hopewell - csr · pdf fileperformance during the 2010/11 financial year, ... * please refer to...

Hopewell Holdings Limited Sustainability Report 2010/11 1

Sustainability Report 2010/11

Hopewell focuses on

SuStainabiLity


About This Report This is our first Sustainability Report, demonstrating our commitment to transparency

and accountability to our stakeholders. Since 2009, we have incorporated our

corporate social responsibility (CSR) report into our annual and interim reports.

In order to provide a more in-depth coverage of our sustainability activities and

performance, we have decided to publish an annual Sustainability Report starting

from 2011. A summary of this Report has been incorporated into our Annual

Report 2010/11 and the full version is available in our corporate website at

www.hopewellholdings.com/SUSTAINABILITY.

Scope of the Report This Report presents our company-wide economic, environmental and social

performance during the 2010/11 financial year, from 1 July 2010 to 30 June 2011.

It covers the activities of the Group, its key subsidiaries and joint venture operations

central to our core business activities in Hong Kong and Mainland China. Given that this is

our first comprehensive Sustainability Report, we will further develop our data collection

systems to report on more environmental and social indicators in future Reports.

How We Report The content of this Report has been defined by a process of stakeholder engagement

to identify and prioritise key issues of concern. Reviewing the reports of sector

leaders and identifying material issues to report on has also influenced our data

collection process. We report on both qualitative and quantitative information

taking into account the specific reporting period.

Measuring our Performance We have included commitments and future targets in this Report. These enable us

to track and guide our performance to better manage efforts in addressing our key

sustainability impacts.

Report Application Level We have written this Report according to the Global Reporting Initiative (GRI)

sustainability reporting G3.1 framework. We are pleased to declare our achievement

of a B level Report.

Contents

About This Report 2

Managing Director’s Message 3

Our Business 4

Corporate Governance and Sustainability 8

Stakeholder Engagement 10

Environmental Performance 14

Our People 26

Customers and Communities 30

Procurement and Supply Chain 36

Verification Statement 38

Economic Performance Table 39

Environmental Performance Tables 40

Social Performance Table 42

Glossary 44

GRI Index Table 45

Contact Us 48

romoting sustainability is just as important as

achieving long-term business growth. Over the

past 40 years since our establishment in the

late 1960s, we have made continuous efforts

to maintain a high degree of sustainability in

our operations in both Hong Kong and Mainland

China. Changes to the Board and management structure have

enabled us to better integrate social and environmental values

into our core business. We value the opportunities to learn more

about the needs and expectations of our communities and other

stakeholders. To this end, we established an independently reviewed

stakeholder engagement process in 2011. In the same year we also

established our Sustainability Steering Committee to strengthen

our management efforts in promoting sustainability through our

corporate governance, environmental protection, community

investment and workplace practices.

Our management approach is to look beyond regulations and

improve our practices across our different business divisions,

whilst balancing the needs of different stakeholders. With property

and infrastructure development being the main part of our core

business operations, we have placed significant emphasis on the

energy efficiency of the premises and highways that we develop

and manage. We believe sustainability should start at the design

stage. We consider environmental concerns at the early stage of

planning, all the way through to the construction and eventual

management and maintenance of our buildings and highways.

The strong engineering background and technological excellence

of our team has been central to our achievements. In particular, we

believe we have an important role to play in promoting road safety.

In view of our investment in a coal-fired power plant in Mainland

China, we recognise the responsibility we have to minimise the

environmental impacts of burning coal and producing greenhouse

gas emissions. We have therefore pioneered the implementation of

one of the most environmentally efficient coal-fired power plants

in Guangdong Province. We are also actively testing and developing

our own technology for large-scale wind turbines to respond to

the growing demand for clean renewable electricity. We do not

view our economic progress to be in competition to our social or

environmental progress.

This Report lays out our sustainability efforts in our 2010/11 financial

year and highlights areas where we want to improve. Responding

to employees’ needs and offering career and personal development

opportunities that go beyond common workplace practice is an

important part of our strategy. Increasing staff awareness about

health and safety issues, environmental performance and community

investment is part of our responsibility. This will enable us to

collectively achieve our business goals. Our sustainability efforts also

extend to business partners and suppliers to ensure high quality and

responsible services and products for customers.

We will continue to look for ways to improve our performance.

In the coming years, we look forward to enhancing engagement with

all our stakeholders and we will continue our legacy to operate in

a sustainable way, excelling for the long term.

thomas Jefferson Wu

Managing Director, Hopewell Holdings Limited

it is in our Dna to be pragmatic.

We constantly consider what is

possible and strive to achieve

economic, social and

environmental progress

simultaneously.

P

Managing DiRectoR’S MeSSage

4 Hopewell Holdings Limited Sustainability Report 2010/11 Hopewell Holdings Limited Sustainability Report 2010/11 5

our business

Hopewell Holdings Limited (HHL) was listed on the Main Board of the

Stock Exchange of Hong Kong Limited in 1972. Over the decades, we

have developed a solid track record in property and infrastructure

development not only in Hong Kong, but also in the Pearl River

Delta Region of Mainland China. Our current core business operations

involve property investment and development, hospitality, highways

and energy generation.

Property Investment and Development Division

* Please refer to the Annual Report 2010/11 of Hopewell Holdings Limited for the lists of principal subsidiaries and jointly controlled entities

under the Group.

group Structure

total gross Floor area (gFa) of completed Properties owned by Hopewell Holdings Limited: approximately 3.5 million square feet

office 38%

Hotel / Serviced Apartment16%

Retail 39%

gross Floor area (s.q.ft.)

by Property type

Conference & Exhibition 7%

ouR buSineSS

In regard to our property portfolio, we are mainly involved in

project planning, design supervision, tendering, cost and quality

control of premises from the conception to the completion stage

of each development. We also manage some of the premises after

completion and provide a full range of high quality property

sales and leasing services in Hong Kong and the Pearl River

Delta Region.

Hopewell Holdings Limited

Infrastructure SegmentProperty Segment

Hospitality Division

Energy Division

Property Investment and Development

Division

Highway Division

In Hong Kong, our major rental properties include commercial

buildings, shopping malls and serviced apartment. Our latest

residential development project, Broadwood Twelve, is currently

for sale. Our two new projects under development in Hong Kong

are Hopewell Centre II, featuring Hong Kong Island’s first conference

hotel, and the Lee Tung Street project, an urban renewal authority

redevelopment project with residential units and a shopping arcade.

In Mainland China, we have an on-going property development

project in the Huadu District of Guangzhou, named Hopewell New

Town, a multi-phase development project consisting of apartments,

townhouses, commercial areas and recreational facilities. Liede

Integrated Commercial Project in Guangzhou is a new project we are

investing under an operating lease arrangement with a local company.

Hospitality Division

We have a long history of working in the hospitality business.

The 5-star China Hotel in Guangzhou was our first hotel project in

Mainland China, dating back to the early 1980s, when we pioneered

the Build-Operate-Transfer (BOT) arrangement for this project.

In Hong Kong, we currently operate Panda Hotel through a wholly

owned subsidiary of the Group, with over 1,000 guest rooms

serving both business and leisure travellers. In addition, we operate

restaurant and catering businesses in our commercial properties.

Highway Division

In regard to our highway business, we focus on the initiation,

promotion, development, investment and operation of highway

projects in the Pearl River Delta Region. This division is run by

Hopewell Highway Infrastructure Limited (HHI), in which HHL, its

parent company, has an approximate 70% stake. HHI was listed on

the Stock Exchange of Hong Kong Limited in 2003. The four highway

projects we have initiated include the 122.8 km Guangzhou-

Shenzhen (GS) Superhighway on the east bank of the Pearl River

Delta Region, and Phases I, II and III of the Western Delta Route with

an aggregate length of about 98.2 km on the west bank. Phases I

and II of the Western Delta Route commenced operation in 2004 and

2010 respectively. The construction of Phase III is expected to be

completed by the first half of 2013. Over the past decade, the high-

quality and well-connected highways initiated by HHI have helped

to boost the economic growth of the cities along those routes. Our

interests in the GS Superhighway and the Western Delta Route are

held through two co-operative joint ventures, in accordance to the

applicable Mainland China law.

In July 2010, HHI successfully issued two-year RMB corporate bonds

to institutional investors, becoming the first non-financial institution

to issue RMB corporate bonds in Hong Kong. The bond issue has

opened up new financing channels for our highway business. In May

2011, the second issuance of RMB corporate bonds reflected strong

market confidence in our Group.

Energy Division

Our power plant operations in Mainland China date back to the mid-

1980s. At that time there was an acute shortage of infrastructure

facilities and power supply, and we undertook proactive initiatives

to participate in the infrastructure development of the country.

Building on our successful experience of over 20 years in the

sector, our subsidiary entered into a joint venture with Shenzhen

Energy Group Company Limited to operate a coal-fired power plant

in Heyuan City, Guangdong Province, which started commercial

operations in 2009.

Despite the increased coal price, the Heyuan Power Plant brought

profit to the Group during its first year of operation. The Group

currently holds a 35% effective stake in the 1,200 MW ultra

super-critical coal-fired power plant, which supplies electricity to

Guangdong Province, particularly Heyuan and Huizhou. To date, it

is one of the most environmentally efficient coal-fired power plants

in the Province.

We are also actively developing our own technology for large-scale

vertical-axis wind turbines in recognition of the on-going and

consistently strong global demand for clean renewable electricity.

6 Hopewell Holdings Limited Sustainability Report 2010/11

our business


our business

6 4/2011caring company Logo

HHL and seven of its subsidiaries, namely HHI, Hopewell Real Estate

Agency Limited, Hopewell Property Management Company Limited,

KITEC Management Limited, Hopewell Centre Management Limited,

Panda Place Management Limited and Panda Hotel were awarded

the Caring Company Logo 2010/2011 by the Hong Kong Council of

Social Service in recognition of the active participation in community

activities and good corporate citizenship. Among these, Panda Hotel

received the 5 Years Plus Caring Company Logo.

7 6/2011corporate governance asia Recognition award and asian corporate Director Recognition award

HHL was awarded The Best of Asia Award in the 7th Corporate

Governance Asia Recognition Awards 2011 and Mr. Thomas Jefferson

WU, the Managing Director of HHL, was recognised at the 2nd Asian

Corporate Director Recognition Awards 2011 organised by Corporate

Governance Asia.

1 7/2010Hang Seng corporate Sustainability index

Our long-term commitment was well recognised as the Group

was selected as a constituent stock of the “Hang Seng Corporate

Sustainability Index” launched in July 2010.

2 11/2010Lifetime achievement award

CNBC presented The Lifetime Achievement Award to Sir Gordon WU,

the Chairman of HHL, at the 9th Asia Business Leaders Awards. The

award honours Sir Gordon WU for his significant contributions in

shaping, growing and developing the economic landscape.

3 11/2010Director of the year award

Mr. Thomas Jefferson WU, the Managing Director of HHL, was

awarded the Director of the Year Award 2010 by The Hong Kong

Institute of Directors, recognising his contribution in promoting good

corporate governance and director professionalism.

Selected Awards in 2010/11

Director of the Year Award Best IR Award & Best CSR Award Asia Pacific Customer Relationship Excellence AwardsLifetime Achievement Award

6 8 754321

Winner award

Hopewell Real Estate Agency Limited – Hopewell Centre

Integrated Support Team of the Year (Property Management)

Hopewell Real Estate Agency Limited – Broadwood Twelve

Field Support Team of the Year (Property Management)

Hopewell Property Management Company Limited

Outsourcing Team of the Year (Property Management)

4 3/2011Debt & equity-linked Deal of the year

The Renminbi bond issue of HHI, subsidiary of HHL, in July 2010

was named one of Debt & Equity-linked Deal of the Year at the

Asian Awards 2011 organised by the International Financial Law

Review, a leading magazine covering developments in the law of

international finance.

5 3/2011best iR award & best cSR award

HHL was presented the Best IR and Best CSR Awards at the 1st Asian

Excellence Recognition Awards organised by Corporate Governance

Asia, one of the most influential publications on corporate

governance in the region. The Asian Excellence Recognition Awards

aim to recognise excellence in investor communication, business

ethics, CSR, environmental practices and financial performance.

8 6/2011asia Pacific customer Relationship excellence awards

Two subsidiaries of HHL, Hopewell Real Estate Agency Limited and

Hopewell Property Management Company Limited, received three

accolades at the 2010 Customer Relationship Excellence Awards for

their quality service in property and facilities management.

coRPoRate goveRnance anD SuStainabiLity


corporate governance and Sustainability


Our commitment to sustainability has grown into a philosophy

permeating all levels of management and staff.

The Group’s highest governance body is the Board of Directors

(Board), which is committed to a high degree of transparency and

embraces principles of good corporate governance to mitigate

risks. We have put in place a sound internal control system to

increase the effectiveness and efficiency of our operations,

reliability of financial reporting, and the Group’s compliance with

applicable laws and regulations. We have also adopted an integrated

management approach to monitor and reduce our business exposure

to environmental, social, and governance risks.

The Role of the Board of DirectorsThe Board currently comprises eight Executive Directors (including

the Chairman and the Vice-Chairman), three Non-Executive

Directors and three Independent Non-Executive Directors.

