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01 - General standard disclosures
http://www.hkex.com.hk/stockcode:00002
1/1/2014 - 12/31/2014
General standard disclosures [title]
Strategy and Analyses [title]
G4-1 [title]
G4-1 a. Provide a statement from the most senior decision-maker of the organization (such as CEO, chair, or equivalent senior position) about the relevance of sustainability to the organization and the organizations strategy for addressing sustainability [title]
Strategic priorities and key topics for the short and medium term with regard to sustainability, including respect for internationally recognized standards and how such standards relate to long term organizational strategy and success

Our Sustainability Priorities

To deliver on this business strategy, we have four strategic sustainability-related priorities spanning across the three pillars of environment, economics, people and community.

Climate Change 

In 2014, the Group’s carbon intensity increased from 0.82kg CO2 / kWh in 2013 to 0.84kg CO2 /kWh, mainly due to the acquisition of additional shares for our fossil-fuelled power generation assets in Hong Kong and reduced generation from some of our renewable assets. . The slow pace of national and international policy support for carbon abatement, failure at the COP15 in Copenhagen in 2009 to reach international consensus on carbon emission reductions, and the continuing regulatory uncertainty that we face in running our business, has made it increasingly difficult to achieve our interim targets as outlined in our Climate Vision 2050.  This factor was taken into consideration when the new business strategy was being developed.  We concluded that absent a material price on carbon, coal will continue to play a large role in meeting the growing need for affordable electricity in Asia for the foreseeable future and some of the most attractive investments in our growth markets will continue to be coal-based projects.  However, we believe our long-term goal to reduce the carbon intensity of our generating portfolio by 75% by 2050 is still achievable and renewable energy will play an increasing role in our future growth plans.  Increasing renewable energy alone is not sufficient to achieve these steep reduction targets. We will also need to maximise the efficiency of our thermal projects, reduce our exposure to older coal fired generation over time and continue to look for nuclear project opportunities.  We recognise that the interim targets we have set for ourselves in our Climate Vision 2050 are challenging and we acknowledge that Government policies will play a key role in determining when we achieve our targets.  Nevertheless, we remain committed to working towards our goals and we hope that the UNFCCC COP21 in Paris in 2015 will provide more clarity on how we can move towards a low carbon future.

Economic Sustainability

We must ensure our long term economic viability while meeting the challenges of acute short term volatility and pressures.   As with many power utilities around the world, we currently face increasing pressure to reduce emissions from electricity generation, while maintaining an affordable tariff, delivering safe and reliable energy and responding to rapidly changing market and regulatory conditions.  Improvements in the cost and performance of some renewable and distributed energy technologies, as well as potential breakthroughs in energy storage, together with the growing application of energy efficiency technologies will continue to impact on grid demand for electricity and could challenge current utility business models.  

We believe that well-designed market and regulatory regimes that incorporate requirements that meet the environmental and social expectations of the society, while supporting the long term economic viability of entities providing essential services such as electricity, can help ensure the desired balances are struck over time in a more transparent and controlled way.  The electricity sector must and will change in the coming decades, and we will be proactive in exploring potential new business models for our future so that we are well prepared to respond to these changes.

Our People

Any company is only as good as the people who work in it, and CLP is no exception.  Our greatest assets are our employees and they remain a priority.  In 2014, our voluntary turnover rates remained below the local market average.  Key contributors to our ability to attract and retain staff are competitive remuneration, comprehensive retirement and medical benefits, good vacation provisions and attractive career development opportunities for high performers. 

With the shortage of engineers and the large number of infrastructure developments in the region, it is imperative that we retain our talented multi-disciplinarily employee base, whose team work and collegiality is a source of great pride to the company.  We will continue to grow and develop our employees’ skills and strengths through leveraging our capabilities across the Group so that they will continue to be instrumental in delivering the promise of our new strategy in the coming decade. 

Our Communities

It is in the interest of business to support the communities in which they operate as only sustainable communities can support sustainable businesses.  This is why “Caring for the Community” is one of the core values articulated in our CLP Value Framework, and implemented through a set of commitments that include supporting the  long-term development of the communities we serve.   Recently, we have integrated community initiatives into our annual business planning process, with specific and measurable targets.  The focus areas for these initiatives include climate change, youth education, community development and arts and culture. We will continue to take a country and site-specific approach and develop tailor-made programmes to address the needs and expectations of the local communities we serve.

Broader trends (such as macroeconomic or political) affecting the organization and influencing sustainability prioritiesWe have seen unprecedented decreases in demand for electricity in mature economies, dramatic volatility in fuel markets, a structural shift in global economic growth towards Asia, tightening environmental regulation in our key markets and continued policy uncertainty on climate change.
Key events, achievements, and failures during the reporting period

PERFORMANCE HIGHLIGHTS

Key Environmental Issues

  • Our Group Carbon Intensity increased from 0.82kg COOur Group Carbon Intensity increased from 0.82kg CO22/kWh to 0.84 CO/kWh to 0.84 CO22/kWh, which is where we started back in/kWh, which is where we started back in 2007 and is a consequence of the following events:2007 and is a consequence of the following events:
    • In 2012, we experienced an all-time low carbon intensity which was a result of lower output from Yallourn Power Station in Australia due to the disruption caused by the flooding of its mine, as well as low output from our Jhajjar Power Station in India due to the lack of coal for generation.
    • In 2013, we acquired Mount Piper and Wallerawang Power Stations in Australia, both of which are coal-fired. In the same year, output from the Jhajjar Power Station in India increased relative to 2012, and our endeavors to align our carbon accounting method with our financial ccounting definitions resulted in the removal of the CGN wind portfolio from our 2013 calculations.
    • The rise from 2013 to 2014 was attributed mainly to the acquisition of additional shares in Castle Peak Power Company Limited (CAPCO) which holds our power generation assets in Hong Kong, resulting in an increase in equity of the fossil-fuel portfolio. There was also a general reduction in output from renewables projects, in particular hydro projects in Mainland China.
  • Our renewable generation capacity fell to 14.1% from 16.3% in 2013, while our non-carbon emitting generation capacity also dropped to 16.7%, down from 19.4% in 2013. This reduction is due mainly to the acquisition of additional shares in CAPCO and financial commitment of Fangchenggang II. However, we did continue to invest in renewable energy, with an investment of HK$3,072 million made over the course of the year, an increase from our investment of HK$1,688 million in 2013. As in years past, most of the expansion of our renewable portfolio has come from our India and Mainland China businesses.
  • Our carbon intensity for the Hong Kong business in 2014 remained at a level similar to 2013 despite the fact that more coal-fired generation was used to mitigate the tariff increase pressure by cushioning the relatively more expensive gas prices, with our kg CO2/kWh remaining at 0.63 and our kg CO2e/kWh slightly increasing from 0.63 to 0.64.

Key Social Issues

  • Our employee and contractor safety performance in 2014 was similar to last year:
    • We had zero employee fatalities across the CLP Group; but
    • We had one contractor fatality at our Tejuva wind farm construction site on 2 October 2014, involving a truck reversing into the parking area. An independent accident investigation panel was set up to look into the root cause of the incident and the panel’s recommendations have been adopted with implementation taking place over time.
  • Each of our businesses carries out an Employee Opinion Survey at appropriate intervals to understand the views of employees on a range of matters, and to identify areas of strength and areas we need to strengthen, which will be followed up by the respective management teams. Our Hong Kong and Mainland China businesses carried out Employee Opinion Surveys in 2014 and the Employee Engagement scores for both were significantly above the local market norms
  • We launched several gender diversity initiatives amongst our employees:
    • We now measure and report gender diversity across the Group to increase the visibility of the issue to the Group Executive Committee and the Human Resources & Remuneration Committee.
    • In Hong Kong we have sought the views of female employees, via focus groups, on how to ensure that we remain a female-friendly employer. This has resulted in the enhancement to our maternity leave policy in Hong Kong to allow for a period of additional unpaid leave to be taken at the end of paid maternity leave.
    • We are working in partnership with the Hong Kong Institution of Engineers to provide 20 female mentors from CLP for female engineering students, in order to encourage them to pursue engineering as a career.

Key Governance Issues

  • We expanded the Terms of Reference of the Sustainability Committee beyond environment, social and ethical issues to encompass health, safety and IT security matters from a long-term strategic sustainability perspective.
  • We adopted CLP’s HSSE (Health, Safety, Security and Environment) Management System Standard to drive the development of the policies, management systems and practices that enable CLP to achieve business results without harm to people or the environment. This Standard explains the overall approach to HSSE management across the CLP Group and how the various HSSE standards and guidelines should be applied at the CLP Group, regional and asset level.
  • We set a 10% cap on the price discount for any new shares to be issued under the General Mandate to issue shares unless and until there is a material change in circumstances or market condition. The introduction of such a cap aligns with international best practice and has received overwhelming support from shareholders at the 2014 Annual General Meeting (AGM).
  • We held our second ESG webcast on 22 April 2014 to further enhance our communication with institutional investors and their proxy advisors on the ESG aspects of our business. The recording of the webcast is available on the CLP website.
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Views on performance with respect to targetsIn 2014, the Group’s carbon intensity increased from 0.82kg CO2/kWh in 2013 to 0.84kg CO2/kWh, mainly due to the acquisition of additional shares for our fossil fuelled power generation assets in Hong Kong and reduced generation from some of our renewable assets. The slow pace of national and international policy support for carbon abatement, failure at the COP15 in Copenhagen in 2009 to reach international consensus on carbon emission reductions, and the continuing regulatory uncertainty that we face in running our business, has made it increasingly difficult to achieve our interim targets as outlined in our Climate Vision 2050.
Outlook on the organizations main challenges and targets for the next year and goals for the coming 3-5 yearsAgainst this rapidly evolving background, we launched a thorough review of our investment strategy in early 2014. Our starting point was to look to the future – positioning our business in markets where we have scale, capability and competitive advantages.  Our updated Group strategy, detailed in the “Our Company” chapter of this report as well as in our Integrated Annual Report, can be summarised with three words –“Focus ∙ Delivery ∙ Growth”.  By focusing on business activities and initiatives that best utilise our core competencies, we will be able to deliver on the potential of our investments and generate growth for our shareholders.
G4-1 a. Provide a statement from the most senior decision-maker of the organization (such as CEO, chair, or equivalent senior position) about the relevance of sustainability to the organization and the organizations strategy for addressing sustainability [additional information]

CHAIRMAN AND CEO’S MESSAGE

The foundation of CLP’s sustainability efforts lies in CLP’s vision, to be the leading responsible energy provider in the Asia Pacific region, from one generation to the next.  To achieve this, we need to provide reliable and affordable energy to our customers in a way that minimises our negative impact on the environment and surrounding communities, complies with local government policies and regulations, and yet allows for a return to our shareholders that will enable us to stay in business for decades to come.

A Sustainable Business Strategy

It is our belief that a strong business strategy takes into consideration these sustainability objectives as well as the changing business landscape.  Since we last refreshed our business strategy in 2009 there has been significant change.  We have seen unprecedented decreases in demand for electricity in mature economies, dramatic volatility in fuel markets, a structural shift in global economic growth towards Asia, tightening environmental regulation in our key markets and continued policy uncertainty on climate change.  Against this rapidly evolving background, we launched a thorough review of our investment strategy in early 2014. Our starting point was to look to the future – positioning our business in markets where we have scale, capability and competitive advantages.  Our updated Group strategy, detailed in the “Our Company” chapter of this report as well as in our Integrated Annual Report, can be summarised with three words –“Focus ∙ Delivery ∙ Growth”.  By focusing on business activities and initiatives that best utilise our core competencies, we will be able to deliver on the potential of our investments and generate growth for our shareholders.

Our Sustainability Priorities

To deliver on this business strategy, we have four strategic sustainability-related priorities spanning across the three pillars of environment, economics, people and community.

Climate Change 

In 2014, the Group’s carbon intensity increased from 0.82kg CO2 / kWh in 2013 to 0.84kg CO2 /kWh, mainly due to the acquisition of additional shares for our fossil-fuelled power generation assets in Hong Kong and reduced generation from some of our renewable assets. . The slow pace of national and international policy support for carbon abatement, failure at the COP15 in Copenhagen in 2009 to reach international consensus on carbon emission reductions, and the continuing regulatory uncertainty that we face in running our business, has made it increasingly difficult to achieve our interim targets as outlined in our Climate Vision 2050.  This factor was taken into consideration when the new business strategy was being developed.  We concluded that absent a material price on carbon, coal will continue to play a large role in meeting the growing need for affordable electricity in Asia for the foreseeable future and some of the most attractive investments in our growth markets will continue to be coal-based projects.  However, we believe our long-term goal to reduce the carbon intensity of our generating portfolio by 75% by 2050 is still achievable and renewable energy will play an increasing role in our future growth plans.  Increasing renewable energy alone is not sufficient to achieve these steep reduction targets. We will also need to maximise the efficiency of our thermal projects, reduce our exposure to older coal fired generation over time and continue to look for nuclear project opportunities.  We recognise that the interim targets we have set for ourselves in our Climate Vision 2050 are challenging and we acknowledge that Government policies will play a key role in determining when we achieve our targets.  Nevertheless, we remain committed to working towards our goals and we hope that the UNFCCC COP21 in Paris in 2015 will provide more clarity on how we can move towards a low carbon future.

Economic Sustainability

We must ensure our long term economic viability while meeting the challenges of acute short term volatility and pressures.   As with many power utilities around the world, we currently face increasing pressure to reduce emissions from electricity generation, while maintaining an affordable tariff, delivering safe and reliable energy and responding to rapidly changing market and regulatory conditions.  Improvements in the cost and performance of some renewable and distributed energy technologies, as well as potential breakthroughs in energy storage, together with the growing application of energy efficiency technologies will continue to impact on grid demand for electricity and could challenge current utility business models. 

We believe that well-designed market and regulatory regimes that incorporate requirements that meet the environmental and social expectations of the society, while supporting the long term economic viability of entities providing essential services such as electricity, can help ensure the desired balances are struck over time in a more transparent and controlled way.  The electricity sector must and will change in the coming decades, and we will be proactive in exploring potential new business models for our future so that we are well prepared to respond to these changes.

Our People

Any company is only as good as the people who work in it, and CLP is no exception.  Our greatest assets are our employees and they remain a priority.  In 2014, our voluntary turnover rates remained below the local market average.  Key contributors to our ability to attract and retain staff are competitive remuneration, comprehensive retirement and medical benefits, good vacation provisions and attractive career development opportunities for high performers. 

With the shortage of engineers and the large number of infrastructure developments in the region, it is imperative that we retain our talented multi-disciplinarily employee base, whose team work and collegiality is a source of great pride to the company.  We will continue to grow and develop our employees’ skills and strengths through leveraging our capabilities across the Group so that they will continue to be instrumental in delivering the promise of our new strategy in the coming decade. 

Our Communities

It is in the interest of business to support the communities in which they operate as only sustainable communities can support sustainable businesses.  This is why “Caring for the Community” is one of the core values articulated in our CLP Value Framework, and implemented through a set of commitments that include supporting the  long-term development of the communities we serve.   Recently, we have integrated community initiatives into our annual business planning process, with specific and measurable targets.  The focus areas for these initiatives include climate change, youth education, community development and arts and culture. We will continue to take a country and site-specific approach and develop tailor-made programmes to address the needs and expectations of the local communities we serve.

To support our progress in these four areas, we will continue to engage with international organisations such as the World Business Council for Sustainable Development, and adopt international standards, guidelines and best practices where appropriate and practical, with the view that they will help us improve at a pace that keeps us ahead of the curve in the Asia Pacific region.  For example, in the area of reporting, in addition to adopting the Global Reporting Initiative (GRI) G4 Guideline and having our sustainability data being independently assured to the ISAE 3000 standard, this year we are amongst the first corporates in Hong Kong to have our greenhouse gas emissions assured to the ISAE 3410 standard.

Since our founding in 1901, CLP has come a long way. We have grown from a company operating solely in Hong Kong to a leading energy provider in the Asia Pacific. We are confident that our updated strategy of “Focus ∙ Delivery ∙ Growth” will provide the platform for delivering the value to our stakeholders that will help secure CLP’s future in the decades to come.

 

The Honourable Sir Michael Kadoorie                                     Richard Lancaster

Chairman                                                                                             Chief Executive Officer

CLP Holdings Limited                                                                      CLP Holdings Limited

G4-2 [title]
G4-2 a. Provide a description of key impacts, risks, and opportunities [title]
Key impacts on sustainability and effects on stakeholders, including rights as defined by national laws and relevant internationally recognized standards [title]
Description of the significant economic, environmental and social impacts of the organization, and associated challenges and opportunities

The potential key impacts of our business on our stakeholders, as well as the potential aspects with boundaries outside CLP, can be determined from the summary of the main stakeholder concerns that arose during the year in the various jurisdictions as presented in the following tables.

Hong Kong

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and Policy

Influencers

·   Tariff Review for 2014 & 2015

·   Fuel Mix consultation

·   Post 2018 Electricity Market Regime

·   Regular meetings, briefings and communication with key government members and advisers

·   Engage and inform stakeholders through the use of special information packs on CLP's Hong Kong operations

·   Media releases and briefings

·   Respond actively to stakeholder and media enquiries

Customers

·   Power quality

·   Supply reliability

·   Energy efficiency and conservation

·   Tariff

·   Provide energy saving solutions to all customer groups

·   Power quality improvement services to key customers

·   Provide tariff information to all customer groups

Community

·   Construction works affecting the community

·   CLP community works

·   Regular news on CLP Power Hong Kong through Light Magazine

·   Sponsorship of events, programmes, tables and/or CLP souvenirs

·   Discussion workshops to consider and review ways in which CLP can continuously improve its efforts in enhancing supply reliability, cost control and environment performance

Industry Associations and

Professional Bodies

·   Supply reliability

·   Tariff adjustment

·   Fuel mix consultation

·   CLP energy saving initiatives

·   Advanced metering infrastructure

·   Renewable energy development

·   Collaborate on projects or programmes

·   Participate, speak and officiate at seminars, classes and events

·   Coordinate site visits to CLP's facilities and sharing of CLP's efforts in enhancing supply reliability, cost control and  environment performance

Mainland China

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and relevant Regulators

·   Regulatory compliance

·   Safety & reliability

·   Emergency readiness (especially nuclear)

·   Regular visits/exchanges with various levels of government to build support and increase understanding of CLP’s safety culture

·   Adhere to the relevant benchmark tariffs and special subsidies

Customers

·   Fulfil dispatch obligations and to meet off-taker agreements

·   Tariff competitiveness

·   Regular communications with grid companies on generation plans and dispatch requirements

·   Ensure tariff competitiveness through efficient operations

Community

·   Social, economic and environmental impacts on local communities

·   Employment opportunities

·   Transparency / public disclosure on safety and emergency readiness (especially for nuclear)

·   Encourage engagement with communities through staff volunteerism

·   Continue to support and monitor various programmes, including CSR activities, ad-hoc relief efforts, and needs of the previously funded Hope Schools

·   Work with JV partners on public relations initiatives, on new and existing projects, to champion public support

·   Provide comprehensive and balanced information on nuclear power; through engagement such as guided visits to Nuclear Resources Centre and Daya Bay, the Nuclear Energy Website, and programs for students on energy issues

Shareholders

and Lenders

·   Maintain long term financial security with growth in overall portfolio

·   Financial stability and liquidity of individual assets amidst uncertainties in financial markets

·   Maintain loan portfolio under overall credit tightening in PRC

·   Ongoing evaluation of optimal funding strategies and alternatives

·   Develop new sources of funding like cross-border corporate / project loans

·   Cultivate and maintain long term relationship with key lenders in Mainland China

·   Leverage the Group's relationship with offshore lenders

Australia

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and relevant Regulators

·    Regulatory compliance

·    Wholesale market capacity

·    Renewable Energy Target (RET)

·    Gas market reform

·    Development approval processes

·    Maintain strategic contact with Federal and state government members, advisers and regulators

·    Contribute to expert reviews at Parliamentary committees and inquiries

Customers

·    Quality customer service

·    Billing and debt collection

·    Energy pricing

·    Roof top solar and feed-in tariffs

·    Smart meter roll out

·    Responsible sales and marketing

·    Development of new service and product offerings, including heating, cooling, hot water sales, and emergency service

·    Direct advertising and marketing through television, print and digital media outlets to provide information about products and services for customers to make informed choices

·    Market and focus-group research on products and services to understand consumer energy trends and needs

·    Dedicated call centres to assist customers with queries and complaints

·    Social media is monitored, used as a marketing tool, and utilised to respond to customer queries

Community

·    Managing local social and economic impacts of assets on local stakeholders (e.g. land disturbance, emissions output, noise, health)

·    Local social and economic impacts from major projects (e.g. Narrabri decommissioning of Wallerawang)

·    Driving community support to expedite project approvals (e.g. Coalpac)

·    Conducted formal stakeholder perceptions surveys of key assets to determine level of public support for EA approach and actions

·    Developed best practice approach for managing allocation of sponsorship and community investment for EA business

·    Developed stakeholder engagement plan to support closure of Wallerawang power station announcement

·    Assisted Coalpac to engage key local stakeholders in support of planning application for resuming mining

·    Facilitation of engagement via multiple channels, i.e. community liaison meetings, ‘Talktous’ email and community information sessions

India

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and relevant Regulators

·   Policy & regulatory issues

·   Regulatory compliance

·   Participate in public consultations

·   Facilitate engagement activities

Customers

·   Understanding of customer concerns and requirements

·   Generation and dispatch planning

·   Resolution of technical and commercial challenges

·   Frequent interactions with Senior Management

·   Facilitate technological and commercial exchanges in addressing the challenges

Community

·   Community needs assessment

·   Planning of CSR activities and feedback

·   Community engagement

·   Hold regular community meetings, both formal and informal

·   Hold several CSR activities

·   Increase staff volunteering through staff participation in community engagements

Shareholders

and Lenders

·   Strategy & policy guidance

·   Business planning

·   Performance monitoring & review

·   Provide regular management reports

·   Conduct business review meetings

·   Host site visits and conduct audits at our facilities

Industry Associations

·   Thought leadership

·   Best practice sharing

·   Sector specific matters

·   Membership in relevant industry associations

·   Meet with relevant stakeholders

·   Participate in industry conferences

Explanation of the approach to prioritizing these challenges and opportunitiesSee above.
Key conclusions about progress in addressing these topics and related performance in the reporting periodSee above.
Description of the main processes in place to address performance and relevant changesBoth our Climate Vision 2050 and our Sustainability Framework are tools which include quantitative targets against which we measure our annual performance. These tools and their processes help us manage our climate change and sustainability-related risks, constantly driving us to monitor emerging issues and to mitigate these risks.
Impact of sustainability trends, risks, and opportunities on the long-term prospects and financial performance of the organization [title]
Description of the most important risks and opportunities for the organization arising from sustainability trends

Regulatory and political risks for our Hong Kong business

Since financial year 1964, the electricity-related operations of CLP Power Hong Kong and CAPCO (the SoC Companies) have been governed by a Scheme of Control Agreement (SoC) with the Hong Kong Government. The SoC specifies the SoC Companies’ obligations to supply adequate and reliable electricity supplies to customers at the lowest reasonable cost and is the mechanism for the Hong Kong Government to monitor the Companies’ financial affairs and operating performance. The current SoC took effect from 1 October 2008 and covers the period of 10 years to 30 September 2018, with the Hong Kong Government having the right to extend by 5 years on the same terms to 30 September 2023 by giving notice before 1 January 2016.  In the event that the five-year extension option is not exercised by the Hong Kong Government, the SoC Companies will continue to earn the permitted return until 30 September 2023 on all approved investments.

Because the electricity industry requires significant amounts of infrastructure with long lead times needed for planning, financing and construction, the development of Hong Kong’s future electricity regulatory regime plays an extremely important role in our business.  Regulatory certainty and clarity are vital factors to any regulated utility and we believe there is an opportunity to work with the community and the Government to ensure an outcome that can continue to deliver a world-class supply of electricity to Hong Kong at reasonable prices while balancing interests of shareholders. The Government is expected to consult the public on the subject in the first half of 2015.  For more information on this consultation, please refer to the “Sustainable Economics” chapter.

Here is a summary of consequence and impact of the regulatory and political risk in our Hong Kong business.

Type of Risk

Regulatory

Type of Consequence

Financial / Reputation / Regulatory & Governance

Potential impact

Capital availability, investment opportunities and operational costs, and other dimensions

In order to manage this risk and add positively and substantively to the conversation, we will continue to contribute our expertise and knowledge as best as we can. For any discussions to be effective and decisions to be well-thought through, the objectives must be clearly defined.  The current regulatory structure has served Hong Kong well and helped the city achieve world-class levels of reliability, reasonable cost and environmental performance. Any changes to the current regime will need to consider how to continue to balance these three factors.

Market and regulatory challenges in the Australian energy sector

The Australian energy sector continues to face oversupply challenges due to the continuing unprecedented decline in electricity demand in the National Electricity Market (NEM) which has in turn caused overcapacity in the generation sector, suppressed wholesale prices and contributed to high levels of competition in energy retail markets.  Amongst retail customers, the decline in electricity demand is partially due to customers adopting distributed energy generation such as solar power as well as in-home technologies which enable them to manage their electricity usage more effectively. Amongst commercial and industrial customers, the decline in demand is due to a continuing weakness in manufacturing industries and a slowing of the mining sector.

The fact that there is not enough demand to consume the amount of electricity supplied to the market, poses a significant risk to the business model of our Australian subsidiary, which is centered on the production and supply of electricity. Here is a summary of consequence and impact of the risk associated with the market challenges in the Australian energy sector.

Type of Risk

Market

Type of Consequence

Financial

Potential impact

Decreased demand for our products and services

In addition to these market sector risks, our Australian business also faces a layer of regulatory risk.  Regulatory risks arise from unpredictability and inconsistency in the laws and rules that regulate the energy sector structure, conduct and performance.  Where a business faces this type of uncertainty it reduces its ability to make optimal business decisions.

As we have mentioned several times in this report, it takes electricity industry participants years to plan, finance and build the required machinery in order to provide an essential service to society.  Therefore regulatory uncertainty such as the form of carbon mitigation regulation makes it difficult to make optimal investment decisions around the type of fuel source to use in generating electricity.  The fact that the RET scheme is under review and negotiations are currently at an impasse on the size of the future target also makes it very difficult for industry participants such as EnergyAustralia to plan and build the right infrastructure in order to be best positioned to not only take advantage of market dynamics, but also to meet customer needs and preferences.  For more information on these regulatory developments, please refer to the Sustainable Economics chapter. 

Here is a summary of the major components risk associated with the regulatory challenges in the Australian energy sector.

Type of Risk

Regulatory

Type of Consequence

Financial / Regulatory & Governance

Potential impact

Demand for products and services and capital availability

To manage this risk, our Australian business is working to ensure that the business is operating as efficiently as possible by managing costs and making operational efficiency improvements. EnergyAustralia will also continue to actively engage with Governments and regulators to find an appropriate balance between environmental and community imperatives in energy, carbon and renewable policy setting, as well as ensuring that businesses are able to earn appropriate returns on existing and new capital.

Major accident at construction sites or operating plants

Safety is one of CLP’s highest priorities, and therefore making sure all of our employees and contractors are safe, every hour of every day, is one of our greatest ongoing concerns.  Ensuring a safe and accident free workplace is a challenge but it is especially difficult at construction sites in India and China, where there has been significant expansion of heavy construction and therefore some contractors and other project participants are not as experienced, especially in safety matters, as they might be if the heavy construction industry where not growing so quickly.  In addition, by their nature hydropower plants are susceptible to risk of landslides and dam safety, due largely to unusual floods, particularly during rainy seasons.

Safety has always been identified as a risk by our Group Risk Management Framework, however it is a higher priority this year because of the number of construction projects CLP has underway in India and China.  These include plans to construct the Fangchenggang II coal fired power plant and two solar projects in China, as well as several wind farms that will either begin or continue construction in both India and China this year.

Here is a summary of consequence and impact of the risk of a major accident at any one of our construction sites or operating plants across the CLP Group.

Type of Risk

Industrial and Operational

Type of consequence

Safety & Health / Reputational

Potential impact

Safety & health of our staff, contractors and the general public

In order to manage the risk of a safety event, CLP has many longstanding programmes and practices in place to help ensure that safe working practices are observed in all parts of the company at all times.  Specific efforts made in 2014 to ensure that CLP’s safety culture is maintained and enhanced include:

·        CLP Group HSSE Management System and 10 Critical Risk Standards were issued and applied to assets;

·        Efforts to ensure the safety management systems of operating assets continue to be aligned with the enhanced Group standards;

·        Numerous safety management reviews were conducted at our Jhajjar coal fired power plant in India where additional programmes were introduced to increase the engagement of employees and contractors in improving health and safety efforts; and

·        For all hydro plants, proactive crisis management and escape drills were developed in response to natural disasters, and efforts were made to increase awareness to news with respect to weather and rainfall forecasts.

Extreme weather events adversely affect the Group

Extreme weather events have been escalated as a new risk at the Group level because we believe it is clear that progressively more scientific and physical evidence suggests that some degree of climate change has already occurred, and more looks inevitable.  Extreme weather conditions or climactic changes, such as increases in temperature, tropical cyclone intensity, flooding and drought may adversely affect our facilities.

Moreover there were a series of natural disasters which occurred at several of CLP’s power plants in China this year.  In particular, in May 2014 we closed half of our 12 Huaiji Hydro Power Stations due to serious flooding.  In July, one of our Fangchenggang Coal Fired Power Station’s two generating units was taken out of service after its boiler structure was damaged by typhoon Rammasun.  Two months later, a landslide damaged a section of 220kV transmission line of the Jiangbian Hydro Power Station.

Here is a summary of the major components of CLP Group’s risk of extreme weather events.

Type of Risk

Industrial and Operational

Type of Consequence

Operations & Systems / Safety & Health / Financial

Potential impact

Capital and operational costs and, in very severe cases, investment opportunities

In order to manage this risk of damage to our facilities as a result of extreme weather events, CLP has conducted a series of climate adaptation studies on existing power plants in order to better understand the risks involved as well as identify measures to take to mitigate them.  Some of the mitigation measures we are considering include facilities upgrades, procedural changes and behavioral adjustments.  In addition, we are currently reviewing how our adaptation assessments might be incorporated into the plant design phase for new build projects.

