Sustainability Report 2020/21

Our Approach To Sustainability Guided by our belief in Building Homes with Heart, Environmental, Social and Governance (ESG) factors are critical throughout the Group’s decision-making processes. Our robust corporate governance strategies and policies are the foundation of our sustainable development. Our Sustainability Steering Committee continuously monitors the progress of our sustainability strategies and engages in ongoing communication with stakeholders, and the Group is committed to creating influential sustainable value for our stakeholders. Corporate Governance Our Board of Directors guides the overall direction of the Group’s strategy and development, including our sustainability strategy. The Board, via the Executive Committee, also monitors and reviews the Group’s corporate governance practices across business operations to maintain high standards and ensure compliance. The Audit and Risk Management Committee is chaired by Eric Li with Committee members Dicky Yip, Norman Leung and Richard Wong. The Committee assists the Board in reviewing and maintaining the effectiveness of the Group’s risk-management and internal-control systems. The Committee ensures relevant risks are carefully evaluated and considered during the decision-making process, including ESG-related risks. The latest terms of reference of the Committee are available on both the Group’s and The Stock Exchange of Hong Kong’s websites. The Group actively communicates with stakeholders and discloses information in a timely and accurate manner in order to achieve a high level of public transparency. Our efforts in maintaining rigorous standards of corporate governance were recognized by a number of international and regional award organizations, including Asian Excellence Award 2020 by Corporate Governance Asia and Asia Pacific’s Best Real Estate Company 2021 by FinanceAsia . Please refer to our Corporate Website or Appendix I of this report for the full list of awards. Further details of our corporate governance structure and practices are detailed in the Corporate Governance Report section of our Annual Report 2020/21. Sustainability Governance The Group appoints the Sustainability Steering Committee to oversee and manage its sustainability issues on daily operations. The Committee is chaired by an executive director of the Group and composed of members from the Executive Committee and senior managers of key divisions. The responsibilities of the Committee include overseeing the implementation of the Group’s sustainability strategy, updating the Group’s sustainability policies, reviewing the Group’s sustainability risks, monitoring sustainability performance, goals and targets as well as reviewing feedback from stakeholders. The Committee meets regularly to discuss the above sustainability matters, and reports to the Board for decision-making purposes on a regular basis. In addition, we have a wide spectrum of specialists and representatives from various business sectors to further support and strengthen our sustainability work through a number of committees. Committee Main Responsibility Energy Optimization Committee To monitor energy consumption of our properties for investment purpose Human Resources Committee To reinforce and refine our human resources policies Occupational Health and Safety Committee To oversee health and safety matters across all of our construction sites and managed properties IT Governance Steering Committee To manage customer data and information privacy Corporate Social Responsibility Committee To monitor our community investment projects and partnerships Our Approach To Sustainability Sun Hung Kai Properties Limited • Sustainability Report 2020/21 5