Sustainability Roadmap

The Group has continued to strengthen its commitment to sustainability in recent years. The Group established the sustainability vision, mission and focus areas and actively pursued a number of initiatives and projects. We launched our Sustainability Roadmap in 2021, which includes specific targets and pragmatic actions. In 2023, the Group was aware of the new requirements for corporate sustainability actions and disclosure on a number of fronts, including policy, regulation and investors, therefore we decided to enter the optimisation phase of its sustainability roadmap, with a view to further improving the Group's sustainability performance.



Sustainability Roadmap is led by "Driving Strategic and Innovated Development", and backed by the other four categories, namely “Safeguarding the Environment”, “Building a Sustainable Supply Chain”, "Driving Strategic and Innovated Development", “Nurturing and Supporting Talent”, and “Serving the Community”.

Driving Strategic and Innovative Development
Technological Innovation
Aspects/ Targets 2023 Performance Action
Technology investment — reach HK$600 million by 2025, with clean technology constituting at least 75% The technology investment was HK$486 million, with clean technology representing 71.4% of it
  • Effectively leverage external R&D funds to foster the development of cutting-edge technology
  • Foster collaborations with academic institutions for joint development of novel products and services
  • Engage in strategic investments to bolster start-ups
  • Expand the use of BIM in new contract undertakings
  • Harness technology like MiC, BIM, DfMA to trim on-site working hours, thereby making engineering safer and more efficient
  • Integrate and utilise a range of technologies, such as AI, IoT and big data, VR and AR more extensively
  • Initiate R&D projects focused on industrial automation, including smart factories
  • Kickstart R&D initiatives related to sustainable water resources and wastewater management
R&D and application projects for innovative technologies — 20 projects per year from 2022 onwards 89 projects
Number of published patents, methods, and papers grows annually 7 national and provincial engineering methods, 211 patent authorisation, and 77 paper
100% of technology-related employees trained with innovative concepts or tools by 20251 90%
Apply the Modular Integrated Construction (MiC) in 10 projects each year 20 projects

1 Training in innovative concepts or tools includes, but is not limited to: (1) Training related to innovative construction techniques, such as MiC, BIM, DfMA, BIPV; (2) Business-related innovative tools training, including C-Smart, C-SYS+, information management systems; (3) Training related to innovative technologies, such as carbon capture.


Transition to Carbon Neutrality
Aspects/ Targets 2023 Performance Action
Near-term carbon reduction target
1. reduce carbon intensity by 59% (7.63 tonne/million HKD, Scope 1 and Scope 2) in 2025 compared to 2018;
2. Peak carbon intensity in 2030, reducing carbon intensity by not less than 40% (5.48 tonne/million HKD, Scope 1 and Scope 2) compared to 2022		 8.10 tonne/ million HKD1, down 56% from 2018 and 13% from 2022 Reinforcement of top-level design
  • By 2024, develop and publish a dual-carbon strategic framework
  • Formulate and publish dual-carbon targets by 2024
  • By 2025, enhance basic data statistics and incorporate all 3311 businesses into the Carbon Neutral Cloud Platform
  • Track and evaluate data from carbon reduction projects, and pilot the application of international standards such as SBTi and ISSB
  • By 2024, complete carbon neutral construction pilot projects and promote related carbon reduction technologies

Promotion of dual carbon awareness
  • Establish incentives for dual carbon before 2025
  • Organise annual promotional activities for dual carbon

Advancement of carbon reduction technology
  • Maintain a steady push for green technology research and development, boosting funding for essential carbon reduction technologies like MiC, BIPV, CCUS.
  • Bolster the commercial application of green technology, fostering the use of MiC, BIPV, CCUS in projects.
  • Elevate the international green building certification standing, providing assistance and incentives for owners to adopt green building certification.

Strengthening of internal management
  • Promote carbon reduction in the construction sites, fully electrify all vehicles in Hong Kong and Macau by 2035, and explore the application of hydrogen energy
  • Promote carbon reduction in the offices by adopting energy-efficient electrical appliances and lighting, reducing electricity consumption in office buildings, encouraging paperless office and reducing office paper consumption
Long-term carbon reduction target — Achieve carbon neutrality in 2050  
Provide low carbon training to all relevant staff annually 92% of relevant staff received low-carbon training
Provide low carbon training to all relevant new staff 100 % of relevant new staff received low-carbon training
The utilisation of low carbon and environmentally friendly generators at construction sites in Hong Kong — 100% by 2026 >70%


Best Governance Practices
Aspects/ Targets 2023 Performance Action
Diversity on Boards — 30% of Board members to be women by 2030 14%
  • Implement a mechanism to verify anti-corruption compliance among suppliers
  • Join the United Nations Global Compact
  • Develop a data security policy under the supervision of the board of directors
  • Perform an audit of anti-corruption policies and ethical standards every three years
  • Establish a comprehensive executive compensation and incentive system tied to ESG performance
Link executive compensation to ESG performance by 2025 Relevant programs are under development
1 ESG demonstration project per year Hong Kong O·PARK2, the first project that achieved carbon neutrality during construction, was completed this year. Experience from this project has been shared of the COP28.
Complete a Code of Business Ethics by 2024. Ensure 100% of employees (including part-time) and contractors receive anticorruption and business ethics training2 Relevant policies and standards have been established and training has been given to all employees and contractors
Ensure 100% of employees (including part-time) and contractors receive data security training3 100 % employees have received the relevant training
0 significant data security incidents each year 0

2 Training includes: face-to-face sessions, written materials, and video instruction

3 The definition of training is the same as above.



Safeguarding the Environment
Green Operation
Aspects/ Targets 2023 Performance Action
Reduce the hazardous waste intensity (generation/turnover) 0.1 tonnes/HK$ million
  • Reduce diesel use on construction sites
  • Utilise electricity from power companies in projects as early as possible
  • Increase recycling, reuse and improve on-site practices
  • Reduce and recycle construction waste on site, especially in civil engineering works where excavated material can be recycled as backfill or used for environmental restoration of sites
  • Develop specific energy and water resource plans
  • Develop TNFD disclosure plans
  • Develop specific waste recycling program
Increase the recycling rate of non-hazardous waste 48.53%
Reduce water consumption intensity (water consumption/turnover) 108.06 cubic metres/HK$ million
Reduce energy intensity (energy consumption/turnover) 7.17 MWh/HK$ million
Reduce the landfill and incineration waste intensity (disposal/turnover) 4.31tonnes/HK$ million
Conduct a biodiversity risk assessment for all sites in 2024 Relevant programs are under development


Building a Sustainable Supply Chain
Supply Chain Management
Aspects/ Targets 2023 Performance Action
Each business division organises 2 training sessions for relevant staff per year Each business division has organised & training sessions for staff.
  • Establish a group-level policy for forest protection
  • Establish material wastage rate targets for subcontractors
  • Provide incentives for suppliers and subcontractors to meet the Group’s safety and environmental requirements in order to continuously improve their social responsibility performance
  • Support the Hong Kong Construction Industry Council’s “Registered Specialist Trade Contractors Scheme” and prefer engaging registered contractors (RSTCs)
  • Link the supply chain to UN Sustainable Development Goals (SDGs)
  • Provide sustainable supply chain training to relevant staff
  • Provide sustainable supply chain training to suppliers and sub-contractors
Each business division organises an annual training or seminar for suppliers and subcontractors to communicate the Group’s sustainability requirements Two-thirds of platform companies have accomplished the task


Sustainable Materials
Aspects/ Targets 2023 Performance Action
All timber purchased by CSHK should be with FSC/PEFC certification by 2025 99.8% Establish a database of low carbon materials and products to facilitate related procurement
Enhance the use of green and low-carbon building　materials and equipment Each business division has increased the use of green and low-carbon building materials and equipment


Nurturing and Supporting Talent
Talent Acquisition and Retention
Aspects/ Targets 2023 Performance Action
Percentage of personal performance review4 for monthly paid employees — 100% by 2025 100%
  • Establish a performance-based compensation system for monthly paid staff
  • Include learning and development plans in the performance review of senior and middle management
  • Improve internal job mobility
  • Expand recruitment programs, including the Sons of the Sea and Sea’s Recruits programs at the group level, and the programs of business divisions
Employee turnover rate — below 25% by 2025 16%
Conduct an anonymous employee satisfaction survey annually Two-thirds of platform companies have accomplished the task, with a half of these completing it multiple times
Conduct an anonymous employee engagement survey annually Pilot program was inifiated and a third of platfom companies accomplished the task

4 The personal performance review includes entry-to-job assessment, and annual personal performance evaluation.



Staff Training
Aspects/ Targets 2023 Performance Action
Training percentage of monthly paid employees — 95% by 2022; 100% by 2023 88%
  • Provide a variety of training for staff and help them acquire future-oriented skills
  • Enhance training related to sustainable development, such as training on diversity policies and low carbon initiatives
Average training hours of monthly paid employees — 15 hours by 2025 20.8 hours


Occupational Safety
Aspects/ Targets 2023 Performance Action
Occupational injury rate — below 6.0 per 1,000 persons by 2025 3.8 Establish a mechanism for subcontractor workers to report safety hazards
Annual safety and health training covers 100% of employees (including part-time employees) and Tier 1 contractors by 2025 55%
Maintain 100% of companies’ ISO45001 certification Two-thirds of platform companies have obtained the relevant certification
Lost Time Injury Rate (LTIR) — less than 1.2% per 200,000 hours 0.4


Serving the Community
Community Investment
Aspects/ Targets 2023 Performance Action
Community projects organised/co-organised/participated — at least 80 projects per year by 2025 >200
  • Link community investment policy to the UN Sustainable Development Goals (SDGs)
  • Arrange project staff to communicate with and understand the needs of local communities in the vicinity of project sites
Employee volunteer hours — increase by 15% in 2025 compared to 2020 22,929 hours, an increase of 15% over 2020
Employee volunteer attendance — increase by 15% in 2025 compared to 2020 6,832 attendances, an increase of 59% over 2020
Community investment amount — increase by 15% in 2025 compared to 2020 HKD 5,827 thousand2, an increase of 45% over 2020.


Employment Opportunities for Disadvantaged Groups and Young People
Aspects/ Targets 2023 Performance Action
Number/amount of apprenticeship — 30 places per year for young apprentices with low-income background from 2022 onwards 173 Provide study grants to encourage apprentices from low-income background

1 Converting volunteer hours to money, the 2020 standard has been re-estimated as follows: Volunteer hours in 2020 are worth approximately HKD2,875 thousand, and the community investment amount reported in 2020 is approximately HKD1,157 thousand, for a total of approximately HKD4,032 thousand.

2 Including about HKD 3,520 thousand equivalent salary of volunteer hours.

3 The Group was allocated 17 apprentices from the "Apprenticeship Training Scheme" of the Hong Kong Construction Industry Council. The Group is willing to sponsor more apprentices to join the construction industry.