Sustainability

BOARD STATEMENT

The Board of Directors of the Manager (the “Board”) is pleased to present Suntec REIT’s Sustainability Report for the financial year ended 31 December 2020 (“FY 2020”). This report discloses Suntec REIT’s environmental, social and governance (“ESG”) impacts and its progress towards the goal of sustainable management of its real estate portfolio.

Suntec REIT is focused on its mission in “forging ahead to create, provide and deliver value to all stakeholders”. In achieving the mission, the Board considers sustainability issues as part of its strategic formulation and sets the strategic direction in ensuring good corporate governance, prudent financial management, fair employment practices and efficient utilisation of resources. The Board has approved the material ESG matters and determined them to be relevant for the current year. The Board oversees that these ESG matters are monitored and managed. The Manager stays vigilant in upholding Suntec REIT’s commitments towards sustainability practices and creating value for its stakeholders.

The Manager believes in the importance of integrating sustainability into its business strategies and operations in achieving Suntec REIT’s sustainable economic growth and delivering long-term unitholder value. Suntec REIT achieved the highest 5-star rating in its inaugural GRESB submission in 2020. This is testament to our commitment towards sustainability practices, making a positive impact on the community and the environment as well as our investment in people. Suntec REIT’s sustainability policies, practices and performance are detailed in the sustainability report, which are interrelated to its overall financial performance from the governance, socioeconomic and environmental perspectives.

To access the full Sustainability Report, please click here.

OUR ESG OBJECTIVES

• 

  Conserving the
  Environment

• 

  Being a Responsible
  Corporation

• 

  Promoting Health
  and Safety

• 

  Acting in the Best Interests of our Stakeholders

Suntec REIT recognizes the direct and indirect environmental impacts of our business and are committed to identifying and responding to climate change risks. We seek to protect our environment through improving energy and water consumption efficiencies in the buildings we manage, reducing consumption in natural resources based on established targets and raising staff awareness and their commitment towards green causes.

In FY 2020, the Manager achieved a 20.5% and 38.6% reduction in energy and water intensities from FY 2019 levels, partly because of the lower building usage during COVID-19 pandemic. The REIT is on-track to achieve its 2024 targets set for energy and water intensities. The Manager will continue to monitor and review the environmental performance of its portfolio.

FY 2024 TARGET	FY 2020 PERFORMANCE
To reduce energy intensity by 3% in 2024 from FY 2019 levels	Achieved
To maintain water intensity in FY 2024 from FY 2019 levels	Achieved

The Manager promotes equality, fairness, diversity and trust within an inclusive workplace, and builds an experienced and competent team to manage the REIT. We believe in giving back to the community, through our efforts in staff voluntarism, education, bilingualism and charitable initiatives. In 2020, through an employee fundraising campaign for Children’s Wishing Well, a total of 220 gifts were prepared, inclusive of 100 Christmas gifts requested by the children and 120 “back-to-school” gift sets.

PERPETUAL TARGET	FY 2020 PERFORMANCE
0 validated cases of non-compliance with employment regulations or acts concerning employee rights	Achieved

The Manager values the health, safety and well-being of its employees and encourages healthy lifestyles through providing staff welfare benefits and establishing corporate wellness programs. To maintain a sense of connectedness and promote mental well-being, we leveraged on technology to enable effective virtual communications during lockdown. A weekly newsletter, InsideARA - Staying Connected, was launched to keep all staff engaged and united during this difficult time. Colleagues shared stories on coping with the pandemic and lockdowns, reminding one another that we are all in this fight together. Tips and resources were included to maintain mental and physical wellness. We believe that employees are valuable assets, and a conducive and safe workplace enhances productivity and staff retention.

PERPETUAL TARGET	FY 2020 PERFORMANCE
0 cases of reportable work-related injuries for employees	Achieved

Suntec REIT is committed to upholding a high standard of corporate governance in all of our business, with zero tolerance for unethical conduct. We believe that our strong corporate governance philosophy is crucial in gaining investors’ trust and confidence, and lays down the foundation for our sustainable success.

PERPETUAL TARGET	FY 2020 PERFORMANCE
0 validated cases of corruption, fraud and non-compliance with relevant laws, regulations and Governance Polices	Achieved

The Manager is also aligned with ARA Group’s sustainability commitment to prioritize environmental, social and governance considerations. ARA is the first real assets manager in Asia to be a signatory to the World Green Building Council’s Net Zero Carbon Buildings Commitment and has also pledged to the United Nations-supported Principles for Responsible Investment.

For more information on ARA Group’s sustainability journey and roadmap, please click here.