CK Hutchison Holdings Ltd

The Group's established cross-departmental Sustainability Working Group will be responsible for the maintenance of the Framework and for nominating assets, projects, and investments for consideration as Eligible Projects for Sustainable Finance Transactions. The Sustainability Working Group is currently co-chaired by Mr. Frank Sixt (Group Finance Director and Deputy Managing Director) and Ms. Edith Shih (Executive Director and Company Secretary), and includes the following senior executives from key departments that manage the Group's material sustainability impacts: – Group Deputy Chief Financial Officer – General Manager - Group Management Services – General Manager – Group Human Resources – Group Senior Sustainability Manager – Group Treasurer – General Manager – Group Corporate Affairs – Group General Counsel The Board-level Sustainability Committee of the Group will be responsible for designating assets, projects and investments as Eligible Projects once eligibility is determined. The Sustainability Committee is tasked with overseeing management and advising the Board of Directors of CKHH on the development and implementation of sustainability initiatives of the Group, including reviewing related policies and practices, and assessing and making recommendations on matters concerning the Group's sustainability development and risks. The evaluation and selection process for Eligible Projects will comprise the following, guided by the Group Sustainability Framework and relevant Group Policies. Assessment and designation may take place before, during or even after the implementation of the potential Eligible Projects: – The Sustainability Working Group will assess potential assets, projects and investments against the criteria stipulated in the Framework for each Eligible Project Category. – Should it so choose or if required by relevant eligibility criteria specified under "Use of Proceeds", the Sustainability Working Group will further assess potential assets, projects and investments for compliance with a relevant principle, standard, or taxonomy for sustainable activity (such as the EU Taxonomy, the Climate Bonds Standard, or an internationally recognised sector-specific certification or benchmark) before nominating them for consideration by the Sustainability Committee. If Eligible Projects are assessed to be so aligned, subject to the designation by the Sustainability Committee of the relevant potential assets, projects and investments as Eligible Projects, such alignment will be disclosed in the relevant allocation report(s) for the relevant Group entity. – The Sustainability Committee will consider the assessments made by the Sustainability Working Group and, should it agree with the recommendations of the Sustainability Working Group, designate the relevant assets, projects and investments so nominated as Eligible Projects for the purposes of the Framework.

CKHH's board-level Sustainability Committee is responsible for reviewing assets, projects and investments nominated by the Sustainability Working Group. The Sustainability Committee will be responsible for designating assets, projects and investments as eligible projects upon confirmation of their eligibility. The Sustainability Working Group comprises representatives from the Finance, Treasury, Management Services, Corporate Affairs, Human Resources, Legal and Sustainability departments. CKHH's Group Sustainability Framework, sustainability policies and corporate governance policies are applicable to allocation decisions under the Framework. Sustainalytics considers these risk management systems to be adequate and the project selection and evaluation process to be in line with market practice.

The Group's Board-level Sustainability Committee is responsible for reviewing assets, projects and investments nominated by the Group's Sustainability Working Group. The Sustainability Committee will be responsible for designating assets, projects and investments as eligible projects upon confirmation of eligibility. The Sustainability Working Group is comprised of representatives from the Finance, Treasury, Management Services, Corporate Affairs, Human Resources, Legal and Sustainability Departments. The Company's Group Sustainability Framework, sustainability policies and corporate governance policies are applicable to allocation decisions under the Framework. Sustainalytics considers these risk management systems to be adequate. Sustainalytics considers the project selection and evaluation process as in line with market practice.

