW in environmental permits for photovoltaic plants in Spain
Implementation of a tool for collecting and validating non-financial information to support the future Internal Control System for Non-Financial Information, SCIINF

MARCH

Power Purchase Agreement (PPA) signatura with LyondellBasell for a 259 MW solar project
Doubling of sales and EBITDA and a 15% increase in net income through March
Elaboration of a communication and training plan on compliance and associated risks

MAY

• Preparation of Grenergy's double materiality analysis in accordance with GRI standards

APRIL

• Validation of science-based emission reduction targets (SME Pathway) (medium and long-term) by the Science-Based Targets Initiative (SBTi) • Renewal as signatory partners of the UN Global Compact

FEBRUARY

Closing of the financing of the Belinchón solar farm with a 90 million green loan
Consolidation in the U.S. with the purchase of the remaining 60% of Sofos Harbert Renewable Energy
Inauguration of 3 solar plants of 37 MW in Colombia

• Preparation and publication of the first sustainability report for 2022 verified by an accredited third party according to the ISAE 3000 standard without reservations

JUNE

Agreement for the sale of 150 MW of operating solar power in Spain (Belinchón Plant, Valkyria Project)
Signing of a PPA in Chile for its 241 MW Gran Teno solar plant
ESG training session for Grenergy's Board of Directors, Management Committee and key personnel
Approval and publication of the Information Security Policy

Financial milestones

Non-financial milestones

JULY

• Closing of green financing for two solar parks in Chile for 148 M€

SEPTEMBER

• Signing of a PPA with Enel for the Matarani solar plant of 97 MW

Recognized for the second consecutive year as one of the most sustainable companies in the sector by the MSCI ESG Rating (AAA)
Approval and publication of the Corporate Policy on Dialogue with Local Communities

NOVEMBER

First Capital Markets Day 2023. Presentation of the new strategy for the next three years, as well as 2023 objectives and the start of construction of the Oasis de Atacama project, the largest battery project in the world
Climate change risk and opportunity analysis aligned with TCFD recommendations
Approval of Sustainability Strategy 2024-2026

OCTOBER

Sale of 300MW solar to Allianz Group in Spain for more than €270M marking a new milestone in Valkyria project
Recognized as one of the 250 most sustainable companies in the world by Sustainalytics, with a negligible ESG risk category (9.7)
Inclusion of Grenergy in the IBEX ESG Index as one of the 47 Spanish companies with the highest commitment to sustainability
Triple recognition by Choose My Company with HappyIndexatWork, ImpactESG and HappyTrainees certifications

DECEMBER

• Presentation of the Net Zero in 2040 Strategy

AUGUST

Boosting young talent in the company with a second edition of its scholarship program for recent graduates (Collaboration with FUE)
Conducting on-site ESG audits of strategic solar panel suppliers

Financial milestones Non-financial milestones

02 SUSTAINABLE FINANCE

2.2

ESG RATINGS

2.3 ENVIRONMENTAL TAXONOMY

2.1 GREEN FINANCING

Grenergy reinforces its commitment to sustainable value creation by boosting green finance. In 2023, the credit rating firm Axesor revised Grenergy's credit rating to 'BBB-'. having assessed the company's competitive positioning and track record, the business model, the project portfolio, the analysis of growth plans, the investment plan and the "positive" situation of its financial structure. The company already starred in the first MARF Green Bond issuance in 2019, through a green financing framework with verification from Vigeo Eiris on its alignment with the Green Bond Principles. In 2020, obtained a green loan in line with the Green Loan Principles. In 2021, it issued the first green note program in the Spanish market for €100 million, upgraded in 2023 for €150 million.

Sustainable Financing is booming in both bond and equity markets

In 2023, the credit rating agency, Axesor, has upgraded Grenergy's credit rating

During the year, the company has raised a total of 305M€ in green financing

In 2023, the company arranged €157 million of green financing with Banco Santander, secured by Cesce, where a hybrid derivative with an innovative hedging structure (Green Sustainability Linked Hedge) was signed, where the interest rate is linked to ESG criteria. In addition, €148 million of structured financing was negotiated during the year.

First Spanish company to sign a water derivative with the innovative Green Sustainability Linked Hedge

In October 2023, the Spanish Bolsas y Mercados Españoles (BME) announced the launch of the IBEX ESG index, which includes the main companies that promote the best sustainable investments. Specifically, the first composition of this index is made up of 47 companies, most of them from the IBEX 35, among which Grenergy is included. This index will be reviewed every September and the main requirements to be part of it include belonging to the IBEX 35 or IBEX Medium cap and having an ESG rating equal to or higher than C+, of the 12 possible levels between A+ and D-. In addition, companies must comply with the United Nations Global Compact Principles.

becomes part of selective index, as companies in Spain with the best ESG performance

1 Green bond issuance in 2019 - ² Green Bond Program in 2022 - ³ Green Note Program.

ESG RATINGS

Grenergy consolidates its leadership position in a growing number of ESG ratings that measure its environmental, social and governance performance.

As a result of growing investor interest, Grenergy continues to expand its coverage of ESG ratings agencies and sustainability indicators. In this regard, in 2023, the company has improved its performance in Sustainalytics, Dow Jones Sustainability Index and demonstrates its leadership in MSCI ESG and CDP Climate Change, four of the world's most prestigious ESG rating agencies.

Grenergy has been recognized as one of the 250 most sustainable companies in the world for the third consecutive year, according to the latest analysis conducted by Sustainalytics, one of the world's leading indexes that addresses the ESG criteria of companies. Specifically, Grenergy occupies 235th position in the ranking of 15,000 companies analyzed by this barometer.

In addition, the company ranked first in its sector by capitalization rank, fourth among the 95 companies specializing in independent energy production analyzed by Sustainalytics, and seventh among the more than 700 utilities in the index.

Sustainalytics measures companies' exposure to ESG risks and their ESG risk management on a scale of 0 to 100 (the lowest number being the best rated). In this edition, the international index has rated Grenergy with a 9.7, placing it in the insignificant ESG risk category, the lowest category. After evaluating in detail the behavior and performance of Grenergy in environmental, social and governance matters, Sustainalytics has positively assessed the company's great efforts to improve community relations, investment in human capital, occupational health and safety, as well as its governance policies.

Grenergy has consolidated its presence in the S&P Global ESG Score rating through the S&P Global Corporate Sustainability Assessment (CSA), participating for the third consecutive year and achieving a remarkable score of 68 out of 100 in the report for the year 2023, which represents a significant improvement of 12 points over the previous year. This achievement places Grenergy in the 85 percentile of the "Electrical Utilities" industry, placing it in the TOP15% of all companies evaluated. In the broader context of the 259 companies in the sector, Grenergy stands out by ranking among the top 39, demonstrating its exceptional and consistent commitment to sustainable business practices.

In particular, the environmental dimension has experienced a significant improvement, reaching a score of 75 out of 100 and ranking in the TOP10%, thanks to the new climate strategy approved, as well as net zero commitments and environmental management, including water management. It is also relevant to highlight the improvement in the score of the cybersecurity and information security blocks, as well as in diversity and equality in the Board, reflecting Grenergy's comprehensive approach to sustainability in multiple dimensions of its corporate operation.

Grenergy is in the TOP 15% of the "Electrical Utilities" sector, ranking among the 39 best companies out of a total of 259 in this sector

In 2023, Grenergy maintains its leadership in the MSCI ESG Rating index, obtaining for the second consecutive year as one of the most sustainable companies in the utilities sector, obtaining the highest rating, AAA, with an overall industry-adjusted score of 9.8/10, which ranks only 13% of all participants. According to the MSCI report, the company leads the sector locally and globally, achie ving the highest scores in the categories of "Carbon emissions", "Opportunities in Renewa ble Energy" and "Corporate Governance".

In 2023 the CDP Climate Index recognizes the leadership and ambition of the climate strategy.

Grenergy's climate strategy with a B-score.

In December 2023, Grenergy was assessed by ISS ESG and again received a score of A- with a "very high" level of transparency, enabling its distinction as a Prime com pany. This result continues to strengthen Grenergy's position as an ESG leader by outperforming all its peers as of the date of publication of the ISS report.

Finally, the ESG and credit rating agency (formerly Axesor), Ethifinance ESG evaluated Grenergy in 2023 (based on 2022 information) obtaining a score of 80/100 and improving on 2020 (64/100) and 2021 (75/100).

Grenergy's score in Ethifinance's ESG assess ment indicates a performance in all index categories above the Utilities sector average out of a total of 50 companies.

2.3 ENVIRONMENTAL TAXONOMY

Regulatory Context

According to Regulation (EU) 2020/852 of June 18, 2020, defined in section 1.1.2 ESG Regulatory Context, it establishes the criteria for determining whether an investment can be categorized as sustainable.

Its main objective is to establish a common system to achieve greater transparency in internal management and communication and to determine which activities contribute significantly to the European Union's six environmental objectives associated with climate change mitigation, adaptation to climate change, the sustainable use and protection of water and marine resources, the transition to a circular economy, pollution prevention and control, and the protection and restoration of biodiversity and ecosystems.

Companies subject to reporting obligations under the Taxonomy are those that have the status of a public interest company, those that exceed an average number of 500 employees or that meet two of the three criteria established in terms of assets, turnover or number of employees, i.e. those with an average workforce of more than 250 employees, more than 40 million euros in turnover, or more than 20 million euros in assets.

This involves assessing the company's sustainability in terms of how our activities contribute significantly to sustainable development and generate value for both society and other stakeholders.

The first step of the analysis focuses on determining whether the activity falls within the eligible activities for Taxonomy. Eligible activities are those that can contribute to one or more environmental objectives set by the European Union (EU).

Subsequently, once the eligibility condition has been met, it must be verified whether the activity complies with the Taxonomy. To do so, three specific conditions must be met for each activity of the company:

Contribute substantially to at least one of six environmental objectives

Do No Significant Harm to the other five environmental objectives established, "Do No Significant Harm" (DNSH).
To have mechanisms to comply with minimum social guarantees.

To verify these steps, it is necessary to evaluate compliance with the technical selection criteria associated with each activity and its respective metrics.

In addition to the previous steps to check eligibility and alignment with the Taxonomy, it is necessary to disclose information on how and to what extent the activities are associated with environmentally sustainable activities from an environmental point of view. For this purpose, different KPIs related to turnover, capital expenditure (CapEX) and operating expenditure (OpEX) that non-financial companies must disclose are specified.

Identification and analysis of eligible activities

Following an analysis of Grenergy's portfolio, in line with Delegated Regulation (EU) 2021/2139, the following taxonomic activities have been identified:

Grenergy not only adheres to European regulations, but also significantly contributes to environmental objectives, thus promoting sustainable development and supporting the European Green Pact

Table 2. Grenergy 2023 Taxonomic Activities
Taxonomic activity	Definition RD 2021/2139	Definition of Grenergy's economic activity
4.1. Electricity generation using solar photovoltaic technology	Construction or operation of electricity genera tion facilities using solar photovoltaic (PV) technology	Generation of solar photovoltaic electricity from the construction and operation of these solar parks
4.3. Electricity generation from wind energy	Construction or operation of facilities for the generation of electricity from wind energy	Generation of wind-powered electricity from the construction and operation of these wind farms
4.10. Electricity storage	Construction and operation of facilities that store electricity and return it later in the form of electricity. The activity includes pumped hydroelectric energy storage	Construction and operation of Storage batteries (BESS)
7.6. Installation, maintenance and repair of renewable energy technologies	Installation, maintenance and repair of renewable energy technologies, on site.	Operation and maintenance of wind farms/photovoltaic parks operated by Grenergy or third parties

Alignment analysis

systems and ancillary technical equipment".

For the alignment analysis, Grenergy has considered the four activities eligible under the climate change mitigation objective based on the criteria described in Annex I of the Delegated Climate Regulation.

•Substantial contribution criteria

Following the analysis of the eligibility of Grenergy's activities, the verification of compliance with the technical selection criteria for the substantial contribution1 to the climate change mitigation objective was carried out since Grenergy's economic activity is in line with the Delegated Climate Act.

• Do No Significant Harm critera (DNSH)

DNSH 2: Adaptation to climate change (4.1, 4.3, 4.10, 7.6)

An assessment of eligible activities has been carried out, following the guidelines of Appendix A of the Delegated Regulation (EU) 2021/2139. In 2023, Grenergy has carried out a physical climate risk assessment for each of the activities carried out by the company, as well as adaptation plans covering all activities.

For more information on the analysis of physical climate risks, see the section "Climate risk management" in chapter 4.2 Fight against climate change.

DNSH 3: Sustainable use and protection of water and marine resources - Not Applicable

For more information on water resources management, see chapter 4.3.

DNSH 4: Transition to a circular economy (4.1, 4.3, 4.10)

Grenergy is committed to promoting the circular economy by reusing materials and recycling waste at the plants. Also, through the monitoring of waste generation in all plants under construction and operation, as well as in the offices. The objective of reducing and optimizing waste management is promoted through a Waste Management Plan. This plan is based on a comprehensive strategy that prioritizes reuse and recycling as the main pillars. The company seeks to minimize waste generation and optimize its management. In addition, the company promotes awareness and training of personnel to foster a culture of environmental responsibility.

DNSH 5: Pollution prevention and control - Not Applicable

For more information, see chapter 4.2 Fight against climate change.

DNSH 6: Biodiversity and Ecosystem Protection and Restoration (4.1, 4.3, 4.10)

Grenergy's eligible and aligned activities meet the criteria set out in Appendix D of Annex I of the Taxonomy. To ensure the protection and restoration of biodiversity and ecosystems, Grenergy conducts environmental impact assessments (EIA) and performs appropriate screening of impacts and risks following a hierarchy of avoidance, minimization, restoration and ultimately compensation. Additionally, a net positive impact target has been set for 2026 for all Grenergy operations.

• Minimum Social Safeguards Criteria

For an activity to be aligned with the Taxonomy, in addition to making a substantial contribution and not causing significant harm to the rest of the five objectives, it must meet certain Minimum Social Safeguards.

Human Rights: Grenergy is aligned with the OECD Guidelines for Multinational Enterprises, the Guiding Principles on Business and Human Rights, as well as the International Bill of Human Rights and its subsequent developments. Furthermore, Grenergy already has an updated Human Rights Policy which has been updated following the human rights and environmental due diligence process. Additionally, Grenergy is committed both in its Code of Conduct and in the first Equality Plan to ensure an equal, respectful, safe and non-discriminatory work environment, always respecting human rights. As a preventive measure, there is a whistleblower channel for reporting possible non-compliance. For further details, please refer to chapter 5.4 Commitment to Human Rights.
Anti-Corruption and Bribery: Grenergy has a Compliance Manual and a Code of Conduct which specifies zero tolerance towards any form of corruption, breaches of the principles of fair competition and non-compliance with laws and regulations. During the year 2023, the Compliance Control Framework has been implemented, the objective of which is to provide reasonable assurance that the Compliance Program is being properly implemented globally and therefore Compliance risks are being mitigated. More than 90% of Grenergy employees have been trained in Compliance, excluding employees in the United States, with a total of 471 hours in Anti-Corruption and Bribery training. In addition, the whistleblower channel enabled on the website is aimed at employees, suppliers and other stakeholders who have observed suspicious behavior or actions, possible infractions or non-compliance that contradict the codes of conduct, and internal or external regulations. For further details, please refer to chapter 3.2 Compliance.
Taxes: Grenergy's Tax Policy is based on compliance with the tax regulations applicable in each jurisdiction in which it has a presence. Additionally, the good governance practices implemented by Grenergy allow the identification, anticipation, prevention and control of tax risks to which the Group may be exposed. For further details, please refer to chapter 3.5 Tax Transparency.
Fair competition: Grenergy's Code of Conduct specifies zero tolerance for non-compliance with antitrust laws and violations of fair competition principles. For further details, please refer to chapter 3.2 Compliance.

Methodology for calculating financial KPIs

Grenergy has considered exclusively the objective of climate change mitigation, although it can also contribute to the objective of climate change adaptation. This decision has been taken to avoid any possibility of double counting in the calculation of financial indicators, thus ensuring transparency and consistency in our assessment. In accordance with the EU Taxonomy and what it establishes, Grenergy reports on the 3 KPIs requested:

Turnover Capital expenditures (CapEX) Operating expenses (OpEX)

In accordance with the provisions of Annex 1 of Delegated Regulation 2021/2178 of July 6, 2021, Grenergy reports on the construction of the numerator and denominator of the requested indicators:

Table 3. Methodology for calculating financial KPIs 2023
		Numerator
Eligible and aligned activities	TURNOVER	Grenergy's consolidated turnover recognized in accordance with International Accounting Standard (IAS) 1, paragraph 82(a), adopted by Commission Regulation (EC) No. 1126/2008.	Consolidated turnover included in the denominator that meets the substantial contribution, DNSH and Minimum Social Guarantees criteria.
	CAPEX	Includes additions to tangible and intangible assets during the year under review before depreciation and amortization. The Company's financial statements are presented based on the following criteria: (i) the value of the assets, liabilities, depreciation, amortization and any new valuations, including those resulting from revaluations and impairment losses of value, for the relevant period, excluding changes in fair value. The denominator also includes additions to tangible and intangible assets resulting from business combinations. A In this respect, the accounting accounts considered are those corresponding to "Property, plant and equipment", "Intangible assets", "Payments for investments" and "Right-of-use assets", which come directly from the consolidated statement of cash flows.	Includes fixed asset investments in the denominator that meet the substantial contribution, DNSH and Minimum Social Guarantees criteria.
	OPEX	Includes non-capitalized direct costs that relate to research and development, research and development measures and building renovation, short-term leases, maintenance and repairs, as well as other direct expenses related to the daily maintenance of tangible fixed assets of the company or a third party to whom activities are subcontracted and which are necessary to ensure the continuous and efficient operation of such assets. In this sense, the accounting accounts considered are those corresponding to "Other operating expenses" is taken directly from the consolidated income statement.	Includes operating expenses in the denominator that meet the substantial contribution, DNSH and Minimum Social Guarantees criteria.
Eligible and non-aligned activities	Applies to all 3 KPIS	Same as previous case "Eligible and aligned activities".	Eligible activities that do not meet the substantial contribution and/or DNSH criteria.
Not eligible activities	Applies to all 3 KPIS	Same as previous case "Eligible and aligned activities".	Activities not eligible for Taxonomy as they are corporate activities that do not fit into any taxonomic activity.

Results

Table 4. Taxonomic results 2023
Summary of Results	Turnover	%	CAPEX	%	OPEX	%
Eligible and aligned (A1)	179,139	100%	363,257	99%	-15,359	58%
4.1 Electricity generation using solar photovoltaic technology	155,428	87%	362,958	99%	-9,513	36%
4.3 Electricity generation from wind power	21,160	12%	0	0%	-4,117	16%
4.10 Electricity storage	0	0%	99	0%	0	0%
7.6 Installation, maintenance and repair of renewable energy technologies	2,551	1%	0	0%	-1,729	7%
(A2) Eligible and non-aligned activities	0	0%	0	0%	0	0%
(B) Activities not eligible	0	0%	3,076	1%	-10,961	42%

Annex 6.6 provides a breakdown of Grenergy's activities considered sustainable by the Taxonomy, detailing the level of eligibility and alignment of each of them with the objective of climate change mitigation.

03 RESPONSIBLE LEADERSHIP

GOVERNANCE

COMPLIANCE

RISK AND OPPORTUNITY MANAGEMENT

CYBERSECURITY, INFORMATION SECURITY AND INNOVATION

FISCAL TRANSPARENCY

3.1 GOVERNANCE

Grenergy's Board of Directors is firmly committed to establishing a transparent and efficient corporate governance system aimed at creating long-term value and safeguarding the interests of all stakeholders.

Board of Directors

The regulations outlining the internal operations and functioning of the Board of Directors are detailed in the Board of Directors Regulations. Additionally, the criteria for the selection of new members or the re-election of existing ones are specified in the Board Composition Policy. This policy is designed with the company's best interests in mind, aiming to enhance the effecti-

veness and professionalism of the Board. It ensures that proposals for Board member appointments align with both the recommendations of the CNMV's Code of Good Governance and the specific requirements of Grenergy. These decisions are subject to scrutiny by shareholders and various stakeholders.

The principles of composition of the Council are:

Principle of diversity of knowledge and experience.
Principle of non-discrimination.
Principle of gender diversity.
Principle of absence of permanent conflicts of interest.
Principle of adequate composition of the Board of Directors.

The Board members are elected individually according to the suitability of their profile and complementarity of competencies. There is a limit of three memberships on other boards, which is not exceeded by any of the board members. In 2021, Grenergy strengthened its Board of Directors and complemented it with the addition of two new profiles that bring extensive experience in industry, finance, risk management and sustainability, increasing the total number of Board members and achieving gender equity. In 2023, the Board of Directors appointed Ana Plaza, as an independent Board member with financial and risk management experience, who will also be a member of the Audit and Control Committee.

The Board Composition Policy aims to promote gender diversity and skills among its members,

based on the principles of non-discrimination and the prevention of conflicts of interest

BOARD OF DIRECTORS

David Ruiz de Andrés Chairman of the Board and Chief Executive Officer

Ana Peralta Independent Board member Coordinator President of the CAC

Rocío Hortigüela Esturillo Independent Board memeber President of the ARSC

Ana Plaza Independent Board member

Proprietary Board member Florentino Vivancos Gasset

María Merry del Val Mariátegui Proprietary Board member

Nicolás Bergareche Mendoza Independent Board memeber

Antonio Jiménez Alarcón Proprietary Board member

Lucía García Clavería Secretary of the Board

Grenergy's Board of Directors has an equal number of men and women, incorporating diversity in experience and backgrounds

GENDER DISTRIBUTION

DISTRIBUTION BY CATEGORY

56%

44%

Diversity: The presence of women on the Board of Directors is 50%, and both committees are chaired by independent female Board members.

