SUSTAINABILITY APPROACH SUSTAINABILITY COMMITMENT CICT aligns its sustainability goals with CLI to achieve the sustainable performance of its portfolio. Both CICTML and the property managers oversee CICT's business and operations, ensuring adherence to CLI's sustainability framework, policies, and guidelines, including its ethics and business conduct code. The 2030 SMP, which is reviewed every two years, guides CICT’s sustainability efforts across the ESG pillars. This enables CICT to create a greater positive impact on both the environment and communities. Based on CLI's revised 2030 SMP, the SBTi-approved targets for scope 1 and 2 emissions are in line with a 1.5 °C trajectory. The commitment to achieve Net Zero emissions by 2050 for scope 1 and 2 is reaffirmed, with an increased emphasis on social indicators. For each of the three ESG pillars and their respective focus areas, CLI has identified specific pathways to achieve the sustainability objectives and will adapt its strategies as technologies evolve and new scientific data becomes available. Aligned with CLI’s refreshed 2030 SMP framework and targets, CICT is committed to reducing its absolute scope 1 and 2 emissions by 46% by 2030, using 2019 as the baseline year. In addition, CICT aims to achieve Net Zero for its scope 1 and 2 emissions by 2050. This ambitious commitment aligns with the global effort to limit the temperature increase to below 1.5°C. Roadmaps and plans are devised to achieve CICT's sustainability objectives. GROUP-WIDE COMMITMENT Role of CLI Board, Management and Staff CLI's group-wide sustainability management comes under the purview of a CLI Board Committee – the Strategy and Sustainability Committee (SSC). Chaired by the Lead Independent Director, the CLI SSC is responsible for overseeing sustainability strategies and goals, including providing guidance to themanagement and monitoring progress towards achieving the objectives of any sustainability initiatives. The CLI SSC is supported by the CLI Group Sustainability Office and the various work teams to drive continued progress and improvement in ESG. The work teams comprise representatives from various CLI business units and corporate functions. This governance is cascaded from CLI to CICT through CICT’s Sustainability Committee. The CEO of Retail and Workspace at CLI, as the head of the business unit, oversees the property managers. The property managers have an Environmental, Health and Safety (EHS) Committee and an Engineering, Systems and Sustainability team whose role includes integrating sustainability into operations. ROLE OF CICTML BOARD, MANAGEMENT AND STAFF TheCICTMLBoardconsiders sustainability issues as part of its strategic formulation, confirms the material ESG factors listed by the Manager and property managers and oversees the management and monitoring of the material ESG factors. The Board determines the Trust’s risk appetite, guiding the nature and extent of material risks that CICT is prepared to accept in pursuit of its strategic and business objectives. Among the material risks, climate change is recognised as particularly crucial. The Board is actively involved in discussions on climate-related initiatives and regularly evaluates climate change risks as part of its Enterprise Risk Management (ERM) Framework. Updates to the Board are provided at least biannually during quarterly or ad hoc Board meetings. These updates cover various climaterelated topics, such as the 2030 SMP, TCFD, green capital expenditure, green ratings of properties, and performance metrics, including carbon emissions data, progress towards reduction targets, and stakeholder expectations regarding climate change. Reports of any environmental incidents, including climate-related damages or disruptions, are also presented to the Board. Environmental impact factors are integral to the asset investment evaluation process and strategy and are accordingly brought to the Board's attention when relevant. CICT has a Sustainability Committee championed by the CEO (also an Executive Director) of the Manager. This Sustainability Committee provides strategic oversight, drives initiatives and guides reporting concerning climate-related risks and opportunities, and broader environmental issues. The CEO of the Manager is responsible for CICT’s climate changerelated targets. A key objective of the Manager’s senior management is to transit to a low-carbon business that aligns with climate science and to build a resilient and resource-efficient portfolio. As part of these efforts, the directors of CICT Manager, senior management and relevant stakeholders undergo periodic training to further build capacity to manage climate-related risks and opportunities. The frequency and content of these capacity-building trainings will be regularly reviewed to incorporate current and emerging issues relating to environmental risk management. Overview Leadership Performance Framework Other Information ANNUAL REPORT 2023 121
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