Hektar REIT
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:22,571 tCO2e (Scope 1, 2, and 3)
Scope 1 Emissions:2 tCO2e
Scope 2 Emissions:21,861 tCO2e
Scope 3 Emissions:667 tCO2e (Business travel + Employee commuting + Downstream Leased Assets)
Renewable Energy Share:Not disclosed
Total Energy Consumption:28,840 MWh (landlord only)
Water Consumption:453,233 m3 (landlord only)
Waste Generated:2,709 tons (solid waste disposal)
Carbon Intensity:6.43 kgCO2e per ft2
ESG Focus Areas
- Environmental Stewardship
- Social Responsibility
- Robust Governance
- Economic Resilience
- Ethical Business Conduct
- Sustainable Supply Chain
- Community Engagement
- Workforce Development
- Human Rights
Environmental Achievements
- Implemented Environmental Management Programmes and Building Management System (BMS) using MyHijau-certified Tracer System Controller to monitor sustainability performance.
- Equipped all six malls with EV charging bays (13 total).
- Implemented various energy-saving measures across properties (LED lighting, chiller optimization, etc.).
- Implemented paperless parking system in all malls.
- Introduced Rebotol & KLEAN Machines for plastic and can recycling at Subang Parade.
- Various waste reduction and recycling initiatives across properties.
Social Achievements
- Launched Environmental and Social Management System (ESMS) framework.
- Implemented comprehensive ABAC policy with employee pledge.
- Conducted Employee Satisfaction Survey (ESS).
- Various community engagement activities across properties (blood drives, events, sponsorships, etc.).
- Prioritised local hiring and provided extensive employee benefits and compensation packages.
- Implemented various training programs for employees and contractors.
Governance Achievements
- Board of Directors oversees sustainability governance.
- Established Sustainability Steering Committee (SSC) and Sustainability Working Committee (SWC).
- Received prestigious awards for ESG performance and community support.
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Not disclosed
Environmental Challenges
- High costs associated with some energy efficiency recommendations.
- Managing climate-related risks and opportunities.
- Addressing potential negative impacts on the economy, environment, and people.
Mitigation Strategies
- Phased implementation of high-cost recommendations.
- Incorporated climate-related risk management into comprehensive risk scorecard framework.
- Robust materiality assessment and stakeholder engagement process.
Supply Chain Management
Supplier Audits: Spot checks on vendors
Responsible Procurement
- Prioritising local suppliers (100% spending)
- Sustainability criteria in supplier selection (reputation, expertise, track record, pricing, financial standing, legal compliance)
- Encouraging key suppliers to adopt leading sustainability practices
Climate-Related Risks & Opportunities
Physical Risks
- Fluctuating climate conditions decreasing asset and equipment efficiency
Transition Risks
- Adhering to environmental regulations demanding supplementary CAPEX
Opportunities
- Implementing innovative green technologies, improving fuel efficiency
Reporting Standards
Frameworks Used: GRI Universal Standards, Bursa Malaysia’s Sustainability Reporting Guide, FTSE4Good Bursa Malaysia ESG Index, UN SDGs, ISO 26000:2010
Certifications: MyHijau
Third-party Assurance: Independent limited assurance for selected indicators
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Gold Award in the REIT category at The Edge Malaysia Awards 2023
- Gold Award for Outstanding ESG & Dividend Return at The Edge Malaysia Awards 2023
- Company of the Year Award for Best in Sustainability Reporting & Community Support at the Sustainability & CSR Malaysia Awards 2023