Conflict of interest: Grenergy has an independent coordinating Board member, Ana Peralta, to lead those cases of potential conflict of interest.

Transparency: Grenergy publishes transparent information on all remuneration items received annually by the Board members in the remuneration report, available on its website. In 2023, the average total remuneration of non-executive Board members, including cash remuneration, gross profit from shares, savings schemes and other items, was €54,743 for men and €49,105 for women (in 2022, €31,000 for men and €46,000 for women). Finally, the fixed remuneration of the executive board member is €93,550.

Training: In 2023, Board members received specific training in practical risk management acumen and ESG training.

Performance evaluation: The Board of Directors conducts internal and external performance evaluations, following best practices of good corporate governance. In 2023, the Board underwent an internal evaluation, having carried out an external evaluation in previous years.

Grenergy makes the Remuneration Policy available to the public, which has been prepared with the purpose of regulating the proportion of compensation, promoting profitability, and the achievement of results. It also seeks to attract and retain Board members with the desired profile, without compromising the independence of their judgment.

In addition, the Board of Directors is responsible for approving the company's policies and over the past year has approved some key documents such as the new Codes of Conduct for Grenergy employees and suppliers and the regulatory framework that defines the system for monitoring the implementation of corporate policies. In 2022 the Compliance Manual was defined and approved at the beginning of 2023.

Grenergy has an independent coordinating Board member to lead those cases with a potential conflict of interest

STEERING COMMITTEE

David Ruiz de Andrés CEO Highest authority in the direction and management

of Grenergy

Pablo Otín

COO Responsible for development operations and new technologies in new markets

Emi Takehara

CFO Responsible for corporate and structured financing of the group, as well as auditing, tax and risk

Daniel Lozano Herrera Strategy and Capital Markets Director Responsible for capital markets operations, sustainability, communication and marketing

Director of Human Resources, IT and Innovation Responsible for Human Resources, Digitalization and Innovation Luis Rivas Álvarez

Management Committee

This is the internal body with the highest authority and its mission is to drive Grenergy's activity, develop its business strategy in a sustainable manner, lead the human team and ensure compliance with financial and operational objectives.

In 2021, Grenergy strengthened its team with the addition of two new members to the Steering Committee, Emi Takehara, through internal promotion to Chief Financial Officer (Master in Management - EDHEC Business School, Master in Finance and Investments – EBS) and the incorporation of Francisco Quintero as Director of Generation and Equity (Civil Engineer and MBA - IE Business School).

Additionally, in 2023, the company's operational structure and the Management Committee were strengthened with the incorporation of Pablo Otín as Grenergy's Chief Operating Officer (Degree in Electronic Engineering - University of Zaragoza and the University of Lancashire, Executive MBA - IEB Madrid) and with the incorporation of Luis Rivas as Director of Human Resources and Director of Digital and Innovation (Degree in Business Administration and Management -

Mercedes Español Soriano

M&A Director

Responsible for project sale and purchase, mergers and due diligence processes

Director of Generation and Equity

Responsible for the global management of renewable generation assets

University of Santiago de Compostela). Francisco Luis Quintero Berganza Director of the legal area Responsible for corporate legal aspects, as well as contractual aspects Álvaro Ruiz Ruiz

The main governing bodies of sustainability

APPROVAL

Board of Directors

SUPERVISION

Audit and Control Committee Appointments, Remuneration and Sustainability Committee

APPROVAL AND FOLLOW-UP

Management Committee and Sustainability Committee

LEADERSHIP

Sustainability Management

IMPLEMENTATION

Business Areas (corporate and country)

Commissions have majority of women, independent member majority and no executive Board

members

Both

The Audit and Control Committee is primarily responsible for supervising the effectiveness of the company's internal control, internal audit, risk management systems and auditor independence, as well as overseeing the process of preparing and presenting financial and non-financial information.

The Appointments, Remuneration and Sustainability Committee is mainly responsible for the selection, appointment, re-election and removal of Board members, the report on proposals for the appointment and removal of senior executives; reporting to the Board of Directors and implementation of the remuneration policy for Board members and management; supervision of compliance with the company's corporate governance rules and internal codes of conduct; evaluation and periodic review of the corporate governance system and the company's environmental and social policy; supervision that the company's environmental and social practices are in line with the strategy and policy established.

Both Committees, and specifically the Appointments, Remuneration and Sustainability Committee, in the function of supervising ESG aspects, benefit from the knowledge, experience and extensive relationship that its Board members maintain with various stakeholders, for the identification and management of sustainability-related impacts. It is worth mentioning the professional experience in ESG consulting and the professional links with relevant companies in the electricity sector and financial institutions.

Sustainability Committee: is, together with the Management Committee, in charge of supervising the foundational objectives of Grenergy's Sustainability Policy. The members appointed are the Director of Strategy and Capital Markets as Chairman, the Director of Sustainability as Secretary, the Director of Generation and Equity and the Legal Director, both as members. This composition facilitates greater integration of ESG aspects into corporate strategy.

Among its main functions is to ensure the implementation of the ESG Roadmap defined by the company and the annual action plans derived therefrom, reporting to the Appointments, Remuneration and Sustainability Committee, on its progress at least quarterly. At least once a year, the Sustainability Committee shall report to the Audit and Control Committee regarding sustainability information.

Genergy's Code of Conduct is the basis for all our decisions and activities and is the key component of our business integrity. It is the way we conduct business in compliance with the laws in the countries in which we operate and respect the dignity, and personal rights of each individual

3.2 COMPLIANCE

Compliance starts at the highest levels of the organization. In this context, our leaders establish an appropriate "tone from the top", which defines our orienta tion and commitment to compliance.

Grenergy has zero tolerance for any form of corruption, violations of the principles of fair competition and non-compliance with laws and regulations. The company takes imme diate action when these occur.

In addition, it is vitally important for Grenergy to comply with its own Code of Conduct. Given the importance of compliance issues, the Compliance Director reports at least quar terly to the Audit and Control Committee. During fiscal year 2023 there have been 4 formal meetings of the Executive Complian ce Committee, as the body responsible for Compliance issues in Grenergy, one per quarter in accordance with the established schedule to discuss and debate strategic ideas on Compliance.

Compliance Program

January 2023 saw the formal approval and publication of the new global Compliance Program to support the effective mitigation of compliance risks. More than 90% of Grener gy employees have been trained in Com pliance, excluding employees in the United States, following the acquisition of Sofos Harbert, which was acquired in early 2023. Within the Compliance training, Grenergy's Internal Regulatory Framework, the Code of Conduct, the whistleblower channels as well as the Compliance controls established in the Compliance Manual published. These controls refer, among others, to gifts and hospitality, intermediary assessment, evalua tion of donation initiatives, sponsorships and participation in associations.

In addition to the training plan, an internal communication plan has also been appro ved and implemented, aimed at increasing awareness of compliance issues in the orga nization, for which Grenergy's managers, establishing the appropriate "tone from the top", have communicated ideas related to the importance of compliance through internal communication channels, the existence of whistleblowing channels, the transparent management of conflicts of interest, risk assessments in our relationships with third parties or the process that each sponsorship, donation, charitable contribution or planned affiliation must follow to properly mitigate compliance risks.

During fiscal year 2023, there were no cases of conflicts of interest.

Regarding the Compliance organization, the Compliance network has been created in the countries where Grenergy is present, consis ting of a group of employees from other areas, who assist in the implementation of the Compliance Program in their respective countries and serve as interlocutors with Compliance in the Parent Company. They have contributed with communication and training tasks.

Whistleblower Channel

The whistleblower channel enabled on the website is aimed at employees, suppliers and other stakeholders who have observed suspi cious behavior or actions, possible infractions or non-compliances that contradict our codes of conduct, and internal or external regulations. During the year 2023 we have worked on adapting the whistleblower chan nel to Law 2/2023 and the Compliance Com mittee has been appointed Head of the Internal Information System as a collegiate body that will delegate to the Compliance Director the functions of the latter as an individual, in accordance with the provisions of the aforementioned law.

Compliance Cases

A compliance case is any violation of criminal and/or administrative law or Grenergy's internal regulations by at least one employee and/or a third party working on behalf of Grenergy. All internal information received is first subjected to a plausibility check by Compliance. If the plausibility check suggests that the allegations are plausible, a mandate is issued to initiate an investigation, which must comply with the fundamental principles of a compliance inves tigation and the law. All compliance cases reported to the Compliance Organization are dealt by Compliance, which may receive exter nal support and/or be referred to the relevant specialist department within Grenergy.

During the year 2023, 2 reports have been received in the Internal Reporting System that have been processed in accordance with the applicable legislation, from which no Compliance Cases or disciplinary sanctions have been derived.

During fiscal year 2023, numerous relations hips with third parties that could generate Compliance risks have been evaluated, in addition to a set of sponsorship, donation and participation in associations activities, thus ensuring that the risk of corruption is appropriately mitigated.

An internal project has also been initiated for the digitalization of the procedure for evalua ting business partners generating complian ce risks, a project that will be completed in 2024 and will allow for greater efficiency and the possibility of using data analysis to identi fy patterns that will enable better risk mana gement.

No cases of corruption have occurred in Grenergy during fiscal years 2022 and 2023 and, therefore, no disciplinary action has been taken in this regard. Likewise, no contracts with business partners have been terminated due to corruption-related viola tions. There have also been no public legal cases related to corruption, nor have there been any significant cases of non-complian ce with the law that have resulted in fines or non-monetary sanctions.

Antitrust

Violations of antimonopoly legislation repre sent a huge risk for the company and its employees. They involve fines, damages, exclusion from public tenders and reputatio nal damage. Therefore, no non-compliance with antimonopoly legislation is tolerated at Grenergy. There are no legal actions pending or completed at Grenergy during the repor ting period with respect to unfair competition and violations of applicable antitrust and monopoly legislation.

The whistleblower channel is open to all interest groups and it guarantees the confidentiality of the denouncer

Anti-money laundering and prohibition of terrorist financing

At Grenergy, we do not tolerate money laundering or terrorist financing. All employees are required to comply with all laws and regulations designed to prevent, detect and report money laundering, terrorist financing and related criminal activities.

Grenergy's Compliance program aims to create a high level of transparency in business conducted with third parties (counterparties) and includes:

Conducting enhanced due diligence, for those cases in which additional risks arising from the relationship with a third party or from a specific transaction are identified.
Procedures for monitoring potentially suspicious business relationships and payment methods.
Reporting suspicious transactions or behavior of any trading counterparty to local authorities.

During fiscal years 2022 and 2023 there have been no cases of money launde ring.

Compliance Control Framework

During the year 2023, the Compliance Control Framework has been implemen ted, the objective of which is to provide reasonable assurance that the Com pliance Program is being properly implemented globally and therefore com pliance risks are being mitigated.

Criminal Risks

At the date of writing this report, an internal project has been initiated to evaluate the criminal risks in Grenergy Peru, due to the modification of the Peruvian Criminal Code, through which the main criminal risks and the controls that mitigate these risks will be identified, establishing, if necessary, the neces sary internal protocols to improve or establish new controls.

3.3 RISK AND OPPORTUNITY MANAGEMENT

The risk management makes it possible to identify the internal and external factors that could impact the company in advance. The company must mitigate those risks to improve, protect its value and its continuity over time

Grenergy's Board of Directors, as provided for in Article 4 of the Board of Directors Regulations, is responsible for determining the Group's risk control and management policy, identifying the Company's main risks and implementing and supervising the internal information and control systems (the "General Risk Control Policy").

Management, Risk Control and Internal Audit"), with the purpose to ensure the future viability and competitiveness of the Company.

In this context, the General Risk Management, Control and Internal Audit Policy aims to establish the basic principles and general framework of action for the control and management of the different types of risks affecting the Group in the different countries in which it operates, so that they are identified, quantified and always managed.

The starting point of the process lies in the definition of the concept of risk, and in the identification of the main risk factors that may affect the company.

This was done by drawing up a risk map that assesses each risk in terms of probability and impact on key management objectives and on the financial statements. This risk classification allows a prioritization of risks.

During the 2023 financial year, a high-level review of corporate risks has been carried out, insofar as the main executives of the different areas of Grenergy have individually analyzed the risks to which Grenergy is exposed daily in order to subsequently and jointly align and reach a consensus on the risks identified and organize them in order of priority and relevance.

In addition, during 2023, training was provided to Board members and senior management by an external expert, in which a practical view of risk management was shared.

The ESG risks identified by the company have been approved by the Board of Directors and integrated into the general risk management system

The following actors are involved in the risk management system:

The business and support areas are responsible for managing risk to achieve organizational objectives by: (i) directing and guiding actions and resources to achieve the organization's objectives, including the management of the risks that affect them; (ii) establishing and maintaining adequate structures and processes for managing operations and risks; and (iii) taking responsibility for compliance with legal, regulatory and ethical expectations in their respective areas.
The Compliance Committee, whose responsibility is to carry out all necessary actions for the correct implementation and operation of the crime prevention system, as well as its monitoring. It must also promote and supervise the degree of implementation of the regulations, both internal and external, within the Group, participating in the clarification of potential non-compliances that are communicated through the established communication channels.
Internal Audit, which independently evaluates the risk situation and reports periodically to the Board of Directors on these risks.

CYBERSECURITY, INFORMATION SECURITY AND INNOVATION

3.4.1 CYBERSECURITY AND INFORMATION SECURITY

In an interconnected world, the development and implementation of best practices in cybersecurity and IT security are essential to protect companies and individuals from various dangers on the network. Cybersecurity breaches are a key threat in the short and medium term and reflect the importance of proper management, mitigation and internal expertise to address emerging risks.

As a commitment to face this growing challenge, Grenergy published in 2023 the Information Security Policy, which establishes the basic principles and a general framework for the control and management of the security risks faced by the company, emphasizing the responsibility of all employees and group companies to be aware of and comply with this policy.

This policy is structured around a set of basic principles on which Grenergy's business strategy is based:

Protection of critical assets from potential cybersecurity and physical threats
Sensitization of all employees on risks to protect systems security
Implementation of risk-based security mechanisms based on specific risks
Promotion of capabilities for prevention, detection, reaction, analysis, recovery, response, investigation and coordination of potential threats
Process of review and continuous improvement of the safety management
Regulatory compliance assurance

Grenergy is aware of the growing demand for these challenges and, to this end, has a strategy for cybersecurity and information security.

Grenergy has a cybersecurity governance model integrated as part of the culture that is a strategic component of the company's management.

This governance model has a first level of management, the Information Security Committee, created in October 2023, a second level, the Management Committee, and a third level, represented by the Board of Directors.

The Information Security Committee is responsible for identifying and assessing risks and ensuring that all employees are aware of and comply with the cybersecurity policy and internal rules that develop it. In addition, this Committee is responsible for establishing controls to prevent and mitigate information security risks. The Management Committee promotes the dissemination and awareness of the policy and facilitates compliance with it, and the Board of Directors supervises compliance with the policy and approves policy updates.

Prevention, protection and surveillance

One of the fundamental principles of the Cybersecurity and Information Security Policy is the promotion of prevention, detection, reaction, analysis, recovery, response, investigation and coordination capabilities in the face of possible threats. In this sense, Grenergy has an external information security service duly certified to improve the company's comprehensive security and protect its technological assets and business information.

Part of the prevention measures in critical infrastructure includes knowing how our plants are connected. This is why in our Utilities we will be drawing up maps of communications networks that will facilitate the identification of the origin of failures or disconnections.

This service includes the detection of cybersecurity threats, incident support, vulnerability mitigation, internet threat monitoring, containment and response actions and, continuous service improvement

In addition, this service allows improving the overall security of the organization, minimizing information theft or hijacking, reduce downtime, avoid negative reputational impacts, comply with regulations, provide monitored security, guarantee uninterrupted operation for users and ensure business satisfaction through an extended service management team.

Awareness

Grenergy is committed to raising awareness and training all employees on risks to protect system security and to act as the first line of defense against major cyber-attacks. To this end, and in collaboration with an external audit team, a cybersecurity awareness campaign was carried out, including a phishing exercise, running in two batches in December 2022 and March 2023. The objective of these two employee campaigns was to assess employee awareness, train users in threat detection and measure the effectiveness of the campaigns.

In the 2024-2026 Sustainability Strategy update, among the main cybersecurity objectives for the next 3 years are:

Definition of an Information Security Master Plan.
Conducting internal and external security audits and vulnerability assessments of systems, products and practices.
Improved operational measures to monitor and respond to data breaches and cyber-attacks in accordance with ISO 27001.

Data protection

Grenergy has a Data Protection and Privacy Policy for its web in accordance with the provisions of current legislation on the protection of personal data, the RGPD (EU) 2016/679, of April 27, and the LOPD 3/2018, of December 5, and with the provisions of the LSSI-CE 34/2002, of June 11.

The Company, as responsible for the website, has implemented policies, means and procedures to ensure and protect the privacy of the personal data of its users.

For further information or, in case of doubt, there is a contact e-mail address through which you can consult any detailed information about the Data Protection Policy.

During the year 2023, a data protection audit was carried out, identifying some areas for improvement in the management of risks arising from the proces sing of personal data.

In addition, the decision has been made to focus on the management of risks derived from privacy, appointing the Information Security Committee to be responsible for these risks. The Compliance area has also initiated a project to coordinate the mana gement of these issues in a coordinated manner.

3.4.2 INNOVATION

The BESS innovation team is dedicated to coordina ting, advising and managing storage batteries in the various markets in which Grenergy operates. The company's investment in research and development (R&D), mainly storage batteries (BESS), amounted to €299,000 in 2023, including the hiring of consultants to carry out market studies in different countries. These studies are intended to support the develop ment of long-term projects and to identify new opportunities to enter emerging markets.

In addition, the team focuses on the research of emerging technologies such as green hydrogen, as well as on the detailed study of BESS systems, cove ring aspects such as battery chemistry or storage efficiency methodologies.

OVATION

Promote innovation in the social and environmental components

REGE

NERATIVE INNOVATION OPEN INN

BASED ON DIGITAL TRANSFORMATION

Strengthen the processes and tools development that drive digital transformation with a focus on efficiency and resource management

Establish alliances with new social economy partners capable of providing answers to the regenerative challenge

FISCAL TRANSPARENCY

Aware of its responsibility, Grenergy's Tax Policy is based on compliance with the tax regulations applicable in each jurisdiction in which it has a presence, which is materialized in the timely payment of the appropriate taxes and its collaboration with the various Tax Administrations.

The Grenergy Group, through the search for tax efficiency, while being compatible with its tax obligations, seeks to combine the creation of value for shareholders and the development of the different social agents through the tax contributions it makes in each of the jurisdictions in which it is present.

In addition, the good governance practices implemented by Grenergy allow the identification, anticipation, prevention and control of tax risks to which the Group may be exposed by the mere development of its activity, as well as those behaviors that may generate them.

The main instrument with which Grenergy works to achieve the objectives is the implementation of transparent management, which is manifested both in the different phases and processes involved in complying with tax obligations and making decisions that have tax relevance, and in its commitment to collaborate with all levels of the Tax Administrations where the Group carries out its activities.

	Revenues	BAI	Income tax accrued Income tax paid		Subsidies
Chile	218,151	3,154	5,478	1,164	-
Spain	140,770	41,600	(5,189)	13,784	-
Peru	14,331	5,656	(1,055)	289	-
Argentina	7,693	641	2,956	646	-
Colombia	11,280	1,413	(2,600)	489	-
Mexico	3,342	1,000	(728)	123	-
Italy	895	(246)	-	-	-
Germany	785	(351)	-	-	-
Romania	8	(35)	-	-	-
United Kingdom	487	(245)	-	-	-
Poland	461	223	-	-	-
USA	2.035	(616)	-	-	-
Total (m€)	400,238	52,193	(1,138)	16,495	-

Table 6. Economic value generated and distributed (m€)	2021	2022	2023
Revenues	220,837	291,176	401,033
ECONOMIC VALUE GENERATED	220,837	292,055	401,033
Operating costs			-272,988
Depreciation, amortization, impairment and other losses	-9,038	-14,178	-17,946
DISTRIBUTED ECONOMIC VALUE	43,543	50,737	110,099
Personnel expenses	-9,597	-14,772	-24,771
Capital providers			-33,135
Central Public Administration	-2,118	290	-1,138
ECONOMIC RETAINED VALUE (Net Income)	16,012	12,556	51,055

We have commited to act with respect for the law and with transparency in the management of our fiscal affairs

3.5

BUILDING 04 A SUSTAINABLE FUTURE

4.1 BIODIVERSITY CONSERVATION

4.2 FIGHT AGAINST CLIMATE CHANGE

4.3 EFFICIENT WATER MANAGEMENT

4.4 CIRCULAR ECONOMY PROMOTION

Grenergy's Sustainability Policy shows a clear commitment to preserve the environment of the projects carried out

BIODIVERSITY CONSERVATION

4.1

Biodiversity is a determining factor in the development of our projects. For this reason, our activity includes a clear commitment to conserve the environment in which our plants are located, in accordance with the ISO 14001 Standard. This commitment is materialized in all projects executed through Environmental Impact Studies, and the presentation of the necessary measures to comply with the environmental requirements of the area to the corresponding administration, as well as the Environmental Impact Declaration (DIA) or the Environmental Qualification Resolution (RCA) with the established commitments. These evaluations, in turn, result in actions that neutralize, minimize or, ultimately, compensate for the impacts or risks detected. Land use is one of the causes of biodiversity loss due to its impact on ecosystems and their species. Renewable energies require land for their installation and, therefore, Grenergy considers the potential impacts that this land use can generate on the habitat and its species.

