Company: TGE
Filing Date: 2025-11-21
Form Type: POS AM
Source: 0001213900-25-113604
Chunk: 258

Company: Generation Essentials Group
Filing Date: 2025-11-21
Form: POS AM
Chunk 258
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observable inputs and minimizing the use of unobservable inputs.

All assets for which fair value is
measured or disclosed in the consolidated financial statements are categorized within the fair value hierarchy, described as follows,
based on the lowest level input that is significant to the fair value measurement as a whole:

| Level 1 | based on quoted                                                           
 prices (unadjusted) in active markets for identical assets or liabilities |

| Level 2 | based on valuation                                                                            
 techniques for which the lowest level input that is significant to the fair value measurement 
 is observable, either directly or indirectly                                                  |

| Level 3 | based on valuation                                                                            
 techniques for which the lowest level input that is significant to the fair value measurement 
 is unobservable                                                                               |

For assets that are recognized in the
consolidated financial statements on a recurring basis, the Group determines whether transfers have occurred between levels in the hierarchy
by reassessing categorization (based on the lowest level input that is significant to the fair value measurement as a whole) at the end
of each reporting period.

<div align='center'>F-33

THE GENERATION ESSENTIALS GROUP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
F OR THE YEARS ENDED DECEMBER 31, 2022, 2023 AND 2024</div>

| 2. | APPLICATION OF INTERNATIONAL FINANCIAL REPORTING 
 STANDARDS (cont.)                                |

Property, plant and equipment, apart
from properties, are stated at cost or fair value less accumulated depreciation and any impairment losses. The cost of an item of property,
plant and equipment comprises its purchase price and any directly attributable costs of bringing the asset to its working condition and
location for its intended use.

Expenditure incurred after items of
property, plant and equipment have been put into operation, such as repairs and maintenance, is normally charged to the consolidated
statement of profit or loss and other comprehensive income in the year in which it is incurred. In situations where the recognition criteria
are satisfied, the expenditure for a major inspection is capitalized in the carrying amount of the asset as a replacement. Where significant
parts of property, plant and equipment are required to be replaced at intervals, the Group recognises such parts as individual assets
with specific useful lives and depreciates them accordingly.

When the Group makes payments for ownership
interests of properties of which includes both leasehold land and building elements, the entire consideration is allocated between the
leasehold land and the building elements in proportion to