Climate Change Data

AV Promotions Holdings Limited

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:62.10 tonnes of CO2-e
Scope 1 Emissions:19.71 tonnes of CO2-e
Scope 2 Emissions:42.39 tonnes of CO2-e
Total Energy Consumption:131.04 MWh
Water Consumption:1,068.70 m3
Waste Generated:1.96 tonnes
Carbon Intensity:1.11 tonnes of CO2-e/employee

ESG Focus Areas

  • Environmental protection and green operations
  • Corporate governance
  • Product responsibility
  • Employment
  • Community

Environmental Achievements

  • Decreased air pollutant emissions due to fewer events and energy-saving strategies.
  • Decreased GHG emissions due to fewer events and energy-saving strategies.

Social Achievements

  • Maintained a safe working environment with no work-related injuries.
  • Provided training to 100% of employees.

Governance Achievements

  • Established an ESG committee.
  • Complied with relevant laws and regulations regarding environmental protection, employment, and operating practices.

Climate Goals & Targets

Long-term Goals:
  • Achieve zero carbon emission in our business.
Short-term Goals:
  • Reduce air pollutant emissions by 5% by 2025.
  • Reduce GHG emissions by 5% by 2025.
  • Reduce non-hazardous waste by 5% by 2025.
  • Reduce total energy consumption by 5% by 2025.
  • Reduce water consumption by 5% by 2025.

Environmental Challenges

  • Pandemic rebound in the PRC affecting business operations.
  • City-wide lockdowns in Shanghai causing business stagnation.
  • Postponement, rescheduling, or cancellation of events due to the pandemic.
  • Significant decrease in revenue and number of events.
  • Net loss of approximately HK$53.5 million.
Mitigation Strategies
  • Maintaining a prudent financial policy.
  • Actively seeking business opportunities.
  • Carefully evaluating each project to increase returns.
  • Exploring business opportunities in other live events industry segments.
  • Widening geographical coverage to broaden income sources.

Supply Chain Management

Responsible Procurement
  • Engaging local suppliers to minimize carbon footprint.
  • Conducting regular reviews of major suppliers to ensure no material negative environmental or social impact.
  • Thorough inspections of goods to ensure safety and compliance with standards.
  • Strict supplier selection procedure based on quality, track record, reputation, and sustainability.

Climate-Related Risks & Opportunities

Physical Risks
  • Increased severity and frequency of extreme weather events.
  • Changes in precipitation patterns and extreme variability in weather patterns.
Transition Risks
  • Energy efficiency requirements and carbon-pricing mechanisms.
  • Mandates and regulations on service provision.
  • Exposure to litigation risk.
  • Changes in customer preference.
  • Inability to attract co-financiers and/or investors.
  • Risk of stigmatisation of the business sector.
Opportunities
  • Resource efficiency gains and cost reductions.
  • Returns on investment in low-emission technology.
  • New solutions to adaptation needs.
  • Access to new and emerging markets.
  • Market valuation increases through resilience planning.

Reporting Standards

Frameworks Used: GRI

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:208.48 tonnes of CO2-e (2022: 131.08)
Scope 1 Emissions:28.17 tonnes of CO2-e (2022: 25.50)
Scope 2 Emissions:115.10 tonnes of CO2-e (2022: 105.58)
Scope 3 Emissions:65.21 tonnes of CO2-e (2022: N/A)
Total Energy Consumption:291.94 MWh (2022: 232.67)
Water Consumption:704.00 m3 (2022: 1,068.70)
Waste Generated:2.40 tonnes (2022: 1.96)
Carbon Intensity:1.38 tonnes of CO2-e/employee (2022: 0.82)

ESG Focus Areas

  • Environmental protection and green operations
  • Corporate governance
  • Product responsibility
  • Employment
  • Community

Environmental Achievements

  • Reduced air pollutant emissions by achieving the target of 5% reduction in 2025 against the 2022 baseline.
  • Achieved the target of 5% reduction in water consumption by 2025 against the 2022 baseline.

Social Achievements

  • Maintained a safe working environment with no work-related injuries during the reporting period.
  • Provided training to 148 employees (2022: 172), with an average of 37.9 training hours per employee (2022: 13.0).

Governance Achievements

  • Established an ESG committee to oversee ESG-related issues and risks.
  • Complied with all applicable laws and regulations related to corruption, bribery, extortion, fraud, and money laundering.

Climate Goals & Targets

Short-term Goals:
  • Reduce air pollutant emissions by 5% by 2025 against the 2022 baseline.
  • Reduce non-hazardous waste by 5% by 2025 against the 2022 baseline.
  • Reduce total energy consumption by 5% by 2025 against the 2022 baseline.
  • Reduce water consumption by 5% by 2025 against the 2022 baseline.

Environmental Challenges

  • Material uncertainties that may cast significant doubt about the Group’s ability to continue as a going concern due to net loss and exceeding current liabilities over current assets.
  • Potential damage to office equipment, machinery, and facilities due to increased severity and frequency of extreme weather events.
  • Increased operating costs due to extreme weather events and negative impacts on workforce.
  • Increased capital investment and expenditures to support national decarbonisation strategies and comply with national policies.
  • Increased resources required to ensure full disclosure and compliance with emerging ESG Reporting standards.
  • Reduced revenue due to the inability to attract co-financiers and/or investors with the uncertain risks related to the climate.
  • Reduced revenue from decreased demand for the Group’s goods/services due to reputational risks.
Mitigation Strategies
  • Implementing business strategies to secure more projects and enhance operation efficiency.
  • Reducing direct operating costs and controlling administrative and other operating expenses.
  • Exploring other possible financing options to strengthen liquidity.
  • Reducing addition of property, plant and equipment based on cash flow position.
  • Establishing a natural disasters emergency plan.
  • Devising an action plan to articulate the goals and targets of reductions in GHG emission and energy consumption.
  • Planning improvements, retrofits, relocations, or other changes to facilities to reduce vulnerability to climate impacts.
  • Conducting a carbon footprint survey to prioritize energy and waste reductions.
  • Monitoring updates of relevant environmental laws and regulations.
  • Engaging professionals to carry out ISO9001 audit.
  • Continuing monitoring of ESG reporting standards of the Listing Rules of the Stock Exchange.
  • Examining the feasibility and benefits of applying the latest environmental technologies.
  • Prioritizing climate change as a high concern in market decisions.
  • Fulfilling climate-related regulations by governments.
  • Organizing more public relation activities to show importance on climate change.
  • Reviewing exhibitions, ceremonies, conferences, TV shows, product launches, and concerts production/organization process to ensure environmental friendliness.

Supply Chain Management

Supplier Audits: Regular reviews of key suppliers

Responsible Procurement
  • Competitive tendering
  • Objective evaluation of tenders
  • Adoption of appropriate forms of contract
  • Adoption of effective monitoring systems
  • Environmental-friendly requirements

Climate-Related Risks & Opportunities

Physical Risks
  • Increased severity and frequency of extreme weather events
  • Increased frequency of extreme weather events and rising sea levels
  • Increased temperature
Transition Risks
  • Heightened ambition of national decarbonisation strategies
  • Increased exposure to litigation risk
  • Increased adoption of low-carbon technologies
  • Heightened public awareness about climate-related risks
Opportunities
  • Resource efficiency
  • Energy source
  • Products and services
  • Markets
  • Resilience

Reporting Standards

Frameworks Used: GRI