Nature-related risks and opportunities

Grenergy considers the recommendations of the Task Force on Financial Disclosures with Nature (TNFD) in its management of natural capital risks and opportunities. The guidelines of this expert group indicate that the information should be disclosed in accordance with this structure:

Transparent disclosure of governance practices related to the biodiversity and the integration of environmental criteria in corporate decision making.

Dissemination of the development of long-term strategies that consider the impacts and dependencies of biodiversity on power generation operations.

Risk assessment and mitigation associated with biodiversity loss in the areas where Grenergy operates and implementation of practices to avoid or reduce the degradation of local ecosystems. RISK MEMENT

ANAG

Disclosure of the company's assessment and performance in terms of biodiversity and ecosystem services including the establishment of key performance indicators and the setting of quantitative targets to improve biodiversity conservation.

Quillagua Solar Power Plant - Antofagasta - Chile ⁶⁴

Biodiversity management requires adequate detection of the potential effects, impacts and risks of each action, followed by planning with a clear hierarchy: avoid, minimize, restore and, ultimately, compensate for biodiversity loss.

The precautionary approach of the hierarchy is reflected in the avoidance of negative impacts through an appropriate selection of project locations where impacts are minimal or non-existent. As a starting point, this selection seeks to avoid areas defined as World Heritage Sites and protected areas in Categories I-IV of the International Union for Conservation of Nature (IUCN). For the implementation of photovoltaic and battery projects, special consideration is given to soils with gentle or low slopes, typically agricultural in nature and with potential for cultivation. The choice of the type of land use varies according to the location of the project, for example, in desert areas of northern Chile, the soil is not agricultural, while in the center-south there is land for agricultural purposes.

During construction, there is minimal impact on the soil, with slight erosion and physical modifications observed mainly during the leveling process for the installation of the piles that support the solar panels. From a chemical and biological perspective, during the operation of the project a fallow period is generated, leading to an increase in the diversity of micro- and macrofauna, highlighting the absence of fertilization of anthropogenic origin.

It is essential to note that, although the soil ceases to be productive during the implementation of the project, its capacity is not altered. As part of a voluntary environmental commitment, soil improvement is sought on land with agricultural potential or water accumulators are built to support agricultural production.

Among the fundamental studies carried out on soils, topography and hydrology stand out, with special emphasis on specific investigations of infiltration and the estimation of flow directions. These analyses allow the modeling of various scenarios with the objective of minimizing intervention in natural watercourses, especially regarding water. The importance of these studies lies in guaranteeing a low intervention in the water sources and their ecosystems, which in turn minimizes the possibilities of torrential floods.

Mitigation of these risks is crucial, as torrential floods could have a significant impact on the construction and operation of the parks. Thus, by implementing preventive measures supported by detailed studies, we seek to ensure the sustainability and safety of both the projects and the surrounding natural environments.

GRENERGY'S IMPACT MITIGATION HIERARCHY Mitigation hierarchy

Identification of impacts

Environmental impact assessments, in accor dance with Law 21/2013, of December 9, 2013, on environmental assessment, consider all stages of the life cycle of each project, the most relevant being the construction, opera tion and maintenance stages. In each of the stages and sub-stages, the possible impacts on the atmosphere, soil, water, vegetation, habitats, fauna, historical and archaeological heritage, landscape and socioeconomic aspects of the area are identified and quanti fied. The assessment of environmental impacts must be carried out from highly specialized perspectives. In this context, our interdisciplinary teams play a crucial role, providing us with the capacity to carry out comprehensive and objective assessments. This diversity of approaches allows us to efficiently prioritize the actions necessary to adequately manage the environmental impacts identified. Among these environ mental impact studies are those on the impact on fauna and flora, in which we use various methodologies that include the recording of species to be conserved and propose mitigation and adaptation solutions. During 2023, it should be noted that in Colombia, studies were conducted in four candidate plots for construction. The identifi cation of species and their possible impacts made it possible to draw up mitigation and adaptation plans.

The most efficient management, aimed at carrying out assertive actions with respect to the context of the area, to act in a sustainable manner from the beginning of the projects. This work, which includes assessment, identi fication of prevention and mitigation measures, and monitoring of actions and their results, involves an investment of €798,160 in 2023.

Thanks to this management, none of our projects are located in protected areas.

Once the potential impacts have been identified at each stage of the project, the measures necessary to counteract them are analyzed. These measures are categorized according to the hierarchy: avoid, mitigate, restore and compensate, in such a way that only compensation measures are used once the unfeasibility of implementing other types of measures has been analyzed. The next step consists of monitoring the measures and the results obtained by each one of them, thus guaranteeing the established objectives. During 2023, we reached 3,644 hours of monitoring and, again this year, none of our projects received environmental fines or suffered delays due to unidentified risks or measures.

Protected species

The company assesses the presence of protected species in all its projects according to the IUCN (International Union for Conservation of Nature) Red List of Threatened Species or national and regional conservation catalogs. No critically endangered IUCN species have been identified in any of the projects.

In each park or project candidate area, we conduct a comprehensive inventory of 100% of the tree individuals present. This approach ensures an accurate impact assessment, with classifications according to IUCN standards and local regulations.

In 2023, monitoring of the status of more than 800 vascular epiphytes was carried out, and initiatives for the restoration of forests intended to host non-vascular epiphytes were promoted.

Habitat restoration

In 2023, Grenergy undertook actions to reforest an area of approximately 144 hectares next year and other habitat improvement activities. The company is working with external experts to implement, follow up and monitor the restoration measures.

Some of the main habitat restoration measures carried out in 2023 are:

Wildlife rescue and relocation at the Gran Teno solar plant, Chile.
Compensation plan at the Tucanes solar park, Colombia. The monitoring and follow-up program for non-vascular epiphytes begun the previous year continued.
Rescue and relocation of Violets in the Condor PV (Chile)
Rescue and relocation of lizards, cultivation of aromatic plants and soil improvement in the Lo Miguel PV.

Highlighted case:

Gran Teno Reforestation

Grenergy, with the Gran Teno project, has committed to the reforestation of 255.57 hectares of native forest, as indicated in the Environmental Management Plans, for which it has relied on the company 'Nativo Maipo'. The main planting has been of native trees such as Quillay, Boldo, Peumo, Espino and Maitén, and has been carried out through an innovative method of planting in clearings and terraces in such a way as to obtain greater survival and adaptation of the plants. These techniques do not use irrigation water but consist of collecting rainwater through planting techniques called Limán, in which the plants are arranged in the shape of a crescent, coinciding with the natural slope of the environment.

In October 2023 took place the Environmental Education Day, in which Grenergy organized a reforestation activity with 20 students of Tourism of the Liceo Politécnico de Rauco, to teach the planting method and raise awareness about the importance of preserving native vegetation.

Highlighted case:

https://youtu.be/qf1UHIGCyq0 https://youtu.be/qf1UHIGCyq0 https://youtu.be/qf1UHIGCyq0 https://youtu.be/qf1UHIGCyq0 https://youtu.be/qf1UHIGCyq0

Recovery of vascular epiphytes in Tucanes park, Colombia

Vascular epiphytes emerge as key players in storing gigatons of carbon in forests. In this context, the environmental management plan for the biotic component of Tucanes Park in Colombia has been conceived with a strategic approach. Priority has been given to rescuing the gene pool of mosses and lichens to compensate for the impact on non-vascular epiphytes, thus generating a new area conducive to the colonization of these species.

The activities were carried out in collaboration with a local consultant. The flora experts oversaw site rehabilitation and plant rescue, as well as the subsequent inoculation of the recipient trees. In the initial phase, the rescue of vascular epiphytes, especially orchids and bromeliads, was carried out. Afterwards, an optimal site for planting was carefully selected

and, for two years, an inoculation program was carried out. These evaluations covered crucial variables such as phytosanitary status, growth in diameter and height, with the objective of evidencing the state of the planting and thus ensuring the successful colonization of non-vascular flora species.

The restoration area for non-vascular species in the Tucanes project covers one hectare, with 400 individual trees. These, added to those present in the territory, have converged to constitute a forest ecosystem of crucial relevance for environmental conservation.

Highlighted case:

Promoting biodiversity at the Escuderos and Tabernas solar power plants, Spain

At the Escuderos solar plant (Guadalajara), habitat improvement measures have been established for steppe birds through agricultural extensification techniques and the monitoring and location of the Monta-

gu's harrier has been carried out. Due to the significant decline in the Montagu's harrier population, the nests of this species have been monitored and identified so that, once located, they can be protected against predators by installing a fence around the nest and compensating the farmers for the protected area.

At the Tabernas solar plant (Almería), preliminary surveys have been carried out to identify protected plant species in the vicinity of the facilities, such as Rosmarinus eriocalyx and Linaria nigricans.

Net Positive Impact on Biodiversity

Biodiversity plays a fundamental role in the proper functioning of ecosystems and the services they provide, such as water regulation, carbon dioxide sequestration, nutrient cycling, and protection against erosion. A diverse ecosystem exhibits greater stability and resilience in the face of adverse events. In our commitment to achieve a net positive impact on our operations, Grenergy is colla borating with environmental organizations to identify and support voluntary ecosystem restoration and biodiversity enhancement initiatives. These "Nature-Based Solutions, NBS" projects use the power of nature to address major environmental challenges. In 2022, we conducted technical studies near the Ayora, Tabernas and Belinchón plants for the ecolo gical restoration of degraded wetlands, aimed at improving their condition, promoting habitat conservation and enhancing CO capture2 . These initiatives reinforce our com mitment to sustainability and environmental preservation in all our operations. Within the framework of the new sustainability

strategy 2024-2026, a catalog of biodiversity and ecosystem protection practices in our plants (Nature-Based Solutions, NBS) will be developed for our main plants in 2024. By 2026, we have set a target of achieving a net positive impact on biodiversity, in line with TNFD recommendations.

Noise and light pollution management

Grenergy avoids noise pollution according to current legisla tion through the effective maintenance of the machinery used in the construction and operation of all its projects, also favoring the reduction of polluting gases.

In addition, in its commitment to guarantee the minimum impact on the locations it operates, biological stoppages are carried out, normally during established periods in the months of March to June, coinciding with the mating season of species detected in the areas of influence. The limited activities are driving, drilling, earthmoving, etc., since these are the phases with the highest risk of acoustic emissions. In no case is night work carried out to have the least possible influence on the correct development of native biodiversity. Regarding light pollution management, in order to prevent the dispersion of light into the night sky, as well as to preserve the natural conditions of darkness for the benefit of ecosys tems, no outdoor lighting is installed at the photovoltaic plants, except for the lighting associated with the electrical substation for safety reasons (emergency lighting). Plant lighting is avoided as much as possible since there is no optimal solution to avoid harming flora and fauna.

4.2 FIGHT AGAINST CLIMATE CHANGE

Grenergy's business model plays a key role in mitigating and adapting to climate change by moving towards an energy system free of fossil fuels and adapting its processes in the most efficient and predictive manner to the possible effects of climate change.

Climate change is a global phenomenon that manifests itself in an increase in the Earth's average temperature, with effects such as melting glaciers, rising sea levels and the intensification of extreme weather phenomena such as droughts, floods, heat waves and tropical cycles.

In May 2023, the World Meteorological Organization published its Annual to Decadal Global Climate Outlook¹ , which warns that there is a 66% chance that temperatures will exceed pre-industrial levels by more than 1.5°C between 2023 and 2027. These projections indicate an acceleration of global warming, with devastating consequences. In Spain, the signs of climate change are already apparent.

The country is particularly vulnerable due to water scarcity in several regions. In this regard, the State Meteorological Agency (AEMET) warns of worrying trends such as the decrease in river flows, the expansion of semi-arid areas and the increase in heat waves.

The importance of acting is fundamental to avoid an increasingly adverse scenario at both the national and global levels.

In the context of climate change and actions to address the environmental crisis, Grenergy has established and successfully met the objectives outlined in its ESG Roadmap 2021-2023. The objectives address governance structure, ESG objectives in the Strategy, risk management, ESG impacts and ESG communication.

With the recent update of the 2024-2026 Sustainability Strategy, more ambitious climate objectives have been set, which will be summarized at the end of this chapter. Having more climate information is key for Grenergy to properly assess its exposure to the various physical and transitional risks and thus be able to correctly design its future business strategy.

Climate-related risks and opportunities

Grenergy follows the recommendations of the TCFD2 , to disclose climate issues. Grenergy has prepared an internal report assessing our alignment with these recommendations.

Disseminate the organization's governance around climate-related risks and opportunities.

STRATEGY

Disclose real impacts and potential risks and opportunities related to the business climate, strategy and financial planning of organizations where such information is material.

Disclose how the organization identifies, assesses, and manages climate-related risks and opportunities.

Disclose the objectives and metrics used to assess and manage risks and opportunities relevant climate-related information when such information is material.

Governance

Climate governance is structured at several levels, starting with the Sustainability Department and ending with the Board of Directors, through the Sustainability Committee, the Management Committee and the Audit and Control Committee (ACC) and the Appointments, Remuneration and Sustainability Committee, (ARSC).

Grenergy, in its 2024-2026 Strategy, also sets targets for climate a

change adaptation, such as the update of the climate risk matrix and the specific adaptation roadmap, as well as an inpact assessment for business climate derivatives and for financial planning

Climate strategy

Grenergy's strategic plan responds directly to climate-related opportunities through its goal of reaching 5 GW in solar PV construction and operation by 2026 in various markets. In 2023, the company has continued to make progress towards its strategic targets with a project pipeline of 15.3 GW at year-end, an increase of 3.6 GW in the last 12 months. The company is implementing several strategic initiatives, including the introduction of new storage systems, such as battery systems in plants, and the evaluation of green hydrogen projects in the long term. To strengthen its position in the market and respond to emerging opportunities, the company has decided to enter new markets to geographically diversify its operations, and in addition, it plans to implement an evaluation prior to contracting suppliers in its supply chain.

Grenergy's climate change mitigation and adaptation strategy focuses on the complete decarbonization of its business model and the implementation of best adaptation practices. In the definition of its 2024-2026 sustainability strategy, approved by the Board of Directors in November 2023, Grenery sets ambitious mitigation targets such as carbon neutrality in 2040 for Scopes 1, 2 and 3.

To this end, absolute emissions are to be reduced by 60% by 2030 in Scopes 1 and 2, and a 50% reduction in relative emissions (relative to sales) in Scope 3 by 2030 (targets to be validated by SBTi during 2024). This will contribute to the energy transition and help to avoid millions of CO2 tons every year. In terms of adaptation, the plants of Grenergy makes efforts to adapt to the potential effects of climate change through regular assessment of climate change risks and opportunities. Grenergy identifies, quantifies and manages different types of risks such as those arising from regulatory changes, rising raw material costs and changes in weather and climate patterns, with their associated potential financial impact. Grenergy considers all geographies where it operates and values different time horizons. In line with the established objectives and the definition of its new Sustainability Strategy 2024-2026, Grenergy also plans to implement new measures, including the development of a decarbonization strategy for scope 3 of the carbon footprint, the development of a climate change action policy, the implementation of a climate change adaptation plan in the business strategy and the development of an emissions compensation strategy for 2040, as well as the establishment of an internal carbon price.

Climate risk management

The control and management of climate change risks is treated in the same way as the company's global risk management. Governance is based on several levels of defense, involving the Management Committee, the Compliance functions, Internal Audit and the Audit and Control Committee. It should be noted that Grenergy plans to incorporate a risk manager, whose functions, among others, will be global risk management and control, who will monitor the risk management process, integrating climate risk management into the system and into his or her responsibility. However, the company ensures that the methodology and criteria used to quantify risks are homogeneous and common to the entire organization. Therefore, the business unit management teams will work in collaboration with the new corporate function in charge of ensuring consistency in risk identification.

Grenergy has an ESG risk map scheduled to be updated in 2024. The current map was drawn up in collaboration with the different business areas and corporate functions, which identified the main risks and assessed them in terms of probability and impact according to the corporate methodology. Subsequently, specific action plans were established to address each of these risks.

Grenergy assesses, among other things, emerging regulatory risks when planning new projects, considering the energy transition and is exploring markets with emerging legislation in favor of renewable energies, such as Austria, Hungary, the Czech Republic and Romania.

In 2023, Grenergy has conducted a physical climate risk assessment for each of its economic activities according to the Environmental Taxonomy, as well as a vulnerability analysis of projects based on the climate scenario that best suits Grenergy's economic activities. This assessment aims to address environmental concerns and promote initiatives to adapt to the impacts of climate change.

Analysis and identification of climate scenarios for physical climate risk assessment:

The following graph shows a representation of the global surface temperature projection to 2100 with respect to the pre-industrial era (1850-1900) under the 5 IPCC climate scenarios.

IPCC AR6 Report "Climate Change 2021: The Physical Science basis" IPCC Working Group 1

Grenergy has chosen to use the IPCC SSP5-RCP8.5 stressed climate scenario for physical climate risk analysis. This decision responds to the requirements of the new Corporate Sustainability Reporting Directive (CSRD), which aims to provide a strategic approach to company business. In addition, other reporting frameworks, including the new ISSB (International Sustainability Standards Board) IFRS-S216 disclosure recommendations on compliance with the TCFD guidelines, together with other regulatory frameworks such as the EU Taxonomy and Law 7/2021 on climate change and energy transition, give companies the freedom to select the climate scenario they deem appropriate for their business reality.

Along these lines, Grenergy's physical climate risk analysis selects an SSP5 socioeconomic narrative, satisfying the prudence criterion. This involves the use of a high emissions climate scenario to analyze the exposure and sensitivity of the company's operations to physical climate risks, which has a trajectory of GHG concentrations RCP8.5. The selection of this scenario (SSP5-RCP8.5) allows the company to comply with the CSRD point described above and at the same time satisfy the principle of prudence, since the impacts may fall on both employees and the infrastructure deployed.

Ultimately, the choice of the climate scenario is based on the strategic importance provided by the requirements of the new CSRD, as well as the recommendations of the TCFD framework led by the IFRS Foundation and the requirements of the EU Taxonomy and Law 7/2021 on climate change. This analysis includes possible changes in climate trajectories up to 2050, which provides an adequate time horizon for a full analysis of the impact of potential climate risks on Grenergy's operations.

By selecting the SSP5-8.5 climate scenario, Grenergy aligns with the requirements of the CSRD and complies with Appendix A of the European Taxonomy.

Climate change mitigation challenge level (global socio-economic aspects)

Selected climate scenario for Grenergy's reality

Comparison of SSP-RCP scenarios

Grenergy has chosen to use the IPCC SSP5-RCP8.5 stressed climate scenario for the analysis of physical climate hazards in accordance with the CSRD

The critical physical climate change hazards for Grenergy are flooding, thermal stress and temperature variability

Quantitative assessment of physical hazards and climate vulnerability

Through the different sources of climate information analyzed (bibliographic and documentary analysis, cartographic analysis, statistical analysis and internal documentation), it has been possible to identify those risks that have the potential to affect Grenergy's assets in the future.

The analysis considered the exposure, sensitivity, adaptive capacity and finally the climate vulnerability of the activities to physical climate risks applicable to Grenergy's reality.

Grenergy's global physical climate risk matrix

Heat map reflecting the company's overall climate vulnerability or residual risk with respect to each climate risk according to the selected climate scenario (IPCC SSP5-RCP8.5) aligned with EU taxonomic requirements. The exposure reflects the probability of occurrence of the risk and the residual sensitivity the residual impact on the entity's global activity.

Mitigation and adaptation measures for critical climate risks.

Adaptation measures against critical climate risks, designed to specifically address the hazards identified in Grenergy's economic activities, are presented below.

Table 8. Physical climate risk mitigation and adaptation measures 2023

Type of physical risk	Risk description	Magnitude of impact	Impact	Mitigation/adaptation measures
Floods	River and rainfall flooding is a climatic risk to be taken into account. In regions prone to heavy rainfall, such as Colombia and parts of Peru, flooding can cause damage to plant infrastructure, affecting electrical systems and component connectivity. In addition, excess water can cause interruptions in production and, in extreme cases, put the physical integrity of the facilities at risk.	Very high	Damage to solar panels and electrical equipment.	Location design for new projects: Selection of elevated and less flood-prone sites. Sustainable drainage systems incorporation: Design of green and blue infrastructures1 for sustainable drainage and natural flood zones or "sponge" spaces including substrate permeabilization and water harvesting.
Thermal stress	Thermal stress can generate an increase in ambient temperature, negatively affecting the efficiency of solar panels and reducing energy generation. This phenome non can be especially critical in regions with high temperatures, such as parts of Mexico and Spain.	Very high	Reduced efficiency of solar panels, damage to plant installation (inverters/- transformers) and increased heat stress on EPC and O&M employees.	Cooling systems: Implementation of cooling technolo gies for solar panels. Thermal monitoring: Monitoring of the temperature of the panels to adjust the operation, and generate high temperature warnings for workers.
Temperature variability	Temperature variability is another crucial factor to consi der. Extreme fluctuations in temperature can lead to wear and tear on plant equipment and components, which could result in additional maintenance and repair costs. In addition, these thermal variations can influence the efficiency of cooling systems, compromising the ability of the facilities to maintain an optimal operating temperature.	Very high	Abrupt changes affecting production	Energy storage and management: Integration of stora ge systems to compensate for variations in energy production. Weather forecasting: Use of weather forecasts to adjust production.