Prioritization of key sustainability topics as risks and opportunities according to their relevance for long-term organizational strategy, competitive position, qualitative, and (if possible) quantitative financial value drivers
CLP has established risk profiling criteria to help assess and prioritize each identified risk according to its consequence (magnitude) and its likelihood.  In assessing the consequence (magnitude) of a risk, we consider both financial and non-financial types of consequences including:
  • Safety and Health;
  • Environment;
  • Regulatory & Governance;
  • Reputation;
  • Financial; and
  • Operations and Systems.
Concise description of governance mechanisms in place specifically to manage these risks and opportunities, and identification of other related risks and opportunitiesA complete description of our Risk Management Framework, as well as an overview of the material risks to the CLP Group, can be found in our 2014 Annual Report.  Here in our Sustainability Report we present those risks identified as material through our Risk Management Framework process that are most relevant from a sustainability perspective and describe them in greater detail. 
G4-2 a. Provide a description of key impacts, risks, and opportunities [additional information]
Climate Vision 2050
Although parts of CLP’s strategy were updated in 2014, our Climate Vision 2050 has not changed.
Climate Vision 2050 was publicly announced in 2007 and updated in 2010. It sets out a series of progressive interim targets and ultimate goals to reduce the carbon intensity of our generation portfolio and to increase both the renewable and the non-carbon portions of our generation fleet as a percentage of our total capacity. Our first goal is to reduce the carbon intensity of our Group’s generating portfolio by 75% by 2050 from our 2007 level. This goal includes interim targets in 2010, 2020 and 2035. Our second goal is for renewables to make up 20% of our generation portfolio and for non-carbon emitting generation (including renewables) to make up 30% of our generation portfolio by 2020.
YearCarbon Intensity Targets (kg CO2 / kWh)Non-Carbon Emitting Targets
20100.85% renewables
20200.6 20% renewables
30% non-carbon (Inclusive of 20% renewables)
20350.45 
20500.2 
Key Environmental Issues
  • Our Group Carbon Intensity increased from 0.82kg CO2/kWh to 0.84 CO2/kWh, which is where we started back in 2007 and is a consequence of the following events:
    • In 2012, we experienced an all-time low carbon intensity which was a result of lower output from Yallourn Power Station in Australia due to the disruption caused by the flooding of its mine, as well as low output from our Jhajjar Power Station in India due to the lack of coal for generation.
    • In 2013, we acquired Mount Piper and Wallerawang Power Stations in Australia, both of which are coal-fired. In the same year, output from the Jhajjar Power Station in India increased relative to 2012, and our endeavors to align our carbon accounting method with our financial accounting definitions resulted in the removal of the CGN wind portfolio from our 2013 calculations.
    • The rise from 2013 to 2014 was attributed mainly to the acquisition of additional shares in Castle Peak Power Company Limited (CAPCO) which holds our power generation assets in Hong Kong, resulting in an increase in equity of the fossil-fuel portfolio. There was also a general reduction in output from renewables projects, in particular hydro projects in Mainland China.
  • Our renewable generation capacity fell to 14.1% from 16.3% in 2013, while our non-carbon emitting generation capacity also dropped to 16.7%, down from 19.4% in 2013. This reduction is due mainly to the acquisition of additional shares in CAPCO and financial commitment of Fangchenggang II. However, we did continue to invest in renewable energy, with an investment of HK$3,072 million made over the course of the year, an increase from our investment of HK$1,688 million in 2013. As in years past, most of the expansion of our renewable portfolio has come from our India and Mainland China businesses.
  • Our carbon intensity for the Hong Kong business in 2014 remained at a level similar to 2013 despite the fact that more coal-fired generation was used to mitigate the tariff increase pressure by cushioning the relatively more expensive gas prices, with our kg CO2/kWh remaining at 0.63 and our kg CO2e/kWh slightly increasing from 0.63 to 0.64.
Organizational Profile [title]
G4-3 [title]
G4-3 a. Report the name of the organization [title]
Report the name of the organizationCLP Holdings Limited
G4-4 [title]
G4-4 a. Report the primary brands, products, and services [title]
Report the primary brands, products, and servicesOur portfolio includes more than 70 assets and our products span the entire electricity value chain, from power generation and gas storage to high voltage transmission and local distribution, to gas and electricity retail services. 
G4-5 [title]
G4-5 a. Report the location of the organizations headquarters [title]
Report the location of the organizations headquartersHong Kong
G4-6 [title]
G4-6 a. Report the number of countries where the organization operates, and names of countries where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the report [title]
Report the number of countries where the organization operates4
Report the names of countries where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the report [title]
For each, report
Australia
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportAustralia
MainlandChina
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportMainland China
HongKong
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportHong Kong
India
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportIndia
G4-7 [title]
G4-7 a. Report the nature of ownership and legal form [title]
Report the nature of ownershipCLP Holdings Limited is a publically held company that has been in the electricity business since 1901.  We are listed on the Hong Kong Stock Exchange.
Report the legal formSee above.
G4-8 [title]
G4-8 a. Report the markets served (including geographic breakdown, sectors served, and types of customers and beneficiaries) [title]
Report the markets served (including geographic breakdown, sectors served, any types of customers and beneficiaries)We are organised by geography and have business units in Australia where we operate as “EnergyAustralia”, India where we operate as “CLP India”, Mainland China, and Southeast Asia & Taiwan. Our power generation fleet consists of coal, gas, nuclear wind, hydro and solar power facilities.  Our wholesale customers include grid companies in China and State Electricity Boards in India, which purchase power directly from our generating assets.  Our retail customers include businesses and residential households in Hong Kong and Australia, where we have retail operations.
G4-9 [title]
G4-9 a. Report the scale of the organization [title]
Total number of employees7,387
Total number of operations18
Net sales [title]
Net sales (for private sector organizations)HKD 92,259,000,000
Total capitalization [title]
Total capitalization broken down by debt (for private sector organizations)HKD 67,435,000,000
Total capitalization broken down by equity (for private sector organizations)HKD 88,013,000,000
Quantity of products or services provided [title]
For each, report
CastlePeakPowerStation
Product or serviceCastle Peak Power Station
Quantity of products or services provided20280 GWh
BlackPointPowerStation
Product or serviceBlack Point Power Station
Quantity of products or services provided5315 GWh
PennysBayPowerStation
Product or servicePenny’s Bay Power Station
Quantity of products or services provided1 GWh
YallournPowerStationMine
Product or serviceYallourn Power Station and Brown Coal Mine
Quantity of products or services provided9806 GWh
MountPiperPowerStation
Product or serviceMount Piper Power Station
Quantity of products or services provided7694 GWh
TallawarraPowerStation
Product or serviceTallawarra Power Station
Quantity of products or services provided2435 GWh
HallettPowerStation
Product or serviceHallett Power Station
Quantity of products or services provided29 GWh
WaterlooWindFarm
Product or serviceWaterloo Wind Farm
Quantity of products or services provided310 GWh
CathedralRocksWindFarm
Product or serviceCathedral Rocks Wind Farm
Quantity of products or services provided177 GWh
FangchenggangPowerStation
Product or serviceGuangxi Fangchenggang I Power Station
Quantity of products or services provided4543 GWh
JiangbianHydroPowerStation
Product or serviceJiangbian Hydro Power Station
Quantity of products or services provided1088 GWh
HuaijiHydroPowerStation
Product or serviceHuaiji Hydro Power Station
Quantity of products or services provided410 GWh
DaliYangErHydroPowerStation
Product or serviceDali Yang_er Hydro PowerStation
Quantity of products or services provided139 GWh
QianAnIAndIIWindFarm
Product or serviceQian'an I & II Wind Farm
Quantity of products or services provided173 GWh
PenglailWindFarm
Product or servicePenglai I Wind Farm
Quantity of products or services provided91 GWh
JinchangSolarPowerStation
Product or serviceJinchang Solar Power Station
Quantity of products or services provided101 GWh
JhajjarPowerStation
Product or serviceJhajjar Power Station
Quantity of products or services provided5877 GWh
PaguthanPowerStation
Product or servicePaguthan Power Station
Quantity of products or services provided271 GWh
G4-10 [title]
G4-10 a.Report the total number of employees by employment contract and gender [title]
For each, report
G4-10 a.Report the total number of employees by employment contract and gender [additional information]
Employment Type by Region in 2014 (% of Employees)
PermanentShort-term Contract
Hong Kong81.4%18.6%
Mainland China73.3%26.7%
Australia*98.0%2.0%
India99.7%0.3%
*Exclude Mount Piper and Wallerawang staff
G4-10 b. Report the total number of permanent employees by employment type and gender [title]
For each, report
Full-time employment
for
Total number of employees7,387
Part-time employment
for
Total number of employees182
G4-10 b. Report the total number of permanent employees by employment type and gender [additional information]
As of 31 December 2014, we had 7,387 full-time employees, 6% more than in 2013. In addition, we also had 182 part-time employees and 991 short-term employees in the CLP Group. The short-term employees are included in the number of full-time employees.
Regional Disctribution of Part-time Employees (Number)
20142013
Hong Kong2325
Mainland China02
Australia159163
India00
Other locations (Southeast Asia and Macau)00
Total182190
G4-10 d. Report the total workforce by region and gender [title]
For each, report
Male
HongKong
Region nameHong Kong
Workforce3,634
Female
HongKong
Region nameHong Kong
Workforce771
Male
MainlandChina
Region nameMainland China
Workforce376
Female
MainlandChina
Region nameMainland China
Workforce104
Male
Australia
Region nameAustralia*
Workforce1,172
Female
Australia
Region nameAustralia*
Workforce971
Male
India
Region nameIndia
Workforce327
Female
India
Region nameIndia
Workforce32
Male
AllRegions
Region nameTotal
Workforce5,555
Female
AllRegions
Region nameTotal
Workforce1,832
G4-10 d. Report the total workforce by region and gender [additional information]

Key Performance Indicators

Employees based on geographical location2014
Hong Kong4405
Mainland China480
Australia2143
India359
Other Locations (Southeast Asia & Macau)-
Total7387

Gender Distribution by Region (% of Employees)

 2014
 MaleFemale
Hong Kong82.5%17.5%
Mainland China78.3%21.7%
Australia*54.7%45.3%
India91.1%8.9%
Total75.2%24.8%

*Exclude Mount Piper and Wallerawang staff

G4-10 e. Report whether a substantial portion of the organizations work is performed by workers who are legally recognized as self-employed, or by individuals other than employees or supervised workers, including employees and supervised employees of contractors [title]
Report whether a substantial portion of the organizations work is performed by workers who are legally recognized as self-employed, or by individuals other than employees or supervised workers, including employees and supervised employees of contractorsNo
G4-10 f. Report any significant variations in employment numbers [title]
Report any significant variations in employment numbers (such as seasonal variations in employment in the tourism or agriculture industries)

Key Performance Indicators

Employees based on geographical location201420132012
Hong Kong440543944345
Mainland China480469539
Australia214317451302
India359360391
Other Locations (Southeast Asia & Macau)--4
Total738769686581
G4-11 [title]
G4-11 a. Report the percentage of total employees covered by collective bargaining agreements [title]
G4-11 a. Report the percentage of total employees covered by collective bargaining agreements [additional information]
Our employees have the freedom of association to join organisations and professional bodies of their choice. We respect and comply fully with all legal requirements in regards to union membership and collective bargaining in the countries we operate in. However, our management philosophy is that the most appropriate way to engage with our colleagues is through direct communication rather than through intermediary organisations.  In 2014 we have not identified any operations in which the right to exercise freedom of association and collective bargaining may be violated or at significant risk.
In Australia, we engage in collective bargaining with some employees via certified Enterprise Bargaining Agreements. These agreements include both notice period and provisions for consultation and negotiation. 51% of EnergyAustralia employees are covered by such agreements.
G4-12 [title]
G4-12 a. Describe the organizations supply chain [title]
Describe the organizations supply chain

For all major assets in Australia, China, Hong Kong and India, in 2014 we procured from 5,203 suppliers for a total of HK$30.9 billion.  All purchases are guided by the principles under CLP Code of Conduct and Responsible Procurement Policy Statement (RePPS).  A regional breakdown of the purchase amount and the number of suppliers is provided in the table below.  78% of this total purchase amount was from local suppliers in Australia, China, Hong Kong and India. 

Number of Suppliers and Procurement Spend

Region

Purchase amount (HK$M)

Number of suppliers

Asia Pacific

Australia

6,317

2,071

Mainland China

7,249

1,103

Hong Kong

7,083

836

India

3,466

969

Others

5,670

63

Europe

1,081

101

Others

80

60

Total

30,946

5,203

G4-13 [title]
G4-13 a. Report any significant changes during the reporting period regarding the organizations size, structure, ownership, or its supply chain [title]
Changes in the location of, or changes in, operations, including facility openings, closings, and expansions

PORTFOLIO CHANGES

2014 saw a few incremental changes to our portfolio of assets. This is in line with how we manage our portfolio: although we are continuously making adjustments to our portfolio of assets, we make our investment decisions carefully with an objective of owning and operating our assets for the long term.  The adjustments we made to our portfolio this year include:

Castle Peak Power Company Limited

CLP announced the acquisition of a further 30% interest in Castle Peak Power Company Limited in 2013, resulting in CLP owning a 70% controlling interest in the company.  This acquisition was completed according to plan in 2014 and allows us to implement more operational and strategic initiatives that are aligned with the long-term interests of Hong Kong.  In parallel, we have also raised our shareholding in Hong Kong Pumped Storage Development Company, Limited from 49% to 100%.

Fanchenggang Power Station

CLP commenced construction of Fangchenggang II, an expansion of our Fanchenggang Coal Fired Power Station in Guangxi, China.  Construction is progressing on schedule for a planned commissioning in 2016.

Minority Owned Projects in Mainland China

As part of our objective to pursue majority-owned projects in the Mainland, we signed an agreement to divest our interest in the CSEC Guohua and Shenmu coal fired power projects in April 2014.  Completion of the transaction required certain corporate and regulatory approvals by December 2014.  However these approvals were not obtained and the agreement lapsed.  Therefore, CLP regained joint control over these projects.

Renewables Investment

We continue grow our renewables portfolio and therefore we actively pursue renewable generation opportunities when they are commercially viable.  In 2014, operating earnings from renewable energy decreased to HK$384 million from HK$617 million in 2013.  We also made an investment of HK$3,072 million in renewable energy over the course of the year, an increase from our investment of HK$1,688 in 2013.  As has been the case in years past, most of the expansion of our renewable portfolio has come from our India and Mainland China Business units.  

In India, we continue to focus on our wind portfolio.  We commissioned 102.4MW of wind capacity in 2014, including 60MW in our Jath project, 25.6MW in our Bhakrani project, and 16.8MW in our Mahidad project.  These additions brought the total size of our wind portfolio to 1,081 MW, strengthening our position as India’s largest wind power producer.  We plan to continue to grow this portfolio: during 2014 we also decided to invest in the 100MW Chandgarh Wind Farm, construction for which has already begun. 

In Mainland China, we are pursuing both wind and solar renewable generation projects.  This year we commissioned our new 49.5 MW wholly owned wind power project Laiwu I in Shandong Province.  We also obtained approvals for four additional wholly-owned wind projects with a total generation capacity of around 250 MW.  Expanding on our solar portfolio, we commissioned Xicun Solar Power Station in Yunnan province, a 42 MW wholly-owned project.

Changes in the share capital structure and other capital formation, maintenance, and alteration operations (for private sector organizations)See above.
Changes in the location of suppliers, the structure of the supply chain, or in relationships with suppliers, including selection and terminationThere have been no significant changes to the CLP supply chain in 2014.
Commitments to External Initiatives [title]
G4-14 [title]
G4-14 a. Report whether and how the precautionary approach or principle is addressed by the organization [title]
Report whether the precautionary approach or principle is addressed by the organizationYes
Report how the precautionary approach or principle is addressed by the organization

In addition to developing voluntary guidelines to build capacity in managing potential or emerging environmental issues, our practice in regards to the precautionary approach, includes:

·        Environmental Impact Assessment (EIA) Standard: this internal standard requires that all prospective construction projects or acquisitions undergo an EIA regardless of whether it is regulatory or financier requirement.  For example, we ensure that all our Indian wind farms have undergone an EIA even though this is not a regulatory requirement.  We follow the recommendations of these EIAs and ensure that mitigation measures are built into projects from the beginning.

·        Climate Adaptation Studies: We have conducted Climate Adaptations Studies on several of our assets, as reported extensively in our 2013 Sustainability Report.  Even though the predictions of future climate change scenarios may not be fully accurate, we have implemented some of the adaptation measures identified by these studies at our plants.

G4-15 [title]
G4-15 a. List externally developed economic, environmental and social charters, principles, or other initiatives to which the organization subscribes or which it endorses [title]
List externally developed economic, environmental and social charters, principles, or other initiatives to which the organization subscribes or which it endorses
We rarely endorse international charters and principles due to the fact that we take these initiatives very seriously and do not adopt them unless we are certain we can meet the relevant criteria or requirements robustly. Although we do not officially adopt them, we do often follow or reference some of the best practices included in such charters since we are always looking to continuously improve. Hence, we currently are not a signatory of the United Nations Global Compact, but we will continue to review the possibility of signing in the future.

International engagement with peers, industry experts, research and academic communities, as well as non-governmental organisations (NGOs), helps us to strengthen our relationships with both local and international stakeholders to:

·         Continually monitor emerging trends and assess potential related risks and opportunities;

·         Introduce best practices to improve operational efficiency and business performance;

·         Explore new technologies and potential business paradigms to uphold our license to operate;

·         Strengthen our internal capacity for addressing emerging issues;

·         Share our experience and knowledge to build trust and credibility in the international community as well as amongst our local stakeholders, including government, industry, academia and general public; and

·         Stimulate thought leadership.

G4-16 [title]
G4-16 a. List memberships of associations and national or international advocacy organizations [title]
For each, report
11
Name of membership of association or national or international advocacy organizationTERI-Business Council for Sustainable Development (TERI-BCSD) India
Indicate whether the organization holds a position on the governance bodyYes
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
10
Name of membership of association or national or international advocacy organization
Energy Supply Association of Australia
(esaa)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
9
Name of membership of association or national or international advocacy organizationThe Clean Energy Council
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
8
Name of membership of association or national or international advocacy organizationChina Electricity Council (CEC)
Indicate whether the organization holds a position on the governance bodyYes
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
7
Name of membership of association or national or international advocacy organizationChina Nuclear Energy Association(CNEA)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
6
Name of membership of association or national or international advocacy organizationInternational Integrated Reporting Council (IIRC)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
5
Name of membership of association or national or international advocacy organizationInternational Emissions Trading Association (IETA)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
4
Name of membership of association or national or international advocacy organizationInternational Electric Research Exchange(IERE)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
3
Name of membership of association or national or international advocacy organizationMIT Joint Program on the Science and Policy of Global Change (MITJP)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
2
Name of membership of association or national or international advocacy organizationThe World Energy Council (WEC)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
1
Name of membership of association or national or international advocacy organizationWorld Business Council for Sustainable Development (WBCSD)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
12
Name of membership of association or national or international advocacy organizationIndian Wind Power Association (IWPA)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
13
Name of membership of association or national or international advocacy organizationHong Kong Institution of Engineers (HKIE)
Indicate whether the organization holds a position on the governance bodyNo
Indicate whether the organization participates in projects or committeesYes
Indicate whether the organization provides substantive funding beyond routine membership duesNo
Indicate whether the organization views membership as strategicYes
Identified Material Aspects and Boundaries [title]
G4-17 [title]
G4-17 a. List all entities included in the organizations consolidated financial statements or equivalent documents [title]
List all entities included in the organizations consolidated financial statements or equivalent documentsPlease refer to our 2014 Annual Report for more details on the entities included in our consolidated financial statements
G4-18 [title]
G4-18 a. Explain the process for defining the report content and the Aspect Boundaries [title]
Explain the process for defining the report content and the Aspect Boundaries

Sustainability Context

With operations spanning the Asia Pacific region, where local social, economic and environmental-related expectations and regulations vary as does the pace of change and development, it is critical that any narrative of our performance includes the relevant context to enable our readers to make more informed judgements on our performance.  We therefore endeavour to provide such context throughout the report, particularly in the introductory sections of each chapter which also aim to provide some explanation of why and how the relevant aspects matter. 

G4-18 b. Explain how the organization has implemented the Reporting Principles for Defining Report Content [title]
Explain how the organization has implemented the Reporting Principles for Defining Report ContentStarting last year, we took the approach of utilising the stakeholder concerns collected during the year through our existing stakeholder engagement channels, which support our local operational and business strategy needs, to inform the content of our report. We believe this helps to further integrate our operational, business strategy and reporting objectives. For more information on our general approach to stakeholder engagement, please see the "Sustainable Relationships" chapter.
G4-19 [title]
G4-19 a. List all the material Aspects identified in the process for defining report content [title]
G4-19 a. List all the material Aspects identified in the process for defining report content [additional information]
Moving From Global Reporting Initiative (GRI) G3.1 To G4
This year we produced our first GRI G4 report in accordance with the Core option. In order to ensure we satisfied the G4’s requirement to identify the material aspects and boundaries, we applied our Boundary Scoping and Materiality Identification (BSMI) framework, which is described in greater detail below, and determined that nearly all aspects included in G4 were material for CLP. Although we prepared our report in accordance with the Core option, we also wanted to ensure reporting and disclosure continuity with our previous Sustainability Reports, the most recent of which were produced in accordance with GRI G3.1.
In taking this approach we have produced a report that falls somewhere between the Core and Comprehensive options of the G4 because we reported more than one indicator for each material aspect in most cases. Although this means our report is not in strict accordance with either the Core or the Comprehensive options, it ensures that we do not lose sight of the main objective of our Sustainability Report, which is to communicate our sustainability performance to the wide range of stakeholders that we have. The GRI G4 Guidelines are an important tool we use in the preparation of this report, however this is a document we produce for our stakeholders, and not something we do just for the sake of compliance to an international reporting guideline or standard.
G4-20 [title]
G4-20 a. For each material Aspect, report the Aspect Boundary within the organization [title]
G4-20 a. For each material Aspect, report the Aspect Boundary within the organization [additional information]
Below is the definition of the company boundary for each of the main categories of data included in this Report. Please refer to our 2014 Annual Report for more details on the entities included in our consolidated financial statements and to the table below for what portions of our company are included in our reporting for each category of data.
Finance
Selected financial figures are extracted from our Annual Report and include the financial statements of CLP and its subsidiaries. These figures include the Company’s interests in Joint Ventures, Joint Operations and Associate. Methods of accounting of these interests are in accordance with Hong Kong Financial Repor ting Standards (HKFRS) is sued by the H ong Kong Institute of Certified Public Accountants (HKICPA).
Environment
Resource Use and Emissions
All operationally-controlled facilities (where CLP has full authority to implement CLP’s operating policies); plus any facilities included from the BSMI (Boundary Scoping and Materiality Identification) assessment; that are power assets, transmission and distribution or fuel storage facilities that pose material impact to the environment; and which have operated for the full calendar year are included, with 100% of the performance data reported without adjustment of the data to reflect our equity share unless otherwise stated.
Climate Vision 2050 Target Performance (Equity Basis)
For carbon intensity-related performance and commitments, they are calculated on an equity basis instead of on an operational control basis. Our reporting scope for these metrics includes all facilities that were in operation during the year in which CLP has equity interest (hence assets acquired during the year are included despite not having operated for a full calendar year under CLP ownership).
Some statistical data derived from our overseas operations may not be strictly comparable because local and/or regulatory definitions may vary.
People: Employees
Employee figures include all people employed by CLP entities or their subsidiaries. It does not include employees in our Jointly Controlled Entities, Jointly Controlled Assets or Associated Companies.
In Hong Kong, Australia and India, this scope covers all of CLP’s operations. In Mainland China, the scope covers CLP’s nuclear business and those facilities in which CLP holds a majority equity share, excluding Fangchenggang.
People: Safety
Scope includes companies, assets and construction projects fully or majority owned by CLP; companies and assets for which CLP has operational control (where CLP has full authority to implement CLP’s operating policies); and CLP corporate office areas.
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G4-21 [title]
G4-21 a. For each material Aspect, report the Aspect Boundary outside the organization [title]
G4-21 a. For each material Aspect, report the Aspect Boundary outside the organization [additional information]The potential key impacts of our business on our external stakeholders, as well as the potential aspects with boundaries outside CLP, can be determined from the summary of the main stakeholder concerns that arose during the year in the various jurisdictions as presented in the following tables. For information on our internal stakeholder engagements, please see the Employee section of the “Sustainable Relationships” chapter.
G4-22 [title]
G4-22 a. Report the effect of any restatements of information provided in previous reports, and the reasons for such restatements [title]
G4-22 a. Report the effect of any restatements of information provided in previous reports, and the reasons for such restatements [additional information]For 2013 to 2014, we had no material restatements of the quantitative Key Performance Indicators in the table in the “2014 Highlights“ chapter.
G4-23 [title]
G4-23 a. Report significant changes from previous reporting periods in the Scope and Aspect Boundaries [title]
Report significant changes from previous reporting periods in the Scope and Aspect BoundariesIn 2014, the only major change of scope and aspect boundary was of the addition of the Mount Piper coal fired and Jinchang solar power stations to our environmental reporting scope, which completed their first full calendar year of operation under CLP ownership in 2014.
Stakeholder Engagement [title]
G4-24 [title]
G4-24 a. Provide a list of stakeholder groups engaged by the organization [title]
For each, report
1
Stakeholder groupSee below.
G4-24 a. Provide a list of stakeholder groups engaged by the organization [additional information]Within each of our jurisdictions, we generally engage similar stakeholder groups which include capital and debt providers, governments and regulators, employees, customers and off-takers, suppliers and contractors, business partners, media, academic and industry experts, local communities and the general public.  However, the major business units which make up the CLP Group are relatively autonomous in their day-to-day operational decision-making.  They are also extremely diverse. This diversity includes geographical differences and variation in market structures as well as differences in the size and maturity of each business, which means that stakeholder concerns and priorities can vary due to these regional differences
G4-25 [title]
G4-25 a. Report the basis for identification and selection of stakeholders with whom to engage [title]
Report the basis for identification and selection of stakeholders with whom to engageStarting last year, we took the approach of utilising the stakeholder concerns collected during the year through our existing stakeholder engagement channels, which support our local operational and business strategy needs, to inform the content of our report. We believe this helps to further integrate our operational, business strategy and reporting objectives. For more information on our general approach to stakeholder engagement, please see the “Sustainable Relationships” chapter.
G4-26 [title]
G4-26 a. Report the organizations approach to stakeholder engagement [title]
For each, report
EngagementTypeNotSpecified
1
Stakeholder groupSee G4-24 and G4-27.
G4-26 a. Report the organizations approach to stakeholder engagement [additional information]Starting last year, we took the approach of utilising the stakeholder concerns collected during the year through our existing stakeholder engagement channels, which support our local operational and business strategy needs, to inform the content of our report.  We believe this helps to further integrate our operational, business strategy and reporting objectives.  For more information on our general approach to stakeholder engagement, please see the Sustainable Relationships chapter.
G4-27 [title]
G4-27 a. Report key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns [title]
G4-27 a. Report key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns [additional information]

The potential key impacts of our business on our stakeholders, as well as the potential aspects with boundaries outside CLP, can be determined from the summary of the main stakeholder concerns that arose during the year in the various jurisdictions as presented in the following tables.

Hong Kong

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and Policy

Influencers

·   Tariff Review for 2014 & 2015

·   Fuel Mix consultation

·   Post 2018 Electricity Market Regime

·   Regular meetings, briefings and communication with key government members and advisers

·   Engage and inform stakeholders through the use of special information packs on CLP's Hong Kong operations

·   Media releases and briefings

·   Respond actively to stakeholder and media enquiries

Customers

·   Power quality

·   Supply reliability

·   Energy efficiency and conservation

·   Tariff

·   Provide energy saving solutions to all customer groups

·   Power quality improvement services to key customers

·   Provide tariff information to all customer groups

Community

·   Construction works affecting the community

·   CLP community works

·   Regular news on CLP Power Hong Kong through Light Magazine

·   Sponsorship of events, programmes, tables and/or CLP souvenirs

·   Discussion workshops to consider and review ways in which CLP can continuously improve its efforts in enhancing supply reliability, cost control and environment performance

Industry Associations and

Professional Bodies

·   Supply reliability

·   Tariff adjustment

·   Fuel mix consultation

·   CLP energy saving initiatives

·   Advanced metering infrastructure

·   Renewable energy development

·   Collaborate on projects or programmes

·   Participate, speak and officiate at seminars, classes and events

·   Coordinate site visits to CLP's facilities and sharing of CLP's efforts in enhancing supply reliability, cost control and  environment performance

Mainland China

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and relevant Regulators

·   Regulatory compliance

·   Safety & reliability

·   Emergency readiness (especially nuclear)

·   Regular visits/exchanges with various levels of government to build support and increase understanding of CLP’s safety culture

·   Adhere to the relevant benchmark tariffs and special subsidies

Customers

·   Fulfil dispatch obligations and to meet off-taker agreements

·   Tariff competitiveness

·   Regular communications with grid companies on generation plans and dispatch requirements

·   Ensure tariff competitiveness through efficient operations

Community

·   Social, economic and environmental impacts on local communities

·   Employment opportunities

·   Transparency / public disclosure on safety and emergency readiness (especially for nuclear)

·   Encourage engagement with communities through staff volunteerism

·   Continue to support and monitor various programmes, including CSR activities, ad-hoc relief efforts, and needs of the previously funded Hope Schools

·   Work with JV partners on public relations initiatives, on new and existing projects, to champion public support

·   Provide comprehensive and balanced information on nuclear power; through engagement such as guided visits to Nuclear Resources Centre and Daya Bay, the Nuclear Energy Website, and programs for students on energy issues

Shareholders

and Lenders

·   Maintain long term financial security with growth in overall portfolio

·   Financial stability and liquidity of individual assets amidst uncertainties in financial markets

·   Maintain loan portfolio under overall credit tightening in PRC

·   Ongoing evaluation of optimal funding strategies and alternatives

·   Develop new sources of funding like cross-border corporate / project loans

·   Cultivate and maintain long term relationship with key lenders in Mainland China

·   Leverage the Group's relationship with offshore lenders

Australia

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and relevant Regulators

·    Regulatory compliance

·    Wholesale market capacity

·    Renewable Energy Target (RET)

·    Gas market reform

·    Development approval processes

·    Maintain strategic contact with Federal and state government members, advisers and regulators

·    Contribute to expert reviews at Parliamentary committees and inquiries

Customers

·    Quality customer service

·    Billing and debt collection

·    Energy pricing

·    Roof top solar and feed-in tariffs

·    Smart meter roll out

·    Responsible sales and marketing

·    Development of new service and product offerings, including heating, cooling, hot water sales, and emergency service

·    Direct advertising and marketing through television, print and digital media outlets to provide information about products and services for customers to make informed choices

·    Market and focus-group research on products and services to understand consumer energy trends and needs

·    Dedicated call centres to assist customers with queries and complaints

·    Social media is monitored, used as a marketing tool, and utilised to respond to customer queries

Community

·    Managing local social and economic impacts of assets on local stakeholders (e.g. land disturbance, emissions output, noise, health)

·    Local social and economic impacts from major projects (e.g. Narrabri decommissioning of Wallerawang)

·    Driving community support to expedite project approvals (e.g. Coalpac)

·    Conducted formal stakeholder perceptions surveys of key assets to determine level of public support for EA approach and actions

·    Developed best practice approach for managing allocation of sponsorship and community investment for EA business

·    Developed stakeholder engagement plan to support closure of Wallerawang power station announcement

·    Assisted Coalpac to engage key local stakeholders in support of planning application for resuming mining

·    Facilitation of engagement via multiple channels, i.e. community liaison meetings, ‘Talktous’ email and community information sessions

India

Key Stakeholder Groups

Typical Interests and Concerns

Actions / Activities

Government and relevant Regulators

·   Policy & regulatory issues

·   Regulatory compliance

·   Participate in public consultations

·   Facilitate engagement activities

Customers

·   Understanding of customer concerns and requirements

·   Generation and dispatch planning

·   Resolution of technical and commercial challenges

·   Frequent interactions with Senior Management

·   Facilitate technological and commercial exchanges in addressing the challenges

Community

·   Community needs assessment

·   Planning of CSR activities and feedback

·   Community engagement

·   Hold regular community meetings, both formal and informal

·   Hold several CSR activities

·   Increase staff volunteering through staff participation in community engagements

Shareholders

and Lenders

·   Strategy & policy guidance

·   Business planning

·   Performance monitoring & review

·   Provide regular management reports

·   Conduct business review meetings

·   Host site visits and conduct audits at our facilities

Industry Associations

·   Thought leadership

·   Best practice sharing

·   Sector specific matters

·   Membership in relevant industry associations

·   Meet with relevant stakeholders

·   Participate in industry conferences

Report Profile [title]
G4-28 [title]
G4-28 a. Reporting period for information provided [title]
Reporting period start date2014-01-01
Reporting period end date2014-12-31
G4-29 [title]
G4-29 a. Date of most recent previous report [title]
Date of most recent previous report (if any)2014-02-27
G4-30 [title]
G4-30 a. Reporting cycle [title]
Reporting cycle (such as annual, biennial)Annual
G4-31 [title]
G4-31 a. Provide the contact point for questions regarding the report or its contents [title]
Provide the contact point for questions regarding the report or its contents

We welcome your feedback on our performance and on ways we can improve our reporting or approach to sustainability reporting.  You can either fill out our online Feedback Form or contact us in one of the ways listed below. In order to encourage you to take the time to provide feedback and support deserving community initiatives, we will donate HK$60 to charity for each feedback that we receive on our Annual Report, our Sustainability Report, and our online Annual Report snapshot.  The maximum donation amount is set to HK$350,000.  This year’s donations will be made to The Hub Hong Kong, and Families of Spinal Muscular Atrophy (SMA) Charitable Trust. The Hub Hong Kong is a NGO dedicated to facilitating disadvantaged children to study, learn and enrich their social life by creating a centre – or hub – with a range of caring and developmental services.  Families of SMA Charitable Trust provides life-saving and life-sustaining paramedical machinery, financial assistance, self-help programmes and outings for SMA patients and their families.    Your participation in 2013 has enabled us to support the KELY Support Group and Society for the Welfare of the Autistic Persons (SWAP).  The KELY Support Group used our donations to expand its “Growing Up with KELY” programme to help 770 young ethnic minorities and new immigrants at two local schools.  SWAP will apply our donation to hold a five-week summer camp for children with severe Autistic Spectrum Disorder (ASD) in July and August this year.  It is also working on a booklet for ASD children to help raise their self-awareness and self-acceptance which is scheduled to come out in early 2016. Write to Us CLP Holdings Limited 8 Laguna Verde Avenue Kowloon, Hong Kong Fax Us (852) 2678 8453 Email Us Rfeedback@clp.com.hk

GRI Content Index [title]
G4-32 [title]
G4-32 a. Report the in accordance option the organization has chosen [title]
Report the in accordance option the organization has chosenCore
G4-32 a. Report the in accordance option the organization has chosen [additional information]In taking this approach we have produced a report that falls somewhere between the Core and Comprehensive options of the G4 because we reported more than one indicator for each material aspect in most cases.  Although this means our report is not in strict accordance with either the Core or the Comprehensive options, it ensures that we do not lose sight of the main objective of our Sustainability Report, which is to communicate our sustainability performance to the wide range of stakeholders that we have.  The GRI G4 Guidelines are an important tool we use in the preparation of this report, however this is a document we produce for our stakeholders, and not something we do just for the sake of compliance to an international reporting guideline or standard.
Assurance [title]
G4-33 [title]
G4-33 a. Report the organizations policy and current practice with regard to seeking external assurance for the report [title]
Report the organizations policy and current practice with regard to seeking external assurance for the report

Independent data assurance and verification processes for our Sustainability Report are conducted at both the local facility and Group levels by independent third parties.

Facility Level Data Verification

Environmental and some selected social performance data of operationally controlled  facilities, which have been operating for a full  calendar year, have been independently verified  by an external service provider directly engaged  by each facility in the different countries in  which they operate. Our aggregated Group Sustainability Report data makes use of the  verification work done at the facility level. Our verified facility level data are accessible via our Facilities Performance Statistics, available here.

Statements are available upon request.

Group Level Data Assurance

Limited assurance on a selected set of the key environmental, social and governance performance data for this year’s Sustainability Report was performed by PricewaterhouseCoopers (PwC) in accordance with the International Standard on Assurance Engagements ISAE 3000 Assurance Engagements other than Audits or Reviews of Historical Financial Information and the International Standard on Assurance Engagements 3410, Assurance Engagements on Greenhouse Gas Statements. The assured data points are those in 2014 which are unshaded in the Key Performance Indicators table in the "2014 Highlights" chapter.

Statement is available here.

G4-33 b. If not included in the assurance report accompanying the sustainability report, report the scope and basis of any external assurance provided [title]
Report the scope of any external assurance provided, if not included in the assurance report accompanying the sustainability reportScope of external assurance is included in the assurance report.
Report the basis of any external assurance provided, if not included in the assurance report accompanying the sustainability reportInternational Standard on Assurance Engagements ISAE 3000 Assurance Engagements other than Audits or Reviews of Historical Financial Information and the International Standard on Assurance Engagements 3410, Assurance Engagements on Greenhouse Gas Statements.
G4-33 c. Report the relationship between the organization and the assurance providers [title]
Report the relationship between the organization and the assurance providers

Facility Level Data Verification

Environmental and some selected social performance data of operationally controlled  facilities, which have been operating for a full  calendar year, have been independently verified  by an external service provider directly engaged  by each facility in the different countries in  which they operate.

Group Level Data Assurance

Limited assurance on a selected set of the key environmental, social and governance performance data for this year’s Sustainability Report was performed by PricewaterhouseCoopers (PwC).

G4-33 d. Report whether the highest governance body or senior executives are involved in seeking assurance for the organizations sustainability report [title]
Report whether the highest governance body or senior executives are involved in seeking assurance for the organizations sustainability reportYes
Governance [title]
Governance structure and composition [title]
G4-34 [title]
G4-34 a. Report the governance structure of the organization, including committees of the highest governance body [title]
Report the governance structure of the organization, including committees of the highest governance body. Identify any committees responsible for decision-making on economic, environmental and social impacts

The Board segments itself into six separate committees in order to most effectively focus on the range of responsibilities it has. The committees perform the following functions:

Board Committee Name

Board Committee Function

Meetings Held in 2014

Full Board

The Board is charged with promoting the success of the Company by directing and supervising its affairs in a responsible and effective manner.

