CapitaLand Investment Limited (CLI) has broadened its sustainability reporting, incorporating new Scope 3 categories and expanding existing ones as part of its latest Global Sustainability Report. This move underscores CLI’s commitment to enhancing its sustainability targets in alignment with its 2030 Sustainability Master Plan (SMP).
The company has added three new Scope 3 categories—Purchased goods and operations, Fuel- and energy-related activities, and Upstream transportation and distribution. Additionally, the scope of the Capital goods category has been broadened. This updated reporting framework aims to better address CLI’s full inventory of Scope 3 emissions and identify key decarbonisation levers across its value chain.
CLI’s Chief Sustainability and Sustainable Investments Officer, Vinamra Srivastava, emphasised the importance of focusing on Scope 3 emissions, which constitute the majority of CLI’s greenhouse gas output. Notably, tenant emissions are the largest contributor to this category. CLI has made progress by increasing the proportion of green leases with tenants in China and Singapore from 43% to 57% by the end of December 2023. The company plans to continue this trend globally.
Efforts to strengthen supply chain management have been a key part of CLI’s strategy. The company is piloting sustainable building innovations sourced from its CapitaLand Sustainability X Challenge (CSXC) and has implemented Environmental, Social, and Governance (ESG)-related capability-building programmes for critical suppliers. These initiatives have led to improved ESG scores among vendors following a third-party due diligence check.
CLI has also made strides in reducing its Scope 1 and 2 emissions. The company commissioned its first 21-megawatt solar power plant in Tamil Nadu, India, and expanded its use of green energy across 44 properties in multiple countries. This shift has mitigated 41,000 tonnes of carbon emissions, equivalent to the annual emissions of over 8,900 petrol-powered cars.
Further achievements include a 13.4% reduction in energy intensity since 2019 through asset enhancement initiatives (AEIs). CLI aims for 100% of its global portfolio to achieve green ratings by 2030, with 60% of buildings currently holding such certifications. Additionally, 46% of CLI’s properties have attained LEED Gold certification or higher.
CLI’s dedication to climate resilience is evident in its first Climate Resilience Report, which adheres to the Task Force on Climate-related Financial Disclosures (TCFD) recommendations. The report assesses 480 properties across 20 countries, highlighting CLI’s commitment to transparency and urgent climate action.
Innovation plays a crucial role in CLI’s decarbonisation strategy. The company has tested innovations from its CSXC at tenant premises, with 30 innovations piloted across seven countries since 2021. These initiatives are part of CLI’s broader strategy to drive sustainability through partnerships and technological advancements.
In fund management, CLI has integrated ESG considerations throughout its lifecycle, from product development to exits. The company secured S$4.5 billion in sustainable finance in 2023, raising its total to S$16.1 billion since 2018. Savings from sustainability-linked loans are reinvested into decarbonisation efforts.
CLI’s efforts have been recognised in global sustainability indices. It has been listed on the Dow Jones Sustainability World Index for 12 years and has achieved a five-star rating from the GRESB Real Estate Assessment for eight years. These accolades reflect CLI’s commitment to environmental stewardship and its leadership in sustainable real asset management.