The BGRC provides oversight by reviewing a risk dashboard on a quarterly basis enabling consistent performance reviews, progress updates, and the identification of areas requiring improvement. Responsibility for ensuring compliance with local and international regulatory requirements lay with the respective business operations. The company utilises a robust risk management methodology to assess, mitigate, and manage sustainability risks, including those related to climate change. Strategies are in place to safeguard UEM Edgenta against the adverse effects of climate change while positioning the company to capitalise on emerging sustainability opportunities. The launch of OPUS Consultants as Edgenta’s Energy Solutions in 2023 well places us to capture opportunities that we identify through this robust climate risk management procedure. Before undertaking new business ventures, we conduct Project Risk Assessments as part of our due diligence process to ensure that climate-related risks are factored into investment and operational decisions. The Risk, Integrity & Compliance Department (RICD) plays a key role in facilitating the risk monitoring process, ensuring that risks are identified and effectively managed across both strategic and operational levels. As part of its ongoing efforts, UEM Edgenta has begun identifying climate-related risks and opportunities in alignment with the TCFD and in preparation for the upcoming ISSB S1 and S2 standards. This includes actively monitoring physical risks associated with the assets the company owns, such as flooding, extreme heat, and soil movement, all of which present potential threats to operations. Upon identifying such risks, UEM Edgenta takes immediate action to reduce possible losses and implement effective adaptation strategies to protect its assets and operations. In addition to physical risks, the company is evaluating transition risks linked to climate change, including potential impacts from regulatory changes, carbon taxes, and evolving environmental policies, which could influence business operations and financial stability. To support its climate risk management strategy, UEM Edgenta has introduced a carbon budgeting process designed to track and reduce emissions in line with its net-zero goals. This initiative also considers the effects of changing energy prices and other transition-related risks. Ethical conduct and integrity are deeply embedded in UEM Edgenta’s business operations, reflecting our commitment to safeguarding stakeholder interests and promoting responsible business practices. This commitment extends to addressing risks related to bribery and corruption that is supported by the establishment and implementation of robust Anti-Bribery and Anti-Corruption (ABAC) measures that align with national anticorruption efforts. In 2024, we further advanced this agenda through initiatives such as implementation of integrity awareness session, e-learning module and increase employee engagement through Integrity Day programme. In 2024, UEM Edgenta integrated Corruption Risk Assessment (CRA) processes into its Risk Management Framework and Procedure, strengthening its approach to identifying and addressing corruption-related risks. Reinforcing the company’s zero-tolerance stance on corruption and bribery, this enhancement ensures that integrity remains uncompromised while driving high standards of performance across all operations. The CRA process enables the systematic identification, assessment, and evaluation of corruption risks, with a particular focus on high-risk areas. Corruption risks are effectively managed through robust internal controls, including policies, procedures, and governance frameworks such as the Anti-Bribery and Anti-Corruption Policy (ABAC), the Code of Conduct, Discretionary Authority Limits (DAL), as well as training and awareness programmes. In addition to existing controls, any identified risks are further addressed by developing and implementing additional risk mitigation plans. These plans are regularly monitored and reviewed to ensure their timely completion, relevance, and effectiveness. In order to uphold the highest standards of integrity and governance, we have established quarterly risk, integrity, and compliance monitoring and reporting process embedded into our governance oversight. By embedding strong governance structures and ethical business practices, we reinforce our commitment to sustainability while safeguarding stakeholder trust. Moving forward, UEM Edgenta is fully committed to aligning with international sustainability reporting standards. In the coming years, the company will focus on developing a comprehensive Climate Policy, implementing carbon shadow pricing, and further enhancing its Risk Management Framework (RMF) to ensure full alignment with the ISSB S1 and S2 standards. 119 ENHANCING VALUE THROUGH SUSTAINABILITY
RkJQdWJsaXNoZXIy NDgzMzc=