Sustainability Report 2023/24

Appendix VI — IFRS S2 Climate-related Disclosures Content Index Paragraph Description Reference (Page number) and Remarks Governance 5 The objective of climate-related financial disclosures on governance is to enable users of general purpose financial reports to understand the governance processes, controls and procedures an entity uses to monitor, manage and oversee climate-related risks and opportunities. 6 To achieve this objective, an entity shall disclose information about: (a) The governance body(s) (which can include a board, committee or equivalent body charged with governance) or individual(s) responsible for oversight of climate-related risks and opportunities. Specifically, the entity shall identify that body(s) or individual(s) and disclose information about: (i) how responsibilities for climate-related risks and opportunities are reflected in terms of reference, mandates, role descriptions and other related policies applicable to that body(s) or individual(s); (ii) how the body(s) or individual(s) determines whether appropriate skills and competencies are available or will be developed to oversee strategies designed to respond to climate- related risks and opportunities; (iii) how and how often the body(s) or individual(s) is informed about climate-related risks and opportunities; (iv) how the body(s) or individual(s) takes into account climate-related risks and opportunities when overseeing the entity’s strategy, its decisions on major transactions and its risk management processes and related policies, including whether the body(s) or individual(s) has considered trade-offs associated with those risks and opportunities; and (v) how the body(s) or individual(s) oversees the setting of targets related to climate-related risks and opportunities, and monitors progress towards those targets, including whether and how related performance metrics are included in remuneration policies. Environmental Policy Our Approach to Sustainability (5-15) Value Created for the Environment (16-45) Value Created for People (46-55) Appendix V – GRI Content Index (113-118) (b) management’s role in the governance processes, controls and procedures used to monitor, manage and oversee climate-related risks and opportunities, including information about: (i) whether the role is delegated to a specific management-level position or management- level committee and how oversight is exercised over that position or committee; and (ii) whether management uses controls and procedures to support the oversight of climate- related risks and opportunities and, if so, how these controls and procedures are integrated with other internal functions. Environmental Policy Value Created for the Environment (16-45) Strategy 8 The objective of climate-related financial disclosures on strategy is to enable users of general purpose financial reports to understand an entity’s strategy for managing climate-related risks and opportunities. 9 Specifically, an entity shall disclose information to enable users of general purpose financial reports to understand: (a) the climate-related risks and opportunities that could reasonably be expected to affect the entity’s prospects; Please see the reference for paragraph 10. (b) the current and anticipated effects of those climate-related risks and opportunities on the entity’s business model and value chain; Please see the reference for paragraph 13. (c) the effects of those climate-related risks and opportunities on the entity’s strategy and decision- making, including information about its climate- related transition plan; Please see the reference for paragraph 14. (d) the effects of those climate-related risks and opportunities on the entity’s financial position, financial performance and cash flows for the reporting period, and their anticipated effects on the entity’s financial position, financial performance and cash flows over the short, medium and long term, taking into consideration how those climate-related risks and opportunities have been factored into the entity’s financial planning; and Please see the reference for paragraphs 15-16. Paragraph Description Reference (Page number) and Remarks 9 (e) the climate resilience of the entity’s strategy and its business model to climate-related changes, developments and uncertainties, taking into consideration the entity’s identified climate-related risks and opportunities. Please see the reference for paragraph 22. Climate-related Risks and Opportunities 10 An entity shall disclose information that enables users of general purpose financial reports to understand the climate-related risks and opportunities that could reasonably be expected to affect the entity’s prospects. Specifically, the entity shall: (a) describe climate-related risks and opportunities that could reasonably be expected to affect the entity’s prospects; Value Created for the Environment (16-45) (b) explain, for each climate-related risk the entity has identified, whether the entity considers the risk to be a climate-related physical risk or climate- related transition risk; Value Created for the Environment (16-45) (c) specify, for each climate-related risk and opportunity the entity has identified, over which time horizons short, medium and long term - the effects of each climate-related risk and opportunity could reasonably be expected to occur; and Value Created for the Environment (16-45) (d) explain how the entity defines ‘short term’, ‘medium term’ and ‘long term’ and how these definitions are linked to the planning horizons used by the entity for strategic decision-making. Value Created for the Environment (16-45) Business Model and Value Chain 13 An entity shall disclose information that enables users of general purpose financial reports to understand the current and anticipated effects of climate-related risks and opportunities on the entity’s business model and value chain. Specifically, the entity shall disclose: (a) a description of the current and anticipated effects of climate-related risks and opportunities on the entity’s business model and value chain; and Value Created for the Environment (16-45) (b) a description of where in the entity’s business model and value chain climate-related risks and opportunities are concentrated. Strategy and Decision-making 14 An entity shall disclose information that enables users of general purpose financial reports to understand the effects of climate-related risks and opportunities on its strategy and decision-making. Specifically, the entity shall disclose: (a) information about how the entity has responded to, and plans to respond to, climate-related risks and opportunities in its strategy and decision- making, including how the entity plans to achieve any climate-related targets it has set and any targets it is required to meet by law or regulation. Specifically, the entity shall disclose information about: (i) current and anticipated changes to the entity’s business model, including its resource allocation, to address climate-related risks and opportunities; (ii) current and anticipated direct mitigation and adaptation efforts; (iii) current and anticipated indirect mitigation and adaptation efforts; (iv) any climate-related transition plan the entity has, including information about key assumptions used in developing its transition plan, and dependencies on which the entity’s transition plan relies; and (v) how the entity plans to achieve any climate- related targets, including any greenhouse gas emissions targets. Climate Change Policy SHKP’s Decarbonization Strategy Value Created for the Environment (16-45) (b) information about how the entity is resourcing, and plans to resource, the activities disclosed in accordance with paragraph 14(a); and Value Created for the Environment (16-45) (c) quantitative and qualitative information about the progress of plans disclosed in previous reporting periods in accordance with paragraph 14(a). Value Created for the Environment (16-45) Sun Hung Kai Properties Limited | Sustainability Report 2023/24 < 119 > Our Reporting Approach Message from the Sustainability Steering Committee Our Business Our Approach to Sustainability Value Created for the Environment Value Created for People Value Created for Customers Value Created for Supply Chain Value Created for Community Appendix VI