6

Audit Committee

The Audit Committee includes four INEDs, with two having appropriate professional qualifications.  The Committee’s primary responsibilities are: to assure that adequate controls and risk management systems are in place and followed; assure appropriate accounting principles and reporting practices are followed; satisfy itself as to the adequacy of internal and external auditing; satisfy itself that good accounting, audit and compliance principles, internal controls and ethical practices are applied throughout the company; and perform corporate governance duties.

6

Finance & General Committee

This committee meets when required to review the financial operations of the company including Group-wide financial, accounting, treasury and risk management policies, major financing transactions, corporate plans and budgets and business performance, and major acquisitions or investments and their funding requirements.

7

Human Resources & Remuneration Committee

This committee scrutinizes the remuneration policies applied within the CLP Group, including the remuneration of Non-executive and Executive Directors and of Senior Management.  The committee’s objective is to ensure that CLP applies properly structured and fair remuneration policies which align the interests of Directors and Senior Management with those of the Company and its shareholders.

3

Nomination Committee

The Nomination Committee is responsible for reviewing the Board structure and composition, identifying and recommending possible appointees as Directors, recommending appointment or reappointment of Directors, succession planning, assessing the independence of Independent Non-Executive Directors, reviewing whether Directors are spending sufficient time performing their responsibilities, reviewing training and professional development of Directors, and reviewing the Board Diversity Policy.

1

Provident & Retirement Fund Committee

This committee advises the Trustee on investment policy and objectives for the Group’s retirement funds.

2

Sustainability Committee

The Sustainability Committee’s role is to oversee management and advise the Board on matters required to enable:

·        The CLP Group to operate on a sustainable basis for the benefit of current and future generations;

·         Sustainable growth by maintaining and enhancing CLP Group’s economic, environmental, human, technological and social capital in the long term; and

·         The effective management of CLP Group’s sustainability risks.

 

3

 

G4-35 [title]
G4-35 a. Report the process for delegating authority for economic, environmental and social topics from the highest governance body to senior executives and other employees [title]
Report the process for delegating authority for economic, environmental and social topics from the highest governance body to senior executives and other employeesInformation not available.
G4-36 [title]
G4-36 a. Report whether the organization has appointed an executive-level position or positions with responsibility for economic, environmental and social topics, and whether post holders report directly to the highest governance body [title]
Report whether the organization has appointed an executive-level position or positions with responsibility for economic, environmental and social topicsYes
Report whether post holders report directly to the highest governance bodyYes
G4-37 [title]
G4-37 a. Report processes for consultation between stakeholders and the highest governance body on economic, environmental and social topics. If consultation is delegated, describe to whom and any feedback processes to the highest governance body [title]
Report processes for consultation between stakeholders and the highest governance body on economic, environmental and social topics

SHAREHOLDERS

In order to recognize the importance of having an effective dialogue with shareholders, the CLP Board established a Shareholders’ Communication Policy, which is published on ourwebsite. This Policy forms the basis for extensive and ongoing engagement with our shareholders and investment community. The Audit Committee is responsible for the regular review of the effectiveness of this Policy. We made no distinction between institutional investors and retail investors. We believe communication with our shareholders is a two-way process. We listen carefully to the views and feedback we receive.

Major channels of communication through which we provideinformation to our shareholders and the investment community include:

·        Our Annual General Meeting (AGM);

·        Our Annual Report, Sustainability Report online and Quarterly Statements;

·        Management attending about 180 investor meetings, including participation in nine investor conferences, and 12 non-deal roadshows to Asia, Europe and North America;

·        Analyst briefings on the Company’s interim and annual results, as well as on Hong Kong business updates;

·        Regular communications between the Company Secretary and institutional investors on corporate governance practices;

·        Annual webcast on the environmental, social and governance aspects of the business – CLP’s second webcast was held in April 2014 (The webcast is available on ourwebsite);

·        Financial statistics for recent years, latest investor information (such as share price, dividend information, calendar of important dates, etc.) are posted on ourwebsiteand regularly updated; and

·        The CLPwebsite, which includes information on the Company’s corporate governance principles and practices, updates on the Group’s affairs and other information for shareholders.

Communications channels encouraging feedback from our shareholders and for us to understand the latest industry trends from the investment community include:

·        Face to face dialogue, including the “Shareholders’ Corner” at our AGM;

·        Feedback forms sent out with our Annual Report to obtain shareholders’ views on the report and on additional information that they would like to receive in the following year’s Annual Report, together with questions that they would like to have answered in the “Frequently Asked Questions” section of ourwebsite;

·        Comments, queries and research reports from equity analysts;

·        Shareholders’ hotline and investor relations’ email contacts;

·        Shareholder correspondence – our aim is to provide a substantive reply within seven days to written shareholder queries; and

·        Visits to our facilities through our Shareholders’ Visit Programme, initiated in 2003 and is unique amongst Hong Kong companies.

G4-38 [title]
G4-38 a. Report the composition of the highest governance body and its committees [title]
Report the composition of the highest governance body and its committees by executive or non-executiveSee below.
Report the composition of the highest governance body and its committees by independenceSee below.
Report the composition of the highest governance body and its committees by tenure on the governance bodySee below.
Report the composition of the highest governance body and its committees by number of each individuals other significant positions and commitments, and the nature of the commitmentsSee below.
Report the composition of the highest governance body and its committees by genderSee below.
Report the composition of the highest governance body and its committees by membership of under-represented social groupsSee below.
Report the composition of the highest governance body and its committees by competences relating to economic, environmental and social impactsSee below.
Report the composition of the highest governance body and its committees by stakeholder representationSee below.
G4-38 a. Report the composition of the highest governance body and its committees [additional information]

The committees are made up of different teams of Board members to best take advantage of Board members’ varying of expertise and perspectives.  A selection of each Board member’s characteristics and the Committees on which they sit is presented below.

 

Age

Appointed to the Board

Committee Memberships

Non-executive Directors

    The Honourable Sir Michael Kadoorie

73

January 1967

Nomination Committee

    Mr William Elkin Mocatta

61

January 1993

Finance & General Committee

Human Resources & Remuneration Committee

Provident & Retirement Fund Committee

    Mr Ronald James McAulay

79

January 1968

None

    Mr John Andrew Harry Leigh

61

February 1997

None

    Mr Andrew Clifford Winawer Brandler

58

May 2000

Finance & General Committee

Sustainability Committee

    Dr Lee Yui Bor

68

August 2003

None

Independent Non-executive Directors

    Mr Vernon Francis Moore

68

March 1997

Audit Committee

Finance & General Committee

Human Resources & Remuneration Committee

    Sir Roderick Ian Eddington

65

January 2006

Finance & General Committee

 

    Mr Nicholas Charles Allen

59

May 2009

Audit Committee

Finance & General Committee

Human Resources & Remuneration Committee

Nomination Committee

Sustainability Committee

    Mr Cheng Hoi Chuen Vincent

66

August 2011

Finance & General Committee

Human Resources & Remuneration Committee

Nomination Committee

  

    Ms Law Fan Chiu Fun Fanny

 

62

First appointed in August 2011,

Reappointed in August 2012

Audit Committee

Sustainability Comittee

    Ms Lee Yun Lien Irene

61

October 2012

Audit Committee

Finance & General Committee

Sustainability Committee

    Dr Rajiv Behari Lall

57

August 2013

Finance & General Committee

Executive Director

    Mr Richard Kendall Lancaster

53

June 2013

Finance & General Committee

Sustainability Committee

 

G4-39 [title]
G4-39 a. Report whether the Chair of the highest governance body is also an executive officer [title]
Report whether the Chair of the highest governance body is also an executive officer (and, if so, his or her function within the organizations management and the reasons for this arrangement)No
G4-39 a. Report whether the Chair of the highest governance body is also an executive officer [additional information]CLP’s Board of Directors is the highest governing body in the organization.  The Board has a unitary board structure in which the Chairman of the Board and the Chief Executive Officer are separate roles filled by different people.  The Board is composed of 14 members, 2 of whom are women.  There are six non-executive directors and one executive director, namely the CEO.  In addition there are seven independent non-executive directors who bring deep business and financial experience to the group.
G4-40 [title]
G4-40 a. Report the nomination and selection processes for the highest governance body and its committees, and the criteria used for nominating and selecting highest governance body members [title]
Report the nomination and selection processes for the highest governance body and its committees including whether and how diversity is considered [title]
Report whether diversity is consideredYes
Report how diversity is considered
The Nomination Committee has been charged with the review of the Board Diversity Policy on a periodic basis.
In 2013, the Nomination Committee endorsed the approach of review of the Policy that it may take the form of an analysis of the Board in the different aspects of diversity having regard to the sustainable development of the Company, supplemented with shareholders’ feedback on the diversity of the Board and its overall effectiveness in promoting shareholders’ interests.
Report the nomination and selection processes for the highest governance body and its committees including whether and how independence is considered [title]
Report whether independence is consideredYes
Report how independence is considered
The Nomination Committee has been charged with the review of the Board Diversity Policy on a periodic basis.
In 2013, the Nomination Committee endorsed the approach of review of the Policy that it may take the form of an analysis of the Board in the different aspects of diversity having regard to the sustainable development of the Company, supplemented with shareholders’ feedback on the diversity of the Board and its overall effectiveness in promoting shareholders’ interests.
In 2014, we assessed the diversity of the Board as of 2013 and 2014, based on the aspects of independence, gender, nationality and ethnicity and skills and experience (which are the measurable objectives as set out in the Board Diversity Policy).
Report the nomination and selection processes for the highest governance body and its committees including whether and how expertise and experience relating to economic, environmental and social topics are considered [title]
Report whether stakeholders expertise and experience relating to economic, environmental and social topics are consideredYes
Report how expertise and experience relating to economic, environmental and social topics are considered
The Nomination Committee has been charged with the review of the Board Diversity Policy on a periodic basis.
In 2013, the Nomination Committee endorsed the approach of review of the Policy that it may take the form of an analysis of the Board in the different aspects of diversity having regard to the sustainable development of the Company, supplemented with shareholders’ feedback on the diversity of the Board and its overall effectiveness in promoting shareholders’ interests.
In 2014, we assessed the diversity of the Board as of 2013 and 2014, based on the aspects of independence, gender, nationality and ethnicity and skills and experience (which are the measurable objectives as set out in the Board Diversity Policy).
G4-40 a. Report the nomination and selection processes for the highest governance body and its committees, and the criteria used for nominating and selecting highest governance body members [additional information]The Nomination Committee has been charged with the review of the Board Diversity Policy on a periodic basis.  In 2013, the Nomination Committee endorsed the approach of review of the Policy that it may take the form of an analysis of the Board in the different aspects of diversity having regard to the sustainable development of the Company, supplemented with shareholders’ feedback on the diversity of the Board and its overall effectiveness in promoting shareholders’ interests.
G4-41 [title]
G4-41 a. Report processes for the highest governance body to ensure conflicts of interest are avoided and managed. Report whether conflicts of interest are disclosed to stakeholders [title]
Report processes for the highest governance body to ensure conflicts of interest are avoided and managedCLP ensures that there is no conflict of interest on the part of any of its Board members. Each year in our Annual Report, details of all directors are disclosed including involvement in other companies and relationships (including financial, business, family or other material or relevant relationships) among members of the Board.  In addition, directors are requested to declare their direct and indirect interest, if any, in any proposals or transactions to be considered by the Board at Board meetings and withdraw from the meetings as appropriate.  There was no such occasion in 2014.
Report whether conflicts of interest are disclosed to stakeholders [title]
Report whether cross-board membership related conflicts of interest are disclosed to stakeholdersYes
Report whether cross-shareholding with suppliers and other stakeholders related conflicts of interest are disclosed to stakeholdersYes
Report whether existence of controlling shareholder related conflicts of interest are disclosed to stakeholdersYes
Report whether related party disclosures related conflicts of interest are disclosed to stakeholdersYes
Report whether other conflicts of interest are disclosed to stakeholdersYes
Highest governance body's role in setting purpose, values, and strategy [title]
G4-42 [title]
G4-42 a. Report the highest governance bodys and senior executives roles in the development, approval, and updating of the organizations purpose, value or mission statements, strategies, policies, and goals related to economic, environmental and social impacts [title]
Report the highest governance bodys and senior executives roles in the development, approval, and updating of the organizations purpose, value or mission statements, strategies, policies, and goals related to economic, environmental and social impactsThe power industry is characterized by large plant and complex infrastructure which requires significant upfront investment that is recuperated over a period of decades. Because our assets have such long lives, we believe it is important to choose and maintain an investment strategy, a principle CLP has abided by over the years.  However it is also important to find the right balance between staying committed to a strategy through business cycle ups and downs and recognizing long term structural changes that are taking place in the industry.  In an effort to strike this balance between disciplined consistency and recognizing change, CLP updated its Group Strategy, which was approved by the Board, in 2014.
Highest governance body's competencies and performance evaluation [title]
G4-43 [title]
G4-43 a. Report the measures taken to develop and enhance the highest governance bodys collective knowledge of economic, environmental and social topics [title]
Report the measures taken to develop and enhance the highest governance bodys collective knowledge of economic, environmental and social topics

Training and Performance

In order to help enhance the  Board’s collective knowledge,  including that related to economic,  environmental and social  topics, members participate  in a continuous professional  development programme.  As part  of this programme in 2014, Directors  participated in the Shareholders’ Visit  Programme, various briefings and  visits to local management and CLP’s  facilities, as arranged and funded  by the Company with appropriate  emphasis on the roles, functions and  duties of the Directors.  This is in  addition to Directors’ attendance at  meetings and review of papers and  circulars sent by Management. 

Participation in Directors’ Continuous Professional Development Programme in 2014

 

Reading regulatory updates

Paying visits to local management & CLP’s facilities

 

Hosting Shareholders’ Visits

Attending expert briefings/seminars/conferences relevant to the business or directors’ duties

Non-executive Directors

The Hon Sir Michael Kadoorie

Mr William Mocatta

Mr Ronald McAulay

 

Mr J. A. H. Leigh

 

Mr Andrew Brandler

Dr Y. B. Lee

Independent Non-executive Directors

Mr V. F. Moore

Sir Rod Eddington

 

 

Mr Nicholas C. Allen

Mr Vincent Cheng

 

Mrs Fanny Law

Ms Irene Lee

Dr Rajiv Lall

 

Executive Director

Mr Richard Lancaster

Company Secretary

Mrs April Chan

G4-44 [title]
G4-44 a. Report the processes for evaluation of the highest governance bodys performance with respect to governance of economic, environmental and social topics. Report whether such evaluation is independent or not, and its frequency. Report whether such evaluation is a self-assessment [title]
Report the processes for evaluation of the highest governance bodys performance with respect to governance of economic, environmental and social topicsA performance evaluation of the CLP Holdings Board and its Board Committees for 2013 was conducted by the Company Secretary in the form of a questionnaire to all Directors individually, with a focus on the review of the implementation of the recommendations of the Spencer Stuart’s Board Performance Evaluation Report in 2012. It covered similar areas as those in the 2012 Board Performance Evaluation: dynamics and overall impression of the Board; organisation of the Board; Committee organisation; Board composition; Board involvement and engagement; communication with shareholders and stakeholders; and overall Board effectiveness. 
Report whether such evaluation is independentYes
Report the frequency of such evaluation
A performance evaluation of the CLP Holdings Board and its Board Committees for 2013 was conducted by the Company Secretary in the form of a questionnaire to all Directors individually, with a focus on the review of the implementation of the recommendations of the Spencer Stuart’s Board Performance Evaluation Report in 2012.
It covered areas similar to those in the 2012 Board Performance Evaluation: dynamics and overall impression of the Board; organisation of the Board; Committee organisation; Board composition; Board involvement and engagement; communication with shareholders and stakeholders; and overall Board effectiveness.
Report whether such evaluation is a self-assessmentNo
G4-44 b. Report actions taken in response to evaluation of the highest governance bodys performance with respect to governance of economic, environmental and social topics, including, as a minimum, changes in membership and organizational practice [title]
Report actions taken in response to evaluation of the highest governance bodys performance with respect to governance of economic, environmental and social topics, including, as a minimum, changes in membership and organizational practice

The findings of the 2013 Board Performance Evaluation, as summarised in the Company Secretary’s report, were that the recommendations of the 2012 Board Performance Evaluation were, in general, effectively implemented as appropriate. CLP’s corporate governance policies and processes continue to be strong. They satisfy and/or exceed Stock Exchange Code and Listing Rule requirements.  Any exceptions to the Stock Exchange Code are relatively minor, are recognised by the Company and are capable of being suitably explained.  A copy of the conclusion of the 2013 Board and Board Committees Performance Evaluation has been published on the CLP website. The Board considered the findings and recommendations of the Company Secretary on the 2013 Board and Board Committees Performance Evaluation at its meeting on 19 May 2014 and approved the recommendations for implementation with a view to making further improvements in Board effectiveness.  For example, the CLP Group Monthly Management Reports were further streamlined to provide Directors with additional indicators for them to appreciate the underlying operating.

Highest governance body's role in risk management [title]
G4-45 [title]
G4-45 a. Report the highest governance bodys role in the identification and management of economic, environmental and social impacts, risks, and opportunities. Include the highest governance bodys role in the implementation of due diligence processes [title]
Report the highest governance bodys role in the identification and management of economic, environmental and social impacts, risks, and opportunitiesSee below.
Report highest governance bodys role in the implementation of due diligence processesSee below.
G4-45 a. Report the highest governance bodys role in the identification and management of economic, environmental and social impacts, risks, and opportunities. Include the highest governance bodys role in the implementation of due diligence processes [additional information]

The Sustainability Committee’s role is to oversee management and advise the Board on matters required to enable:

·        The CLP Group to operate on a sustainable basis for the benefit of current and future generations;

·         Sustainable growth by maintaining and enhancing CLP Group’s economic, environmental, human, technological and social capital in the long term; and

·         The effective management of CLP Group’s sustainability risks.

G4-46 [title]
G4-46 a. Report the highest governance bodys role in reviewing the effectiveness of the organizations risk management processes for economic, environmental and social topics [title]
Report the highest governance bodys role in reviewing the effectiveness of the organizations risk management processes for economic, environmental and social topicsAt CLP, our overall risk management process is overseen by the Board as an element of solid corporate governance.  We implement this process by using our Risk Management Framework, which we use to identify risks and then manage them so they can be reduced, transferred, avoided or understood.  The risk management at CLP is not a separate and standalone process.   It is embedded into business processes including strategy development, business planning, capital allocation, investment decisions, internal control and day-to-day operations.  There is no separate risk management process for sustainability in general or climate change in particular.  These types of risks are assessed and managed alongside all other types of risk as part of our Risk Management Framework.
G4-47 [title]
G4-47 a. Report the frequency of the highest governance bodys review of economic, environmental and social impacts, risks, and opportunities [title]
Report the frequency of the highest governance bodys review of economic, environmental and social impacts, risks, and opportunitiesBoard Committee Name: Sustainability Committee Meetings Held in 2014: 3
G4-47 a. Report the frequency of the highest governance bodys review of economic, environmental and social impacts, risks, and opportunities [additional information]

The Sustainability Committee’s role is to oversee management and advise the Board on matters required to enable:

·        The CLP Group to operate on a sustainable basis for the benefit of current and future generations;

·         Sustainable growth by maintaining and enhancing CLP Group’s economic, environmental, human, technological and social capital in the long term; and

·         The effective management of CLP Group’s sustainability risks.

Highest governance body's role in sustainability reporting [title]
G4-48 [title]
G4-48 a. Report the highest committee or position that formally reviews and approves the organizations sustainability report and ensures that all material Aspects are covered. [title]
Report the highest committee or position that formally reviews and approves the organizations sustainability report and ensures that all material Aspects are coveredDr Jeanne Ng, Director – Group Sustainability
Highest governance body's role in evaluating economic, environmental and social performance [title]
G4-49 [title]
G4-49 a. Report the process for communicating critical concerns to the highest governance body [title]
Report the process for communicating critical concerns to the highest governance body

SHAREHOLDERS

In order to recognize the importance of having an effective dialogue with shareholders, the CLP Board established a Shareholders’ Communication Policy, which is published on ourwebsite. This Policy forms the basis for extensive and ongoing engagement with our shareholders and investment community. The Audit Committee is responsible for the regular review of the effectiveness of this Policy. We made no distinction between institutional investors and retail investors. We believe communication with our shareholders is a two-way process. We listen carefully to the views and feedback we receive.

Major channels of communication through which we provideinformation to our shareholders and the investment community include:

·        Our Annual General Meeting (AGM);

·        Our Annual Report, Sustainability Report online and Quarterly Statements;

·        Management attending about 180 investor meetings, including participation in nine investor conferences, and 12 non-deal roadshows to Asia, Europe and North America;

·        Analyst briefings on the Company’s interim and annual results, as well as on Hong Kong business updates;

·        Regular communications between the Company Secretary and institutional investors on corporate governance practices;

·        Annual webcast on the environmental, social and governance aspects of the business – CLP’s second webcast was held in April 2014 (The webcast is available on ourwebsite);

·        Financial statistics for recent years, latest investor information (such as share price, dividend information, calendar of important dates, etc.) are posted on ourwebsiteand regularly updated; and

·        The CLPwebsite, which includes information on the Company’s corporate governance principles and practices, updates on the Group’s affairs and other information for shareholders.

Communications channels encouraging feedback from our shareholders and for us to understand the latest industry trends from the investment community include:

·        Face to face dialogue, including the “Shareholders’ Corner” at our AGM;

·        Feedback forms sent out with our Annual Report to obtain shareholders’ views on the report and on additional information that they would like to receive in the following year’s Annual Report, together with questions that they would like to have answered in the “Frequently Asked Questions” section of ourwebsite;

·        Comments, queries and research reports from equity analysts;

·        Shareholders’ hotline and investor relations’ email contacts;

·        Shareholder correspondence – our aim is to provide a substantive reply within seven days to written shareholder queries; and

·        Visits to our facilities through our Shareholders’ Visit Programme, initiated in 2003 and is unique amongst Hong Kong companies.

G4-50 [title]
G4-50 a. Report the nature and total number of critical concerns that were communicated to the highest governance body and the mechanisms used to address and resolve them [title]
Report the nature of critical concerns that were communicated to the highest governance body and the mechanisms used to address and resolve them [title]
For each, report
1
Critical concern that was communicated to the highest governance bodySee below.
Nature of critical concern that was communicated to the highest governance bodySee below.
Report the mechanisms used to address and resolve the critical concerns that were communicated to the highest governance bodySee below.
G4-50 a. Report the nature and total number of critical concerns that were communicated to the highest governance body and the mechanism(s) used to address and resolve them [additional information]

ADDRESSING SHAREHOLDER CONCERNS

We have collected and answered the most frequently asked questions by shareholders regarding their rights as CLP shareholders and the ways in which they can best exercise and enjoy those rights in a “Shareholders’ Guide”. This Guide and its updates are available on the CLP website. In addition, we also receive and respond to concerns when they are communicated to the Board.  One of the most effective ways for shareholders to communicate a concern is through a General Meeting.  A General Meeting of shareholders can be convened by the Board, or a written request signed by shareholders holding at least 5% of the total voting rights of all the shareholders having a right to vote at that meeting, stating the general nature of the business to be dealt with at that meeting, and deposited at the Company’s registered office.

The most recent Extraordinary General Meeting (EGM) was convened by the Board and held on 22 January 2014 at the Kowloon Shangri-La, Hong Kong to consider the acquisitions of further interests in Castle Peak Power Company Limited and Hong Kong Pumped Storage Development Company, Limited (CAPCO/PSDC Acquisitions).  Details of the items discussed and the percentage of votes cast have been reported in the 2013 Corporate Governance Report.

The most recent Annual General Meeting (AGM) was held on 8 May 2014 at the Hong Kong Polytechnic University, Kowloon, Hong Kong. The major items discussed and the percentage of votes cast in favour of the resolutions relating to those items are set out below:

  • Re-election of Mr J. A. H. Leigh, Sir Rod Eddington, Mr Ronald J. McAulay and Dr Y. B. Lee as Directors of the Company (79.7442% to 98.0975% in respect of each individual resolution);
  • General mandate to Directors to issue and dispose of additional shares in the Company, not exceeding five per cent of the total number of shares in issue and such shares shall not be issued at a discount of more than ten per cent to the Benchmarked Price of such shares (General Mandate) (99.5069%); and
  • General mandate to Directors to exercise all the powers of the Company to buy back or otherwise acquire shares of the Company in issue, not exceeding ten per cent of the total number of shares in issue (99.9975%).

 

All resolutions put to shareholders at the most recent EGM and AGM were passed.  The results of the voting by poll of the EGM and 2014 AGM have been published on CLP’s website and the website of the Hong Kong Stock Exchange. The full proceedings of the EGM and 2014 AGM can be viewed inthe “Investors Information” section of the Company’s website. Minutes of the EGM and 2014 AGM were also published on the Company’s website.

In 2014, in response to a concern raised by some institutional investors that they would vote against a general mandate to issue shares if no price discount cap is imposed on the mandate, the Board proposed a 10% cap (rather than 20% as limited under the Listing Rules) on the price discount for any new shares to be issued under the General Mandates to be sought at future AGMs unless and until there is a material change in circumstances or market condition.  This proposal on 10% price discount cap has received overwhelming support from shareholders, as evidenced by the increase in the percentage of votes cast in favour of the General Mandate at the AGM from 81.4% in 2013 to 99.5% in 2014.

Remuneration and incentives [title]
G4-51 [title]
G4-51 a. Report the remuneration policies for the highest governance body and senior executives [title]
Report the remuneration policies for the highest governance body and senior executives related to fixed pay and variable payFor remuneration details for senior management members of the Board, please refer to the “Human Resources & Remuneration Committee Report” in our 2014 Annual Report.
Report the remuneration policies for the highest governance body and senior executives related to sign-on bonuses or recruitment incentive paymentsSee above.
Report the remuneration policies for the highest governance body and senior executives related to termination paymentsSee above.
Report the remuneration policies for the highest governance body and senior executives related to clawbacksSee above.
Report the remuneration policies for the highest governance body and senior executives related to retirement benefitsSee above.
G4-51 a. Report the remuneration policies for the highest governance body and senior executives [additional information]

Remuneration

The main elements of CLP’s remuneration policy have been in place for a number of years and are incorporated in the CLP Code:

·        No individual should determine his or her own remuneration;

·        Remuneration should be broadly aligned with companies with whom CLP competes for human resources; and

·        Remuneration should reflect performance, complexity and responsibility with a view to attracting, motivating and retaining high performing individuals and promoting the enhancement of the value of the Company to its shareholders.

The above policies apply to the remuneration of the Non-executive Directors, with appropriate adjustments to reflect good corporate governance practices, the particular nature of their duties and that they are not Company employees.  In considering the level of remuneration payable to Non-executive Directors, we have referred to the:

·        Report of the Committee on the Financial Aspects of Corporate Governance of December 1992 (The Cadbury Report);

·        “Review of the Role and Effectiveness of Non-executive Directors” (The Higgs Report) of January 2003; and

·        Hong Kong Stock Exchange’s Corporate Governance Code and associated Listing Rules.

In light of these considerations, CLP’s Non-executive Directors are paid fees in line with market practice, based on a formal independent review taken no less frequently than every three years.  Those fees were most recently reviewed at the beginning of 2013.  For remuneration details for senior management members of the Board, please refer to the “Human Resources & Remuneration Committee Report” in our 2014 Annual Report.

G4-51 b. Report how performance criteria in the remuneration policy relate to the highest governance bodys and senior executives economic, environmental and social objectives. [title]
Report how performance criteria in the remuneration policy relate to the highest governance bodys and senior executives economic, environmental and social objectivesRemuneration should reflect performance, complexity and responsibility with a view to attracting, motivating and retaining high performing individuals and promoting the enhancement of the value of the Company to its shareholders.
G4-52 [title]
G4-52 a. Report the process for determining remuneration. Report whether remuneration consultants are involved in determining remuneration and whether they are independent of management. Report any other relationships which the remuneration consultants have with the organization [title]
Report the process for determining remunerationEach year we use independent external consultants to benchmark our remuneration and benefits with our major recruitment markets to assess how competitive we are.  In order to ensure that we respect the interests of both our employees and shareholders as key stakeholders, decisions on remuneration are subject to our corporate governance process and the approval of the Human Resources & Remuneration Committee.
Report whether remuneration consultants are involved in determining remunerationYes
Report whether consultants who are involved in determining remuneration are independent of managementYes
Report any other relationships which the remuneration consultants have with the organizationEach year we use independent external consultants to benchmark our remuneration and benefits with our major recruitment markets to assess how competitive we are. In order to ensure that we respect the interests of both our employees and shareholders as key stakeholders, decisions on remuneration are subject to our corporate governance process and the approval of the Human Resources & Remuneration Committee.
G4-53 [title]
G4-53 a. Report how stakeholders views are sought and taken into account regarding remuneration [title]
Report how stakeholders views are sought and taken into account regarding remunerationEach year we use independent external consultants to benchmark our remuneration and benefits with our major recruitment markets to assess how competitive we are.  In order to ensure that we respect the interests of both our employees and shareholders as key stakeholders, decisions on remuneration are subject to our corporate governance process and the approval of the Human Resources & Remuneration Committee.
Report the results of votes on remuneration policies and proposals, if applicableFor remuneration details for senior management members of the Board, please refer to the “Human Resources & Remuneration Committee Report” in our 2014 Annual Report.
G4-54 [title]
G4-54 a. Report the ratio of the annual total compensation for the organizations highest-paid individual in each country of significant operations to the median annual total compensation for all employees in the same country [title]
For each, report
Australia
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportAustralia
MainlandChina
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportMainland China
HongKong
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportHong Kong
India
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportIndia
G4-54 a. Report the ratio of the annual total compensation for the organizations highest-paid individual in each country of significant operations to the median annual total compensation for all employees in the same country [additional information]Information not available.
G4-55 [title]
G4-55 a. Report the ratio of percentage increase in annual total compensation for the organizations highest-paid individual in each country of significant operations to the median percentage increase in annual total compensation for all employees in the same country [title]
For each, report
Australia
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportAustralia
MainlandChina
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportMainland China
HongKong
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportHong Kong
India
Name of country where either the organization has significant operations or that are specifically relevant to the sustainability topics covered in the reportIndia
G4-55 a. Report the ratio of percentage increase in annual total compensation for the organizations highest-paid individual in each country of significant operations to the median percentage increase in annual total compensation for all employees in the same country [additional information]Information not available.
Ethics and Integrity [title]
G4-56 [title]
G4-56 a. Describe the organizations values, principles, standards and norms of behavior such as codes of conduct and codes of ethics [title]
Describe the organizations values, principles, standards and norms of behavior such as codes of conduct and codes of ethics

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-57 [title]
G4-57 a. Report the internal and external mechanisms for seeking advice on ethical and lawful behavior, and matters related to organizational integrity, such as helplines or advice lines [title]
Report the internal and external mechanisms for seeking advice on ethical and lawful behavior, and matters related to organizational integrity, such as helplines or advice lines

GOVERNING FRAMEWORK AND POLICY

We believe in good corporate governance because it promotes and safeguards the interests of our shareholders as well as other stakeholders, CLP has a long tradition of good corporate governance which we are proud of and work hard to maintain it. Through the years we have maintained a Corporate Governance Framework to identify the key players involved in ensuring the application of good governance practices and policies within the CLP Group and to give structure to our explanation of those practices and policies.  CLP’s Corporate Governance Framework rests on three important commitments:

·        We obey all laws;

·        We disclose our corporate governance principles and practices openly and fully; and

·        We recognize the need to adapt and improve our principles and practices in light of our experience, regulatory requirements, international developments and expectations.

The Hong Kong Stock Exchange’s Corporate Governance Code and Corporate Governance Report, Appendix 14 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited, which first took effect in 2005 sets out principles of good corporate governance.  Although Hong Kong listed companies are required to comply with this Code, the Stock Exchange also allows issuers to devise their own codes on corporate governance practices on such terms as they consider appropriate, provided reasons are given for any deviation from the Stock Exchange Code.  CLP developed its own CLP Code of Corporate Governance (CLP Code) in 2005 because we wished to express our corporate governance practices in our own words and according to a structure that corresponded to our existing Corporate Governance Framework.  The CLP Code incorporates all of the Code Provisions and Recommended Best Practices in the Stock Exchange Code, save for one Recommended Best Practice with regard to quarterly reporting, the CLP Code in a number of respects goes beyond the terms of the Stock Exchange Code. 

Our website includes an annotated version of the CLP Code, with cross-references from the CLP Code to the corresponding Code Provisions and Recommended Best Practices of the Stock Exchange Code.

G4-58 [title]
G4-58 a. Report the internal and external mechanisms for reporting concerns about unethical or unlawful behavior, and matters related to organizational integrity [title]
Report the internal and external mechanisms for reporting concerns about unethical or unlawful behavior, and matters related to organizational integrityThe CLP Group has a Whistleblowing Policy to encourage employees and related third parties (such as customers and suppliers) who deal with the Company to raise concerns in confidence about misconducts, malpractices or irregularities in any matters related to the Company. We also adopted a Whistleblowing policy specific for EnergyAustralia to reflect the local legislative requirements. During 2014, the CLP Group had eight cases of whistleblowing.