Adaptation solutions to the physical climate risks assessed.

In addition, there are not only critical physical climate risks, but also transitional risks that have a significant impact and a high probability of occurrence, as detailed below:

Technological Very high The Paris Agreement aims to keep the global average temperature increase below 2°C and to continue efforts to limit the temperature increase to 1.5°C above pre-industrial levels. Energy production and use is the largest source of greenhouse gas (GHG) emissions, making the energy sector crucial to achieving this goal. As countries reach very high shares of renewable energy, the need for flexibility will shift to longer periods of time (several days or weeks) during which systems are over- or under-supplied. High adoption of solar energy may pose a challenge for utilities in balancing supply and demand on the grid, due to the increased need for electricity generators to quickly ramp up power production when the sun goes down and the contribution of photovoltaic power decreases. Considering this analysis, the company identified a strategic risk related to energy storage capabilities and interference with mediumand long-term strategic growth objectives. Intermittency in power generation Loss of income due to reduced demand for products and services Grenergy has established a diversification strategy to reduce dependence on solar and wind energy production, evaluating investments in new technologies linked to energy storage systems, as well as other emerging clean energies such as green hydrogen. Type of transition risk Magnitude Impact Mitigation/adaptation measures of impact Risk description Table 9. Mitigation and adaptation measures climate transition risks 2023

The correct management of climate risks, as well as the definition of new opportunities, have allowed Grenergy to increase its resilience, promoting the diversification of its business portfolio, with investments in new technologies such as storage.

Table 10. Opportunities associated with climate change 2023

Type of transition risk	Risk description	Magnitude of impact	Impact	Magnitude of impact
Products and services	The company has a balanced and geographically diversified project portfolio based on an assessment of risks and opportunities. The company benefits from its experien ce in countries where it has a track record, such as Chile and Spain, which represent around 80% of the company's operating target for 2023, and where there is a growing demand for renewable energy encouraged by the policies in force. In 2025, the geographical distribution (by MW) is expected to be 53% in Latam, 43% in Europe and 4% in the USA.	Very high	Increased revenues because of higher demand for products and services	Strategic growth plan with an installed capacity target of 5GW in 2026.
Resilience	Grenergy recognizes the key role that battery innovation is playing in the transition to clean energy technologies. The International Energy Agency (IEA) estimates that by 2040, around 10,000 GWh of batteries across the power system and other forms of energy storage, 50 times the size of the current market. Although this technology is currently not fully on track, both in terms of deployment and cost, Grenergy identifies an opportunity to increase the resilience of its business compared to its peers by incorporating this technology into its strategy to improve the performance of variable, weather-dependent renewable energy sources. Additionally, according to the IEA, about 10,000 GWh of batteries will be needed annually across the energy system and other forms of energy storage by 2040, up from about 200 GWh today.	Very high	Increased revenues as a result of higher demand for products and services	Creation of a storage division with senior talent and development of a pipeline of 11.3 GW of projects at different stages of development in 12 countries.
Market	Grenergy proactively seeks opportunities in new markets to diversify its activities and better position itself for the transition to a lower carbon economy. Wind and solar power are expected to account for 30% of global installed capacity by 2040, and electrification and green hydrogen generation will increase global electricity demand. Global installed capacity is projected to increase from about 6.7 TW in 2016 to 12.0 TW in 2040, with 30% of installed capacity renewable (17% solar PV and 14% wind). Opportunities arise in very diverse markets and the company's project portfolio is well balanced geographically across three platforms: Latin America, Europe and the United States. Following an analysis, the company decided to expand its presence into new markets, such as Italy and the UK, and more recently Poland, the US and Germany. In Germany, for example, the company has set a target of developing a 3 GW wind farm by 2025.	Very high	Access to new markets	Agile and scalable business model with the ability to capture opportunities throu gh public-private partnerships and innovative financing solutions by raising green finance to support expansion and growth in new and existing markets.

FEATURED CASE

9.9 MW SOLAR PROJECT IN CERRITOS, COLOMBIA

Grenergy develops risk management plans for its projects. For example, for the Cerritos solar project, secondary information was obtained from official sources, technical studies previously conducted in the area, and applicable regulations.

The risk management plan established the procedures to be followed to deal with emergency situations of any magnitude, to avoid affecting the physical integrity of people, the environment and the project's infrastructure.

For the formulation of this plan, analyses of the socioeconomic conditions of the area were included to measure the degree of impact on the resources during the construction and operation of the project.

The methodology used for the design of this plan was based on the identification of the most significant risks, an analysis of their impact and probability, and the preparation of specific programs detailing the actions to prevent and address the risks to which the project is subject.

Metrics and objectives

Metrics

The Science Based Targets (SBTi) initiative, led by the Carbon Disclosure Project (CDP), United Nations Global Compact, World Resources Institute (WRI), World Wildlife Fund (WWF) and We Mean Business, aims to guide companies in setting ambitious science-based climate targets for GHG emissions reductions. It focuses on ensuring that businesses contribute to keeping global temperature rise below 2°C compared to the pre-industrial era, a target set in the Paris Agreement. Adherence to this initiative requires prior validation of the proposed targets by companies to ensure alignment with the established objectives.

In 2023, Grenergy joined the SBTI initiative and was able to validate its near-term targets for Scope 1 and 2 with a 42% reduction in 2030, taking 2021 as the base year. These reduction targets were based on the SBTI default reduction trajectory for small and medium-sized enterprises (SMEs). During 2024, work will be carried out on SBTI validation for the new scope 1, 2 and 3 emission reduction targets proposed under the net zero strategy, approved by the Board of Directors in 2023 (for more information, see the Net Zero Strategy section).

THE CARBON FOOTPRINT OF OUR BUSINESS

Grenergy has carried out the verification of its carbon footprint for the year 2023, for the second consecutive year, following the criteria of the international standard ISO 14064, which guarantees the credibility of an organization's greenhouse gas (GHG) emissions reports.

In addition, the Ministry for the Ecological Transition and the Demographic Challenge has revalidated the recognition of the results obtained in Grenergy's Carbon Footprint for the year 2022. For the second consecutive year, the Calculo seal has been awarded.

DIRECT AND INDIRECT GREENHOUSE GAS EMISSIONS

The period analyzed for the emissions calculation is from January 1 to December 31, 2023, and the GHG inventory boundaries follow the operational control approach1 . Calculations are presented in tons of CO2 equivalent and include all GHGs relevant to the company: CO2 , CH4 and N2O. GHG emissions are calculated following the criteria defined in the GHG Protocol. The conversion factors used are as follows:

UK Department for Environment, Food and Rural Affairs (DEFRA)
Intergovernmental Panel on Climate Change (IPCC) 2006 IPCC guidelines for national greenhouse gas inventories
Spanish National Greenhouse Gas Inventory (GHG)
Ministries of Energy and Environment of Latin American countries

Breakdown of Scope 1 and 2 emissions

In 2023, our activity generated 448.9 tCO2e of Scope 1 direct emissions which represents a 10% increase of our Scope 1 emissions compared to the base year, 2021. However, with the recent net zero strategy, we expect to replace the diesel/gasoline vehicle fleet with electric vehicles in the coming years (76% of the overall Scope 1).

As for the indirect Scope 21 emissions of 58.9 tCO2e, we made a significant reduction of 82% regarding the base year. As part of our net zero strategy, we have acquired International Renewable Energy Certificates (IRECs) to reduce the entire Scope 2 emissions from Chile and México. In this way, we have reduced Scope 2 emissions from 285.4 tCO2 to 58.90 tCO2. This initiative aligns with Grenergy's commitment to reduce and neutralize our carbon emissions.

Grenergy has reduced in 2023 36% of the Scope 1 and 2 emissions compared to 2021 (base year), thus demonstrating its commitment to the emission reduction targets set in the net zero strategy

Breakdown of Scope 3 emissions

In 2023, the Scope 3 emissions sources were categorized according to the different categories indicated by the GHG Protocol methodology (4 Scope 3 categories, both upstream and downstream), resulting in total emissions of 228,231.35 tCO 2 e . The following table shows the most significant greenhouse gas (GHG) emissions accor ding to the categories established by the GHG Protocol.

	Tm CO 2e 2023	Variation vs 2021 (%)
Category 1: Goods and services purchased
Purchase of solar panels	221,414.13	18%
Machinery operated by third parties and fuel consumption in vehicles owned by subcontractors	4,010.48	97%
Water supply Offices	0.53	41%
Category 4: Transportation and distribution
Logistics: land	1,974.74	72%
Category 5: Waste generated in operations
Water treatment Offices	0.60	6%
Water supply Projects	1.71	37%
Hazardous waste Projects	1.04	-79%
Non-hazardous waste Projects	386.82	78%
Non-hazardous waste Offices	0.0006	-
Hazardous waste Offices	0.00	-
Category 6: Business travel
Flights	371.27 16%
Trains	2.45	49%
Rental vehicles	67.58	49%
Total	228,231.35	20%

Emissions intensity

Emissions intensity indicates the amount of pollutants or greenhouse gases released in a given period. It is calculated in terms of quantity of emissions per economic unit (sales).

The intensity of Scope 3 emissions, which represent the amount of indirect emissions related to activities outside the direct control of the organization, shows a decreasing trend, reaching 569.5 tCO2e/M€ .

This represents a 54% decrease vs. 2021 on the pathway agreed with the net zero strategy targets of 50% reduction of relative scope 3 emissions by 2030.

Emissions intensity tCO2 eq/sales (M€)

Other emissions1

In the detailed analysis of carbon emissions, other emissions also need to be addressed. Such as Nitrogen dioxide (NO2), Methane (CH4) and Sulfur Hexafluoride (SF6) due to their significant climate impact.

In 2023 the total emissions were 563.6 tons of CH4 and 71.75 tons of NO2.

Table 13. Avoided Emissions by Country 2022-2023

	2021	2022	2023
Tm CH4	0.37	0.50	563.60
Tm N2O	11.14	10.08	73.75
Tm SF6	-	-	0

The emissions we avoid

Grenergy has played a fundamental role in reducing greenhouse gas emissions into the atmosphere through its renewable energy production activities.

In 2023, through the generation of electricity from our wind farms and solar plants, which amounts to 1,045 GWh (773.3 GWh solar and 271.7 GWh wind), we will avoid the emission of 325,408 tCO2e, an amount higher than that of the previous year, 245,398 tCO2e avoided in 2022. This amount translates into the annual emissions associated with the energy consumption of 333,287 households.

Table 13. Avoided Emissions by Country 2022-2023

Countries	TN CO2 avoided 2022	TN CO2 avoided 2023
Spain	48,348.95	60,206.36
Chile	87,615.42	99,567.81
Peru	52,845.32	68,106.94
Mexico	32,113.81	33,395.12
Argentina	52,209.11	50,637.42
Colombia	4,346.99	13,494.08

1 Other emissions refer to direct emissions corresponding to other refrigerant gases. Specifically, in 2023 there has been no recharge of SF6 gas due to loss of leakage. - ² Avoided emissions have been calculated using production by country and emission factors of the national electricity mix published by official sources and for equivalence of energy consumption in households (IDAE 2022).

Energy consumption

Energy consumption comes both from the consumption of fuels from generators, machinery and company vehicles and from the consumption of electricity purchased or acquired. In this sense, the following is a breakdown of energy consumption and electricity generation from renewable and non-renewable sources by type of use.

Table 14. Energy consumption 2023

	Renewable consumption	Non-renewable consumption	Total consumption
Fuel consumption (generators, machinery and vehicles Grenergy)	0 MWh	1,928 MWh	1,928 MWh
Purchased electricity consumption or acquired	339.7 MWh	970,6 MWh	1,610.3 MWh
TOTAL ENERGY CONSUMPTION (MWh)	339.7 MWh	2,898.6 MWh	3,538.3 MWh
TOTAL ELECTRICITY GENERATION (MWh)	1,044,570 MWh	0 MWh	1,044,570 MWh

NET ZERO Strategy

Grenergy prepared its Net Zero Strategy at the end of 2023 and in early 2024 it was approved by the Board of Directors. This roadmap established 12 actions to significantly reduce Scope 1, 2 and 3 emissions and, therefore, commit to medium- and long-term emission reduction targets. The strategy arose in response to the current climate emergency and defines a decarbonization pathway aligned with the 1.5C objective, covering the main direct and indirect emissions.

Specifically, a 60% reduction in absolute GHG emissions was established for Scopes 1 and 2 by 2030 and a 50% reduction in relative GHG emissions (relative to sales) for Scope 3 by 2030, taking 2021 as the base year. Grenergy is also committed to achieving carbon neutrality for Scopes 1, 2 and 3 by 2040, ten years ahead of European and national commitments such as the EU Green Deal and PNIEC. These ambitious, science-based targets will be validated by SBTi throughout 2024. For more information on emission reduction and offsetting measures see the Net Zero Report on our website. As of today, Grenergy is on the right path to decarbonization, as well as meeting the targets set. The status is summarized below:

Table 15. Grenergy's Net Zero Strategy
	2021	2022	2023	Variation vs. 2021	Target 2030	Target 2040
Scope 1 y 2(t CO2)	728	793	506	-36%	60%
Scope 3 (t CO2/M€)	878.1	283.1	569	-54%	50%	NET ZERO
Scope 1 , 2 y 3 (tCO2)	193,899	83,739	228,231	16%	-

In 2023,thanks to the generation from our projects, Grenergy has managed to avoid the emission of 325,287tCO2eq, which is equivalent to the energy consumption of 333,287 households

Net Zero by2040

by 2040

Net Zero

GHG direct and indirect own and our value chain emissions scope 1, 2 & 3

by 2030 GHG indirect emissions from our value chain scope 3/sales

-50%

ESG ROADMAP 2021-2023

-60%

by 2030 GHG direct and indirect own emissions scopes 1 & 2

4.3 EFFICIENT WATER MANAGEMENT

Water resources are a valuable and scarce commodity that Grenergy uses in a responsible manner

The execution of our renewable energy projects, as well as subsequent operations and maintenance tasks, involve the use of water for various activities. These include particulate matter control and road stabilization, solar panel washing, general cleaning, and water supply for employee consumption and hygiene. Despite the need for water in these activities, Grenergy is committed to not discharging harmful waste into the environment. To properly manage this situation, we have implemented chemical toilets managed by specialized companies to avoid any type of harmful discharge. In this way, we ensure responsible water management that safeguards the environment.

Sustainable use of resources

The company, aware of the risks associated with water scarcity, is seeking to minimize the enivornmental impact.

The main actions carried out for a more efficient use of sustainable water manageauthorization and under the 100% of industrial water used in the operation of our Quillagua solar plant, located in Chile's Atacama Desert, is powered by desalinated wáter from the region

control of the competent authority in charge of its administration. As far as possible, low-impact sources are sought, such as desalinated water produced nearby, and no water

storage is carried out.

ment are: s u r f a c e w a t e r abstraction carried out with strict

During 2023, we have been implementing the recommendations established in the water footprint analysis in accordance with ISO 14.046 to identify water consumption, opportunities for improvement and associated impacts. These results made it possible to identify the most relevant points on which action should be taken.

As a measure to reduce industrial water consumption, dry panel washing, and the use of dust suppressants continued in 2023.

Dry cleaning of panels has permitted Savings of 8 million m3 of water at the Quillagua plant (Chile) and 592 million m3 in the PMGDs subcontracted in O&M

The total water consumption in 2023 amounts to 10,306 m3 globally and the proportion of water consumed in areas considered water stressed amounts to 7,932 m3 , according to WRI's Aqueduct. This consumption corresponds to 77% of all projects. In these areas, 8% of the water consumed comes from surface water, subject to limits and controls established by the competent authority, and the remaining 68% is water purchased from third parties. In addition, each project periodically evaluates potential measures to reduce water consumption and mitigate potential impacts of water use.

Grenergy seeks to maximize the use of resources and minimize waste generation. We believe that all materials should be reused or recycled to the maximum extent possible to prolong their useful life and reduce the need to extract new natural resources

CIRCULAR ECONOMY PROMOTION

4.4

Grenergy is committed to the circular economy in its operations for several reasons:

Reduced dependence on natural resources: by reusing and recycling materials, the need to extract new natural resources is reduced, which can contribute to the conservation of ecosystems and biodiversity.
Energy savings: the reuse of a product or the recycling process usually requires less energy than the production of materials from natural resources. Therefore, the circular economy can contribute to the reduction of greenhouse gas emissions and energy savings.
Waste reduction: the circular economy seeks to minimize the generation of waste and maximize its value, which can contribute to reducing the amount of waste sent to landfill.

In our commitment to the circular economy, Grenergy monitors consumption and waste generation at all its plants under construction and operation, as well as at its offices. In this way, we can detect unusual variations that may indicate inefficiencies in the use of resources. GHG emissions during waste management are considered in Scope 3 in the carbon footprint calculation.

Waste management hierarchy

Our objective is to minimize water consumption and its environmental impact, as well as to maximize the reuse and recycling of waste. In this sense, we seek synergies with the local community to promote the circular economy. To this end, a large part of the waste generated during construction is donated to different entities to give it another use and extend its useful life. For example, at the Quillagua PV, some defective panels were reconverted into desks. Waste that cannot be donated because it has no direct value is mostly sent to recycling plants. Ultimately, the remaining waste is sent for energy recovery or landfilling.

*Towards zero discharge

In 2023, given the increase in plant construction activity, the company has increased the amount of total waste to 1,650.6t, of which 1,596.7t corresponds to non-hazardous waste and 53.9t corresponds to hazardous waste.

Grenergy uses a hierarchy of measures in terms of resource management and waste

Table 16. Total and donated waste 2022-2023

Typology	Units	20221	2023
Hazardous waste	Tn	97.6	53.9
Destined for disposal: Landfill	Tn	97.6	3.6
Destined for disposal: Incineration	Tn	0	0.3
Destined for non-disposal: Preparation for reuse	Tn	0	44.6
Destined for non-disposal: Recycling	Tn	0	5.5
Non-hazardous waste	Tn	644.7	1,596.7
Destined for disposal: Landfill	Tn	637.7	827.3
Destined for disposal: Incineration	Tn	0	0
Destined for non-disposal: Preparation for reuse	Tn	0	761.9
Destined for non-disposal: Recycling	Tn	7.1	7.5
Total waste (hazardous + non-hazardous)	Tn	742.3	1,650.6
Donated waste	Tn	69.2	9.769

50% of the total waste is destined to reuse and/or recycling and 48.2% of non-hazardous waste is destined for reuse and/or recycling

The 2022 annual data for hazardous waste and, therefore, for total waste is modified due to erroneous unit conversion in the data.

Solar panels are the main hazardous waste

from Grenergy's activity. Following the hierarchy of measures, the first action to be implemented corresponds to the search for actors in the local community or educational institutions that can give a second use to our panels. In this regard, the high level of waste donations, especially of wood, cardboard and copper, is explained by the adoption of a circular economy approach in Latin American countries such as Chile and Colombia.

This practice seeks a second life for the useful life for the unused materials on site, thus avoiding their disposal in landfills and promoting their utilizationby local communities. This donation contributes to community development by generating a positive local impact by providing resources for local projects, reducing the environmental footprint and fostering collaboration between companies and communities.

If the condition of the used panels does not permit their reuse, they are sent to recycling plants where 85% to 100% of the materials are recycled.

Non-hazardous waste corresponds to plant construction and consists mainly of packaging, cardboard and wood. These wastes are sent to recycling plants because of their recyclability. The recycling rate depends on the country in which the waste is produced. This practice is one of many examples that demonstrate the company's commitment to environmental responsibility.

In 2023 Grenergy has donated to local communities, mainly in Chile and Colombia, 9,769 tons of wood, cardboard and copper, generating a positive local impact and ensuring a

second life for these materials

Construction of the Pétalo de la Magdalena solar plant, Colombia

During the construction stage of the Pétalo de la Magdalena project in 2023, the strengthening of local enterprises associated with waste utilization continued. On this occasion, 37,976 kg of usable waste valued at approximately €2,100 were optimized. The recyclable waste included cardboard, plastic, wood, scrap metal, cable, PVC pipes, among others.

In addition to the economic benefit, the use of waste contributed to reducing the environmental impact in the area. Recycling and reusing these materials prevented them from ending up in landfills or being burned, which would have caused pollution and damage to the environment.

The recyclable waste in the Pétalo de la Magdalena project was optimized and 100% donated, benefiting 445 people, including workers at the solar park, inhabitants of the communities of influence and local entrepreneurs.

Through technical support from our environmental professionals, local entrepreneurs were able to optimize their recycling processes and find new business opportunities. The circular economy was also encouraged in the region, promoting sustainable resource management and generating employment and local development. The Pétalo de la Magdalena project demonstrated that it is possible to use waste responsibly and generate a positive impact on the community. This motivates other companies and entrepreneurs to adopt similar practices, thus contributing to the construction of a more sustainable and environmentally friendly future.

FEATURED CASE

ADHESION TO THE "SCRAP" SYSTEM FOR SOLAR PANEL MANAGEMENT:

In 2023, we joined a Collective System of Extended Producer Responsibility (SCRAP) for the proper management of our purchased panels in com pliance with Royal Decree 27/2021 and Law 7/2022 on Waste and Contaminated Soils for a Circular Economy.

Grenergy is committed to the proper manage ment of its waste electrical and electronic equip ment (WEEE) by joining the SCRAP European Recy cling Platform (ERP), through which we declare all the solar panels we import from third countries to contribute to their control and proper manage ment. In this way, we increase the traceability of photovoltaic panel waste, as it allows us to know the complete route to its destination. In addition, it allows us to increase transparency and contribute to the circular economy through the recyclability of electrical and electronic equipment (EEE) at the end of its useful life.

