HONG LEONG INDUSTRIES BERHAD
Malaysia | 3301.KL | Main
Reference
Report Year: 2024
Source Files: Hong_Leong_Industries_Berhad_-_2024_Annual_Report.pdf
Sustainability Committee
Sustainability Steering Committee 🟢
- Strategic oversight 🟢
- Operational alignment 🟢
Reporting
GRI, TCFD, Integrated Report 🟢
GHG Accounting
Robust GHG Accounting: HLI demonstrates a strong commitment to GHG emissions management with third-party verified data for Scope 1 (55,771 tCO₂e), Scope 2 (36,784 tCO₂e), and partial Scope 3 (3,158 tCO₂e) in 2024. The operational control approach ensures clarity in boundary setting across key entities. A significant 58% reduction in GHG intensity since FY2019 highlights effective decarbonization efforts. However, Scope 3 reporting is limited to business travel and commuting, missing broader value chain emissions. Expanding Scope 3 coverage and digital data management (planned for FY2026) could further strengthen transparency and accountability in their emissions profile.
Emissions
| Scope | Value | Note |
|---|---|---|
| Scope1 | 55,771 tCO₂e 🟢 | |
| Scope2 | 36,784 tCO₂e 🟢 | |
| Scope3 | 3,158 tCO₂e 🟢 | Limited to business travel and employee commuting ⚠️ |
| Biogenic emissions | Not applicable → | No biomass or biofuel usage reported. |
Other Details
- Boundary inventory: Operational control approach covering HLYM (HQ, warehouse, branches), HYM (HQ, warehouse, branches), Guocera (PJ, Kluang, CRC, Meru till Jan 2024)
- Gwp basis: IPCC Sixth Assessment Report (AR6), 100-year timeframe
- Standard: GHG Protocol Corporate Accounting and Reporting Standard
- Data collection approach: Third-party engagement for carbon inventory assessment
- Third party verification: Yes, verified by third-party service provider
- Carbon intensity: 31.3 tCO₂e/RM, verified 🟢
Efforts
- 58% intensity reduction 🟢
- 9,300 tonnes recycled 🟢
- 236 MWh solar energy 🌞
- Low-bake paint adopted 🌱
Social Highlights
- RM 777,000 training investment 🟢
- 35,000 beneficiaries 🥗
- Zero fatalities 🟢
- Road safety campaigns 🥗
- Limited data available ⚠️
Governance
- Salary disclosure: Can't find ⚠️
- Litigation: Can't find ⚠️
Report Quality
Commendable Effort in sustainability reporting by HLI with detailed metrics on GHG emissions, energy, and waste management 🟢. The report showcases quantifiable actions such as a 58% reduction in GHG intensity and recycling over 9,300 tonnes of waste, supported by third-party verification. Forward-looking commitments like reducing GHG intensity by 40% by FY2035 reflect ambition. However, gaps exist in Scope 3 emissions coverage and lack of disclosure on top management salaries ⚠️. Some statements, like 'committed to sustainability,' lack specific evidence or measurable outcomes. HLI could improve by expanding Scope 3 data, incorporating more social impact metrics, and ensuring greater transparency in governance disclosures. Overall, the report provides a solid foundation but could benefit from deeper detail in underrepresented areas.
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