02 - Specific standard disclosures
http://www.hkex.com.hk/stockcode:00002
1/1/2014 - 12/31/2014
Specific standard disclosures [title]
Category Economic [title]
Aspect Economic Performance [title]
Aspect Economic Performance, G4-DMA [title]
Aspect Economic Performance, G4-DMA a [title]
Report why the Aspect Economic Performance is material
A majority of our shareholders invest in our company because they value our ability to provide reliable, consistently increasing dividends. At CLP, we understand this expectation and manage the company to ensure we are able to meet it. We have a solid 54-year track record, as our annual dividend has not decreased since 1960. In 2014, CLP paid quarterly dividends to our shareholders of HK$0.54/share for each of the three interim dividends and HK$1.00/share for the fourth interim dividend. Combined, this resulted in total dividends for the year of HK$2.62/share. This is an increase from last year’s total dividend of HK$2.57/share.
During 2014, CLP’s share price outperformed the Hang Seng Index (HSI). The average closing price of CLP Holdings’ shares was HK$63.20, with the highest closing price of HK$68 on 13 November 2014 and the lowest closing price of HK$56.3, as recorded on 20 March and 21 March 2014. Total returns to shareholders come from a combination of share price appreciation and dividend payments over time. During the past ten years, CLP has provided considerable total returns to shareholders.
Report the impacts that make the Aspect Economic Performance materialSee above.
Aspect Economic Performance, G4-DMA b [title]
Report how the organization manages the material Aspect Economic Performance or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Economic Performance, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Economic Performance
As we have in years past, CLP continues to be committed to maintaining good investment grade credit ratings.
In November 2013, following the announcement of the proposed acquisitions of a further 30% interest in CAPCO and the remaining 51% interest in PSDC, Standard & Poor’s (S&P) and Moody’s put the credit ratings of CLP Holdings and CLP Power Hong Kong on watch with negative implication. Since then, CLP had entered into constructive dialogues with credit rating agencies to show the strategic rationale of the acquisitions as well as the sound business profile and robust cash flow of the transaction. CLP also reviewed the capital structure of the SoC business and issued an aggregate of US$750 million perpetual capital securities to further enhance the balance sheet structure of the regulated utility and holding company.
These proactive initiatives delivered good outcomes to CLP Holdings and CLP Power Hong Kong, which are summarised in the following table, where the credit ratings of major companies within the group as at 31 December 2014, are presented.
]]>
Report the results of the evaluation of the management approach for the Aspect Economic PerformanceSee above.
Report any related adjustments to the management approach for the Aspect Economic PerformanceSee above.
G4-EC1 Direct economic value generated and distributed [title]
G4-EC1 a. Report the direct economic value generated and distributed (EVG&D) on an accruals basis including the basic components for the organizations global operations [title]
Direct economic value generated [title]
RevenuesHKD 92,259,000,000
Economic value distributed [title]
Operating costsHKD 64,655,000,000[1]
Employee wages and benefitsHKD 3,980,000,000
Payments to providers of capitalHKD 10,901,000,000
Payments to government by country [title]
For each, report
CountryNotSpecified
Payments to governmentHKD 1,571,000,000[2]
Community investmentsHKD 12,000,000
Economic value retained [title]
Economic value retainedHKD 11,140,000,000[3]
G4-EC1 b. Report EVG&D separately at country, regional, or market levels, where significant; report the criteria used for defining significance [title]
Report EVG&D at country levels, where significant [title]
For each, report
Report EVG&D at regional levels, where significant [title]
For each, report
CLPHoldings
Region nameCLP Holdings
HongKong
Region nameHong Kong
Australia
Region nameAustralia
China
Region nameMainland China
India
Region nameIndia
SEAsia
Region nameSE Asia
Report EVG&D at market levels, where significant [title]
For each, report
G4-EC1 b. Report EVG&D separately at country, regional, or market levels, where significant; report the criteria used for defining significance [additional information]EVG&D is not reported at country, regional, or market levels.
G4-EC2 Financial implications and other risks and opportunities for the organizations activities due to climate change [title]
G4-EC2 a. Report risks and opportunities posed by climate change that have the potential to generate substantive changes in operations, revenue or expenditure [title]
For each, report
1
Risk and opportunity posed by climate changeRegulatory and Political Risk for our Hong Kong Business
Report type of risk and opportunity posed by climate changeRegulatory
Report a description of the impact associated with the risk or opportunityFinancial / Regulatory & Governance
Report the financial implications of the risk or opportunity before action is takenCapital availability, investment opportunities, operational costs, and other dimensions
Report the methods used to manage the risk or opportunity
Since financial year 1964, the electricity-related operations of CLP Power Hong Kong and CAPCO (the SoC Companies) have been governed by a Scheme of Control Agreement (SoC) with the Hong Kong Government. The SoC specifies the SoC Companies’ obligations to supply adequate and reliable electricity supplies to customers at the lowest reasonable cost and is the mechanism for the Hong Kong Government to monitor the Companies’ financial affairs and operating performance. The current SoC took effect from 1 October 2008 and covers the period of 10 years to 30 September 2018, with the Hong Kong Government having the right to extend by 5 years on the same terms to 30 September 2023 by giving notice before 1 January 2016. In the event that the five-year extension option is not exercised by the Hong Kong Government, the SoC Companies will continue to earn the permitted return until 30 September 2023 on all approved investments.
Because the electricity industry requires significant amounts of infrastructure with long lead times needed for planning, financing and construction, the development of Hong Kong’s future electricity regulatory regime plays an extremely important role in our business. Regulatory certainty and clarity are vital factors to any regulated utility and we believe there is an opportunity to work with the community and the Government to ensure an outcome that can continue to deliver a world-class supply of electricity to Hong Kong at reasonable prices while balancing interests of shareholders. The Government is expected to consult the public on the subject in the first half of 2015. For more information on this consultation, please refer to the “Sustainable Economics” chapter.
In order to manage this risk and add positively and substantively to the conversation, we will continue to contribute our expertise and knowledge as best as we can. For any discussions to be effective and decisions to be well-thought through, the objectives must be clearly defined. The current regulatory structure has served Hong Kong well and helped the city achieve world-class levels of reliability, reasonable cost and environmental performance. Any changes to the current regime will need to consider how to continue to balance these three factors.
2
Risk and opportunity posed by climate changeMarket Challenges in the Australian Energy Sector
Report type of risk and opportunity posed by climate changeOther
Report a description of the impact associated with the risk or opportunityFinancial
Report the financial implications of the risk or opportunity before action is takenDecreased demand for CLP's products and services
Report the methods used to manage the risk or opportunity
The Australian energy sector continues to face oversupply challenges due to the continuing unprecedented decline in electricity demand in the National Electricity Market (NEM) which has in turn caused overcapacity in the generation sector, suppressed wholesale prices and contributed to high levels of competition in energy retail markets. Amongst retail customers, the decline in electricity demand is partially due to customers adopting distributed energy generation such as solar power as well as in-home technologies which enable them to manage their electricity usage more effectively. Amongst commercial and industrial customers, the decline in demand is due to a continuing weakness in manufacturing industries and a slowing of the mining sector.
The fact that there is not enough demand to consume the amount of electricity supplied to the market, poses a significant risk to the business model of our Australian subsidiary, which is centered on the production and supply of electricity.
3
Risk and opportunity posed by climate changeRegulatory Challenges in the Australian Energy Sector
Report type of risk and opportunity posed by climate changeRegulatory
Report a description of the impact associated with the risk or opportunityFinancial / Regulatory & Governance
Report the financial implications of the risk or opportunity before action is takenDemand for our products and services and capital availability
Report the methods used to manage the risk or opportunity
In addition to this market sector risk, our Australian business also faces regulatory risk. Regulatory risks arise from unpredictability and inconsistency in the laws and rules that regulate the energy sector structure, conduct and performance. Where a business faces this type of uncertainty, its ability to make optimal business decisions will be compromised.
As we have already mentioned in this report, it takes electricity industry participants years to plan, finance and build the required infrastructure in order to provide an essential service to society. Therefore regulatory uncertainty, such as that currently surrounding carbon mitigation regulation, makes it difficult to make optimal investment decisions around the type of fuel source and technologies to use in generating electricity. The fact that the Renewable Energy Target (RET) scheme is under review and negotiations are currently at an impasse on the size of the future target, only make it more difficult for industry participants such as EnergyAustralia to plan and build the right infrastructure in order to be best positioned to not only take advantage of market dynamics, but also to meet customer needs and preferences. For more information on these regulatory developments, please refer to the “Sustainable Economics” chapter.
To manage this risk, our Australian business is working to ensure that the business is operating as efficiently as possible by managing costs and making operational efficiency improvements. EnergyAustralia will also continue to actively engage with Governments and regulators to find an appropriate balance between environmental and community imperatives in energy, carbon and renewable policy setting, as well as ensuring that businesses are able to earn appropriate returns on existing and new capital.
4
Risk and opportunity posed by climate changeMajor Accident at Construction Sites or Operating Plants
Report type of risk and opportunity posed by climate changeRegulatory
Report a description of the impact associated with the risk or opportunitySafety & Health / Reputational
Report the financial implications of the risk or opportunity before action is takenSafety & health of our staff, contractors and the general public
Report the methods used to manage the risk or opportunity
Safety is one of CLP’s highest priorities, and therefore making sure all of our employees and contractors are safe, every hour of every day, is one of our greatest ongoing concerns. Ensuring a safe and accident free workplace is a challenge, but it is especially difficult at construction sites in India and Mainland China, where there has been significant expansion of heavy construction and some contractors and other project participants are not as experienced, especially in safety matters, as they might be if the heavy construction industry were not growing so quickly. In addition, there are assets, such as hydropower plants, which by their nature are susceptible to risk of landslides and dam safety, due largely to unusual floods, particularly during rainy seasons.
Safety has always been identified as a risk by our Group Risk Management Framework, however it is a higher priority this year because of the number of construction projects CLP has underway in India and Mainland China. These include plans to construct the Fangchenggang II coal-fired power plant and two solar projects in Mainland China, as well as several wind farms that will either begin or continue construction in both India and Mainland China this year.
In order to manage the risk of a safety event, CLP has many longstanding programmes and practices in place to help ensure that safe working practices are observed in all parts of the company at all times. Specific efforts made in 2014 to ensure that CLP’s safety culture is maintained and enhanced include:
  • CLP Group HSSE Management System and 10 Critical Risk Standards were issued and rolled out to assets;
  • Efforts to ensure the safety management systems of operating assets continue to be aligned with the enhanced Group standards;
  • A number of safety management reviews were conducted at our Jhajjar coal-fired power plant in India where additional programmes were introduced to increase the engagement of employees and contractors in improving health and safety efforts; and
  • For all hydropower plants, proactive crisis management and escape drills were developed in response to natural disasters, and efforts were made to increase awareness to news with respect to weather and rainfall forecasts.
5
Risk and opportunity posed by climate changeExtreme Weather Events Adversely Affecting Operations
Report type of risk and opportunity posed by climate changePhysical
Report a description of the impact associated with the risk or opportunityOperations & Systems / Safety & Health / Financial
Report the financial implications of the risk or opportunity before action is takenCapital and operational costs and, in very severe cases, investment opportunities
Report the methods used to manage the risk or opportunity
Extreme weather events have been escalated as an emerging risk at the Group level because we believe that there is progressively more scientific and physical evidence suggesting that some degree of climate change has already occurred and more of it looks inevitable. Extreme weather conditions or climatic changes, such as increases in temperature, tropical cyclone intensity, flooding and drought may adversely affect our operations.
In fact, there have been a number of extreme weather events affecting several of CLP’s power plants in Mainland China in 2014. In May, we closed half of our 12 Huaiji Hydro power stations due to serious flooding. In July, one of our Fangchenggang coal-fired power station’s two generating units was taken out of service after its boiler structure was damaged by typhoon Rammasun. Two months later, a landslide damaged a section of 220kV transmission line of the Jiangbian hydropower station.
In order to manage the risk of damage to our facilities as a result of extreme weather events, CLP has conducted a series of climate adaptation studies on existing power plants in order to better understand the risk involved, as well as identify measures to mitigate them. Some of the mitigation measures we are considering include facilities upgrades, procedural changes and behavioral adjustments. In addition, we are currently reviewing how our adaptation assessments might be incorporated into the plant design phase for new build projects.
G4-EC2 a. Report risks and opportunities posed by climate change that have the potential to generate substantive changes in operations, revenue or expenditure [additional information]
Risk is an unavoidable component of doing business in today’s world. In order to be successful, companies must recognise and assess the risks they face. At CLP, our overall risk management process is overseen by the Board as an element of solid corporate governance. We implement this process by using our Risk Management Framework, which we use to identify risks and manage them so they can be reduced, transferred, avoided or understood. Risk management at CLP is not a separate and standalone process. It is embedded into business processes including strategy development, business planning, capital allocation, investment decisions, internal control and day-to-day operations. There is no separate risk management process for sustainability in general or climate change in particular. These types of risks are assessed and managed alongside all other types of risk as part of our Risk Management Framework.
CLP has established risk profiling criteria to help assess and prioritise each identified risk according to its consequence and its likelihood. In assessing the consequence of a risk, we consider both financial and non-financial types of consequences including:
  • Safety and Health;
  • Environment;
  • Regulatory and Governance;
  • Reputation;
  • Financial; and
  • Operations and Systems.
A complete description of CLP’s Risk Management Framework, as well as an overview of the material risks to the CLP Group, can be found in CLP’s 2014 Annual Report. This Sustainability Report presents those risks identified as material through our Risk Management Framework process that are most relevant from a sustainability perspective and describe them in greater detail.
G4-EC3 Coverage of the organizations defined benefit plan obligations [title]
G4-EC3 a. Where the plans liabilities are met by the organizations general resources, report the estimated value of those liabilities [title]
Where the plans liabilities are met by the organizations general resources, report the estimated value of those liabilitiesHKD 383,000,000
G4-EC3 a. Where the plans liabilities are met by the organizations general resources, report the estimated value of those liabilities [additional information]Contributions paid to defined contribution schemes, including GPFS and MPF as required under the Hong Kong Mandatory Provident Fund Schemes Ordinance, totalled HK$222 million (2013: HK$218 million), of which HK$64 million (2013: HK$62 million) was capitalised. Staff employed by the Group entities outside Hong Kong are primarily covered by defined contribution schemes in accordance with local legislation and practices. Total contributions amounted to HK$161 million (2013: HK$189 million).
G4-EC3 b. Where a separate fund exists to pay the plans pension liabilities, report the following [title]
Where a separate fund exists to pay the plans pension liabilities, report the extent to which the schemes liabilities are estimated to be covered by the assets that have been set aside to meet themRetirement benefits are a significant component of total remuneration at CLP. The retirement benefit plans for staff employed by the Group entities in Hong Kong are regarded as defined contribution schemes. The current scheme, the CLP Group Provident Fund Scheme (GPFS), provides benefits linked to contributions and investment returns on the scheme.
G4-EC3 d. Report the percentage of salary contributed by employee or employer [title]
G4-EC3 d. Report the percentage of salary contributed by employee or employer [additional information]Retirement benefits are a significant component of total remuneration at CLP. The retirement benefit plans for staff employed by the Group entities in Hong Kong are regarded as defined contribution schemes. The current scheme, the CLP Group Provident Fund Scheme (GPFS), provides benefits linked to contributions and investment returns on the scheme. Contributions paid to defined contribution schemes, including GPFS and MPF as required under the Hong Kong Mandatory Provident Fund Schemes Ordinance, totalled HK$222 million (2013: HK$218 million), of which HK$64 million (2013: HK$62 million) was capitalised. Staff employed by the Group entities outside Hong Kong are primarily covered by defined contribution schemes in accordance with local legislation and practices. Total contributions amounted to HK$161 million (2013: HK$189 million).
G4-EC4 Financial assistance received from government [title]
G4-EC4 a. Report the total monetary value of financial assistance received by the organization from governments during the reporting period [title]
G4-EC4 a. Report the total monetary value of financial assistance received by the organization from governments during the reporting period [additional information]None of the companies in the CLP Group receive any significant financial assistance from government outside of those financial incentives or subsidies which are in place to encourage market participants to behave in certain ways. Examples of such incentives include tax holidays and preferential tariffs for renewable investment or financial assistance from export credit agencies.
G4-EC4 b. Report the total monetary value of financial assistance received by the organization from governments during the reporting period by country [title]
For each, report
CountryNotSpecified
Subsidies
Country nameCountry not specified
CountryNotSpecified
Financial incentives
Country nameCountry not specified
G4-EC4 b. Report the total monetary value of financial assistance received by the organization from governments during the reporting period by country [additional information]None of the companies in the CLP Group receive any significant financial assistance from government outside of those financial incentives or subsidies which are in place to encourage market participants to behave in certain ways. Examples of such incentives include tax holidays and preferential tariffs for renewable investment or financial assistance from export credit agencies.
G4-EC4 c. Report whether, and the extent to which, the government is present in the shareholding structure [title]
Report whether the government is present in the shareholding structureNo
Report the extent to which, the government is present in the shareholding structureCLP is a publically held company listed on the Hong Kong Stock Exchange.
Aspect Market Presence [title]
Aspect Market Presence, G4-DMA [title]
Aspect Market Presence, G4-DMA a [title]
Report why the Aspect Market Presence is material
Our Human Resource Policies
We operate in a number of different countries across the Asia Pacific region, and there is considerable variation between them with respect to labour law, codes of employment practice, and national cultures. In some countries the framework of labour law is well developed and comprehensive, while in others it is more basic. Consequently, our Human Resource (HR) policies have to balance three considerations: our Group-wide Value framework as a responsible employer, the requirement to comply fully with labour rules and regulations in each of the countries we operate in, and sensitivity to local culture and business needs.
In each country we operate in, as a minimum standard, our local HR policies comply with all relevant local rules and regulations on compensation and dismissal, recruitment and promotion, working hours, rest periods, equal opportunity, diversity and other benefits and welfare. We also comply fully with any local legal requirements with respect to the minimum wage. In practice, our policies and remuneration and benefits often significantly exceed local legal requirements.
Our Group wide policy is to hire the most suitable and capable individuals without any discrimination. We place great importance on treating employees fairly, including ensuring a fair wage, fair working hours and fair treatment regardless of gender, race or other measures of diversity.
Our approach to the remuneration of men and women is based on equal opportunity and non-discrimination. We apply the same level and structure of remuneration for men and women, and there are no differences in how their pay is determined.
It is not our Group policy or market practice to provide the same employment benefits to temporary or part-time staff as to full-time or permanent staff. However, the benefits for our temporary and part-time employees are competitive with local market practice and meet or exceed local legal requirements.
Report the impacts that make the Aspect Market Presence materialSee above.
Aspect Market Presence, G4-DMA b [title]
Report how the organization manages the material Aspect Market Presence or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-EC5 Ratios of standard entry level wage by gender compared to local minimum wage at significant locations of operation [title]
G4-EC5 a. When a significant proportion of the workforce is compensated based on wages subject to minimum wage rules, report the ratio of the entry level wage by gender at significant locations of operation to the minimum wage [title]
For each, report
Male
HongKong
Significant location of operationHong Kong
Female
HongKong
Significant location of operationHong Kong
G4-EC5 a. When a significant proportion of the workforce is compensated based on wages subject to minimum wage rules, report the ratio of the entry level wage by gender at significant locations of operation to the minimum wage [additional information]
In each country we operate in, as a minimum standard, our local HR policies comply with all relevant local rules and regulations on compensation and dismissal, recruitment and promotion, working hours, rest periods, equal opportunity, diversity and other benefits and welfare. We also comply fully with any local legal requirements with respect to the minimum wage. In practice, our policies and remuneration and benefits often significantly exceed local legal requirements.
Our Group wide policy is to hire the most suitable and capable individuals without any discrimination. We place great importance on treating employees fairly, including ensuring a fair wage, fair working hours and fair treatment regardless of gender, race or other measures of diversity.
G4-EC5 b. Report whether a local minimum wage is absent or variable at significant locations of operation, by gender [title]
Report whether a local minimum wage is absent or variable at significant locations of operationNo
In circumstances in which different minimum wages could be used as a reference, report which minimum wage is being usedIn each country we operate in, as a minimum standard, our local HR policies comply with all relevant local rules and regulations on compensation and dismissal, recruitment and promotion, working hours, rest periods, equal opportunity, diversity and other benefits and welfare. We also comply fully with any local legal requirements with respect to the minimum wage. In practice, our policies and remuneration and benefits often significantly exceed local legal requirements.
G4-EC5 c. Report the definition used for significant locations of operation [title]
Report the definition used for significant locations of operations for Aspect Market PresenceHong Kong, Mainland China, Australia and India.
G4-EC6 Proportion of senior management hired from the local community at significant locations of operation [title]
G4-EC6 a. Report the percentage of senior management at significant locations of operation that are hired from the local community [title]
For each, report
HongKong
Significant location of operationHong Kong
G4-EC6 a. Report the percentage of senior management at significant locations of operation that are hired from the local community [additional information]

Diversity of our Management Team (% of Senior Executives)

