POWERLONG REAL ESTATE HOLDINGS LIMITED

Climate Impact & Sustainability Data (2020, 2021)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:396,531.95 tCO2e

Scope 1 Emissions:21,968.60 tCO2e

Scope 2 Emissions:347,511.15 tCO2e

Total Energy Consumption:597,050.76 MWh

Water Consumption:9,887,153.09 m3

Waste Generated:53,150,613.03 kg (non-hazardous); 24,949.45 kg (hazardous)

Carbon Intensity:0.10 tCO2e per thousand RMB of income from property rental, development, and management services

ESG Focus Areas

Environmental
Social
Governance

Environmental Achievements

Certified green building gross floor area reached 8.66 million square meters by the end of 2020 (a year-on-year increase of 64.7%).
Various green measures implemented in construction and operations, including water-saving irrigation, energy-saving lighting, and waste reduction initiatives.

Social Achievements

Launched the “Hoi Kin Hong Foundation” with a RMB 500 million donation to Fudan University.
Implemented a "Client-oriented Plan" to improve client satisfaction.
Organized annual physical examinations for employees and various recreational activities.

Governance Achievements

Established a multi-level ESG management system with clear responsibilities.
Officially released six sub-brands, including “Sunshine Powerlong”, an integrity construction platform.
Joined the “Fujian-based Shanghai Real Estate Enterprise Audit and Supervision Alliance” to promote a clean business environment.

Climate Goals & Targets

Environmental Challenges

Risks related to real estate market regulation and control.
Risks related to real estate project positioning.
Risks related to real estate cost targets.
Risks related to safety management of real estate projects.
Risks related to sales of real estate projects.
Risks related to complaints from real estate clients.
Risks related to capital safety.
Risks related to pandemic prevention and control.
Climate change related risks (policy changes, natural disasters).

Mitigation Strategies

Keep abreast of changes in real estate-related policies and develop effective countermeasures.
Strengthen investment positioning processes and management.
Manage cost progress throughout the project lifecycle and establish a market monitoring system.
Improve safety awareness and strengthen safety management.
Improve understanding of market risks and client needs.
Maintain good client relationships and handle complaints effectively.
Enrich financing models, strengthen operational management, and enhance cash flow prediction.
Ensure anti-pandemic materials are in place and strengthen prevention and control measures.
Invest in green buildings, enhance system efficiencies, and optimize energy use to reduce GHG emissions.

Supply Chain Management

Responsible Procurement

Green procurement principles implemented, including assessment of product necessity, consideration of alternatives, and lifecycle impact.
Supplier recommendation policy and storage standards refined.
Environmental and social performance considered as procurement selection criteria.

Climate-Related Risks & Opportunities

Physical Risks

Floods, severe typhoons, abnormal heat waves

Transition Risks

Changes in climate-related policies, laws, and regulations

Reporting Standards

Frameworks Used: Appendix 27 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited

Awards & Recognition

AA in the Green Index
China Commercial Real Estate Award for Operations and Management Innovation
Leading Commercial Property Individuals in China
2020 China Excellent Talent Management Award
Yuanye Cup Real Estate Garden Award
2020 Honrable Mentions of Architecture MasterPrize – Landscape Architecture (Commercial)
2020 Top 10 Chinese CEO of the Year
Top 50 Real Estate Enterprises in Market Competitiveness 2020
2020 (the 16th) Top 100 Advanced Education Units of Chinese Enterprise
2019 Competent Brand Enterprise
Most Valued Real Estate Stock
Most Influential Real Estate Enterprise in 2019
Most Valuable Real Estate Listed Companies in 2019
2020 Top 10 Chinese Green Property Award
2020 Top 10 Chinese Green Public Constructions
2020 City Operator
Blue Chips Enterprises
National Fine Arts Golden Star Award | Top Ten Institutions of the Year
2020 TOP 10 Brands of China Commercial Real Estate Companies
2020 Best 50 of China Real Estate Enterprises
2019-2020 China Real Estate Developers with High Social Responsibility
2019-2020 China Benchmarking Real Estate Developers for Poverty Alleviation

Reporting Period: 2021