It is responsible for setting the strategic direction and policies

of the Group and supervising management. In the reporting

year, the Board complied with all code provisions set out in the

Code on Corporate Governance Practices contained in the Rules

Governing the Listing of Securities on the Stock Exchange of Hong

Kong Limited. More information can be found in the Corporate

Governance Report of our Annual Report 2010/11 available on

our corporate website.

Hopewell Holdings Limited

Sustainability Steering Committee

Hospitality Management Committee

Human Resources Committee

Project Development Committee

Property Investment and Development Division

Highway DivisionHospitality Division Energy Division Corporate Functions

Board of Directors

Managing Director

As well as dealing with our economic performance, the Board

oversees the environmental and social initiatives undertaken across

the Group. To ensure employees understand the importance of

business integrity, we have hosted seminars on the prevention

of bribery and invited experts from the Independent Commission

Against Corruption (ICAC) to give presentations to staff of all grades,

including those from our Mainland China operations. In 2010/11, 210

of our permanent employees (15% of the Group’s total workforce)

were trained in anti-corruption seminars and workshops.

The Group has also put in place a Code of Conduct, whereby every

employee is required to declare potential conflicts of interest and

fully understand the Group’s policies on receiving gifts and benefits.

actions for 2011/12

• AppointadditionalIndependentNon-ExecutiveDirectors

to enhance the Board mix

Thomas Jefferson WU, Managing Director, Hopewell Holdings Limited

and Hopewell Highway Infrastructure Limited

Management of eSg risks is embedded in the integrated management approach of different business units.

Our Core Sustainability Values:• Weregardthepromotionofsustainablecommunitygrowth

just as important as achieving long-term business growth

• Webelieveathrivingcommunityfacilitatesourcontinuing

business success

• We consider the ongoing communication with our

stakeholders as vitally important to uphold the well-being

of the community

• Wewill continue to listen to our stakeholders’ views and

work together with them to achieve a win-win scenario

Sustainability Steering CommitteeA formal Sustainability Steering Committee was jointly

established by HHL and HHI in early 2011 to further promote

sustainability as part of the Group’s long term development.

The Committee serves as an important driver of our corporate

governance initiatives, as well as sustainability programmes in

the three core areas of community, environment and employees.

The Committee reports on corporate sustainability performance

and progress to the Managing Director of the Group. The current

members in the Committee are as follows:

name Position in the group

Thomas Jefferson WU (Chairman)

Managing Director of Hopewell Holdings Limited and Hopewell Highway Infrastructure Limited

Alan Chi Hung CHAN Deputy Managing Director of Hopewell Highway Infrastructure Limited

Albert Kam Yin YEUNG Executive Director of Hopewell Holdings Limited

Richard Cho Wa LAW Company Secretary of Hopewell Holdings Limited and Hopewell Highway Infrastructure Limited

Elina Kar Li LEE Head of Corporate Communications of Hopewell Holdings Limited

the duties of the Sustainability Steering committee are:

1. To establish and review the Group’s corporate sustainability vision, strategy and principles

2. To adopt policies and practices, approve initiatives and budgets, formulate objectives, key performance indicators and measures to oversee the Group’s performance in relation to corporate sustainability issues

3. To monitor progress in implementing initiatives, policies and practices, review quality and effectiveness and make recommendations to the Board where appropriate

4. To give directives to the working groups on the implementation of sustainability initiatives

5. To receive regular reports from the designated executive(s) in regard to the performance of the working groups and the Group’s corporate sustainability performance

The Committee has appointed executives of the Group to manage

and monitor working groups, which comprise representatives from

relevant business units. The Committee also accesses professional

advice where needed.

Building on strong management commitment, we have devoted

much effort to promote sustainability through soliciting support

from staff of all levels. The HH Social Club set up in early 2011 also

serves as an interactive communication platform for representatives

from different business units to meet on an informal basis to share

their sustainability ideas and experiences and provide feedback on

community initiatives that they have been involved in.

Risk ManagementDifferent guidelines, policies and procedures have been

established internally for the approval and control of the Group’s

expenditures and operations. Risk assessments are conducted for

all our investments and cover significant environmental, social and

governance (ESG) implications. We reject or divest from investments

that do not align with our sustainability philosophy. To minimise

ESG risks, we proactively engage with relevant stakeholders to enlist

their support of our investment projects.

StakeHoLDeR engageMent


Stakeholder engagement

The nature of our business requires us to take into account

stakeholder views when designing and implementing property and

infrastructure developments. Over the years we have developed

various communication channels that enable us to share information

with stakeholders and receive feedback on an on-going basis. We

also recognise that systematic engagement with all stakeholders is

essential for any long-term sustainability plan. We conducted our first

independent stakeholder engagement exercise to ensure the materiality

of our reporting. Stakeholder opinions are important to us and help

drive improvements in our business and operational performance.

Engaging Communities

Engaging our Employees We are long-time members of the Wan chai neighbourhood and we are in it for the long haul. We, too, want what is best for our neighbourhood.Albert Kam Yin YEUNG, Executive Director, Hopewell Holdings Limited

As an example of our efforts to keep stakeholders informed of our latest

projects, we have posted information of the Hopewell Centre II project

through a specially designed website (www.hopewellcentre2.com)

that clearly illustrates our vision and plans for the project. With the use

of animation and graphic presentation, we intend for our communities

to find it easier to understand our approach and plans.

We will develop a more formal strategy of consultation with

communities which will allow us to better understand the views and

expectations of our stakeholders relating to our major developments.

The HH Social Club engages the Group’s employees in a variety

of CSR, voluntary, sports and recreational activities, strengthens

internal communication and also promotes work-life balance.

The Club’s vision is to nurture a cohesive and sustainable workforce

that will grow with the Group. Monthly meetings are held with

employees from various business units and departments. In the

meetings, we review past CSR activities, update on upcoming

activities, and share information on community and volunteering

activities. For example, in 2011, we invited the Boys’ and Girls’

Clubs Association of Hong Kong to share experiences of corporate

volunteering. Apart from interaction through the HH Social Club, we

also utilise other internal communication channels such as Intranet

and newsletters to disseminate information to our employees.

Engaging our Investors

Consulting stakeholders on Hopewell Centre IIAfter rounds of consultation and internal review, the development

plan for Hopewell Centre II was revised in 2008. Taking note

of the concerns from local residents and the community, the

revised plan strikes a balance between economic development

and environmental protection. The scale of the project was

drastically reduced from 93 storeys to 55 storeys and the height

of the hotel to be built will be 210 metres, maintaining the island

ridge line in the backdrop.

In 2010/11, we continued to communicate with local stakeholders

on the progress of the project. Other important features of the

revised plan include the conservation of trees in the area and

the provision of a green park totalling 5,880 square metres.

We also propose to set up a consultative group to solicit views

on the design of the green park.

We endeavour to engage our stakeholders in the communities where

we operate, including local residents, tenants, NGO partners and

district councillors. We take their views into consideration during

the planning and design stage of our development projects with a

view to implementing projects which respond to the needs of the

community and promote sustainable community growth.

We promote effective communication with investors by using

different channels to disseminate information and receive feedback

in a timely manner. The Group regularly participates in investor

conferences, meetings and teleconferences to exchange views and

respond to enquiries. Briefings for analysts are arranged on a regular

basis. Apart from providing extensive information to investors

and analysts, these meetings also enable senior management to

understand investors’ expectations and concerns. We will continue

to pursue a proactive approach in investor relations.




actions for 2011/12

• Develop a formal stakeholder engagement strategy

within the next 12 months

• Developaconsultativegrouptosolicitviewsonthedesign

of the green park as part of Hopewell Centre II plans

Engaging our Suppliers and ContractorsWe actively participate in industrial bodies to equip ourselves with

the latest information on changes in regulations, occupational safety,

industrial trends and to learn from best practices. We share such

information with our contractors, suppliers and their workers.

We would like to see more communications from Hopewell in terms of its community investment initiatives in relation to its wider impact on local communities.Josephine LEE, Senior Manager, Corporate Venture,

St James’ Settlement, Hong Kong

Independent Stakeholder Engagement ProcessWe employed an independent facilitator to carry out interviews

with the following stakeholder groups: Community welfare NGOs,

tenants, institutional investors, corporate customers, and senior

management. The stakeholders were chosen from organisations with

whom we have had long standing relationships as well as individuals

strategic to the respective parts of our business. The questions

focused on social, environmental and governance performance, but

were kept broad enough to allow stakeholders to identify their own

issues of concern.

Dialogue with our stakeholders provided us with some useful feedback:

• Our stakeholders are supportive of our role in helping to

develop local communities such as Wan Chai district. In

particular stakeholders noted our building of footbridges

between buildings to extend convenience and safety for

pedestrians, putting in place conservation measures and

contributing to the preservation of important heritage sites

• Maintaining a low profile in terms of our community

contributions was recognised by our stakeholders, but it was

also felt that we could communicate more on our community

investment projects

• Ourstakeholderswantustodeveloplongtermrelationships

with NGOs, formalise our employee volunteering programme

and develop flagship projects

• Somestakeholdersperceiveusasbeingaleaderindeveloping

energy-efficient buildings in Hong Kong and our promotion

of electric vehicles was recognised. But we need to improve

on communicating our environmental performance

• Ourstakeholderswouldliketoseehowwedevelopourstaff

to enhance knowledge and skills and retain talent

• Safety and trustworthiness of products and services was

raised as a future area of concern for the industry and our

stakeholders would like to see how we are managing this

• Itwasfeltthatwecoulddevelopamoresystematicapproach

to our sustainability performance, setting a clear long term

strategic direction

• Ourstakeholdersappreciatedtheopportunitytoengageand

encourage us to develop plans to engage with all stakeholders

over a long term basis

• Our stakeholderswantus todemonstrate strong leadership

and play a key role in raising awareness on sustainable

development issues in the broader community

1 No data for Broadwood Twelve in 2009 because the property was only released for sale since May 2010

average customer Satisfaction Rate

2009 2010

100

80

60

40

20

0

97.63% 97.33% 96.16%98.53%

96.66%99.75% 98.51% 96.99%

94.25%

HopewellCentre

QREPlaze

KITEC PandaPlace

Broadwood 1

Twelve

Engaging our CustomersWe endeavour to engage our customers from our various business

operations. We publish news on the sustainability initiatives launched

in Hopewell Centre, our flagship property, in a quarterly newsletter with

both printed and online versions. We share information relating to energy

saving tips and the latest building enhancement work at our premises.

We make use of social networking sites to engage our customers,

disseminate news of our properties as well as receive customer feedback.

Facebook pages have been set up for The East and E-Max to strengthen

customer engagement.

We use evaluation forms and comment cards to gain feedback from

our hotel guests, office tenants, residents, and exhibition centre or

venue users. Site visits and interviews are also conducted. Every year,

we carry out a customer satisfaction survey at Hopewell Centre,

QRE Plaza, KITEC, Panda Place and Broadwood Twelve. Questionnaires

are sent to tenants or residents for their evaluation on our performance

on cleanliness and hygiene, security service, repair and maintenance,

water/electricity supplies, carpark management, shopping mall, shuttle

bus services, handling of enquiries or complaints, environmental

performance, staff performance, and overall satisfaction. Our results

showed that we have maintained a high level of customer satisfaction in

the properties evaluated.

List of Charters and Corporate Memberships:• Signatory to Carbon Reduction Charter, Environmental

Protection Department

• HongKongGreenBuildingCouncil(InstitutionalMember)

• TheCommunityChestofHongKong

• RealEstateDevelopersAssociationofHongKong

• HongKongGeneralChamberofCommerce

• TheChamberofHongKongListedCompanies

• TheHongKongManagementAssociation

• TheCanadianChamberofCommerce

• TheAustralianChamberofCommerceinHongKongandMacau

We address some of these concerns in this Report and we will

continue to engage stakeholders on an annual basis. In 2011/12,

we will develop a strategy to ensure regular contact with each

stakeholder group to feed into our reporting process and to identify

stakeholder issues as they emerge.

enviRonMentaL PeRFoRMance


environmental Performance

We have a long-standing commitment to the environment. As

stakeholders become more sophisticated and aware of environmental

issues, we are recognised for having invested in environmental

practices early on and at every stage of our developments.

We make efforts to promote sustainable development. We have

embarked on initiatives that generate greater innovation and growth

for the business and also greater benefits for the environment, such

as increasing the energy efficiency of our properties, promoting the

use of electric vehicles, providing cleaner energy and conducting

research in new wind power technologies.

Key Business ImpactsWe have assessed our major environmental impacts and we are

working on reducing our impact in all aspects of our business.

Key Business Operations

Property Investment

and Development

Hospitality Highway Energy Direct Environmental Impact

Resources use (electricity, paper, water, coal)

Waste generation (solid waste, wastewater, general office waste)

Noise, air and light pollution

Natural habitat degradation

The main risk relating to our environmental impacts is the possibility

of more stringent regulatory requirements in Hong Kong or Mainland

China. We are preparing for the Hong Kong Buildings Energy

Efficiency Ordinance in 2012, which requires mandatory building

energy audits to be conducted at least every 10 years. Hopewell

Centre has been conducting voluntary energy audits since 2008 and

we intend to have audits conducted every five years.

Heyuan Power Plant is planning to install additional equipment for

further reduction in emission of nitrogen oxides (NOX) to meet the

more stringent requirements to be implemented at the end of 2013

in Mainland China.

