Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• People
• Communities
• Marketplace

Environmental Achievements

• Net greenhouse gas emissions fell to 117,000 tonnes carbon dioxide equivalent in 2019-20, the company’s lowest annual operational carbon footprint since reporting began in 1997. This was achieved through a combination of energy efficiency improvements, renewable energy generation and the rapidly falling carbon dioxide intensity of UK grid electricity.
• Wessex Water was rated as “leading” in the UK Environment Agency’s annual environmental performance assessment (EPA), having reduced the number of pollution incidents to 76 and increased the level of self-reporting of incidents to 85%.
• 96% of bathing waters passed strict environmental standards.

Social Achievements

• Wessex Water was again one of the top performers in the water sector for customer service, placing second of all the water and sewerage companies in Ofwat’s new measure of customer experience (C-MeX) trial.
• Wessex Water launched Trustpilot® to gather customers’ views on its service, with 83% of customers so far giving its service a five-star rating.
• YTL Comms launched a CSR program to help Malaysians stay at home and learn from home during the pandemic, providing free smartphones, data, and telephony service to low-income families.
• YTL Comms saw continuous net gains in its subscription base for 18 consecutive months, measuring in double digits.

Governance Achievements

• Establishment of a new Employees Share Option Scheme (ESOS)
• Formalisation of the Anti-Bribery and Corruption Policy (ABC Policy) for the YTL Group
• Establishment of a Remuneration Committee

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and resulting economic downturn
• Oversupply of generation capacity in Singapore’s wholesale electricity market
• Delays in the Attarat Power Company PSC project in Jordan due to COVID-19 restrictions
• Lower profit before taxation due to lower profit in the Water & Sewerage segment and loss in the Telecommunications Business segment

Mitigation Strategies

• Acquisition of Tuaspring’s power plant and associated assets in Singapore
• Invoking force majeure provisions under the power purchase agreement with NEPCO in Jordan
• Maintaining cash reserves and funding acquisitions on a ring-fenced, non-recourse basis
• Implementing cost-cutting measures and efficiency improvements

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Geneco’s solar project supplying 100% locally generated solar power and issuing Renewable Energy Certificates (RECs)

Awards & Recognition

• Wessex Water retained its government Customer Service Excellence award, the British Standard for inclusive services provision (BS 18477), the Keep Me Posted award and the Louder than Words charter mark, as well as continuing with the Institute of Customer Service’s ServiceMark with distinction.

Environmental Metrics

ESG Focus Areas

• Environment
• People
• Communities
• Marketplace

Environmental Achievements

• Net greenhouse gas emissions fell to 109 kilotonnes of carbon dioxide equivalent in 2020-21, continuing a 10-year trend. This is the division’s lowest annual operational carbon footprint since reporting began in 1997, achieved through a combination of energy efficiency improvements, renewable energy generation and the rapidly falling carbon dioxide intensity of UK grid electricity. Electricity use fell in 2020-21 from the previous year and 28% of the division’s electricity demand came from renewable energy generation on its sites.

Social Achievements

• Wessex Water has given extra support to those financially affected by the pandemic and those shielding or with additional needs, awarding more than 4,000 payment breaks and setting up more than 2,000 flexible plans linked to the ongoing pandemic. Launched a GBP50 rebate on metered bills for National Health Service (NHS) workers, benefitting more than 14,500 customers.
• YTL Comms’ Learn From Home initiative provided free data and learning resources to support students, teachers and schools; extended free SIM cards with 40GB of data to 230,000 educators; and offered free 5GB of monthly data to B40 families until 31 August 2022.
• YTL Comms participated in the Government’s Jaringan Prihatin programme, offering 8 million B40 individuals and families a free smartphone, year-long data, free access to the FrogPlay learning platform and cashback vouchers.

Governance Achievements

• Establishment of a new employees share option scheme (ESOS).

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacts on public health and business activity.
• Supply chain disruptions due to the COVID-19 pandemic.
• Delays in the Attarat Power Company PSC project due to travel and movement restrictions imposed by the Government of Jordan.

Mitigation Strategies

• Implementation of new measures, procedures and safeguards to further insulate business divisions and ensure operational ability regardless of pandemic-related restrictions.
• Invoking force majeure provisions under the Power Purchase Agreement with NEPCO (Attarat Power Company PSC).

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Sustainable Development Goals (SDGs)

Sustainable Products & Innovation

• Geneco launched a comprehensive suite of sustainable energy solutions for its customers, including collaborations with various solar panel installation partners and the BizSunny Plan.