 20142013
By Gender  
Male83%82%
Female17%18%
By Nationality  
Chinese33%27%
Australian / New Zealander20%18%
American / Canadian17%18%
Indian17%9%
European13%27%
G4-EC6 b. Report the definition of senior management used [title]
Report the definition of senior management usedSenior Executives
G4-EC6 c. Report the organizations geographical definition of local [title]
Report the organizations geographical definition of local for Aspect Market PresenceHong Kong, Mainland China, Australia and India.
G4-EC6 d. Report the definition used for significant locations of operation [title]
Report the definition used for significant locations of operations for Aspect Market PresenceHong Kong, Mainland China, Australia and India.
Aspect Indirect Economic Impacts [title]
Aspect Indirect Economic Impacts, G4-DMA [title]
Aspect Indirect Economic Impacts, G4-DMA a [title]
Report why the Aspect Indirect Economic Impacts is materialSee page 74, Creating Value for Our Stakeholders.
Report the impacts that make the Aspect Indirect Economic Impacts materialSee page 74, Creating Value for Our Stakeholders.
Aspect Indirect Economic Impacts, G4-DMA b [title]
Report how the organization manages the material Aspect Indirect Economic Impacts or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Indirect Economic Impacts, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Indirect Economic Impacts
Measuring Our Community Initiatives
To understand the impacts of our community initiatives, we periodically use the London Benchmarking Group (LBG) methodology, a global standard which enables us to measure the company’s contribution to the community in a systematic manner. It also enables the company to evaluate the outputs and long-term benefits of the community investments.
We continue to put efforts to understand the outputs, or direct impacts of our community investment programmes as described above. Many of our programmes are geared towards education, better health care and quality of life improvement in rural areas, all of which are known to be the source of significant indirect economic improvement. However, we do not separately calculate their indirect impacts. Therefore, even though we do not measure them, we would like to believe that they are at least positive in nature.
While efforts to measure the outputs or direct impacts of our community investment programmes are still in their early stages, we do measure the resources we invest in our programmes, both in terms of money and time. A summary of our investments as well as the number of people we served is shown above.
 20142013
Direct BeneficiariesAbout 82,000 people33,522 people
Staff Volunteer HoursOver 17,55511,974
Community PartnersAbout 350262
Number of Programmes ImplementedOver 640568
Amount Donated for Charitiable and Other Purposes (excludes in-kind donations)HK$ 12 millionHK$ 8 million
Report the results of the evaluation of the management approach for the Aspect Indirect Economic ImpactsSee above.
Report any related adjustments to the management approach for the Aspect Indirect Economic ImpactsSee above.
G4-EC7 Development and impact of infrastructure investments and services supported [title]
G4-EC7 a. Report the extent of development of significant infrastructure investments and services supported [title]
Report the extent of development of significant infrastructure investments and services supported
CLP Volunteers
Employee volunteerism is a key component of our community initiatives. 2014 marked the 20th anniversary of the CLP Volunteer Team (CLPV), which has become one of the largest corporate volunteer teams in Hong Kong with more than 1,200 members today. CLP Volunteers contributed more than 16,130 volunteer hours of community services in 2014, providing services to more than 10,000 beneficiaries. The efforts of CLPV were recognised by its receipt of the Champion award in the General Corporate Group category of Social Welfare Department’s “2013- 2014 Best Corporate Volunteer Service Project Competition” with its “Rewiring and Home Electricity Safety Service Programme” and an Outstanding Award for the “CLP Green Volunteers for Seniors Programme”.
While efforts to measure the outputs or direct impacts of our community investment programmes are still in their early stages, we do measure the resources we invest in our programmes, both in terms of money and time. A summary of our investments as well as the number of people we served is shown below.
20142013
Direct Beneficiaries About 82,100 people 33,522 people
Staff Volunteer Hours Over 17,50011,974
Community Partners About 350262
Number of Programmes Implemented Over 640568
Amount Donated for Charitable and Other Purposes (excludes in-kind donations) HK$12 million HK$8 million
G4-EC7 b. Report the current or expected impacts on communities and local economies; Report positive and negative impacts where relevant [title]
Report the current or expected impacts on communities and local economies. Report positive and negative impacts where relevant
Effects on Local Communities
As we have described above, all our power plants have a potential to impact local communities, in both positive and negative ways. We try to mitigate any concerns through the following measures:
  • Communications with local governments to explain the nature of the project before construction starts and obtain their help in liaising with local people;
  • Following all applicable laws and regulations regarding land acquisition and environmental impact;
  • Providing employment opportunities where possible;
  • Contributing to local services such as schools or hospitals; and
  • Offering to receive local people and school children at the plant and explain what we do.
We do not conduct formal human rights reviews or impact assessments on our assets. We believe our ongoing engagement with various stakeholders and communities in which we operate will provide feedback to us should significant issues arise.
CLP abides by established government regulations on provisions for people who are resettled by government for the purpose of building power stations. While resettlement and compensation are often undertaken by government entities, CLP assumes an active role in the stakeholder consultation process.
G4-EC7 c. Report whether these investments and services are commercial, in-kind, or pro bono engagements [title]
Report whether these investments and services are commercial, in-kind, or pro bono engagementsPro bono
G4-EC8 Significant indirect economic impacts, including the extent of impacts [title]
G4-EC8 a. Report examples of the significant identified positive and negative indirect economic impacts the organization has [title]
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to changing the productivity of organizations, sectors, or the whole economy
To understand the impacts of our community initiatives, we periodically use the London Benchmarking Group (LBG) methodology, a global standard which enables us to measure the company’s contribution to the community in a systematic manner. It also enables the company to evaluate the outputs and long-term benefits of the community investments.
We continue to put efforts to understand the outputs, or direct impacts of our community investment programmes as described above. Many of our programmes are geared towards education, better health care and quality of life improvement in rural areas, all of which are known to be the source of significant indirect economic improvement. However, we do not separately calculate their indirect impacts. Therefore, even though we do not measure them, we would like to believe that they are at least positive in nature.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to the economic development in areas of high povertySee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to economic impact of improving or deteriorating social or environmental conditionsSee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to availability of products and services for those on low incomesSee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to enhancing skills and knowledge amongst a professional community or in a geographical regionSee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to jobs supported in the supply chain or distribution chainSee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to stimulating, enabling, or limiting foreign direct investmentSee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to economic impact of change in location of operations or activitiesSee above.
Report examples of the significant identified positive and negative indirect economic impacts the organization has, related to economic impact of the use of products and servicesSee above.
G4-EC8 b. Report the significance of the impacts in the context of external benchmarks and stakeholder priorities [title]
Report the significance of the impacts in the context of external benchmarks and stakeholder priorities, such as national and international standards, protocols, and policy agendasWe continue to put efforts to understand the outputs, or direct impacts of our community investment programmes as described above. Many of our programmes are geared towards education, better health care and quality of life improvement in rural areas, all of which are known to be the source of significant indirect economic improvement. However, we do not separately calculate their indirect impacts. Therefore, even though we do not measure them, we would like to believe that they are at least positive in nature.
Aspect Procurement Practices [title]
Aspect Procurement Practices, G4-DMA [title]
Aspect Procurement Practices, G4-DMA a [title]
Report why the Aspect Procurement Practices is materialIn order to understand the level of sustainability awareness and current practice in our supply chain, as well as to encourage our suppliers to focus on sustainability issues, we rolled out our Responsible Procurement Policy Statement (RePPS) to our businesses in Hong Kong, Mainland China, Australia and India in 2012. Our RePPS policy places requirements on suppliers in the area of “Legal Compliance” and states our expectations of suppliers regarding their “Respect for People”, “Ethics and Business Conduct” and “Treatment of the Environment”. We are committed to supply chain sustainability and will progressively consider RePPS in supplier selection and contract monitoring at a pace and depth that suits local business conditions. The RePPS policy is available from our website.
Report the impacts that make the Aspect Procurement Practices materialSee above.
Aspect Procurement Practices, G4-DMA b [title]
Report how the organization manages the material Aspect Procurement Practices or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Procurement Practices, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Procurement PracticesWe continue to engage suppliers during contract execution. An example of this is our Hong Kong business risk based Supplier Assessment System (SAS) which gathers feedback on our own performance as well as that of our key suppliers. In 2014, 14 key suppliers were surveyed under this programme and all responded positively to having practices in place to monitor various aspects of performance and compliance.
Report the results of the evaluation of the management approach for the Aspect Procurement PracticesSee above.
Report any related adjustments to the management approach for the Aspect Procurement PracticesThe RePPS Questionnaire helps us to understand our suppliers better and we are progressing to understand their implementation of RePPS practices through some site visits. In 2015, we aim to continue engaging suppliers to further uplift capability in occupational safety and health, and to contribute to minimising environmental impact in energy production and supply.
G4-EC9 Proportion of spending on local suppliers at significant locations of operation [title]
G4-EC9 a. Report the percentage of the procurement budget used for significant locations of operation spent on suppliers local to that operation [title]
For each, report
HongKong
Significant location of operationHong Kong
Report the percentage of the procurement budget used for significant location of operation spent on suppliers local to that operation (such as percentage of products and services purchased locally)0.780
G4-EC9 a. Report the percentage of the procurement budget used for significant locations of operation spent on suppliers local to that operation [additional information]
CLP Supply Chain
For all major assets in Hong Kong, Mainland China, Australia and India, in 2014 we procured from 5,203 suppliers for a total of HK$30.9 billion. All purchases are guided by the principles under the CLP Code of Conduct and RePPS. A regional breakdown of the purchase amount and the number of suppliers is provided on the next page. 78% of this total purchase amount was from local suppliers in Hong Kong, Mainland China, Australia and India. There have been no significant changes to the CLP supply chain in 2014.
Suppliers by Region, Payment to Suppliers (HK$M) and Number of Suppliers
Payment to Suppliers (HK$M)Numbe of Suppliers
Australia6,3172,071
Mainland China7,2491,103
Hong Kong7,083836
India3,466969
Others (Asia Pacific)5,67063
Europe1,081101
Others8060
G4-EC9 b. Report the organizations geographical definition of local [title]
Report the organizations geographical definition of local for Aspect Procurement PracticesHong Kong, Mainland China, Australia and India.
G4-EC9 c.Report the definition used for significant locations of operation [title]
Report the definition used for significant locations of operations for Aspect Procurement PracticesHong Kong, Mainland China, Australia and India.
Category Environmental [title]
Aspect Materials [title]
Aspect Materials, G4-DMA [title]
Aspect Materials, G4-DMA a [title]
Report why the Aspect Materials is materialAt CLP we are committed to the responsible use of resources, which entails using resources that have less potential environmental impacts where commercially possible, but more importantly, using less resources to produce and deliver the electricity sold to our customers.
Aspect Materials, G4-DMA b [title]
Report how the organization manages the material Aspect Materials or its impactsWhen it comes to fuel, which is the most important raw material for our power generation operations, it is in our interest to use it wisely and efficiently. The more efficient we are, the less the operational cost.
Aspect Materials, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Materials
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-EN1 Materials used by weight or volume [title]
G4-EN1 a. Report the total weight or volume of materials that are used to produce and package the organizations primary products and services during the reporting period [title]
For each, report
Non-renewable materials
Report the total weight of materials that are used to produce and package the organizations primary products and services during the reporting periodTJ 607,478
G4-EN1 a. Report the total weight or volume of materials that are used to produce and package the organizations primary products and services during the reporting period [additional information]
When it comes to fuel, which is the most important raw material for our power generation operations, it is in our interest to use it wisely and efficiently. The more efficient we are, the less the operational cost. Below is a chart showing the fuel consumed by our power generation assets over the last few years.
Units20102011201220132014
CoalConsumed for Power GenerationTerajoules370,427419,357361,819433,763541,865
GasConsumed for Power GenerationTerajoules135,556101,16586,20073,51063,263
OilConsumed for Power GenerationTerajoules1,2721,5088,2001,9732,345
In 2014, compared to 2013, coal consumption increased while gas consumption decreased and oil consumption remained within the range of normal operations. The main reasons for the increase in coal consumption are the addition of the Mount Piper power station in Australia to our reporting scope this year and the increased use of coal at our Castle Peak power station in Hong Kong. Lower gas usage is a result of the shift in Hong Kong to generate more electricity from coal rather than gas in order to contain the tariff increase.
G4-EN2 Percentage of materials used that are recycled input materials [title]
G4-EN2 a. Report the percentage of recycled input materials used to manufacture the organizations primary products and services [title]
G4-EN2 a. Report the percentage of recycled input materials used to manufacture the organizations primary products and services [additional information]
These efforts contribute to the levels of ash and gypsum byproducts recycled and sold as follows.
By-products (Recycled & Sold) Units 2012 2013 2014
Ash Kilotonnes 495 1,334 1,663
Gypsum Kilotonnes 210 222 166
In addition, most of our facilities have both hazardous and non-hazardous waste recycling and reduction programmes. Some of these include:
  • Use of authorized recyclers to recycle hazardous waste offsite;
  • General recycling programmes for a wide variety of non-hazardous waste items including plastics, metals, wood items as well as printer toner, filters, paper and cardboard from our onsite offices.
Due to the current nature of our operations and the status of technology, we do not use recycled input materials to produce our electricity. Alternatives like biofuels may one day be possible, but today there are not enough rules and regulations or skills and experience to ensure that biofuels can be mass produced in a socially responsible way, without competing with agricultural production required to produce sufficient food.
Aspect Energy [title]
Aspect Energy, G4-DMA [title]
Aspect Energy, G4-DMA a [title]
Report why the Aspect Energy is material
The increases in efficiency as described above are one of the ways in which we reduce the environmental impacts of our product because the more efficient our power stations, the more electricity they can produce for the same level of environmental impact.
We are an energy producer. Therefore the material energy consumption outside our organisation is our purchase and use of fuel to generate electricity as described earlier in this section, and our customers’ use of the energy we produce, as described later in the Retail section.
Report the impacts that make the Aspect Energy materialSee above.
Aspect Energy, G4-DMA b [title]
Report how the organization manages the material Aspect Energy or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Energy, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect EnergyWe conduct periodic major overhauls on our assets to improve their efficiency and operational performance. Power generating assets have lifespans that extend across several decades, so every plant does not have major efficiency improvements every year. However every couple of years, we usually make significant efficiency improvements to a few plants in our portfolio.
Report the results of the evaluation of the management approach for the Aspect EnergySee above.
Report any related adjustments to the management approach for the Aspect EnergySee above.
G4-EN3 Energy consumption within the organization [title]
G4-EN3 a. Report total fuel consumption from non-renewable sources in joules or multiple [title]
For each, report
Oil
Non-renewable fuel source nameOil
Report total fuel consumption from non-renewable sources in joules or multiples, including fuel types usedTJ 2,345
Gas
Non-renewable fuel source nameGas
Report total fuel consumption from non-renewable sources in joules or multiples, including fuel types usedTJ 63,268
Coal
Non-renewable fuel source nameCoal
Report total fuel consumption from non-renewable sources in joules or multiples, including fuel types usedTJ 541,865
G4-EN3 c.Report in joules, watt-hours or multiples, the total consumption [title]
G4-EN3 c.Report in joules, watt-hours or multiples, the total consumption [additional information]
Usually, electricity used for our power plant operations is taken directly from generation plant output. However, in certain operational circumstances our plants occasionally import power to service their in-house loads, such as when a plant is under maintenance and therefore not operating. In 2014, the amount of electricity purchased at our operationally controlled facilities for the facilities’ own use was over 210GWh.
We purchase fuel for our power stations so they can generate electricity. The type of fuel we purchase is determined by the fuel the generation plants in our portfolio are able to burn. It is not easily possible to modify a plant so it is able to burn a different fuel – for example, modifying a coal plant so it can burn gas is not normally economically justifiable, and modifying a gas plant so it can burn coal is also not economic at this time. Therefore it is the composition of our generation portfolio that determines our fuel consumption and carbon emission patterns. The fuel that was consumed in 2014 is presented in the table below.
Fuel Consumed
Units 2014 2013 2012 2011 2010
Coal Consumed for Power Generation Terajoules 541,865 433,763 361,819 419,357 370,427
Gas Consumed for Power Generation Terajoules 63,268 73,510 86,200 101,165 102,160
Oil Consumed for Power Generation Terajoules 2,345 1,973 8,200 1,508 7,165
G4-EN3 d. Report in joules, watt-hours or multiples, the total sold [title]
G4-EN3 d. Report in joules, watt-hours or multiples, the total sold [additional information]
Our EnergyAustralia retail business is one of the three largest in Australia. We retail gas and electricity to customers across four states: Victoria, New South Wales (NSW), Queensland (electricity only) and South Australia. As at 31 December 2014, EnergyAustralia had about 1.8 million electricity accounts and about 821,000 gas accounts for a total of about 2.6 million customer accounts. Total sales of electricity to our customers was 24 Terrawatt hours (TWh) and total sales of gas to our customers was 70.2 Petajoules (PJ).
Aggressive retail competition and price discounting throughout 2014 resulted in a decline in EnergyAustralia’s customer accounts compared to 2013. The number of customer accounts fell by approximately 47,000, or just over 1.7%. In order to succeed in this difficult market environment, EnergyAustralia strengthened its sales capabilities throughout 2014 by ramping up digital sales activities, making improvements to post sales process leading to faster registration of new accounts and enhancing customer retention activity. These efforts supported an increase of about 24,000, or 0.9%, in customer accounts for the second half of 2014 relative to the first half of the year.
Our regulated Hong Kong business is defined by geographical area. We are the sole electricity provider for Kowloon, the New Territories, and most of the outlying islands and we supply electricity to 2.46 million customer accounts or about 80% of Hong Kong’s population. Local sales of electricity to our Hong Kong customers was 32,925 GWh in 2014, and we also sold 1,226 GWh of electricity to the Mainland for a total electricity sales figure of 34,151 GWh.
G4-EN3 e. Report total energy consumption in joules or multiples [title]
Report total energy consumption in joules or multiplesTJ 607,478
G4-EN3 f. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used to calculate the energy consumption within the organizationSee page 17, Assurance and Verification.
G4-EN3 g. Report the source of the conversion factors used [title]
Report the source of the conversion factors used to calculate the energy consumption within the organizationSee page 17, Assurance and Verification.
G4-EN4 Energy consumption outside of the organization [title]
G4-EN4 a. Report energy consumed outside of the organization, in joules or multiples [title]
G4-EN4 a. Report energy consumed outside of the organization, in joules or multiples [additional information]We are an energy producer. Therefore the material energy consumption outside our organization is our purchase and use of fuel to generate electricity as described earlier in this section, and our customers’ use of the energy we produce, as described later in the Retail section. Usually, electricity used for our power plant operations is taken directly from generation plant output. However in certain operational circumstances our plants occasionally import power to service their in-house loads, such as when a plant is under maintenance and therefore not operating. In 2014, the amount of electricity purchased at our operationally controlled facilities for the facilities’ own use was over 210 GWh.
G4-EN4 b. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used to calculate the energy consumption outside the organizationSee page 17, Assurance and Verification.
G4-EN4 c. Report the source of the conversion factors used [title]
Report the source of the conversion factors used to calculate the energy consumption outside the organizationSee page 17, Assurance and Verification.
G4-EN5 Energy intensity [title]
G4-EN5 a. Report the energy intensity ratio [title]
G4-EN5 a. Report the energy intensity ratio [additional information]
Country Facility Plant Type Energy Intensity (kJ/kWh)
Hong Kong Castle Peak Power Station Coal 10,714
Black Point Power Station Gas 8,018
Penny’s Bay Power Station Diesel 16,744
Australia Yallourn Power Station and Brown Coal Mine Coal 14,876
Mount Piper Power Station Coal 10,227
Tallawarra Power Station Gas 7,200
Hallett Power Station Gas 20,000
Waterloo Wind Farm Wind N/A 5
Cathedral Rocks Wind Farm Wind N/A 5
Mainland China Guangxi Fangchenggang I Power Station Coal 9,524
Jiangbian Hydro Power Station Hydro N/A 5
Huaiji Hydro Power Station Hydro N/A 5
Dali Yang_er Hydro Power Station Hydro N/A 5
Qian'an I & II Wind Farm Wind N/A 5
Penglai I Wind Farm Wind N/A 5
Jinchang Solar Power Station Solar N/A 5
Jhajjar Power Station Coal 85
India Paguthan Power Station Gas 10,028
Paguthan Power Station Gas 9,917
5 N/A: In this context, N/A means " Not Applicable" as energy intensity is not calculated for renewable energy.
G4-EN5 b. Report the organization-specific metric (the ratio denominator) chosen to calculate the ratio [title]
Report the organization-specific metric (the ratio denominator) chosen to calculate the ratiokWh
G4-EN5 c. Report the types of energy included in the intensity ratio [title]
Report the types of energy included in the intensity ratioFuel
G4-EN5 d. Report whether the ratio uses energy consumed within the organization, outside of it or both [title]
Report whether the ratio uses energy consumed within the organization, outside of it or bothWithin the organization
G4-EN6 Reduction of energy consumption [title]
G4-EN6 a. Report the amount of reductions in energy consumption achieved as a direct result of conservation and efficiency initiatives [title]
G4-EN6 a. Report the amount of reductions in energy consumption achieved as a direct result of conservation and efficiency initiatives [additional information]
Operational Efficiency Improvements
We conduct periodic major overhauls on our assets to improve their efficiency and operational performance. Power generating assets have lifespans that extend across several decades, so every plant does not have major efficiency improvements every year. However every couple of years, we usually make significant efficiency improvements to a few plants in our portfolio.
In 2014, we installed a new High Pressure-Intermediate Pressure (HIP) turbine at our Yallourn coal-fired power station in Australia, which resulted in an efficiency improvement of slightly better than 3% on Unit 1. Assuming each unit produces the same power in 2015 compared to 2014, this means we can reduce an estimated 105,000 tonnes of CO2 emissions for the same level of output.
In Mainland China, we increased the efficiency of the Shuixia hydropower station, one of the hydropower stations under Huaiji hydropower station. As a result, the station can now generate about 20% more electricity using the same amount of water.
We have completed a number of operation efficiency improvement works at our Fangchenggang Unit 2 this year, including replacing heat exchange elements in the air pre-heater, modification work at the turbine gland and diaphragm seals, and enhancement of turbine governor valves control sequence. It is estimated that these modification works would improve unit thermal efficiency by about 2.5%, which in turn reduces the amount of greenhouse gas emitted by the plant by more than 92,000 tonnes of carbon dioxide.
In India, at Paguthan power station, we improved the efficiency of the plant by installing a variable frequency drive for one of the three low pressure boiler feed pumps and a raw water pump.
G4-EN6 b. Report the types of energy included in the reductions [title]
Report the types of energy included in the reductions, fuel, electricity, heating, cooling, and steamFuel
G4-EN6 c. Report the basis for calculating reductions in energy consumption such as base year or baseline, and the rationale for choosing it [title]
Report the basis for calculating reductions in energy consumption such as base year or baseline, and the rationale for choosing itIn 2014, we installed a new High Pressure-Intermediate Pressure (HIP) turbine at our Yallourn coal-fired power station in Australia, which resulted in an efficiency improvement of slightly better than 3% on Unit 1. Assuming each unit produces the same power in 2015 compared to 2014, this means we can reduce an estimated 105,000 tonnes of CO2 emissions for the same level of output.
G4-EN7 Reductions in energy requirements of products and services [title]
G4-EN7 a. Report the reductions in the energy requirements of sold products and services achieved during the reporting period [title]
G4-EN7 a. Report the reductions in the energy requirements of sold products and services achieved during the reporting period [additional information]
Operational Efficiency Improvements
We conduct periodic major overhauls on our assets to improve their efficiency and operational performance. Power generating assets have lifespans that extend across several decades, so every plant does not have major efficiency improvements every year. However every couple of years, we usually make significant efficiency improvements to a few plants in our portfolio.
In 2014, we installed a new High Pressure-Intermediate Pressure (HIP) turbine at our Yallourn coal-fired power station in Australia, which resulted in an efficiency improvement of slightly better than 3% on Unit 1. Assuming each unit produces the same power in 2015 compared to 2014, this means we can reduce an estimated 105,000 tonnes of CO2 emissions for the same level of output.
In Mainland China, we increased the efficiency of the Shuixia hydropower station, one of the hydropower stations under Huaiji hydropower station. As a result, the station can now generate about 20% more electricity using the same amount of water.
We have completed a number of operation efficiency improvement works at our Fangchenggang Unit 2 this year, including replacing heat exchange elements in the air pre-heater, modification work at the turbine gland and diaphragm seals, and enhancement of turbine governor valves control sequence. It is estimated that these modification works would improve unit thermal efficiency by about 2.5%, which in turn reduces the amount of greenhouse gas emitted by the plant by more than 92,000 tonnes of carbon dioxide.
In India, at Paguthan power station, we improved the efficiency of the plant by installing a variable frequency drive for one of the three low pressure boiler feed pumps and a raw water pump.
G4-EN7 b. Report the basis for calculating reductions in energy consumption such as base year or baseline, and the rationale for choosing it [title]
Report the basis for calculating reductions in energy consumption of products and services such as base year or baseline, and the rationale for choosing itIn 2014, we installed a new High Pressure-Intermediate Pressure (HIP) turbine at our Yallourn coal-fired power station in Australia, which resulted in an efficiency improvement of slightly better than 3% on Unit 1. Assuming each unit produces the same power in 2015 compared to 2014, this means we can reduce an estimated 105,000 tonnes of CO2 emissions for the same level of output.
Aspect Water [title]
Aspect Water, G4-DMA [title]
Aspect Water, G4-DMA a [title]
Report why the Aspect Water is materialIn general, the more energy that we generate, the more water we require. The bulk of the water withdrawn for operation from freshwater and nonfreshwater sources is used for cooling our turbines. Our water withdrawal and discharge numbers are very similar because cooling is a passthrough process. The majority is discharged back to the original water body or sea directly or through wastewater treatment whilst the rest is consumed or evaporates during use. Water is required for most types of power generation, including thermal, nuclear, and renewables.
Report the impacts that make the Aspect Water materialSee above.
Aspect Water, G4-DMA b [title]
Report how the organization manages the material Aspect Water or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Water, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Water
Water Savings and Recycling Initiatives
Many of our local facilities engage in water saving and recycling initiatives in order to emphasise the importance of water as a precious resource and reduce the impact of their operations on the environment. Two examples of these initiatives are provided here:
  • At Tallawarra power station in Australia, surveys of drains were performed to identify leaks, which were repaired and water use reduced; and
  • At Yallourn power station in Australia, the fresh water cooling consumption rate of 2.40ML/GWh in 2014 is 3.6% lower than 2013, due to the introduction of an improved maintenance strategy during major outages, reducing forced outages, and continuing a long-term trend in conserving water used for cooling in the power station.
We encourage facilities to track their total water recycling, although this is not a requirement so it is not externally verified and not reported to the same level of accuracy as our water withdrawal and discharge figures. For indicative purposes, our total amount of water recycled in 2014 was approximately 785,000Mm3.
Report the results of the evaluation of the management approach for the Aspect WaterSee above.
Report any related adjustments to the management approach for the Aspect WaterSee above.
G4-EN8 Total water withdrawal by source [title]
G4-EN8 a. Report the total volume of water withdrawn [title]
For each, report
for
Report the total volume of water withdrawnMm3 4,834.0
Surface water
Report the total volume of water withdrawnMm3 4,827.4
Municipal water supplies or other water utilities
Report the total volume of water withdrawnMm3 6.6
G4-EN9 Water sources significantly affected by withdrawal of water [title]
G4-EN9 a. Report the total number of water sources significantly affected by withdrawal by type [title]
Report the total number of water sources significantly affected by withdrawal
Report the total number of water sources significantly affected by size of water sources significantly affected by withdrawalNone of our operations significantly affect any water sources by withdrawal of water.
Report the total number of water sources significantly affected by whether or not the water sources significantly affected by withdrawal are designated as a protected area (nationally or internationally)See above.
Report the total number of water sources significantly affected by biodiversity value (such as species diversity and endemism, total number of protected species) of the water sources significantly affected by withdrawalSee above.
Report the total number of water sources significantly affected by the value or importance to local communities and indigenous peoples of water sources significantly affected by withdrawalSee above.
G4-EN9 a. Report the total number of water sources significantly affected by withdrawal by type [additional information]
None of our operations significantly affect any water sources by withdrawal of water. However the Tallawarra power station in Australia withdraws its cooling water from Lake Illawarra, a large coastal lagoon of approximately 36 km2. Lake Illawarra houses no protected species, but there are three species of seagrass that are present and considered an important habitat for juvenile fish and benthos. There is an onsite water management system at Tallawarra power station that ensures the return of water to the lake at a quality above the catchment average.
In addition, our Mount Piper power station in Australia draws its cooling water from the freshwater lakes at Thomsons Creek Dam and the Lyell Dam, which were built and expanded, respectively, for this purpose. Although these dams may have been built at a time when the potential environmental impacts were not as well established or widely known, it seems that the Thomson’s Creek Dam now offers some of the best lake based fishing for trophy sized Rainbow and Brown trout in New South Wales (NSW) and is managed by the Department of Primary Industries (DPI) as a trophy fishery.
G4-EN10 Percentage and total volume of water recycled and reused [title]
G4-EN10 a. Report the total volume of water recycled and reused by the organization [title]
Report the total volume of water recycled and reused by the organizationMm3 785,000
G4-EN10 a. Report the total volume of water recycled and reused by the organization [additional information]We encourage facilities to track their total water recycling, although this is not a requirement so it is not externally verified and not reported to the same level of accuracy as our water withdrawal and discharge figures. For indicative purposes, our total amount of water recycled in 2014 was approximately 785,000Mm3.
Aspect Biodiversity [title]
Aspect Biodiversity, G4-DMA [title]
Aspect Biodiversity, G4-DMA a [title]
Report why the Aspect Biodiversity is materialLike many other environmental impacts, once a power generation asset is in place, there are usually fewer options for what we can do to manage or mitigate the impacts on biodiversity. Hence, it is important to ensure that consideration of biodiversity impacts form part of the overall environmental consideration in our investment decision-making process, which is now embedded in our internal Pre-Investment Environmental Risk Assessment (PIERA) process.
Report the impacts that make the Aspect Biodiversity materialIn our past reports, we have reported our work on biodiversity across the Group. Some of these efforts have become ongoing activities such as the fish management regime in place at our Jiangbian hydro power station in Mainland China, the vegetation management work along our transmission lines in Hong Kong, as well as the bird cataloging work by Paguthan Power Station in India.
Aspect Biodiversity, G4-DMA b [title]
Report how the organization manages the material Aspect Biodiversity or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Biodiversity, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect BiodiversityCLP proactively manages this situation from the corporate level, while taking due considerations of country specific requirements, local context and specific stakeholder concerns. Our new Group-level Biodiversity Impact Assessment Guideline offers a comprehensive assessment methodology, which serves to assist our regions in performing a proper assessment, which will then help us to effectively manage biodiversity issues at the site-specific level. It also serves to improve biodiversity awareness throughout the company.
G4-EN11 Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas [title]
G4-EN11 a. Report the following information for each operational site owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas [title]
For each, report
TransmissionDistribution
Report the geographic location for each operational site owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areasTransmission and Distribution, Hong Kong
Report the subsurface and underground land that may be owned, leased, or managed by the organization in, or adjacent to, protected areas and areas of high biodiversity value outside protected areasFor our transmission and distribution network in Hong Kong, biodiversity within protected areas is particularly material. Protected areas include country parks, marine parks and the Mai Po Natural Reserve (a RAMSAR site), which are identified as having high biodiversity value. We have a total of about 104km of 400kV overhead lines that are in designated country parks and the Mai Po Natural Reserve (about 52km structure length).
Report the position (in the area, adjacent to, or containing portions of the protected area) for each operational site owned, leased, managed in relation to protected areas and areas of high biodiversity value outside protected areasIn the area.
Report the type of operation for each operational site owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areasManufacturing or production
Report the attribute of the protected area or high biodiversity value area outside the protected area for each operational site owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areasTerrestrial
Report the listing of protected status for each operational site owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas
A series of ordinances regulate and guide our design, execution and decommissioning works and equipment in these areas to minimise impact to the surrounding ecosystems.
Protected areas include country parks, marine parks and the Mai Po Natural Reserve (a RAMSAR site), which are identified as having high biodiversity value.
G4-EN12 Description of significant impacts of activities, products, and services on biodiversity in protected areas and areas of high biodiversity value outside protected areas [title]
G4-EN12 a. Report the nature of significant direct and indirect impacts on biodiversity [title]
Report the nature of significant direct and indirect impacts on biodiversity with reference to construction or use of manufacturing plants, mines, and transport infrastructureFor our transmission and distribution network in Hong Kong, biodiversity within protected areas is particularly material. Protected areas include country parks, marine parks and the Mai Po Natural Reserve (a RAMSAR site), which are identified as having high biodiversity value. We have a total of about 104km of 400kV overhead lines that are in designated country parks and the Mai Po NaturalReserve (about 52km structure length).
G4-EN12 b. Report significant direct and indirect positive and negative impacts [title]
Report significant direct and indirect positive and negative impacts on biodiversity with reference to the extent of areas impactedFor our transmission and distribution network in Hong Kong, biodiversity within protected areas is particularly material. Protected areas include country parks, marine parks and the Mai Po Natural Reserve (a RAMSAR site), which are identified as having high biodiversity value. We have a total of about 104km of 400kV overhead lines that are in designated country parks and the Mai Po NaturalReserve (about 52km structure length).
G4-EN13 Habitats protected or restored [title]
G4-EN13 a. Report the size and location of all habitat protected areas or restored areas, and whether the success of the restoration measure was or is approved by independent external professionals [title]
For each, report
1
Report the name of the habitat protected area or restored areaYallourn power station, Australia
Report the location of the habitat protected area or restored areaThe 2005 and 2011 Conservation Management Plan and Federal Offset Plan outline the requirements for a native vegetation net gain. All conservation sites are on EnergyAustralia land or crown land within the EnergyAustralia Mining Licence boundary. Some areas are adjacent to mining areas whilst some have a considerable buffer distance. Surrounding areas are improved in accordance with the management plans predominately through fencing, weed control and supplementary planting. There are a number of different habitat types or Ecological Vegetation Classes at Yallourn ranging from grassy plains to swampy riparian and wetland habitat. Offset areas provide a net gain against sites affected by mining. Furthermore, mine rehabilitation works promote biodiversity within previously disturbed areas. Rehabilitation areas are not scored as offsets but provide significant habitat.
G4-EN13 c. Report on the status of each area based on its condition at the close of the reporting period [title]
For each, report
1
Report the name of the habitat protected area or restored areaYallourn power station, Australia
Report on the status of each habitat protected or restored area based on its condition at the close of the reporting periodThe 2005 and 2011 Conservation Management Plan and Federal Offset Plan outline the requirements for a native vegetation net gain. All conservation sites are on EnergyAustralia land or crown land within the EnergyAustralia Mining Licence boundary. Some areas are adjacent to mining areas whilst some have a considerable buffer distance. Surrounding areas are improved in accordance with the management plans predominately through fencing, weed control and supplementary planting. There are a number of different habitat types or Ecological Vegetation Classes at Yallourn ranging from grassy plains to swampy riparian and wetland habitat. Offset areas provide a net gain against sites affected by mining. Furthermore, mine rehabilitation works promote biodiversity within previously disturbed areas. Rehabilitation areas are not scored as offsets but provide significant habitat.
G4-EN14 Total number of IUCN Red List species and national conservation list species with habitats in areas affected by operations, by level of extinction risk [title]
Report if information presented for G4-EN14 does not cover the Boundary identified for the material Aspect Biodiversity in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Emissions [title]
Aspect Emissions, G4-DMA [title]
Aspect Emissions, G4-DMA a [title]
Report why the Aspect Emissions is materialGreenhouse gas emissions contribute to climate change, which in turn is predicted to cause sea level rise, increasing average global temperature and increasing frequency or intensity of extreme weather events, such as hurricanes and typhoons. This is one of the primary reasons we developed our Climate Change 2050 strategy. This strategy guides our decision-making process as we develop our generation portfolio through our acquisition, construction and divestment decisions, which is critical since once the fuel and technology type for a power station has been decided upon, there is very little that can be done to change its greenhouse gas emissions profile given today’s lack of commercially viable carbon capture and storage solutions.
Report the impacts that make the Aspect Emissions materialSee above.
Aspect Emissions, G4-DMA b [title]
Report how the organization manages the material Aspect Emissions or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Emissions, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect EmissionsClimate Vision 2050 was publicly announced in 2007 and updated in 2010. It sets out a series of progressive interim targets and ultimate goals to reduce the carbon intensity of our generation portfolio and to increase both the renewable and the noncarbon portions of our generation fleet as a percentage of our total capacity.
Report the results of the evaluation of the management approach for the Aspect EmissionsIn 2014, there were no significant increases or decreases in carbon emissions on a facility basis, however our Group total greenhouse gas emissions increased by about 20% due mainly to the addition of the coalfired Mount Piper power station in Australia to the CLP Group portfolio and increased generation output from Yallourn power station.
Report any related adjustments to the management approach for the Aspect EmissionsWe recognise that the interim targets we have set for ourselves in our Climate Vision 2050 are challenging and we acknowledge that Government policies will play a key role in determining when we achieve our targets. Nevertheless, we remain committed to working towards our goals and we hope that the UNFCCC COP21 in Paris in 2015 will provide more clarity on how we can move towards a low carbon future.
G4-EN15 Direct greenhouse gas (GHG) emissions (Scope 1) [title]
G4-EN15 a. Report gross direct (Scope 1) GHG emissions in metric tons of CO2 equivalent, independent of any GHG trades [title]
G4-EN15 a. Report gross direct (Scope 1) GHG emissions in metric tons of CO2 equivalent, independent of any GHG trades [additional information]CO2e emissions from power generation (Scopes 1 and 2): 53,258 KT
G4-EN15 b. Report gases included in the calculation [title]
Report gases included in the calculation (whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all) of direct greenhouse gas emissionsAll gases are included in the calculation of direct greenhouse gas emissions.
G4-EN15 c. Report biogenic CO2 emissions in metric tons of CO2 equivalent separately from the gross direct (Scope 1) GHG emissions [title]
G4-EN15 c. Report biogenic CO2 emissions in metric tons of CO2 equivalent separately from the gross direct (Scope 1) GHG emissions [additional information]CO2 emissions from power generation (Scopes 1 and 2): 53,044 KT
G4-EN15 d. Report the chosen base year, the rationale for choosing the base year, emissions in the base year, and the context for any significant changes in emissions that triggered recalculations of base year emissions [title]
G4-EN15 d. Report the chosen base year, the rationale for choosing the base year, emissions in the base year, and the context for any significant changes in emissions that triggered recalculations of base year emissions [additional information]In 2014 there were no significant increases or decreases in carbon emissions on a facility basis, however our Group total greenhouse gas emissions increased by about 20% due mainly to the addition of the coal-fired Mount Piper Power Station in Australia to the CLP Group portfolio and an increased generation output from Yallourn Power Station.
G4-EN15 e. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used in the calculation of direct greenhouse gas emissionsSee page 17, Assurance and Verification.
G4-EN15 f. Report the source of the emission factors used and the global warming potential (GWP) rates used or a reference to the GWP source [title]
Report the source of the emission factors used in the calculation of direct greenhouse gas emissionsSee page 17, Assurance and Verification.
G4-EN15 g. Report the chosen consolidation approach for emissions [title]
Report the chosen consolidation approach for direct greenhouse gas emissions (equity share, financial control, operational control)Operational control
G4-EN16 Energy indirect greenhouse gas (GHG) emissions (Scope 2) [title]
G4-EN16 a. Report gross energy indirect (Scope 2) GHG emissions in metric tons of CO2 equivalent, independent of any GHG trades [title]
G4-EN16 a. Report gross energy indirect (Scope 2) GHG emissions in metric tons of CO2 equivalent, independent of any GHG trades [additional information]CO2e emissions from power generation (Scopes 1 and 2): 53,258 KT
G4-EN16 b. Report gases included in the calculation [title]
Report gases included in the calculation of indirect greenhouse gas emissions, if availableAll gases are included in the calculation of direct greenhouse gas emissions.
G4-EN16 c. Report the chosen base year, the rationale for choosing the base year, emissions in the base year, and the context for any significant changes in emissions that triggered recalculations of base year emissions [title]
G4-EN16 c. Report the chosen base year, the rationale for choosing the base year, emissions in the base year, and the context for any significant changes in emissions that triggered recalculations of base year emissions [additional information]In 2014 there were no significant increases or decreases in carbon emissions on a facility basis, however our Group total greenhouse gas emissions increased by about 20% due mainly to the addition of the coal-fired Mount Piper Power Station in Australia to the CLP Group portfolio and an increased generation output from Yallourn Power Station.
G4-EN16 d. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used in the calculation of indirect greenhouse gas emissionsSee page 17, Assurance and Verification.
G4-EN16 e. Report the source of the emission factors used and the global warming potential (GWP) rates used or a reference to the GWP source [title]
Report the source of the indirect greenhouse gas emissions factors usedSee page 17, Assurance and Verification.
G4-EN16 f. Report the chosen consolidation approach for emissions [title]
Report the chosen consolidation approach for indirect greenhouse gas emissions (equity share, financial control, operational control)Operational control
G4-EN17 Other indirect greenhouse gas (GHG) emissions (Scope 3) [title]
Report if information presented for G4-EN17 does not cover the Boundary identified for the material Aspect Emissions in General Standard Disclosures G4-20 and G4-21Not reported.
G4-EN18 Greenhouse gas (GHG) emissions intensity [title]
G4-EN18 a. Report the GHG emissions intensity ratio [title]
Report the GHG emissions intensity ratioKgCO2 / KWh 0.84
G4-EN18 b. Report the organization-specific metric chosen to calculate the ratio [title]
Report the organization-specific metric (the ratio denominator) chosen to calculate the GHG emissions intensity ratio
In 2014, the Group’s carbon intensity increased from 0.82kg CO2/kWh in 2013 to 0.84kg CO2/kWh, which is where we started back in 2007. We arrived at this point from an all-time low carbon intensity of 0.77kg CO2/kWh in 2012 as a result of the following combination of events:
  • In 2012, we experienced an all-time low carbon intensity which was a result of lower output from Yallourn power station in Australia due to the disruption caused by the flooding of its mine, as well as low output from our Jhajjar power station in India due to the lack of coal for generation.
  • In 2013, we acquired Mount Piper and Wallerawang power stations in Australia, both of which are coal-fired. In the same year, output from the Jhajjar power station in India increased relative to 2012, and our endeavours to align our carbon accounting method with our financial accounting definitions resulted in the removal of the CGN wind portfolio from our 2013 calculations.
  • The rise from 2013 to 2014 was attributed mainly to the acquisitions of additional shares in Castle Peak Power Company Limited (CAPCO) which holds our power generation assets in Hong Kong, which resulted in an increase in equity of the fossil-fuel portfolio. There was also a general reduction in output from renewables projects, in particular hydro projects in Mainland China.
G4-EN18 c. Report the types of GHG emissions included in the intensity ratio: direct (Scope 1), energy indirect (Scope 2), other indirect (Scope 3) [title]
Report the types of GHG emissions included in the intensity ratio - direct (Scope 1) energy indirect (Scope 2) other indirect (Scope 3)Scope 1 and Scope 2 emissions are included in the intensity ratio.
G4-EN18 d. Report gases included in the calculation [title]
Report gases included in the calculation of GHG emissions intensity ratioOnly carbon dioxide is included in the calculation of GHG emissions intensity ratio.
G4-EN19 Reduction of greenhouse gas (GHG) emissions [title]
G4-EN19 a. Report the amount of GHG emissions reductions achieved as a direct result of initiatives to reduce emissions, in metric tons of CO2 equivalent [title]
Report the amount of GHG emissions reductions achieved as a direct result of initiatives to reduce emissions, in metric tons of CO2 equivalentkT 9,000
G4-EN19 a. Report the amount of GHG emissions reductions achieved as a direct result of initiatives to reduce emissions, in metric tons of CO2 equivalent [additional information]
Although we are back to where we started, the reduction in CO2 emissions due to the carbon intensities being lower than this baseline of 0.84kg CO2/kWh, have resulted in an accumulated reduction of over 9 million tonnes of CO2 emissions, over the last seven years.
However, being back at our 2007 level reminds us how challenging our targets are, considering that coal is still the most affordable choice of fuel in developing Asia. While our present portfolio composition may mean we are not able to achieve our interim targets within the original timeframe set, we remain committed to our original long-term vision of reducing our carbon intensity to 0.2kg CO2/kWh by 2050 as set out in our Climate Vision 2050. In striving to achieve our long-term targets, we intend to continue to invest in renewable energy and using technology with the highest efficiency practicable and commercially viable for our thermal projects.
We hope that a carbon emissions reduction agreement amongst governments will be reached at the UNFCCC COP21 in Paris in 2015 so as to provide a clearer signal for the predictability needed for long-term investments. Although what countries are willing to commit to may not be perceived as ambitious enough, it can still provide some indication of what could happen if everyone met their commitment. Any announced commitments might even spur competitive behaviour between countries to reduce more than what was committed to.
For a summary of our Climate Vision 2050 interim targets and ultimate goals, please refer to the “Our Company” chapter. For information on the renewable and non-carbon portions of our portfolio as a percentage of its total capacity in 2014, please refer to the “Sustainable Operations” chapter.
G4-EN19 b. Report gases included in the calculation [title]
Report gases included in the calculation of GHG emissions reductions (whether CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, or all)CO2
G4-EN19 c. Report the chosen base year or baseline and the rationale for choosing it [title]
Report the chosen base year or baseline for GHG emissions reductions2007-01-01
Report the rationale for choosing the base year or baseline for GHG emissions reductionsClimate Vision 2050 was publicly announced in 2007 and updated in 2010.
G4-EN19 d. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used in the calculation of GHG Emissions reductionsSee page 17, Assurance and Verification.
G4-EN19 e. Report whether the reductions in GHG emissions occurred in direct (Scope 1), energy indirect (Scope 2), other indirect (Scope3) emissions [title]
Report whether the reductions in GHG emissions occurred in direct emissions (Scope 1)Yes
Report whether the reductions in GHG emissions occurred in energy indirect emissions (Scope 2)No
Report whether the reductions in GHG emissions occurred in other indirect emissions (Scope 3)No
G4-EN20 Emissions of ozonedepleting substances (ODS) [title]
G4-EN20 a. Report production, imports, and exports of ODS in metric tons of CFC-11 equivalent [title]
G4-EN20 a. Report production, imports, and exports of ODS in metric tons of CFC-11 equivalent [additional information]
Ozone Depleting Substances (ODS) are not considered a main input or resource for electricity generation purposes but they can be found in some of the company’s auxiliary functions. For example, the most relevant ODS used at our power stations are refrigerants in air conditioners and chillers, and halons in fire extinguishers as permitted by local regulations. Over time, CLP has tried to phase out the use of these substances where possible. For example, in Hong Kong in 2014:
  • At Castle Peak power station, a total of 24 air conditioners with HCFCs were replaced, with 35 more air conditioners to be replaced progressively from 2015 to 2017;
  • At Black Point power station, a total of 25 air conditioners with HCFCs were replaced, with 46 more air conditioners to be replaced progressively from 2015 to 2017; and
  • At Penny’s Bay power station, a total of nine air conditioners with HCFCs were replaced, with 16 more air conditioners with HCFCs to be replaced progressively from 2015 to 2017.
With some of the older facilities in some jurisdictions, it is also likely that they still contain ODS and so we will need to manage them as they are or decommissioned or refurbished. For example, in Australia:
  • The Wallerawang power station has PCBs within a number of transformers. Hence, during the decommissioning phase of Wallerawang, expected to be in the near future, the oil containing PCBs will be drained and replaced with new non-PCB containing substitutes where necessary.
  • R22 refrigerant is still onsite in the Wallerawang plant control room air conditioning system with an estimated quantity of 500kg. This refrigerant will also be removed when the power plant control room’s air conditioning system is decommissioned in the near future.
  • At Yallourn power station, replacement of the Unit 1 Generator transformer has allowed the removal of 10 kilolitre of low level PCB contaminated oil from the site.
There is a general declining trend in the use of ODS since the ratification of the Montreal Protocol back in 1989 and it is assumed that over time, new equipment and facilities should not contain such substances. CLP will continue to reduce the use of ODS in existing assets and endeavour to prevent use of such substances in new facilities where viable substitutes are possible.
G4-EN20 b. Report substances included in the calculation [title]
Report substances included in the calculation of ODS
Ozone Depleting Substances
Ozone Depleting Substances (ODS) are not considered a main input or resource for electricity generation purposes but they can be found in some of the company’s auxiliary functions. For example, the most relevant ODS used at our power stations are refrigerants in air conditioners and chillers, and halons in fire extinguishers as permitted by local regulations. Over time, CLP has tried to phase out the use of these substances where possible. For example, in Hong Kong in 2014:
  • At Castle Peak power station, a total of 24 air conditioners with HCFCs were replaced, with 35 more air conditioners to be replaced progressively from 2015 to 2017;
  • At Black Point power station, a total of 25 air conditioners with HCFCs were replaced, with 46 more air conditioners to be replaced progressively from 2015 to 2017; and
  • At Penny’s Bay power station, a total of nine air conditioners with HCFCs were replaced, with 16 more air conditioners with HCFCs to be replaced progressively from 2015 to 2017.
With some of the older facilities in some jurisdictions, it is also likely that they still contain ODS and so we will need to manage them as they are or decommissioned or refurbished. For example, in Australia:
  • The Wallerawang power station has PCBs within a number of transformers.  Hence, during the decommissioning phase of Wallerawang, expected to be in the near future, the oil containing PCBs will be drained and replaced with new non-PCB containing substitutes where necessary.
  • R22 refrigerant is still onsite in the Wallerawang plant control room air conditioning system with an estimated quantity of 500kg.  This refrigerant will also be removed when the power plant control room’s air conditioning system is decommissioned in the near future.
  • At Yallourn power station, replacement of the Unit 1 Generator transformer has allowed the removal of 10 kilolitre of low level PCB contaminated oil from the site.
There is a general declining trend in the use of ODS since the ratification of the Montreal Protocol back in 1989 and it is assumed that over time, new equipment and facilities should not contain such substances. CLP will continue to reduce the use of ODS in existing assets and endeavour to prevent use of such substances in new facilities where viable substitutes are possible.
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G4-EN21 NOX, SOX, and other significant air emissions [title]
G4-EN21 a. Report the amount of significant air emissions [title]
For each, report
NOx
Report the amount of significant air emissions, in kilograms or multiples for other standard categories of air emissions identified in relevant regulationskT 74.6
SOx
Report the amount of significant air emissions, in kilograms or multiples for other standard categories of air emissions identified in relevant regulationskT 93.0
Other standard categories of air emissions identified in relevant regulations
Report the amount of significant air emissions, in kilograms or multiples for other standard categories of air emissions identified in relevant regulationskT 11.5
G4-EN21 a. Report the amount of significant air emissions [additional information]Emissions levels from our power stations depend mainly on fuel quality, emissions control technology, and how much electricity is generated. In 2014, we continued to optimise our diversified fuel mix strategy, increase the use of more low emissions coal, enhance the effectiveness of the emissions control facilities and make the best use of natural gas. As we have mentioned on various occasions previously, natural gas supplies from Yacheng gas field continued to shrink, and the new gas available through the Second West-East Gas Pipeline is much more costly. We will continue to adjust our fuel mix to strike a balance between cost and emissions requirements. Despite having to balance the tariff by using more coal, CLP managed to meet the stringent emissions caps set out by the Hong Kong Government in 2014. We are set to meet the caps for 2015, which require CLP to reduce its SO2 emissions by more than 60%, and NOx and RSP emissions by more than 30% respectively from 2010’s levels, while maintaining a reliable electricity supply and a reasonable tariff level.
G4-EN21 b. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used to calculate the amount of NOx, SOx, and other significant air emissionsSee page 17, Assurance and Verification.
G4-EN21 c. Report the source of the emission factors used [title]
Report the source of the emission factors used to calculate the amount of NOx, SOx, and other significant air emissionsSee page 17, Assurance and Verification.
Aspect Effluents and Waste [title]
Aspect Effluents and Waste, G4-DMA [title]
Aspect Effluents and Waste, G4-DMA b [title]
Report how the organization manages the material Aspect Effluents and Waste or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-EN22 Total water discharge by quality and destination [title]
G4-EN22 a. Report the total volume of planned and unplanned water discharges [title]
Report the total volume of planned and unplanned water discharges by destination [title]
For each, report
WastewaterOtherDestinations
Destination nameWastewater to other destinations
Report the total volume of planned and unplanned water dischargesMm3 0.1
WastewaterSewerage
Destination nameWastewater to sewerage
Report the total volume of planned and unplanned water dischargesMm3 1.8
TreatedWastewaterFreshwater
Destination nameTreated wastewater to freshwater bodies
Report the total volume of planned and unplanned water dischargesMm3 14.5
TreatedWastewaterMarineWater
Destination nameTreated wastewater to marine water bodies
Report the total volume of planned and unplanned water dischargesMm3 1.3
CoolingWaterMarineWater
Destination nameCooling water to marine water bodies
Report the total volume of planned and unplanned water dischargesMm3 4,774.5
Report the total volume of planned and unplanned water discharges by quality of the water including treatment method [title]
For each, report
WaterQualityNotSpecified
Water quality treatment method nameThere is an onsite water management system at Tallawarra power station that ensures the return of water to the lake at a quality above the catchment average.
G4-EN22 b. Report standards, methodologies, and assumptions used [title]
Report standards, methodologies, and assumptions used in the calculation of the total water discharge by quality and destinationIn 2014, we had one case of environmental regulatory noncompliance resulting in a fine for a cooling water discharge temperature exceedance, which occurred at Tallawarra power station in Australia and for which we were fined A$1,500. On 11 July, during the weekly thermoshock sequence, the cooling water discharge temperature exceeded the allowable limit of 35°C for four minutes and peaked at 36.6°C. Potential measures to take during the thermoshock sequence to reduce the probability of this recurring, are being explored.
G4-EN23 Total weight of waste by type and disposal method [title]
G4-EN23 a. Report the total weight of hazardous and non-hazardous waste [title]
G4-EN23 a. Report the total weight of hazardous and non-hazardous waste [additional information]
Hazardous solid and liquid waste produced and recycled 2014
Hazardous Solid Waste Produced 484
Hazardous Solid Waste Recycled 89
Hazardous Liquid Waste Produced 2783
Hazardous Liquid Waste Recycled 1463
Non-Hazardous Solid and Liquid Waste Produced and Recycled 2014
Non Hazardous Solid Waste Produced 21142
Non Hazardous Solid Waste Recycled 4172
Non Hazardous Liquid Waste Produced 78
Non Hazardous Liquid Waste Recycled 78
G4-EN24 Total number and volume of significant spills [title]
G4-EN24 a. Report the total number and total volume of recorded significant spills [title]
Report the total number of recorded significant spills0
Report the total volume of recorded significant spillsm3 0
G4-EN24 a. Report the total number and total volume of recorded significant spills [additional information]CLP did not have any significant spills or leakages in 2014.
G4-EN25 Weight of transported, imported, exported, or treated waste deemed hazardous under the terms of the Basel Convention2 Annex I, II, III, and VIII, and percentage of transported waste shipped internationally [title]
Report if information presented for G4-EN25 does not cover the Boundary identified for the material Aspect Effluents and Waste in General Standard Disclosures G4-20 and G4-21Not reported.
G4-EN26 Identity, size, protected status, and biodiversity value of water bodies and related habitats significantly affected by the organizations discharges of water and runof [title]
Report if information presented for G4-EN26 does not cover the Boundary identified for the material Aspect Effluents and Waste in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Products and Services [title]
Aspect Products and Services, G4-DMA [title]
Aspect Products and Services, G4-DMA a [title]
Report why the Aspect Products and Services is materialGreenhouse gas emissions contribute to climate change, which in turn is predicted to cause sea level rise, increasing average global temperature and increasing frequency or intensity of extreme weather events, such as hurricanes and typhoons. This is one of the primary reasons we developed our Climate Change 2050 strategy.
Report the impacts that make the Aspect Products and Services materialSee above.
Aspect Products and Services, G4-DMA b [title]
Report how the organization manages the material Aspect Products and Services or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Products and Services, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Products and ServicesClimate Vision 2050 was publicly announced in 2007 and updated in 2010. It sets out a series of progressive interim targets and ultimate goals to reduce the carbon intensity of our generation portfolio and to increase both the renewable and the noncarbon portions of our generation fleet as a percentage of our total capacity.
Report the results of the evaluation of the management approach for the Aspect Products and ServicesIn 2014, there were no significant increases or decreases in carbon emissions on a facility basis, however our Group total greenhouse gas emissions increased by about 20% due mainly to the addition of the coalfired Mount Piper power station in Australia to the CLP Group portfolio and increased generation output from Yallourn power station.
Report any related adjustments to the management approach for the Aspect Products and ServicesWe recognise that the interim targets we have set for ourselves in our Climate Vision 2050 are challenging and we acknowledge that Government policies will play a key role in determining when we achieve our targets. Nevertheless, we remain committed to working towards our goals and we hope that the UNFCCC COP21 in Paris in 2015 will provide more clarity on how we can move towards a low carbon future.
G4-EN27 Extent of impact mitigation of environmental impacts of products and services [title]
G4-EN27 a. Report quantitatively the extent to which environmental impacts of products and services have been mitigated during the reporting period [title]
Report quantitatively the extent to which environmental impacts of products and services have been mitigated during the reporting periodThe increases in efficiency as described above are one of the ways in which we reduce the environmental impacts of our product because the more efficient our power stations, the more electricity they can produce for the same level of environmental impact.
G4-EN28 Percentage of products sold and their packaging materials that are reclaimed by category [title]
Report if information presented for G4-EN28 does not cover the Boundary identified for the material Aspect Products and Services in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Environmental Compliance [title]
Aspect Environmental Compliance, G4-DMA [title]
Aspect Environmental Compliance, G4-DMA a [title]
Report why the Aspect Environmental Compliance is materialBecause of the importance we place on compliance, we have an external verifier confirm both the number of environmental regulatory noncompliances resulting in fines or prosecutions as well as the number of environmental license limit exceedances and other noncompliances triggered by our operations over the course of the year.
Report the impacts that make the Aspect Environmental Compliance materialSee above.
Aspect Environmental Compliance, G4-DMA b [title]
Report how the organization manages the material Aspect Environmental Compliance or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Environmental Compliance, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Environmental ComplianceCLP has two primary components to its management of environmental impacts with respect to regulation and compliance. The first is to ensure full regulatory compliance in the diverse set of regulatory jurisdictions in which we operate. The second is to both monitor the set of ever evolving environmental regulations which apply to our operations and react to anticipated regulatory developments as necessary – whether this means making specific investments on a plant level basis or adjusting our core business strategy.
G4-EN29 Monetary value of significant fines and total number of nonmonetary sanctions for noncompliance with environmental laws and regulations [title]
G4-EN29 a. Report significant fines and non-monetary sanctions [title]
Report the total monetary value of significant fines for non-compliance with environmental laws and regulationsAUD 1,500
Report the total number value of non-monetary sanctions for non-compliance with environmental laws and regulations0
Report significant fines and non-monetary sanctions for non-compliance with environmental laws and regulations in terms of cases brought through dispute resolution mechanisms
In 2014, we had one case of environmental regulatory non-compliance resulting in a fine for a cooling water discharge temperature exceedance, which occurred at Tallawarra power station in Australia and for which we were fined A$1,500. On 11 July, during the weekly thermoshock sequence, the cooling water discharge temperature exceeded the allowable limit of 35°C for four minutes and peaked at 36.6°C. Potential measures to take during the thermoshock sequence to reduce the probability of this recurring, are being explored.
In addition, we have a legacy case at our Ho-Ping coal-fired power plant in Taiwan in which CLP owns a 20% share. This facility falls outside of our Environmental scope, however given the significance of the case and the fact that we have reported on it in previous Sustainability Reports, we provide an update of the case here. Ho-Ping was fined NT$442 million (equivalent to HK$116 million) for exceeding the coal consumption limit set in its environmental impact assessment report for the years 2009 and 2010. Whilst Ho-Ping has received a favourable judgment from the Taipei High Administrative Court (THAC) against the level of the fine, the Hualien County Government has won its appeal to the Supreme Administrative Court, which subsequently ordered THAC to retry the case. Ho-Ping will continue to defend its position in the upcoming proceedings.
