Kelsian Group Limited
Climate Impact & Sustainability Data (2021-07 to 2022-06, 2022-07 to 2023-06, 2023-07 to 2024-06)
Reporting Period: 2021-07 to 2022-06
Environmental Metrics
Total Carbon Emissions:224,544 tCO2e/year (Scope 1 & 2)
Scope 1 Emissions:214,960 tCO2e/year
Scope 2 Emissions:9,584 tCO2e/year
Water Consumption:303,750 m3/year
ESG Focus Areas
- Climate Change
- Health and Safety
- Diversity and Inclusion
- Community Engagement
- Business Ethics & Transparency
- Modern Slavery
- Cybersecurity
Environmental Achievements
- Expansion of electric bus fleet in NSW (55 battery electric buses in service, 50 on order)
- Leichhardt depot electrification with solar energy generation and battery energy storage
- Secured state funding to design and construct a hydrogen-powered passenger ferry
- Zero Emissions Bus Trial in Victoria
- Working with TfNSW to electrify the Kingsgrove Bus depot (99 battery electric buses)
- Expanding hybrid bus fleet in Adelaide (12 hybrid buses)
- Joondalup Depot (Swan Transit) has solar powered infrastructure
- LED lighting solution in Torrens Transit depots
Social Achievements
- Reduced Lost Time Injury Frequency Rate by 16.3%
- Reduced Total Reportable Injury Frequency Rate by 25.4%
- Launched inaugural Diversity and Inclusion Strategy
- Invested $370,858 in local communities
- Formed Kelsian RAP working group
- Rolled out Cultural Capability Course to Executive leadership team
Governance Achievements
- Board oversight on ESG matters via Audit, Risk and Sustainability Committee
- Conducted TCFD gap analysis
- Improved safety performance
- Strengthened cybersecurity management (ASD Essential 8, DMARC, vulnerability management, device encryption, application control, phishing awareness training, patch management)
Climate Goals & Targets
Short-term Goals:
- Continue to improve climate change related disclosure in line with TCFD recommendations
- Improve injury frequency rates (LTIFR and TRIFR) by 10%
- Increase lead indicator reporting to 20% of workforce
- Mobilise SafeConnect to Australian and Singapore operations
- Conduct workplace survey to understand people data
- Roll out Anti-Racism and Unconscious Bias training
- Roll out Cultural Leave policy
Environmental Challenges
- Continued challenges in the travel and tourism industries due to COVID-19 lockdowns
- Workforce availability issues in the second half of the year
- Fuel inflation
- Staff absenteeism due to COVID-19
- Industrial disputes in Sydney
- Severe weather events on the east coast of Australia
- Labour shortages, particularly in hospitality roles
- COVID-19 supply chain delays
Mitigation Strategies
- Strong contracted revenue from government and industry service contracts
- Cost control and operational efficiency
- Recruitment initiatives and driver training programs
- Short-term employment incentives and overtime costs
- Contract indexation mechanisms and fare increases
- Fuel hedging and national procurement team
- Accessing casual staff and incurring overtime
- Business continuity plans and emergency response plans
- Asset renewal and zero-emission transition
Supply Chain Management
Responsible Procurement
- Long term contracts with suppliers
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Floods
- Bushfires
- Rising sea temperatures
- Drought
Transition Risks
- Regulatory landscape changes
- Carbon taxes
- Upfront costs of low/zero-emission technologies
- Rapid technological transitions
- Skills gaps
- Increased pressure from stakeholders
- Vendors not decarbonising fleets
- Insurance coverage
Opportunities
- Development of climate-resilient infrastructure
- Cost reductions from low/zero-emission technologies
- Reputation as a sustainable technology leader
- Tender criteria preferencing sustainable solutions
- Development of environmentally friendly products
Reporting Standards
Frameworks Used: GRI Standards’ ‘Core’ option
Certifications: ISO 14001:2015, ISO 9001:2015, ISO 45001:2018, ISO 55001:2014
Sustainable Products & Innovation
- Electric buses
- Hydrogen fuel cell buses
- Hydrogen-powered passenger ferry
Reporting Period: 2022-07 to 2023-06
Environmental Metrics
Total Carbon Emissions:324,048 tCO2e/year
Scope 1 Emissions:313,352 tCO2e/year
Scope 2 Emissions:10,696 tCO2e/year
Water Consumption:213,554 m3/year
Carbon Intensity:211 tCO2e/AUD$m (Australian Bus)
ESG Focus Areas
- Climate Change
- Health and Safety
- Diversity and Inclusion
- Community Engagement
- Sustainable Transport Solutions
Environmental Achievements
- 67% increase in solar generation across sites
- Saved over 3,700 tonnes of tailpipe CO2 emissions from BEBs since 2019
- SeaLink North Queensland achieved ECO Tourism certification
- Installation of Seabin plastic waste collector in Sydney Harbour
Social Achievements
- SafeConnect rollout across Australia improved internal hazard reporting by 192%
- Employee engagement score up by 10%
- LibertyBus won UK Social Values Award in Organisation Leadership category
- Developed a Human Rights Statement of Intent, Supplier Expectations, and Modern Slavery training
- $1,526,035 invested in local communities
Governance Achievements
- Published a Group Climate Change Statement of Intent
- Developed a Human Rights Statement of Intent and Supplier Expectation document
