With the rising awareness of sustainability and the HKEx’s (Hong Kong Exchanges and Clearing Limited) new listing rules, listed companies are now obliged to publish an ESG (Environmental, Social and Governance) report annually to disclose their green approach towards sustainability. ESG Dashboard was developed to assist listed companies with ESG reporting and risk management.
Leveraging more than 20 years of unique knowledge and experience in environmental IT and environmental data management systems, ESG Dashboard streamlines the collection of relevant data and information from the issuer’s business operations, enabling listed companies to monitor their ESG reporting progress. ESG Dashboard converts mass data into presentable environmental and social data which helps with the fulfilment of the requirements. All of these features make ESG Dashboard your indispensable ESG reporting tool.
How does ESG Dashboard help?
An ESG report includes two subject areas: Subject Area A Environmental and Subject Area B Social. Environmental requires an issuer to report on its company’s emissions, use of resources, and the company’s impact on the environment and natural resources. Social requires an issuer to report on its company’s employment and labour practices, operating practices, and community investment.
The ESG Reporting Guide by the HKEx does not prescribe which entities in an issuer’s group and/or which operations should be included in the ESG report. An issuer should decide on and disclose the operational boundaries of its ESG report depending on the materiality of different ESG issues. An ESG issue is material when it becomes sufficiently important to investors and other stakeholders to be reported. If there is any change(s) in the operational boundaries, the issuer should explain the difference and reason for the change(s).
The “comply or explain” provisions require an issuer to state in its ESG report whether it has complied with the “comply or explain” provisions for the relevant financial year. Otherwise, it must explain and give reasons. Recommended disclosures are optional, they are recommended best practices that do not require reasons to be given if they are not reported.
There are two levels of provisions in ESG Reporting Guide by the HKEx: (a) “comply or explain” provisions and (b) recommended disclosures. All KPIs in Environmental are listed under “comply or explain” provisions; all KPIs in Social are listed under recommended disclosures. If the issuer decides not to report on any of the KPIs in the “comply or explain” provisions, it must provide reasons in its ESG report. An issuer must report on all KPIs in the “comply or explain” provisions, while KPIs in recommended disclosures are optional.
– Streamline ESG Tasks:
ESG Dashboard helps an issuer to formulate an ESG working team and duly shares ESG tasks among the issuer’s team members. It also generates an ESG Report that complies with HKEx’s requirements.
– Calculate and Manage ESG Data:
ESG Dashboard assists the issuer to collect relevant information and convert raw data into presentable environmental data. Each of the ESG data entries will be recorded. The issuer is not required to have relevant environmental knowledge in ESG reporting.
– Benchmark ESG Performance:
ESG Dashboard benchmarks the issuer’s ESG performance, including quarterly and yearly comparison and comparison against the industry average in terms of energy and water consumption and carbon emission.
An issuer can consider writing an ESG report in a simple and concise manner, and can consider targeting the relevant stakeholders and delivering with eloquence its key messages. An issuer may explain data with graphs or charts and include case studies to emphasise particular policies or practices of its company.
An issuer is obliged to publish an ESG report annually. An ESG report must be published within three months after its annual report, covering the same financial year as annual report. An issuer with its financial year ended 31 December must submit its ESG report on or before 30 April; an issuer with its financial year ended 31 March must submit its ESG report on or before 31 July the same year.
The board should be involved in the preparation of the ESG report. The board should sign off the report because it has the overall responsibility to evaluate the issuer’s ESG-related risks and strategy, and to ensure effective ESG risk management and internal control systems are in place.
We take the user’s data protection concerns seriously. You retain ownership of the data. In case you need to access your data after your subscription expires, we will continue to store your data for 30 days after the end of your subscription period. All data and files stored will be permanently removed from our servers after the period.
Direct GHG emissions are emissions from sources that are owned by the reporting issuer; indirect GHG emissions are emissions that are a consequence of the activities of the reporting issuer, but occur at sources owned or controlled by another entity.
For ESG reporting, hazardous waste comprises chemical wastes, clinical wastes and hazardous chemicals. An issuer may also refer to international conventions such as Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their disposal (1989) which defines hazardous wastes as clinical and chemical wastes, as well as inks, dyes, paints and lacquers products wastes, etc.
For non-hazardous waste, it includes garden wastes, construction or demolition wastes, commercial wastes, residential or domestic wastes, and grease trap wastes. Waste data can be obtained from facilities managers and/ or waste contractors. More details can be found in relevant local or national regulations.
Use of Resources is concerned with the quantity, as in how much resources an issuer consumes and The Environment and Natural Resources is concerned with the impact of an issuer’s activities on the environment and natural resources, such as an issuer’s impact on water supply and biodiversity.
An issuer may describe the respective treatments or practices of hazardous and non-hazardous wastes. It may report on targets and policies adopted in reducing both types of wastes. The issuer should also disclose measures implemented in waste reduction and the results with reference to the targets set.
An issuer may report on efficiency initiatives such as process redesign; conversion and retrofitting of equipment; changes in employee practices or operations that save energy. An issuer may consider reporting on any targets and policies on reducing emissions, measures taken to lower emissions and their results with reference to the targets set.
Total energy consumption should include the calculation of non-renewable and renewable fuel consumption, electricity, heating, cooling and steam purchased for consumption as well as self-generated after excluding electricity, heating, cooling and steam sold.