High Medium Lowimpact mitigation priority

Encouraging Green Office and Hotel Practices

Environmental Highlights for 2010/11• Thepromotionoftheuseofelectricvehicles

• Renewable energy— the development of our own large-

scale vertical-axis wind-turbine technology

• Theoperationofoneofthecleanestcoal-firedpowerplants

in Guangdong Province

• Energyefficiencyinitiativesinourpropertiesandhighways

• TheGoGreenWorkplaceCampaigninouroffices

• Internaleducationprogrammesonenvironmentalprotection

PrioritiesOur priorities for the future in creating a better living

environment are:

• Toaddressclimatechangebyreducingourcarbonemissions

• To continue to promote the use of electric vehicles to

achieve cleaner air

• TobuildHopewellCentreIIwithhighconsiderationforthe

local environment and community

Our Management ApproachOverall responsibility for environmental initiatives across the Group

lies with the Sustainability Steering Committee. Each business

division has the responsibility to set up appropriate structures

and assign job roles to oversee and report on environmental

practices. Each business unit/department has a Green Captain who

encourages colleagues to be energy efficient and to recycle. Our HH

Social Club also serves as an additional platform to raise employee

awareness on environmental issues and community needs.

For our property business, we have formed a special team to study

and implement a variety of green initiatives, including power

saving and recycling. Our environmental policy for property and

facility management highlights the importance of environmental

considerations in our management systems, compliance with

laws and regulations, pollution prevention, waste reduction,

and promotion of environmental awareness amongst staff. The

property and facility management services of all commercial

properties in the management portfolio of Hopewell Real Estate

Agency Limited, HHL’s wholly owned subsidiary, have satisfied

the requirements of the ISO14001 certification on environmental

management systems.

In our day to day office operations, we demonstrate our

commitment to environmental protection by engaging our staff

in green office practices such as energy saving, reduction of waste,

switching off electrical appliances when not in use, paper reuse

and recycling. Initiatives such as electronic filing help to reduce

paper use and saves office space.

We have formulated an office environmental sustainability

policy to promote responsible office behaviour for our staff by

highlighting economic, environmental and efficiency benefits.

At Group level, we aim to consolidate these policies into a group-

wide environmental policy.

At our Panda Hotel, guidelines are in place to support our efforts to

protect the environment. We encourage our guests to adjust their

room temperature and to re-use the linen and towels in order to

reduce the amount of energy and water used.

Environmental Considerations in Property Development: Material UseWhen developing our buildings, we incorporate environmental

considerations at every part of the construction phase. We pay special

attention to building design as we believe it is more effective to

use sustainable materials when buildings are initially constructed as

opposed to replacing and retrofitting once they are built. We promote

the application of sustainable materials using reclaimed, recycled and

recyclable products.

In our commercial developments we have refrained from using curtain

walls in the building design in order to reduce heat gain of the façade

and hence reduce electricity consumption from air conditioning. In the

Liede Integrated Commercial Project in Guangzhou, we plan to adopt

low-emissive glazing for windows to reduce energy consumption. The

greenery ratio will exceed 30% to enhance the natural environment

around the development project.

In our residential buildings we use lightweight concrete blocks that

reduce material use in manufacturing and reduce the amount of waste

produced in the construction phase, enhancing energy performance

as a result of their thermal conductivity. We also incorporate energy

saving features such as low-emissive glazing for windows, energy saving

lighting, solar water heaters and multi-speed ventilation systems.

Climate Change and Energy ManagementAs a Group, we recognise climate change as a significant challenge

and we reduce our impact through efficient energy management.

We manage carbon emissions from our own operations as well as

promoting emission reduction initiatives to the public. HHL has

been a “Carbon Audit, Green Partner” of the Environment Protection

Department since 2008, signing the Carbon Reduction Charter to

support efforts in reducing greenhouse gas (GHG) emissions.

We monitor and review energy consumption and carbon emissions

in our existing facilities with the aim of identifying further reduction

opportunities. Subsequent to the review of the energy consumption

patterns, extensive facility upgrade and enhancement work

procedures have been introduced in our operations.




enhancing energy efficiency in buildings and Reducing gHg emissions

In 2010, we completed carbon audits for our major properties:

Hopewell Centre, KITEC and Panda Place, representing over 80% of

our owned property portfolio GFA. Electricity consumption is our

main source of carbon emissions which accounts for over 78% of

our calculated carbon footprint.

We have set up systems to monitor our consumption through

the implementation of environmental management systems and

conducting annual carbon audits.

The annual energy consumption of our properties (Hopewell Centre,

KITEC, Panda Hotel and Panda Place) was reduced by 18.96% in

2010/11 compared to 2007/08, of which 15.17% of the savings were

due to the replacement of air-cooled chillers with more energy

efficient water-cooled ones in the central air conditioning systems.

This initiative also led to important monetary savings in electricity

costs including 25% in KITEC and 40% in Panda Place. The remaining

energy savings were achieved through the installation of energy

efficient LED lighting and T5 fluorescent tubes. To further reduce

energy consumption in Hopewell Centre, we plan to replace all

old light bulbs with energy efficient ones by 2014. We have also

replaced the refrigerant used in our air-conditioning systems with

refrigerants that have a lower impact on global warming.

Other initiatives are in place to reduce energy consumption

throughout our buildings, such as upgrading passenger lifts and

adjusting the operating hours and modes of lighting and air

conditioning in common areas and offices.

We promote and raise public awareness on carbon reduction through

encouraging tenants to adopt energy saving designs in their fitting-

out works and operational practices.

Renewable energy

Since 2008/09, we have initiated a research project to develop our

own large-scale vertical axis wind-turbine technology to meet the

global demand for clean, renewable electricity. A small experimental

turbine was built last year in Yangjiang, Guandong Province and a

new version has been refined and now built. The performance of

the new version is being tested and data been collected in order to

pave ways for the construction of a larger prototype in the future.

We also use small-scale renewable power wherever possible. For

instance, the surveillance cameras along the main road of Western Delta

Route are powered by a micro wind and photovoltaic hybrid system

and solar water heaters were adopted in the employee living quarters.

celebrating earth Hour

We participated in Earth Hour 2011 to help promote wise

consumption amongst our employees and sustainable lifestyles.

The exterior lighting of six major properties was switched off for an

hour from 8:30pm - 9:30pm on 26 March, 2011. This act of switching

off lights was a symbolic pledge of our commitments for the year

ahead. We also helped promote the event to the public by displaying

Earth Hour posters in our properties, as well as encouraging our

employees and tenants to participate.

Air QualityAir quality is a main concern for stakeholders in Hong Kong and

Mainland China. Several initiatives are in place to improve the indoor

and outdoor air quality for the communities in which we operate.

electric vehicles

Pioneering and promoting the use of electrical vehicles (EV) is an

integral part of our efforts to promote cleaner air by reducing

roadside emissions. We first introduced hybrid vehicles into our

company car fleet in 2006. In addition to the MyCar and i-MiEV

electric vehicles acquired in 2009 and 2010 respectively, we further

strengthened our green fleet with a LEAF EV which was delivered

in May 2011, the very first of these new cars in Hong Kong. When

purchasing new cars, our priority is to buy energy efficient vehicles

whenever possible. For example, we purchased two new vehicles

over the past two years and both are electric. We also prioritise the

usage of EVs or energy efficient vehicles when traveling.

We have established a special committee headed by senior

executives to monitor the development of EVs globally and to

explore the possibility of introducing more into the Group. Our

Managing Director, Mr. Thomas Jefferson WU, also serves as a

member of the Hong Kong SAR Government Steering Committee on

the Promotion of Electric Vehicles.

Property no. of Parking Spaces with ev chargers

Hopewell Centre 5

KITEC 6

Panda Place 4

Wu Chung House 9

Broadwood Twelve 20

To help popularise EVs, we have installed over 40 EV chargers in

our owned and managed properties. We also offer six hours of free

parking and charging services to EV users in the public car parks at

Hopewell Centre, KITEC, Panda Place and Wu Chung House. Apart from

the charging stations for public access, we also installed charging

stations in residential properties such as Broadwood Twelve and

Broadview Villa for the use of residents and visitors. We have been

tracking the energy consumption of our EV charging stations since

offering the service in our car parks in 2009. By end June 2011, the

aggregated electricity consumed by all our charging stations was

7,200 kWh. We will continue to identify appropriate sites for installing

more chargers in order to give users easier access to such facilities.

In November 2010, we held an exhibition featuring latest models of

EVs in Hopewell Centre Piazza to increase public awareness.

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

tonnes CO2e

2011/10 2010/09 2011/10 2010/09 2011/10 2010/09

Hopewell centre kitec Panda Place

Total emissions 14,087 12,944 14,143 13,390 2,017 1,946

Scope 1: Direct emissions 377 403 848 609 0 0

Scope 2: Electricity indirect emissions 13,554 12,396 13,282 12,765 2,013 1,942

Scope 3: Other indirect emissions 156 145 13 16 4 4

Intensity (kg CO2e/sq ft GFA) 16.77 15.41 8.04 7.61 8.81 8.50

We have always been promoting a low carbon lifestyle by supporting and promoting green transport.Thomas Jefferson WU, Managing Director, Hopewell Holdings Limited

and Hopewell Highway Infrastructure Limited

gHg emissions in investment Properties

12,94414,087 14,143

13,390

2,017 1,946




actions for 2011/12

• DevelopaGroup-wideenvironmentalpolicy

• Strengthen partnerships with environmental NGOs to

promote clean air

• Participate in WWF’s Low-Carbon Office Operation

Programme (LOOP)

• Continuetoidentifyenergysavingopportunitiesinour

operations

• Heighten efforts in encouraging environmental

awareness amongst our employees through the Go

Green Workplace Campaign

• Motivate employees to participate in environment-

related voluntary activities through the HH Social Club

• Print thehardcopy versionof our annual report using

paper certified by the Forest Stewardship Council

Heyuan Power Plant: Minimising impact through air Pollution technology

The Heyuan Power Plant is one of the most efficient and

environmentally responsible coal-fired power plants in Guangdong

Province. It is equipped with flue gas desulphurisation, a technology

used to reduce sulphur dioxide (SO2) from the exhaust flue gases

of fossil fuel power plants. We also ensure minimal pollutant

formation and reduction of NOx emissions by using low NOx burners.

Discharged smoke is treated with various engineering processes

including electrostatic precipitation to remove dust before releasing

it through a 210-metre high chimney. In order to prevent coal dust

scattering to surrounding areas, two 120 metre diameter closed

coal yards were built for housing the fuel. We have an online

emission monitoring system in place for controlling SO2, NOx and

dust emissions.

indoor air Quality

Water NoiseWe are committed to minimising the noise levels to which our

employees and neighbours are subjected. When planning new

developments, we implement advanced noise abatement practices.

As far as practicable we apply measures at our construction sites

including the use of hydraulic crushers instead of conventional

excavator mounted breakers, wire saws for concrete cutting instead

of excavator mounted breakers, acoustic enclosures for hand-held

breakers and generators, acoustic barriers for large equipment, and

the disposal of rubble through plastic chutes.

For our power plant operation, we opt for low-noise equipment

wherever possible, otherwise noise barriers or silencers are installed.

To minimise highway traffic noise, we have installed absorptive

noise barrier walls. We also use trees as natural noise barriers.

Waste ManagementThe proper handling of waste generated through our operations

can significantly reduce the impact on the environment. We have

initiatives in place to reduce, recycle and reuse waste.

Property and Hospitality

In selected properties we recycle paper, metal, plastic, batteries,

electronics and fluorescent lamps. To help reduce the quantity

of waste generated during festive seasons, we initiate recycling

programmes for mooncake and pudding boxes at Mid-Autumn

Festival and Chinese New Year. At Christmas, all the trees in Panda

Hotel were decorated with recycled materials that we collected such

as wine bottles, tissue rolls, plastic bottles, goblets, cans and other

resources to send out an eco-friendly message to our guests. KITEC

joined the programme on Source Separation of Commercial and

Industrial Waste run by the Environmental Protection Department in

early 2011. From July 2010 until May 2011, 175 tonnes of recycled

paper was collected on KITEC premises, representing 85% of the total

paper recycled on our premises, amounting to 205 tonnes.

Food Waste

Since November 2010, our hospitality outlets in Panda Hotel,

and Xi Shan and Menu at KITEC have adopted a new food waste

collection and recycling scheme. The food waste collected at these

three sites is recycled into animal feed, reducing its impact on the

environment. From the start of the programme to June 2011, we

collected a total of 348,480 litres of food waste, the equivalent

of 1,450 waste containers1. To date 94% of our restaurants have

implemented this scheme.

Residential buildings Waste

We work with our residents to reduce waste at source in our managed

residential estates. Throughout the reporting year, residents of Villa

Lotto, Hoi Kwong Court, and Broadview Villa were involved in the

recycling of computers, electronic and electrical equipment, books,

plastic and used clothes. Villa Lotto and Broadview Villa have both

received a “Class of Excellence” Wastewi$e Label.

Power Plant Waste

Heyuan Power Plant reuses the different types of solid waste that

it generates. 86,000 tonnes of gypsum were reused in producing

ceiling boards and 335,000 tonnes of pulverised fuel ash were

reused as a material component for concrete.