Aspect Transport [title]
Aspect Transport, G4-DMA [title]
Aspect Transport, G4-DMA a [title]
Report why the Aspect Transport is materialWe have a fleet of vehicles which we use mainly for daily operation and network maintenance purposes.
Report the impacts that make the Aspect Transport materialIn order to meet the demands of its role as a financial hub and one of the most developed cities in the region, Hong Kong must have a reliable and efficient electricity supply. CLP helps to ensure that Hong Kong is able to deliver on this requirement by maintaining one of the most reliable electricity systems in the world. The reliability of our system is 99.999%, higher than other major cities such as London, New York and Sydney.
Aspect Transport, G4-DMA b [title]
Report how the organization manages the material Aspect Transport or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-EN30 Significant environmental impacts of transporting products and other goods and materials for the organizations operations, and transporting members of the workforce [title]
G4-EN30 a. Report the significant environmental impacts of transporting products and other goods and materials for the organizations operations, and transporting members of the workforce [title]
Where quantitative data for significant environmental impacts or transporting products and other goods and material for the organization's operations, and transporting members of the workforce is not provided, report the reasonIn 2014, the amounts of petrol and diesel purchased for use in our transportation fleet in our Hong Kong business was 1,287 kilolitres and 500 kilolitres respectively.
G4-EN30 b. Report how the environmental impacts of transporting products, members of the organizations workforce, and other goods and materials are mitigated [title]
Report how the environmental impacts of transporting products, members of the organizations workforce, and other goods and materials are mitigatedWe have a fleet of vehicles which we use mainly for daily operation and network maintenance purposes.
Aspect Overall [title]
Aspect Overall, G4-DMA [title]
Aspect Overall, G4-DMA a [title]
Report why the Aspect Overall is materialAt CLP, we recognise the importance of managing the potential environmental impacts that may arise from our operations, since such impacts can directly or indirectly affect not just the local communities in which we operate, but also the global community as well. Our values and commitments regarding the environment are articulated in CLP’s Value Framework, which is described in the “Our Company” chapter and forms the foundation of how we manage our environmental impacts at CLP.
Report the impacts that make the Aspect Overall materialSee above.
Aspect Overall, G4-DMA b [title]
Report how the organization manages the material Aspect Overall or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Overall, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Overall
In addition to developing voluntary guidelines to build capacity in managing potential or emerging environmental issues, our practice in regards to the precautionary approach, includes:
  • Environmental Impact Assessment (EIA) Standard
  • Climate Adaptation Studies
G4-EN31 Total environmental protection expenditures and investments by type [title]
G4-EN31 a. Report total environmental protection expenditures [title]
G4-EN31 a. Report total environmental protection expenditures [additional information]Because we take an integrated approach to managing our operations, it can be difficult to separate out the costs of environmental-related investments from the rest of the investment in the project as environmental mitigation measures may already be embedded in the original design or certain operational improvements may also have environmental benefits.
Aspect Supplier Environmental Assessment [title]
Aspect Supplier Environmental Assessment, G4-DMA [title]
Aspect Supplier Environmental Assessment, G4-DMA a [title]
Report why the Aspect Supplier Environmental Assessment is materialThe procurement team at CLP meets the company’s business needs and contributes to its competitive advantage through its strategic sourcing expertise, total cost philosophy and efficient procurement processes. The team works collaboratively with “best fit” responsible suppliers to deliver the required products and services on time, to high safety, health, environmental and quality standards, at internationally competitive prices and supported by the most appropriate technology.
Report the impacts that make the Aspect Supplier Environmental Assessment materialSee above.
Aspect Supplier Environmental Assessment, G4-DMA b [title]
Report how the organization manages the material Aspect Supplier Environmental Assessment or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Supplier Environmental Assessment, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Supplier Environmental AssessmentWe continue to engage suppliers during contract execution. An example of this is our Hong Kong business risk based Supplier Assessment System (SAS) which gathers feedback on our own performance as well as that of our key suppliers. In 2014, 14 key suppliers were surveyed under this programme and all responded positively to having practices in place to monitor various aspects of performance and compliance.
Report the results of the evaluation of the management approach for the Aspect Supplier Environmental AssessmentOur monitoring mechanism confirms no significant risk for incidents of child labour, forced or compulsory labour, violation of human rights, violation of right to exercise freedom of association and collective bargaining, bribery and anti-competition. Due to the nature of our business, parts of our supply chain do have room for further improvement on environmental performance. We will continue to engage our suppliers to understand their status and practices and collaborate with them to look for opportunities for improvement. No supplier relationship has been terminated due to the assessment result.
Report any related adjustments to the management approach for the Aspect Supplier Environmental AssessmentThe RePPS Questionnaire helps us to understand our suppliers better and we are progressing to understand their implementation of RePPS practices through some site visits. In 2015, we aim to continue engaging suppliers to further uplift capability in occupational safety and health, and to contribute to minimising environmental impact in energy production and supply.
G4-EN32 Percentage of new suppliers that were screened using environmental criteria [title]
G4-EN32 a. Report the percentage of new suppliers that were screened using environmental criteria [title]
G4-EN32 a. Report the percentage of new suppliers that were screened using environmental criteria [additional information]
Engagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable. Procurement projects with high business criticality including, but not limited to, safety, health, environment and labour practice will be subject to review by a committee comprising of management of the business group and procurement. Fuel purchases are subject to the same engagement principles, although they also take into consideration local business operation requirements and conditions.
When we first rolled out RePPS in 2012, we invited key suppliers to share theirwe invited key suppliers to share their RePPS status and practices throughRePPS status and practices through replying to the RePPS Questionnaire.replying to the RePPS Questionnaire. The RePPS Questionnaire is a tool toThe RePPS Questionnaire is a tool to hhelelpp u uss u undndeersrsttanandd o ouur sur supppplyly c chahaiinn and has been includand has been included in teed in tenders fornders for projects with business criticality sinceprojects with business criticality since 2013.
In addition to the RePPS Questionnaire,In addition to the RePPS Questionnaire, we adopt a risk-based approachwe adopt a risk-based approach to reference suppliers’ RePPSto reference suppliers’ RePPS performance in the supplier selectionperformance in the supplier selection pprrooccesesss f foror c crriittiiccaall p prroojjeeccttss a anndd w wee conduct site visits to understand theseconduct site visits to understand these suppliers’ RePPS implementation. Whensuppliers’ RePPS implementation. When establishing contracts for these criticalestablishing contracts for these critical projects, we have clauses in place forprojects, we have clauses in place for RePPS elements. These critical projectsRePPS elements. These critical projects cover 83% of our total value of buy.cover 83% of our total value of buy.
We continue to engage suppliers duringWe continue to engage suppliers during contract execution. An example ofcontract execution. An example of this is this is our our Hong Hong Kong business Kong business risk-risk-based Supplier Assessment Systembased Supplier Assessment System ((SASASS) wh) whiichch g gatathherers fes feededbbacack onk on our own performance as well as thatour own performance as well as that of our key suppliers. In 2014, 14 keyof our key suppliers. In 2014, 14 key suppliers were surveyed under thissuppliers were surveyed under this programme and all responded positivelyprogramme and all responded positively to havito having practices in place to monitorng practices in place to monitor various aspects of performance andvarious aspects of performance and compliance.compliance.
G4-EN33 Significant actual and potential negative environmental impacts in the supply chain and actions taken [title]
G4-EN33 a. Report the number of suppliers subject to environmental impact assessments [title]
G4-EN33 a. Report the number of suppliers subject to environmental impact assessments [additional information]
Our monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
The RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
G4-EN33 b. Report the number of suppliers identified as having significant actual and potential negative environmental impacts [title]
G4-EN33 b. Report the number of suppliers identified as having significant actual and potential negative environmental impacts [additional information]Our monitoring mechanism confirms no significant risk for incidents of child labour, forced or compulsory labour, violation of human rights, violation of right to exercise freedom of association and collective bargaining, bribery and anti-competition. Due to the nature of our business, parts of our supply chain do have room for further improvement on environmental performance. We will continue to engage our suppliers to understand their status and practices and collaborate with them to look for opportunities for improvement. No supplier relationship has been terminated due to the assessment result.
G4-EN33 d. Report the percentage of suppliers identified as having significant actual and potential negative environmental impacts with which improvements were agreed upon as a result of assessment [title]
G4-EN33 d. Report the percentage of suppliers identified as having significant actual and potential negative environmental impacts with which improvements were agreed upon as a result of assessment [additional information]The RePPS Questionnaire helps us to understand our suppliers better and we are progressing to understand their implementation of RePPS practices through some site visits. In 2015, we aim to continue engaging suppliers to further uplift capability in occupational safety and health, and to contribute to minimising environmental impact in energy production and supply.
G4-EN33 e. Report the percentage of suppliers identified as having significant actual and potential negative environmental impacts with which relationships were terminated as a result of assessment, and why [title]
Report why, as a result of assessment, relationships with suppliers with significant actual and potential negative environmental impacts were terminatedOur monitoring mechanism confirms no significant risk for incidents of child labour, forced or compulsory labour, violation of human rights, violation of right to exercise freedom of association and collective bargaining, bribery and anti-competition. Due to the nature of our business, parts of our supply chain do have room for further improvement on environmental performance. We will continue to engage our suppliers to understand their status and practices and collaborate with them to look for opportunities for improvement. No supplier relationship has been terminated due to the assessment result.
Aspect Environmental Grievance Mechanisms [title]
Aspect Environmental Grievance Mechanisms, G4-DMA [title]
Aspect Environmental Grievance Mechanisms, G4-DMA a [title]
Report why the Aspect Environmental Grievance Mechanisms is materialDue to the fact that our business is highly regulated, formal environmental grievance mechanisms usually reside with the authorities that regulate our business. We currently only track regulatory compliance-related cases and report only on confirmed cases of regulatory non-compliance with legal sanctions. More generally, our existing stakeholder engagement channels as well as public communications channels also allow for informal expression of potential environmental grievances.
Aspect Environmental Grievance Mechanisms, G4-DMA b [title]
Report how the organization manages the material Aspect Environmental Grievance Mechanisms or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-EN34 Number of grievances about environmental impacts filed, addressed, and resolved through formal grievance mechanisms [title]
G4-EN34 a. Report the total number of grievances about environmental impacts filed through formal grievance mechanisms during the reporting period [title]
G4-EN34 a. Report the total number of grievances about environmental impacts filed through formal grievance mechanisms during the reporting period [additional information]Due to the fact that our business is highly regulated, formal environmental grievance mechanisms usually reside with the authorities that regulate our business. We currently only track regulatory compliance-related cases and report only on confirmed cases of regulatory non-compliance with legal sanctions. More generally, our existing stakeholder engagement channels as well as public communications channels also allow for informal expression of potential environmental grievances. Information on submissions through these general channels is managed locally and currently not aggregated or reported at the Group level.
Category Social [title]
Sub-Category Labor Practices and Decent Work [title]
Aspect Employment [title]
Aspect Employment, G4-DMA [title]
Aspect Employment, G4-DMA a [title]
Report why the Aspect Employment is materialAny company is only as good as the people who work in it, and CLP is no exception. Our greatest assets are our employees and they remain a priority. In 2014, our voluntary turnover rates remained below the local market average. Key contributors to our ability to attract and retain staff are competitive remuneration, comprehensive retirement and medical benefits, good vacation provisions and attractive career development opportunities for high performers.
Report the impacts that make the Aspect Employment materialSee above.
Aspect Employment, G4-DMA b [title]
Report how the organization manages the material Aspect Employment or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Employment, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect EmploymentEach of our businesses also carries out an Employee Opinion Survey at appropriate intervals. The purpose of these surveys is to understand the views of employees on a range of matters, and to identify areas of strength and areas we need to strengthen, which will be followed up by the respective management teams. These surveys are administered independently and confidentially, and the overall Employee Engagement and Commitment scores for each country are then benchmarked against the local market norm.
Report the results of the evaluation of the management approach for the Aspect EmploymentAs local market norms vary significantly, it is not appropriate to have a single engagement and commitment score for the whole Group given the geographic diversity of our business. In 2014, our Hong Kong and Mainland China businesses carried out surveys, and the Employee Engagement scores for both were significantly above the local market norms.
G4-LA1 Total number and rates of new employee hires and employee turnover by age group, gender, and region [title]
G4-LA1 a. Report the total number and rate of new employee hires during the reporting period, by age group, gender and region [title]
Report the total number and rate of new employee hires during the reporting period, by region [title]
For each, report
CLPHoldings
Region nameCLP Holdings
HongKong
Region nameHong Kong
Australia
Region nameAustralia
China
Region nameMainland China
India
Region nameIndia
SEAsia
Region nameSE Asia
G4-LA1 b. Report the total number and rate of employee turnover during the reporting period, by age group, gender and region [title]
Report the total number and rate of employee turnover during the reporting period, by region [title]
For each, report
CLPHoldings
Region nameCLP Holdings
HongKong
Region nameHong Kong
Rate of employee turnover0.026
Australia
Region nameAustralia
Rate of employee turnover0.116
China
Region nameMainland China
Rate of employee turnover0.025
India
Region nameIndia
Rate of employee turnover0.132
SEAsia
Region nameSE Asia
G4-LA1 b additional [additional information]
Voluntary Turnover Rate by Region (% of Employees)
2014 2013
Hong Kong 2.6% 1.9%
Mainland China 2.5% 2.6%
India 13.2% 10.1%
Australia 11.6% 9.4%*
*2013 data exclude Mount Piper and Wallerawang staff
Regional Voluntary Turnover Rate by Age Group and Gender in 2014 (% of Employees)
By Age GroupBy Gender
Below 18 18 to 29 30 to 39 40 – 49 50 and Above Male Female
Hong Kong 0.0% 5.1% 4.7% 1.6% 2.6% 2.1% 5.3%
Mainland China 0.0% 7.7% 2.8% 1.0% 2.5% 2.4% 2.9%
India 0.0% 17.3% 13.5% 10.1% 13.2% 13.6% 8.8%
Australia 0.0%- 14.6% 10.5% 10.8% 9.1% 11.1% 11.8%
*Exclude Mount Piper and Wallerawang staff
G4-LA2 Benefits provided to fulltime employees that are not provided to temporary or parttime employees, by significant locations of operation [title]
G4-LA2 a. Benefits provided to fulltime employees that are not provided to temporary or parttime employees, by significant locations of operation [title]
For each, report
HongKong
Significant location of operationHong Kong
G4-LA2 a. Benefits provided to fulltime employees that are not provided to temporary or parttime employees, by significant locations of operation [additional information]It is not our Group policy or market practice to provide the same employment benefits to temporary or part-time staff as to full time or permanent staff. However, the benefits for our temporary and part-time employees are competitive with local market practice and meet or exceed local legal requirements.
G4-LA2 b. Report the definition used for significant locations of operation [title]
Report the definition used for significant locations of operations for Aspect EmploymentHong Kong
G4-LA3 Return to work and retention rates after parental leave, by gender [title]
Report if information presented for G4-LA3 does not cover the Boundary identified for the material Aspect Employment in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Labor-Management Relations [title]
Aspect Labor-Management Relations, G4-DMA [title]
Aspect Labor-Management Relations, G4-DMA b [title]
Report how the organization manages the material Aspect Labor-Management Relations or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-LA4 Minimum notice periods regarding operational changes, including whether these are specified in collective agreements [title]
G4-LA4 a. Report the minimum number of weeks notice typically provided to employees and their elected representatives prior to the implementation of significant operational changes that could substantially affect them [title]
G4-LA4 a. Report the minimum number of weeks notice typically provided to employees and their elected representatives prior to the implementation of significant operational changes that could substantially affect them [additional information]In Australia, we engage in collective bargaining with some employees via certified Enterprise Bargaining Agreements. These agreements include both notice period and provisions for consultation and negotiation. 51% of EnergyAustralia employees are covered by such agreements.
G4-LA4 b. For organizations with collective bargaining agreements, report whether the notice period and provisions for consultation and negotiation are specified in collective agreements [title]
For organizations with collective bargaining agreements, report whether the notice period and provisions for consultation and negotiation are specified in collective agreementsYes
Aspect Occupational Health and Safety [title]
Aspect Occupational Health and Safety, G4-DMA [title]
Aspect Occupational Health and Safety, G4-DMA a [title]
Report why the Aspect Occupational Health and Safety is materialThe second element in the HSSE Management System Standard outlines CLP’s objectives for Occupational Health and Safety (OHS) Management. This element asserts that the achievement of the highest level of Health and Safety performance requires careful selection, training and placement of personnel and provision of proper tools, equipment, personal protection, clear performance standards, and safe work instructions and procedures.
Report the impacts that make the Aspect Occupational Health and Safety materialSee above.
Aspect Occupational Health and Safety, G4-DMA b [title]
Report how the organization manages the material Aspect Occupational Health and Safety or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Occupational Health and Safety, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Occupational Health and SafetyCompany-wide safety efforts are overseen by our Group HSSE Committee, which is comprised of Group level senior management representing each of our regional business units. This committee met three times in 2014. CLP also has a Group level safety and health team dedicated to coordinating and monitoring safety practices across the Group.
G4-LA5 Percentage of total workforce represented in formal joint managementworker health and safety committees that help monitor and advise on occupational health and safety programs [title]
G4-LA5 a. Report the level at which each formal joint management-worker health and safety committee typically operates within the organization [title]
Report the level at which each formal joint management-worker health and safety committee typically operates within the organizationIn addition, each asset has the flexibility to structure their own Safety and Health committees in the manner they believe will best support the Group level policy statement. Different assets have different levels of joint management, worker representation and different approaches to providing the relevant safety and health training and monitoring of the percentage of contractors that have undergone it. Because of this decentralised approach, we do not track these numbers at the Group level. However there is a safety training requirement included in the employment contracts for all contractors. Therefore we expect 100% of our contractors to have received the safety training that is relevant for their duties.
G4-LA5 b. Report the percentage of the total workforce represented in formal joint management-worker health and safety committees [title]
G4-LA5 b. Report the percentage of the total workforce represented in formal joint management-worker health and safety committees [additional information]In addition, each asset has the flexibility to structure their own Safety and Health committees in the manner they believe will best support the Group level policy statement. Different assets have different levels of joint management, worker representation and different approaches to providing the relevant safety and health training and monitoring of the percentage of contractors that have undergone it. Because of this decentralised approach, we do not track these numbers at the Group level. However there is a safety training requirement included in the employment contracts for all contractors. Therefore we expect 100% of our contractors to have received the safety training that is relevant for their duties.
G4-LA6 Type of injury and rates of injury, occupational diseases, lost days, and absenteeism, and total number of workrelated fatalities, by region and by gender [title]
G4-LA6 a. Report types of injury, injury rate (IR), occupational diseases rate (ODR), lost day rate (LDR), absentee rate (AR) and work-related fatalities, for the total workforce, by region and gender [title]
Report types of injury, injury rate (IR), occupational diseases rate (ODR), lost day rate (LDR), absentee rate (AR) and work-related fatalities, for the total workforce, by region [title]
For each, report
CLPHoldings
Region nameCLP Holdings
Injury rate for workforce0.00
Occupational diseases rate for workforce0
Lost day rate for workforce0
Work-related fatalities for workforce0
HongKong
Region nameHong Kong
Injury rate for workforce0.11
Occupational diseases rate for workforce0
Lost day rate for workforce76
Work-related fatalities for workforce0
Australia
Region nameAustralia
Injury rate for workforce0.42
Occupational diseases rate for workforce0
Lost day rate for workforce29
Work-related fatalities for workforce0
China
Region nameMainland China
Injury rate for workforce0.44
Occupational diseases rate for workforce0
Lost day rate for workforce0
Work-related fatalities for workforce0
India
Region nameIndia
Injury rate for workforce0.71
Occupational diseases rate for workforce0
Lost day rate for workforce0
Work-related fatalities for workforce0
SEAsia
Region nameSE Asia
G4-LA6 b. Report types of injury, injury rate (IR), occupational diseases rate (ODR), lost day rate (LDR), absentee rate (AR) and work-related fatalities for independent contractors working on-site to whom the organization is liable for the general safety of the
working environment, by region and gender [title]
Report types of injury, injury rate (IR), occupational diseases rate (ODR), lost day rate (LDR), absentee rate (AR) and work-related fatalities for independent contractors working on-site to whom the organization is liable for the general safety of the working environment, by region [title]
For each, report
CLPHoldings
Region nameCLP Holdings
Injury rate for independent contractors0.83
Work-related fatalities for independent contractors0
HongKong
Region nameHong Kong
Injury rate for independent contractors0.21
Work-related fatalities for independent contractors0
Australia
Region nameAustralia
Injury rate for independent contractors1.88
Work-related fatalities for independent contractors0
China
Region nameMainland China
Injury rate for independent contractors0.26
Work-related fatalities for independent contractors0
India
Region nameIndia
Injury rate for independent contractors0.88
Work-related fatalities for independent contractors1
SEAsia
Region nameSE Asia
G4-LA6 b. Report types of injury, injury rate (IR), occupational diseases rate (ODR), lost day rate (LDR), absentee rate (AR) and work-related fatalities for independent contractors working on-site to whom the organization is liable for the general safety of the
working environment, by region and gender [additional information]
CLP reports its safety performance on an annual basis using a number of metrics, however the most common benchmarks in our industry are the Lost Time Injury Rate (LTIR) and Total Recordable Injury Rate (TRIR). They refer to the number of lost time injuries or recordable injuries measured over 200,000 working hours of exposure, which is equivalent to around 100 people working for one year. We also report on the number of occupational diseases, although we do not have any workers involved in occupational activities who have high incidence or high risk of diseases related to their occupation.
Our employee LTIR has been on an overall declining trend since 2008. Our combined employee and contractor LTIR improved in 2014 because we had a total of 23 lost time injuries recorded, down from 33 in 2013. Our combined employee and contractor TRIR remained steady in 2014.
Despite this performance, we did report a fatality at our Tejuva wind farm construction site on 2 October 2014. This involved an employee of one of the contractors of the project developer at its batching plant when a truck was being reversed into the parking area.
An independent accident investigation panel was set up to look into the root cause of the incident. The panel’s recommendations were adopted and some have already been implemented, such as improving lighting conditions and providing clearer signage, to avoid similar incidents from arising in the future.
G4-LA6 c. Report the system of rules applied in recording and reporting accident statistics [title]
Report the system of rules applied in recording and reporting accident statisticsIn addition to these objectives, the Group Safety and Health Committee reviews CLP’s safety performance on a quarterly basis. A list of those facilities under our operational control as well as a summary of their various safety systems is presented below.
G4-LA7 Workers with high incidence or high risk of diseases related to their occupation [title]
G4-LA7 a. Report whether there are workers who are involved in occupational activities who have a high incidence or high risk of specific diseases [title]
G4-LA7 a. Report whether there are workers who are involved in occupational activities who have a high incidence or high risk of specific diseases [additional information]We also report on the number of occupational diseases, although we do not have any workers involved in occupational activities who have high incidence or high risk of diseases related to their occupation.
G4-LA8 Health and safety topics covered in formal agreements with trade unions [title]
Report if information presented for G4-LA8 does not cover the Boundary identified for the material Aspect Occupational Health and Safety in General Standard Disclosures G4-20 and G4-21Not reported
Aspect Training and Education [title]
Aspect Training and Education, G4-DMA [title]
Aspect Training and Education, G4-DMA a [title]
Report why the Aspect Training and Education is material
Whilst it is well recognised that the majority of individual development is derived from on-the-job experience, we are also committed to maintaining our investment in formal training and development programmes.
Training activities include job-specific skills, generic management or supervisory skills, and language training. They are delivered both internally and through attendance at external courses and conferences.
Aspect Training and Education, G4-DMA b [title]
Report how the organization manages the material Aspect Training and Education or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-LA9 Average hours of training per year per employee by gender, and by employee category [title]
G4-LA9 a. Report the average hours of training that the organizations employees have undertaken during the reporting period, by gender and employee category [title]
Report the average hours of training that the organizations employees have undertaken during the reporting period, by gender [title]
For each, report
Female
Average hours of training27 hours and 6 minutes
Male
Average hours of training48 hours and 42 minutes
Report the average hours of training that the organizations employees have undertaken during the reporting period, by employee category [title]
For each, report
Managerial
Employee category nameManagerial
Average hours of training24 hours and 6 minutes
Professional
Employee category nameProfessional
Average hours of training38 hours and 36 minutes
GeneralTechnicalStaff
Employee category nameGeneral & Technical Staff
Average hours of training49 hours and 12 minutes
G4-LA9 a. Report the average hours of training that the organizations employees have undertaken during the reporting period, by gender and employee category [additional information]Training activities include job-specific skills, generic management or supervisory skills, and language training. They are delivered both internally and through attendance at external courses and conferences. Average training per employee in 2014 was 43.4 hours compared to average training per employee of 5.5 man days, in 2013.
G4-LA10 Programs for skills management and lifelong learning that support the continued employability of employees and assist them in managing career endings [title]
G4-LA10 a. Report on the type and scope of programs implemented and assistance provided to upgrade employee skills [title]
Report on the type and scope of programs implemented and assistance provided to upgrade employee skills
To support our succession planning process we run a number of regular management development programs at the Group level to identify successors and other high potential staff. In addition to their formal development content, these programmes strengthen personal networks across the Group and expose participants to a cross-cultural learning environment. In 2014, a number of our employees took part in the following programmes:
  • 21 employees from across the Group attended the Personal leadership programme at the Institute for Management Development;
  • 18 employees attended the Accelerating Management Talent consortium programme at Richard Ivey University of Western Ontario;
  • 15 employees from across the Group competed with teams from other regional organisations in the Hong Kong Challenge; and
  • 8 employees attended the Tsinghua Executive Consortium programme.
In addition to these programmes we had a number of individual attendees at programmes including the World Business Council for Sustainable Development Future Leaders Programme.
G4-LA10 b. Report on the transition assistance programs provided to facilitate continued employability and the management of career endings resulting from retirement or termination of employment [title]
Report on the transition assistance programs provided to facilitate continued employability and the management of career endings resulting from retirement or termination of employmentTo assist our employees plan for retirement, we offer pre-retirement courses at local level. In some cases we also offer support to employees whose contract of employment has been terminated, such as counselling or outplacement. However, the provision of such support in termination cases is dependent on the reasons for the termination.
G4-LA11 Percentage of employees receiving regular performance and career development reviews, by gender and by employee category [title]
G4-LA11 a. Report the percentage of total employees by gender and by employee category who received a regular performance and career development review during the reporting period [title]
Report the percentage of total employees who received a regular performance and career development review during the reporting period, by employee category [title]
For each, report
Managerial
Employee category nameManagerial
Professional
Employee category nameProfessional
GeneralTechnicalStaff
Employee category nameGeneral & Technical Staff
G4-LA11 a. Report the percentage of total employees by gender and by employee category who received a regular performance and career development review during the reporting period [additional information]Our career development opportunities reflect our high rate of internal promotion compared to external recruitment, and this is based on our strong management development and succession planning process. For example, of our current 10 members of Senior Management, two were external appointments and eight internal promotions. One component of career development is regular career performance and development reviews. Through our structured Performance Management System (PMS), 100% of our employees annually set individual objectives.
Aspect Diversity and Equal Opportunity [title]
Aspect Diversity and Equal Opportunity, G4-DMA [title]
Aspect Diversity and Equal Opportunity, G4-DMA a [title]
Report why the Aspect Diversity and Equal Opportunity is materialThe Nomination Committee has been charged with the review of the Board Diversity Policy on a periodic basis. In 2013, the Nomination Committee endorsed the approach of review of the Policy that it may take the form of an analysis of the Board in the different aspects of diversity having regard to the sustainable development of the Company, supplemented with shareholders’ feedback on the diversity of the Board and its overall effectiveness in promoting shareholders’ interests.
Report the impacts that make the Aspect Diversity and Equal Opportunity materialSee above.
Aspect Diversity and Equal Opportunity, G4-DMA b [title]
Report how the organization manages the material Aspect Diversity and Equal Opportunity or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-LA12 Composition of governance bodies and breakdown of employees per employee category according to gender, age group, minority group membership, and other indicators of diversity [title]
G4-LA12 a. Report the percentage of individuals within the organizations governance bodies by gender, age group, minority groups, or other indicators of diversity where relevant [title]
Report the percentage of individuals within the organizations governance bodies, by gender [title]
For each, report
Female
Percentage of individuals within the organizations governance bodies0.143
Male
Percentage of individuals within the organizations governance bodies0.857
Report the percentage of individuals within the organizations governance bodies, by age group [title]
For each, report
Under thirty
Percentage of individuals within the organizations governance bodies0.000
Between thirty and fifty
Percentage of individuals within the organizations governance bodies0.000
Over fifty
Percentage of individuals within the organizations governance bodies1.000
Report the percentage of individuals within the organizations governance bodies, by minority group [title]
For each, report
PublicAdministration
Minority group namePublic Administration
Percentage of individuals within the organizations governance bodies0.0556
Engineering
Minority group nameEngineering
Percentage of individuals within the organizations governance bodies0.1667
Legal
Minority group nameLegal
Percentage of individuals within the organizations governance bodies0.1110
Accounting
Minority group nameAccounting
Percentage of individuals within the organizations governance bodies0.2278
Business
Minority group nameBusiness
Percentage of individuals within the organizations governance bodies0.3889
Report the percentage of individuals within the organizations governance bodies, by other indicators of diversity where relevant [title]
For each, report
Indian
Other diversity indicatorIndian
Percentage of individuals within the organizations governance bodies0.0714
Chinese
Other diversity indicatorChinese
Percentage of individuals within the organizations governance bodies0.2143
Australian
Other diversity indicatorAustralian
Percentage of individuals within the organizations governance bodies0.2143
British
Other diversity indicatorBritish
Percentage of individuals within the organizations governance bodies0.5000
G4-LA12 b. Report the percentage of employees per employee category by gender, age group, minority groups, or other indicators of diversity where relevant [title]
G4-LA12 b. Report the percentage of employees per employee category by gender, age group, minority groups, or other indicators of diversity where relevant [additional information]
%of employeesManagerialProfessionalGeneral& Technical Staff
Male Female Male Female Male Female
Hong Kong 76.9% 23.1% 80.1% 19.9% 84.8% 15.2%
Mainland China 78.3% 21.7% 85.7% 14.3% 75.5% 24.5%
India 94.9% 5.1% 93.7% 6.3% 83.8% 16.2%
Australia 73.8% 26.2% 62.1% 37.9% 47.2% 52.8%
Aspect Equal Remuneration for Women and Men [title]
Aspect Equal Remuneration for Women and Men, G4-DMA [title]
Aspect Equal Remuneration for Women and Men, G4-DMA a [title]
Report why the Aspect Equal Remuneration for Women and Men is materialIn each country we operate in, as a minimum standard, our local HR policies comply with all relevant local rules and regulations on compensation and dismissal, recruitment and promotion, working hours, rest periods, equal opportunity, diversity and other benefits and welfare. We also comply fully with any local legal requirements with respect to the minimum wage. In practice, our policies and remuneration and benefits often significantly exceed local legal requirements.
Report the impacts that make the Aspect Equal Remuneration for Women and Men materialSee above.
Aspect Equal Remuneration for Women and Men, G4-DMA b [title]
Report how the organization manages the material Aspect Equal Remuneration for Women and Men or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-LA13 Ratio of basic salary and remuneration of women to men by employee category, by significant locations of operation [title]
G4-LA13 a. Report the ratio of the basic salary and remuneration of women to men for each employee category, by significant locations of operation [title]
G4-LA13 a. Report the ratio of the basic salary and remuneration of women to men for each employee category, by significant locations of operation [additional information]Our approach to the remuneration of men and women is based on equal opportunity and non-discrimination. We apply the same level and structure of remuneration for men and women, and there are no differences in how their pay is determined.
G4-LA13 b. Report the definition used for significant locations of operation [title]
Report the definition used for significant locations of operations for Aspect Equal Remuneration for Women and MenHong Kong
Aspect Supplier Assessment for Labor Practices [title]
Aspect Supplier Assessment for Labor Practices, G4-DMA [title]
Aspect Supplier Assessment for Labor Practices, G4-DMA a [title]
Report why the Aspect Supplier Assessment for Labor Practices is materialEngagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable. Procurement projects with high business criticality including, but not limited to, safety, health, environment and labour practice will be subject to review by a committee comprising of management of the business group and procurement.
Report the impacts that make the Aspect Supplier Assessment for Labor Practices materialSee above.
Aspect Supplier Assessment for Labor Practices, G4-DMA b [title]
Report how the organization manages the material Aspect Supplier Assessment for Labor Practices or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Supplier Assessment for Labor Practices, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Supplier Assessment for Labor PracticesWe believe it is equally important to provide training and capacity building to both our own employees and also our contractors in order to have good contract management. In 2014, we had a training and recognition program to strengthen the contract management capabilities of our business functions. We also invited the Labour Department to conduct a briefing to our business functions and contractors on Employment Ordinance. Through joint efforts between CLP and contractors, we helped some contractors to manage potential labour practice issues.
Report the results of the evaluation of the management approach for the Aspect Supplier Assessment for Labor PracticesSee above.
Report any related adjustments to the management approach for the Aspect Supplier Assessment for Labor PracticesSee above.
G4-LA14 Percentage of new suppliers that were screened using labor practices criteria [title]
G4-LA14 a. Report the percentage of new suppliers that were screened using labor practices criteria [title]
G4-LA14 a. Report the percentage of new suppliers that were screened using labor practices criteria [additional information]
Engagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable. Procurement projects with high business criticality including, but not limited to, safety, health, environment and labour practice will be subject to review by a committee comprising of management of the business group and procurement. Fuel purchases are subject to the same engagement principles, although they also take into consideration local business operation requirements and conditions.
When we first rolled out RePPS in 2012, we invited key suppliers to share theirwe invited key suppliers to share their RePPS status and practices throughRePPS status and practices through replying to the RePPS Questionnaire.replying to the RePPS Questionnaire. The RePPS Questionnaire is a tool toThe RePPS Questionnaire is a tool to hhelelpp u uss u undndeersrsttanandd o ouur sur supppplyly c chahaiinn and has been includand has been included in teed in tenders fornders for projects with business criticality sinceprojects with business criticality since 2013.
In addition to the RePPS Questionnaire,In addition to the RePPS Questionnaire, we adopt a risk-based approachwe adopt a risk-based approach to reference suppliers’ RePPSto reference suppliers’ RePPS performance in the supplier selectionperformance in the supplier selection pprrooccesesss f foror c crriittiiccaall p prroojjeeccttss a anndd w wee conduct site visits to understand theseconduct site visits to understand these suppliers’ RePPS implementation. Whensuppliers’ RePPS implementation. When establishing contracts for these criticalestablishing contracts for these critical projects, we have clauses in place forprojects, we have clauses in place for RePPS elements. These critical projectsRePPS elements. These critical projects cover 83% of our total value of buy.cover 83% of our total value of buy.
We continue to engage suppliers duringWe continue to engage suppliers during contract execution. An example ofcontract execution. An example of this is this is our our Hong Hong Kong business Kong business risk-risk-based Supplier Assessment Systembased Supplier Assessment System ((SASASS) wh) whiichch g gatathherers fes feededbbacack onk on our own performance as well as thatour own performance as well as that of our key suppliers. In 2014, 14 keyof our key suppliers. In 2014, 14 key suppliers were surveyed under thissuppliers were surveyed under this programme and all responded positivelyprogramme and all responded positively to havito having practices in place to monitorng practices in place to monitor various aspects of performance andvarious aspects of performance and compliance.compliance.
G4-LA15 Significant actual and potential negative impacts for labor practices in the supply chain and actions taken [title]
G4-LA15 a. Report the number of suppliers subject to impact assessments for labor practices [title]
G4-LA15 a. Report the number of suppliers subject to impact assessments for labor practices [additional information]
Our monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
The RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
G4-LA15 b. Report the number of suppliers identified as having significant actual and potential negative impacts for labor practices [title]
G4-LA15 b. Report the number of suppliers identified as having significant actual and potential negative impacts for labor practices [additional information]Through joint efforts between CLP and contractors, we helped some contractors to manage potential labour practice issues.
G4-LA15 e. Report the percentage of suppliers identified as having significant actual and potential negative impacts for labor practices with which relationships were terminated as a result of assessment, and why [title]
Report why the relationships were terminated with suppliers that were identified as having significant actual and potential negative impacts for labor practicesNo supplier relationship has been terminated due to the assessment result.
Aspect Labor Practices Grievance Mechanisms [title]
Aspect Labor Practices Grievance Mechanisms, G4-DMA [title]
Aspect Labor Practices Grievance Mechanisms, G4-DMA a [title]
Report why the Aspect Labor Practices Grievance Mechanisms is materialEach of our businesses has an employee grievance procedure in place that reflects our Value Framework and any applicable local legal requirements. For example, in Hong Kong, CLP’s Grievance Resolution Policy encourages employees to discuss issues freely and openly with their supervisors. They are encouraged to bring issues forward to the Human Resources Department or higher level of management if they think the issues are not resolved or are being unjustly handled. There will be no discrimination, coercion or retaliation for doing so.
Report the impacts that make the Aspect Labor Practices Grievance Mechanisms materialAs above.
Aspect Labor Practices Grievance Mechanisms, G4-DMA b [title]
Report how the organization manages the material Aspect Labor Practices Grievance Mechanisms or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Labor Practices Grievance Mechanisms, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Labor Practices Grievance MechanismsIn the case of any employee having concerns, we follow established procedures to address grievances. We investigate all complaints of discrimination and harassment. These procedures ensure fairness and independence in the investigation process, and respect for the confidentiality of the parties involved. In Hong Kong and Australia, complaints may also be made to relevant external bodies such as the Human Rights and Equal Opportunity Commission in Australia.
G4-LA16 Number of grievances about labor practices filed, addressed, and resolved through formal grievance mechanisms [title]
G4-LA16 a. Report the total number of grievances about labor practices filed through formal grievance mechanisms during the reporting period [title]
Report the total number of grievances about labor practices filed through formal grievance mechanisms during the reporting period14
G4-LA16 a. Report the total number of grievances about labor practices filed through formal grievance mechanisms during the reporting period [additional information]In 2014, claims were filed by 14 employees with the Hong Kong Labour Tribunal, requesting compensation in relation to standby duties performed in previous years.
G4-LA16 b. Of the identified grievances, report how many were addressed and resolved [title]
Report how many grievances about labor practices filed through formal grievance mechanisms were addressed during the reporting period1
Report how many grievances about labor practices filed through formal grievance mechanisms were resolved during the reporting period3
G4-LA16 b. Of the identified grievances, report how many were addressed and resolved [additional information]The company managed to resolve the matter through negotiation with 3 of the claimants and 1 claim was withdrawn.
G4-LA16 c. Report the total number of grievances about labor practices filed prior to the reporting period that were resolved during the reporting period [title]
Report the total number of grievances about labor practices filed prior to the reporting period that were resolved during the reporting period10
G4-LA16 c. Report the total number of grievances about labor practices filed prior to the reporting period that were resolved during the reporting period [additional information]Of the remaining 10 claims, 4 claims will be heard by the Tribunal in March 2015, 6 claims were adjourned, pending the outcome of the 4 representative cases.
Sub-Category Human Rights [title]
Aspect Investment [title]
Aspect Investment, G4-DMA [title]
Aspect Investment, G4-DMA a [title]
Report why the Aspect Investment is materialTo provide an indication of whether our significant investment agreements and contracts include human rights clauses, CLP reports the percentage of funding for the new projects in our portfolio that was provided by banks which have adopted the Equator Principles. In 2014, about a quarter of the funding our projects received came from Equator Principle banks.
Report the impacts that make the Aspect Investment materialSee above.
Aspect Investment, G4-DMA b [title]
Report how the organization manages the material Aspect Investment or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Investment, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect InvestmentWe do not conduct formal human rights reviews or impact assessments on our assets. We believe our ongoing engagement with various stakeholders and communities in which we operate will provide feedback to us should significant issues arise.
G4-HR1 Total number and percentage of significant investment agreements and contracts that include human rights clauses or that underwent human rights screening [title]
G4-HR1 a. Report the total number and percentage of significant investment agreements and contracts that include human rights clauses or that underwent human rights screening [title]
G4-HR1 a. Report the total number and percentage of significant investment agreements and contracts that include human rights clauses or that underwent human rights screening [additional information]To provide an indication of whether our significant investment agreements and contracts include human rights clauses, CLP reports the percentage of funding for the new projects in our portfolio that was provided by banks which have adopted the Equator Principles. In 2014, roughly a quarter of the funding our projects received came from Equator Principle banks.
G4-HR2 Total hours of employee training on human rights policies or procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained [title]
Report if information presented for G4-HR2 does not cover the Boundary identified for the material Aspect Investment in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Non-discrimination [title]
Aspect Non-discrimination, G4-DMA [title]
Aspect Non-discrimination, G4-DMA a [title]
Report why the Aspect Non-discrimination is material
Our Group wide policy is to hire the most suitable and capable individuals without any discrimination. We place great importance on treating employees fairly, including ensuring a fair wage, fair working hours and fair treatment regardless of gender, race or other measures of diversity.
Our approach to the remuneration of men and women is based on equal opportunity and non-discrimination. We apply the same level and structure of remuneration for men and women, and there are no differences in how their pay is determined.
Report the impacts that make the Aspect Non-discrimination materialSee above.
Aspect Non-discrimination, G4-DMA b [title]
Report how the organization manages the material Aspect Non-discrimination or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Non-discrimination, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Non-discriminationIn the case of any employee having concerns, we follow established procedures to address grievances. We investigate all complaints of discrimination and harassment. These procedures ensure fairness and independence in the investigation process, and respect for the confidentiality of the parties involved. In Hong Kong and Australia, complaints may also be made to relevant external bodies such as the Human Rights and Equal Opportunity Commission in Australia.
G4-HR3 Total number of incidents of discrimination and corrective actions taken [title]
G4-HR3 a. Report the total number of incidents of discrimination during the reporting period [title]
Report the total number of incidents of discrimination during the reporting period0
Aspect Freedom of Association and Collective Bargaining [title]
Aspect Freedom of Association and Collective Bargaining, G4-DMA [title]
Aspect Freedom of Association and Collective Bargaining, G4-DMA a [title]
Report why the Aspect Freedom of Association and Collective Bargaining is materialEngagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable.
Report the impacts that make the Aspect Freedom of Association and Collective Bargaining materialWe encourage all our suppliers to abide by the principles of our Code of Conduct and require them to adopt similar standards and practices, levels of integrity and transparency in doing business with us. Under our Whistleblowing Policy, CLP encourages employees and related third parties to confidentially report any misconduct, malpractice or irregularities in any matters related to the Company. Our Code of Conduct and Whistleblowing Policy are available from our website.
Aspect Freedom of Association and Collective Bargaining, G4-DMA b [title]
Report how the organization manages the material Aspect Freedom of Association and Collective Bargaining or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-HR4 Operations and suppliers identified in which the right to exercise freedom of association and collective bargaining may be violated or at significant risk, and measures taken to support these rights [title]
G4-HR4 a. Report operations and suppliers in which employee rights to exercise freedom of association or collective bargaining may be violated or at significant risk [title]
Report operations and suppliers in which employee rights to exercise freedom of association or collective bargaining may be violated or at significant risk either in terms of type of operation (such as manufacturing plant) and supplierOur monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
G4-HR4 b. Report measures taken by the organization in the reporting period intended to support rights to exercise freedom of association and collective bargaining [title]
Report measures taken by the organization in the reporting period intended to support rights to exercise freedom of association and collective bargainingThe RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
Aspect Child Labor [title]
Aspect Child Labor, G4-DMA [title]
Aspect Child Labor, G4-DMA a [title]
Report why the Aspect Child Labor is materialEngagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable.
Report the impacts that make the Aspect Child Labor materialWe encourage all our suppliers to abide by the principles of our Code of Conduct and require them to adopt similar standards and practices, levels of integrity and transparency in doing business with us. Under our Whistleblowing Policy, CLP encourages employees and related third parties to confidentially report any misconduct, malpractice or irregularities in any matters related to the Company. Our Code of Conduct and Whistleblowing Policy are available from our website.
Aspect Child Labor, G4-DMA b [title]
Report how the organization manages the material Aspect Child Labor or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-HR5 Operations and suppliers identified as having significant risk for incidents of child labor, and measures taken to contribute to the effective abolition of child labor [title]
G4-HR5 a. Report operations and suppliers considered to have significant risk [title]
Report operations and suppliers considered to have significant risk for incidents of child laborOur monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
Report operations and suppliers considered to have significant risk for incidents of young workers exposed to hazardous workCLP prohibits the employment of child, forced or compulsory labour in any of our operations. In 2014 we have not identified any operation or supplier as having significant risks of child labour, young workers exposed to hazardous works, or forced or compulsory labour.
G4-HR5 b. Report operations and suppliers considered to have significant risk for incidents of child labor [title]
Report operations and suppliers considered to have significant risk for incidents of child labor either in terms of type of operation (such as manufacturing plant) and supplierSee above.
G4-HR5 c. Report measures taken by the organization in the reporting period intended to contribute to the effective abolition of child labor [title]
Report measures taken by the organization in the reporting period intended to contribute to the effective abolition of child laborThe RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
Aspect Forced or Compulsory Labor [title]
Aspect Forced or Compulsory Labor, G4-DMA [title]
Aspect Forced or Compulsory Labor, G4-DMA a [title]
Report why the Aspect Forced or Compulsory Labor is materialEngagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable.
Report the impacts that make the Aspect Forced or Compulsory Labor materialWe encourage all our suppliers to abide by the principles of our Code of Conduct and require them to adopt similar standards and practices, levels of integrity and transparency in doing business with us. Under our Whistleblowing Policy, CLP encourages employees and related third parties to confidentially report any misconduct, malpractice or irregularities in any matters related to the Company. Our Code of Conduct and Whistleblowing Policy are available from our website.
Aspect Forced or Compulsory Labor, G4-DMA b [title]
Report how the organization manages the material Aspect Forced or Compulsory Labor or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-HR6 Operations and suppliers identified as having significant risk for incidents of forced or compulsory labor, and measures to contribute to the elimination of all forms of forced or compulsory labor [title]
G4-HR6 a. Report operations and suppliers considered to have significant risk for incidents of forced or compulsory labor [title]
Report operations and suppliers considered to have significant risk for incidents of forced or compulsory labor in terms of type of operation (such as manufacturing plant) and supplierOur monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
G4-HR6 b. Report measures taken by the organization in the reporting period intended to contribute to the elimination of all forms of forced or compulsory labor [title]
Report measures taken by the organization in the reporting period intended to contribute to the elimination of all forms of forced or compulsory laborThe RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
Aspect Assessment [title]
Aspect Assessment, G4-DMA [title]
Aspect Assessment, G4-DMA a [title]
Report why the Aspect Assessment is materialWe do not conduct formal human rights reviews or impact assessments on our assets. We believe our ongoing engagement with various stakeholders and communities in which we operate will provide feedback to us should significant issues arise.
Aspect Assessment, G4-DMA b [title]
Report how the organization manages the material Aspect Assessment or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-HR9 Total number and percentage of operations that have been subject to human rights reviews or impact assessments [title]
G4-HR9 a. Report the total number and percentage of operations that have been subject to human rights reviews or human rights impact assessments, by country [title]
G4-HR9 a. Report the total number and percentage of operations that have been subject to human rights reviews or human rights impact assessments, by country [additional information]We do not conduct formal human rights reviews or impact assessments on our assets. We believe our ongoing engagement with various stakeholders and communities in which we operate will provide feedback to us should significant issues arise.
Aspect Supplier Human Rights Assessment [title]
Aspect Supplier Human Rights Assessment, G4-DMA [title]
Aspect Supplier Human Rights Assessment, G4-DMA a [title]
Report why the Aspect Supplier Human Rights Assessment is materialEngagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable.
Report the impacts that make the Aspect Supplier Human Rights Assessment materialWe encourage all our suppliers to abide by the principles of our Code of Conduct and require them to adopt similar standards and practices, levels of integrity and transparency in doing business with us. Under our Whistleblowing Policy, CLP encourages employees and related third parties to confidentially report any misconduct, malpractice or irregularities in any matters related to the Company. Our Code of Conduct and Whistleblowing Policy are available from our website.
Aspect Supplier Human Rights Assessment, G4-DMA b [title]
Report how the organization manages the material Aspect Supplier Human Rights Assessment or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-HR10 Percentage of new suppliers that were screened using human rights criteria [title]
G4-HR10 a. Report the percentage of new suppliers that were screened using human rights criteria [title]
G4-HR10 a. Report the percentage of new suppliers that were screened using human rights criteria [additional information]
Engagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable. Procurement projects with high business criticality including, but not limited to, safety, health, environment and labour practice will be subject to review by a committee comprising of management of the business group and procurement. Fuel purchases are subject to the same engagement principles, although they also take into consideration local business operation requirements and conditions.
When we first rolled out RePPS in 2012, we invited key suppliers to share theirwe invited key suppliers to share their RePPS status and practices throughRePPS status and practices through replying to the RePPS Questionnaire.replying to the RePPS Questionnaire. The RePPS Questionnaire is a tool toThe RePPS Questionnaire is a tool to hhelelpp u uss u undndeersrsttanandd o ouur sur supppplyly c chahaiinn and has been includand has been included in teed in tenders fornders for projects with business criticality sinceprojects with business criticality since 2013.
In addition to the RePPS Questionnaire,In addition to the RePPS Questionnaire, we adopt a risk-based approachwe adopt a risk-based approach to reference suppliers’ RePPSto reference suppliers’ RePPS performance in the supplier selectionperformance in the supplier selection pprrooccesesss f foror c crriittiiccaall p prroojjeeccttss a anndd w wee conduct site visits to understand theseconduct site visits to understand these suppliers’ RePPS implementation. Whensuppliers’ RePPS implementation. When establishing contracts for these criticalestablishing contracts for these critical projects, we have clauses in place forprojects, we have clauses in place for RePPS elements. These critical projectsRePPS elements. These critical projects cover 83% of our total value of buy.cover 83% of our total value of buy.
We continue to engage suppliers duringWe continue to engage suppliers during contract execution. An example ofcontract execution. An example of this is this is our our Hong Hong Kong business Kong business risk-risk-based Supplier Assessment Systembased Supplier Assessment System ((SASASS) wh) whiichch g gatathherers fes feededbbacack onk on our own performance as well as thatour own performance as well as that of our key suppliers. In 2014, 14 keyof our key suppliers. In 2014, 14 key suppliers were surveyed under thissuppliers were surveyed under this programme and all responded positivelyprogramme and all responded positively to havito having practices in place to monitorng practices in place to monitor various aspects of performance andvarious aspects of performance and compliance.compliance.
G4-HR11 Significant actual and potential negative human rights impacts in the supply chain and actions taken [title]
G4-HR11 a. Report the number of suppliers subject to human rights impact assessments [title]
G4-HR11 a. Report the number of suppliers subject to human rights impact assessments [additional information]
Our monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
The RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
G4-HR11 b. Report the number of suppliers identified as having significant actual and potential negative human rights impacts [title]
G4-HR11 b. Report the number of suppliers identified as having significant actual and potential negative human rights impacts [additional information]Our monitoring mechanism confirms no significant risk for incidents of child labour, forced or compulsory labour, violation of human rights, violation of right to exercise freedom of association and collective bargaining, bribery and anti-competition.
G4-HR11 c. Report the significant actual and potential negative human rights impacts identified in the supply chain [title]
Report the significant actual and potential negative human rights impacts identified in the supply chainSee above.
G4-HR11 e. Report the percentage of suppliers identified as having significant actual and potential negative human rights impacts with which relationships were terminated as a result of assessment, and why [title]
Report why relationships with suppliers were terminated as a result of assessment of having significant actual and potential negative human rights impactsWe will continue to engage our suppliers to understand their status and practices and collaborate with them to look for opportunities for improvement. No supplier relationship has been terminated due to the assessment result.
Aspect Human Rights Grievance Mechanisms [title]
Aspect Human Rights Grievance Mechanisms, G4-DMA [title]
Aspect Human Rights Grievance Mechanisms, G4-DMA a [title]
Report why the Aspect Human Rights Grievance Mechanisms is materialEach of our businesses has an employee grievance procedure in place that reflects our Value Framework and any applicable local legal requirements. For example, in Hong Kong, CLP’s Grievance Resolution Policy encourages employees to discuss issues freely and openly with their supervisors. They are encouraged to bring issues forward to the Human Resources Department or higher level of management if they think the issues are not resolved or are being unjustly handled. There will be no discrimination, coercion or retaliation for doing so.
Report the impacts that make the Aspect Human Rights Grievance Mechanisms materialSee above.
Aspect Human Rights Grievance Mechanisms, G4-DMA b [title]
Report how the organization manages the material Aspect Human Rights Grievance Mechanisms or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Human Rights Grievance Mechanisms, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Human Rights Grievance MechanismsIn the case of any employee having concerns, we follow established procedures to address grievances. We investigate all complaints of discrimination and harassment. These procedures ensure fairness and independence in the investigation process, and respect for the confidentiality of the parties involved. In Hong Kong and Australia, complaints may also be made to relevant external bodies such as the Human Rights and Equal Opportunity Commission in Australia.
G4-HR12 Number of grievances about human rights impacts filed, addressed, and resolved through formal grievance mechanisms [title]
G4-HR12 a. Report the total number of grievances about human rights impacts filed through formal grievance mechanisms during the reporting period [title]
Report the total number of grievances about human rights impacts filed through formal grievance mechanisms during the reporting period0
Sub-Category Society [title]
Aspect Local Communities [title]
Aspect Local Communities, G4-DMA [title]
Aspect Local Communities, G4-DMA a [title]
Report why the Aspect Local Communities is materialOur business is closely intertwined with the social well-being of the communities where we operate. The investments we hold last for decades and our people and assets are firmly embedded in the local communities. With a long-term commitment to this region, our license to operate sustainably depends on the community's acceptance of our presence.
Report the impacts that make the Aspect Local Communities materialSee above.
Aspect Local Communities, G4-DMA b [title]
Report how the organization manages the material Aspect Local Communities or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Local Communities, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Local CommunitiesTo understand the impacts of our community initiatives, we periodically use the London Benchmarking Group (LBG) methodology, a global standard which enables us to measure the company’s contribution to the community in a systematic manner. It also enables the company to evaluate the outputs and long-term benefits of the community investments.
G4-SO1 Percentage of operations with implemented local community engagement, impact assessments, and development programs [title]
G4-SO1 a. Report the percentage of operations with implemented local community engagement, impact assessments, and development programs [title]
G4-SO1 a. Report the percentage of operations with implemented local community engagement, impact assessments, and development programs [additional information]Over the years, CLP has developed and invested in a range of initiatives to serve our communities. Recognising that different communities have different needs, we rely on our local teams, who have the best knowledge of local priorities and are best positioned to work with local governments and community groups to provide solutions to best match our resources with the local needs. Thus, our business units have the flexibility to prioritise and address the specific needs and sensitivity of the existing cultures, traditions and values of the local communities. In 2014, we have implemented community initiatives in 100% of the regions in which we operate.
G4-SO2 Operations with significant actual or potential negative impacts on local communities [title]
G4-SO2 a. Report operations with significant actual and potential negative impacts on local communities[title]
G4-SO2 a. Report operations with significant actual and potential negative impacts on local communities[additional information]
All our power plants have a potential to impact local communities, in both positive and negative ways. We try to mitigate any concerns through the following measures:
  • Communications with local governments to explain the nature of the project before construction starts and obtain their help in liaising with local people;
  • Following all applicable laws and regulations regarding land acquisition and environmental impact;
  • Providing employment opportunities where possible;
  • Contributing to local services such as schools or hospitals; and
  • Offering to receive local people and school children at the plant and explain what we do.
Aspect Anti-corruption [title]
Aspect Anti-corruption, G4-DMA [title]
Aspect Anti-corruption, G4-DMA a [title]
Report why the Aspect Anti-corruption is materialOur Code of Conduct is the tool we use to guard against corruption within CLP. We take cases of corruption seriously, and cases of corruption are not only tracked and reported, but also externally verified by a third party before results are reported in our Sustainability Report. In 2014, we had no cases of corruption at CLP.
Report the impacts that make the Aspect Anti-corruption materialNon-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.
Aspect Anti-corruption, G4-DMA b [title]
Report how the organization manages the material Aspect Anti-corruption or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Anti-corruption, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Anti-corruptionThe CLP Group has a Whistleblowing Policy to encourage employees and related third parties (such as customers and suppliers) who deal with the Company to raise concerns in confidence about misconducts, malpractices or irregularities in any matters related to the Company. We also adopted a Whistleblowing policy specifically for EnergyAustralia to reflect the local legislative requirements. During 2014, the CLP Group had eight cases of whistleblowing.
Report the results of the evaluation of the management approach for the Aspect Anti-corruptionSee above.
Report any related adjustments to the management approach for the Aspect Anti-corruptionSee above.
G4-SO3 Total number and percentage of operations assessed for risks related to corruption and the significant risks identified [title]
G4-SO3 a. Report the total number and percentage of operations assessed for risks related to corruption [title]
Report the percentage of operations assessed for risks related to corruption1.00
G4-SO3 a. Report the total number and percentage of operations assessed for risks related to corruption [additional information]

