Sustainability Report 2021 62 Sustainability Report 2021 Energy Management Applied Materials is committed to maximizing energy performance and minimizing consumption through: > Continuously monitoring energy use and conducting energy audits > Building optimal energy efficiency into all new facility construction, such as through LEED or Green Mark certification > Purchasing energy-efficient new equipment > Optimizing the temperature of chilled water used in our operations > Transitioning to 100% renewable electricity in the U.S. by 2022 and worldwide by 2030 After several years of relatively flat energy usage, Applied’s energy use increased approximately 7% in 2021 over 2020 as both our operational footprint and demand for our products grew. See the Climate and Energy section of this report for more on Applied’s emissions and renewable power commitments. Conservation, Efficiency, Renewables, and Reuse Projects, Worldwide In 2021, energy and waste reduction efforts produced significant results at multiple Applied Materials sites around the world: > In Gloucester, MA, energy saving measures including air-flow, chiller, and boiler optimizations and LED lighting retrofits saved 1,379,213 kWh in 2021, while the site’s wind turbine delivered 5,801,148 kWh of energy. > Our facility in Xi’an, China, converted 180 light panels in newly reopened offices to LED, saving up to 41k kWh per year, and the facility’s installed solar capacity generated 39,836 kWh in clean electricity. > In Taichung City, Taiwan, replacement of T5 fluorescent tubes with LED lighting produced a savings of 26,700 kWh in 2021. Reuse of wooden crate packaging is preventing half a ton of wood per month from going to landfill. Installation of a new pipeline and flow meter is reclaiming 1 ton of cooling tower water daily for reuse in flush toilets. > Our Israel facilities made efficiency improvements to lighting, air handling units, chillers, and variable speed drives (for pumps). Two cafeterias replaced disposable cups and spoons with reusables, saving approximately 1.2 million cups per year. > At our Santa Clara, CA and Austin, TX facilities, our COVID protocols included replacing manual restroom fixtures with sensor-activated models, reducing touchpoints while also optimizing water use. Sustainability Report 2021 62 INTRODUCTION PURPOSE PEOPLE PLANET Climate and Energy Environmental Health and Safety PROGRESS