Hospital Corporation of China Limited
Climate Impact & Sustainability Data (2021, 2022)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:34,838.887 tonnes of carbon dioxide equivalent
Scope 1 Emissions:3,685.285 tCO2e
Scope 2 Emissions:31,201.511 tCO2e
Total Energy Consumption:50,532.464 MWh
Water Consumption:833,106.360 tonnes
Waste Generated:1,972.7 tonnes
Carbon Intensity:168.088 kilogram of carbon dioxide equivalent/m2
ESG Focus Areas
- Emissions
- Use of Resources
- Environment and Natural Resources
- Climate Change
- Employment and Labour Practices
- Health and Safety
- Development and Training
- Labor Standards
- Supply Chain Management
- Product Responsibility
- Anti-corruption
- Community Investment
Environmental Achievements
- Established and continuously improved the responsibility system for medical waste management.
- Promotes environmental protection knowledge to employees and customers.
- New infrastructure renovation projects used energy-saving and environmentally friendly materials and energy-saving lighting sources.
- Upgrades and scientifically manages the boiler unit to effectively reduce the use of natural gas.
Social Achievements
- 100% labour contract signing rate.
- 100% social insurance coverage rate.
- No work-related fatalities in each of the past three years.
- No working days lost due to work-related injuries during the Reporting Period.
- Employees trained accounted for 78.35% of the total employees with an average training hour of 16.69 hours.
- No material non-compliance relating to child labour and forced labour.
- Supply chain management platform obtained GSP certificate and Class III medical device business license.
- No recall incident in the supply chain due to safety and health reasons.
- 22 drugs, equipment and consumables suppliers signed relevant code of conduct clauses.
- No complaints or disputes arising from the disclosure of patient privacy.
- No corruption proceedings, penalties or sanctions against the Group and its employees.
Governance Achievements
- Established an effective environmental, social and governance framework with board oversight.
- Regularly reviews the performance of suppliers and ensures their service quality, environmental protection, social and governance performance are satisfactory and consistent.
- Implemented Internal Reporting System for Major Adverse Events and Complaint Management System.
Climate Goals & Targets
Short-term Goals:
- Maintain exhaust gas and greenhouse gas emissions intensity, hazardous waste emission intensity and non-hazardous waste emissions intensity at or below the level of the Reporting Period for the next three years (until FY2024).
Environmental Challenges
- Increase in frequency and severity of extreme weather affecting operations.
- Stricter climate legislation leading to higher operational and compliance costs and reputational risks.
Mitigation Strategies
- Identify climate-related risks and prioritize those with serious implications.
- Improve ability to cope with extreme weather conditions by improving emergency plans and upgrading equipment.
- Regularly monitors existing and emerging trends, policies and regulations relating to climate.
Supply Chain Management
Supplier Audits: 28 suppliers
Responsible Procurement
- Supplier access mechanism clarifying requirements for supplier qualification, scale, market position and customer structure.
- Strict assessment of suppliers’ environmental and social risks.
- Code of Conduct for Suppliers signed by drugs, equipment and consumables suppliers.
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather affecting medical equipment, employees, and supply chain.
Transition Risks
- Stricter climate legislation.
Reporting Standards
Frameworks Used: Appendix 27 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited
Awards & Recognition
- 3A credit rating for Shanghai Yangsi Hospital
- National Gold Prize for Blood Donation for Zhejiang Jinhua Guangfu Oncological Hospital
- 5A status for Zhejiang Jinhua Guangfu Oncological Hospital
- First batch of “Age-Friendly Medical Institutions” for Cixi Hospital
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:17,856.95 tCO2e/year
Scope 1 Emissions:2,470.49 tCO2e/year
Scope 2 Emissions:15,402.70 tCO2e/year
Total Energy Consumption:24,776.03 MWh/year
Water Consumption:419,718.00 m3/year
Waste Generated:1003.84 tons/year
Carbon Intensity:0.09 tCO2e/m²
ESG Focus Areas
- Operational Compliance
- Product Responsibility
- Patient Satisfaction
- Occupational Health and Safety
- Development and Training
- Supply Chain Management
- Accessible Medical Care
- Anti-corruption
- Labour Standards
- Emissions Management
- Use of Resources
- The Environment and Natural Resources
- Climate Change
- Product Research and Innovation
- Intellectual Property Protection
- Employment Practices
- Community Development
Environmental Achievements
- Reduced total GHG emissions from 34,838.89 tCO2e in 2021 to 17,856.95 tCO2e in 2022.
- Reduced total hazardous waste from 1,085.46 tonnes in 2021 to 577.42 tonnes in 2022.
- Reduced total non-hazardous waste from 887.24 tonnes in 2021 to 426.42 tonnes in 2022.
- Improved medical waste management, achieving timely and legal disposal.
Social Achievements
- Achieved zero work-related fatalities for three consecutive years.
- No lost working days due to work injury during the reporting period.
- Provided training to 3,148 employees (96% coverage rate), totaling 173,841 hours.
- Improved medical practitioner qualification examination pass rate to 53.73% (from 47.22% in 2021).
- Conducted 146 free clinic activities, covering more than 16,000 people.
- Completed 163 health education sessions with 8,230 attendances.
- More than 170,000 people benefited from volunteer services.
Governance Achievements
- Implemented strict supplier management system, including “Supplier Units and Sales Personnel Qualification Audit Management System” and “New Products Audit and Pharmaceuticals Quality Files Management System”.
- Formulated internal audit supervision systems such as Hospital Corporation Internal Audit Management System and Hospital Corporation Economic Responsibility Audit Management System.
- Established a transparent and open reporting channel for misconduct or suspected corruption.
Climate Goals & Targets
Medium-term Goals:
- Reduce electricity consumption intensity by 3% by 2030.
- Reduce water consumption intensity by 5% by 2030.
- Reduce non-hazardous waste intensity by 5% by 2030.
- Reduce GHG emissions intensity by 3% by 2030.
Environmental Challenges
- Potential climate-related risks such as extreme weather events disrupting operations and increasing costs.
- Transition risks from tightening environmental regulations and market shifts.
- Managing medical waste and reducing overall waste generation.
Mitigation Strategies
- Implemented flexible working arrangements and preventive measures under severe weather conditions.
- Improved emergency plans and upgraded facilities to enhance business stability.
- Continuously monitors changes in laws and regulations related to climate change.
- Set targets for reducing energy consumption and GHG emissions.
- Improved waste management policies and practices, including employee training and investment in waste management infrastructure.
Supply Chain Management
Supplier Audits: 36 major suppliers audited
Responsible Procurement
- Supplier Code of Conduct
- Preference for local suppliers and environmentally friendly products.
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Tightening national policies and regulations
- Emergence of environment-related taxes
Reporting Standards
Frameworks Used: ESG Reporting Guide (Appendix 27 of the Rules Governing the Listing of Securities of The Stock Exchange of Hong Kong Limited)
Awards & Recognition
- AAA credit rating for Shanghai Yangsi Hospital
- 2022 Advanced Unit of the Municipal Hygiene and Health System for Jinhua Guangfu Hospital
- Blood Donation Unit of the Provincial Hygiene and Health System for Jinhua Guangfu Hospital
- Double Strong and Six Good Private Hospitals of the Hygiene and Health System of Zhejiang Province for Jinhua Guangfu Hospital and Yongkang Hospital
- Health Promotion Hospital of Zhejiang Province for Jiande Hospital of Traditional Chinese Medicine Co., Ltd.
- Senior Friendly Medical Institution of Hangzhou for Jiande Hospital of Traditional Chinese Medicine Co., Ltd.