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-SO4 Communication and training on anticorruption policies and procedures [title]
G4-SO4 a. Report the total number and percentage of governance body members that the organizations anti-corruption policies and procedures have been communicated to, broken down by region [title]
For each, report
CLPHoldings
Region nameCLP Holdings
HongKong
Region nameHong Kong
Australia
Region nameAustralia
China
Region nameMainland China
India
Region nameIndia
SEAsia
Region nameSE Asia
G4-SO4 a. Report the total number and percentage of governance body members that the organizations anti-corruption policies and procedures have been communicated to, broken down by region [additional information]

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-SO4 b. Report the total number and percentage of employees that the organizations anti-corruption policies and procedures have been communicated to, broken down by employee category and region [title]
For each, report
ManagementAndStaff
RegionNotSpecified
Report the percentage of employees that the organizations anti-corruption policies and procedures have been communicated to1.00
G4-SO4 b. Report the total number and percentage of employees that the organizations anti-corruption policies and procedures have been communicated to, broken down by employee category and region [additional information]

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-SO4 c. Report the total number and percentage of business partners that the organizations anti-corruption policies and procedures have been communicated to, broken down by type of business partner and region [title]
G4-SO4 c. Report the total number and percentage of business partners that the organizations anti-corruption policies and procedures have been communicated to, broken down by type of business partner and region [additional information]

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-SO4 d. Report the total number and percentage of governance body members that have received training on anti-corruption, broken down by region [title]
For each, report
CLPHoldings
Region nameCLP Holdings
HongKong
Region nameHong Kong
Australia
Region nameAustralia
China
Region nameMainland China
India
Region nameIndia
SEAsia
Region nameSE Asia
G4-SO4 d. Report the total number and percentage of governance body members that have received training on anti-corruption, broken down by region [additional information]

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-SO4 e. Report the total number and percentage of employees that have received training on anti-corruption, broken down by employee category and region [title]
G4-SO4 e. Report the total number and percentage of employees that have received training on anti-corruption, broken down by employee category and region [additional information]

All management and staff are subject to a formal Code of Conduct which places them under specific obligations as to the ethics and principles by which our business is conducted. This Code of Conduct, which has been aligned across the CLP Group, is set out in full on our website.  Management and staff receive training on the Code and its implications periodically.  The most recent training was in 2013.  Management and staff above a designated level or in certain functions are required to sign annual statements confirming compliance with the Code.

