Annual Report 2021

ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT (CONTINUED) China Merchants China Direct Investments Limited Annual Report 2021 76 ENVIRONMENTAL PROTECTION (CONTINUED) Energy Consumption (continued) Greenhouse gas emissions (continued) The Investment Manager is responsible for adopting the following measures to realise the goals: ‧ adding ESG performance as one of the key performance indicators (KPIs) when making any investment decisions; and ‧ requiring the investment team to consider whether there are significant non-compliance of ESG issues with the proposed investment projects and report in the investment proposals. During the Reporting Period, all the new investment proposals indicated that no significant non-compliances of ESG issues have been identified. Therefore, we consider that we have achieved Target 5 during the Reporting Period. Environmental Impact Management The Company and the Investment Manager strive to minimise our impact on the environment and natural resources. An environmental management system is implemented with a set of “Green Office Guideline” included in our induction package to offer green office tips for employees and management to adopt. The ESG Taskforce is responsible for the promotion and maintenance of the Green Office Guideline. Due to the business nature of the Company and Investment Manager, it has not come to our attention that there is any significant impact from our business operation on the environment, natural resources and climate change. Nevertheless, the Company and the Investment Manager will try to minimise the impacts we have on the environment to a reasonable extent. For example, environmental friendliness is one of the criteria for our procurement decision. Water Consumption The Company and Investment Manager operate in a sub-leased office and the source of water and its supply are controlled and managed by the office’s management. Hence, there is no designated water meter to monitor the water usage of the office of operations. However, we recognise water being an important natural resource and measures are taken to keep the consumption of water to minimal. For example, we encourage employees to conserve all resources including water in order to reasonably avoid water wastage. The water source is from Hong Kong Water Supply Department and it poses no sourcing and issues or risks to our operations. The Company and the Investment Manager have set the following target: Target 6 To consider the water conservation policy and measures adopted by the buildings as one of the selection criteria for new rental offices by 2021.