Spring Real Estate Investment Trust
Climate Impact & Sustainability Data (2019, 2020, 2021)
Reporting Period: 2019
Environmental Metrics
Total Carbon Emissions:7,216 tCO2e/year
Total Energy Consumption:9,498,000 kWh/year
Water Consumption:173,838 m3/year
Waste Generated:16,967 tons/year (Non-recyclable: 367 tons, Recyclable: 3,600 tons, General Construction Waste: 12,960 tons)
Carbon Intensity:0.049 tonnes of CO2e/m2
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Implemented a Reduce, Reuse and Recycle scheme.
- Achieved a 19.4% total energy saving rate from Nov 2018 to Nov 2019 using Techcon-EEC Energy-saving Expert Control System.
- Replaced 350 traditional lighting fixtures with LED lights, reducing electricity consumption by approximately 37%.
- Reduced total tonnes of CO2e from 8,320 in 2017 to 7,216 in 2019.
- Reduced water consumption from 195,319 m3 in 2018 to 173,838 m3 in 2019.
Social Achievements
- Maintained a tenant satisfaction rate exceeding 96% (response rate of 90%) in August 2019 survey.
- Installed air purification systems significantly reducing PM2.5 levels to meet Grade 1 national standard.
- Installed an advanced parking system to minimize pollutant emissions from vehicles.
Governance Achievements
- Established a comprehensive set of policies for staff covering remuneration, recruitment, dismissal, promotion, and performance review.
- Implemented robust data security system to safeguard sensitive information.
- Zero reported incidents of non-compliance with laws and regulations related to employment practices, occupational health and safety, labor standards, product responsibility, and anti-corruption.
Climate Goals & Targets
Environmental Challenges
- Managing waste generated from renovation activities.
- Maintaining air quality in Beijing.
- Ensuring tenant satisfaction.
Mitigation Strategies
- Established Renovation Management Office (RMO) with written guidelines for renovations.
- Installed air purification systems.
- Regular tenant satisfaction surveys and Customer Service Department.
Supply Chain Management
Responsible Procurement
- Encouraging suppliers to follow ESG best practices and maintain fair labor standards.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: HKEx ESG Reporting Guide
Reporting Period: 2020
Environmental Metrics
Total Carbon Emissions:6,667 tCO2e/year
Total Energy Consumption:8,774,000 kWh/year
Water Consumption:150,634 m3/year
Waste Generated:10,306 tons/year (626 non-recyclable, 3,060 recyclable, 9,720 construction)
Carbon Intensity:0.046 tonnes of CO2e/m2 in 2020
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Implemented a Reduce, Reuse and Recycle scheme.
- Achieved LEED Platinum Certification under the LEED for Existing Buildings: Operations and Maintenance category.
- Introduced a smart recycling system.
- Utilized sewage filtering facilities and obtained a Sewage Discharge Permit.
- Replaced 27 traditional lighting fixtures with LED lights.
- Installed sensor taps in public washrooms.
- Used reclaimed water for landscape irrigation.
Social Achievements
- Established comprehensive policies for staff covering remuneration, recruitment, dismissal, promotion, and rest hours.
- Installed air purification systems significantly reducing PM2.5 levels.
- Introduced a smart parking system to minimize fuel consumption and emissions.
- Provided appropriate personal protective equipment to maintenance staff.
- Introduced automated external defibrillators (AEDs) and provided training.
- Conducted semi-annual tenant satisfaction surveys with >97% satisfaction rate.
Governance Achievements
- Incorporated ESG considerations into every investment decision.
- Implemented processes and controls to assess the ESG impact of each investment decision.
- Established a robust data security system to safeguard sensitive information.
- Implemented a whistle-blowing policy.
Climate Goals & Targets
Environmental Challenges
- Managing waste generated from renovation activities.
- Maintaining air quality in light of Beijing's air quality concerns.
Mitigation Strategies
- Established a Renovation Management Office (RMO) with written guidelines.
- Installed air purification systems with electrostatic filters and activated charcoal layers.
Supply Chain Management
Responsible Procurement
- Encourages suppliers to follow environmentally and socially responsible practices.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: ESG Reporting Guide, Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited
Certifications: LEED Platinum Certification, ISO 14001 (Building Manager), ISO 9001 (Building Manager), First Grade Qualification of Realty Management Enterprise (Building Manager)
Awards & Recognition
- LEED Platinum Certification
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:6,693 tCO2e/year
Total Energy Consumption:8,808,000 kWh/year
Water Consumption:191,339 m3/year
Waste Generated:12,475.18 tons/year
Carbon Intensity:0.046 tonnes of CO2e/m2
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Achieved LEED Platinum Certification in 2020
- China Green Building Level 2-star accreditation in May 2021
- Implemented a Reduce, Reuse and Recycle scheme
- Upgraded air-conditioning system focusing on energy efficiency
- Installed LED lights and high-speed roller shutters
Social Achievements
- Launched a new digital property technology platform for tenants
- Established two breastfeeding rooms
- Organised World Earth Day event with 350 participants
- Achieved over 95% average tenant satisfaction rate
Governance Achievements
- Established a Sustainability Committee
- Adopted an arrangement for the remuneration of its Independent Non-executive Directors
- Implemented a robust data security system
- Established anti-corruption guidelines and whistle-blowing policy
Climate Goals & Targets
Long-term Goals:
- Reduce GHG emissions by 12% by 2025 (compared to 2017)
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Reduce GHG intensity by 12% by 2025 (compared to 2017)
- Reduce water intensity by 8% by 2025 (compared to 2017)
Environmental Challenges
- Volatile macro conditions in China's economy
- Softening Beijing office market with rising vacancy rates and falling rents
- Government policy changes affecting the technology and property sectors
- COVID-19 pandemic restrictions
Mitigation Strategies
- Maintained occupancy rates and flexibility on rents
- Implemented asset enhancement initiatives (air-conditioning, washrooms, digital platform)
- Prudent capital management strategies
- Refinancing of UK loan using SONIA benchmark
- Exploring options to manage USD LIBOR transition to SOFR
Supply Chain Management
Responsible Procurement
- Assessment of suppliers based on track records, environmental and safety performance, product quality, and regulatory compliance
- Encouraging use of low-carbon and environmentally friendly materials
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events (rainstorms, flooding)
Reporting Standards
Frameworks Used: ESG Reporting Guide, Appendix 27 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited
Certifications: LEED Platinum, China Green Building Level 2-star, ISO 14001, ISO 9001
Awards & Recognition
- LEED Platinum Certification
- China Green Building Level 2-star