manufacturers in alignment with the Bumiputera Spend Share Policy. The vendor development programmes are integrated and conducted with ILSAS. Strategic business matching activities are pivotal in our journey towards sustainable procurement: • Data-driven matching - data analytics to identify suppliers with proven track record of sustainable practices. • Stakeholder collaboration - with industry associations and government-linked companies, to identify and connect with suppliers that prioritise sustainable initiatives. • Matchmaking events - to expand supplier base through events with SME Corp, Business Opportunity, Business Partnership Retreat and Vendor Day. In 2023, we embarked on a survey to assess the ESG readiness of our active vendors. Approximately 20% had responded by the end of 2023. We are developing a comprehensive ESG programme to ensure that our vendors are in harmony withour ESG aspiration. This initiative underscores our dedication to responsible and sustainable business practices. Vendor ESG Programme In 2023, we continued to engage with our vendors and key stakeholders such as Persatuan Rakan Niaga Strategik Malaysia (PERNISMA) and Persatuan Usahawan Tenaga Malaysia (PUTM), through various communication channels: • Face-to-face engagements - Business Partnership Retreat, Opportunity Day, and dialogues, including sessions with the TNB top management • Social media platforms • Procurement Cycle Digitalisation Rangers - inquiries about the e-tendering system. • Sistem Maklumbalas Bahan (SMB) is a two-way communication platform for defects and warranty review. In 2023, 585 SMB tickets were raised and addressed Vendor Communication Channel We continued implementing the Contractor Assessment and Supplier Evaluation (CASE) as a dynamic and transparent tool for vendor performance monitoring and evaluation. Vendors with ratings below three will be notified and engaged in performance improvement. CASE results are key input for assessing vendor selection. Vendor Performance Evaluation Vendor Capability