2. Goal of Sustainability Reporting
– Disclosure on most
significant impacts
– Communicate organization’s
value and governance model
– Link between strategy and
commitment to sustainable
economy
– Promote change towards a
“sustainable economy”
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3. Why do sustainability reporting
– Sometimes mandatory (HKEx Rule 13.91)
– Telling stakeholders what we do and
getting their support
– Reputation protection
• Being seen as a ‘good’ company which
takes care on ESG
• ‘Ballast’ for your corporate reputation
when bad news breaks
– Increasing management attention to ESG
– Attracting long-term SRI and lowering
cost of capital
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5. Road map
2011-12
• Consultation on ESG Guide
31 Dec 12
• Implementation of ESG Guide
2015
• Consultation on Review of ESG Guide
1 Jan 16
• Rule changes, upgrade of ”General Disclosures” to “comply or
explain” and revised recommended disclosures effective
1 Jan 17
• Upgrade of Environmental KPIs to “comply or explain” effective
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6. Upgraded ESG Disclosure Obligation
– Rule 13.91
• Obligation to publish an ESG Report on an annual basis, covering
the same financial year as annual report
– Provisions in the Guide – two levels
• “Comply or explain” provisions
• Recommended disclosures
– “Comply or explain” provisions:
• General Disclosures (for issuers' financial years commencing on or
after 1 January 2016)
• Environmental KPIs (for issuers' financial years commencing on or
after 1 January 2017)
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19. GRI: The Global Reporting Initiative
– GRI’s vision: A sustainable global economy where
organizations manage their economic, environmental,
social and governance performance and impacts
responsibly and report transparently.
– GRI’s mission: To make sustainability reporting standard
practice by providing guidance and support to
organizations.
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20. How to produce a GRI report
Obtain an overview of GRI Standards (Reporting
principles, Standard disclosures and Key terms)
Choose an ‘In Accordance’ option (Core or
Comprehensive)
Prepare to disclose ‘General Disclosures’
Prepare to disclose ‘Topic-Specific Standards’ &
their Management Approach
Prepare the Sustainability Report
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21. GRI Standards Documents
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The GRI Standards incorporate the key concepts and disclosures from the G4
Guidelines and G4 Implementation Manual, but with a new and improved
structure and format
(source: Introducing the GRI Standards – Presentation https://www.globalreporting.org/standards/resource-download-center/)
22. The GRI Standards
- GRI 101, 102, 103
3 universal Standards,
applicable to all organizations
- GRI 200, 300, 400
33 topic-specific Standards,
organized into Economic,
Environmental, and Social
series
Organizations select and use only
the relevant topic-specific
Standards, based on their
material topics
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23. Sector Disclosures
– Sector Disclosures
• Construction and real estate
www.globalreporting.org/standards/sector-guidance/sectorguidanceG4/Pages/default.aspx
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25. Focusing on Materiality
– Topic: Any possible sustainability
subject
– Material Topics:
Those that reflect the reporting
organization’s significant economic,
environmental, and social impacts
OR substantively influence the
assessments and decisions of
stakeholders
– Topic Boundaries: Where impacts
occur for each material topic
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26. GRI 102: General Disclosures
Core requirements for the following disclosures
• Organizational profile (Disclosures 102-1 to 102-13)
• Strategy and analysis (Disclosure 102-14)
• Ethics and integrity (Disclosure 102-16)
• Governance (Disclosure 102-18)
• Stakeholder engagement (Disclosures 102-40 to 102-44)
• Reporting Practice (Disclosures 102-45 to 102-56)
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27. GRI 103: Management Approach
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GRI 103-1: Explanation of the material topic and its
Boundary
a. An explanation of why the topic is material.
b. The Boundary for the material topic, which includes a description of:
i. where the impacts occur;
ii. the organization’s involvement with the impacts. For example,
whether the organization has caused or contributed to the
impacts, or is directly linked to the impacts through its
business relationships.
c. Any specific limitation regarding the topic Boundary.
28. GRI 103: Management Approach
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GRI 103-2: The management approach and its components
a. An explanation of how the organization manages the topic.
b. A statement of the purpose of the management approach.
c. A description of the following, if the management approach includes
that component:
i. Policies
ii. Commitments
iii. Goals and targets
iv. Responsibilities
v. Resources
vi. Grievance mechanisms
vii. Specific actions, such as processes,
projects, programs and initiatives
29. GRI 103: Management Approach
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GRI 103-3: Evaluation of the management approach
a. An explanation of how the organization evaluates the management
approach, including:
i. the mechanisms for evaluating the effectiveness of the
management approach;
ii. the results of the evaluation of the management approach;
iii. any related adjustments to the management approach.
30. GRI 200: Topic-specific Standards: Economic
Information on an organization’s material impacts related to
economic topics
• GRI 201 Economic Performance
• GRI 202 Market Presence
• GRI 203 Indirect Economic Impacts
• GRI 204 Procurement Practice
• GRI 205 Anti-corruption
• GRI 206 Anti-competitive Behavior
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31. GRI 300: Topic-specific Standards: Environmental
Information on an organization’s material impacts related to
environmental topics
• GRI 301 Materials
• GRI 302 Energy
• GRI 303 Water
• GRI 304 Biodiversity
• GRI 305 Emissions
• GRI 306 Effluents and Waste
• GRI 307 Environmental Compliance
• GRI 308 Supplier Environmental Assessment
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32. GRI 400: Topic-specific Standards: Social
Information on an organization’s material impacts related to
social topics
• GRI 401 Employment
• GRI 402 Labor/Management Relations
• GRI 403 Occupational Health and Safety
• GRI 404 Training and Education
• GRI 405 Diversity and Equal Opportunity
• GRI 406 Non-discrimination
• GRI 407 Freedom of Association and Collective Bargaining
• GRI 408 Child Labor
• GRI 409 Forced or Compulsory Labor
• GRI 410 Security Practices
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33. GRI 400: Topic-specific Standards: Social
Information on an organization’s material impacts related to
social topics (cont.)
• GRI 411 Rights of Indigenous People
• GRI 412 Human Rights Assessment
• GRI 413 Local Communities
• GRI 414 Supplier Social Assessment
• GRI 415 Public Policy
• GRI 416 Customer Health and Safety
• GRI 417 Marketing and Labelling
• GRI 418 Customer Privacy
• GRI 419 Socioeconomic Compliance
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