CREATING 05 SHARED VALUE

5.1 5.2 5.3 GROWING WITH OUR EMPLOYEES BUILDING LINKS WITH OUR COMMUNITIES RESPONSIBLE SUPPLY CHAIN MANAGEMENT

5.4 HUMAN RIGHTS COMMITMENT

Grenergy's workforce maintains its double-digit growth, with a year-on-year variation of 31% (vs. 2022)

GROWING WITH OUR EMPLOYEES

The determination and trust of our team ensures that we meet our objectives and become a reference in the competitive and clean energy sector.

A GROWING TALENT

5.1

Our team continues to grow in line with the expansion and development of the business activities that fulfill our strategic plan.

EFTP (Equivalent workforce) 1

Grenergy's evolution, both from the perspective of the organization and its people, is based on sustainable development and respect. We value the potential of each person regardless of their origin, characteristics, attributes and preferences.

We always act with people's needs in mind, taking care of each member of the team, day by day, to move steadily towards the goals set by the organization, leaving no one behind. That is why the health and well-being of our employees is our priority.

1 The personnel included in the calculation of the total number of employees per year (EFTPs) is the personnel with employment contracts, indefinite or temporary, signed with GRENERGY. In this sense, the figures of the CEO, Board members, freelancers and interns have not been considered as computable workforce in this calculation. 95

In addition to the deployment of the Choose My Company survey, we have developed an ad hoc live climate measurement questionnaire, under the name of Grenergy Pulse, with the aim of obtaining regular feedback from all employees on various topics that we consider key to success: work experience, mainly happiness, stress and well-being, purpose and work motivation; professional develop ment, mainly merit, career and training; reputation and belonging, mainly culture, brand strength, values and social relationships; and leaders hip and compensation. This survey allows us to obtain information more frequently, as it measures the pulse of employees on a recurring basis, allowing us to extract data in real time and carry out action plans. This internal climate survey was launched globally in 2023 and has achieved a participa tion rate of more than 45%. In this regard, among the best performing topics would be Grenergy's reputation and the feeling of belonging, obtai ning an average satisfaction rating of 75 and 76 (out of 100) respectively.

Grenergy, from its Sustainability Policy and Strategy, reaffirms its commitment to ensure equal opportunities, promote the participation of women in all phases of the business model and stakeholder representation, favor labor flexibility, encou rage professional development and promote a culture of safety and health. In this way, the social actions and goals integrated by Grenergy maintain their alignment with the United Nations Sustainable Development Goals, highlighting the social contribution in goals 5 (Gender equality) and 8 (Decent work and economic growth).

A good place to work is characterized by close communication and collaboration based on respect, credibility and integrity of people, while promoting fairness and diversity based on impartiality, favoring the feeling and pride of belonging. Grenergy is an organization capable of attracting and retaining talent, as eviden ced by the Choose My Company certification, which recognizes Grenergy globally with the following certifications:

At the end of 2023, 92% of employees (391) have permanent contracts, while the remaining 8% (34) are employees with temporary contracts. This type of contract arose from the need to incorporate technical profiles and field personnel in construction works, adapting to the status of the different projects.

92% of our employees have permanent contracts

Working time is distributed on a full-time basis according to the regulations in force in each country, with a distribution of 5 days a week. Similarly, all Grenergy employees work under this framework, since the organization does not have employees with shift work distribution.

Table 16. Workday typology by Gender breakdown 2023
	Full-time	Part-time
Women	131	4
Men	285	5
Total	416	9

Table 17. Workday typology by age 2023
	Full-time	Part-time
Less than 30	112	5
Between 30 and 50	256	4
More than 50	48	0
Total	416	9

	Full time	Part-time
Senior Management	6	0
Area Directors	11	0
Middle management	49	0
Technicians	226	5
Site/ground personnel	123	4
Total	416	9

TABLE 19. EMPLOYEES BY GEOGRAPHIC DISTRIBUTION 2023

	EUROPE						AMERICA
	Spain	Italy	UK	Poland	Romania	Germany	Chile	Colombia	Peru	Argentina	Mexico	US	Total
Number of women	58	6	1	2	0	2	46	11	6	-	1	3	135
Number of men	103	9	4	6	0	9	111	26	8	2	1	10	290
Total 2023	161	15	5	8	0	11	157	38	14	2	2	12	425
Total 2022	113	7	3	6	0	2	115	29	10	3	1	12	289

TABLE 20. EMPLOYEES BY CONTRACT TYPE AND GENDER 2023
	EUROPE						AMERICA
	Spain	Italy	UK	Poland	Romania	Germany	Chile	Colombia	Peru	Argentina	Mexico	US	Total
% Indefinite-term contract	100	100	100	100	100	93	88	74	81	100	59	100	92
% Women	36	40	20	23	100	19	27	40	44	0	0	19	32
% Men	64	60	80	77	100	81	73	60	56	100	100	81	68
% Temporary contract	0	0	0	0	0	7	12	26	19	0	41	0	8
% Women	0	0	0	0	0	0	43	2	29	0	100	0	31
% Men	100	0	0	0	0	100	57	98	71	0	0	0	69

	Senior Management	Area Directors	Middle management	Technicians	Site/ground personnel
Indefinite-term contract	6	11	49	227	96
Temporary contract	0	0	0	4	30
Men	4	9	33	138	106
Women	2	2	16	94	21

TABLE 22. EMPLOYEES BY CONTRACT TYPE AND AGE 2023
Age	Indefinite	Temporary	Total
less than 30	107	10	117	28%
between 30 and 50	243	18	261	61%
more than 50	41	6	47	11%

TABLE 23. AVERAGE REMUNERATION (€) BY CATEGORY, GENDER AND AGE 2023

		EUROPE					AMERICA
Gender	Professional Category	Spain	Italy	UK	Poland	Romania	Germany	Chile	Colombia	Peru	Argentina	Mexico	US
Men	Senior Management and Area Directors	105,577	-	-	-	-	-	101,317	-	-	-	-	-
	Middle management	70,666	90,000	114,265	-	-	105,000	47,069	44,990	72,727	43,645	-	152,523
	Technicians	35,624	40,309	63,176	40,510	-	54,030	27,867	16,083	12,238	-	45,356	126,435
	Site/ground personnel	35,463	-	-	-	-	-	16,761	8,475	21,651	39,252	48,950	-
Woman	Senior Management and Area Directors	84,300	-	-	-	-	-	-	48,258	-	-	-	-
	Middle management	60,471	-	-	-	-	-	55,984	27,748	23,433	-	-	-
	Technicians	34,492	39,722	71,765	36,209	20,500	34,626	29,955	21,084	25,197	-	-	66,297
	Site/ground personnel	25,188	-	-	-	-	-	14,995	8,552	11,313	-	16,987	-

TABLE 24. AVERAGE REMUNERATION (€) BY GENDER 2023
Gender	Average (€) 2023
Male	37,141
Female	34,411

TABLE 25. AVERAGE REMUNERATION (€) BY AGE 2023
	EUROPE					AMERICA
Age	Spain	Italy	UK	Poland	Romania	Germany	Chile	Colombia	Peru	Argentina	Mexico	US	Average (€)
less than 30	31,626	31,000	62,794	-	20,500	22,377	18,863	10.398	11,329	-	16,258	-	24,003
between 30 and 50	50,918	48,508	114,265	37,579	-	60,824	29,539	19,472	27,050	41,449	46,255	149,611	39,675
More than 50	42,217	50,000	68,235	44,543	-	66,857	18,188	16,665	12,494	-	-	115,467	30,320

TALENT ATTRACTION

Grenergy promotes measures to improve the attraction of talent. As a result, a total of 125 new hires were made in 2023, 27% more than in 2022. Of the new hires, 86 were men and 39 were women.

In addition, Grenergy is committed to attracting young talent through long-term collaboration with the public business entity ICEX. Grenergy offers the candidates presented by ICEX and selected, a roadmap, supervised by a mentor, allowing them to gain experience in the renewable energy sector and in business development, as well as the opportunity to participate in international projects. In 2023, an ICEX candidate has been selected to join Grenergy as part of our commitment to young talent.

In addition, we promote young talent through initiatives such as the Grenergy Talent Program, a project in collaboration with Fundación Universidad Empresa (FUE) that aims to incorporate young recent graduates in a scholarship program. After a rigorous selection process, including group dynamics, language tests and individual interviews, a total of 10 people joined us in various departments in the second edition of this program. All of them are simultaneously pursuing a Master's Degree in Agile Organizations and Digital Transformation, as part of their scholarship program, thus strengthening their skills, while gaining professional experience in different areas of the organization. Regarding the interns who joined the Grenergy Talent Program in 2022, several of them have consolidated their scholarship program and thanks to their good performance, they are currently part of the staff.

In the past year, we reaffirmed our commitment to the well-being of the Grenergy community, highlighting initiatives that promote sports activities, such as subsidies for access to gyms, the organization of events such as the Carrera de las Empresas and the establishment of a corporate soccer league, among others. In addition, we continue to develop strategies to strengthen wellness in all the countries where we operate, prioritizing initiatives that promote the integral health of our teams.

		TABLE 26. DISTRIBUTION OF NEW HIRES IN 2023
Total			125
	women
By gender	men
		>50 years
By age		between 30 and 50 years
		<30 years
		Spain	36%
		Italy	3%
		UK	1%
	Europe	Poland	2%
		Romania	0%
		Germany	8%
By country		Chile	36%
		Colombia	8%
		Peru	3 %
	America	Argentina	0%
		Mexico	1%
		US	2%

Grenergy offers a diversity of talent by

combining a team of senior professionals with proven experience in the industry and a younger workforce that is given the opportunity to participate in projects international

In 2023, 12 geographical and departmental internal movements

were carried out, highlighting the success of internal mobility in talent management

Commitment to internal mobility at Grenergy is a key strategy for the company's optimize the availability and the alignment efficient use of talent.

This approach not only seeks to boost employee motivation and professional development, but also to cultivate a shared culture that offers transparent equal opportunities in various sectoral, functional and geographic areas. Internal mobility is conceived as a means of responding to the company's diversification and internationalization strategy, prioritizing internal promotion over external recruitment. The importance of preserving internal knowledge and improving economic and operational efficiency is also stressed.

At Grenergy we are aware of the talent we have and we are committed to their professional development and loyalty.

Employees receive accident coverage, covering disability and major disability commitments assumed in the different collective bargaining agreements that apply, including accident policies, as well as travel assistance for reasons of disability.

The average length of service (in years) has been reduced with respect to 2022, mainly

due to the incorporation of 125 new employees, increasing the overall workforce by 31%. On the other hand, the average length of service (in years) has been reduced with respect to 2022, mainly due to the incorporation of 125 new employees, increasing the overall workforce by 31%.

While it is true that there is a high labor turnover in the renewable energy sector associated with the shortage of highly qualified professionals and the exponential demand that this sector demands, we have managed to reduce total turnover rates by 21.4% and voluntarily by 17.8% in 2023 compared to last year's figures. This achievement, which should increase in a progressive decrease in turnover over the years, reflects Grenergy's continued commitment to talent retention by providing opportunities for professional growth, team stability and quality services.

In addition, turnover rates by gender and age range are included.

Table 27. Turnover rate by gender
	2023
men3	12%
women4	10%

Table 28. Turnover rate by age

	2023
<305	13%
between 3 and 505	10%

In 2023, two ex-Genergy employees in Spain opted to rejoin the Group after voluntary redundancy, thus underlining the attractiveness and value that the company represents as an employer.

All employees in Spain and Italy are covered by collective bargaining agreements, representing 41.2% of the total workforce. In the absence of an equivalent framework as in Spain and Italy, in the other countries are governed by the local regulatory framework.

Table 29. Grenergy turnover 2022-2023
	2022	2023	2022 vs. 2023
Voluntary turnover rate1	14%	11%	21.4%
Total turnover rate2	16.9%	13.9%	17.8%

Grenergy is governed by the Collective Bargaining Agreement of the Industry, Services and Metal Installations Sector of the Community of Madrid and Cuenca, respectively. The company has a culture based on transparency and accessibility between the different levels, with the aim of facilitating and opening communication between all, facilitating the flow of information and consultations of workers on an equal basis. There is currently no formal union representation, so agreements with workers are carried out in accordance with current legislation and under a cultural framework of open communication between employee and employer. Regarding the number of dismissals, the following table is detailed by age, gender and category.

Table 30. Grenergy dismissals by age, gender and professional category 2022-2023

		2022	2023
	Women	4	1
Sexo	Men	5	10
	less than 30	2	2
Age	between 30 and 50	6	8
	More than 50	1	1
	Senior Management	0	0
Category	Area managers	0	0
	Middle management	1	1
	Technicians	6	6
	Site/ground personnel	2	4
professional

101

¹ Total turnover rate: No. of voluntary and involuntary male and female departures / Male and female employees at year-end - ² Voluntary turnover rate: No. of male and female voluntary departures/ Male and female employees at year-end) - ³ Voluntary turnover rate men = No. of voluntary departures men/No. of male employees at year-end - ⁴ Voluntary turnover rate women = No. of voluntary departures women/No. of female employees at year-end - ⁵ Turnover rate by age range = No. of voluntary departures of age range / Number of employees of age range from all countries.

		EUROPE					AMERICA
	Spain	Italy	UK	Poland	Romania	Grmany	Chile	Colombia	Peru	Argentina	Mexico	US
Diversity of management positions1	12	-	-	-	-	-	4	1	-	-	-	-
Employee diversity2	149	15	5	8	0	11	152	37	14	2	2	12
Distribution of jobs by nationality	38%	3%	1%	2%	0%	3%	37%	9%	3%	0%	0%	3%

102

The tables take into account the decimals of each indicator for the global calculation, following the FTE (Full Time Equivalent) calculation methodology.

In 2023, Grenergy has been recognized alongside 45 Spanish listed companies to be part of BME's IBEX Gender Equality Index, an index that can only be accessed by companies with a significant female presence in senior management and Board of Directors

https://expinterweb.mites.gob.es/regcon/pub/consultaPublicaEstatal https://expinterweb.mites.gob.es/regcon/pub/consultaPublicaEstatal Grenergy has developed an Equality Road map that aims to promote equal opportuni ties in the professional development of women, from the selection and hiring stages, favoring the reduction of salary differences between both genders for positions of the same responsibility, and, in turn, the achieve ment of equal pay. In addition, we have implemented work-life balance and labor flexibility initiatives, as well as other measures to ensure a respectful work environment. In 2023, more than 20 actions to be implemen ted have been agreed and a follow-up mee ting was held at the end of this year. The action plans are related to the areas of training, selection, development, culture, among others. However, the equality plan is registered and published in the Registry and Deposit of Collective Bargaining Agree ments, Collective Agreements and Equality Plans (REGCON).

Since the ESG Roadmap, launched in 2021,

As part of our commitment to the society in which we operate, we promote the social and labor inclusion of people with disabilities. Thus, Grenergy, in collaboration with the Adecco Foundation, is committed to diversity through activities such as a testimony on mental health by Javier Martín or training on unconscious bias. This helps to improve the visibility of vulnerable people, facilitate awareness, and promote the development of a more effective and sustainable use of the company's resources.

The initiative helps us to reduce barriers, inequalities and discriminatory attitudes to accessing the labor market. This initiative helps us to comply with the LGD Law.

We meet the legendary co-host of Caiga Quien Caiga, Javi Martín, to talk about mental health.

At Grenergy we have publicly stated our commitment to the principles of diversity, inclusion and equality. To protect the people in our team, the company has a Policy to Prevent and Combat Workplace and Sexual Harassment, in addition to a wide range of sub-policies for each of the countries in which it operates. Also, as a reflection of the company's strong commitment to the fight against situations of workplace and sexual harassment, Grenergy has established a whistleblower channel on its website to ensure employee confidentiality and safety, and has a disciplinary committee in place.

TRAINING AND DEVELOPMENT

Grenergy has structured an improved employee training plan for 2023, based on four transversal dimensions, with the purpose of enhancing professional knowledge, promoting Grenergy's culture and the commitment and development of its employees. In this way, a model adaptable to the necessary capabilities identified for the achievement of business objectives and strategies is promoted, aligning Human Resources policies, people's needs and strategic objectives.

Management skills linked to organizational effectiveness and improvement such as leadership, communication, diversity and inclusion.

Grenergy Technical Skills

Basic and complementary knowledge for the optimal performance of functions (professional social networks, cybersecurity, internal communication and collaborative spaces).

Dissemination of internal knowledge through talks given by internal experts in the different areas. internal experts in different areas. Grenergy

Growth

Net

Ad hoc training in response to identified non-identifiable needs. Grenergy

By laying the foundations of a structured, in-depth and tailored training strategy, Grenergy optimizes the performance of technical and managerial functions of the team, diversifying the team in terms of resources and knowledge, and maximizing employee motivation to grow and improve their profiles. Furthermore, in order to support employees in an international environment, Grenergy offers its employees one-to-one language classes with native teachers through several reputable providers.

Grenergy provides specific training tailored to the needs of each employee and is creating leadership and development training programs to improve technical and soft skills

This year we have integrated new initiatives and content. We have started the Leadership Skills Itinerary for managers and, at the same time, a soft skills itinerary for collaborators. The objective of these trainings is to establish a homogeneous basis for team management, effective communication and teamwork, among other topics.

Internal knowledge dissemination talks have been consolidated thanks to the Grener- gy Talks, where managers of key areas share their experience with the rest of the organization with the aim of disseminating internal knowledge.

Topic	No. of training hours	Weight of training
Equality, diversity and inclusion	133.5	3%
Cybersecurity, Information Security and IT	145.5	3%
Technical Skills	353.0	8%
Soft skills	1461.3	35%
Languages	1283.0	30%
Compliance, Ethics, Corruption and Bribery	471.0	11%
Sustainability, environment and climate change	203.5	5%
Health and safety	180.0	4%
TOTAL	4230.8	100%

Thus, we have provided our technicians with an average of 12.91 hours of training/employee, middle management with 11.57 hours/employee, area managers with 10.5 hours/employee, and members of senior management and board members with 9.33 hours/employee. At Grenergy, we recognize that continuous training is essential for our sustainable growth. The provision of training hours to our entire workforce not only strengthens skills, but is also the ideal tool for transmitting our values, especially our commitment to environmental protection. In our training programs on sustainability and health and safety, we focus, among other objectives, on raise our employees' awareness of the direct impact of their work on the environment. In doing so, we believe that each employee becomes an active advocate of environmentally friendly best practices, contributing to the environment.

to preserve a more sustainable future.

Training for employees to understand the impact of their work activities on the environment.

From a quantitative perspective, the improvement in the management of the team's professional growth is reflected in the increase in the time dedicated to training that The ratio of training hours per employee is 10 hours. The training hours distributed by gender are 8.5 hours/man and 13 hours/woman.

During 2023, we have reinforced the training of the team in several areas such as technology, soft skills, internal knowledge,

among others

by each professional category

COMPENSATION

The variable compensation of employees is defined based on results and following an annual and continuous performance evaluation process that aligns Grenergy's strategic goals with the objectives of each department. In this way, there is an important link between the variable remuneration of executives and the ESG 2023 objectives integrated into the organization's corporate strategy.

The performance appraisal procedure approaches each review decision objectively, providing fair compensation from the perspective of the employee's level of responsibility and contribution to Grenergy's objectives.

This is a circular process that is restarted each year with a review and assessment of the contribution to the objectives established at the beginning of the previous year and, subsequently, the goals to be achieved in the coming year are prepared and established between the manager and the employee, together with the communication of the incentives received. For the evaluation of these specific, measurable, achievable objectives, aligned with the corporate strategy, the employee carries out a self-evaluation.

which, together with an assessment of the progress of the business objectives aligned with those of the department or line of business and an identification of areas for improvement, will contribute to obtaining an efficient and fair balance of the corresponding annual progress.

To guide people to conduct this meeting, specific feedback trainings have been carried out to prepare managers and employees for this moment and that the performance evaluation process is something that will gradually permeate within the organization as a recurring practice, generating organizational culture.

In addition, the company offers its executives a long-term incentive program for senior management and key personnel to strengthen talent retention and align talent with company objectives.

In the March 2023 performance evaluation, it is worth highlighting the achievement of 97% of variable remuneration for all employees compared to fixed remuneration. This demonstrates the setting of clear, achievable and realistic objectives aligned with Grenergy's strategy.

DECEMBER-JANUARY

Performance

evaluation

ARCH-APRIL

Set targets

Employees with performance evaluation by gender1 : 66% 35%

FEBRUARY

Moderations

Conversations

MARC

The 2023 gender pay gap in Grenergy

for the 0.29% PAY GAP ANALYSIS

The methodology used in the calculation of the gender pay gap involved segmenting the information according to specific categories, areas and positions, focusing on employees' fixed salaries at year-end as the primary reference. The analysis has addressed three key markets: Spain, Chile and Colombia, which together represent 80% of Grenergy's workforce (expatriate employees were excluded due to their particular conditions).

Additionally, reduction factors were applied to homologate similar positions, considering aspects such as seniority, experience, training and responsibility, with the purpose of making an accurate calculation of salaries."

Grenergy is committed to through its Policy on Health and safety in the work, to promote a health culture and safety at work through the use of preventive tools

EMPLOYEE SAFETY, HEALTH AND WELLNESS

Grenergy, for its activities in Spain, with the help of external services (such as our external prevention service and other consulting firms) evaluates the working and environmental conditions and other circumstances present during the development of its activities; establishing in each case the preventive, corrective and emergency measures. In other locations, either with internal personnel or with the help of external services, we guarantee a safe work environment and promote a preventive culture, with actions similar to those already mentioned.

