Annual Report 2021

Management Discussion and Analysis 28 CHINA MERCHANTS PORT HOLDINGS COMPANY LIMITED and environmental protection, determined the assessment indicators for energy conservation and environmental protection and fulfilled environmental protection responsibilities, and urged its terminals to establish an effective energy conservation and environmental protection mechanism. During the construction of the project, the Group’s terminals actively carried out environmental assessments and formulated contingency plans to protect biodiversity through various channels. In addition, in order to promote the concept of energy conservation and emission reduction, the Group has encouraged green office and organized green social welfare activities to promote the Group’s green and low carbon development in various aspects. The Group actively responded to the national strategies of “carbon peaking” and “carbon neutrality”, and actively participated in the construction of dual-carbon demonstration projects and carbon verification compliance work. In 2021, the Group focused on the development and application of new energy conservation technologies, continued to expand the applied range of new energy conservation technologies and products such as “Substitution of Fuel Powered Equipment with Electricity-Powered Equipment” ( 油改電 ), “Shore-Powered Supply for Vessels” ( 船舶岸基供 電 ), “Engine Upgrade Replacement” ( 發動機升級置換 ) and “Belt Conveyor Reformation” ( 皮帶輸送機改造 ). The shore- powered system was officially put into operation in Guang’ao Port Zone in Shantou Port. The Group prioritized the use of environmentally friendly and efficient equipment, increased the application of electric machinery, promoted energy substitution and diversification, including the use of low- sulphur oil, “hydrogen” fuel trailers test, and the exploring of the application of renewable energy in the ports and parks, etc., so as to further enhance the operational efficiency of the terminals by improving the energy efficiency of the facilities. Moreover, the Group continued to conduct climate risk assessment and strengthened climate risk response measures to minimize the impact of climate change on the Group’s operations. During the pandemic, the Group did its best to prevent and control the pandemic and ensure the safe operation of its ports. The Group arranged for its staff to take nucleic acid tests and vaccinations, and also required foreign vessels to make advance notifications and file information before approaching the port, so as to build a solid barrier against the pandemic. At the same time, the Group actively supported the prevention and control of the pandemic in overseas terminals by donating pandemic prevention materials and equipment to Sri Lanka and providing financial assistance to help build isolation centers and nucleic acid testing laboratories in the region to combat the pandemic. Adhering to the concept of integration win-win as always, the Group actively built a relationship of mutual trust and support with the local community where operation is located in during the process of steady business development. The Group gave back to the local communities by engaging in expansion of charity fields, such as the construction of infrastructure, cultivation of talents, community care, assistance in education and health care etc. In 2021, the Group continued to promote “China Merchant Silk Road Hope Village” project in Sri Lanka, the second ‘Caring Village’ at HIPG was launched and a number of community facilities were planned to improve the living conditions of the local residents. In the meatime, the Group organized a Ramadan living materials donation campaign in Djibouti to relieve the pressure of living on local disadvantaged groups. The Group focused on the charity theme of “Shaping Blue Dreams Together (C-Blue)”, committed to making a positive impact on the society by continuously carrying out a series of charity projects and extending its charity journey. In 2021, the Group brought together the C-Blue volunteer team to share knowledge, love and care to children from villages. In May 2021, the Group successfully hosted the student development camp named “Growing with Love and Companion of CMPort” ( 招有愛、伴成長 ) for teachers and students in Weining County, Guizhou Province, and the children development camp named “Accompanying with Volunteer Blue” ( 志願藍、伴同行 ) for the primary school in Qilin Town, Wuhua County in December 2021. The Group persisted to its corporate mission of “Be with each other though far apart” ( 天涯若比鄰 ). The 9th global transport young talent training programme of “21st Century Maritime Silk Road Talents Programme” (21 世紀海上絲綢之路優才 計劃 ) was accomplished during the year. The programme provided a sustainable development of transportation training courses for about 80 international students in China from 34 countries, and helped building a professional talent communication platform for the young that come from the countries along the Initiative of “Belt and Road” and who involved in the shipping industry.