CECEP Environmental Protection Co., Ltd.

CECEP Environmental Protection Co., Ltd. is a leading company listed on the ChiNext board of the Shenzhen Stock Exchange since 2010. The company focuses on ecological protection and environmental governance, aligning its operations with China's "Green Development" strategy. It specializes in providing comprehensive waste disposal services, primarily through waste-to-energy projects, while leveraging the platform advantages of its parent company, China Energy Conservation and Environmental Protection Group. The company's main business lines include waste-to-energy services, energy conservation and environmental protection equipment manufacturing, and electrical equipment production. CECEP operates numerous waste-to-energy projects across multiple provinces in China, utilizing advanced technologies for waste treatment and energy recovery. Its subsidiary, Zhongjie Megvau Environmental Protection Co., Ltd., manufactures wastewater treatment equipment and offers regional environmental governance solutions. Additionally, Xi'an Qiyuan Electromechanical Equipment Co., Ltd. produces electrical machinery and smart manufacturing solutions, serving a global customer base. CECEP's extensive operational experience and strong brand recognition enable it to maintain a significant market position in the environmental protection sector.

1.Advantages of the Central Enterprise Platform The company’s actual controller, China Energy Conservation and Environmental Protection Group (CECEP), is a central enterprise focused on energy conservation and environmental protection, serving as the "primary platform for pollution control in the Yangtze River Economic Belt." Currently, promoting cross-regional major ecological protection projects has become a key initiative supported by the central government to advance national major regional development strategies. In the future, innovating central-local cooperation models and leveraging central enterprises to drive national strategic initiatives may become a standardized approach. By capitalizing on its central enterprise platform advantages, the company aligns its development with national strategies, promotes industrial and organizational resource integration, and prioritizes serving government clients, industrial parks, and large corporate groups. It actively promotes integrated solid waste solutions, comprehensive ecological environment management plans, and environmental services. The company fulfills its role as CECEP’s "primary platform for Yangtze River pollution control," actively participating in activities organized by the group and collaborating with local governments and other central enterprises. 2.Strong Brand Recognition and Extensive Regional Coverage As of the date of this report, the company operates 47 waste-to-energy (WTE) project subsidiaries across 16 provinces in China. Leveraging its technical expertise in WTE and the brand advantage of being a central enterprise, it has established long-term partnerships with local governments and industry authorities in multiple cities within these provinces. With its professional, standardized, and refined investment, construction, and operation management system, the company has built a strong brand reputation nationwide. Given that WTE projects require deep collaboration with local governments, the company utilizes its brand influence and CECEP’s comprehensive environmental governance strengths to foster cooperative relationships with authorities across regions, achieving a nationwide industrial layout. 3.Extensive Operational Experience and Comprehensive Service System The company has accumulated mature operational experience and technical expertise in WTE and related fields. Its projects employ advanced, stable, and reliable grate furnace combustion technology, ensuring uniform combustion and long-term operational stability. For flue gas treatment, leachate processing, slag handling, and fly ash disposal, the company adopts cutting-edge environmentally friendly technologies. Its online equipment demonstrates excellent quality, performance, and technical maturity, enhancing the social and economic benefits of WTE plants. Additionally, guided by circular economy principles, the company expands beyond core WTE operations to include synergistic waste disposal solutions such as food waste, sludge, and dead lives tockharmless treatment treatment. This integrated solid waste management model significantly improves waste reduction and resource recovery, boosting economic efficiency and forming a well-developed resource recycling service system centered on WTE with complementary synergistic disposal services. 4.Experienced Management Team and Professional Talent The core management team has deep expertise in the WTE sector, with a profound understanding of industry trends and corporate strategy, enabling strong execution and professional discernment. The company also boasts specialized teams with extensive experience in project investment, design, construction, and operations, supplemented by ongoing recruitment of industry experts and financial professionals to support sustainable growth. Subsidiary Qiyuan Equipment, with years of specialization in electrical machinery, has cultivated a pool of industry talent with in-depth knowledge of sector developments. 5.Core Technological Advantages The company has long prioritized enhancing innovation capabilities through strategic planning, system strengthening, focused R&D, broad collaboration, and cultivation. Its "technology-driven enterprise" strategy is supported by robust R&D capabilities. The company has contributed to drafting multiple national and industry standards, and its subsidiaries have received awards such as the National Science and Technology Progress Award (First Class), Shaanxi Province’s Major Equipment of the Year, and Shaanxi Provincial Science and Technology Progress Award. During the reporting period, the company optimized its innovation management system, increased R&D investment, advanced key technology breakthroughs across business segments, and deepened industry-academia partnerships. These efforts have invigorated innovation, improved R&D capabilities, and enhanced the efficiency of scientific achievements.