Certification Scheme

Certification Scheme Sustainable Biomass according to ISCC certification system (Edition: January 2017) DIN CERTCO Alboinstraße 56 12103 Berlin Tel: +49 30 7562-1131 Fax: +49 30 7562-1141 E-Mail: info@dincertco.de www.dincertco.de

Certification Scheme Sustainable Biomass ISCC page 2 of 13 Foreword DIN CERTCO was founded in 1972 by DIN the German Institute of Standardization e.g. for the awarding of DIN marks and offers the certification of products and persons, services and enterprises on the basis of the DIN Standards and similar specifications. In order to prove our impartiality, independency and competence, we are voluntary accredited according to DIN EN ISO/IEC 17065. For the satisfaction and trust of our clients and their data, we maintain furthermore a certified Quality Management System according to DIN EN ISO 9001 Environmental Management System according to DIN ISO 14001 Information Security Management System according to DIN ISO/IEC 27001 Occupational Health and Safety Management System according to OHSAS 18001 Our certification work is made possible by recognition by the Bundesanstalt für Landwirtschaft und Ernährung (BLE) and certification agreements with certification system owner ISCC. In conjunction with the General Terms and Conditions of DIN CERTCO, this certification scheme provides the basis for the certification of products which come under EU Directive 2009/28/EC. All certificate holders can be viewed on the daily up-dated homepage of DIN CERTCO (www.dincertco.de). Amendments Compared to the certification scheme sustainable biomass ISCC (2015-01), the following modifications were done: a) Update according to the new system documents b) Editorial changes Previous Editions Certification scheme sustainable biomass ISCC (2015-01) Remark The German version of this certification scheme shall be taken as authoritative. No guarantee can be given to the English translation.

Certification Scheme Sustainable Biomass ISCC page 3 of 13 CONTENTS 1 Scope... 4 2 Test and Certification Specifications... 4 3 Requirements... 6 3.1 Requirements for Agricultural Businesses... 6 3.2 Requirements for First gathering points... 6 3.3 Requirements for all other System Participants... 7 3.4 Issuing of Proofs of Compliance with Sustainabiliy requirements... 7 3.4.1 Issuing of Partial Proofs of Compliance with Sustainabiliy requirements. 7 3.5 Requirements for Biogas plants (only ISCC-DE)... 7 4 Auditing... 7 4.1 General... 7 4.2 Types of Audits... 7 4.2.1 Initial Audit (Certification Audit)... 8 4.2.2 Surveillance Audit... 8 4.2.3 Control... 8 4.2.4 Renewal (Re-Certification Audit)... 8 4.2.5 Supplementary Audit... 8 4.2.6 Special Audit... 9 4.3 Audit Procedure... 9 4.4 Audit Reports and Procedures... 9 5 Certification... 9 5.1 Application... 10 5.2 Conformity Assessment... 10 5.3 The Certificate and the Right to Use the Mark... 10 5.4 Publications... 10 5.5 Validity of the Certificate... 10 5.6 Renewal of the Certificate... 10 5.7 Expiry of the Certificate... 11 5.8 Alterations/Amendments... 11 5.8.1 Alterations/Amendments to the Product... 11 5.8.2 Alterations to the Basic Test Specifications... 11 5.9 Defects... 12 6 Surveillance by the Manufacturer... 12 7 Other... 12 7.1 Provisions for small and very small Entities (only ISCC-DE)... 12 7.2 Cross Compliance... 12 7.3 Group Certification (only ISCC-EU)... 13 7.4 Provisions for ISCC PLUS Certification... 13

