Climate Change Data

HIAP SENG INDUSTRIES LIMITED

Climate Impact & Sustainability Data (2022-04-01 to 2023-03-31, 2023, 2024)

Reporting Period: 2022-04-01 to 2023-03-31

Environmental Metrics

Renewable Energy Share:0%
Total Energy Consumption:2858 GJ
Water Consumption:1052 m3
Waste Generated:19.7 tons (non-hazardous)

ESG Focus Areas

  • Human capital management
  • Occupational health and safety
  • Governance
  • Energy consumption
  • Water consumption
  • Waste management
  • Product quality and safety
  • Responsible supply chain
  • Regulatory compliance

Environmental Achievements

  • Total electricity and diesel consumption reduced by 50% year-on-year, with diesel consumption reduced by 13%
  • Achieved target of increasing the proportion of energy-efficient lighting used in office & workshop to 68%
  • Overall water consumption decreased in workshop facilities and project sites (80% decrease in office and workshop)
  • Total amount of non-hazardous waste disposed decreased
  • No release of contaminating fluids or toxic waste into the environment

Social Achievements

  • Total training hours provided to all employees amounted to more than 3600 hours
  • Implemented telecommuting and staggered work hours arrangements for employees to encourage work-life balance

Governance Achievements

  • No reported incidents of violation and grievances
  • No reported incidents of corruption
  • Maintained full compliance with all regulations

Climate Goals & Targets

Long-term Goals:
  • Maintain full compliance to all regulations
Medium-term Goals:
  • Expand supplier assessment and implement additional considerations (e.g., environmental, social, productivity)
Short-term Goals:
  • Increase office and workshop energy-efficient lighting usage to 80%
  • Include water management procedures into IMS
  • Implement at least 1 new initiative that improves the workplace environment
  • Adopt Tripartite Standards on flexible work arrangement

Environmental Challenges

  • Challenging economic conditions resulting in the unavoidable necessity to adjust the workforce level in relation to the activity levels forecasted
  • High turnover rates
  • Reduction in fabrication activities leading to decreased hazardous waste
Mitigation Strategies
  • Adjusting workforce levels based on activity levels
  • Offering flexible work arrangements
  • Implementing procedures for water management to minimize potable water consumption
  • Continuing efforts for reduction of material usage

Supply Chain Management

Supplier Audits: 100% of procurement expenditure was from local suppliers

Responsible Procurement
  • Evaluating suppliers based on a set of criteria
  • Re-evaluation cycle for previously approved suppliers
  • Engaging bizSAFE certified suppliers

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI 2021 Standards

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, bizSAFE Star, bizSAFE Partner

Reporting Period: 2023

Environmental Metrics

ESG Focus Areas

  • Safety
  • Environmental Responsibility
  • Sustainable Practices
  • Talent Development
  • Employee Engagement

Environmental Achievements

  • Minimising carbon footprint
  • Embracing energy-efficient solutions

Social Achievements

  • Upholding highest safety standards
  • Talent development and employee engagement initiatives

Governance Achievements

  • Generally complied with the principles and recommendations of the Code of Corporate Governance 2018

Climate Goals & Targets

Environmental Challenges

  • Tough and intense competition
  • Lower volume of shutdown activities
  • Higher costs of operation due to high inflation and tighter margins amid new regulations
  • Lower gross profit margin
  • Disposal of subsidiaries
  • Judicial Management since 15 September 2020
Mitigation Strategies
  • Cost cutting measures
  • Strengthening maintenance capabilities
  • Growing company reserves
  • Working closely with Judicial Managers in restructuring the business
  • Proposed Transaction with investors
  • Rights issue exercise to raise up to S$3.3 million
  • Continue to source for upcoming shutdown and maintenance contracts
  • Implement cost containment measures
  • Renew relationships with past customers and the provision of comprehensive scale of services to clients, including supporting their green initiatives
  • Close down/divest the Company’s non-core investments to reduce overheads
  • Explore available options in utilising any part of the premises/assets for value

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Period: 2024

Environmental Metrics

Renewable Energy Share:0%
Total Energy Consumption:2728 GJ
Water Consumption:498 m3
Waste Generated:3.8 MT (non-hazardous)

ESG Focus Areas

  • Energy consumption
  • Water consumption
  • Waste management
  • Human capital management
  • Occupational health and safety
  • Product quality and safety
  • Responsible supply chain
  • Regulatory compliance

Environmental Achievements

  • Total electricity and diesel consumption reduced by 30% year-on-year
  • Achieved target of increasing the proportion of energy-efficient lighting used in office & workshop to 80%
  • Achieved target of decreasing water consumption in the office and workshop by 50%
  • Total amount of non-hazardous waste disposed decreased
  • Amount of hazardous waste disposed remained 0 MT

Social Achievements

  • Total training hours provided to all employees amounted to more than 5300 hours
  • Implemented telecommuting and staggered work hours arrangements for employees

Governance Achievements

  • Recorded a 0 total recordable injury rate (TRIR)
  • 100% of procurement expenditure was from local suppliers
  • No incidents of non-compliance concerning the health and safety impacts of our products and services
  • No warnings, fines or penalties incurred

Climate Goals & Targets

Long-term Goals:
  • Invest in solar panels installation to reduce carbon footprint
  • Maintain or reduce water consumption in office and workshop (using 1052 m3 in FY2023 as baseline)
Medium-term Goals:
  • Maintain or reduce energy consumption (using 2,858 GJ in FY2023 as baseline)
  • Maintain or reduce water consumption in office and workshop (using 1052 m3 in FY2023 as baseline)
  • Collect rainwater in the Group’s yard for non-potable uses
  • Review and evaluate the Group’s management approach to responsible supply chains
  • Expand the Group’s supplier assessment
Short-term Goals:
  • Maintain or reduce energy consumption (using 2,858 GJ in FY2023 as baseline)
  • Maintain or reduce water consumption in office and workshop (using 1052 m3 in FY2023 as baseline)
  • No release of contaminating fluids or toxic waste into the environment
  • Zero incidents of non-compliance relating to discrimination, forced labour, child labour or freedom of association
  • Achieve a TRIR of not more than 0.3
  • Continue incorporating quality and safety considerations in projects, maintain compliance without safety incidents
  • Majority of procurement from local suppliers
  • Maintain full compliance to all regulations

Environmental Challenges

  • Challenging economic conditions resulting in the unavoidable necessity to adjust the workforce level in relation to the activity levels forecasted
  • High turnover rates affecting the bottom line through higher training costs and impacting knowledge continuity
Mitigation Strategies
  • Fair labour practices aligned with TAFEP
  • Closely ensuring compliance to legal regulations for foreign workers
  • Providing adequate dormitory facilities for foreign workers
  • Public recruitment channels and referrals for talent attraction
  • Mandatory and specialized trainings for workers
  • Incentives and benefits such as hospital and surgical insurance coverage

Supply Chain Management

Supplier Audits: Regular re-evaluation cycle

Responsible Procurement
  • Engaging bizSAFE certified suppliers
  • 100% procurement from local suppliers

Climate-Related Risks & Opportunities

Opportunities
  • Investing in solar panels

Reporting Standards

Frameworks Used: GRI 2021 Standards

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, bizSAFE Star, bizSAFE Partner