Climate Change Data

USPACE Technology Group Limited

Climate Impact & Sustainability Data (2023)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:3,597.21 tCO2e/year
Scope 1 Emissions:194.31 tCO2e/year
Scope 2 Emissions:3,402.90 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:6,542.74 MWh/year
Water Consumption:57,022.31 tonnes/year
Waste Generated:103,443.00 kg/year (non-hazardous), 639.67 kg/year (hazardous)
Carbon Intensity:4.37 tCO2e/employee (2023)

ESG Focus Areas

  • Product innovation
  • Satellite TT&C capabilities
  • Product quality
  • Technology application
  • Compliant operation
  • Occupational health and safety

Environmental Achievements

  • Obtained ISO 14001 environmental management system certification.
  • Huizhou Plant's rooftop photovoltaic power generation amounted to 754,418.05 kilowatt hours.
  • Total electricity consumption decreased by 38.83% compared to 2022.
  • Total water consumption decreased by 8.73% compared to 2022.
  • Recycled wooden boards and boxes used for equipment packaging, achieving a utilization rate of 20%.

Social Achievements

  • Organized more than 106 training activities for all employees in the EMS business, with a total of 17,156.11 training hours.
  • Obtained Occupational Health and Safety Management System Certification.
  • No incidents of child labour, forced labour, discrimination, harassment or human rights violations.
  • 100% resolution rate for customer complaints.
  • Average customer satisfaction survey score of 90.5 points.

Governance Achievements

  • Established and improved the “Typhoon and Rainstorm Contingency Plan”, conducted regular emergency drills.
  • Revised the “Regulations on Computer and Network Management” to strengthen information security.
  • No customer data breaches and no confirmed complaints concerning customer privacy and loss of customer data.
  • Implemented effective internal control procedures and adhered to an anti-corruption philosophy.
  • No incidents of violating the Anti-Monopoly Law or Anti-Unfair Competition Law.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Global economic instability impacting business.
  • Tense global trade situation, currency fluctuations, and geopolitical risks affecting customers and suppliers.
  • Increased depreciation expenses on right-of-use assets and building management fees.
  • Increased employee benefit expenses due to additional headcount.
  • Share-based payments related to the issuance of convertible notes.
  • Impairment losses on certain properties, plant and equipment.
  • Net current liabilities exceeding current assets.
  • Financial covenant for bonds payable not met.
Mitigation Strategies
  • Adopting business strategies: globalization, developing new markets, cost control.
  • Substantial completion of Hong Kong satellite manufacturing and operation control centers.
  • Strengthening research and development investment.
  • Introducing advanced manufacturing equipment.
  • Exploring business opportunities in the Middle East (Abu Dhabi Space Eco City project).
  • Actively exploring other international markets.
  • Securing unsecured and interest-free revolving loan from Mr. Sun Fengquan.
  • Securing loan facilities from Vision International Group Limited and HKATH(BVI).
  • Entering into share-subscription financing arrangement with Macquarie Bank Limited.
  • Negotiating with existing and potential lenders for borrowings.
  • Negotiating with potential investors for raising new capital.

Supply Chain Management

Supplier Audits: Annual QDCSTE assessment of qualified suppliers.

Responsible Procurement
  • Supplier Environmental Protection Agreement
  • Requirement for RoHS, REACH, and other reports
  • Preference for suppliers with green policies

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather (heat, typhoon, heavy rains, flooding)
  • Long-term climate change (increased operating costs, impact on employee health)
Transition Risks
  • Climate-related policy and regulatory risks
  • Upstream supplier risks
  • Downstream market risks
  • Technology risk
Opportunities
  • Market opportunity for eco-friendly products
  • Business transformation opportunities through low-carbon technologies

Reporting Standards

Frameworks Used: UN Sustainable Development Goals (SDGs), Appendix C2 Environmental, Social and Governance Reporting Guide (Listing Rules, HKEX)

Certifications: ISO 14001, ISO 9001, IATF16949, ISO 13485

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • 2023 China Geographic Information Science and Technology Progress Award – Special Award
  • Patron Member of the World Geospatial Industry Council (WGIC)
  • New Economy Corporate – Outstanding Award (Standard Chartered Corporate Achievement Awards)
  • Outstanding High-End Manufacturing Enterprise Award (Guru Club)
  • Nominated for Caring Company Award