Introduction Our business SwireTHRIVE About our report Other ESG disclosures Appendices Overview CClimlimaattee Waste Water People Communities We have a climate working group, which Building adaptive capacity Swire Properties is committed to exploring supports the implementation of our We want to improve the capacity of new procurement options for o昀昀-site Climate Change Policy and the delivery our businesses, our employees, and the renewable energy for our portfolio, where of our climate change related targets communities in which we operate to feasible. Since 2021, Taikoo Hui Guangzhou and commitments. A TCFD working adapt to climate change. This involves became powered by 100% renewable group comprising sustainability, 昀椀nance having, and helping to provide access to, electricity, joining Sino-Ocean Taikoo Li and risk team members was formed in information, skills, and physical resources. Chengdu in achieving net-zero carbon 2020. It is developing Group disclosure in its annual electricity consumption for guidelines, reviewing information about Swire Paci昀椀c, Swire Properties, and both landlord and tenant operations risks, and determining a timeline for full Swire Coca-Cola support the Business and setting a new standard for the real disclosure to TCFD. Environment Council (BEC) Low Carbon Charter in Hong Kong. estate sector in Asia. In 2022, Taikoo Li We have assessed the physical risks that Sanlitun became our third portfolio in the Swire Properties is a signatory to climate change poses to our businesses. Chinese Mainland to enter into an o昀昀-site We use a specialised cloud-based platform the Business Environment Council’s renewable electricity agreement, with (BEC) Power Up Pledge in Hong Kong, 15% of the landlord’s annual electricity provided by The Climate Service (TCS), which commits the company to sharing consumption from clean energy sources. now a part of S&P Global, to assess the knowledge and best practices and 昀椀nancial implications of climate-related collaborating to promote electri昀椀cation risks and opportunities under di昀昀erent of construction sites and transition away climate scenarios. The assessment helps from diesel generators. us to align our climate change disclosures with the recommendations of TCFD. In 2022, we developed a group-wide scenario analysis framework which will be used with our operating companies in scenario analysis workshops in 2023. See the TCFD section for more information. We require our operating companies to consider climate change risks when compiling their risk registers, and to take appropriate precautionary measures. Climate change is included in our risk register. Some of our operating companies build climate resilience into their operations. Swire Properties completed a study of its exposure to Case study risks and opportunities under di昀昀erent Swire Properties – Global AI Challenge Gold Award climate scenarios. The study indicated that its properties are exposed to low to moderate levels of physical risk, due to Swire Properties partnered with Swire Properties’ goal was to develop its relatively robust mitigation measures. a digital automation and energy an AI model to predict the cooling Improvements for individual buildings management company in the “Global demand of a commercial building. AI Challenge for Building Electrical and Out of 44 teams, its model had the were identi昀椀ed, including upgrading Mechanical Facilities”, held between greatest level of accuracy. The joint 昀氀ood protection measures and alert November 2021 and September 2022. team won a Gold Award and the Grand systems, chiller e昀케ciency improvements, glass facade inspections, and smart Organised by the Hong Kong Prize – the “Alliance Contracting monitoring systems. government’s Electrical and Outstanding Al In昀氀uencer Award’. Swire Coca-Cola assesses water access, Mechanical Services Department and The model is now being implemented quality, and quantity risks for all new the Guangdong Provincial Association in our Cloud-Based Smart Energy bottling plants. It has completed a risk for Science and Technology, the global Management Platform and can assessment using The Climate Service event was the 昀椀rst and largest AI accurately predict the cooling load in platform, details of which are included in event related to building electrical and our buildings 24 hours in advance. its Sustainable Development Report 2022. mechanical services. SWIRE PACIFIC — SUSTAINABLE DEVELOPMENT REPORT 2022 — 31