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Sustainable & Efficient OperationsPILLAR 2: PROPERTY PORTFOLIOESR Group LimitedEnvironmental, Social and Governance Report 202442The Group has a strategy to enhance the overall environmental performance of all our buildings across our entire portfolio, working continuously to improve (i) energy efficiency to reduce electricity and fuel consumption, (ii) emissions reduction to reduce our carbon footprint; (iii) water efficiency to reduce water consumption, including for our tenants; (iv) waste management to conserve natural resources, (v) adoption of sustainable materials for circularity; (vi) durability of building design and features. Some of the key measures that are being implemented across all markets for applicable assets are listed in the table below. The Group, together with relevant asset management and property management teams across business units, closely monitor the implementation of these measures and report their progress at appropriate forums on a regular basis (e.g., monthly or quarterly asset management meetings).Reducing energy load of the buildings through green walls, improved insulation of exterior walls and thermal insulation of glass fa%u00e7ade via solar shieldingEnhancing building equipment such as HVAC systems, as part of continual asset enhancement initiativesManaging cooling tower water efficiently to optimise recirculation cycles and minimise water usagePartnering with local suppliers to reduce carbon footprint and promote local businessesProcuring materials with green certifications such as Carpet and Rug Institute Green Label, FloorScore and legally harvested timberUsing recycled content in our construction sites and office spacesReducing the use of ambient concentrations of chemical contaminantsConstructing robust external walls that apply to up to two metres from the groundInstalling hard-wearing floors to allow for easy maintenance and washingApplying impact protection features on doors and corridors to reduce wear and tearCreating kerbs for protection of external walls in delivery and vehicle drop-off areasImplementing intelligent subsurface irrigation systems with soil moisture sensors that provide controlled drip irrigation for native plant speciesObtaining green ratings for our amenities such as the Water Sense label (US EPA) and LEEDv4 (fixture and fitting code requirements)Using recycled water like treated wastewater and stormwater for nonpotable purposesProviding appropriate on-site waste collection and segregation facilities or infrastructureEnsuring proper and responsible waste disposal (e.g., proper management and disposal of recyclables, general waste, e-waste, hazardous waste)Promoting waste diversion from landfill by prioritising waste management methods such as reducing, reusing, recycling, wasteto-energy, composting.Reducing amount of waste generation to improve resource conservationSwitching to energy -efficient appliances and equipment as part of continual asset enhancement initiativesUtilising renewable energy sources available on-site, such as solar/photovoltaic, biofuels, geothermal, hydro, or windOpting for renewable grids with low-carbon emissions, if accessibleAdopting smart building technologies such as advanced building management systems, software and sensors where feasibleEnabling thermal temperature customisation in at least 50% of individual occupant spacesImplementing lighting control functions in at least 90% of individual occupant spacesReplacing conventional lighting with energy-saving alternatives, such as LEDsIncorporating natural sunlight to illuminate building spaces, achieving at least 75% lighting in regularly occupied floor areas)Utilising self-contained hot water systems that achieve an efficiency of 85% or higherEnergy & Greenhouse Gas Emissions ManagementEnvironmental Resource (Water & Waste) ManagementSustainable MaterialsBuilt to Last%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022%u2022