Climate Goals & Targets
Long-term Goals:
- Aspire to achieve net zero Group-wide emissions by 2050
Medium-term Goals:
- Reduce Scope 1 carbon intensity of Australian Bus emissions by at least 50% by 2035
- Achieve at least 30% female representation at senior management by 2030
- Achieve Board gender diversity of not less than 30% of its Directors being of each gender
Short-term Goals:
- Improve waste tracking and reduce waste generation
Environmental Challenges
- Decarbonising the maritime sector due to lack of commercially viable alternative fuel options and charging infrastructure
- Managing climate-related physical risks (storms, floods, bushfires) impacting operations
- Transition risks from policy changes, technology shifts, and market demands for low-carbon solutions
- Maintaining safety standards across diverse operations
Mitigation Strategies
- Exploring alternative energy projects (hydrogen, dual fuel engines, hybrids, electric vessels)
- Developing climate-resilient infrastructure
- Business continuity plans and mitigative actions for adverse weather events
- Implementing SafeConnect for hazard reporting and risk management
- Investing in safety technology (fatigue detection, 360-degree cameras)
- Implementing Group HSEQ standards
Supply Chain Management
Responsible Procurement
- Incorporating local content and Aboriginal and Torres Strait Islander businesses
Climate-Related Risks & Opportunities
Physical Risks
- Storms
- Floods
- Bushfires
- Temperature increases
- Droughts
- Sea level increases
- Sea temperature increases
Transition Risks
- Government policies
- Carbon tax
- Consumer expectations
- Competition for technology and resources
Opportunities
- Improved reputation
- Access to investments
- Cost reductions from low-emission technologies
Reporting Standards
Frameworks Used: GRI Standards
Certifications: ISO 14001:2015, ISO 9001:2015, ISO 45001:2018, ISO 55001:2014
UN Sustainable Development Goals
- Good Health and Wellbeing
- Life below Water
- Life on Land
- Quality Education
Community Investment Framework focuses on Education, Environment and Health and Wellbeing
Sustainable Products & Innovation
- Zero-emission buses and ferries
Awards & Recognition
- UK Social Values Award (LibertyBus)
- Finalist for Australian Financial Review ‘Sustainability Leaders’ List Award
Reporting Period: 2023-07 to 2024-06
Environmental Metrics
Total Carbon Emissions:359,763 tCO2e/year
Scope 1 Emissions:345,167 tCO2e/year
Scope 2 Emissions:14,596 tCO2e/year
Water Consumption:82,485 m3/year
Carbon Intensity:0.0012 tCO2e/km travelled (Australian Bus division)
ESG Focus Areas
- Collaborating for impact
- Being a responsible employer and operator
- Building trusted and enduring external relationships
Environmental Achievements
- Introduction of Jersey’s first BEBs
- Launched two BEBs in regional Western Australia, including the state’s first private electric commercial coach
- Launched the State’s two inaugural HFCBs operating from the Torrens Transit Morphettville depot
- Reduced Australian Bus division carbon intensity relative to revenue
- Zero significant spills and only five minor spills across global operations
- Introduction of new 500 ml biodegradable plastic water bottles in Whitsundays operations
Social Achievements
- Increased participation in Employee Engagement survey by 12%
- Improved employee engagement metrics across several key areas
- Achieved a female senior management diversity rate of 35%
- Over $6 million spent with Aboriginal and Torres Strait Islander organisations
- Finalised Kelsian’s ‘Innovate’ Reconciliation Action Plan
- All Aboard America! Holdings, Inc. was recognised by Metro Magazine as the Innovative Operator of the Year for investing in safety, technology and EV
Governance Achievements
- Achieved 50:50 Male:Female Board gender diversity from 1 July 2024
- Received a ‘low risk’ ESG rating score of 12.4 from Morningstar Sustainalytics
- No safety fines received during the reporting period
- No substantiated incidents of policy violations related to bribery and corruption, or anti-competitive behaviour reported under the whistleblowing program
Climate Goals & Targets
Long-term Goals:
- Achieve net-zero operations by 2050
Short-term Goals:
- Expand fleet to approximately 375 BEBs and four HFCBs over the next two years
Environmental Challenges
- Group target for reducing Injury Frequency Rates not met
- Maintaining cybersecurity is an ongoing challenge
Mitigation Strategies
- Implementing specific actions to address employee feedback
- Continuously enhancing systems, protections, and staff training to prevent cyber threats
Supply Chain Management
Responsible Procurement
- Incorporating modern slavery provisions into supplier goods and services terms and conditions
Climate-Related Risks & Opportunities
Opportunities
- Transitioning to lower or zero emission vehicles
- Exploring and implementing innovative solutions to lower emissions
Reporting Standards
Frameworks Used: GRI Standards
Certifications: ISO 14001:20015, ISO 9001:2015, ISO 45001:2018, ISO 55001:2014
Awards & Recognition
- Finalist for the Australian Financial Review ‘Sustainability Leaders’ List Award
- AAAHI won ‘Innovative Operator of the Year’ award
- Tower Transit Singapore won U Safe (Safety) Award