The Hong Kong stock exchange has been looking into ways to introduce the Environment, Social and Governance Guide (ESG) as part of the integrated reporting by listed companies. The guide has been increasingly adopted worldwide.
Integrated reporting refers to the representation of a company's performance in terms of financial and non-financial results, such as disclosure of social and environmental performances. If adopted, this will have a far-reaching effect on the local power supply sector.
While the impact of its business activities on the environment is inevitable, the power supply sector should strive to minimise the effect in a proactive and positive manner, says April Chan, company secretary of CLP Holdings.
'The environment aspect of the ESG reporting is a challenge for all companies, not just power supply companies, in their corporate governance and compliance,' Chan says.
In addition to its annual report, CLP issues a sustainability report, copies of which are sent to shareholders.
In 2002, CLP released its value framework, outlining the company's visions, values and commitment to responsible environmental management and to the responsible use and conservation of natural resources.