The governance of the Group's climate strategy follows the overarching structure of its wider sustainability governance which is discussed in [more detail in the 2021 Sustainability Report](https://www.ckh.com.hk/en/esg/esg_sustainability-report.php) . For clarity of roles and responsibilities, specifically in relation to the Group's climate strategy, this is outlined in Figure 3. **Figure 3 – Governance of climate-related risks and opportunities** **Board of Directors** Accountable for oversight of CKHH risk management. Ensures CKHH has appropriate and effective risk management in place. Receives reports from the Sustainability Committee and the Audit Committee in relation to climate-related risks and opportunities. **Sustainability Committee** **Audit Committee** Reports to the Board on climate-related risks and opportunities. Reviews top risks and reports to the Board. Ensures risks are identified Progress on the Group's climate strategy is addressed as a key agenda and managed with due regard to CKHH's risk appetite. In 2020, item. In 2021, the Committee met twice with 100% attendance. climate change was upgraded as a Group-wide risk. **Sustainability Working Group** Oversight and responsibility for providing strategic direction and developing strategy regarding climate-related risks and opportunities. **Risk** **HR &** **Sustainability** **Finance** **Internal Audit** **IT** **Legal** **Management** **Corporate Affairs** Spearheads Manages the Oversees Conducts audits Manages Oversees current Arranges development of enterprise risk budgeting, of sustainability- sustainability data and future compensation Group climate framework and planning and related controls management climate-related and talent strategy in oversight of CAPEX approval and audits of platform for policy actions that programmes partnership division-level top of climate emissions data. collection and may impact the and corporate with key Group risk profiles. technology and tracking of Group. communications. functions and core solutions. emissions data. business divisions. **Core business divisions** **Ports** **Retail** **Infrastructure** **Telecommunications** Responsible for ensuring identification, assessment and monitoring of climate-related risks and opportunities in accordance with CKHH's Risk Management Policy and related sustainability guidance. These core business divisions are responsible for implementing appropriate risk mitigation strategies in line with the Group's climate strategy and priorities. Each division is resourced with dedicated sustainability teams, as well as senior-level Sustainability Working Groups, which communicate regularly on progress made to the Group. Internal expertise is provided by the Group's full-time sustainability experts that drive the identification, awareness building and management programmes of their industry-specific climate-related risks and opportunities. The Group recognises however certain parts of the climate action journey require external expertise, such as for scope 3 footprinting and conducting scenario analysis; the Group therefore engages leading third party carbon experts, where necessary, to provide such technical expertise as it builds out its short and long term climate action plans. High quality data is also fundamental. In 2021, the Group began rolling out a sustainability data management software across the Group with key benefits of this software including having the most up-to-date emissions factors and enhanced tools for ongoing variance [...] The Group will continue to evolve its governance processes through identifying further roles and responsibilities in ensuring effective oversight.

Recognising that stakeholder expectations will evolve, the Group regularly reviews its business operations and proactively engages in communication with stakeholders to identify and respond to emerging issues. In tandem, the Group Sustainability Committee regularly reviews the sustainability practices and performance and reports to the Group board of directors. The sustainability performance of the Group is reported on an annual basis in the Sustainability Report of the Company.

The Company's Board-level Sustainability Committee is responsible for reviewing assets, projects and investments nominated by the Sustainability Working Group. The Sustainability Committee will be responsible for designating assets, projects and investments as eligible projects upon confirmation of their eligibility. The Sustainability Working Group is comprised of representatives from the Finance, Treasury, Management Services, Corporate Affairs, Human Resources, Legal and Sustainability Departments. The Company's Group Sustainability Framework, sustainability policies and corporate governance policies are applicable to allocation decisions under the Framework. Sustainalytics considers these risk management systems to be adequate. Sustainalytics considers the project selection and evaluation process as in line with market practice. [...] CKHH's Sustainability Working Group has been designated the responsibility to oversee the project evaluation and selection process. The Sustainability Working Group is currently cochaired by the Group's Finance Director and Deputy Managing Director, and the Group's Executive Director and Company Secretary, and is comprised of senior executives from key departments that manage the Group's material sustainability impacts, including the Group Deputy Chief Financial Officer, the Group Treasurer, the General Manager – Group Management Services, the General Manager – Group Corporate Affairs, the General Manager – Group Human Resources, the Group General Counsel, and the Group Senior Sustainability Manager. [...] The Sustainability Working Group will be responsible for nominating assets, projects and investments for consideration as eligible projects for sustainable finance transactions. The Sustainability Working Group will meet periodically and at least semi-annually to monitor the aggregate amount of eligible projects in each environmental and social project portfolio. [...] The Board-level Group Sustainability Committee will review projects shortlisted by the Sustainability Working Group and if the Sustainability Committee agree with assessments made by the Sustainability Working Group, assessed projects will be designated eligible.