1 With a capacity of 240 litres

We have adopted a series of measures to improve indoor air

quality in our properties so as to offer a quality environment to

our tenants and visitors. At Hopewell Centre, the primary air unit is

periodically replaced to ensure that fresh air delivery is adequate

with no contamination. Air purifying machines were installed in all

passenger lifts to improve indoor air quality. Hopewell Centre was

awarded with the Indoor Air Quality Certificate (Good Class) by the

Environmental Protection Department. To reduce toxin levels in

indoor environments, we use low volatile organic compound (VOC)

paints in our buildings.

clean air education

We make efforts to promote initiatives to improve the air quality in

Hong Kong. We partnered with Clean Air Network and conducted a

clean air educational seminar for staff members in June 2011. Based

on positive feedback, we decided to continue running the seminar

for different subsidiaries in the second half of 2011. We are currently

considering the development of community education programmes

on the topic of “Clean Air”.

Initiatives have been implemented in our properties to reduce water

consumption, such as automatic water taps and dual flush toilets.

Water saving initiatives in the common areas of Panda Place led

to an almost 50% reduction in our water bill. We promote water

conservation and encourage users of public toilets in the shopping

malls to save water by posting water saving tips.

In 2010, Hopewell Centre and QRE Plaza were recognised as

complying with the requirements of the “Quality Water Recognition

Scheme for Buildings” initiated by the Water Supplies Department.

Emphasis is placed on the proper maintenance of plumbing systems

for ensuring water quality. We will continue to ensure water quality

by cleaning water tanks quarterly and conducting water sampling.

Wastewater treatment

Heyuan Power Plant has been designed to maximise the reduction

of water consumption from the Dongjiang River and the reduction

of wastewater produced during operations by recycling and reusing

treated water. It was also the first power plant equipped with a flue

gas desulphurisation wastewater treatment system in Mainland

China. The wastewater technology is implemented to achieve the

target of zero discharge of wastewater. By treating wastewater, the

upper stream of the Dongjiang River, which supplies fresh water to

Hong Kong, is not affected by our operations.

On our highways, we collect storm water run-off through a pipe

system and transport it to local water treatment facilities to ensure

better wastewater quality.




case Study (1): Sustainability begins with DesignHopewell Centre is the Group’s flagship property, with 66 storeys of

office space, a shopping arcade and car parking facilities. Its facilities

and services are continuously enhanced and more than HK$140

million was invested in refurbishment programmes over the past

10 years. Hopewell Centre obtained ISO 14001 certification for its

approach to environmental management in 2008.

Energy Efficiency in Design and Office managementHopewell Centre was one of the very few Hong Kong buildings

constructed in the 1980s to be recognised for its “Good Energy

Performance” under The Hong Kong Energy Efficiency Registration

Scheme for Buildings launched by the Electrical and Mechanical

Services Department. This was made possible as environmental

considerations were taken into account at the design and

construction stages.

Design features to enhance efficiency include:

• Acirculardesigncomplementedbythecolumnfreestructure

which ensures layout, materials and energy efficiency are

maximised. The circular shape ensures heat is not absorbed

• The structural wall system which allows better solar heat

reflection

• An air-conditioning system using primary and secondary

circuit systems which results in energy savings

Recent building enhancement work was performed to improve the

energy efficiency of Hopewell Centre through the application of

energy saving solutions. The investment leads to cost savings over

time: Hopewell Centre’s electricity cost is HK$1 per sq. ft. compared

to HK$1.7 per sq. ft. in other buildings. The implemented energy

saving initiatives led to savings of HK$1.4 million despite increased

electricity tariffs.

Energy saving retrofit initiatives include:

• Replacementofexistinglightinginofficetowerswithfluorescent

tubes and LED light tubes of lower power consumption leading

to energy savings ranging from 20% to 30%

• AdoptionofenergyefficientLEDlightingforallcommonareas

• Conversionoftheair-conditioningsystemfromair-cooledtoa

water cooled system

• Retrofit of the chiller plant to increase efficiency and reduce

power consumption during part-load operation

• Upgradeofelevators’drivesandmotors

• Installationofsensorautomaticcontrolsforthelightingsystem

We realise that significant energy savings can be achieved through

simple operational changes, such as increasing the chilled water

temperature in the air-conditioning system from 5.5oC to 7oC,

reducing the water flow rate at low-peak hours. These measures

were the main source of the 2.8% or 445MWh energy consumption

reduction in 2010/11 compared to 2009/10.

2002/03 2006/072004/05 2008/092003/04 2007/082005/06 2009/10 2010/11

17657.6417719.9 16582.8217178.35

17738.95

16135.9315690.87

19385.6

19957.2

Hopewell centre energy consumption (MWh)

case Story (2): Promoting an eco-efficient Lifestyle

Broadwood Twelve, a 45–storey luxury apartment building in

Happy Valley, is HHL’s latest residential property development

demonstrating how we integrated our sustainability values into

building design and management.

Environmentally Friendly Building DesignFrom the outset, we have integrated environmental considerations

into the building design. Green features of the building include:

• Naturalairventilation

• Increased day light penetration and reduced need for

electricity for lighting

• Low-emissivedoubleglazingonwindowsofthemainfaçade

reducing the amount of cooling needed

• Energy efficient fittings and lighting and energy saving

features installed in the lift operation system

• Electricvehiclechargingstations

• Consultation with experts on landscape design to ensure

conservation of the natural greenery

• Askygardenandapodiumgardentohelpbalancethebuilding

microclimate

Eco-efficient Building ManagementIn managing the building, we put great emphasis on promoting

an eco-efficient lifestyle to our residents. All units are finished

with high quality materials and fittings with sustainable and

practical considerations taken into account. Thoughtful design,

ready-to-use condition avoids redecoration, reducing hassle and

waste. Even for show flats, we furnished them with the original

fine wooden flooring and all original fittings and finishes of the

bathrooms and kitchen so as to minimise redecoration when they

are eventually sold.

To ensure the ongoing management of the building to be conducted

in a sustainable way, we have set up stringent environment

management guidelines. The facility and property management of

Broadwood Twelve has complied with the requirements of the ISO

14001 environmental management system.

Engaging Residents in Green InitiativesWe endeavour to increase the environmental awareness of our

residents. Green living news will be updated periodically and displayed

on our e-notice board to reduce printing and paper usage. We also

provide collection facilities for the recycling of paper, plastic, metals,

electronics, batteries and fluorescent lamps. All Broadwood Twelve

residences are invited to participate in the programme on Source

Separation of Waste promoted by the Hong Kong Environmental

Campaign Committee and Environmental Protection Department.

This encourages waste separation and expands on the variety of

recyclables to be recovered. To facilitate residents to adopt green

transportation, 20 EV chargers have been installed in its car park.




case Study (3): guangzhou-Shenzhen Superhighway

Following an independent energy audit conducted for the

operations of the superhighway joint venture company in April

2010, we have implemented the following recommended energy

saving measures:

Facilities Adminis- trative

building

Traffic control centre

Guest house

building

Living quarters

Energy saving measures

Maintenance and upgrade of lighting equipment (replaced T8 light fixtures with more energy efficient ones)

Hot drinking water supply system (installed a timer with an auto turn off function for after office hours)

Shutting down partial facilities

Sustained Efforts in Promoting Traffic SafetyWe have always put great emphasis on traffic safety and have been

upgrading and enhancing the safety and service facilities along the

GS Superhighway, aiming to provide drivers with a safe, comfortable

and speedy highway.

In July 2008, together with our joint venture company, we co-

organised a large-scale traffic safety education campaign with the

Traffic Management Department of Guangdong Provincial Public

gS Superhighway average daily traffic(No. of vehicles in thousands)

400

350

300

250

200

150

100

50

0 2007/08 2008/09 2009/10 2010/11

320 314

352

392

actions for 2011/12

• Install 66 additional automatic card-issuing lanes to

further enhance operational efficiency

• Develop a website to provide customers with traffic

updates

• Partner with a mobile communications company in

Mainland China to provide customers with an sms service

informing them of latest updates

Security Bureau. A total of 110,000 copies of the Chinese literature

“Analects of Confucius”, which combines lessons of Confucius and

road safety tips, were distributed to drivers and the public free

of charge. We organized safety campaigns to educate drivers and

invited local police to join our campaigns. We also provide yearly

road safety training to the drivers of our own car fleet.

resulting from frequent maintenance works. The highway design

comes with six lanes rather than four lanes in both directions in order

to prepare for growing demands of highway as well as solving the

congestion caused by roadworks, accidents, bad weather conditions

and road closures.

Congestion increases carbon emissions and therefore we closely

monitor the traffic activities and take necessary improvement works

to maintain a high level of service. We endeavour to relieve traffic

pressure and climate impacts by widening our highway. The busy

3.5 km road section between Wudianmei and Taiping interchange

was widened from six to ten lanes in dual directions in June 2011.

The GS Superhighway JV will begin widening the approximately

2 km section between the Hezhou and Fuyong interchanges from 8 to

10 lanes in dual directions in the coming months.

With operations started in 1994, the 122.8-km Guangzhou-Shenzhen

(GS) Superhighway is currently the only highway that connects the

four major cities of Guangzhou, Dongguan, Shenzhen and Hong

Kong. From the outset, we anticipated the growing demand for

operational efficiency and the Superhighway was built and managed

in a way that prepares for this. It is one of the busiest highways in

Mainland China and since its operation, it has helped to boost the

economic development of the nearby cities.

At the planning stage, we worked with local governments and

communities regarding the needs of people living in close proximity

to the highway and thus facilitated the socio-economic growth

of the area. We continue to work with these stakeholders on

road planning and cost sharing to enhance green areas along

the highway.

Energy Reduction InitiativesThe GS Superhighway actively promotes low-carbon operations and

has adopted various methods to reduce its energy consumption.

As lighting is the main source of energy consumption in our

operations, energy efficient lighting systems have been installed

in the tunnel section, toll plazas and office buildings. Replacing

the tunnel’s lighting systems has led to 40 to 60% reduction of

the amount of electricity consumed. In the next year, we will

install an energy efficient lighting system along the whole GS

Superhighway.

For our own car fleet of 160 vehicles, we constantly monitor fuel

consumption and we will replace part of the fleet with hybrid

vehicles later in 2011. We are also studying the possibility of

installing electric vehicle charging stations along the highway.

We review our facilities and operations on an on-going basis to

identify opportunities to increase energy efficiency.

Electronic changeable message signboards and traffic surveillance

cameras are installed along the main alignment and at all toll plazas.

We installed flashing road stubs to alert drivers at busy entry and exit

ramps. An intelligent traffic management system jointly developed with

the Traffic Management Department of Guangdong Provincial Public

Security Bureau has been put into operation along the GS Superhighway

since 2009. As the first of its kind in Guangdong, this system strengthens

traffic surveillance capabilities, enhances the efficiency of rescue

responses and accident handling, and also minimises the congestion

and casualty losses caused by traffic accidents.

Managing Traffic and Congestion To reduce the average length of time that vehicles spend at highway

exits and entrances, we have set up non-stop electronic toll collection

lanes and automatic card-issuing lanes. We are among the first batch

of highway operators in Guangdong Province to install an electronic

toll collection system to help vehicles enter the highway more quickly.

Within the next year, we plan to further install 66 automatic card-

issuing lanes. We also plan to develop a website to provide customers

with traffic updates on our highway and partner with a mobile

communications company in Mainland China to provide customers

with an SMS service informing them of any traffic problems on the

highway we manage.

As the demand for passenger and freight transportation continues to

grow with the strong economic vitality of Guangdong Province, the

average daily traffic volume of the GS Superhighway increased by

11% in 2010/11. To maintain the high operational efficiency of our

highway network, we make continuous efforts to relieve congestion.

During the design and construction stages of our projects, we foresee

strong growth in traffic volume and thus incorporate features that can

increase traffic efficiency and reduce congestion at the beginning. For

instance, the thickness of the road base we built is over one metre,

compared to the standard of 70 to 80 cm for highways in Mainland

China. This increases road durability and helps avoid congestion




Project details:

• Ultra-supercriticalcoal-firedpowerplant

• Two600MWgeneratingunits

• Supplies electricity to Guangdong Province, particularly

Heyuan and Huizhou

• Commencedcommercialoperationsin2009

Reduced Carbon EmissionsGiven the rapid development of the Chinese economy, we recognise

that coal will remain an important part of the nation’s fuel mix.

However, with the impact on climate change in mind, we are using

coal-fired combustion technology that can achieve higher efficiencies

than conventional coal-powered units, resulting in significant carbon

emissions reductions. An ultra-supercritical coal-fired plant consumes

less coal than existing plants to create the same amount of electricity

and emits less carbon dioxide per kilowatt generated. The plant is also

equipped with flue gas desulphurisation technology, low NOx burner and

electrostatic precipitation and an online emission monitoring system for

controlling SO2, NOx and dust emissions.

Community DevelopmentThe local community where the power plant is located is generally

supportive of the development, as it has helped to boost Heyuan‘s

economy. The Heyuan Power Plant has been identified as one of the

poverty alleviation projects supported by the Shenzhen Government.

