4.

2

ENVIRONMENTAL, SOCIAL AND GOVERNANCE :

OUR COMMITMENT TO ENVIRONMENTAL STEWARDSHIP

a.

Energy and Climate Change Mitigation entinuso

Energy Consumption and Intensity

Energy Consumption

('000 kWh)

26,000

24,000

22,000

20,000

18,000

16,000

14,000

12,000

10,000

2015

Energy Intensity ('000 kWh per ferry,

shipyard and Harbour Cruise - Bauhinia operations

total revenue (HK$ million))

25,107

24,105

190

21,806

170

150

130

110

90

70

2016

30

2017

30

50

Energy Consumption

Energy Intensity

During the reporting year, energy intensity and GHG intensity of Hong Kong Ferry Group have been reduced by 16% and 24% from 2016, respectively. Using 2016 as the baseline for energy consumption, we will continue to identify energy-saving opportunities and optimise the integration of energy efficiency initiatives. To harness the renewable energy potential of our city, we are currently conducting a feasibility study for installing solar photovoltaic panels on the rooftop at the Principal Office.

Air Quality Improveme::t

While we strive for high quality provision of sea transport services for dangerous goods vehicles, as well as sightseeing and dining cruise services, we are highly conscious of the air emissions that may arise from our operations. To help safeguard the health and well-being of the community, we have supported the Hong Kong Government to improve local air quality for more than a decade. In 2007, The Hongkong and Yaumati Ferry Company Limited joined the trial of ultra-low sulphur diesel2 and continued to favour upgrading the quality of local marine light diesel even before the sulphur content was capped at 0.05% in 2014.

Our goal is to provide sea freight services to the local community without impacting the air quality of the harbour. In 2005, The Hongkong and Yaumati Ferry Company Limited first invested in a set of environment-friendly generators for the vessel "Man Lok". With an effort to reduce the emission of major air pollutants, including sulphur dioxide, nitrogen oxides, particulate matter and carbon monoxide, we initiated a replacement programme for all generators and engines on board all our vessels. The voluntary replacement programme was completed in 2016, with a total of 13 generators and 10 engines being replaced with eco-friendly options, helping to maintain the air quality of the harbour enjoyed by our society as a whole. We continued to monitor and improve the performance of the generators and engines in 2017.

During the reporting year, we also switched to a new EURO VI emission standard light goods vehicle to help curb roadside emissions. We will continue to take emission reduction initiatives to promote clean air and improve people's health.

With a maximum sulphur content of 0.005%.

49

Hong Kong Ferry (Holdings) Company Limited Annual Report 2017

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