5 ENHANCING VALUE THROUGH SUSTAINABILITY 151 Scope 3 – Emissions by Category 1. Land travel includes travel by car (petrol and diesel), taxi, bus and railway. 2. Distance travelled by air has reduced by 35%, which translates to a similar reduction in air travel emissions. 3. Distance travelled by land has also reduced, but emissions have stayed consistent since FY2022, indicating a high dependence on less efficient travel modes (e.g. car or van) instead of public transport. This is expected due to the nature of our operations and the locations of our sites. Category 6: Business Travel – Total Emissions (tonnes CO2) 0.12 0.10 0.08 0.06 0.04 0.02 800 700 600 500 400 300 200 100 0 Total Emissions (tonnes CO2) Emissions Intensity (tonnes CO2/ employee) 2022 2023 2024 2025 0.07 0.09 0.08 0.11 461.89 753.72 578.05 501.77 Category 7: Employee Commuting – Total Emissions (tonnes CO2) 1,066.73 2023 954.26 2022 1,075.81 2024 849.22 2025 Category 8: Upstream Leased Assets – Total Emissions (tonnes CO2) 884.15 2023 569.25 2022 842.8 2024 778.41 2025 Managing Our Scope 1 and Scope 2 Our commitment to managing emissions is guided by a decarbonisation approach anchored on six strategic levers, focusing on reducing energy use, improving efficiency and avoiding environmental impacts across our operations. During FY2025, reductions in both Scope 1 and Scope 2 emissions were primarily driven by a combination of operational scaling‑down and targeted energy efficiency initiatives. Under Scope 1 emissions, mobile combustion decreased significantly, recording an 8% reduction compared to FY2024, mainly due to the disposal of vehicles and the removal of inactive vehicles following the closure of selected projects. In addition, Scope 1 stationary combustion declined by 7%, reflecting reduced fuel consumption resulting from the scaling down of certain operations. Similarly, Scope 2 emissions were impacted by lower electricity consumption arising from operational adjustments. Electricity usage declined at several healthcare facilities, including KKLP and KLIP, following reduced operational activity. At the Group’s headquarters, three floors were vacated at Menara UEM from June 2025 in preparation for external tenancy and remained unoccupied as at March 2026, further contributing to lower electricity consumption. As a result, overall Scope 2 emissions decreased by 5.14% compared to FY2024.
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