Titled “Champion our Ecosystem”, Champion REIT’s Sustainability Report 2023 illustrates a collaborative endeavor that focuses on establishing a value-added network around stakeholders through sustainable performances in line with its 2030 ESG Targets and 2045 Net Zero Commitment.
The report is structured according to local and international regulations and frameworks, including Global Reporting Initiative (GRI) and Task Force on Climate-related Financial Disclosures (TCFD) with independent assurance. In its pursuit of higher standard of information transparency, the report further strengthens its climate-related information in accordance with the International Sustainability Standard Board’s (ISSB’s) IFRS S2 Climate-related Disclosures.
CDL’s Integrated Sustainability Report 2024 is their 17th sustainability report since 2008. Themed “Zero in on Nature”, the digital report communicates CDL’s progress towards their material ESG goals and targets, established under the CDL Future Value 2030 sustainability blueprint. External assurance is key to enhance data credibility and instill confidence in readers. CDL’s external assurance of their sustainability report started in 2009 and has continued to expand. ISR 2023 and ISR 2024’s external assurance has been further elevated in its scope against the GRI Standards, SASB Standards, as well as the TCFD and CDSB frameworks.
This year CDL became the first Singapore company to commit to nature-related disclosures based on the TNFD Recommendations in this report.
CBRE Asia Pacific Research and the U.S. Green Building Council have jointly launched the Asia Pacific Real Estate Chief Sustainability Officer Survey, which provides insights from landlords and investors across the region on how they are addressing the ESG imperative, the role of the CSO in achieving their goals, and their companies’ level of preparedness in achieving net zero, as well as any obstacles that are hindering progress.Key findings include:
Having a CSO or Head of ESG is seen as essential: More than 80% of sampled landlords and investors have established designated roles for such functions in Asia Pacific.
Asset owners’ net zero target is 20 years later than occupiers: About half of the surveyed asset owners cited 2050 as their target to achieve net zero. However, a separate CBRE ESG survey finds that many multinational occupiers are aiming to reach net zero by 2030.
Adoption of green-certified buildings is accelerating: Asset owners will increase the number of green buildings in their portfolios in the coming three years, although availability of green office space lags market demand.
Asset owners have widely adopted green finance: 75% of surveyed asset owners have adopted green financing for capital-heavy construction and acquisition of green buildings, with Sustainability-Linked Bonds also proliferating.
In today’s dynamic business landscape, where environmental concerns are at the forefront of global discussions, the Indian real estate sector has embraced a transformative shift towards sustainability. One of the pioneering Indian sectors – real estate is revolutionizing the industry through Grade A ecosystems of green office spaces while contributing to a thriving economy. India is currently ranked third in the world with more than 752 LEED-certified properties after China in Canada, basis USGBC Annual list.
A holistic, sustainability-driven, Grade A ecosystem is fostering business growth across India, through several initiatives:
Setting Industry Standards for Green Office Ecosystems The real estate industry’s shift towards sustainability is marked by a growing preference for green office spaces that seamlessly blend eco-consciousness with industry-relevant standards. These spaces are designed with a deep consideration for energy efficiency, resource conservation, and reduced carbon footprint. By incorporating advanced technologies and innovative architectural designs, green office spaces not only promote a healthier environment but also set a new benchmark for industry standards, inspiring others to follow suit in creating sustainable workspaces.
Sustainable Practices at the Core Getting these green standards in place requires collaboration. Real estate professionals, architects, environmental experts, and regulators need to join forces. They will need to establish clear metrics for energy usage, water management, indoor air quality, and all-around sustainability. Certifications offered by esteemed organizations like LEED & IGBC add weight, serving as a seal of approval for genuine green credentials. As the demand for sustainable workplaces surges, these green office space standards are pivotal. Those who construct and use these spaces are shaping a cleaner and greener future.
Preferred Choice for Organizations and Employees Grade A green office spaces’ success transcends mere adherence to environmental benchmarks; they have evolved into the favoured choice for both organizations and employees. In today’s professional landscape, there is profound esteem for spaces that harmonize with sustainability-oriented principles. Consequently, employee preferences for eco-conscious work environments influence organizational decisions significantly. Abundant greenery, natural illumination, and fresh air collectively exert a positive influence on the overall work milieu, fostering heightened creativity, engagement, and job satisfaction.
