2019 UEM Edgenta Annual Report

76 77 UEM Edgenta Berhad UEM EDGENTA AT A GLANCE MESSAGE FROM OUR LEADERSHIP STRATEGIC FOCUS OPERATIONAL REVIEW SUSTAINABILITY EFFORTS CORPORATE GOVERNANCE INTRODUCTION FINANCIAL REVIEW ADDITIONAL INFORMATION Annual Report 2019 The Environmental pillar addresses sustainability initiatives in relation to the creation of a Better Planet. In addition to activities we adopt to improve our own impact on the environment, the asset and building management solutions we provide for our clients also create outcomes which minimise carbon emissions. ENVIRONMENTAL Emissions Monitoring BETTER PLANET – CLIMATE POSITIVE Equipping Our Customers with Energy Efficient Solutions In addition to the climate positive activities we undertake for our own operations, we also play a role in contributing to our clients’ efforts to reduce their carbon emission. This is also in line with Malaysia’s climate change commitments under COP24 (24 th Conference of the Parties to the United Nations Framework Convention on Climate Change 2018), which builds on Malaysia’s commitment to a 40% reduction in CO 2 intensity during COP15. Since 2013, we have undertaken energy efficiency initiatives for 80 buildings under our management, creating 81.4 million kWh in energy savings and 56.5 kTCO 2 e in CO 2 abatement every year, as well as more than RM55 million in energy cost savings between 2017 and 2019. The buildings we manage have also recorded an average energy savings of 20%-30%. All 32 of the government hospitals we manage in Northern Peninsular Malaysia have received 1 or 2-star ratings by AEMAS / EMGS and 28 buildings have been certified as Green buildings with GBI ratings or through our energy efficiency solutions. Among notable Green Building and energy management projects we have undertaken include the Perdana Putra Building, which houses the office of the Prime Minister of Malaysia. This building was recognised as Best Energy Efficiency Retrofitted Building, Lowest Energy Usage among Ministry & Government Complex at the National Energy Awards 2018 as well as First Runner-Up, Energy Efficiency Building in the Retrofitted Building sub-category at the ASEAN Energy Awards 2018. BETTER PLANET – CLIMATE POSITIVE All government hospitals under our management in Northern Peninsular Malaysia rated AEMAS / EMGS 1 or 2-Star Energy saving per annum 81.4 million kWh Total capex spending on energy projects to date >RM100 million 32 Typical payback period 5-7 years CO 2 abatement per annum 56.5 kTCO 2 e (GBI)-rated building / provided energy efficiency solutions 28 Green Buildings Approximately 80 buildings for which we have undertaken energy efficiency initiatives 80 Energy bill savings 2017-2019 >RM55 million Average energy savings attained 20-30% Our scope of work for the project, which included energy retrofitting to achieve GBI Platinum certification; integrated facilities management and Replacement Through Asset lifecycle management programme, resulted in a 39.4% reduction in electricity consumption, 39.6% decrease in water consumption, a diversion of 12 tonnes of recyclable waste from landfills annually and 430 kg of organic waste from landfills daily. We have also provided engineering-based energy efficiency solutions through our sustainability programmes for MoH Malaysia hospitals since 2016. In 2019, this project was recognised at the National Energy Awards 2019 as Runner-Up, Energy Management in Large Buildings. reduction in electricity consumption 39.4% decrease in water consumption 39.6% 430 kg of organic waste from landfills daily Sustainability Statement Sustainability Statement