Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental protection
• Operating practices
• Employment practices
• Serving the community

Environmental Achievements

• Average annual GHG emission slightly reduced to 53.8 tonnes per vehicle (2020: 59.8)
• Deployed two new LPG minibuses to replace aged diesel minibuses
• Resumed minibuses replacement schedule in June 2021, planning to replace around 31 old PLBs by the end of 2022
• Generally in compliance with Road Traffic (Construction and Maintenance of Vehicles) Regulations, Motor Vehicle Idling (Fixed Penalty) Ordinance and Waste Disposal Ordinance of Hong Kong in relation to gas emission and disposal of hazardous waste

Social Achievements

• Average accident rate was 2.7 per million km for the year ended 31 March 2021 (2020: 3.1 per million km)
• Implemented a series of anti-epidemic measures to protect the safety of employees and passengers during the COVID-19 pandemic
• Awarded as a “Caring Company” by The Hong Kong Council of Social Service
• Launched the first lower-floor wheelchair accessible PLB in Hong Kong in January 2018

Governance Achievements

• Launched procurement guidelines in 2009 aiming to ensure that the products and services procured by the Group are carried out under the principle of fair competition and to improve the transparency and accountability of the Group’s procurement process
• Established a whistle blowing policy to provide reporting channels for the employees to report possible improper or corruptive practices
• ISO 9001:2015 quality management system certification for its R&M centers

Climate Goals & Targets

Environmental Challenges

• Rapid decrease in economic activities and passenger demand during the COVID-19 pandemic postponed the minibuses replacement schedule
• COVID-19 pandemic led to cancellation of some regular events and activities, resulting in decreased community contributions

Mitigation Strategies

• Resumed minibuses replacement schedule in June 2021
• Adopted a series of anti-epidemic measures to protect the safety of employees and passengers during the COVID-19 pandemic
• Encouraged employees to participate in virtual community events

Supply Chain Management

Responsible Procurement

• Procurement guidelines launched in 2009, focusing on fair competition, transparency, and accountability; supplier selection based on product/service quality and compliance with environmental regulations.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Appendix 27 – Environmental, Social and Governance (“ESG”) Reporting Guide of the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015

Awards & Recognition

• Caring Company

Environmental Metrics

ESG Focus Areas

• Environmental protection
• Operating practices
• Employment practices
• Serving the community

Environmental Achievements

• Deployed 275 of the 19-seat PLBs, which accounted for approximately 78% of the Group’s PLB fleet. The fleet was made up of 311 LPG minibuses and 43 diesel minibuses, representing around 87.9% and 12.1% of the fleet respectively.
• Energy consumption intensity of the Group for the year was lower than that of last year by 4.0%.
• Amount of waste metal for the year reduced significantly compared with last year because no old vehicle was scrapped during the year.

Social Achievements

• Successfully onboarded the first batch of Mainland Chinese captains under the Government initiative, providing them with comprehensive training programs.
• Awarded as a “Caring Company” by The Hong Kong Council of Social Service in recognition of its contributions to community involvement programmes.
• Continued support to the community through expanding the coverage of its GMB-GMB Interchange (GGI) schemes, offering fare concessions to passengers.

Governance Achievements

• The Board retains primary oversight for sustainability strategy, risk control and reporting framework at the full board level.
• Integrated important ESG risks into the Group’s existing risk management and internal control systems.
• Provided an anti-corruption training to the employees who are responsible for administrative function of the Group.

Climate Goals & Targets

Environmental Challenges

• High fuel costs
• Expanding rail network
• Growing competition from other public transport modes
• Persistent labor shortages
• Difficult operating environment for the minibus industry, particularly within the red minibus segment
• Elevated market borrowing rates
• Persistent shortage of qualified captains affecting service frequency and driving up labor costs

Mitigation Strategies

• Submitted fare increase applications (granted approval to raise fares in 9 routes)
• Successfully onboarded Mainland Chinese captains under a government labor importation scheme.
• Provided comprehensive training programs to Mainland Chinese captains.
• Applied for further importation of captains under the second batch of the scheme.
• Continuous efforts to optimise existing resources to enhance operational efficiency.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Procurement guidelines (fair competition, transparency, accountability)
• Code of Practice for Suppliers (ethics, human and labor rights, health and safety, environmental protection, climate change action)

Climate-Related Risks & Opportunities

Physical Risks

• Typhoon, heavy rainstorms, flooding

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Appendix C2 – Environmental, Social and Governance Reporting Guide of the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Caring Company