Certification Scheme Sustainable Biomass ISCC page 4 of 13 1 Scope This certification scheme applies to companies which would like to receive certification under the specifications of EU Directive 2009/28/EC and the ISCC certification system and, in addition to the documents set out below, contains all the requirements for completing certification procedures. This certification scheme sets out requirements for the raw materials used and for the quality assurance systems of the processing, collecting or trading companies and for their inspection, monitoring and certification. 2 Test and Certification Specifications The following referenced documents form the basis for auditing and certification. For dated references, only the edition citied applies. For undated references, the latest edition of the referenced document (including any amendments) applies. General Directive 2009/28/EC Communication 2010/C 160/01 Communication 2010/C 160/02 Directive 2009/30/EG Renewable Energy Sources Act DIRECTIVE 2009/28/EC OF THE EUROPEAN PARLIA- MENT AND OF THE COUNCIL of 23 April 2009 on the promotion of the use of energy from renewable sources and amending and subsequently repealing Directives 2001/77/EC and 2003/30/EC (Renewable Energy Directive (RED)) Communication from the Commission on voluntary schemes and default values in the EU biofuels and bio liquids sustainability scheme (2010/C 160/01) Communication from the Commission on the practical implementation of the EU biofuels and bio liquids sustainability scheme and on counting rules for biofuels (2010/C 160/02) Fuel Quality Directive Act on Granting Priority to Renewable Energy Sources Bio Fuels Sustainability Regulation Ordinance on requirements pertaining to sustainable production of biofuels Biomass Electricity Sustainability Regulation Ordinance on requirements pertaining to sustainable production of bio liquids for electricity production General Administrative Regulation on Biomass Electricity Sustainability Recycling Management Act for ISCC ISCC 101 - ISCC Statutes ISCC Fees and tariffs structure

Certification Scheme Sustainable Biomass ISCC page 5 of 13 for ISCC DE ISCC DE 102 - National and Regional Initiatives ISCC DE 103 - Quality Management ISCC DE 201 - System Basics ISCC DE 201 - Additional System Basics for the certification of gaseous biofuels produced in biogas plants ISCC DE 202 - Sustainability Requirements ISCC DE 203 - Requirements for Traceability ISCC DE 204 - Mass Balance Calculation ISCC DE 205 - GHG Emission Calculation ISCC DE 206 Regulations to issue Proofs of Compliance with Sustainability Requirements ISCC DE 207 - Risk Management ISCC DE 251 - Requirements on Certification Bodies ISCC DE 252 - Regulations to carry out Audits ISCC DE 253 - Complaints, appeals and arbitration ISCC DE 254 Cooperation with other Certification Systems für ISCC EU ISCC EU 103 - Requirements for Certification Bodies and Auditors ISCC EU 201 - System Basics ISCC EU 201-1 - Waste and residues ISCC EU 202 - Sustainability Requirements ISCC EU 203 - Traceability and Chain of Custody ISCC EU 204 - Audit Requirements and Risk Management ISCC EU 205 - GHG Emissions ISCC EU 206 - Group Certification für ISCC PLUS ISCC PLUS 103 - Quality Management ISCC PLUS 201 - System Basics ISCC PLUS 202 - Sustainability Requirements (Version 3.0) ISCC PLUS 202 - Sustainability Requirements (Version 2.03) ISCC PLUS 202a - Equivalence Benchmark ISCC PLUS 202-01 - Environmental Management and Biodiversity ISCC PLUS Guidance 202-01 Environmental Management and Biodiversity ISCC PLUS 202-02 - Classified Chemicals ISCC PLUS 202-03 - SAI Gold ISCC PLUS 203 - Requirements for Traceability ISCC PLUS 203-01 - Guidance Document: Co-processing Requirements ISCC PLUS 204 - On Options to add further Chain of Custody Requirements UPDATE ISCC PLUS 204-01 - Mass Balance (Version 2.1) ISCC PLUS 204-02 - Physical Segregation ISCC PLUS 205-01 - GHG Emission Requirements ISCC PLUS 205-02 - Consumables ISCC PLUS 205-03 - Non GMO food feed ISCC PLUS 205-04 - Non GMO technical markets ISCC PLUS 205-05 - Non GMO Guidance ISCC PLUS 207 - Risk Management ISCC PLUS 251 - Requirements on Certification Bodies ISCC PLUS 252 - Regulations to carry out audits ISCC PLUS 253 - Complaints, appeals and arbitration ISCC PLUS 254 - Integrity Program ISCC PLUS 255 - Add-ons and Extensions

