Accelerating efforts towards sustainability in the new year 

I am delighted to share some exciting updates with you as we near the end of 2023. The United Nations Climate Change conference, COP28, concluded with a historic agreement to transition away from fossil fuels, triple renewable energy and increase climate finance for the most vulnerable. Here at HKIA, we have been dedicated to operating an airport that is both low-carbon and climate-resilient, working hand in hand with our business partners for over a decade. As the year draws to a close, I am pleased to reflect on the remarkable achievements we have accomplished together:

• HKIA Carbon Capacity Building Programme – Our partnership with the Business Environment Council for this programme has continued to be very positive this year. Through a series of ten events since the programme’s launch in 2022, we have empowered our business partners to develop their knowledge and skills in carbon management, enabling them to contribute towards our HKIA 2050 Net Zero Carbon Pledge.
• Onsite Solar Study –We have conducted an extensive study across HKIA to identify existing and planned sites for solar PV projects with the potential to harness renewable energy. We also selected a small number of sites to explore on behalf of the business partners as part of the study to support airport-wide renewable energy implementation.
• Preparation for Municipal Solid Waste (MSW) Charging – We have worked diligently with airlines, tenants, and cleaning service providers operating at HKIA to establish a practical charging scheme and conduct onsite trials in anticipation of the implementation of MSW charging. These efforts ensure a seamless transition when the charging scheme comes into effect next year.
• Fish Fry Release - Building upon the successful results of the fish restocking pilot test in 2019, aimed at enhancing marine ecology and fisheries resources surrounding HKIA, we have released approximately 20,000 fish fingerlings at the pilot artificial reef site and about 1,000,000 shrimp fry in northwest Lantau waters this year.

• Sustainalytics - Achieved a low-risk rating in ESG performance. Amongst the 86 airports evaluated, AAHK ranks in the top 4 in the airport sector and we maintained our position in the top 3 percent globally in terms of ESG performance.
• BEAM Plus - The Sky Bridge was awarded the final platinum rating for BEAM Plus New Buildings from the Hong Kong Green Building Council.
• CLP Smart Energy Award 2023 – Low Carbon Driving Award
• 2023 Standard Chartered Corporate Achievement Awards – Sustainable Corporate (Environmental) – Leadership Award
• HKQAA Hong Kong Green and Sustainable Finance Awards 2023 – Outstanding Award for Green and Sustainable Bond Issuer (Infrastructure) – Largest Single Green Bond, Outstanding Award for Climate Disclosure Contribution
• HKMA Hong Kong Sustainability Award 2023 – Merit Award (Large Organization Category), Excellence in Innovation
• HKICPA Best Corporate Governance and ESG Awards 2023 – Gold Award in the Most Sustainable Organisations section (Public Sector/ Not-for-profit (Large) Category)
• Hong Kong Awards for Environmental Excellence 2022– Anniversary special award – Long Participation Award

Peter Lee
General Manager, Sustainability
Airport Authority Hong Kong

Hactl’s Net Zero Targets Approved by The Science-based Targets Initiative 

Q & A with Benny Siu, Head of Safety, Sustainability and Quality Assurance of Hactl

Q: What is Science Based Targets initiative (SBTi)?

A: The SBTi is a global body enabling companies and financial institutions to set ambitious emissions reduction targets in line with the latest climate science. It is focused on accelerating companies across the world to support the global economy to halve emissions before 2030 and achieve net-zero before 2050.
 
Q: What is Hactl’s science-based target and why did you set it?

A: Hactl is committed to reducing our absolute Scope 1 and 2 emissions by 50.4% by 2030, from a 2018 baseline. Our target also includes the reduction of absolute Scope 3 emissions from various sources. Since 2010, Hactl has been actively managing its carbon emissions, and has proudly joined the HKIA 2050 Net Zero Carbon Pledge in 2021. By setting a science-based target, we gain access to valuable resources and guidance that can help us overcome barriers in addressing our Scope 3 emissions. Our aim is to set a precedence for our industry peers to address emissions throughout the value chain.
 
Q: What are the key components of your decarbonisation strategy?

A: Our decarbonisation strategy includes several key components:

• Supporting and investing in renewable energy.
• Enhancing energy efficiency in the terminal and electrifying ground support equipment (GSE) whenever feasible.
• Decarbonising Scope 3 emissions with suppliers to reduce Hactl's upstream emissions from purchased goods and services through sustainable procurement initiatives.
• Collaborating with vendors to develop innovative methods of diverting wood, paper, and plastics from landfills.

Q: Can you provide more detail on how you engage your value chain in the decarbonisation process?

A: "Purchased goods and services" accounted for approximately 50% of the full Scope 3 emissions. Therefore, we have implemented a supplier engagement exercise to identify and engage with top-tier suppliers that are crucial to our business portfolio. This exercise aims to explore and implement decarbonisation opportunities. It enables us to assess the readiness of our suppliers in addressing decarbonisation, and helps identify opportunities to reduce carbon emissions across the supply chain.  To engage our tenants, we are installing smart meters to allow them to track their energy consumption in real-time.

Key Takeaways from COP28

The 28^th United Nations Climate Change Conference (COP28) was held in Dubai from 30 November to 13 December. After two weeks of intense negotiations, nations agreed a landmark deal to transition away from fossil fuels. A raft of new pledges also announced at the summit- from tripling renewables to the first-ever pledge on food systems transformation.  Here are some of the key highlights from COP28:

1. Global Stocktake - COP28 featured the world’s first Global Stocktake, an assessment of global progress in implementing the 2015 Paris Agreement. The findings are stark: the world is not on track to limiting temperature rise to 1.5°C by the end of this century. Nations are expected to submit revised national climate action plans by 2025, with actions on how to accelerate emissions cuts and strengthen climate resilience, and provide the support and finance needed for the transformation.
2. Decarbonisation Pathways - Several pledges and initiatives across energy efficiency, renewables and hydrogen were launched. These include:  

• Global Renewables and Energy Efficiency Pledge - Accelerating deployment of renewables (to triple global installed capacity by 2030) and improving energy efficiency (to double global average annual rate of energy efficiency improvement through 2030) through domestic actions.
• Global Decarbonisation Accelerator - Countries and energy companies committed to scaling up green energy systems, abate emissions from legacy systems, and address non-CO₂ greenhouse gas emissions.
• Pledge on Hydrogen - Establishing mutual recognition of certification schemes for renewable and low-carbon hydrogen and hydrogen derivatives.

3. Climate Reporting - Over 400 large companies, investors and institutions from 64 different countries pledged to align their climate reporting with the International Sustainability Standards Board (ISSB) Standards. This commitment is expected to lead to a growing number of businesses worldwide adopting standardised reporting methods for climate disclosure. 

COP28 marks a crucial step towards achieving a net-zero global economy. For businesses, companies are encouraged to develop robust climate transition action plans that go beyond mere ambition. The time has come to translate targets into actionable steps, charting a credible pathway and fostering collaboration with stakeholders across the value chain to drive decarbonisaction efforts and enhance resilience.
 
Reference:
COP28 Key takeaways for business (davy.ie)
COP28 – Key takeaways and implications (bain.com)