This project of about RMB5.2 billion is the largest investment project

in Heyuan and the power plant provides a stable electricity supply

to the local community. We collaborate with Da Tong Coal Mining

Group, one of our long-term coal suppliers, in a project that supports

coal mining workers and their children to access university education.

• 7% coal saving compared to average industry practice

— can generate 1kWh electricity with 312g of coal

(2010/11) while conventional power plants need in

average 335g of coal (2010)

• 7% less co2 emitted than the average coal plant currently

installed in Mainland China

• 0.18 million tonnes of coal and 14 million cubic

meters of water saved every year compared to

conventional coal power plants, based on 2010/11

electricity sent out of 7,666 GWh

Heyuan Power Plant was formed under a joint venture between

H-Power Investor (HK) Limited, a subsidiary of Hopewell Holdings

Limited, and the Shenzhen Energy Group. It was named “SEC & Hopewell

Power (Heyuan) Co., Ltd.”. With low coal and water consumption,

the power plant is one of the most efficient and environmentally

responsible coal-fired power plants in Guangdong Province.

In 2010, the power plant was granted the “China Environmental

Friendly Enterprise” Award by the Chinese Government after an

official environmental audit conducted by the All-China Environment

Federation under the Ministry of Environmental Protection of

Mainland China. It was also awarded a Silver Medal in “National High

Quality Project” by the China Association of Construction Enterprise

Management, based on its environmental credentials.

case Study (4): Promoting clean coal technologies and Responsible Labour Practices

* Source: Website of China Shenhua Energy Company Ltd., Website of China National Coal Group Corp., Website of State-owned Assets Supervision and Administration Commission of the State Council, Website of China Coal information Institute & National Institute for Occupational Safety (CII & NIOS), 2010 Sustainability Report of Inner Mongolia Yitai Coal Co. Ltd., Website of State Administration of Work Safety, Energy Information Administration and United States Department of Labour

Young Staff DevelopmentHeyuan Power Plant trains graduates every year to develop their

work skills. Over 80 fresh graduates were recruited since 2008. The

power plant has a high number of young employees: one half of

the total number of employees are under 30 years old.

To address the needs of this employee category, the SEC & Hopewell

Power (Heyuan) Co., Ltd. Committee of the Communist Youth League

of China was formed. The Committee serves as a platform for young

staff to organise various activities, such as sports, community services

and leadership training programmes. The purpose of the Committee

is to encourage participation in team building and social activities.

The participation rate of the activities organised by the Committee is

high. For instance, over 200 employees of the power plant participated

in a marathon it organised.

Employee Safety

Safety in the Supply ChainCoal mining safety has long been a major concern in Mainland China,

where the average industrial fatality rate was 0.749 per million tons

of coal in 2010.

To ensure appropriate safety measures are in place down our supply

chain, we have chosen to work only with reputable suppliers with

low accident risk rates and good safety records.

Supplier Fatality rate per million tonnes of coal (2010)*

China Shenhua Energy Company Ltd. 0.0123

China National Coal Group Corp. 0.032

Datong Coal Mine Group Company 0.059

Inner Mongolia Yitai Coal Co. Ltd. 0

the committee will continue to support young employees to excel in the workplace, serve the community and promote their all-round development.Zi Qiao TANG, President of the SEC & Hopewell Power (Heyuan) Co.,

Ltd. Committee of the Communist Youth League of China

country Fatality rate per million tonnes of coal*

China (2010) 0.749

USA (2009) 0.0153

Heyuan Power Plant is now adopting the National Occupational

Safety Association (NOSA) system for the integrated management

of safety, health and environment in a power plant. NOSA is a

global standard designed to manage the risk to which individuals,

facilities, equipment and business environments are exposed and

is implemented on the basis of programmes incorporated into the

daily activities of each worker. To cater to employees’ medical needs,

medical insurance is extended to power plant employees and also

their children.

ouR PeoPLe


our People

Upgrading Physical Workplace ConditionsOur Management ApproachHuman resources issues are managed by the respective

departments of HHL, its subsidiaries and joint ventures.

At HHL this is headed by an Executive Director.

Our Corporate Code of Conduct sets out our principles for

acting responsibly in the course of our business. This Code

of Conduct applies to all employees under the Group’s

employment and includes issues related to conflicts of

interest, non-discrimination, equal opportunities and diversity,

workplace harassment, disciplinary issues, complaints and

dispute resolution procedures.

To ensure that employees are aware of these policies and

their implications they are communicated via appropriate

channels including orientation and induction sessions and

on our Group’s Intranet. All employees are required to sign

an acknowledgement form appended to the Code of Conduct

upon appointment.

Annual performance appraisals are conducted for all our

permanent employees. Feedback and recommendations

from employees will be channelled, via Human Resources,

to the Executive Directors.

Our PeopleWe regard our employees as our greatest asset. We endeavour to

provide good benefits, promote work-life balance, develop talent

and reinforce health and safety awareness amongst our staff. By

enhancing communication with our employees, we aim to cultivate

a sustainable workplace and responsible corporate culture.

As of 30 June 2011, the Group had 1,378 full-time employees in

Hong Kong and Mainland China, and 3,604 workers employed by

our highway and power plant joint venture companies in Mainland

China. Both the Group and joint venture companies ensure all

employees are paid beyond the legally required minimum wage

and there is no gender-based salary discrimination between men

and women working in similar jobs. Our Group’s senior management

work closely with the power plant partner to ensure that all workers

employed in the joint venture operation are treated fairly.

As an Equal Opportunities Employer, the Group is committed to

eliminating discrimination relating to disability, gender, marital

status, pregnancy, age, family status, sexual orientation and race.

We have adopted formal mechanisms through which employees

can make a complaint of discrimination or harassment. Grievance

or complaint procedures are outlined in the Employment Handbook

provided to staff on their first day of employment.

Employee Benefits and WelfareWe offer competitive remuneration packages to employees based

on prevailing market practices and individual performance. Share

options and share award schemes are provided to employees as

incentives. For details of the schemes, please refer to the Report

of the Directors in our Annual Report 2010/11. The Group offers

discretionary bonuses to employees based on individual and

business performance.

We provide medical insurance coverage to all staff and offer group

personal insurance cover to senior staff. We provide marriage,

compassionate, and examination leave on a case by case basis. We

allow people to rejoin us after fulfilling family obligations. With the

approval of respective divisional or department heads, employees

below managerial grade are eligible for compensation leave.

We have also launched the “Beyond the Expectations” Reward

Programme to recognise employees who demonstrate devotion

to their work and loyalty to the company. Incentives will include

overseas trips and holiday tours.

Nurturing Generation Y Employees and ManagersWe provide learning opportunities and career development which cater

to Generation Y employees. Internships and temporary positions are

offered to young people to enable them to gain valuable hands-on

exposure in our business, while our two-year Management Trainee

Programme focuses on long-term career development.

We have established a mentoring scheme, where experienced managers

are assigned to guide each trainee. Mentors offer close guidance and

coaching. Trainees also receive appraisals by their supervisors so as to

ensure that they receive regular feedback for improvement.

We provide three to four management trainee positions every year.

To keep both current trainees and prospective candidates abreast

of latest recruitment news and activities of the trainee programme,

our management trainees have set up a Facebook page containing

information about the programme.

We completed the renovation of the Group’s offices at Hopewell Centre

to offer those who work in them an enhanced working environment.

Oasis, a landscape pool garden on the 18th floor, is accessible to our

staff and Hopewell Centre office tenants during their breaks.

Between March and May 2011, Heyuan Power Plant renovated the

canteen of the site to provide a more comfortable dining environment

for the workers. The canteen is now fully air-conditioned and spacious

enough to accommodate 200 workers comfortably. Workers can also

watch news from the newly installed LCD televisions during their meal

hours. They are provided with subsidised meals every day and as the

power plant is 30 minutes’ drive away from the staff dormitory, free

shuttle buses are provided.

Promoting Work-Life BalanceWork-life balance is instrumental to maintaining a productive, healthy

and cohesive workforce. The Group launched a five-day work week

policy in March 2010, going beyond standard practice in Hong Kong.

For our frontline staff, we provide an alternate Saturday off arrangement.

Through our Employee Care Programme, we organise company-

sponsored activities, including bowling competitions, outings, dinner

gatherings and staff parties. All these serve to encourage interaction

between employees outside working hours.

Management trainees are important “catalysts” for corporate transformation. From my interactions with them, i was inspired by their energy and aspirations.Richard Cho Wa LAW, Company Secretary, Hopewell Holdings Limited and

Hopewell Highway Infrastructure Limited.

QueenlyHoiMeiLAM,ManagementTrainee2009,SeniorOfficer—

Asset Management, Hopewell Asset Management Limited

We have received constant guidance from top management and been exposed to a wide spectrum of businesses and projects to levate our potential to the fullest. Hopewell encourages us to become pillars of the society.

our People


our People

Our training programmes are designed to respond to the knowledge

and skills gaps identified during performance appraisals. We utilise

a Training Needs Identification Matrix that outlines the various

training courses that are targeted at staff at three different levels,

namely Management, Operational and Technical levels. Apart from

having our internal staff to conduct training sessions, external

speakers or outside training providers are also invited.

We gain feedback from our employees on the usefulness of training

courses and seminars held, which facilitates our planning for future

training programmes. We also support our employees who would

like to take job-related courses which are not organised by the

Group by providing training subsidies and reimbursements, subject

to the fulfilment of the course requirements.

Four of our employees, including a quantity surveyor, electrical

engineer, project manager, and assistant project manager, have

successfully completed the Building Environmental Assessment

Method Professionals (BEAM Pro) course and registered as Accredited

BEAM Pro. The course fee was fully sponsored by the Group as our

commitment to support green building design.

Reinforcing Health and Safety AwarenessThe health and safety of our employees is of paramount importance.

We are vigilant in addressing workplace health, safety and

environmental risks, and adopt relevant measures to increase the

awareness of our employees.

actions for 2011/12

• Develop a centralised data collection system that will

capture statistics on training, staff development and

other welfare programmes across all of our businesses

• Incorporate staff into our stakeholder engagement

process

• EnrichtheprogrammesoftheCorporateVolunteerTeam

to encourage active participation

go green WorkplaceTo instil the basic “3R”

concept of “Reduce, Reuse,

Recycle” amongst employees,

we launched a “Go Green

Workplace” programme. We

placed recycling bins at our

offices at Hopewell Centre

to allow our staff to dispose

of their waste appropriately.

Green Captains in each

of our business units and

departments encourage their

colleagues to categorise their

waste before disposal. An “Outstanding Green Performance”

award is organised to recognise the department with the

best performance. We have also launched a Green Column in

the Intranet to allow our staff to exchange their ideas about

environmental protection and their experience in the activities

that they have participated in.

Managing Employee Stress New employees in our properties are given comprehensive safety

guidelines. We have put in place fire safety measures in all our

premises and we work closely with the Fire Service Department of

Hong Kong in organising fire safety seminars, fire drills and training

of Fire Safety Ambassadors (FSA). To safeguard buildings where our

employees work, we conduct regular inspections of our premises

and carry out fire safety improvement works whenever necessary.

As retail trades, restaurants and hotels generally report the highest

number of workplace injuries in Hong Kong, we also place great

importance on worker safety in these functions. Employees working

at our restaurants or kitchens are made aware of the safety issues in

their respective workplaces through training and safety guidelines.

A total of over HK$200,000 was spent on compensation to all the

injured workers. Major causes of injuries included slippery floors,

mishandling of hot food, improper use of tools, improper lifting

techniques, faulty equipment, and carelessness. To minimise similar

injuries in the future, we have carried out skid-proof improvement

works, inspected all equipment or devices that can potentially cause

injury, reminded employees to follow our guidelines for proper use

of tools, and strengthened occupational safety training. We also

organise First Aid Care training in the workplace to educate staff on

basic first aid techniques which they can use to help themselves or

others when emergencies happen.

Employees who need to enter construction sites are required to

have a Construction Industry Safety Training Certificate (Safety Card).

This training ensures employees are aware of recent developments

in safety legislation and safety and health issues related to

construction work. Personal protective equipment is made available

on site for contractors, one of the conditions required by us during

the tendering process.

In addition to occupational safety concerns, we promote the general

health of our employees. In our property division, we have a Health

and Safety Committee made up of 13 staff members. The mission of the

committee is to enhance health and safety awareness. A number of talks

on various health issues, including stress management and nutrition,

were organised. Furthermore, we held talks on breast and prostate

cancers, given the increased prevalence of these diseases in Hong Kong.

For a healthier lifestyle, we encourage our employees to participate in

sports events (please refer to Customers and Communities section for

more details) as well as activities of the Bowling and Badminton interest

groups. Free bowling classes coached by Ms. Vanessa FUNG, Hong Kong

Bowling Team Representative, were organised for staff members as part

of our efforts in encouraging staff to participate in sports.

Enhancing Employee Engagement Involving our employees in environment-based community

initiatives is an effective way to increase their awareness of social

and environmental issues. To cultivate a responsible culture within

the workplace, we have a Corporate Volunteer Team which aims

to increase our impact on the community. The team currently

comprises 73 staff members who have actively supported initiatives

organised by us and our community partners.