Awards & Recognition

• Customer Service Excellence award (Wessex Water)
• Service Mark with distinction from the Institute of Customer Service (Wessex Water)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Resource Management
• Water Efficiency
• Biodiversity
• Employee Well-being
• Customer Satisfaction
• Community Development
• Ethical Supply Chain
• Ethical Business & Compliance
• Financial Sustainability
• Cybersecurity & Data Protection
• Governance & Transparency
• Anti-bribery & Corruption
• Risk Management

Environmental Achievements

• 13% decrease in GHG intensity (Scope 1 & 2) based on revenue.
• Wessex Water's GHG emissions fell to the lowest annual operational carbon footprint since 1997.
• 12% of Wessex Water's electricity demand came from renewable sources.
• Wessex Water exported 2.5 times more biomethane than it consumed natural gas.
• YTL PowerSeraya exploring low-carbon hydrogen solutions.
• Geneco (YTL PowerSeraya) expanded its Power Eco Add-on plan to all residential customers.
• RM1.1 billion Islamic term financing for YTL Green Data Center Park with a commitment to Gold LEED certification.
• Wessex Group issued a £300 million sustainability bond.

Social Achievements

• 3-year collective agreement with UPAGE renewed (YTL PowerSeraya).
• YTL PowerSeraya received Plaque of Commendation (Gold) in NTUC May Day Awards 2023.
• YTL Comms received Ookla® Awards for Fastest Mobile Network Speed in Malaysia.
• YTL Comms received 4 MCMC Star Rating Awards 2021.
• Wessex Water received Customer Service Excellence award & Service Mark with distinction.
• Wessex Water received President’s Award from The Royal Society for the Prevention of Accidents (11 Golds).
• YTL Developments received Residential Project of the Year and Developer of the Year awards.
• Wessex Water exceeded its performance commitment target for water saved through water efficiency activities.

Governance Achievements

• Established a working-level group to support the ESG Committee.
• Implemented a six-part cybersecurity training module for Malaysian employees.
• YTL PowerSeraya successfully completed the re-certification of ISO27001 information security management.

Climate Goals & Targets

Environmental Challenges

• Improving processes to track and gather environmental data across different countries and industries.
• Data collection challenges relating to ESG indicators.
• Inadequate focus on talent retention.
• Unsafe workplaces.
• Poor customer service.
• Loss of relevant market share.
• Regulatory fines and loss of investor confidence.

Mitigation Strategies

• Ongoing internal initiative to standardize data and improve data tracking.
• Investing in human resources, upskilling, and reskilling programs.
• Ensuring a safe and conducive work environment.
• Improving operational resilience through spare capacity management and asset maintenance.
• Investing in long-term sustainable products and infrastructure.
• Adopting and enforcing a zero-tolerance approach towards fraud, bribery, and corruption.
• Implementing integrity pledge and employee training programs.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Commitment to ethical purchasing, including environmental compliance, health and safety, and social rights and ethics.
• Prioritizing local vendors (97% of procurement expenditure).

Climate-Related Risks & Opportunities

Physical Risks

• Increased severity and frequency of extreme weather events.

Transition Risks

• Regulatory and policy risks (carbon pricing, new legislation).
• Financial risks (compliance costs, new technologies).
• Reputational risks (consumer and investor preferences).

Opportunities

• Investing in innovative technologies and solutions.
• Improving energy, water, and waste efficiency.
• Leveraging new and cleaner technologies.
• Exploring new green business lines.
• Developing low-emission and renewable technologies.

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards, GHG Protocol, UN SDGs, FTSE4Good Bursa Malaysia Index assessment methodology, Bursa Securities’ Sustainability Reporting Guide and Corporate Governance Guide, Malaysian Code on Corporate Governance

Certifications: ISO 45001 (Wessex Water & YTL PowerSeraya), ISO 27001 (YTL PowerSeraya)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 6 (Clean Water and Sanitation)
• Goal 7 (Affordable and Clean Energy)
• Goal 8 (Decent Work and Economic Growth)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 11 (Sustainable Cities and Communities)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 14 (Life Below Water)
• Goal 15 (Life On Land)
• Goal 17 (Partnerships for the Goals)

The report details how various initiatives contribute to these goals.

Sustainable Products & Innovation

• YTL Green Data Center Park (co-powered by solar energy).

