Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Implemented various mitigation measures to reduce emissions from machinery and vehicles, including using ULSD and regularly inspecting equipment.
• Implemented dust control measures such as water spraying, dust nets, and low-dust technologies to reduce dust emissions during tunnel construction.
• Implemented waste management policies in accordance with the Waste Disposal Ordinance (Chapter 354), including material reuse and recycling.
• Implemented water conservation measures by reusing wastewater in construction activities.

Social Achievements

• Maintained a Loss Time Injury Frequency Rate (LTIFR) of 4.5.
• Implemented a quality management system (QMS) compliant with ISO 9001:2008.
• Implemented strict internal controls on the procurement process to ensure supplier quality.
• Provided training to employees on various aspects, including safety and environmental protection.
• Made donations to a charity providing clean water solutions to developing countries and disaster-stricken areas.

Governance Achievements

• Established a reporting policy to protect whistleblowers and investigate allegations of misconduct.
• Adhered to a strict code of conduct and employee handbook to prevent corruption and fraud.

Climate Goals & Targets

Environmental Challenges

• Emissions from machinery and vehicles during construction.
• Dust and grit emissions during tunnel construction.
• Waste generation during construction.
• Water usage during construction.

Mitigation Strategies

• Use of low-emission equipment and ULSD, regular equipment inspections.
• Water spraying, dust nets, low-dust technologies, regular dust monitoring.
• Waste reduction policies, material reuse and recycling, proper waste disposal.
• Reusing wastewater in construction activities.

Supply Chain Management

Responsible Procurement

• Strict internal controls on procurement process, quality checks on purchased materials.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Hong Kong Stock Exchange's ESG Reporting Guidelines

Awards & Recognition

• Various awards for exemplary subcontractor performance (safety, environment, quality)

Environmental Metrics

ESG Focus Areas

• Emissions Management
• Workplace Health and Safety
• Supply Chain Management
• Staff Development and Training

Environmental Achievements

• Reduced energy intensity by 63% (from 23,099 to 8,508)
• Reduced GHG intensity by 63% (from 6.23 to 2.28)
• Significant decrease in C&D waste (from 75 tonnes to 3 tonnes)
• All timber purchased had FSC certification

Social Achievements

• LTIFR decreased to 0.6 (from 2.2)
• 90% of employees received training
• No work-related fatalities

Governance Achievements

• No concluded legal cases regarding corrupt practices
• Implemented Code of Conduct, Anti-corruption Policy, and Employee Handbook

Climate Goals & Targets

Environmental Challenges

• High energy consumption due to machinery usage
• Potential for supply chain disruptions due to extreme weather
• Maintaining a safe work environment in a high-risk industry

Mitigation Strategies

• Use of approved/exempted NRMMs, avoidance of idling machines, low-emission equipment, ultra-low-sulfur diesel
• Sustainable procurement of construction materials (FSC timber)
• Regular safety training, maintenance of machinery, safety measures at construction sites, independent safety consultant review

Supply Chain Management

Supplier Audits: 231 suppliers in Hong Kong (2021)

Responsible Procurement

• Comprehensive QMS to monitor supplier selection and procurement processes
• Suppliers assessed on environmental and social aspects
• Suppliers required to meet GME ethical standards
• Sustainable purchasing of construction materials (FSC timber)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather conditions (heavy rain and typhoons)

Transition Risks

• Rising temperature increasing operating costs

Opportunities

• Sustainable procurement of construction materials

Reporting Standards

Frameworks Used: Appendix 20 — Environmental, Social and Governance Reporting Guide (ESG Guide) issued by The Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Bronze Model Subcontractor Award from the 27th Considerate Contractors Site Award Scheme

Environmental Metrics

ESG Focus Areas

• Emissions Management
• Workplace Health and Safety
• Supply Chain Management
• Staff Development and Training

Environmental Achievements

• Reduced total energy consumption by approximately 23.4% (from 3,777,470 kWh to 2,892,572 kWh)
• Reduced total GHG emissions by approximately 20% (from 1,012 tonnes of CO2 equivalent to 781 tonnes of CO2 equivalent)
• Reduced energy intensity by 22.9% (from 8,508 to 6,559)
• Reduced GHG intensity by 22.4% (from 2.28 to 1.77)
• All timber purchased had FSC certification

Social Achievements

• 89% of staff received training
• LTIFR of 0.5 (2021: 0.6)
• No work-related fatalities

Governance Achievements

• Implemented Code of Conduct, Anti-corruption Policy, and Employee Handbook
• No concluded legal cases regarding corrupt practices

Climate Goals & Targets

Environmental Challenges

• Significant increase in non-hazardous waste (especially broken concrete) due to project completion
• Substantial completion of construction works at Tsung Kwan O-Lam Tin Tunnel increased employee turnover rate

Mitigation Strategies

• ESG Working Group discussed the waste issue with management to minimize future waste
• Management will pay more attention to future projects to minimize non-hazardous waste
• Group recruited more youngsters and provided on-the-job training to address turnover

Supply Chain Management

Supplier Audits: 310 suppliers in Hong Kong (2021: 231); 2 suppliers in China (2021: 0)

Responsible Procurement

• Comprehensive QMS implemented to monitor supplier selection and procurement processes; suppliers assessed on environmental and social aspects; suppliers required to meet GME ethical standards; sustainable purchasing of construction materials where possible; quality tests conducted on material samples

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather conditions (heavy rain and typhoons) disrupting logistics and increasing costs

Transition Risks

• Rising temperatures increasing operating costs and decreasing working days

Opportunities

• Sustainable procurement of construction materials

Reporting Standards

Frameworks Used: Appendix 20 — Environmental, Social and Governance Reporting Guide (ESG Guide) issued by The Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015

Third-party Assurance: Not disclosed

Environmental Metrics

ESG Focus Areas

• Emissions Management
• Workplace Health and Safety
• Supply Chain Management
• Staff Development and Training

Environmental Achievements

• Purchased three electric vehicles to replace fuel-consumption motor vehicles.
• All timber purchased by GMEHK had FSC certification.

Social Achievements

• 97% of staff were trained.
• No work-related fatalities.

Governance Achievements

• Implemented Code of Conduct, Anti-corruption Policy, and Employee Handbook.
• No concluded legal cases regarding corrupt practices.

Climate Goals & Targets

Environmental Challenges

• High employee turnover rates, particularly among technical staff and workers due to labor shortages.
• Increased energy intensity and GHG intensity due to increased diesel consumption for structural tunnel construction projects.
• Historically high non-hazardous waste intensity after completion of certain construction projects.

Mitigation Strategies

• Offering competitive compensation packages and on-the-job training to attract and retain employees.
• Exploring innovative technology to optimize skillsets.
• Closely working with supervision staff to efficiently plan machinery hours usage.
• Paying more attention to project planning to minimize non-hazardous waste.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Comprehensive QMS to monitor supplier selection and procurement; assessment of suppliers on environmental and social aspects; inspections; suppliers required to meet GME ethical standards; sourcing sustainable construction materials where possible; quality tests on material samples.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather conditions (heavy rain and typhoons) disrupting logistics and increasing costs.

Transition Risks

• Not disclosed

Opportunities

• Sustainable procurement of construction materials.

Reporting Standards

Frameworks Used: Appendix C2 – Environmental, Social and Governance Reporting Guide issued by The Stock Exchange of Hong Kong Limited

Certifications: ISO 9001:2015

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed