56 Environmental, Social and Governance Report 2023 PILLAR 2: PROPERTY PORTFOLIO Core Elements of IFRS S2 Recommendations ESR-LOGOS REIT’s Approach and Progress Metrics & Targets ESR-LOGOS REIT uses the following metrics to assess climate-related risks and opportunities: (i) GHG emissions; (ii) Energy consumption; (iii) Solar power generation; (iv) Water intensity; and (v) Green Mark certification. We will continue to explore other relevant metrics to measure climate-related risks and opportunities. (i) ESR-LOGOS REIT currently has Scope 1 & 2 GHG emissions disclosures in our annual sustainability reports. We are building capabilities to account for our Scope 3 emissions and will disclose it once ready, in line with SGX-ST and ACRA requirements for listed companies. (ii), (iii) & (v) ESR-LOGOS REIT aims to: — Achieve Green Mark certifications for 80.0% of Singapore buildings (by floor area) by FY2030; — Achieve 7.0% reduction in total energy consumption for Singapore MTBs from FY2023 to FY2030; — Achieve 50.0% increase in solar power generation by FY2025 (from base year FY2019). (iv) ESR-LOGOS REIT aims to: — Obtain WEB certifications for all Singapore MTBs by FY2025; — Achieve WEB certification for 10.0% of the new MTBs every year; — Reduce water intensity for MTBs by 2.0% annually or by 14.0% from FY2023 to FY2030. Climate Change Adaptation: ESR-LOGOS REIT aims to disclose adaptation and mitigation plans aligned to TCFD by FY2025. In Hong Kong, Fortune REIT also recognised the importance of addressing climate change and took steps to assess the impacts on the company’s financial performance and position. To achieve this, Fortune REIT identified 17 material climate risks and opportunities including potential revenue loss, increased operating costs, higher insurance expenses and reduced investor interest. In response, Fortune REIT was firmly committed to building resilience by obtaining green building certifications for all 16 assets in Hong Kong, setting emissions reduction targets approved by the Science-Based target Initiative, and actively working to measure and reduce Scope 3 emissions while collaborating with tenants to minimise their carbon footprint. Further details are disclosed in the table on subsequent pages. Climate Change Resilience
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