Recognising that stakeholder expectations will evolve, the Group regularly reviews its business operations and proactively engages in communication with stakeholders to identify and respond to emerging issues. In tandem, the Group Sustainability Committee regularly reviews the sustainability practices and performance and reports to the Group board of directors. The sustainability performance of the Group is reported on an annual basis in the Sustainability Report of the Company.

The governance of the Group's climate strategy follows the overarching structure of its wider sustainability governance which is discussed in [more detail in the 2021 Sustainability Report](https://www.ckh.com.hk/en/esg/esg_sustainability-report.php) . For clarity of roles and responsibilities, specifically in relation to the Group's climate strategy, this is outlined in Figure 3. **Figure 3 – Governance of climate-related risks and opportunities** **Board of Directors** Accountable for oversight of CKHH risk management. Ensures CKHH has appropriate and effective risk management in place. Receives reports from the Sustainability Committee and the Audit Committee in relation to climate-related risks and opportunities. **Sustainability Committee** **Audit Committee** Reports to the Board on climate-related risks and opportunities. Reviews top risks and reports to the Board. Ensures risks are identified Progress on the Group's climate strategy is addressed as a key agenda and managed with due regard to CKHH's risk appetite. In 2020, item. In 2021, the Committee met twice with 100% attendance. climate change was upgraded as a Group-wide risk. **Sustainability Working Group** Oversight and responsibility for providing strategic direction and developing strategy regarding climate-related risks and opportunities. **Risk** **HR &** **Sustainability** **Finance** **Internal Audit** **IT** **Legal** **Management** **Corporate Affairs** Spearheads Manages the Oversees Conducts audits Manages Oversees current Arranges development of enterprise risk budgeting, of sustainability- sustainability data and future compensation Group climate framework and planning and related controls management climate-related and talent strategy in oversight of CAPEX approval and audits of platform for policy actions that programmes partnership division-level top of climate emissions data. collection and may impact the and corporate with key Group risk profiles. technology and tracking of Group. communications. functions and core solutions. emissions data. business divisions. **Core business divisions** **Ports** **Retail** **Infrastructure** **Telecommunications** Responsible for ensuring identification, assessment and monitoring of climate-related risks and opportunities in accordance with CKHH's Risk Management Policy and related sustainability guidance. These core business divisions are responsible for implementing appropriate risk mitigation strategies in line with the Group's climate strategy and priorities. Each division is resourced with dedicated sustainability teams, as well as senior-level Sustainability Working Groups, which communicate regularly on progress made to the Group. Internal expertise is provided by the Group's full-time sustainability experts that drive the identification, awareness building and management programmes of their industry-specific climate-related risks and opportunities. The Group recognises however certain parts of the climate action journey require external expertise, such as for scope 3 footprinting and conducting scenario analysis; the Group therefore engages leading third party carbon experts, where necessary, to provide such technical expertise as it builds out its short and long term climate action plans.

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]The Climate Action Working Group includes senior representatives from each of the OpCos and convenes regularly to ensure the Working Group members keep each other abreast of developments and changes, policy-related or otherwise. The Head of Sustainability also communicates to the senior CKHGT executives who in turn update the Governance Board of important strategy changes. CKHGT ensures its position and views on climate change are communicated and reflected to the GSMA in an accurate and timely manner. Through regular engagement with the GSMA board, CKHGT stays in close contact with the latest thinking and developments of the GSMA.

Describe the process(es) your organization has in place to ensure that your external engagement activities are consistent with your climate commitments and/or climate transition plan?[…]The Climate Action Working Group includes senior representatives from each of the OpCos responsible for climate commitments and climate transition plans. This group meets regularly, keeping each other abreast of developments and changes, policy-related or otherwise. This supports consistency between external engagement conducted by OpCos and CKHGT's climate commitments and transition plan. The senior CKHGT executives also play a key role in overseeing the climate commitments and transition plan and overseeing external engagement, similarly supporting consistency between the two. CKHGT ensures its position and views on climate change are communicated and reflected to the GSMA in an accurate and timely manner. Through regular engagement with the GSMA board, CKHGT stays in close contact with the latest thinking and developments of the GSMA.