Al-`Aqar Healthcare REIT Annual Report 2020

AL-`AQAR HEALTHCARE REIT Annual Report 2020 70 Sustainability Statement SUSTAINABILITY PILLARS To withhold the core principles of the REIT for sustainability, the Manager established three key sustainability pillars. Listed below are the key sustainability pillars that are vital in ensuring that the actions taken by the Manager on behalf of the REIT support the overall sustainability objectives. MATERIALITY ASSESSMENT A materiality assessment is vital in identifying and prioritising sustainability matters that may be influential in determining the direction of REIT operations by the Manager. The sustainability matters are identified from an Environment, Economic, Social and Governance (“EESG”) perspective. To ensure that the material sustainable matters remain substantial for this financial year, a review of material issues was assessed by the head of departments of the Manager. Overall, the team re-categorised the sustainability matters to ensure broader coverage and identified new matters to be prioritised. The results of the materiality review are reflected in the matrix below: LEVEL OF STAKEHOLDERS CONCERN HIGH HIGH LOW POTENTIAL BUSINESS IMPACT 18 1 16 14 10 6 17 15 11 7 12 8 13 9 19 2 4 20 3 5 Material EESG matters 1 Regulatory Compliance 2 Risk Management 3 Corporate Governance 4 Financial Performance 5 Anti-Corruption 6 Procurement Practices (Value Chain) 7 Diversity 8 Waste & Effluent Management 9 Energy Management 10 Water Management 11 Labour Practices 12 Production & Services Responsibility 13 Community Investment 14 Supply Chain 15 Human Rights 16 Occupational Health & Safety 17 Indirect Economic Impact 18 Emissions 19 Anti-Competitive Behaviour 20 Land Remediation, Contaminations or Degradation GOVERNANCE PARTNER PEOPLE SUSTAINABLE FUND