Hutchison Telecommunications Hong Kong Holdings Limited
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:94,435 tCO2e
Scope 1 Emissions:2,373 tCO2e
Scope 2 Emissions:92,062 tCO2e
Total Energy Consumption:124,819 MWh
Water Consumption:3,780 m3
Waste Generated:827 tons (recycled)
Carbon Intensity:Reduced by 70% in 2022 versus 2018 baseline
ESG Focus Areas
- Embed rigorous and effective governance
- Operate responsibly with integrity
- Take action on climate change
- Protect natural resources
- Promote a circular economy
- Create great places to work
- Help to build thriving and resilient communities
- Protect employees and support communities and other stakeholders through the pandemic
- Offer customers sustainable products and invest in and embrace innovation to achieve impacts
Environmental Achievements
- Reduction in carbon emission intensity against 2018 baseline by 70%
- Achieved a recycling rate of 35% for general office waste produced by the Hong Kong operation by 2022
- Reduced annual GHG emissions per TB of data traffic (kgCO2e per TB) by 2%
- Reduced annual paper usage by 2%
Social Achievements
- 93% of employees completed trainings on anti-corruption/ethics and integrity
- Launched management trainee and professional trainee programs
- Organised various staff engagement activities (e.g., Cute Pet Photo Contest, walking challenge)
- Four employees won the “Outstanding Young Salesman Award”
- Awarded ISO 45001:2018 occupational health and safety management systems certification
Governance Achievements
- Established a Sustainability Committee in 2020
- Implemented interactive digitalisation of annual compliance training
- Maintained transparent corporate governance
- Adopted and applied corporate governance principles and practices
Climate Goals & Targets
Medium-term Goals:
- Reduce carbon intensity by 90% by 2030 versus a 2020 baseline
Short-term Goals:
- Reduce carbon intensity by 70% by 2025 versus a 2020 baseline
- Reduce paper usage by 40% by 2025 versus a 2018 baseline
Environmental Challenges
- Potential environmental impact of growing energy usage from 5G network expansion and increasing data traffic
- Potential disruptions to supply chains and business operations due to climate change
- Increased frequency, scale, and severity of Data Security Incidents (DSIs)
Mitigation Strategies
- Investing in energy-efficient technologies and processes to minimize energy usage
- Embracing behavioral change in employees, suppliers, business partners, and customers
- Implementing smart solutions to enable base stations to go into sleep mode during low usage hours
- Modernizing and upgrading switching centers with improved cooling architecture
- Upgrading network operations center to improve network resilience and security
- Regular trainings on data privacy and cyber security
- Regular privacy risk assessments to evaluate prevailing privacy risks and the adequacy of mitigating controls
- Developing specific business continuity plans and manuals to protect assets and data from cyber-attacks
Supply Chain Management
Supplier Audits: Regular assessments and thorough evaluations on selected business partners and suppliers
Responsible Procurement
- Supplier Code of Conduct
- Purchasing Policy
- Business Partner Evaluation Policy
- AFAB Policy
Climate-Related Risks & Opportunities
Physical Risks
- Typhoons
- Extreme rainfall
- Damage to assets and businesses
Transition Risks
- Legislation restricting emissions
- Incentivizing environmental protection measures
Opportunities
- Energy efficiency improvements
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: HKEx ESG Guide
Certifications: ISO 14001:2015, ISO 45001:2018
Sustainable Products & Innovation
- SoSIM
- 5G Broadband service
Awards & Recognition
- Energywi$e and Wastewi$e Certificates (Hong Kong Green Organisation Certification)
- Caring Company status (Hong Kong Council of Social Service)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:109,598 tCO2e (location-based); 80,424 tCO2e (market-based)
Scope 1 Emissions:1,394 tCO2e
Scope 2 Emissions:108,204 tCO2e (location-based); 79,030 tCO2e (market-based)
Total Energy Consumption:169,527 MWh
Water Consumption:3,754 m3
Waste Generated:72 tons (hazardous); 39 tons (non-hazardous)
Carbon Intensity:Reduced carbon emission intensity (kgCO2e per TB) against 2022 baseline
ESG Focus Areas
- Decarbonisation
- Digital Inclusion
- Developing Thriving and Resilient Communities
Environmental Achievements
- Reduction in carbon emission intensity (kgCO2e per TB) against 2022 baseline
- 100% lead-acid batteries recycling for Hong Kong operation
- Achieved a recycling rate of 388 tonnes of waste
Social Achievements
- 92% employees completed trainings on anti-corruption/ethics and integrity
- 12 graduates were recruited for the Graduate Trainee programme in 2023
- Enhanced employee benefits including annual leave entitlements and provision of online general practitioner consultation services & additional panel doctor services
- Received the Asia’s Best Employer Brand from the 14th Asia’s Best Employer Brand Awards.
Governance Achievements
- ESG rating upgrade from Morgan Stanley Capital International to ‘AA’ from ‘A’
- Continual inclusion as a constituent member in the Hang Seng Corporate Sustainability Benchmark Index
- ESG rating of ‘A’ under the Hong Kong Quality Assurance Agency ESG rating model for several consecutive years
Climate Goals & Targets
Long-term Goals:
- Net-zero emissions in operations (scope 1 and 2) by 2040 (CKHGT commitment)
Medium-term Goals:
- Reduce GHG emissions per TB of data traffic by 90% by 2030 versus a 2022 baseline
- Reduce the annual growth rate in electricity consumption by 30% by 2030 versus a 2022 baseline
- Reduce printing paper usage by 8% by 2030 versus a 2022 baseline
- Achieve a recycling rate of 35% for general office waste produced by the Hong Kong operation by 2030
Short-term Goals:
- Reduce GHG emissions per TB of data traffic by 70% by 2025 versus a 2022 baseline
- Reduce paper usage by 40% by 2025 versus a 2018 baseline
Environmental Challenges
- Increased intensity, duration and frequency of flooding and extreme weather events damaging infrastructure and impacting services.
- Increased cost due to regulatory requirements.
- Shifting customer and investor preferences away from companies with lower climate-related performance.
- Increased cost of technology investment for lower-carbon economy transition.
Mitigation Strategies
- Deploying emergency preparedness checklist.
- Developing a roadmap for adopting new international disclosure standards.
- Enhancing external communication to demonstrate dedication to ESG issues.
- Gradually replacing legacy technology with energy-efficient equipment.
- Monitoring energy-saving data and deploying advanced technology in network equipment for energy savings.
Supply Chain Management
Supplier Audits: Regular assessments and evaluations conducted on selected business partners and suppliers. Approximately 52% of 724 suppliers based in Hong Kong.
Responsible Procurement
- Supplier Code of Conduct outlining standards for environmental performance, ethics, health and safety, quality and regulatory compliance.
- Purchasing Policy
- Business Partner Evaluation Policy
- AFAB Policy
Climate-Related Risks & Opportunities
Physical Risks
- Increased intensity, duration and frequency of flooding and extreme weather events.
Transition Risks
- Increased cost due to regulatory requirements.
- Shifting customer and investor preferences.
- Increased cost of technology investment.
Opportunities
- Reduced energy cost from energy efficiency.
- Increased customer engagement from demonstrating strong climate action.
Reporting Standards
Frameworks Used: HKEx ESG Guide, GRI
Certifications: ISO 14001:2015, ISO 45001:2018
Third-party Assurance: KPMG (limited data assurance for 2022 data)
Sustainable Products & Innovation
- EcoSIMs (made from 100% post-consumer recycled plastic and carbon neutral)
Awards & Recognition
- Asia’s Best Employer Brand
- Energywi$e and Wastewi$e Certificates (Good Level)