City Developments Ltd (CDL) has emerged as the first Singapore property developer to have its carbon emission reduction assessed and validated by the Science Based Targets Initiative (SBTi), according to an SGX filing today (18 July).
SBTi – a collaboration between UK-based CDP, World Resources Institute, United Nations Global Compact and World Wide Fund for Nature (WWF) – helps firms to set and certify science-based carbon reduction targets to limit global warming to below 2°C, as set in the Paris Agreement under the United Nations Framework Convention on Climate Change (UNFCCC).
With this, CDL intends to slash its greenhouse gas (GHG) emissions per square metre (psm) at its office as well as commercial and industrial buildings by 59 percent from 2007 to 2030. It is on track to meet this target after it achieved a 35 percent reduction last year.
For its developments, the company pledges to use eco-friendly materials to cut embodied carbon by 24 percent by 2030. Embodied carbon refers to GHG emissions from the manufacture, transport, assembly, replacement and deconstruction of building materials.
Moreover, CDL has instructed its unit Millennium & Copthorne Hotels to set a science-based emissions reduction target by 2025, as it accounts for nearly 90 percent of the emissions of its subsidiaries.
“To accelerate our climate action, we have adopted the science-based emissions reduction targets and climate change scenario analysis. These efforts help to future-proof our business by identifying risks for mitigation and adaptation,” said CDL Group CEO Sherman Kwek.
He said CDL has proactively introduced initiatives for low-carbon operations, as the building and construction sector contributes a third of global GHG emissions.
Furthermore, Singapore’s upcoming carbon tax will see large emitters pay $5 per tonne of carbon emissions from January 2019 to between $10 and $15 per tonne by 2030. If CDL fails to adequately reduce its carbon emissions and global temperature rise by 2°C, it could incur annual cost of over $20 million in 2030.
Senior Content Producer, Christopher Chitty, edited this story