Certification Scheme Sustainable Biomass ISCC page 6 of 13 ISCC PLUS 256 - Group Certification ISCC PLUS 260 - On options to add further extensions ISCC PLUS 260-01 - SRC ISCC PLUS 260-02 - Bioplastics ISCC PLUS 260-03 - Feed ISCC PLUS 260-04 - Food ISCC PLUS 260-05 - Waste feedstocks and renewable feedstocks of non-biological origin This certification scheme The General Terms and Conditions of DIN CERTCO The respective schedule of fees of DIN CERTCO 3 Requirements The requirements for companies apply along the entire biomass chain. They include all the companies involved in the processing, collection and trade of sustainable biomass from the producer (agricultural business) or the place of creation (initial distributor). Sustainable biomass in this sense is liquid biomass which is used to generate electricity under the Renewable Energies Law in keeping with the requirements of the Biomass Electricity Sustainability Regulation, and liquid or gaseous fuels for transport which are made from bio-mass in keeping with the requirements of the Bio Fuels Sustainability Regulation or bio fuels and liquid bio fuels made of various types of biomass in keeping with the definition in Annex V of the Renewable Energy Directive. Verification of compliance with these requirements is provided by on site audits. 3.1 Requirements for Agricultural Businesses Agricultural businesses which wish to distribute sustainable biomass must verify that it is produced using sustainable processes and in compliance with the statutory requirements. The participation of the agricultural businesses in the certification scheme is voluntary. Otherwise control inspections are carried out instead of certification audits (see section 4.2.3 Control of this certification scheme). The requirements of ISCC DE 202 Sustainability Requirements, ISCC DE 203 Requirements for Traceability, ISCC DE 204 Mass Balance Calculation, ISCC DE 205 GHG Emission Calculation, ISCC DE 207 Risk Management and all ISCC Procedures for ISCC-DE- Certifications and ISCC EU 202 Sustainability Requirements, ISCC EU 203 Traceability and Chain of Custody, ISCC EU 204 Audit Requirements and Risk Management, ISCC EU 205 GHG Emissions, ISCC EU 206 Group Certification and all ISCC Procedures for ISCC-EU- Certifications apply. 3.2 Requirements for First gathering points Initial collectors are responsible for determining the origin, quality and volume of biomass which they have received from the agricultural business and wish to distribute as sustainable biomass. The requirements of ISCC DE 202 Sustainability Requirements, ISCC DE 203 Requirements for Traceability, ISCC DE 204 Mass Balance Calculation, ISCC DE 205 GHG Emission Calculation, ISCC DE 207 Risk Management and all ISCC Procedures for ISCC-DE- Certifications and ISCC EU 202 Sustainability Requirements, ISCC EU 203 Traceability and

