Sustainability Report 2023/24

Climate-related Management The SSC is responsible for regularly reviewing these policies. Please refer to our website for the full versions and refer to the Innovative Sustainable Building Practices, Managing Biodiversity With Care and Accelerating the Deployment of Renewable Energy sections for further information. We recognize the urgency and importance of enhancing the Group’s climate resilience and preparedness to address climate-related risks and opportunities. In FY2022/23, we engaged a third-party consultant to perform detailed climate risk assessments and scenario analysis. These allow us to understand the potential impacts of climate change on our operations and along our value chain through a scientific lens. Furthering these efforts, in FY2023/24, we sought to quantify the financial impact of climate change on our businesses and conducted stakeholder surveys and workshops to gain insights into the recent effects of climate-related risks and opportunities. These practices better inform both our short and long-term climate management strategies and strengthen the Group’s climate resilience. Governance We remain committed to consistently reviewing and strengthening our climate risk assessment processes to understand the implications of climate change. By adopting the TCFD framework, we ensure a transparent and systematic approach to providing climate disclosures to our stakeholders. To meet the evolving expectations of stakeholders and align with industry best practices, we have further enhanced our climate-related disclosures with reference to the latest ISSB IFRS S2 Climate-related Disclosures. For more details, please refer to the content index in the Appendix VI. Our Climate Governance Structure Board of Directors • Leads and oversees the Group’s overall ESG issues • Engages in the development and integration of ESG strategies into the Group’s long-term development plan via the Executive Committee • Ensures effective ESG risk management and internal control systems are in place, where identified ESG risk elements, including climate-related risks, are considered during decision- making processes Executive Committee • Implements ESG strategies with regular assessments and prioritization of material issues, including climate-related risks • Tracks and monitors the progress towards the Group’s ESG performance and established targets • Reviews ESG programmes by evaluating their impacts on the economy, environment and stakeholders Audit and Risk Management Committee • Keeps abreast of the ever-changing ESG landscape • Monitors and evaluates transition risks to ensure a thorough understanding of potential risks and opportunities Sustainability Steering Committee • Manages and oversees sustainability issues in daily operations • Regularly reviews relevant policies, including the Climate Change Policy • Formulates, monitors and reports on the environmental work plans, performance, goals, and short- and long-term targets Crisis Operation Management Committee • Led by two Executive Directors, who are responsible for handling critical incidents at our business units and subsidiaries • Regularly reviews relevant climate-related risks and the Group’s resilience to extreme weather Our Sustainability and Climate-change-related Policies Group Sustainability Policy • Sets out the foundation for the Group’s overall sustainability strategy, ensuring sustainable development factors are considered in decision-making throughout our business operations Climate Change Policy • Details our strategy and measures to mitigate the impacts of climate change, whilst increasing the adaptability and resilience against climate change Environmental Policy • Provides a framework to guide our operations whilst maximizing protection of the environment, including aspects in energy, biodiversity and waste management Sustainable Building Policy • Guides our development of low-carbon, climate-resilient properties, and focuses on users’ wellness CLIMATE CHANGE Sun Hung Kai Properties Limited | Sustainability Report 2023/24 < 31 > 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 Appendices