We have selected a Green Captain from each business unit and

department to take the lead in influencing other colleagues to

participate in environmental initiatives.

a total of 52 training sessions, seminars, and workshops were held during the reporting year:

Occupational health and safety and general health training

• Firesafety• Firstaidatworkplace• Occupationalsafetyinthecateringindustry

• ConstructionIndustrySafetyTrainingCertificate• StressManagement• HealthyDiet

Regulations and voluntary codes • RaceDiscriminationOrdinance• PreventionofbriberybyICAC (Independent Commission Against Corruption)• ISOstandards(ISO26000onSocialResponsibility and ISO 31000 on Risk Management)

• Safetyregulationsrelatedto the catering industry• MinimumWageOrdinanceandimplications for human resources • Informationsecurityawareness

Soft-skills training • Presentationskills• Teambuilding• Timemanagement

• Businessandsocialetiquette• ProfessionalImagetraining, dressing strategies

Managerial training • Projectmanagement• Keyperformanceindicatorssetting• Problemsolvinganddecisionmaking• Dataprotectionforhumanresourcepractitioners

• CSRworkshop• Handlingemployeerelations• Mediahandling

Customer service skill training • Telephonemanners• OralMandarinandEnglishlanguage

• Communicationskills• Dealingwithdifficultcustomers

Technical training • Glasscleaning• Forklifttruckhandling

• Hotelcleaningandmaintenance• CertificateinWaterQualityControl for swimming pools

Helping employees to cope with stress is important. In 2010/11,

we invited speakers to discuss stress management issues with our

employees and launched an Employee Assistance Programme (EAP),

which provides hotline and face-to-face professional counselling.

Strengthening Talent DevelopmentWe offer a variety of training and development programmes to

enhance productivity and unleash the potential of our employees

to prepare for their future roles. In addition to formal training

programmes, we also provide on-the-job training and seminars to

relevant employees.

cuStoMeRS anD coMMunitieS


customers and communities


We believe that contributing to the local communities in which

we operate is just as important as excelling in customer service.

Communities are where our customers come from. Indeed, they

are inseparable.

海港中心

灣景中心大廈新鴻基中心

碼頭

QREPlaza

中環廣場

香港會議展覽中心新翼Hong Kong Convention & Exhibition Centre

(New Wing)

麥加力歌街McGregor Street

利東街項目Lee Tung Street ProjectQueen’s Road East 皇后大道東

太原街Tai Yuen Street

Johnston Road莊士敦道

建議於利東街興建行人隧道

建議興建行人天橋連接胡忠大廈及GARDENEast

現有行人天橋

建議之步行通隧道段

建議之行人天橋

建議之行車天橋附設之行人路

建議之步行街

現有行人天橋（步行通範圍）Existing footbridge

Proposed pedestrian subway

Proposed footbridge

Proposed �yover-cum-footbridge

Proposed pedestrian street

Existing footbridge (part of the Pedestrian Walkway)

“步行通”Pedestrian Walkway

建議擴建胡忠公園

Proposed pedestrian subway at Lee Tung Street

Proposed footbridge linking Wu Chung House and GARDENEast

Proposed extension of Wu Chung Park

GARDENEast花園

合和中心二期

Hopewell Centre II

Hopewell Centre

Wu Chung Park

Green area

Kennedy Road

堅尼地道

博覽道中

會議道

Expo Drive Central

Convention Avenue

Harbour Road

Gloucester Road告士打道

港灣道

Luar

d Ro

ad盧押道

Southorn Playground

Wan Chai MTR Station

修頓球場

合和中心

胡忠公園

Wu Chung House胡忠大廈

灣仔港鐵站

Hennessy Road

Lockhart Road

Flem

ing

Road

菲林明道

軒尼詩道

駱克道

Ja�e Road

Central Plaza

謝斐道

Hong Kong Convention &Exhibition Centre (O�ce Tower)

Great Eagle Centre Harbour Centre

ChinaResources Building

Causeway CentreSun Hung Kai Centre

Stew

art R

oad

Wanchai Road

灣仔道

史釗域道

香港會議展覽中心辦公大樓鷹君中心

華潤大廈

Pier

Our Management ApproachcustomersOur quality control policy for property and facility

management highlights the importance of customer

experience, customer-oriented and quality services, team

work and continual improvement. The property and facility

management services of all commercial properties in the

management portfolio of Hopewell Real Estate Agency

Ltd., a wholly owned subsidiary of HHL, have satisfied the

requirements of the ISO 9001 certification system. Customer

complaints are promptly investigated and adequate remedial

actions are put in place to redress the situation and prevent

or minimise their recurrences in the future.

community investment We track the success of our community initiatives primarily

through stakeholder feedback. We are working towards

developing a more systematic way of managing our

community involvement initiatives, including the involvement

of our volunteer team, identification of a focus in community

programmes, and selecting longer term partnerships with

NGOs to provide greater positive impacts, especially in youth

development. We also provide help through cash or in-kind

donations in response to disasters.

Revitalisation of Wan ChaiAs a pioneer in the urban renewal of Wan Chai, we started the

development of Hopewell Centre in the early 1970s. With its

completion in 1980, the associated business activities have greatly

enhanced the development of the area. The district has gradually

been transformed into a major business centre. As a local business

operating in Wan Chai for over 40 years, we consider the needs of our

local community as a priority for all of our development projects. Our

aim is not only to develop buildings, but be a community oriented

partner that can offer convenience and uplift the local surroundings

of our business operations, thus benefitting people living, working,

commuting and doing business in the area. Our other property

developments in Wan Chai have contributed to the creation of a

dining, shopping and entertainment hub with footbridges between

buildings enhancing the safety and convenience of pedestrians.

Queen’s Road East is now one of Hong Kong’s major business centres.

We continue to position Wan Chai as a vibrant commercial district

through our efforts in local community renovation, refurbishment,

and tenant remixing. We proposed the building of a 1km pedestrian

walkway in Wan Chai encompassing a series of subways and

footbridges linking Wan Chai South to Wan Chai North. We look

forwardtothecompletionofourtwonewprojects—LeeTungStreet

Project and Hopewell Centre II, which will further strengthen Wan

Chai as a commercial and community friendly hub, by 2016.

We strive to strike a balance between the interests of our

community and other stakeholders. For example, to support

the Hong Kong Government’s initiatives in strengthening local

economy after the SARS incident, decorative LED lighting on

the exterior of Hopewell Centre is turned on for the “Symphony

of Lights” show every night to help promote tourism and the

skyline around Victoria Harbour. However, in response to residents’

feedback, we decided to turn off the lighting not facing the

harbour each night after the show to reduce light pollution and

disturbance to the neighbourhood.

Balancing Heritage Needs

Lee tung Street Project

Lee Tung Street Project began construction in May 2010. It is

an Urban Renewal Authority (URA) redevelopment project, in

cooperation with Sino Land Company Limited on a 50:50 joint

venture basis, at a total estimated investment cost of HK$9 billion.

Combining our long-term presence and experience in Wan Chai

with Sino Land’s strong track record in residential development and

experience in URA projects, we believe the synergy better serves

the local community.





The Lee Tung Street and McGregor Street area is widely known

as an iconic landmark with rich historical value. The project will

highlight its unique and distinctive characteristics by incorporating

redevelopment, heritage conservation, revitalisation and green

elements. A cluster of three historic buildings along Queen’s Road

East will be revitalised.

nam koo terrace

In response to increased stakeholder interest in the conservation of

heritage buildings and historic sites in Hong Kong, we will conserve

and revitalise Nam Koo Terrace on Ship Street, a Grade I historic

building with over 90 years of history.

Promoting Sustainable Growth: Hopewell Centre II

Hopewell Centre II, which will feature Hong Kong Island’s first

conference hotel, is targeted to start construction before the

end of 2011 with a planned completion in 2016. Taking local

stakeholders’ views into consideration, we are implementing a

revised development plan that strikes a balance between economic

development and environmental protection. Under the plan, we

have reduced the height of the conference hotel and reduced the

total floor area by 31%. The total planned investment for Hopewell

Centre II is around HK$5 billion, including a HK$400 million road

improvement plan, a green park open to the public and an extensive

tree-planting plan.

For the road improvement scheme, 10% of the land in the site will

be reserved for the expansion of the entrance of Hopewell Centre II

and the pedestrian pavement on Kennedy Road and the pavement

near the Hopewell Centre on Queen’s Road East will be converted

into an extra lane for the West bound traffic. The traffic of Queen’s

Road East / Spring Garden Lane will be improved significantly. Due to

concerns from the public relating to the conservation of various tree

species, we plan to invest about HK$20 million in a comprehensive

tree conservation, plantation and transplantation programme.

We estimate that the Hopewell Centre II project will create 4,000

jobs, including the construction and interior decoration stages as

well as positions held at the hotel and retail shops.

Facilitating a Barrier-Free Environment

Ensuring the Health and Safety of Customers and CommunitiesWhile our concern for the safety of pedestrians in Hong Kong extends

to the building of footbridges and walkways for public use, as a

highway developer, we are also concerned about the safety of the

drivers using our highways in Mainland China (for details, please

refer to the GS Superhighway Case Study).

In our hospitality business, we are particularly concerned about food

safety. At Panda Hotel, we conduct monthly laboratory tests for high

risk food items and request suppliers to provide health certificates

from relevant authorities.

All our restaurants in Panda Hotel have received Hong Kong Tourism

Board’s Quality Tourism Services (QTS) accreditation, recognising our

high product and service standards. The scheme ensures genuine

products with clearly displayed prices, clear display of product

information and frontline staff with extensive product knowledge.

We ensure all 241 of our own security personnel are aware of

their legal rights, particularly in relation to the use of force that

concerns individual safety. All of them are qualified holders of security

personnel permits and have fulfilled in-house and external training

programmes. We also invite an external professional body to conduct

16 hours of basic security service training to refresh our security staff’s

knowledge on their rights, patrol skills and relevant regulations.

In 2010/11, there was no incident of regulatory or voluntary codes

violation concerning the safety of our property and food offered to

our customers.

Enhancing Trust and CredibilityWe adhere to the Personal Data (Privacy) Ordinance to ensure

safety of our hotel guests’ personal data. Personal data obtained

from our guests are treated as strictly confidential and used for

communication purposes with Panda Hotel only.

Sales brochures, price lists, payment terms and advertisements

relating to our properties are prepared in accordance with the

guidelines of the Real Estate Developers Association of Hong Kong

to enhance the clarity and transparency of information. Our sales

brochures are also sent to the Estate Agents Authority, Lands

Department, Consumer Council and Transport and Housing Bureau

for record before any first sales launch.

Knowledge SharingWith our expertise and experience in buildings and infrastructure

development, we provide free consultation for communities. Our

infrastructure team provided free consultation for the development of the

Hong Kong-Zhuhai-Macau Bridge project. Our engineers and architects

have worked with the Hong Kong Football Association in planning

football fields. Following the Sichuan earthquake, our construction

experts travelled to the site to share knowledge on rebuilding the area.

Supporting Community NGOs and Charity Events

Our buildings offer convenient access to visitors with special needs

and we constantly upgrade our facilities, including the provision of

disabled car parking spaces, disabled ramps and tactile indicators

for visually impaired visitors. In August 2010, we invited the

Hong Kong Federation of Handicapped Youth to examine our

premises, Hopewell Centre and QRE Plaza, to test the extent of its

accessibility for disabled visitors. Our efforts in creating barrier-

free environments were acknowledged by the organisation.

Promoting Environmental Protection to Tenants and CustomersHopewell Centre promotes a “Green Office Management” initiative

and encourages its tenants to adopt the principles of Reduce, Reuse,

Replace, and Recycle. The quarterly Hopewell Bulletin sent to our

tenants promotes environmental initiatives, providing energy saving

tips. In 2011, we launched an electronics recycling programme

to collect used computers and equipment from Hopewell Centre

tenants. Items collected are donated to charities for reuse and

fundraising purposes. A hotline and online service is also in place

to collect tenant feedback. Tenants from Hopewell Centre expressed

interest in promoting the use of bicycles, increasing the frequency of

recycling paper collection and installing a voice system at escalators

for visually impaired tenants and visitors.

We support local community activities through sponsorship and

donations, both cash and in-kind, to various NGOs including:

• TheCommunityChestofHongKong

• St.James’Settlement

• HongKongFederationofYouthGroups

• HongKongAssociationofYouthDevelopment

• HongKongOutstandingStudents’Association

• HongKongJuvenileDiabetesAssociation

• HospitalAuthority

We offered venues in our properties without charge for the staging

of over 100 community and charitable events. We also made the

Hopewell Conference Centre located at Hopewell Centre available

for use by NGOs for hosting seminars and meetings.





actions for 2011/12

• StrengthentheCorporateVolunteerTeambyenriching

voluntary service programmes and encouraging more

employees to join the team

• Establishaformalpolicytoallowouremployeestotake

volunteer leave

• Devise plans for more youth sports and educational

initiatives, including those for disadvantaged youth

• Developamorecomprehensivecommunityinvestment

strategy to guide our efforts in this area

• Developlonger-termpartnershipswithselectedNGOson

significant community related projects

• Formalise an assessment system to examine the

effectiveness of our community involvement and

employee volunteering programmes

i was impressed by colleagues collaborating across various business units and departments, serving the community together. With our family members, athletes and secondary school students joining us, over 100 volunteers participated in the tuen ng elderly visit which is indeed a good demonstration of our focus on community partnerships.Alan Ming Fai TAM, Executive Director,

Hopewell Highway Infrastructure Limited

at Hopewell, i have been given plenty of opportunities to plan and implement projects, through which i now recognise my potential beyond my sports skills. My qualities as an athlete also prepared me to face the challenges in my new job.Clara Wing Hung TSE, Hong Kong Beach Volleyball Team Representative

The total amount of our community contributions was HK$8,749,853

(including sponsorship, cash donations and in-kind contributions).