Certification Scheme Sustainable Biomass ISCC page 7 of 13 Chain of Custody, ISCC EU 204 Audit Requirements and Risk Management, ISCC EU 205 GHG Emissions for ISCC-EU-Certifications apply. 3.3 Requirements for all other System Participants The requirements of ISCC DE 203 Requirements for Traceability, ISCC DE 204 Mass Balance Calculation, ISCC DE 205 GHG Emission Calculation, ISCC DE 207 Risk Management and all ISCC Procedures for ISCC-DE-Certifications and ISCC EU 203 Requirements for Traceability, ISCC EU 204 Mass Balance Calculation, ISCC EU 205 GHG Emission Calculation, ISCC EU 207 Risk Management and all ISCC Procedures for ISCC- EU-Certifications apply. 3.4 Issuing of Proofs of Compliance with Sustainabiliy requirements Sustainability verifications are documents which prove compliance with the sustainability requirements for a volume of biomass or bio fuel at the time of their issue by a party involved in the system after which there are no further processing stages (apart from transport and storage). Compliance with the requirements of ISCC DE 206 Regulations to issue Proofs of Compliance with Sustainability Requirements is mandatory. 3.4.1 Issuing of Partial Proofs of Compliance with Sustainabiliy requirements At the owner's request, Partial Proofs of Compliance with Sustainability Requirements can be issued for partial consignments of bioliquids or biofuels for which a Proof of Compliance with Sustainability Requirements has already been issued. Compliance with the requirements of ISCC DE 206 Regulations to issue Proofs of Compliance with Sustainability Requirements is mandatory. 3.5 Requirements for Biogas plants (only ISCC-DE) For all biogas plants and system participants in connection with production of bio methane the requirements of ISCC DE 201 Additional System Basics for the certification of gaseous biofuels produced in biogas plants apply. 4 Auditing 4.1 General For the performance of the audits required as the basis for the assessment and certification of the products, DIN CERTCO avails itself of the auditors to which it has awarded recognition. The requirements of ISCC DE 252 Regulations to carry out Audits for ISCC-DE certification and ISCC EU 204 Audit Requirements and Risk Management for ISCC-EU certification apply. 4.2 Types of Audits

Certification Scheme Sustainable Biomass ISCC page 8 of 13 4.2.1 Initial Audit (Certification Audit) The first audit is used to establish whether the company is compliant with the requirements of section 3 of this certification scheme. The auditor must be commissioned to carry out the audit. If a group is involved, he must make a random selection by agreement with the certification body, taking into account the specifications of the appropriate regulations and must set a date for the audit. At the end of the completed audit on site the established definitions must be recorded in a written report. The causes of any non-conformities from the standard requirements must be analysed by the company's representative and corrected by means of action so that the requirements of the applicable standards are satisfied. Compliance with the standard requirements from the audit must be verified promptly by a positive audit report. 4.2.2 Surveillance Audit The monitoring audit must take place at the latest 6 months after the issuance of the initial certificate. Other monitoring procedures after the certification audit or recertification are only planned in special cases. For special cases see section 4.2.6 Special Audit of this certification scheme. 4.2.3 Control Checks are conducted at agricultural businesses which themselves are not obliged to participate in the certification system but must be available for supplier samples as part of the inspection to verify compliance with the sustainability standards by the initial collector. In the case of tree nurseries which are within the European Union and meet the criteria of 51 of the Bio Fuels Sustainability Regulation, section 4.4 of the ISCC 252 Regulations for carrying out Audits must also be given due consideration. 4.2.3.1 Sampling The sampling procedure for checks is performed according section 4.2.2.2 of the ISCC DE 252 Regulations for carrying out Audits for ISCC DE certifications and ISCC EU 206 Group Certification for ISCC EU certifications. 4.2.4 Renewal (Re-Certification Audit) The Re-Certification audit is conducted corresponding to the inital audit (certification audit). 4.2.5 Supplementary Audit A supplementary audit shall take place when additions, extensions or modifications (see section 5.8) are made to the certified product, which may influence the product s conformity with the pertinent, fundamental requirements. The type and scope of the supplementary audit shall be laid down on a case by case basis by DIN CERTCO in conjunction with the auditor.