Fostering Business Growth These practices have not only resulted in positive environmental impact but also spurred humungous business growth and aided economic growth. The adoption of sustainable practices has led to the creation of jobs in various sectors, ranging from renewable energy installation to eco-friendly construction materials.
The influx of businesses into these spaces has led to increased foot traffic in areas within these ecosystems, benefiting local businesses such as cafes, restaurants, and retail stores around. The growth of these businesses, in turn, generates employment opportunities and contributes to the overall economic vitality of the region.
In conclusion On the path to sustainability, the Grade A ecosystems within green office spaces adeptly strike a harmonious equilibrium between modern infrastructure and ecological accountability. However, the influence of these spaces extends beyond environmental preservation. Responsible businesses prioritize eco-friendly and healthy workspaces that align with their values, ensuring sustainable growth in demand for these thoughtfully designed environments.
During the past years, businesses have experienced a series of once-in-a-generation challenges, forcing them to re-evaluate how they operate. From COVID-19 to geopolitical instabilities, these challenges have shown that individual events, activities and decisions all have impacts that cascade throughout a value chain, potentially with global consequences.
The challenges posted by COVID-19 have underscored the true meaning and importance of ‘Business as Mutual’. No man is an island, and no business can act independently. We need to work together in order to thrive. One thing is clear: moving forward, business as usual is obsolete. We must transition to Business as Mutual.
What is Business as Mutual?
Business as Mutual (BAM) is Link’s future-fit leadership mindset and management tool designed to achieve long-term business sustainability through dynamic engagement with stakeholders.
BAM positions Link and other stakeholders as an ecosystem, in which all stakeholders coordinate and align efforts to address common material issues instead of Link-centric topics alone.
This approach is critical to maximise value creation and build a resilient ecosystem where our business, stakeholders and the community can work together on common and material ecosystem issues collaboratively.
Not only is this good for Link but it also contributes to creating ecosystem-wide shared value for all stakeholders, such as better economic performance, environmental resilience and social inclusion.
We apply the BAM approach throughout our business, including our approach to sustainability. For any project we execute or ecosystem issue we try to address, we actively engage with and collaborate with our stakeholders to inform and evolve our thinking and decisions.
Integrating BAM at Link
Over the years, we have implemented BAM in multiple areas of our business to help our stakeholder ecosystem flourish. Below are just a few examples:
CONNECTION: an annual ESG stakeholder engagement event to share challenges and solutionsStakeholder engagement workshops for our new community mall at Anderson Road QuarryFood Angel’s We Link We Share Programme sponsored as a project under Link Together Initiative
What’s Next?
As risks and opportunities emerge in a “new normal” environment and broader societal expectations shift, we believe BAM will become more essential than ever in helping our stakeholders and partners achieve long-term ecosystem sustainability.
Going forward, Link will continue to evolve the BAM approach, from strengthening internal governance for BAM to developing a range of tools, metrics and methodologies to accelerate the transformation.
Dr Calvin Lee Kwan
Managing Director – Sustainability and Risk Governance 联营资产管理有限公司
Picture this – despite around 43% of the installed power capacity of India being renewable, coal-based thermal power still contributes to almost 75% of its power generation. However, the country is making rapid strides towards achieving its ambitious goal of meeting 50% of its energy requirements from renewable energy by 2030.
The policy push has been strong, taking cues from which prominent real estate developers have begun to take meaningful steps towards attaining their ESG goals. Renewable energy, more often than not, is the first step towards achieving ESG compliance.
Through CBRE India’s first report on renewable energy, we have tried to answer the below questions and more:
What is the current state of renewable energy across India?
What are the policy measures that central and state governments are providing to boost the adoption of renewable energy in the country?
What are the common challenges that corporate occupiers face in adopting renewable energy and how can they overcome them?
What are the different renewable energy options available to corporates and how can they access those?
How are leading office developers in India aligned with sustainable power?
How can corporates achieve their renewable energy goals?
It has become clear over the last decade that environmental, social and governance risks are financial risks. What does that look like for the year ahead? The 2024 edition of MSCI’s Sustainability and Climate Trends to Watch (formerly ESG and Climate Trends to Watch) brings together the key questions that our global research team are asking, and offers thoughtful analyses and useful insights to help assess and navigate the investment landscape that lies ahead.
