Tax Strategy 2024/25

Policy Version Control

Overview: This strategy sets out JERA Nex’s global tax, filing and payment obligations for 2024/25

Contact (Department): Finance

Approver: Board

Effective from date: April 15, 2024

Next review date: 2025

File location: JERA Nex SharePoint

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Version no. 1.1

Author: CFO

Approval date: April 9, 2024

Change description: Updated Tax Strategy for 2024/25

1. Introduction to JERA Nex

JERA Nex Limited (JERANEX) is a subsidiary company of JERA Co., Inc. (100%), the leading Japanese power producer.

JERANEX is primarily engaged in the development of projects and research related to renewable energy.

2. Governance

JERANEX’s Chief Executive Officer reports to a Board constituted of 5 representatives, all appointed by JERA Co., Inc.

Day to day management of the tax strategy is delegated to the Chief Financial Officer who is supported by an accountant and an accounting and tax advisor.

This Tax Strategy is based on the overall strategies of JERANEX’s principal shareholder, JERA Co., Inc. and this aims to create value for its business and shareholder, while contributing to its reputation and responsible business practices.

3. Commitment to tax compliance

JERANEX seeks to comply with its tax, filing and payment obligations globally.

JERANEX aims to act with integrity and transparency in all tax matters with a commitment to full compliance with all tax legislation and appropriate disclosure to tax authorities in the jurisdictions in which it operates.

4. Risk management

The Chief Executive Officer is responsible for operating and monitoring risk management and internal control activities.

Regular risk controls are performed by internal daily meetings.

Regarding identification, assessment, and management of tax risk, JERANEX has developed what it believes to be appropriate systems and procedures with the company accountant.

5. Our approach to tax planning

JERANEX aims to manage our tax affairs in an efficient and pro-active manner to respond responsibly to requests from our shareholder and HM Revenue & Customs.

JERANEX only undertakes tax planning to enable the elimination of tax risk created by our dayto-day business operations (e.g., to avoid suffering double taxation or unexpected tax costs arising from commercial activities).

JERANEX strives to maintain and improves its corporate value by optimizing tax payments within the taxation system, whilst ensuring compliance with the tax laws and regulations of each country and region in which it operates and international rules such as tax treaties as well as the OECD Guidelines.

External advice may be sought in relation to areas of uncertainty or complexity and to ensure that our activities are in line with our tax strategy.

6. Our approach to dealings with tax authorities

JERANEX works together with the tax authorities in a style that is open and honest in order to build positive, long term relationships. All tax matters are fully disclosed to the tax authority.

JERANEX regards the publication of this document as complying with the duty under paragraph 19(2), Sch.9, Part 2 of the Finance Act 2016.