Certification Scheme Sustainable Biomass ISCC page 9 of 13 4.2.6 Special Audit A special audit is conducted if defects are detected the production has been suspended for a period of more than 6 months required by DIN CERTCO - reasons to be specified required by ISCC or BLE reasons to be specified requested in writing by a third party if a particular interest in the maintenance of proper conduct of market procedures in relation to competition or quality is involved. Special audits can be performed as part of risk assessment. The type and scope of the special audit shall be laid down in accordance with the specific, respective purpose on a case by case basis by DIN CERTCO in conjunction with the auditor. If the special audit was requested by ISCC they shall be included in the coordination. Should defects be detected in the course of the special audit the certificate holder shall bear the costs of the examination procedure. Should the special audit at the request of a third party reveal no defects, the costs shall be borne by the said third party. 4.3 Audit Procedure The audit must be conducted in accordance with the specifications of the ISCC certification system using the ISCC Procedures relating to duration and audit contents. The requirements of ISCC DE 252 Regulations to carry out Audits for ISCC-DE certification and ISCC EU 204 Audit Requirements and Risk Management und ISCC EU 206 Group Certification for ISCC EU certification. 4.4 Audit Reports and Procedures The auditor must inform the client of the result of the audits by issuing an audit report. The report must be presented to DIN CERTCO. The specifications of ISCC must be used and completed in full to document the results of the audit and, if applicable, to define the required actions set out in the action plan The following applies to interfaces, businesses or suppliers in the sense of the sustainability regulations (Bio Fuels Sustainability Regulation and Biomass Electricity Sustainability Regulation): If the auditor comes to the conclusion that the audited company does not meet the requirements of the ISCC certification system the ISCC Procedures used for the audit must be sent to ISCC without delay by electronic means. 5 Certification Certification in the sense of this certification scheme relates to the assessment of conformity of a product by DIN CERTCO on the basis of audit reports submitted by auditors recognized by DIN CERTCO. To this end, the products to be certified are examined and subsequently monitored in respect of conformity with the requirements laid down in section 3.

Certification Scheme Sustainable Biomass ISCC page 10 of 13 5.1 Application The applicants are the various companies within the biomass chain. The following documents must be submitted by the applicant to DIN CERTCO: The original application for certification with a legally binding signature. Signed contract with ISCC Signed audit report Once the application has been received by DIN CERTCO, the applicant is sent a confirmation which includes a process number and information about the further procedural process. This also requests any application documents that may be missing. 5.2 Conformity Assessment On the basis of the documents submitted, DIN CERTCO conducts the conformity examination. In particular in this case an evaluation is carried out using the above documents and information to determine whether the requirements of the certification scheme and the relevant ISCC documents are satisfied. The applicant shall receive written notification from DIN CERTCO in the event of any possible non-conformities. 5.3 The Certificate and the Right to Use the Mark Once the inspection and the conformity evaluation of the application documents have been completed successfully, DIN CERTCO issues the applicant with a certificate. with the associated registration number. System users of the ISCC DE certification will receive a conformity certificate. 5.4 Publications All certificate holders can be viewed on the daily up-dated homepage of DIN CERTCO (www.dincertco.de) under Certificate Holders and under www.iscc-system.org. Manufacturers, users and consumers use this research possibility for obtaining information on certified products. Besides the contact details of the certificate holders (telephone, telefax, e-mail, homepage), this page also contains further information about the certified product group. 5.5 Validity of the Certificate The certificate is valid for 1 year. The period of validity is shown on the certificate. On expiry of the certificate, the right to use the mark also expires. The period of validity for small and very small businesses is 3 or 5 years. 5.6 Renewal of the Certificate If the certification shall continue to apply beyond the date shown on the certificate, an up-todate, positive audit report and an application for renewal must be submitted in good time to