Corporate Volunteer TeamThe Group’s formal volunteer team was established in early 2011.

One of the missions of the team is to share their experiences of

volunteering in community related projects with non-participating

employees so as to encourage further participation. Employee

volunteering up until June 2011 amounted to over 430 hours.

In May 2011, the inaugural activity of the team was held with over

100 volunteers, including more than 70 staff from the Group and

their family members, local athletes and members of the Hong Kong

Outstanding Students’ Association. The team visited over 100 elderly

people living in Wan Chai, Aberdeen, Kwun Tong and Tsuen Wan, and

presented them with healthy vegetarian rice dumplings and other

gifts to celebrate the Chinese Dragon Boat Festival.

Cultivating Youth Education and Sports Development

Developing joint teams with NGOs: Corporate Sports ChallengeTo strengthen the ties with our NGO partners, HHL and KITEC

formed joint teams with St James’ Settlement (SJS) and The Boys’

and Girls’ Clubs Association of Hong Kong (BGCA) to participate

in the Corporate Sports Challenge organised by the Community

Chest to raise funds for its children and youth services. After

several rounds of heated competition, the Hopewell SJS Team

won the championship in the Super Game Category. The Group

donated HK$200,000 for the two teams and HK$160,000 worth

of prizes for the winners. Our Managing Director, Mr. Thomas

Jefferson WU, personally invited eight other organisations to

participate in the event to raise more funds.

Art & CultureHK$590,500

7%

Youth DevelopmentHK$4,637,473

53%

Community support

HK$3,521,880 40%

community contributions

To support the community further, we encourage employees to

take part in charitable and community events initiated by our NGO

partners. For example, 160 of our employees participated in the

Walk for Millions organised by the Community Chest.

Our joint venture companies in Mainland China are also active

in supporting community events In November 2010, the GS

Superhighway Joint Venture sent 37 volunteer employees to the

2010 Asian Games and Asian Games for the Disabled held in

Guangzhou to help control traffic flow. The Heyuan Joint Venture

donated 476,000 bricks (worth over RMB 120,000) to three deprived

villages in Heyuan. Tables and other classroom supplies were also

donated to a rural primary school within the community.

Promoting Arts and Cultural Development

We have been supporting the Hong Kong Athletes Career and Education

Programme (HKACEP) initiated by the Sports Federation and Olympic

Committee of Hong Kong, China, since 2008. The objective of the programme

is to help serving and retired athletes integrate into the mainstream

society through a series of career development and educational activities.

Mr. Ka Ho CHENG, a former Hong Kong Wushu Team Representative, and

Ms. Clara Wing Hung TSE, a Hong Kong Beach Volleyball Team Representative,

were recruited to join the Group in 2008 and 2011 respectively.

We also facilitate the staging of large-scale sports events, including

bowling, dance, cue sports, Chinese martial arts, and boxing in Hong

Kong by offering venues complying with international standards

at KITEC.

With our versatile performance venues at KITEC, we have played

an increasing role in promoting arts and cultural development in

Hong Kong in addition to offering financial support to arts and

cultural events. A wide variety of such events, including concert,

musical, dance performance and multimedia shows, were held at

KITEC in 2010/11.

PRocuReMent anD SuPPLy cHain


Procurement and Supply chain


We carefully select contractors and suppliers to ensure that ethical

standards are adhered to and that they share the environmental and

social values of the Group.

Property and Facility ManagementTo ensure we provide quality and professional property and

facility management services, we have strict requirements on our

contractors and suppliers aligned with our quality control and

environmental policies. We maintain a database of 466 contractors

and 436 suppliers to support our real estate operations. To qualify,

the contractor or supplier has to register their interest and provide

their audit reports, along with background information of their

business. All qualified contractors or suppliers are required to

understand and officially acknowledge our Environmental Code of

Conduct for Contractors/Suppliers, which requires them to:

• Complywithallenvironmentallawsandotherrequirements

• Control the use of materials and resources and maximise

energy efficiency

• Use and/or provide recycled products ormaterials as far as

possible, and avoid using products or chemical materials that

could cause significant negative impact to the environment;

• Reducewaste at our premises and other designated sites, and

adhere to legal requirements related to waste water disposal,

other waste disposal and noise pollution, when carrying out duties

• If possible, provide recyclable materials and products, and

reuse or recycle waste;

• Ensure proper disposal, handling, storage and treatment of

chemical and non-chemical waste to prevent harm

• Regularlymaintainvehiclesused toprovide servicesand to

ensure noise, and air pollutants, are kept under control

• Familiarisethemselveswithourenvironmentalapproach

Apart from environmental considerations, we also evaluate the labour

practices of our contractors and suppliers, particularly in terms of the

welfare of workers that they provide for our sites. For security guards

and cleaners, we ensure that we comply with all statutory minimum

wage requirements. Our internal auditors check and ensure that their

take-home pay is at or above the minimum wage. In the reporting

year, all workers were paid above minimum wages.

We conduct spot inspections and annual assessments of our

qualified contractors and suppliers on a random basis. We have

developed six key factors to evaluate our contractors in terms of

knowledge, skills, quality, co-operation, safety, and cleanliness. We

implement a system whereby potential contractors can gain additional

points if they have internationally recognised safety systems in place,

such as OHSAS 18001. Annual assessments are conducted to measure

our contractors’ performance and their ranking will affect the type of

projects granted by the Group. In the case of any violation of policies

or regulations, we issue warning letters to contractors. Site supervisors

will have to rectify any conditions deemed dangerous or inconsistent

with statutory requirements and specifications in the agreements.

Contractors will be removed from our database after three warning

letters have been issued.

For our hotel supplies, such as toiletries, towels, and facilities

maintenance services, our suppliers and contractors are subject to

the same policies and codes of conduct applied to our property

and facility management operation.

Property and Infrastructure Development ProjectsFor property and infrastructure construction projects, contractors

are mainly made up of professionals (such as architects, civil

engineers and mechanical engineers) who have their own

stringent accreditation and standards in place. However, they

are also governed by the terms and conditions specified in our

contracts with them, which outlines our expectations on their

quality of work, environmental performance, occupational safety

and labour practices and all other statutory requirements (such

as the prohibition of child labour and minimum wage payments).

We ensure contractors are aware of our key performance indicators

related to energy efficiency and labour standards. We conduct spot

inspections at construction sites and have adopted a ranking system

to rate our contractors based on the performance assessment factors

we set and other specifications listed in our contracts to them.

For Phase III of the Western Delta Route currently under construction,

we have tendered out 100% of the contracts, which include a “Safety

Production Agreement” (安全生產合同) and “Warranty of Wage

Payment for Construction Site Workers” (建設工程農民工工資支付保證書).

actions for 2011/12

• Developagroup-widepolicyforresponsibleprocurement

and supply chain practice

Our Management ApproachWe aim to ensure that all purchasing practices are governed

by the highest professional and ethical standards.

For property and facility management, we apply an

Environmental Code of Conduct for contractors and suppliers.

Labour practices are also monitored through inspections and

annual assessments.

For property and infrastructure construction projects,

contractor or supplier contracts outline our expectations

relating to environmental performance, occupational safety

and labour practices. Our approach also includes inspections

and capacity building in the form of supplier briefings.

For our joint venture operations, Directors and Senior

Executives sit on the Boards and participate actively

in management decisions. Through this we are able to

communicate our stance on environmental and social issues.

Hong Kong staff members have been placed on secondment to

work closely with our joint venture partners on implementing

and monitoring projects, influencing supply chain matters at

the operational level.

We have imposed strict and effective monitoring systems

and management controls to detect and prevent bribery,

fraud, or other malpractice in the process of procurement

and tendering.

Coal-fired Power PlantWe ensure our coal comes from large and reputable suppliers which

demonstrate good safety records (for details, please refer to the Case

Study: Promoting Clean Coal Technologies and Responsible Labour

Practices). In selected major suppliers for the Heyuan Power Plant

have put in place effective management systems to monitor social

and environmental practices along their own supply chain.

econoMic PeRFoRMance tabLe


(HK$ million) 2009/10 2010/11

Revenue 1

– Property letting, agency and management 603 650

– Property development 349 1,918

– Hotel operations, restaurants and catering 327 388

– Toll road investments 1,940 2,275

– Power plant 1,055 1,530

– Treasury income 13 106

– Other 95 106

4,382 6,973

earnings before interest and tax (“ebit”) 1

– Property letting, agency and management 382 400

– Property development 106 184

– Hotel operations, restaurants and catering 55 94

– Toll road investments 1,029 1,065

– Power plant 118 123

– Treasury income 13 106

– Other (157) (117)

EBIT (before gain on completion) 1,546 1,855

Gain on completion of Broadwood Twelve 2,238 -

EBIT (after gain on completion) 3,784 1,855

economic value distributed

– Operating cost 2 737 776

– Employee wages and benefits 3 326 357

– Payment to providers of capital 4 940 947

– Government Tax 5 127 162

– HK Profits Tax 19 55

– PRC taxation 108 107

– Charitable donations 6 4 5

Notes:1 Please refer to Management Discussion and Analysis section of the Annual Report 2010/11 for definitions of Revenue and EBIT above, and reconciliation with

Consolidated Statement of Comprehensive Income2 Includes cost of sales and services, selling and distribution costs, administrative expenses, but excludes staff costs3 Represents staff costs disclosed in the Annual Report, including directors’ emoluments4 Represents dividends recognised as distribution during the year plus finance costs5 Deferred tax is not included in this figure6 In-kind contribution such as venue sponsorship and volunteering works are not included in this figure. Reader may refer to the community section for

further details

veRiFicationStateMent

enviRonMentaL PeRFoRMance tabLeS


environmental Performance tables


Property and Hospitality Division 1

indicator unit 2009/10 2010/11

energy use

Purchased electricity (non-renewable) MWh 56,383 55,901

GJ 202,978.8 201,243.6

co2e emissions

Direct CO2e emissions 2 Tonnes 1,225 1,012

Electricity indirect CO2e emissions Tonnes 35,818 34,732

Water

Fresh water used m3 330,569 364,229

Materials used

Paper Ream 8,206 7,230

1 The table includes data for the following buildings: Hopewell Centre, KITEC, Panda Place, Panda Hotel, QRE Plaza, GARDENEast and Broadwood Twelve unless otherwise specified. 2009/10 data does not include Broadwood Twelve as the building became operational in the 2010/11 reporting period

2 Hopewell Centre, KITEC and Panda Place are included

Highway Division 1


energy use

Purchased electricity (non-renewable) MWh 29,957 32,044

GJ 107,845.2 115,358.4

Renewable energy 2 MWh - 13.49

GJ - 48.564

Diesel Litres - 393,798

GJ - 27,744.18

Petrol Litres - 839,757

GJ - 14,333.1

co2e emissions 3

Electricity indirect CO2e emissions Tonnes 29,244 31,281

Waste disposal

Waste from construction and maintenance of highway 4 Tonnes - 5,344

Water

Fresh water used m3 - 608,130

Materials used 5

Cement Tonnes 264,944 975,279

Steel Tonnes 51,525 46,188

Steel strand Tonnes 4,158 1,268

Bitumen m3 51,093 14,223

1 The table includes data for the Guangzhou-Shenzhen (GS) Superhighway and Phases I, II and III of the Western Delta Route unless otherwise specified2 Estimated data based on the energy consumption of 22 surveillance cameras powered by micro wind and solar power on the Western Delta Route3 Calculation based on the purchased electricity figures applying the default Mainland China Southern Grid emission factor of 976.2 gCO2/KWh4 Data for GS Superhighway only5 Include the consumption of materials for repair and maintenance work in GS Superhighway and construction work in Phases II and III of the Western Delta Route

Energy Division


operation

Electricity sent out GWh 5,439 7,666

TJ 19,580.4 27,597.6

Own electricity consumption GWh 346 446

TJ 1,245.6 1,605.6

Coal consumed TJ 50,339 69,993

Oil consumed TJ 10 15

Thermal efficiency % 41.4 41.7

Availability factor % 78 92

air emissions

Direct CO2e emissions 1 kT 4,419 6,145

Indirect CO2e emissions 2 Tonnes 0.5 0.5

Power plant emission factor (Intensity) tCO2/GWh 807.98 797.08

SO2 3 kT 1.3 2.2

NOX 3 kT 3.8 5.7

Dust particles 3 kT 0.5 0.6

Waste produced

Pulverized Fuel Ash (PFA) kT 245 335

Gypsum kT 70 86

Slag kT 21 27

Crystalline Salt kT 0.2 0.4

Pebble Coal kT 22 28

Mud / Sludge kT 3.3 5.4

Waste recycled / reused

Pulverized Fuel Ash (PFA) kT 245 335

Gypsum kT 70 86

Slag kT 21 27

Crystalline Salt kT 0.2 0.4

Pebble Coal kT 22 28

Mud / Sludge kT 3.3 5.4

Water

Fresh water used kT 11,032 13,837

Reused / Recycled Water % 100 100

Wastewater discharged % 0 0

1 Calculations based on the 2006 IPCC Guidelines for National Greenhouse Inventories. Emission source included is the coal consumed. Emission factors used are CO2: 87.3tCO2/TJ, CH4: 0.001tCO2/TJ, N2O: 0.0015tCO2/TJ

2 Includes emissions related to transportation in the plant area3 SO2, NOx and dust particles data derived from plant emissions monitoring system

SociaL PeRFoRMance tabLe


Social Performance table (Continued)


indicator unit

2010/11

the group 1 West Route Jv 2 gS Superhighway Jv 3

Heyuan Power Plant Jv 4

total full-time workforce

by Location no.