In 2023, the Occupational Health and Safety Policy was approved with the aim of promoting and protecting the health and well-being of its employees. In this way, the commitment to provide safe and healthy working conditions for all workers and third parties related to Grenergy is established. In accordance with Grenergy's Code of Conduct, Grenergy protects its employees against the risks of accidents at work and provides a safe working environment to ensure that its employees and collaborators return home safe and sound at the end of the working day. Responsibility for Occupational Safety and Health (OSH) management concerns all company personnel, including all stakeholders, and we are all committed to incorporating its principles into the daily activities carried out at Grenergy. In this sense, Grenergy assumes the following commitments:

Comply with all legal requirements regarding Risk Prevention, as well as those that Grenergy voluntarily subscribes to.
Identify Occupational Risk Prevention as an important aspect, present in all the company's activities
Promote a preventive culture in our collaborators, contractors, suppliers and visitors.
Integrate safety and health management to all activities carried out in the work centers.
Promote a culture of zero accidents, encouraging continuous training and the permanent improvement of safety procedures and processes.
Develop training activities in ORP to ensure the safe behavior of the entire team
Provide the human and material resources necessary to eliminate hazards and reduce risks within the framework of OSH
Establish channels of communication and cooperation between Grenergy personnel and interested parties.
Guarantee the participation and information to Grenergy's personnel, making effective the right to consultation of the workers

108

Encourage the promotion of health and wellness among employees.

Throughout the construction phase, Grenergy prepares detailed health and safety plans, emergency and evacuation plans, along with other elements of control and coordination, to ensure safe work by its own personnel and contractors. It is in the operation and maintenance phase where the ORP Manual and self-protection plans underline our preventive culture. Grenergy has personnel specialized in occupational risk prevention in both phases. These are generally in-house and from the local community but are no less competitive in terms of competencies and training.

Grenergy is fully convinced that fostering understanding and knowledge play a crucial role in laying the foundation for healthier habits. During 2023, a total of 18,664 hours of safety and health project training were conducted among Grenergy employees. In our efforts to promote a culture focused on health, safety and well-being in the workplace, and given the significant increase in the number of facilities under construction during fiscal year 2023, there were no fatalities or serious accidents, 16 minor accidents, and 2 occupational illnesses.

As a result of this commitment to the health and safety of both employees and key stakeholders, following the update of the 2024-2026 Sustainability Strategy, some objectives have been set, such as obtaining triple certification in Spain (ISO 14001, ISO 9001 and ISO 45001) by EPC, use of the ISO 45001 standard as a reference for OSH management in work centers and more than 100 hours of training for workers in OHS in the countries in the 2024-2026 period.

		2022			2023
KPIs	Men	Women	Total	Men	Women	Total	Var. vs 2022
Accidents	4	0	4	9	3	12	67%
Fatal accidents	0	0	0	0	0	0	-
Occupational diseases	0	0	0	0	2	2	100%
Absence hours	144	0	144	304	224	528	73%
Injury Frequency Rate (LTIFR)1	4.6	0	4.6	14.1	10.5	12.3	63%
Injury rate (LTIR)2	0.9	0	0.9	2.8	2.1	2.5	63%
Absenteeism rate3	32.8	0	32.8	95.5	156.2	125.8	74%

¹ (No. of recordable accidents / No. of hours worked) * 1,000,000 (excluding in itinere processes) - ² (No. of recordable accidents / No. of hours worked) * 200,000 (excluding in itinere processes) - ³ (No. of days lost / Total number of days worked)*200,000

5.2 ESTABLISHING LINKS WITH OUR COMMUNITIES

We are fully aware of the impact we leave in the communities where we operate, and we strive to generate a positive social impact.

Local impact

Since its inception, Grenergy has had an important social role to play through its role in the decarbonization of the Group by reducing its carbon footprint, contributing to an improvement in air quality and, as a consequence, in the improvement of people's health and well-being.

However, during our activity it is essential to build transparent and solid relationships with the local communities near our projects, from the early development phase to the end of their useful life, thus creating a two-way dialogue. Through this initial communication, we identify opportunities to improve the quality of life of these communities during the development phase, and then actively contribute during the construction and operational phases of the plants. Thus, one of our main objectives is to generate collaborative links with the communities, where we work together on projects of social value. Our objective is that the communities can find in us an ally with to develop and generate new capabilities, in line with our sustainability strategy.

In addition, through environmental impact studies or similar procedures, possible critical points for the correct development or operation of the project in social matters are identified and appropriate measures are established to minimize this impact. During 2023, no fines have been received in relation to social non-compliance. There have also been no delays in projects due to impacts on local communities.

On the other hand, as a result of our commitment to promote local development in the communities near our plants, during 2023 we have established countermeasures to increase local and women's employment. In 2023, the case of Gran Teno, our largest plant to date in Chile, stands out, where female hiring has been boosted to 7.85%. Local hiring has also been boosted, reaching 41.3%.

In addition, another of our plants in Chile, Tamango, has achieved a 5.75% female employment rate and a 39.7% local employment rate by 2023. The improvement of these aspects are taken into account for the achievement of the objectives proposed in our new and ambitious green financing signed with the Santander bank in 2023.

IMPACT OF MAJOR PROJECTS IN 2023

	PERU
Revenues	14,331 M€
Donation and community investment	221,549
Total number of beneficiaries	11,713
Total number of workers in the project	335
No. of women in the project (%)	10%

CHILE

Revenues	218,151 M€
Donation and community investment	16,414
Total number of beneficiaries	1,148
Total number of workers in the project	1,545
No. of women in the project (%)	7%

Revenues	140,770 M€
Donation and community investment	2,030
Total number of beneficiaries	30
Total number of workers in the project	659
No. of women in the project (%)	4%

COLOMBIA

Revenues	11,280 M€
Donation and community investment	35,988
Total number of beneficiaries	8,033
Total number of workers in the project	542
No. of women in the project (%)	7%

ARGENTINA

Revenues	7,693 M€
Donation and community investment	1,196
Total number of beneficiaries	6
	24
No. of women in the project (%)	17%
	Total number of workers in the project

Community relations procedure

It is essential for every company to constantly review its protocols and procedures to respond appropriately to the different realities and needs of its environment. In keeping with our culture of continuous improvement, we have updated our Local Community Relations Procedure, which provides the framework for the actions undertaken by our social mana gers in each country. In addition, we have published the company's community relations policy on our website.

The Local Community Relations Procedure is in line with Grenergy's Sustainability Policy, its Human Rights Policy and its Code of Conduct. This framework guarantees socially responsible action that respects the cultural diversity and customs of the communities located in the areas where our projects are carried out.

One of the main guidelines provided by the Local Community Relations Procedure is the implementation of communication in the initial stages of the project.

The company maintains records of the dialogue held and disseminates relevant information in a transparent, objective and culturally acceptable manner throughout all phases of the project. This is done through formal and informal meetings, training sessions and consultations, ensuring acces sibility and understanding by the communi ties. Various communication channels are facilitated with the social leaders, distribu ting telephone numbers and e-mail addres ses to address queries and concerns of our neighbors. In addition, mechanisms are implemented to guarantee anonymity, such as physical and/or virtual mailboxes through our web page. This ensures that all commu nication is addressed through a feedback system, allowing us to evaluate the effecti veness of our actions and make adjust ments as necessary.

In this way, we guarantee the opening of a space that favors the direct and transparent participation of the various stakeholders in the projects. In this context, we encourage the communication of their concerns and suggestions, which are managed in accor dance with procedures established for this purpose.

Accordingly, a dedicated procedure has been established to address Questions, Complaints, Claims and Suggestions (PQRS). The purpose of this mechanism is to identify and manage responses in a timely, respectful and appropriate manner for each stakeholder of the Projects. The fundamental purpose of this procedure is to ensure that all PQRS submitted to the projects are addressed, recorded and resolved in accordance with the company's corporate standards and policies. This measure enables us to implement improvement plans on an ongoing basis in collaboration with stakeholders.

Through this procedure, and through a process of assessing needs and opportunities in the region, Grenergy activates action plans and supports local impact initiatives that meet criteria aligned with the Sustainable Development Goals identified as a priority or that address fundamental needs detected in the area. For the implementation and development of these local community support initiatives, a transparent and orderly mechanism is applied that requires prior approval of proposed initiatives in ESG and budgetary terms, as well as monitoring of funds to ensure their proper use. This approach translates into a tangible improvement in the quality of life of the community.

Local development

In our aim to create a positive impact through our projects in the local communities, we seek to foster their development by generating employment and raising awareness of the importance of children's education, in line with our sustainability strategy, and by promoting community activities that build capacity in the communities, thus fostering local development.

These actions are based on the basic lines of action in accordance with the sustainable development objectives established for our company.

We strive to understand the cultural diversity and customs of the communities present in our project areas in order to achieve a respectful approach to the implementation of these initiatives.
We facilitate training and workshops on topics of interest to the community that can catalyze potential trades, and we promote access to renewable energy education. We are committed to making the process of these initiatives participatory and collaborative.

Our value during 2023

During the period we worked collaboratively on different initiatives with the communities, with the ultimate goal of generating shared value and contributing to the improvement of people's quality of life. The main lines of work were: 1) education and environmental awareness, 2) training and local employment generation, and 3) affordable, non-polluting energy.

In these initiatives, donations and social investments to the local community amounted to €295,404, of which €35,857 are donations in kind, €205,875 are monetary donations and the remaining amount, €53,672 corresponds to community investment, highlighting awareness or environmental education actions.

Basic principles and strategic lines of the social action plan

The creation of positive local impact is guided by the principles and strategic lines of Grenergy's Social Action Plan, following a needs assessment exercise.

BASIC PRINCIPLES

Considering the performance standards of the International Finance Corporation (IFC), any community relations process should include the following steps:

(i) Start communication at an early stage of the project,

(ii) Act on the environmental and social risks and impacts of environmental impact studies,
(iii) Maintain regular communication with the different stakeholder groups to understand how they are affected by the different phases of the project,
(iv) Disclose relevant information at all stages of the project that is transparent, objective, meaningful, in a local language (or languages) and in a format that is culturally acceptable and understandable to the Affected Communities,

(v) Make use of culturally appropriate media

STRATEGIC LINES

The strategic lines delimit the area of definition of the social plans and initiatives and are complemented by the analysis of the needs of the environment of each project and local community, in a context of consideration of the strategic importance of each project. These strategic lines correspond to the following Sustainable Development Goals.

Promote equal opportunities between men and women.

Facilitate access to clean energy and improve energy efficiency.

Promote economic growth and full employment under fair conditions.

Improve education, awareness and human capacity for climate change mitigation and adaptation.

Stop biodiversity loss.

SUCCESS STORY

GRAN TENO PHOTOVOLTAIC PLANT PROJECT, CHILE

The "Raoul Follerau" rural health post now has a photovoltaic system that improves its electrical stability.

It is the best example of how Grenergy, in addition to promoting the development of clean and renewable energy, seeks to generate a positive social impact on local com munities.

Our solar plant Gran Teno (200MW), located about 9 kilometers from the town of Teno, donated and installed photovoltaic panels for the partial supply of a community space in the commune of Teno, which corresponds to the Raoul Follerau rural post.

The reception of this photovoltaic system has strengthened the electrical stability of the health center, which is a point of great relevance for the surrounding communities, such as San Rafael, El Quelmén, Villa Los Robles, Villa San Ramón, Eucalyptus and Aldea Louis Letsch, where it is located.

Thanks to this contribution, the center has been able to find a solution to the historic power outages that hinder the necessary work of its employees, who seek to strengthen the health network in these rural areas, whose users are usually elderly people with little mobility and few public services at their disposal.

In addition, another of the activities supporting the development of the community has been the management of contributions and social investment initiatives for the benefit of the inhabitants of Teno. A concrete example of this direct connection is the donation of 600 food baskets to families affected by heavy floods that caused considerable material losses in the commune.

In addition, we promoted training in home plumbing and organic vegetable gardens, with a high level of female participation. We collaborate with professional technical high schools to promote and strengthen knowledge of solar energy, giving educational talks in the field. This collaboration seeks to awaken interest, raise awareness and disseminate knowledge in local communities.

Ultimately, our activities are not limited to immediate assistance in emergency situa tions, but also focus on long-term sustainable development. Through these actions, we seek not only to provide material support, but also to foster the autonomy and empowerment of the community, generating a positive impact on the well-being and quality of life of Teno's inhabitants.

SUCCESS STORY

TAMANGO PHOTOVOLTAIC PLANT PROJECT, CHILE

Bringing solar energy closer to children and pre-adolescents.

In 2022, the Tamango photovoltaic park, with a capacity of 40 MW, received environmental approval for its construction in the com mune of Retiro, located in the Maule Region. During the construc tion phase, job opportunities were created for 100 people, thus contributing to local economic development.

With the firm purpose of fostering environmental awareness and promoting education in renewable energies among children and pre-adolescents, the Grenergy team devised the art contest "Imagine and paint a sustainable world". This project was carried out in collaboration with students from the María Ignacia Mena Monroy School, located near the solar park in the El Bonito sector.

Grenergy's engagement with the educational community began with the joint development of a collaborative program. This inclu ded activities such as talks on solar energy and non-conventional renewable energies, the organization of the art contest and the planning of an educational visit to the solar park. The aim of the latter activity is to provide children with the opportunity to learn about the operation of the facility up close, thus enriching their understanding of solar energy and its positive impact on the environment.

SUCCESS STORY

COMMUNITY MANAGEMENT, COLOMBIA

Strengthening our actions in the educational field.

During three years, we have conducted School Campaigns with 13 communities in the areas of influence of eight of the projects located in Colombia, six of which have been in operation since 2022. These campaigns have also been carried out during the construction and development of the projects, contributing positive value from the beginning of our activities.

The objective of these school campaigns is to encourage children to remain in the basic educational processes, giving priority to children between 6 and 10 years of age, for their proper future development.

In these three years, 2,660 school kits have been delivered to the children living in 13 of our communities in the immediate vicinity of our projects.

During the execution of the School Campaign between 2021 and 2023, we have worked closely with four of our contractors and allied consultants during the Development, EPC and O&M stages, generating a greater positive impact on the communi ties thanks to the joint work of Grenergy and its subcontractors. In Colombia, the objective has been set to continue strengthe ning voluntary actions in the educational field and to expand coverage to more communities, with the continued support of subcontractors, in order to achieve a greater social impact.

RESPONSIBLE MANAGEMENT OF THE SUPPLY CHAIN

Grenergy is committed to the environmental and social management of the companies it hires through the Achilles supplier evaluation tool, where, in 2023, 81% of its evaluated suppliers scored above 51/100 in the ESG score, as shown in the graph below1 :

At Grenergy, the supply chain management strategy is developed jointly by the Purchasing, Compliance and Sustainability departments. The main standards and policies in this regard are:

Supplier Code of Conduct
Purchasing Policy
Purchasing Procedure
Sustainability Policy
Human Rights Policy
Corporate Code of Conduct

In January 2023, the Procurement Procedure associated with the Procurement Policy was approved, establishing the bases for supplier selection, requests for bids, awards and supplier evaluations, for compliance with which a transition year has been established. In addition, the Supplier Code of Conduct has been updated, extending the ESG clauses signed by 100% of the suppliers of all the company's purchasing and contracting activities for equipment, materials, works and services.

Grenergy's Procurement Policy includes the control, mitigation and reduction, to the extent possible, of risks associated with the quality and sustainability of materials and equipment purchased, and the contracting of works and services. In this policy, the com pany points out the environmental, social and governance issues that directly contri bute to promoting compliance with the commitments identified in its Sustainability Policy and that support the decision-making process for the purchase or contracting of goods or services. It is worth highlighting the commitments to zero tolerance and the express prohibition of forced labor situations by introducing measures, tools and procedu res aimed at preventing human rights viola tions in the environment of suppliers during their operations in the service of Grenergy. The Purchasing Procedure aims to establish the control and management of the risks of the company's purchasing or contracting activities, so as to minimize the associated risks by following the company's Purchasing Policy and Code of Conduct. This risk mana gement has been carried out since 2022 by means of the Achilles supplier evaluation tool, where the ESG, Legal and Financial criteria of subcontractors are evaluated through the completion of the established questionnaires. The objective is to ensure the integration of third parties in the commit ment to regulatory compliance and Grener gy's strategy.

At the end of 2023, Grenergy's supply chain is made up of more than 3,900 suppliers to whom we have awarded more than 385 million euros. Our key suppliers 1 account for 95% of our turnover and mainly supply us with panels, structure, inverters, electrical material, mechanical assembly services, electrical assembly, civil works, transporta tion, SCADA and security.

The distribution of suppliers evaluated by country for the year 2023 is as follows:

Supplier volume by country

Grenergy has assumed the commitment to incorporate environmental, social and governance issues into its business decisions purchase

Supply chain risk management

Grenergy is furthering its commitment to proactively manage the social and environmental impacts, risks and opportunities arising from its supply chain. In 2023, the agreement with Achilles for the approval and risk management of suppliers based on ESG, com pliance and financial criteria was continued. In this way, we promote the commitment of subcontractors to their responsibili ty in these matters. In this regard, and in line with the purchasing procedure, several classes of suppliers have been categorized (member, member plus and silver) based on turnover, differentia ting 2 types of approval.

Approval of suppliers

Sustainability performance

The aspects evaluated for each of the ESG dimensions and the score for each are as follows:

Governance

Good governance and transparency
Human rights
Organizational ethics and integrity
Leadership
Structure of CSR/sustainability in the organization

Social aspects and community

Equality, diversity and work-life balance
Training and employability promotion
Health and wellness at work
Community impact
Quality
Dialogue with employee representatives

Environmental aspects

Environmental management
Climate change
Circular economy and waste management
Sustainable use of resources
Biodiversity

ESG Score	Valuation
A+	96-100
A	75-95
B	50-74
C	25-49
D	0-24

Grenergy's supply chain management is based on four points:

Minimum standards: 100% of our suppliers are required to carry out their activities in accordance with ethical standards similar to ours, which ensure compliance with current legislation, fundamental human and labor rights, as well as environmental protection.

Identification of strategic suppliers: based on business relevance (volume of the commercial relationship and criticality of the product and/or service), country risk factors and risk associated with the product and service provided.

Performance evaluation: our suppliers are invited to register free of charge with Achilles and the ESG evaluation of key suppliers is monitored.

Audits: Grenergy is part of the Achilles community, which makes it possible to check whether the appropriate protocols are being followed by conducting audits, either independently or in conjunction with other companies in the sector.

At this stage of Achilles' deployment, 43% of the strategic suppliers are already registered and evaluated on the platform, 63% of which have an ESG score above 50/100 (A+, A and B).

As a result of our commitment to managing the regulatory compliance of our supply chain, we evaluate the parent companies of panel suppliers, which are direct suppliers of Grenergy (Tier1) through extensive questionnaires with documentary evidence, as well as investigating which are the suppliers of our suppliers (Tier2), i.e., the panel factories.

By 2023, 100% of our panel supplier factories have been audited1 . These audits have evaluated Environmental, Social and Governance aspects, both legal and voluntary. They have been carried out on-site by a certified auditor, adding value with positive assessments and recommendations.

The target for 2023 has been 2 on-site audits by Grenergy of strategic suppliers, and this year we have extended the target for 2024 to 10 on-site audits of strategic suppliers. We are also committed to increasing the number of suppliers evaluated through the Achilles tool. In this sense, the objective set for 2023 is to obtain 450 suppliers evaluated through the Achilles platform during 2024.

Grenergy has 40% of the total number of suppliers for audited turnover in 2023 demonstrating strong ESG commitment to your supply chain

Health and safety of subcontractors

Grenergyz is convinced of the importance of transferring the culture and commitment to health and safety throughout the supply chain. The construction of our projects involves the subcontracting of work and therefore the entry of outside workers to the work areas. At this point, Grenergy ensures at all times, from the development phase, through construction, operation and maintenance, a safe working environment with a preventive approach. To this end, Grenergy:

Performs a risk assessment before starting its projects, resulting in a Health and Safety Plan.
- Ensure that employees of the subcontrac-
tors are provided with adequate personal protective equipment.
It trains external workers so that they are
aware of the precautions to be taken during the development of their activity, verifying that this training is put into practice through preventive vigilance.

Maintains good communication to ensure

that subcontractors have a good understanding of the risks and safety measures in the workplace.

We also maintain good communication with

neighboring construction sites and hold a monthly business activity coordination meeting.

An incident tracking system is in place to report

and record any workplace incident or injury. This allows security issues to be identified and addressed on an ongoing basis.

In Spain, a Health and Safety Plan (HSP) is drawn up by a Senior Occupational Risk Prevention Technician before the start of work on a plant, which covers all the risks and preventive measures to be applied throughout the development of the work. The plan is provided to all subcontractors before they start work, and they sign a document indicating that they have studied, understood and adhere to the HSP.

A personalized Emergency and Evacuation Plan is also drawn up for each of the works, which is reviewed periodically as the work progresses, reinforced with evacuation drills in which all site personnel participate. Any new and unforeseen activity not contemplated in the PSS is included in an Annex to the Plan, which must be reviewed and approved in the same way. A self-protection plan is also drawn up before the end of the works, which will be used when the plants and the substation are completely finished and in the operation and maintenance phase.

In Chile, Grenergy has an Internal Regulation of Order, Hygiene and Safety applicable to subcontractors that enter the plants under construction, which regulates the forms and conditions of work, hygiene and safety of the work carried out by subcontractors on behalf of Grenergy.