Certification Scheme Sustainable Biomass ISCC page 11 of 13 DIN CERTCO. On the basis of the documents submitted, DIN CERTCO conducts the conformity examination. The Re-Certification audit is conducted corresponding to the initial audit (certification audit.). 5.7 Expiry of the Certificate In the event that the new standard conformity examination according to section 3.1.2.4 has not been completed before expiry of the validity period, the certificate with the corresponding registration number and the right to use the ISCC logo expires without the necessity for explicit notification from DIN CERTCO. Furthermore, the certificate can also expire if: The surveillance according to section 4.2.2 is not performed punctually or completely, The certificate is misused by the certificate holder, The requirements laid down in the certification scheme or its accompanying documents are not fulfilled, The certification fees are not paid on the due date The prerequisites for the issuing of the certificate are no longer fulfilled 5.8 Alterations/Amendments 5.8.1 Alterations/Amendments to the Product The certificate holder is obliged to notify DIN CERTCO of all alterations to the product without delay. DIN CERTCO in conjunction with the auditor shall decide on the scope of an examination that shall be conducted according to section 4.2.5 and whether it is a matter of a substantial alteration. The respective audit report shall be forwarded to DIN CERTCO by the auditor. If DIN CERTCO finds a major alteration, a supplementary audit must be conducted. If standard compliance is retained, the certificate will remain in force. If the assessment of DIN CERTCO is negative, the certificate with the relevant registration number will be invalidated. The certificate holder remains obliged to notify of any changes in the formal details (e.g. certificate holder or his address). 5.8.2 Alterations to the Basic Test Specifications If the system usage conditions of ISCC change, a special right to terminate will exist for system users. If there is a change to the basis of the certification and no other transitional regulation has been defined, an application for a change of certification must be submitted within 6 months of notification of this change to DIN CERTCO. In general, proof of conformity with the changed system requirements must be provided within twelve months by submitting a positive audit report (see section 4.2.3).

Certification Scheme Sustainable Biomass ISCC page 12 of 13 5.9 Defects Defects mean non-conformities from the requirements by the participating companies. If nonconformities from the system requirements for the product chain certification are found, the holder of the certificate will be requested by DIN CERTCO to take corrective action. In consultation with the auditor, DIN CERTCO shall decide whether the non-conformity is major or minor. The definitions in Annex I apply to agricultural businesses and first gathering points: Major and minor musts of ISCC DE 202 Sustainability requirements for ISCC-DE-certifications and Annex I: ISCC Requirements at a Glance of ISCC EU 202 Sustainability requirements for ISCC-EU- certifications apply. If DIN CERTCO finds major non-conformities at a participating company against the ISCC requirements or if they are found by the holder of the certificate and if they cannot be corrected or if possible corrective actions cannot be completed on schedule, this will result in the suspension of the certificate or in its withdrawal after a reasonable period of time. The due-dates set out in the ISCC regulations apply. 6 Surveillance by the Manufacturer The manufacturer must ensure, by suitable quality management measures, that the product characteristics confirmed by the certification are maintained. This can be accomplished by means of an in-house factory production control (FPC) focussed on the product itself or on the production and, in addition, can be guaranteed within the framework of a quality management system (QM-System) in accordance with the standard series DIN EN ISO 9000 ff.this must be reasonably documented. This also relates to the documentation and structure of the complaints system. This must, among other things, regulate how complaints, non-conformities from the requirements of the certification scheme and the standards set out above are handled. The requirements of ISCC DE 253 Complaints, Appeals and Arbitration for ISCC-DE certification and ISCC EU 102 Governance for ISCC-EU certification apply. The relevant records must be submitted to DIN CERTCO or its representatives on request. 7 Other 7.1 Provisions for small and very small Entities (only ISCC-DE) Section 4.3.2 ISCC 201 System Principles applies to small and very small entities. 7.2 Cross Compliance If agricultural businesses receive direct payments for cross compliance, they automatically satisfy the requirements for agricultural management (Art.17 (6) of Directive 2009/28/EC). The application for direct payments under Regulation (EC) No. 73/2009 or area-related measures or notification that such payments are to be granted can be used as evidence for this.

Certification Scheme Sustainable Biomass ISCC page 13 of 13 7.3 Group Certification (only ISCC-EU) As part of the certification of groups or companies with multiple sites (multi-site certification), the special requirements for selecting random samples and inter-company/site regulations set out in document ISCC EU 206 Group Certification must be considered separately. Group certification is only possible in the ISCC EU system. 7.4 Provisions for ISCC PLUS Certification The provisions set out in the ISCC PLUS documents (see section 2) apply.