Hong Kong 1203 5 2 3 0

Mainland China 175 656 2707 246

total Hk and china elmployees 6 1378 658 7 2710 8 246

by gender %

Female 53.92 39.21 41.88 9.75

Male 46.08 60.79 58.12 90.24

by age group %

Under 30 years old 32.09 72.04 62.99 55.69

30-50 years old 53.27 26.29 35.46 42.68

Over 50 years old 14.64 1.67 1.55 1.63

by employment category no. (%)

Senior Management 16 (1.16) 12 (1.82) 9 (0.33) 6 (2.44)

Managerial 120 (8.71) 19 (2.89) 30 (1.11) 24 (9.76)

General 1242 (90.13) 627 (95.29) 2671 (98.56) 216 (87.80)

Minority groups within workforce % 1 0 0 0

governance bodies 9

by gender no.

Female 3 0 1 11 1 12

Male 13 8 10 9 11 6 12

by age group no.

Under 30 years old 0 0 0 0

30-50 years old 5 6 6 6

Over 50 years old 11 2 4 1

1 The Group includes HHI management employees, which HHL, the parent company, holds a 70.27% stake in, and other subsidiaries under the control of the parent company

2 The Group has 35.13% stake in West Route JV through HHI 3 The Group has 33.73% stake in GS Superhighway JV through HHI4 The Group has 35% stake of the Heyuan Power Plant through a joint venture with Shenzhen Energy Group Company Limited 5 All full time employees of the Group are on a permanent contract. The Group has only 16 part-time employees, 15 in Hong Kong and 1 in Mainland China, and

all these part-time employees are not included in the above table6 No part-time employees have been hired by the three joint venture companies in Mainland China7 Six HHI employees also counted as employees of West Route JV 8 Four HHI employees also counted as employees of GS Superhighway JV 9 The Group’s Board of Directors is the highest governance body. Separate Boards of Directors govern the joint venture companies in Mainland China. 10 Four HHL directors were on the board of West Route JV, including the Managing Director of HHL and HHI11 Five HHL directors were on the board of GS Superhighway JV, including the Managing Director and Chairman of HHL and HHI12 Three HHL directors and management were on the board of Heyuan Power Plant JV

indicator unit

2010/11

the group 1 West Route Jv 2 gS Superhighway Jv 3

Heyuan Power Plant Jv 4

employee turnover rate 13 no. (%) 318 (23.08) 124 (18.84) 497 (18.34) 4 (1.63)

by gender no. (%)

Female 190 (13.79) 71 (10.79) 239 (8.82) 0 (0)

Male 128 (9.29) 53 (8.05) 258 (9.52) 4 (1.63)

by age group no. (%)

Under 30 years old 123 (8.93) 103 (15.65) 430 (15.87) 1 (0.41)

30-50 years old 163 (11.83) 20 (3.04) 65 (2.4) 0 (0)

Over 50 years old 32 (2.32) 1 (0.15) 2 (0.07) 3 (1.22)

new employee

No. of new employee no. 445 35 794 26

Rates of new employee hire 14 % 32.29 5.32 29.3 10.57

employees covered under collective bargaining agreement

% - 100 100 -

Minimum notice period(s) regarding significant operational changes, including whether it is specified in collective agreements.

no. 1 month - - -

occupational injuries

by Region no.

Hong Kong 52 15 0 0 N/A

Mainland China 0 1 12 1

by gender no.

Female 26 1 1 0

Male 26 0 11 1

Lost days due to injuries Days 634.5 13 No record 40

Work-Related Fatalities 0 0 0 0

Rates of injury per 1000 employees 16 37.74 17 1.52 4.43 4.02

employees receiving regular performance reviews

% 100 100 100 100

13 Employee turnover rate was calculated as: Total no. of employees who leave the organisation voluntarily or due to dismissal, retirement, or death in service divided by total workforce during the reporting year

14 Rates of New Employee Hire was calculated as: Total no. of new employees divided by total workforce15 Over half of the injuries occurred in the Hospitality sector. For further details, please refer to Our People section16 Rate of occupational injury was calculated according to the definition adopted by the Labour Department of Hong Kong Government, i.e., Total number of

occupational injuries per year / Total employment size X 1,000 employees = number of injuries per 1,000 employees during the reporting year17 Our hospitality division had reported the highest number of injury cases compared to other divisions. Compared to the industry average, where the accident injury

rate per 1000 employees of food and beverage services in Hong Kong was 34.7 as in 2010, our injury rate was slightly higher. During the reporting year, we have implemented several safety measures after those incidents (refer Our People section). We will also work towards strengthening the safety awareness of our employees, particularly in this sector

gLoSSaRy


Building Environmental Assessment Method (BEAM)

A voluntary scheme and leading initiative in Hong Kong aiming to benchmark and improve environmental performance of all building types. A common set of performance standards are available for developers, designers, architects, engineers, contractors and operators to encourage them to reduce the environmental impacts of buildings through the planning, design, construction, management and demolition life cycle

Carbon Audit A carbon audit, sometimes referred to as a ‘carbon footprint’, is a systematic means of measuring and recording the greenhouse gases emissions of an organisation or a building within a defined system boundary. This includes measurement of all greenhouse gases produced in daily operation through burning fossil fuels for electricity, heating, transportation, etc, usually in the unit of tonnes (or kg) of carbon dioxide equivalent

Energy Audit An energy audit is a regular review of the usage of energy in a building to increase effectiveness of energy. The auditors examine the energy account of energy consuming equipment, check the way energy is used in its various components, and identify saving opportunities.

Forest Stewardship Council (FSC) Set up in 1993 following the Rio environmental summit, the FSC is a non-governmental, non-profit organisation that promotes environmentally responsible, socially acceptable and economically sustainable use of forests. The most important tool used in the marketing of these forest products (such as paper) is the FSC seal that is placed on products meeting these criteria

Global Reporting Initiative (GRI) A multi-stakeholder-governed institution which provides a framework for sustainability reporting. This globally recognised framework sets out the principles and indicators that entities can use to measure and report their economic, social and environmental performance

Global Reporting Initiative ‘Level B’ This covers the Profile and Management Approach disclosures of the reporting company and minimum 20 GRI Performance Indicators, including at least one from each of the economic, environment and social indicators

Greenhouse Gas (GHG) Greenhouse gases include carbon dioxide (CO2), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulfur hexafluoride (SF6) and water vapour

Scope 1 emissions: Also known as direct emissions, occur onsite or from sources that a company owns and controls. This may include the combustion of fuels (e.g. boilers, furnaces, turbines); its vehicle fleet; and refrigerants

Scope 2 emissions: Indirect emissions that result from the generation of the electricity, heat or steam a company purchases

Scope 3 emissions: All indirect emissions other than those covered by Scope 2. Examples include emissions associated with waste-related emissions and any business travel or employee commuting in vehicles not owned or controlled by the company

Hong Kong Energy Efficiency Registration Scheme for Buildings

This scheme was launched by the Electrical and Mechanical Services Department for promoting the application of Building Energy Codes (BEC) since October 1998. It provides an official platform for interested parties to register their buildings which comply with BEC, which requires commercial buildings to conduct energy audits effective from 21 Feb 2011. Previously, energy audits were voluntary

NOSA NOSA stands for National Occupational Safety Association. It is a wholly owned subsidiary of MICROmega Holdings Limited, a company listed on the Johannesburg Stock Exchange. NOSA is a leading global supplier of occupational risk management services and products for mining operations

Panda Place Panda Place is a shopping mall located on the second floor, ground floor and three basement levels of Panda Hotel

Stakeholder Engagement The stakeholder engagement process starts with identifying an organisation’s key stakeholders who have vested interests in the organisation. Through a constructive conversation with them, this enables the organisation to collect feedback on its corporate performance (eg, in terms of its corporate strategies, operation, governance, environmental and social performance), and to identify what really matter to these key stakeholders and their various expectations on how things can be changed.

gRi inDeX tabLe

gRi indicators Reported cross-reference/Direct answer

1.1 Fully P.3

1.2 Fully P.3, 14-25

2.1 Fully Back Cover

2.2 Fully P.4-5

2.3 Fully P.4-5


2.5 Fully P.4-5

2.6 Fully P.4-5

2.7 Fully P.4-5

2.8 Fully P.4-5, 39, 42-43

2.9 Fully No material changes in share capital structure during the reporting year.

2.10 Fully P.6-7

3.1 Fully P.2

3.2 Fully P.2

3.3 Fully P.2


3.5 Fully P.2, 10-13

3.6 Fully P.2

3.7 Fully P.2

3.8 Fully P.2

3.9 Fully P.39

3.10 Fully No re-statement made because this is our first Sustainability Report.

3.11 Fully No significant changes from previous reporting periods in the scope, boundary, or measurement methods applied in the report because this is our first Sustainability Report.

3.12 Fully P.45-47

3.13 Fully The Sustainability Report is not verified by an external body.

4.1 Fully P.8-9, 42

4.2 Fully P.8-9, Refer to Annual Report 2010/11. http://www.hopewellholdings.com/eng/images/investor/2011/e54_HHL_AR2011.pdf P.23-29

4.3 Fully P.8-9

4.4 Fully P.10-13

4.5 Fully P.26-29

4.6 Fully P.8-9

4.7 Fully Refer to Annual Report 2010/11. http://www.hopewellholdings.com/eng/images/investor/2011/e54_HHL_AR2011.pdf P.23-29

For full descriptions and requirements of each GRI indicators, please refer to GRI G3.1 Guidelines

on http://www.globalreporting.org/ReportingFramework/G31Guidelines/

gRi index table (Continued)


gRi index table (Continued)



4.8 Fully P.8-9

4.9 Fully P.8-9

4.10 Fully Refer to Annual Report 2010/11. http://www.hopewellholdings.com/eng/images/investor/2011/e54_HHL_AR2011.pdf P.69-75

4.11 Fully P.8-9

4.12 Fully P.10-13

4.13 Fully P.10-13

4.14 Fully P.10-13

4.15 Fully P.10-13

4.16 Partially P.10-13

4.17 Fully P.10-13

DMa ec Fully P.3-5, 30-35

DMa en Fully P.14-25,36-37

DMa La Fully P.26-29

DMa HR Fully P.26-37

DMa So Fully P.8-9, 30-35

DMa PR Fully P.30-35

ec1 Fully P.39

ec3 Fully P.26-29

ec5 Fully P.26-29, 36-37

ec8 Fully P.14-35

en1 Fully P.14-21, 40-41

en2 Fully P.14-21, 40-41

en3 Fully P.40-41

en4 Fully P.40-41

en5 Fully P.14-21, 40-41

en6 Fully P.14-21, 40-41

en8 Fully P.14-21, 40-41

en10 Fully P.14-21, 40-41

en16 Fully P.14-21, 40-41

en17 Fully P.14-21, 40-41

en18 Fully P.14-21, 40-41

en20 Fully P.14-21, 40-41

en21 Fully P.14-21, 40-41

en28 Fully No significant fines received against environmental laws and regulations


La1 Fully P.42-43

La2 Fully P.42-43

La3 Fully P.26-29

La4 Fully P.42-43

La5 Fully P.42-43

La7 Fully P.24-29, 36-37, 42-43

La8 Fully P.26-29

La11 Fully P.26-29

La12 Fully P.26-29, 42-43

La13 Fully P.42-43

La14 Fully P.26-29

HR4 Fully No incidences related to discrimination

HR8 Fully P.30-35

HR11 Fully No incidents of grievances related to human rights issues were identified through formal grievance mechanisms.

So1 Fully P.30-35, Not all our community programmes in terms of impact were measured, but we are working towards a more strategic approach for managing our community programmes in the coming year.

So3 Fully P.8-9

So4 Fully No incident of corruption was identified.

So8 Fully P.30-35

PR1 Fully P.22-23, 30-35

PR2 Fully P.30-35

PR5 Fully P.10-13

PR6 Fully P.30-35

PR7 Fully No incident of non-compliance identified in relation to marketing communication practices

PR8 Fully No incident of substantiated complaints identified in relation to customer privacy

PR9 Fully No significant fines received concerning the provision and use of products and services

64th FLOOR, HOPEWELL CENTRE, 183 QUEEN’S ROAD EAST, HONG KONG

TEL: (852) 2528 4975 FAX: (852) 2861 2068

www.hopewellholdings.com

Contact UsFor any comments and enquiries on this report and our sustainability programmes,

please contact us via email at [email protected].

hopewell - csr · pdf fileperformance during the 2010/11 financial year, ... * please refer to...

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