All the works have the presence of a preventionist on behalf of Grenergy and another one on behalf of each subcontractor. The company's risk analysis, training and accident record keeping are all related to risk analysis, training and accident recording.

In 2023, Grenergy generated employment to more than 3,100 workers directly involved in the construction and operation of our projects globally, an increase of 12% over the previous year. The workers of these subcontractors received more than 257,920 hours of health and safety training provided by both their companies and Grenergy.

In 2023, Grenergy started the construction of several plants in Spain and Latin America, and 15 accidents were recorded among subcontractors' personnel of our projects in construction and operation, all of them of a minor nature. There were no fatal accidents, serious accidents or occupational illnesses.

We generate jobs for more of 3,100 employees external parties involved in the construction and operation of our projects in 2023

	2022 Subcontracts	2023 Subcontracts	Variation vs 2022 (%)
Injury Frequency Rate (LTIFR)1	19.0	9.5	-100%
Injury Rate (LTIR)2	3.8	1.9	-100%
Absenteeism Rate3	105.7	137.0	23%

Table 35. Subcontractors' Health and Safety Indicators

1 No. of recordable accidents / No. of hours worked Grenergy) *1,000,000 (excluding in itinere processes) - ² (No. of recordable accidents / No. of total hours worked Grenergy)*200,000 - ³ (Total number of lost days / Number of days worked)*200,000

5.4 HUMAN RIGHTS COMMITMENT

Grenergy bases its actions on the development of sustainable and efficient economic activities, with high quality of service, generating shared value and respecting human rights.

Grenergy's Code of Conduct, which is mandatory for all company employees, embraces respect for internationally recognized human rights, with special attention to vulnerable groups.This commitment is reflected in our internal policies and procedures, extending to our supply chain through the implementation of the Purchasing Policy. In full compliance with our Human Rights Policy, updated in September 2023, we adhere to the Guiding Principles on Business and Human Rights, as well as the International Bill of Human Rights and its subsequent developments. These include the International Labor Organization (ILO) Declaration on Fundamental Principles and Rights at Work, which includes its eight core conventions, the United Nations Convention on the Rights of the Child and the European Convention on Human Rights. Additionally, through this policy, Grenergy is committed to support, respect and contribute to the protection of fundamental human rights recognized nationally and internationally. Grenergy defines the principles to be applied in the corporate Due Diligence Process in human rights and

environmental matters, whose objective is to avoid abuse or violation of the aforementioned, in the stakeholders with whom Grenergy relates in the context of its own operations, or in the framework of the products or services it provides under its business relationships. The company has carried out an analysis of the different drivers for compliance with the Due Diligence Process, identifying the following the Due Diligence Process,

identifying KPIs for each for each phase. In December 2023, the Sustainability Due Diligence D i r e c t i v e reached a provisional agreement b e t w e e n the Council and the E u r o p e a n Parliament. The aim of the agreement is to strengthen the

protection of the

Grenergy, through its policy The company is committed to the following respect and promote human rights with the purpose of not being complicit in any form of abuse or violation of human rights its stakeholders and the society in general

124

environment and human rights, both at the level of the European Union and on a global scale. This regulatory framework establishes guidelines for large companies in relation to actual and potential adverse impacts on human rights and the environment.

With regard to the obligations of companies, the Directive addresses the negative effects on the environment and human rights throughout their chain of activities, including upstream business partners and downstream activities such as distribution or recycling. In addition, penalties and civil liability are imposed in the event of non-compliance, requiring companies to adopt a plan to ensure compatibility with the Paris Agreement on Climate Change.

Grenergy has anticipated and aligned itself with the Human Rights and Environmental Due Diligence process set out in the proposed Directive. This process is divided into 5 phases:

	REGULATION PHASES	REGULATORY REQUIREMENT	GRENERGY APPLICATION
1	Integration in Policies and Management Systems	The company must design, adopt and disseminate comprehen sive Corporate Social Responsibility (CSR) policies, aligned with the OECD guidelines for Multinational Enterprises.	The company has updated its HR Policy to integrate the Due Diligence process into new and existing company policies, as part of the potential actions of the Sustainability Strategy 2024-2026. Indicators such as the number of updates of policies integrated into the Due Diligence Process are taken into account.
2	Identification and evaluation of potential adverse impacts	In addition, the company must incorporate these policies into its supervisory bodies and management systems, integrating them into regular processes. The company should conduct a comprehensive mapping exercise to identify areas with significant Corporate Social Responsibility (CSR) risks, considering factors such as sectoral, geographic and product risks. This exercise will allow prioritization of risk areas for further assessment.	Grenergy has implemented relevant measures to identify and assess actual and potential adverse human rights and environmental impacts. The company uses the Achilles tool to identify and manage supplier impacts. Due diligence assessments at the project level and audits of suppliers with higher ESG risk are also carried out. The preparation of an Annual Human Rights Due Diligence Report in key countries is also contempla ted, as well as the creation of a list for the identification and evaluation of human rights risks, together with corrective measures. For this purpose, the company collects various indicators such as approved suppliers, non-conformities, on-site audits, complaints, etc. In 2023, we have 15 strategic suppliers evaluated through the Due Diligence Plan for 3 years, and no complaints have been detected for human rights violations in the communities.
3	Establishment of measures for prevention, mitigation and remediation of adverse impacts.	The company must stop activities that generate negative impacts on Corporate Social Responsibility (CSR) for a subse quent evaluation and implementation of prevention and mitigation plans.	Grenergy has adopted adequate measures to prevent or, if necessary, mitigate adverse effects on human rights and the environment. As a preventive measure, there is a whistleblower channel to report possible non-compliances and a minimum score is planned to be implemented for the contracting of suppliers. In addition, subcontractors are trained in human rights as a mitigation measure, and suppliers with critical ESG impacts are supported as a remediation measure.
4	Implementation and Results Monitoring	The company should track the implementation and effective ness of due diligence activities, i.e. its measures to identify, prevent, mitigate and, where appropriate, assist with remedia tion of impacts, including its business relationships and/or linkages. In turn, use lessons learned from monitoring to improve these processes in the future.	Grenergy conducts regular assessments of both its own operations and its supply chain. An annual monitoring of the ESG impact of suppliers is carried out, which is collected through an average score indicator of "Silver" suppliers in Achilles. Finally, the development of a corporate procedure to ensure compliance with the HR policy is planned.
5	Communication	It is necessary to communicate relevant information about the policies, processes and due diligence activities carried out to identify and address actual or potential negative impacts, including the findings and results of those activities.	Grenergy publishes solar sector and Xinjiang region risk reports and project-level Due Diligence reports in Spain, Chile and Colombia, both reports prepared during late 2022/early 2023. Grenergy also prepares and publishes an annual Sustainability Report. Additionally, it has a whistle blower channel, accessible on the website, which aims to facilitate the communication of any violation of the principles established in its Human Rights Policy, ensuring the confidentiality of the informants.

06 ANNEXES 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 ABOUT THIS REPORT DEFINITION OF MATERIAL ISSUES KEY INDICATORS TABLE NON-FINANCIAL STATEMENT CONTENT TABLE, AS PER ACT 11/2018 AND GRI CONTENT INDEX PRINCIPLES OF THE UN GLOBAL COMPACT ENVIRONMENTAL TAXONOMY TCFD RECOMMENDATIONS VERIFICATION REPORT

6.1. ABOUT THIS REPORT

This Sustainability Report presents the evolution, results and status of Grenergy's sustainability performance in 2023, as well as its management approach and the challenges it faces. The objective of this Report is to provide, in a clear and rigorous manner, relevant information on the company's most significant positive and negative impacts on its different stakeholders. The report is based on the challenges described in the previous year's sustainability report and focuses on the progress made during the year 2023. The content has been formulated to constitute the Non-Financial Information Statement 2023. Furthermore, this Report describes the company's annual progress in the implementation of the Ten Principles of the United Nations Global Compact in the areas of human and labor rights, environment and anti-corruption, as well as the TCFD recommendations on the risks and opportunities of climate change and, finally, the degree of eligibility and alignment with the Environmental Taxonomy. The information published in this document is complemented by the content of other company reports: the Consolidated Financial Statements and Management Report and the Annual Corporate Governance Report. The company addresses the main sustainability issues of concern to its internal and external stakeholders. The report complies with the principles of comparability, materiality, relevance and reliability:

COMPARABILITY

The Sustainability Report is published annually and has been prepared in accordance with the Principles for the preparation of reports included in GRI 1: Fundamentals 2021, of the Global Reporting Initiative (GRI). The principles - such as comparability, completeness and balance - described in this standard have been followed. This report has been prepared in accordance with the GRI Standards.

MATERIALITY AND RELEVANCE

The materiality analysis has been updated in 2023 following the double materiality approach to align with new regulatory requirements (mainly GRI and ESRS indicators). In this way, the main environmental, social, governance and financial material issues have been established taking into account the dual perspective of financial materiality and impact materiality. This analysis serves to lay the foundations for the new Sustainability Strategy 2024-2026. In the double materiality section, the development process and methodology used to obtain the main material topics is described.

RELIABILITY

This Report has undergone a verification process by an independent third party whose conclusion is expressed in the review report included in it. Grenergy is working on the previous steps to formalize an Internal Control System for Non-Financial Information (SCIINF) with which to advance in the principles of reliability, completeness, accuracy, consistency, traceability and internal control of non-financial information. As proof of this, in 2023 we have been working on the implementation of an IT tool for the collection and validation of non-financial information to support the future SCIINF.

SCOPE

The company describes all its activities, offering an overview by geographical area in which it operates. The scope of the report is the totality of the group's companies, in all their significant aspects, in accordance with the requirements of Law 11/2018, of December 28, regarding non-financial information and diversity. Throughout the report, the scope of each of the indicators shown is specified. Likewise, data from previous years are provided in order to facilitate a better understanding of the evolution of the company's performance. The criterion for the consolidation of environmental information is based on the financial control scheme.

6.2. DEFINITION OF MATERIAL ISSUES

MATERIAL	DEFINITION
Climate neutrality and energy transition	The environmental process of decarbonization through which the objective is the emission of zero net carbon dioxide emissions, which are equal to or lower than the emissions that are eliminated through the planet's natural absorption, resulting in a carbon neutral balance in terms of production, distribution and consumption.
Conservation and restoration of biodiversity and ecosystems	Action measures aimed at the conservation and restoration of ecosystems, in addition to ensuring the protection of biological diversity, generating a sustainable use of natural resources, and an environmentally aligned rural and urban development.
Circular economy and efficient consumption and waste management	Economic model based on sustainable production and consumption through the optimization of resources, reducing the consumption of raw materials, and generating a greater use of waste, extending the life cycle of the latter, reusing them for the generation of new products with a lower environmental impact.
Responsible management of water resources	Process through which a sustainable management of the use and business impacts of these resources is planned and developed, including actions that cover the mitigation of possible negative impacts, focusing on those areas of greatest water stress, producing an approach that promotes a more rational and efficient use of water resources, contributing in turn to greater conservation of ecosystems.
Contribution to the development and involvement of local communities	Commitment to the establishment of relationships based on a prism of cooperation and mutual respect with local communities that maintain constant interactions with the company, encouraging their development and growth, together with the hiring and training of local employees.
Diversity, equality and inclusion	Practice that promotes the presence in the organization of professionals of different age, sex, race or sexual orientation, through mechanisms that guarantee non-discrimination and the involvement of all employees in its fulfillment.
Health and safety	Existence of mechanisms to prevent possible risks that could endanger the safety of employees, with the adoption of tools that regularly monitor the health of the company's employees, including measures to promote a healthy work environment. On the other hand, work scenarios and facilities must be safe and not have elements that may threaten the physical integrity of people.
Attraction, development and retention of human capital	Ability to promote the hiring and attraction of new profiles along with the inclusion of programs that encourage the development and acquisition of new skills by employees. Likewise, it has a system of fair compensation, flexible compensation, labor flexibility and work-life balance, and growth opportunities, thus facilitating the dynamics of retaining human capital.
Sustainable supply chain	Measures to ensure responsible management of the supply chain at the environmental, social and good governance levels, taking into account the company's actions and those of suppliers, thus minimizing the environmental, social and economic impacts of supply chain activities.

MATERIAL	DEFINITION
Respect and protection of human rights	Use of tools that ensure the achievement and respect of human rights, capable of detecting possible impacts and the existence of policies that imply the non-violation of human rights in the company's activities. It also includes the existence of measures to deal with possible negative impacts on human rights.
Transparency and responsible taxation	Legal, ethical and consistent practice of taxation in accordance with the sustainability commitments set, where there is an exhaustive analysis and sufficiently transparent communication of the information and tax strategy published. In addition to establishing a correct relationship with the tax authorities and having the necessary resources to ensure compliance with tax regulations.
Financial and non-financial risk management systems	Implementation of mechanisms for the identification and monitoring of financial risks, i.e. those related to market movements, and non-financial risks, which include climate, biodiversity, social, behavioral or reputational issues, among others. In addition, a contingency plan is established to mitigate and resolve the risks identified.
Good governance and fair corporate conduct	Establishment of policies and rules governing the structure and operation of the company's various governing bodies, from the Board of Directors to the various committees and shareholders. Corporate governance should be based on principles such as shareholder accountability, independence in board decision-making, compliance with ethical and legal behaviour, transparency in published information, and equality of shareholders' rights.
Cybersecurity and information security	A set of measures aimed at the prevention and defense of stored information, and of the different servers and electronic devices through policies that ensure the confidentiality of the data of both the company and its customers. Also avoiding possible malicious attacks and establishing protection mecha nisms.
Customer and supplier commitment	An approach that provides quality customer and supplier interactions, with the intention of increasing the degree of satisfaction through concise and continuous communication, generating synergies with the different customers and suppliers, which in turn translate into an indicator of the company's profitability.
Economic financial performance and green financing	A financial strategy that seeks to maximize the value of the company, including cost reduction, increased production, capacity to generate new revenues, and access to financing. In addition, it is aligned with environmental awareness, through the use of instruments such as green bonds and green finance, resulting in the ability to finance sustainable projects and make sustainable and responsible investments.
R&D&I in new markets and renewable technologies	Actions to boost and promote research in renewable technologies, i.e. storage batteries, hybrid renewable systems, H2 projects, etc.

6.3. KEY INDICATORS TABLE

TABLE 36. GOVERNANCE

	2022	2023
Size of the Board of Directors (#)	8	8
Proportion of independents on the Board of Directors (%)	50	50
Women on the Board of Directors (%)	50	50
Women on the Audit and Control Committee (%)	75	75
Women on the Nomination and Compensation Committee (%)	75	75

TABLE 37. EMPLOYEES

	Employment	2022	2023
	Women	81	135
Gender	Men	208	290
Age	Less than 30	76	117
	Between 30 and 50	189	261
	More than 50	24	47
Type of contract	Indefinite	270	391
	Temporary	19	34
Professional category	Senior Management	5	6
	Area Directors	10	11
	Middle management	30	49
	Technicians	147	232
	Site/ground personnel	97	127
	Total	289	425

TABLE 38. EMPLOYEES

Talent attraction and retention		2022	2023
Voluntary turnover rate (%)		14	11
Total turnover rate (%)		16.9	13.9
Average length of service (#)		2,18	2
Women in senior management (%)		40	33
Women in engineering team (%)		39	31
New hires (#)		79	125
Women		29	39
Men		50	86
New hires by age range (#)		125	125
Less than 30		29	50
Between 30 and 50		46	59
More than 50		4	16
New hires by region (%)	Europe	50	51
	Latam	48	47
	USA	-	2
No. of scholarship holders (#)		18	11
Employees with performance	Women	85	66
evaluations by gender (%)	Men	59	35
Dismissals by gender (#)	Women	4	1
	Men	5	10
	Total	9	11

TABLE 39. EMPLOYEES

Employee health and safety	2022	2023
Accidents (#)	4	12
Injury Frequency Rate (LTIFR) (#)	4.6	12.3
Injury rate (LTIR) (#)	0,9	2,5
Absenteeism rate (#)	32.8	125.8

Training	2022	2023
Total training hours (#)	4,162	4,231
Training hours/employee (#)	12,5	10
Investment in training/employee (€)	205.4	134.6

Compensación	2022	2023
Women	31,839	37,141
Man	31,220	34,411
	0.27	0.29
Variable vs. fixed compensation achievement (%)		97
		-

TABLE 40. ENVIRONMENT TABLE 41. ENVIRONMENT

Water	2022	2023
Water consumption (m3 )	5,900	10,306
Water consumption - Water stress zones (%)	71	77
Third-party fresh water from municipal utilities or suppliers (%)	6.8	4
Water consumption - road stabilization (%)	94	80
Total water savings (millions of m3 )	-	600

Circular economy	2022	2023
Total waste (Tn)	742.3	1,650.6
Hazardous waste (%)	13.1	3.3
Total waste for reuse/recycling (%)	-	50
Waste donated to the community (Tn)	69	9,769

Biodiversity	2022	2023
Number of species on national/regional conservation lists present in the project area (#)	33	173
Number of IUCN Critically Endangered (CR) species (#)	0	16
Restoration area (ha)	255	144

Greenhouse Gas Emissions	2022	2023
Scope 1 (tCO2e)	307	448.9
Scope 2 (tCO2e)	486	58.9
Scope 3 emissions intensity (tCO2e/M€ )	285.6	569.3
Scope 1,2 and 3 (tCO2e)	83,739	228,231
Emissions avoided by own projects in operation (tCO2e)	245,398	325,408

Energy consumption	2022	2023
Fuel consumption (generators, machinery and vehicles Grenergy) (MWh)	1,223	1,928
Renewable consumption (MWh)	0	0
Non-renewable consumption (MWh)	1,223	1,928
Purchased or acquired electricity consumption (MWh)	1,883	1,610
Renewable consumption (MWh)	637.6	639.7
Non-renewable consumption (MWh)	1,245.4	970.6
Total energy consumption (MWh)	3,106	3,538
Total electricity generation (MWh)	744,431	1,044,570

Environmental management	2022	2023
Environmental investment (M€)	894,110	798,160
Hours of environmental monitoring	6,618	3,644
Hours of environmental training	8,867	3,250
No. of environmental noncompliances in projects (fines, delays or red flags)	0	0

TABLE 42. COMMUNITY

	2022	2023
Donations and investments in the local community (€)	134,858	295,404
Fines for social non-compliance (#)	0	0
Delays in projects due to community impacts (#)	0	0
Network flags raised in the social area in project evaluation procedures (#)	1	0
Complaints of human rights violations (#)	0	0

TABLE 43. SUPPLY CHAIN

	2022	2023
Number of workers in our projects (#)	2,794	3,100
Accidents of subcontracted company workers (#)	21	15
Injury Frequency Rate (LTIFR) (#)	19	9.5
Injury rate (LTIR) (#)	3.8	1.9
Strategic suppliers evaluated in Achilles (%)	37	43
Suppliers evaluated through the human rights due diligence process (last 3 years) (#)	15	15
No. of ESG audits performed on strategic suppliers	0	2

6.4 NON-FINANCIAL STATEMENT CONTENT TABLE, AS PER ACT 11/2018 AND GRI CONTENT INDEX

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
BUSINESS MODEL
DESCRIPTION OF THE GROUP'S BUSINESS MODEL
Description of the business model	GRI 2-6	1.2. Business model and strategy	14
Geographic presence	GRI 2-1 GRI 2-6		16
Organizational objectives and strategies	GRI 2-6		16
Main factors and trends that may affect its future development	GRI 2-6	Regulatory framework	9-13
POLICIES AND RISK MANAGEMENT
POLICIES
Description of the policies that apply	GRI 2-23 GRI 2-24	1. Sustainable growth strategy 2. Sustainable finance 3. Responsible leadership 4. Building a sustainable future 5. Creating shared value	8-126
The results of these policies	GRI 3-3		8-126
The main risks related to these issues are linked to the group's activities	GRI 2-16	3.3. Risk and opportunity management	57
Materiality	GRI GRI 1	1.2. Business model and strategy	29-31

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
ENVIRONMENTAL ISSUES
ENVIRONMENTAL MANAGEMENT
Current and foreseeable effects of the company's activities on the environment and, where applicable, on health and safety	GRI 3-3	4. Building a sustainable future	62-93
Environmental assessment or certification procedures		4.1. Biodiversity conservation In 2023 there are no provisions or guarantees for environmental risks. See Note 16 of CCAA	63
Resources dedicated to environmental risk prevention			63-66
Application of the precautionary principle	GRI 3-3		65
Amount of provisions and guarantees for environmental risks			-
POLLUTION
Measures to prevent, reduce or remediate carbon emissions that seriously affect the environment (also includes noise and light pollution)	GRI 305-5	4.2. Fight against climate change	70-86
CIRCULAR ECONOMY AND WASTE PREVENTION AND MANAGEMENT
Measures for prevention, recycling, reuse, other forms of recovery and disposal of wastes	GRI 306-2	4.4. Circular economy promotion	89-93
Actions to combat food waste	GRI 306-2	Not material for Grenergy's business model	-

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
SUSTAINABLE USE OF RESOURCES
Water consumption and water supply in accordance with local constraints	GRI 303-5 (Versión 2018)	4.3. Efficient water management	87-88
Consumption of raw materials	GRI 303-1	Non-material. Grenergy purchases all materials from suppliers and has no material raw material consumption	-
Direct and indirect consumption of energy	GRI 303-1	4.2. Fight against climate change	86
Measures taken to improve energy efficiency	GRI 302-4		86
Use of renewable energies	GRI 302-1		85-86
CLIMATE CHANGE
Significant elements of greenhouse gas emissions generated as a result of the company's activities	GRI 305-1 GRI 305-2 GRI 305-3	4.2. Fight against climate change	83-85
Measures adopted to adapt to the consequences of climate change;	GRI 201-2		78-81
Voluntary reduction targets established in the medium and long term to reduce greenhouse gas emissions and the means implemented to that end	GRI 305-4 GRI 305-5		78-81
BIODIVERSITY PROTECTION
Actions taken to preserve or restore biodiversity	GRI 304-3	4.1. Biodiversity conservation	63-70
Impacts caused by activities or operations in protected areas	GRI 304-1		65-66

