130 CORPORATE GOVERNANCE & SUSTAINABILITY SUSTAINABILITY REVIEW 40% absolute Scope 1 and 2 carbon reduction compared to the 2019 baseline. We continued to adopt innovative low-carbon technologies and invested in energy research and development. We also advanced the use of low carbon emission construction materials. We are proud to be one of the first three real estate developers to endorse the Collaboration Statement on Low Carbon Emissions Steel for Real Estate in the Chinese Mainland – an initiative convened by the “China Iron and Steel Association (CISA)”, “Urban Land Institute (ULI) Greenprint” and “World Steel Association (WSA)”, committing to integrate low carbon emissions steel into our procurement processes, and enhance the transparency in lifecycle emissions. Energy In 2024, our electricity-use intensity decreased by 15% compared to the 2019 baseline at our Hong Kong and Chinese Mainland properties. The reduction reflected better monitoring of heating, ventilation and air-conditioning (“HVAC”) systems via our cloud-based smart-energy management platform; upgrading chillers; installation of variable speed drives and energy valves; and more energy-efficient lighting. We also replaced 7 chillers at One Island East with variable speed drive high-efficiency chillers, projected to save 1.14 million kWh annually. Our retro-commissioning efforts at HKRI Taikoo Hui and Taikoo Li Qiantan, along with reductions in cooling and heating energy use, are expected to save a total of approximately 14.41 million kWh annually. Taikoo Hui, Guangzhou (Tower 2) set a benchmark as the first mixed-use office building in the Chinese Mainland to receive both LEED Zero Carbon and LEED Zero Energy certifications. Resources & Circularity In 2024, we continued working with our hotels, restaurants and tenants to promote food waste reduction and recycling. 75% of our F&B tenants in our Hong Kong portfolio participated in our food waste recycling programme. We also concluded waste audits for 20 F&B tenants and engaged over 60 F&B tenants in monthly inspections, offering practical insights to enhance waste separation. Our pioneering Smart Reusable Programme expanded to include reusable food boxes in Taikoo Place, and reusable cups have also been launched in Cityplaza. The reuse network in Cityplaza, Pacific Place and Taikoo Place now covers 33 F&B outlets and has helped saved over 36,000 disposables from landfills since its inception in 2020. To digitalise waste data collection and gamify tenants’ waste reduction journey, in 2024, we have made smart waste monitoring solutions available to all office tenants in Hong Kong. 63 tenants in Citygate, Pacific Place and Taikoo Place now have their waste recorded and monitored digitally. Smart Reusable Programme expanded to include reusable food boxes in Taikoo Place Hong Kong Over 40 walking tours conducted at Taikoo Square to promote biodiversity Hong Kong