Awards & Recognition

• Ookla® Awards (YTL Comms)
• MCMC Star Rating Awards (YTL Comms)
• Customer Service Excellence award (Wessex Water)
• Service Mark with distinction (Wessex Water)
• President’s Award (Wessex Water)
• Residential Project of the Year (YTL Developments)
• Developer of the Year (YTL Developments)
• Plaque of Commendation (Gold) Award (YTL PowerSeraya)

Environmental Metrics

ESG Focus Areas

• Climate & energy
• Water efficiency
• Resource management
• Biodiversity
• Employee well-being
• Customer satisfaction
• Community development
• Ethical business & compliance
• Financial sustainability
• Ethical supply chain
• Cybersecurity & data protection
• Governance & transparency
• Anti-bribery & corruption
• Risk management

Environmental Achievements

• GHG intensity remained stable (Scope 1 & 2 emissions)
• Wessex Water generated 17 GWh of renewable energy and exported 9 million cubic metres of biomethane to the gas grid
• YTL PowerSeraya invested S$5m to increase solar power generation capacity to 5 MWp (from 1 MWp)
• YTL PowerSeraya achieved an absolute reduction in direct emissions of about 41% from 2010 levels.
• Wessex Water’s annual average level of leakage reduced by 1.4 Ml/d.

Social Achievements

• Geneco remained Singapore’s No.1 Residential Electricity Retailer
• Wessex Water came first of the water and sewerage companies in the water sector’s customer satisfaction metric (C-MeX)
• YTL PowerSeraya received four Tripartite Standards recognitions
• Wessex Water took on 31 graduates and 61 apprentices
• Total community investment RM24.3 million; Number of beneficiaries 152,721

Governance Achievements

• Inclusion in FTSE4Good Bursa Malaysia Index
• National Transition Leadership Award 2024
• 98% of operations assessed for corruption-related risks
• 89% of executive and 82% of non-executive employees received anti-corruption training
• 0 confirmed incidents of corruption

Climate Goals & Targets

Environmental Challenges

• Ongoing efforts to improve processes to track and gather environmental data and standardize data collected across different countries and industries.
• Supply chain disruptions due to extreme weather events
• Regulatory and policy risks related to climate change
• Financial risks associated with compliance with new regulations and adoption of new technologies
• Reputational risks due to shifts in consumer behavior and investor preferences
• Inadequate focus on talent retention
• Unsafe workplaces
• Poor customer service
• Loss of relevant market share
• Regulatory fines and loss of investor confidence

Mitigation Strategies

• Significant investment (£150 million) to address storm overflows in Wessex Water’s operating region
• Investment in low-emission and renewable technologies (600 MW hydrogen-ready power plant in Singapore, solar power facility)
• Improved energy, water, and waste efficiency
• Exploration of viable new green business lines
• Improved operational resilience through spare capacity management and asset maintenance
• Investment in human resources, including upskilling and reskilling programs
• Improved safety-related reporting, training, and health and safety campaigns
• Prioritization of local community hiring
• Implementation of integrity pledge and employee training programs on anti-corruption and cybersecurity
• Implementation of fair and responsible supply chains and procurement processes
• Robust financial performance and strong governance

Supply Chain Management

Responsible Procurement

• YTL Group Code of Conduct & Business Ethics
• YTL PowerSeraya’s Supplier Code of Conduct
• Wessex Water’s Business Ethics Policy and Modern Slavery and Human Trafficking Statement

Climate-Related Risks & Opportunities

Physical Risks

• Increased severity and frequency of extreme weather events
• Longer-term shifts in temperature and precipitation patterns

Transition Risks

• Regulatory and policy risks (higher carbon prices, new legislation)
• Financial risks (compliance costs, R&D costs)
• Reputational risks (shift in consumer behavior and investor preferences)
• Technological risks (development and use of emerging low-emission technologies)

Opportunities

• Investment in innovative technologies and solutions
• Improved energy, water, and waste efficiency
• Leveraging new and cleaner technologies
• ESG-linked lending options
• Development of low-emission and renewable technologies
• Exploration of viable new green business lines

Reporting Standards

Frameworks Used: Bursa Securities’ Sustainability Reporting Guide and Corporate Governance Guide, FTSE4Good Bursa Malaysia Index assessment methodology, GRI Sustainability Reporting Standards, GHG Protocol, UN SDGs

Certifications: ISO9001, ISO14001, ISO27001, ISO45001, BizSafe Star, SS 651 (YTL PowerSeraya)

UN Sustainable Development Goals

• 6, 7, 12, 13, 14, 15

Alignment with UN SDGs is mentioned throughout the report.

Sustainable Products & Innovation

• Hydrogen-ready power plant
• Solar power facility

Awards & Recognition

• FTSE4Good Bursa Malaysia Index Inclusion
• National Transition Leadership Award 2024
• The Edge Billion Ringgit Club Awards 2024
• Wessex Water President’s Award Royal Society for the Prevention of Accidents (12 Golds)
• YTL PowerSeraya Awarded Energy Market Authority’s inaugural request-for-proposal
• YTL Developments UK Property Business South West Business Masters 2023 Regeneration Scheme of the Year
• British Home Awards 2023