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
INFORMATION ON PERSONNEL MATTERS
POLICIES
Management approach	-	5. Creating shared value	86
EMPLOYMENT
Total number and distribution of employees by gender, age and professional category		5.1. Growing with our employees	95, 98, 102
Total number and distribution of employment contract modalities	GRI 2-7 GRI 405-1		97-98
Average annual number of permanent, temporary and part-time contracts by gender, age and professional category			101
Number of dismissals by gender, age and professional category	GRI 401-1		-
Average remunerations by gender, age and professional classification or equal value			99, 106
Wage gap	GRI 405-2		107
Average compensation of directors (including variable compensation, per diems, indemnities, payments to long-term savings plans and any other payments) by gender	GRI 405-2	3.1. Governance	51
Average executive compensation (including variable compensation, per diems, severance payments, payments to long-term savings plans, and any other payments) by gender		5.1. Growing with our employees	51
Work disconnection measures	GRI 103-2	Grenergy does not have a labor disconnection policy	-
Employees with disabilities	GRI 405-1	5.1. Growing with our employees In both 2022 and 2023, Grenergy has one employee with a disability	103

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
WORK ORGANIZATION
Organization of working time	GRI 3-3	5.1. Growing with our employees	96, 100
Number of hours of absenteeism	GRI 403-9		109
Measures aimed at facilitating the enjoyment of work-life balance and encouraging the co-responsible exercise of work-life balance by both parents	GRI 401-2		96, 103
HEALTH AND SAFETY
Occupational health and safety conditions	GRI 403-1 GRI 403-2 GRI 403-3 GRI 403-7	5.1. Growing with our employees	108
Accident rate indicators disaggregated by gender		5.3. Responsible management of the supply chain	109
Occupational diseases by sex	GRI 403-9		109
SOCIAL RELATIONS
Organization of social dialogue, including procedures for informing, consulting and negotiating with personnel	GRI 3-3	5.1. Growing with our employees	95-96
Percentage of employees covered by collective bargaining agreements, by country	GRI 2-30		101
Review of collective bargaining agreements, particularly in the field of occupational safety and health	GRI 403-3		101

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
TRAINING
Policies implemented in the field of training	GRI 404-2	5.1. Growing with our employees	104-105
Total number of training hours by professional category	GRI 404-1		105
ACCESSIBILITY
Universal accessibility for people with disabilities	GRI 3-3	Grenergy has adequate accessibility measures in place for corporate facilities	-
EQUALITY
Measures taken to promote equal treatment and opportunities for women and men	GRI 3-3	5.1. Growing with our employees	124 103-105
Equality plans (Chapter III of Organic Law 3/2007, of March 22, 2007, for the effective equality of women and men)			102
Measures to promote employment			100-105
Protocols against sexual and gender-based harassment			102-103
Universal accessibility for people with disabilities			102-103
Policy against all types of discrimination and, where appropriate, diversity management			102

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
INFORMATION ON RESPECT FOR HUMAN RIGHTS
POLICIES
Management approach	GRI 2-25 GRI 412-1	5.4. Human Rights commitment	124-126
HUMAN RIGHTS
Implementation of human rights due diligence procedures	GRI 2-25		124-126
Measures for prevention and management of possible abuses committed	GRI 412-1	5.4. Human Rights commitment
Complaints of human rights violations	GRI 406-1	3.2. Compliance 5.4. Human Rights commitment	126
Promotion of and compliance with the provisions of the fundamental conventions of the International Labor Organization (ILO)	GRI 406-1 GRI 409-1	5.4. Human Rights commitment	124
INFORMATION RELATED TO THE FIGHT AGAINST CORRUPTION AND BRIBERY
POLICIES
Management approach	GRI 3-3 GRI 205-2	3.2. Compliance	54-56
CORRUPTION AND BRIBERY
Measures taken to prevent corruption and bribery	GRI 3-3		54-55
Measures to combat money laundering	GRI 205-2	3.2. Compliance	56
Contributions to foundations and nonprofit organizations	GRI 2-28 GRI 201-1	5.2. Building links with our communities	111-114

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
INFORMATION ABOUT THE COMPANY
POLICIES
Management approach	GRI 203-2	5.2. Building links with our communities	110-117
COMPANY COMMITMENTS TO SUSTAINABLE DEVELOPMENT
Impact of the company's activities on local employment and development	GRI 3-3 GRI 205-2	5.2. Building links with our communities	92, 110-117
Impact of the company's activities on local populations and the territory	GRI 413-1 GRI 413-2		110-117
Relationships maintained with local community stakeholders and the local communities and the modalities of the dialogue with these	GRI 2-29 GRI 413-1		110-117
Partnership or sponsorship actions	GRI 201-1	1.2. Business Model and Strategy	19-20
SUBCONTRACTING AND SUPPLIERS
Inclusion of social, gender equality and environmental issues in the procurement policy	GRI 308-1 GRI 414-1	5.3 Responsible supply chain management	118-119, 124
Consideration in relations with suppliers and subcontractors of their social and environmental responsibility			118-123
Monitoring and auditing systems and audit results			119-122

TABLE 44. CONTENTS OF LAW 11/2018 AND GRI INDICATORS	GRI CRITERIA RELATED	CHAPTERS	PAGES
CONSUMERS
Measures for the health and safety of consumers	GRI 416-1	Not material for Grenergy's business model
Complaint systems, complaints received and their resolution	GRI 418-1		-
TAX INFORMATION
Benefits obtained on a country-by-country basis	GRI 201-1	3.5 Fiscal transparency In 2023, Grenergy has not received any public subsidies	61
Taxes on profits paid (country by country)	GRI 207-4		61
Public subsidies received			61
INFORMATION RELATED TO ENVIRONMENTAL TAXONOMY
Eligible and aligned turnover	-	2.3 Environmental taxonomy	46-47 & annex 6.6
Eligible and aligned OpEX	- -		46-47 & annex 6.6
Eligible and aligned CapEX			46-47 & annex 6.6

6.5. PRINCIPLES OF THE UN GLOBAL COMPACT

TABLE 45. GLOBAL COMPACT TABLE OF CONTENTS
Global Compact Principles	Most relevant GRI indicators	Related SDGs
HUMAN RIGHTS
1. Support and respect the protection of universally recognized human rights	410-1, 412-1, 412-2, 413-1, 413-2
2. Not to be accomplices in the violation of human rights	414-2

LABOUR

3. Support freedom of association and effective recognition of the right to collective bargaining	2-30, 407-1, 402-1
4. Support the elimination of all forms of forced and compulsory labor	409-1
5. Support the eradication of child labor	408-1
6. Support the abolition of discriminatory practices in employment and occupation	2-7, 202-1, 401-1, 401-3, 404-1, 404-3, 405-2, 406-1

TABLE 45. GLOBAL COMPACT TABLE OF CONTENTS
Global Compact Principles	Most relevant GRI indicators	Related SDGs
ENVIRONMENT
7. Maintain a preventive approach to environmental challenges	201-2, 301-1, 302-1, 303-1, 305-1 a 305-3, 305-7
8. Encourage initiatives that promote greater environmental responsibility	301-1, 2-27, 308-2
9. Encourage the development and diffusion of environmentally friendly technologie	302-4, 302-5, 305-5
ANTICORRUPCIÓN
10. Work against corruption in all its forms, including extortion and bribery	2-23, 2-26 205-2, 205-3, 415-1

6.6. ENVIRONMENTAL TAXONOMY

TABLE 46. TAXONOMIC TURNOVER 2023						Substantial contribution criteria					Criteria for no significant harm ("No significant harm")
ECONOMIC ACTIVITIES	Codes	(thousands of euros) Absolute turnover	Share of turnover (%)	mate change mitigation (%) Cli	mate Adaptation to cli change	Water	Pollution	my Circular econo	ms Biodiversity and ecosyste	mate change mitigation (Y/N) Cli	mate Adaptation to cli change (Y/N)	marine resources (Y/N) Water and	my (Y/N) Circular econo	Pollution (Y/N)	ms (Y/N) Biodiversity and ecosyste	m guarantees (Y/N) mu Mini	ms to my (%) Year 2023 Proportion of business me that confor taxono volu	Category (enabling activity) (F)	Category (transition activity) (T)
A. ELIGIBLE ACTIVITIES ACCORDING TO TAXONOMY
A.1. Environmentally sustainable activities (conforming to the taxonomy)
Electricity generation using solar photovoltaic technology	4.1	155,428	87%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%
Electricity generation from wind power	4.3	21,160	12%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%
Storage of electricity	4.10	0	0%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%	F
Installation, maintenance and repair of renewable energy technologies	7.6	2,551	1%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%	F
Turnover from environmentally sustainable activities (conforming to the taxonomy) (A.1)		179,139	100%	100%	0%	0%	0%	0%	0%	S	S	S	S	S	S	S	100%
Of which: enabler		2,551	1%	1%	0%	0%	0%	0%	0%	S	S	S	S	S	S	S	100%	F
Of which: transitional																			T
A.2. Activities eligible under the taxonomy but not environmentally sustainable (activities that do not conform to the taxonomy)
Electricity generation using solar photovoltaic technology	4.1	0	0%	S	N	N	N	N	N								0%
Electricity generation from wind energy	4.3	0	0%	S	N	N	N	N	N								0%
Storage of electricity	4.10	0	0%	S	N	N	N	N	N								0%
Installation, maintenance and repair of renewable energy technologies	7.6	0	0%	S	N	N	N	N	N								0%
Turnover from taxonomy-eligible but not environmentally sustainable activities (activities that do not conform to the taxonomy) (A.2)		0	0%	%	%	%	%	%	%								0%
Total (A.1 + A.2)		179,139	100%	%	%	%	%	%	%								100%
B. INELIGIBLE ACTIVITIES ACCORDING TO TAXONOMY
Turnover from non-taxonomy-eligible activities (B)		0	0%

TABLE 47. TAXONOMIC OPEX 2023						Substantial contribution criteria					Criteria for no significant harm ("No significant harm")
ECONOMIC ACTIVITIES	Codes	(thousands of euros) Absolute turnover	Share of turnover (%)	mate change mitigation (%) Cli	mate Adaptation to cli change	Water	Pollution	my Circular econo	ms Biodiversity and ecosyste	mate change mitigation (Y/N) Cli	mate Adaptation to cli change (Y/N)	marine resources (Y/N) Water and	my (Y/N) Circular econo	Pollution (Y/N)	ms (Y/N) Biodiversity and ecosyste	m guarantees (Y/N) mu Mini	my Proportion of OPEX that mplies with taxono (%) Year 2023 co	Category (enabling activity) (F)	Category (transition activity) (T)
A. ELIGIBLE ACTIVITIES ACCORDING TO TAXONOMY
A.1. Environmentally sustainable activities (conforming to the taxonomy)
Electricity generation using solar photovoltaic technology	4.1	9,513	36%	S	N	N	N	N	N	S	S	S	S	S	S	S	36%
Electricity generation from wind power	4.3	4,117	16%	S	N	N	N	N	N	S	S	S	S	S	S	S	16%
Storage of electricity	4.10	0	0%	S	N	N	N	N	N	S	S	S	S	S	S	S	0%	F
Installation, maintenance and repair of renewable energy technologies	7.6	1,729	7%	S	N	N	N	N	N	S	S	S	S	S	S	S	7%	F
Turnover from environmentally sustainable activities (conforming to the taxonomy) (A.1)		15,359	58%	100%	0%	0%	0%	0%	0%	S	S	S	S	S	S	S	58%
Of which: enabler		1,729	7%	7%	0%	0%	0%	0%	0%	S	S	S	S	S	S	S	7%	F
Of which: transitional																			T
A.2. Activities eligible under the taxonomy but not environmentally sustainable (activities that do not conform to the taxonomy)
Electricity generation using solar photovoltaic technology	4.1	0	0%	S	N	N	N	N	N								0%
Electricity generation from wind energy	4.3	0	0%	S	N	N	N	N	N								0%
Storage of electricity	4.10	0	0%	S	N	N	N	N	N								0%
Installation, maintenance and repair of renewable energy technologies	7.6	0	0%	S	N	N	N	N	N								0%
Turnover from taxonomy-eligible but not environmentally sustainable activities (activities that do not conform to the taxonomy) (A.2)		0	0%	%	%	%	%	%	%								0%
Total (A.1 + A.2)		15,359	58%	%	%	%	%	%	%								58%
B. INELIGIBLE ACTIVITIES ACCORDING TO TAXONOMY
Turnover from non-taxonomy-eligible activities (B)		10,961	42%
Total (A + B)		26,320	100%

TABLE 48. TAXONOMIC CAPEX 2023						Substantial contribution criteria					Criteria for no significant harm ("No significant harm")
ECONOMIC ACTIVITIES	Codes	(thousands of euros) Absolute turnover	Share of turnover (%)	mate change mitigation (%) Cli	mate Adaptation to cli change	Water	Pollution	my Circular econo	ms Biodiversity and ecosyste	mate change mitigation (Y/N) Cli	mate Adaptation to cli change (Y/N)	marine resources (Y/N) Water and	my (Y/N) Circular econo	Pollution (Y/N)	ms (Y/N) Biodiversity and ecosyste	m guarantees (Y/N) mu Mini	my (%) Proportion of CAPEX that ms to taxono Year 2023 confor	Category (enabling activity) (F)	Category (transition activity) (T)
A. ELIGIBLE ACTIVITIES ACCORDING TO TAXONOMY
A.1. Environmentally sustainable activities (conforming to the taxonomy)
Electricity generation using solar photovoltaic technology	4.1	362,958	99%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%
Electricity generation from wind power	4.3	0	0%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%
Storage of electricity	4.10	299	0,1%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%	F
Installation, maintenance and repair of renewable energy technologies	7.6	0	0%	S	N	N	N	N	N	S	S	S	S	S	S	S	100%	F
Turnover from environmentally sustainable activities (conforming to the taxonomy) (A.1)		363,257	99%	100%	0%	0%	0%	0%	0%	S	S	S	S	S	S	S	100%
Of which: enabler		299	0.1%	0.1%	0%	0%	0%	0%	0%	S	S	S	S	S	S	S	0.1%	F
Of which: transitional																			T
A.2. Activities eligible under the taxonomy but not environmentally sustainable (activities that do not conform to the taxonomy)
Electricity generation using solar photovoltaic technology	4.1	0	0%	S	N	N	N	N	N								0%
Electricity generation from wind energy	4.3	0	0%	S	N	N	N	N	N								0%
Storage of electricity	4.10	0	0%	S	N	N	N	N	N								0%
Installation, maintenance and repair of renewable energy technologies	7.6	0	0%	S	N	N	N	N	N								0%
Turnover from taxonomy-eligible but not environmentally sustainable activities (activities that do not conform to the taxonomy) (A.2)		0	0%	%	%	%	%	%	%								0%
Total (A.1 + A.2)		363,257	99%	%	%	%	%	%	%								99%
B. INELIGIBLE ACTIVITIES ACCORDING TO TAXONOMY
Turnover from non-taxonomy-eligible activities (B)		3,076	1%
Total (A + B)		366,333	100%

6.7. TCFD RECOMMENDATIONS

		Equivalence
	Table 49. TCFD Recommendations	CSRD - EFRAG Standards E1	Climate Change and Energy Transition Law
	Highest governance body for climate monitoring and manage ment (Members of the Board, Committee or Board of Directors)	Categorization of climate change-related risks as climate-related physical risk or transition risk
Government	Remuneration plan and performance objectives linked to the CC of the management and management	Variable compensation for management and board members, linked to the achievement of climate objectives, and if so, a description of the compensation
	How climate-related risks and opportunities influence business strategy	Description of the resilience of the strategy and business model to climate change, including scope and impact on both.	-
	Analysis of climate scenarios, detailing the scenarios used and how they relate to the strategy	Description of the resilience analysis methodology, including the use of climate scenarios and the results of the analysis, including scenario results	The metrics, scenarios and targets used to assess and manage transitional and physical risks, as well as relevant climate-related opportunities
	Inclusion of a transition plan aligned with the scenario of 1.5ºC in the strategy	Disclosure of the transition plan for climate change mitigation	-
Business Strategy	CC adaptation and mitigation processes	Incident, risk and opportunity management policies related to climate change	Decisions, commitments, changes in strategy and business model to adapt and mitigate negative impacts of climate risks
	Metrics used to quantify expenses / revenues aligned with the Taxonomy	Dissemination of climate change mitigation and adaptation actions, together with the resources allocated	Decisions, commitments, changes in strategy and business model to adapt and mitigate negative impacts of climate risks
	Policy framework with climate-related requirements and/or exclusionary policies	The company shall indicate its inclusion in or exclusion from the EU benchmarks harmonized with the Paris Agreement	-
	Clauses in financing agreements for the implementation of climate-related policies	The company will be able to explain and quantify its investments and financing to support the implementation of its transition plan	-

		Equivalence
	Table 49. TCFD Recommendations	CSRD - EFRAG E1 Standards	Climate Change and Energy Transition Law
	Classification and description of climate-related physical and/or transitional hazards	Categorization of climate change-related risks as climate-related physical risk or transition risk
	Process for identifying, assessing and monitoring climate-related R&O	Description of the process for assessing climate impacts, risks and opportunities	Description of processes and resources used to manage climate risks, including materiality analysis and risk prioritization, if available
Risks and	Consideration of the substantial strategic/financial impact of CC R&Os	Disclosure of expected financial effects of physical and transitio nal risks and opportunities related to climate change	Climate-related risks and opportunities that have a material financial impact on the organization at each of these horizons
Opportunities	Financial impacts associated with R&O, estimation methodology, and breakdown of the estimated figure	The disclosure of these effects depends on the company's internal methodology	Quantitative and qualitative impacts of transition risks, physical risks and climate opportunities on the organization's activities, strategy and financial plannin
	Assessment of business exposure to climate-related risks and opportunities	Exposure and sensitivity of assets and business activities to transition events, considering probability, magnitude and duration	-
	Climate Transition or Adaptation Plans	Climate change mitigation and adaptation policies	Decisions, commitments and changes in strategy and business model to adapt and mitigate negative impacts of climate risks
	Climate-related target(s) (absolute or intensity emissions reduction, consumption reduction)	The company shall disclose the climate-related goals it has established	Climate-related targets, including time period, baseline year, KPIs, and calculation methodologies
	Reporting of Scope 1 and 2 and Scope 3 emissions, including base year, standard and methodology used	Scope 1, 2 and 3 GHG emissions, either separately or combined. As well as the base year, and the value of current benchmarks
Metrics and Objectives	Consumption of resources such as renewable electricity, water, waste, certified surfaces, etc	Energy consumption and sources, water consumption and resource management, including waste	Metrics for climate risks and opportunities, including historical data and future projections
	External verification of disclosed information	Verifiable and scientifically sound parameters to improve comparability	-
	Use of internal carbon pricing and other offsetting measures	The use of internal carbon pricing systems and their influence on climate decisions and policies	-

AI Terminal

Grenergy Renovables S.A.

1833_10-k-afs_2024-02-28_0e092e6b-2528-4b55-bafd-6dc6d9390a9e.pdf

STATEMENT OF RESPONSIBILITY OF THE DIRECTORS OF GRENERGY RENOVABLES, S.A. ON THE CONTENT OF THE ANNAL 2023 SEPARATE AND CONSOLIDATED FINANCIAL STATEMENTS

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STATEMENT OF FINANCIAL POSITION

STATEMENT OF PROFIT OR LOSS FOR THE YEARS

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEARS ENDED DECEMBER 31, 2023 AND 2022

A) STATEMENT OF COMPREHENSIVE INCOME

B) STATEMENT OF ALL CHANGES IN EQUITY

STATEMENT OF CASH FLOWS FOR THE YEARS ENDED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

1. Activity

2. Basis of presentation of the financial statements

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

2.1 True and fair view

2.2 Critical issues concerning the measurement and estimation of uncertainty

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

2.3 Comparative information

2.4 Climate change

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

3. Appropriation of profit

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4. Recognition and measurement standards

4.1 Intangible assets

Licenses and trademarks

Software

4.2 Property, plant, and equipment

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4.3 Leases

Company as lessee

Company as lessor

4.4 Financial instruments

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

a) Financial assets

Classification and measurement

Financial assets at amortized cost

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Financial assets at cost

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Derecognition of financial assets

Impairment of financial assets

Financial assets at cost

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Interest income and dividends received from financial assets

b) Financial liabilities

Classification and measurement

Financial liabilities at amortized cost

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Derecognition of financial liabilities

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

c) Fair value

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

d) Own equity instruments

e) Cash and cash equivalents

4.5 Derivative financial instruments and hedge accounting

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4.6 Inventories

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4.7 Foreign currency transactions and balances

4.8 Corporate income tax

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4.9 Recognition of income and expenses

4.9.1 Recognition

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

4.9.2 Contract balances

a) Contract assets

Unconditional right to receive consideration

Right to consideration for transfer of control

b) Contract liabilities

Contractual obligations

Provision for delays and guarantees

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2023

Provisions and contingencies

4.10 Environmental assets and liabilities

4.11 Employee benefits expense