Non-compliance with the Code of Conduct results in disciplinary action. Disciplinary measures are decided by the relevant line management. These measures are then subject to review and endorsement by a Code of Conduct Committee, which comprises the Group Director & Chief Financial Officer, Group General Counsel & Chief Administrative Officer and Director – Group Human Resources, in order to ensure the consistency and fairness of treatment.  During 2014, there were seven breaches of the Code.  The sanctions applied ranged from reprimand to dismissals. No breaches of the Code were material to the Group’s financial statements or overall operations and no breach involved senior management.  Adherence to the Code of Conduct cannot be waived.

G4-SO5 Confirmed incidents of corruption and actions taken [title]
G4-SO5 a. Report the total number and nature of confirmed incidents of corruption [title]
Report the total number of confirmed incidents of corruption0
G4-SO5 a. Report the total number and nature of confirmed incidents of corruption [additional information]Our Code of Conduct is the tool we use to guard against corruption within CLP. We take cases of corruption seriously, and cases of corruption are not only tracked and reported, but also externally verified by a third party before results are reported in our Sustainability Report. In 2014, we had no cases of corruption at CLP.
G4-SO5 b. Report the total number of confirmed incidents in which employees were dismissed or disciplined for corruption [title]
Report the total number of confirmed incidents in which employees were dismissed or disciplined for corruption0
G4-SO5 b. Report the total number of confirmed incidents in which employees were dismissed or disciplined for corruption [additional information]In 2014, we had no cases of corruption at CLP.
G4-SO5 c. Report the total number of confirmed incidents when contracts with business partners were terminated or not renewed due to violations related to corruption [title]
Report the total number of confirmed incidents when contracts with business partners were terminated or not renewed due to violations related to corruption0
G4-SO5 c. Report the total number of confirmed incidents when contracts with business partners were terminated or not renewed due to violations related to corruption [additional information]In 2014, we had no cases of corruption at CLP.
Aspect Public Policy [title]
Aspect Public Policy, G4-DMA [title]
Aspect Public Policy, G4-DMA a [title]
Report why the Aspect Public Policy is materialAlthough it is our policy to remain politically neutral and to avoid making political contributions, we do take public policy positions and participate in public policy developments which apply to the electricity industry. We feel that in bringing our industry expertise to the table, we can add value to discussions on how best to structure rules for our industry going forward, as both technology and public demand for our product evolves.
Report the impacts that make the Aspect Public Policy materialSee above.
Aspect Public Policy, G4-DMA b [title]
Report how the organization manages the material Aspect Public Policy or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-SO6 Total value of political contributions by country and recipient or beneficiary [title]
G4-SO6 a. Report the total monetary value of financial and in-kind political contributions made directly and indirectly by the organization by country and recipient or beneficiary [title]
G4-SO6 a. Report the total monetary value of financial and in-kind political contributions made directly and indirectly by the organization by country and recipient or beneficiary [additional information]Although it is our policy to remain politically neutral and to avoid making political contributions, we do take public policy positions and participate in public policy developments which apply to the electricity industry. We feel that in bringing our industry expertise to the table, we can add value to discussions on how best to structure rules for our industry going forward, as both technology and public demand for our product evolves.
Aspect Society Compliance [title]
Aspect Society Compliance, G4-DMA [title]
Aspect Society Compliance, G4-DMA a [title]
Report why the Aspect Society Compliance is materialThe CLP Group operates in a number of different jurisdictions with different legal and regulatory requirements and we often find ourselves faced with an evolving legal and regulatory regime that affects our operations. Compliance with legal and regulatory requirements in the jurisdictions that we operate in has always been a matter of top priority for us, which is demonstrated by a low number of non-compliance cases resulting in a significant fine (> HK$1 million).
Report the impacts that make the Aspect Society Compliance materialSee above.
Aspect Society Compliance, G4-DMA b [title]
Report how the organization manages the material Aspect Society Compliance or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-SO8 Monetary value of significant fines and total number of nonmonetary sanctions for noncompliance with laws and regulations [title]
G4-SO8 a. Report significant fines and non-monetary sanctions [title]
G4-SO8 a. Report significant fines and non-monetary sanctions [additional information]The CLP Group operates in a number of different jurisdictions with different legal and regulatory requirements and we often find ourselves faced with an evolving legal and regulatory regime that affects our operations. Compliance with legal and regulatory requirements in the jurisdictions that we operate in has always been a matter of top priority for us, which is demonstrated by a low number of non-compliance cases resulting in a significant fine (> HK$1 million). For more information on these cases, please refer to the “Sustainable Environment” and “Sustainable Operations” chapters.
Aspect Supplier Assessment for Impacts on Society [title]
Aspect Supplier Assessment for Impacts on Society, G4-DMA [title]
Aspect Supplier Assessment for Impacts on Society, G4-DMA a [title]
Report why the Aspect Supplier Assessment for Impacts on Society is materialIn order to understand the level of sustainability awareness and current practice in our supply chain, as well as to encourage our suppliers to focus on sustainability issues, we rolled out our Responsible Procurement Policy Statement (RePPS) to our businesses in Hong Kong, Mainland China, Australia and India in 2012. Our RePPS policy places requirements on suppliers in the area of “Legal Compliance” and states our expectations of suppliers regarding their “Respect for People”, “Ethics and Business Conduct” and “Treatment of the Environment”. We are committed to supply chain sustainability and will progressively consider RePPS in supplier selection and contract monitoring at a pace and depth that suits local business conditions. The RePPS policy is available from our website.
Report the impacts that make the Aspect Supplier Assessment for Impacts on Society materialSee above.
Aspect Supplier Assessment for Impacts on Society, G4-DMA b [title]
Report how the organization manages the material Aspect Supplier Assessment for Impacts on Society or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Supplier Assessment for Impacts on Society, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Supplier Assessment for Impacts on SocietyWe continue to engage suppliers during contract execution. An example of this is our Hong Kong business risk based Supplier Assessment System (SAS) which gathers feedback on our own performance as well as that of our key suppliers. In 2014, 14 key suppliers were surveyed under this programme and all responded positively to having practices in place to monitor various aspects of performance and compliance.
Report the results of the evaluation of the management approach for the Aspect Supplier Assessment for Impacts on SocietyOur monitoring mechanism confirms no significant risk for incidents of child labour, forced or compulsory labour, violation of human rights, violation of right to exercise freedom of association and collective bargaining, bribery and anti-competition. Due to the nature of our business, parts of our supply chain do have room for further improvement on environmental performance. We will continue to engage our suppliers to understand their status and practices and collaborate with them to look for opportunities for improvement. No supplier relationship has been terminated due to the assessment result.
Report any related adjustments to the management approach for the Aspect Supplier Assessment for Impacts on SocietyThe RePPS Questionnaire helps us to understand our suppliers better and we are progressing to understand their implementation of RePPS practices through some site visits. In 2015, we aim to continue engaging suppliers to further uplift capability in occupational safety and health, and to contribute to minimising environmental impact in energy production and supply.
G4-SO9 Percentage of new suppliers that were screened using criteria for impacts on society [title]
G4-SO9 a. Report the percentage of new suppliers that were screened using criteria for impacts on society [title]
G4-SO9 a. Report the percentage of new suppliers that were screened using criteria for impacts on society [additional information]
Engagement of suppliers follows a comprehensive process of supply market analysis to determine what will best meet our business needs. We establish a criterion based on a combination of price and non-price factors to select suitable suppliers. Non-price factors cover many aspects including safety, health, labour practices, environment, ethics and business conduct, and quality as applicable. Procurement projects with high business criticality including, but not limited to, safety, health, environment and labour practice will be subject to review by a committee comprising of management of the business group and procurement. Fuel purchases are subject to the same engagement principles, although they also take into consideration local business operation requirements and conditions.
When we first rolled out RePPS in 2012, we invited key suppliers to share theirwe invited key suppliers to share their RePPS status and practices throughRePPS status and practices through replying to the RePPS Questionnaire.replying to the RePPS Questionnaire. The RePPS Questionnaire is a tool toThe RePPS Questionnaire is a tool to hhelelpp u uss u undndeersrsttanandd o ouur sur supppplyly c chahaiinn and has been includand has been included in teed in tenders fornders for projects with business criticality sinceprojects with business criticality since 2013.
In addition to the RePPS Questionnaire,In addition to the RePPS Questionnaire, we adopt a risk-based approachwe adopt a risk-based approach to reference suppliers’ RePPSto reference suppliers’ RePPS performance in the supplier selectionperformance in the supplier selection pprrooccesesss f foror c crriittiiccaall p prroojjeeccttss a anndd w wee conduct site visits to understand theseconduct site visits to understand these suppliers’ RePPS implementation. Whensuppliers’ RePPS implementation. When establishing contracts for these criticalestablishing contracts for these critical projects, we have clauses in place forprojects, we have clauses in place for RePPS elements. These critical projectsRePPS elements. These critical projects cover 83% of our total value of buy.cover 83% of our total value of buy.
We continue to engage suppliers duringWe continue to engage suppliers during contract execution. An example ofcontract execution. An example of this is this is our our Hong Hong Kong business Kong business risk-risk-based Supplier Assessment Systembased Supplier Assessment System ((SASASS) wh) whiichch g gatathherers fes feededbbacack onk on our own performance as well as thatour own performance as well as that of our key suppliers. In 2014, 14 keyof our key suppliers. In 2014, 14 key suppliers were surveyed under thissuppliers were surveyed under this programme and all responded positivelyprogramme and all responded positively to havito having practices in place to monitorng practices in place to monitor various aspects of performance andvarious aspects of performance and compliance.compliance.
G4-SO10 Significant actual and potential negative impacts on society in the supply chain and actions taken [title]
G4-SO10 a. Report the number of suppliers subject to assessments for impacts on society [title]
G4-SO10 a. Report the number of suppliers subject to assessments for impacts on society [additional information]
Our monitoring mechanism confirmsOur monitoring mechanism confirms no significant risk for incidents of childno significant risk for incidents of child labour, forced or compulsory labour,labour, forced or compulsory labour, violation of human rights, violation ofviolation of human rights, violation of rigright to eht to exercisexercise fr freedom of associeedom of associationation and collective bargaining, bribery andand collective bargaining, bribery and anti-competition. Due to the nature oanti-competition. Due to the nature off our business, parts of our supply chainour business, parts of our supply chain do have room for further improvementdo have room for further improvement onon en envivironronmementntalal pe perforformrmanancece. W. Wee will continue to engage our suppliers towill continue to engage our suppliers to uundenderrstastandnd th theieir sr statatutus as andnd p pracractiticecess and collaborate with them to lookand collaborate with them to look for opportunities for improvement.for opportunities for improvement. No supplier relationship has beenNo supplier relationship has been terminated due to the assessment result.terminated due to the assessment result.
The RePPS Questionnaire helps us toThe RePPS Questionnaire helps us to understand our suppliers better andunderstand our suppliers better and we are progressing to understand theirwe are progressing to understand their implementation of RePPS practicesimplementation of RePPS practices through some site visits. In 2015, wethrough some site visits. In 2015, we aim to continue engaging suppliers toaim to continue engaging suppliers to ffuurrtthheerr u upplliifftt c caappaabbiilliittyy i inn o occccuuppaattiioonnaall safety and health, and to contributesafety and health, and to contribute tto mio mininimimisinsing eg envinviroronmnmententalal im impacpact it inn energy production and supply.energy production and supply.
G4-SO10 b. Report the number of suppliers identified as having significant actual and potential negative impacts on society [title]
G4-SO10 b. Report the number of suppliers identified as having significant actual and potential negative impacts on society [additional information]CLP prohibits the employment of child, forced or compulsory labour in any of our operations. In 2014 we have not identified any operation or supplier as having significant risks of child labour, young workers exposed to hazardous works, or forced or compulsory labour.
Aspect Grievance Mechanisms for Impacts on Society [title]
Aspect Grievance Mechanisms for Impacts on Society, G4-DMA [title]
Aspect Grievance Mechanisms for Impacts on Society, G4-DMA a [title]
Report why the Aspect Grievance Mechanisms for Impacts on Society is materialCLP does not have a formal, comprehensive public grievance mechanism to receive complaints regarding impacts to society and therefore we do not specifically report the number of these grievances. However, we do have a wide range of open/public engagement channels through which we can receive such feedback at any time during the year from anyone and therefore we believe we would be aware of any major issues. General complaints against the company are typically handled by our Public Affairs team who work with the relevant colleagues to resolve the issue at hand. Furthermore, most markets have regulatory bodies which have formal grievance channels for specific issues, such as the local environmental protection department or agency for environmental-related issues or consumer or energy regulator for customer-related issues, for example.
Report the impacts that make the Aspect Grievance Mechanisms for Impacts on Society materialSee above.
Aspect Grievance Mechanisms for Impacts on Society, G4-DMA b [title]
Report how the organization manages the material Aspect Grievance Mechanisms for Impacts on Society or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-SO11 Number of grievances about impacts on society filed, addressed, and resolved through formal grievance mechanisms [title]
G4-SO11 a. Report the total number of grievances about impacts on society filed through formal grievance mechanisms during the reporting period [title]
G4-SO11 a. Report the total number of grievances about impacts on society filed through formal grievance mechanisms during the reporting period [additional information]CLP does not have a formal, comprehensive public grievance mechanism to receive complaints regarding impacts to society and therefore we do not specifically report the number of these grievances. However, we do have a wide range of open/public engagement channels through which we can receive such feedback at any time during the year from anyone and therefore we believe we would be aware of any major issues. General complaints against the company are typically handled by our Public Affairs team who work with the relevant colleagues to resolve the issue at hand. Furthermore, most markets have regulatory bodies which have formal grievance channels for specific issues, such as the local
Sub-Category Product Responsibility [title]
Aspect Customer Health and Safety [title]
Aspect Customer Health and Safety, G4-DMA [title]
Aspect Customer Health and Safety, G4-DMA a [title]
Report why the Aspect Customer Health and Safety is materialElectricity, the product which we produce and sell, is critically important to our everyday lives. However, it is also a powerful form of energy and if not handled carefully, it can pose a threat to customer health and safety. At CLP, we are aware of this risk and are always working to make sure our customers enjoy electricity safely.
Report the impacts that make the Aspect Customer Health and Safety materialSee above.
Aspect Customer Health and Safety, G4-DMA b [title]
Report how the organization manages the material Aspect Customer Health and Safety or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-PR1 Percentage of significant product and service categories for which health and safety impacts are assessed for improvement [title]
G4-PR1 a. Report the percentage of significant product and service categories for which health and safety impacts are assessed for improvement [title]
G4-PR1 a. Report the percentage of significant product and service categories for which health and safety impacts are assessed for improvement [additional information]
Electricity, the product which we produce and sell, is critically important to our everyday lives. However, it is also a powerful form of energy and if not handled carefully, it can pose a threat to customer health and safety. At CLP, we are aware of this risk and are always working to make sure our customers enjoy electricity safely. One area is the hazards arising from work near electricity supply lines. In order to mitigate any potential public safety issues, regular construction site inspections, provision of cable plans and safety talks to road work contractors are conducted. Findings and recommendations on accident prevention measures from these inspections are communicated to site management personnel.
Another area of public health concern is electromagnetic fields (EMF) from the power system. CLP’s power supply equipment operates in full compliance with the guidelines issued by the International Commission on Non-Ionising Radiation Protection (ICNIRP). CLP provides monitoring, advisory service and measurement service on EMF within our supply area. CLP and Electrical and Mechanical Services Department have regularly carried out joint EMF measurements on CLP’s power supply equipment. All measurements have confirmed the EMF levels are well below the guideline limits.
G4-PR2 Total number of incidents of noncompliance with regulations and voluntary codes concerning the health and safety impacts of products and services during their life cycle, by type of outcomes [title]
Report if information presented for G4-PR2 does not cover the Boundary identified for the material Aspect Customer Health and Safety in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Product and Service Labeling [title]
Aspect Product and Service Labeling, G4-DMA [title]
Aspect Product and Service Labeling, G4-DMA a [title]
Report why the Aspect Product and Service Labeling is material
In our retail business, we provide customers with product and service information through a number of channels, including:
  • Information on our customer websites;
  • Notices on customers’ bills;
  • A brochure to new customers as part of their welcome pack;
  • Information at our customer service centres; and
  • Guidance provided by customer service professionals at our call centres.
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Report the impacts that make the Aspect Product and Service Labeling materialSee above.
Aspect Product and Service Labeling, G4-DMA b [title]
Report how the organization manages the material Aspect Product and Service Labeling or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Product and Service Labeling, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Product and Service LabelingAs our products are limited to electricity and gas, we do not sell products that are banned. However, in Hong Kong and Australia, the two markets that we retail electricity as well as gas in Australia, retail prices are a source of much public discussion. Both CLP Power Hong Kong and EnergyAustralia use a variety of mechanisms to obtain and respond to public discussion on retail prices, including media monitoring and face-to-face discussions with policy makers. Both also record and address customer complaints.
Report the results of the evaluation of the management approach for the Aspect Product and Service LabelingIn order to gauge the performance of our retail businesses, we ask our customers how we are doing via customer satisfaction surveys that we conduct on a regular basis.
Report any related adjustments to the management approach for the Aspect Product and Service Labeling
Customer Service Improvements
Since our acquisition of New South Wales’ state owned retail business in 2010, our Australian retail customers have been located on two different customer bases. In 2014, EnergyAustralia successfully integrated these two bases by integrating 1.2 million customers from the legacy New South Wales Government Ausgrid system onto EnergyAustralia’s C1 billing system. We anticipate this integration will enable us to provide a superior customer experience through a more streamlined service. We also expect that as a result of a combination of the termination of the Transitional Service Agreement with the NSW Government as we no longer require servicing through the Ausgrid system, and further operational improvements planned to our customer service and billing system in 2015, we will achieve annual retail operational savings of around A$100 million per year in 2016 compared to 2013.
In our continuing focus on our customers, we have also initiated a number of new programmes in 2014 to improve customer service and help our customers interact with us with greater ease, including:
  • Expanding our servicing capabilities by opening a new call centre in Geelong;
  • Adjusting the call flow service model to improve customer experience; and
  • Starting to change the delivery of back office functions to streamline customer billing, registration and credit management processes.
In Hong Kong, in response to the feedback we received through our annual customer satisfaction survey, ongoing dialogue and exchange of information, experience and ideas with customers, we launched a series of new customer service initiatives and a new customer services improvement plan which consists of 53 initiatives. The objective of these initiatives and the improvement plan is to increase customer satisfaction for all classes of customers. Two examples of initiatives are as follows:
  • A new electricity bill was successfully launched in October 2014 that incorporated customer feedback we received on our former bill. The new bill is easier to read and offers more value-added information to our customers such as energy saving tips.
  • Following the launch of the new GREENPLUS Experience Centre in Sham Shui Po in May 2014 to assist small businesses in different industries to save energy and costs, the GREENPLUS Recognition Award 2014 was successfully held on 4 September 2014 to recognise 63 businesses and organisations with the most outstanding energy saving performances during the year.
G4-PR3 Type of product and service information required by the organizations procedures for product and service information and labeling, and percentage of significant product and service categories subject to such information requirements [title]
G4-PR3 a. Report whether the following product and service information is required by the organizations procedures for product and service information and labeling [title]
Report whether information on the sourcing of components of the product or service is required by the organizations procedures for product and service information and labelingNo
Report whether the information on content, particularly with regard to substances that might produce an environmental or social impact is required by the organizations procedures for product and service information and labelingNo
Report whether the information on safe use of the product or service is required by the organizations procedures for product and service information and labelingNo
Report whether information on disposal of the product and environmental or social impacts is required by the organizations procedures for product and service information and labelingNo
Report whether other information is required by the organizations procedures for product and service information and labelingNo
G4-PR3 a. Report whether the following product and service information is required by the organizations procedures for product and service information and labeling [additional information]
In our retail business, we provide customers with product and service information through a number of channels, including: In our retail business, we provide customers with product and service information through a number of channels, including:
  • Information on our customer websites;
  • Notices on customers’ bills;
  • A brochure to new customers as part of their welcome pack;
  • Information at our customer service centres; and
  • Guidance provided by customer service professionals at our call centres
G4-PR3 b. Report the percentage of significant product or service categories covered by and assessed for compliance with such procedures [title]
G4-PR3 b. Report the percentage of significant product or service categories covered by and assessed for compliance with such procedures [additional information]As our products are limited to electricity and gas, we do not sell products that are banned.
G4-PR4 Total number of incidents of noncompliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes [title]
G4-PR4 a. Report the total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling [title]
G4-PR4 a. Report the total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling [additional information]
Our objective is to comply with all applicable laws and regulations related to information about and retail of electricity in Hong Kong and the retail of gas and electricity in Australia. Any incidences where we have not complied are documented annually in this report.
In April 2014, the Australian Federal Court ordered by consent that EnergAustralia pay a penalty of $1.2 million for unlawful door-to-door selling practices in proceedings brought by the Australian Competition and Consumer Commission (ACCC). The Court declared that EnergyAustralia, through the conduct of certain sales representatives acting on its behalf, made false and misleading representations and engaged in misleading and deceptive conduct while calling on consumers at their homes to negotiate agreements for the supply of retail electricity by EnergyAustralia.
EnergyAustralia also paid around $120,000 for around 180 wrongful disconnections in Victoria and $10,000 in interest payments for delayed bills being issued in New South Wales.
On 20 November 2014, the ACCC and Australian Energy Regulator (AER) commenced civil penalty proceedings against EnergyAustralia in relation to third party sales misconduct that is allegedly in breach of the Australian Consumer Law and the National Energy Retail Rules. The ACCC and AER allege that Telechoice, a third party sales contractor of EnergyAustralia, signed up a number of customers to product contracts without obtaining the customers’ consent. The ACCC alleges 22 contraventions and the AR alleges 27 contraventions. The matter was self-identified and reported to regulators by EnergyAustralia in 2013 following internal monitoring and investigations regarding Telechoice’s conduct. EnergyAustralia terminated its contract with Telechoice.
EnergyAustralia also had 22 incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion and sponsorship.
In our Hong Kong retail business we did not incur any monetary fines for noncompliance related to the provision and use of electricity and we did not have any breaches of regulatory obligations.
G4-PR5 Results of surveys measuring customer satisfaction [title]
G4-PR5 a. Report the results or key conclusions of customer satisfaction surveys (based on statistically relevant sample sizes) conducted in the reporting period [title]
Report the results or key conclusions of customer satisfaction surveys (based on statistically relevant sample sizes) conducted in the reporting period relating to information about the organization as a wholeSee below.
Report the results or key conclusions of customer satisfaction surveys (based on statistically relevant sample sizes) conducted in the reporting period relating to information about a major product or service categorySee below.
Report the results or key conclusions of customer satisfaction surveys (based on statistically relevant sample sizes) conducted in the reporting period relating to information about significant locations of operationSee below.
G4-PR5 a. Report the results or key conclusions of customer satisfaction surveys (based on statistically relevant sample sizes) conducted in the reporting period [additional information]
In order to gauge the performance of our retail businesses, we ask our customers how we are doing via customer satisfaction surveys that we conduct on a regular basis.
For the second year in a row, EnergyAustralia used a Net Promoter Score approach to assess customer satisfaction. The Net Promoter Score measures the loyalty that exists between the company and energy consumers by separating all customers into one of three categories: Promoters, Passives, and Detractors. The allocation is made by asking “How likely is it that you would recommend your company to a friend or colleague?” Customers respond with a numerical answer between 1 and 10 which correspond to one of the three categories.
EnergyAustralia measures its Net Promoter Score monthly. During 2014, the number of EnergyAustralia “promoters” – those who were highly likely to recommend EnergyAustralia - remained at around the same level relative to the industry average of the top three energy retailers in Australia. The percentage of customers who are Promoters less the percentage of customers who are Detractors for each month in 2014 is presented here.
EnergyAustralia Net Promoter Score Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14
Top 3 Average -46% -42% -44% -43% -43% -43% -42% -42% -41% -41% -42% -40%
EnergyAustralia -48% -47% -46% -49% -50% -49% -50% -50% -50% -49% -49% -48%
In Hong Kong, we measure customer satisfaction through an annual telephone interview survey. For the past few years, this survey has been conducted by Ipsos Hong Kong Ltd, a marketing research consultant. The customer satisfaction score is calculated according to the following criteria:
  • • Overall satisfaction towards the utility; and
  • • Rating as the ideal utility relative to other utilities in Hong Kong.
To put our performance in context, we benchmark our results as an “ideal utility” against two peer groups:
  • • All public utilities in the energy sector, which include CLP, Hong Kong Electric and Towngas; and
  • • All public utilities, which include those in the energy sector plus Hongkong Post and the Water Supplies Department.
Our performance plus that of these two benchmark groups for the past five years are shown below. Our performance in 2014 is largely in line with that of previous years.
Hong Kong Customer Satisfaction Score as of 31 December 2014
2014 2013 2012 2011 2010
CLP 69 68 68 68 74
All Public Utilities in the Energy Sector 69 68 68 67 74
All Public Utilities 70 69 70 70 75
Aspect Marketing Communications [title]
Aspect Marketing Communications, G4-DMA [title]
Aspect Marketing Communications, G4-DMA b [title]
Report how the organization manages the material Aspect Marketing Communications or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
G4-PR6 Sale of banned or disputed products [title]
G4-PR6 a. Report whether the organization sells products that are banned or the subject of stakeholder questions or public debate [title]
Report whether the organization sells products that are banned in certain marketsNo
Report whether the organization sells products that are the subject of stakeholder questions or public debateNo
G4-PR6 a. Report whether the organization sells products that are banned or the subject of stakeholder questions or public debate [additional information]As our products are limited to electricity and gas, we do not sell products that are banned. However, in Hong Kong and Australia, the two markets that we retail electricity as well as gas in Australia, retail prices are a source of much public discussion. Both CLP Power Hong Kong and EnergyAustralia use a variety of mechanisms to obtain and respond to public discussion on retail prices, including media monitoring and face-to-face discussions with policy makers. Both also record and address customer complaints.
G4-PR7 Total number of incidents of noncompliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion, and sponsorship, by type of outcomes [title]
Report if information presented for G4-PR7 does not cover the Boundary identified for the material Aspect Marketing Communications in General Standard Disclosures G4-20 and G4-21Not reported.
Aspect Customer Privacy [title]
Aspect Customer Privacy, G4-DMA [title]
Aspect Customer Privacy, G4-DMA a [title]
Report why the Aspect Customer Privacy is materialWe also monitor and annually document in this report any complaints related to breaches of customer privacy and loss of customer data. Our EnergyAustralia retail business received two complaints from the Australian Privacy Commissioner regarding potential breaches of customer privacy. Following investigation of the complaints, the Commissioner closed one file on the basis that EnergyAustralia had not interfered with the customer’s privacy. On the second allegation, the Commissioner determined that EnergyAustralia had breached the customer’s privacy by providing information about the account to an unauthorised party but closed the file as it also determined that EnergyAustralia had adequately dealt with the resolution of the complaint.
Report the impacts that make the Aspect Customer Privacy materialSee above.
Aspect Customer Privacy, G4-DMA b [title]
Report how the organization manages the material Aspect Customer Privacy or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Customer Privacy, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Customer PrivacyWe also monitor and annually document in this report any complaints related to breaches of customer privacy and loss of customer data. Our EnergyAustralia retail business received two complaints from the Australian Privacy Commissioner regarding potential breaches of customer privacy. Following investigation of the complaints, the Commissioner closed one file on the basis that EnergyAustralia had not interfered with the customer’s privacy. On the second allegation, the Commissioner determined that EnergyAustralia had breached the customer’s privacy by providing information about the account to an unauthorised party but closed the file as it also determined that EnergyAustralia had adequately dealt with the resolution of the complaint.
Report the results of the evaluation of the management approach for the Aspect Customer PrivacySee above.
Report any related adjustments to the management approach for the Aspect Customer PrivacySee above.
G4-PR8 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data [title]
G4-PR8 a. Report the total number of substantiated complaints received concerning breaches of customer privacy [title]
Report the total number of substantiated complaints received concerning breaches of customer privacy2
Report the total number of substantiated complaints received concerning breaches of customer privacy, categorized by complaints received from outside parties and substantiated by the organization0
Report the total number of substantiated complaints received concerning breaches of customer privacy, categorized by complaints from regulatory bodies2
G4-PR8 a. Report the total number of substantiated complaints received concerning breaches of customer privacy [additional information]
We also monitor and annually document in this report any complaints related to breaches of customer privacy and loss of customer data. Our EnergyAustralia retail business received two complaints from the Australian Privacy Commissioner regarding potential breaches of customer privacy. Following investigation of the complaints, the Commissioner closed one file on the basis that EnergyAustralia had not interfered with the customer’s privacy. On the second allegation, the Commissioner determined that EnergyAustralia had breached the customer’s privacy by providing information about the account to an unauthorised party but closed the file as it also determined that EnergyAustralia had adequately dealt with the resolution of the complaint.
In our Hong Kong retail business, no customer privacy and data loss cases have been reported or noted.
G4-PR8 b. Report the total number of identified leaks, thefts, or losses of customer data [title]
G4-PR8 b. Report the total number of identified leaks, thefts, or losses of customer data [additional information]We also monitor and annually document in this report any complaints related to breaches of customer privacy and loss of customer data. Our EnergyAustralia retail business received two complaints from the Australian Privacy Commissioner regarding potential breaches of customer privacy. Following investigation of the complaints, the Commissioner closed one file on the basis that EnergyAustralia had not interfered with the customer’s privacy. On the second allegation, the Commissioner determined that EnergyAustralia had breached the customer’s privacy by providing information about the account to an unauthorised party but closed the file as it also determined that EnergyAustralia had adequately dealt with the resolution of the complaint.
Aspect Product Responsibility Compliance [title]
Aspect Product Responsibility Compliance, G4-DMA [title]
Aspect Product Responsibility Compliance, G4-DMA a [title]
Report why the Aspect Product Responsibility Compliance is materialOur objective is to comply with all applicable laws and regulations related to information about the retail of electricity in Hong Kong and the retail of gas and electricity in Australia. Any incidences where we have not complied are documented annually in this report.
Report the impacts that make the Aspect Product Responsibility Compliance materialSee above.
Aspect Product Responsibility Compliance, G4-DMA b [title]
Report how the organization manages the material Aspect Product Responsibility Compliance or its impacts
CLP’s Value Framework
Decisions and actions at CLP are guided by the company’s Value Framework, which articulates our Vision, Mission, and Values.
Vision: What do we want to be?
To be the leading responsible energy provider in the Asia-Pacific region, from one generation to the next.
Mission: What do we do?
In a changing world, our mission is to produce and supply energy with minimal environmental impact to create value for shareholders, employees and the wider community.
Value: What ideals guide us in our mission?
  • CLP Cares:
    • for People
    • for Community
    • for the Environment
    • about Performance
  • CLP Respects Laws and Standards
  • CLP Values Innovation and Knowledge
To put our Vision, Mission and Values into practice, the Value Framework also articulates specific Commitments. These are the promises we make to our stakeholders about the way in which we will uphold our Values. We make Commitments to the following stakeholders:
  • Our Shareholders
  • Our Employees
  • Our Customers
  • Our Business Partners and Suppliers
  • Our Communities
CLP has Policy Statements and a Code of Conduct. These help to embed our Values and Commitments into our everyday operations and practices. They also provide a framework for our Group level and subsidiary policies which address matters specific to local jurisdictions and functions.
Our policies are all aligned with the basic requirements of the CLP Group Value Framework and are supported by a wide range of practices, procedures, standards and guidelines. CLP’s Policy Statements are listed below.
  • Human Resources Policy Statement
  • Environmental Policy Statement
  • Occupational Safety and Health Policy Statement
  • Customer Service Quality Policy Statement
  • Responsible Procurement Policy Statement
The full text of our Commitments, Policy Statements and Code of Conduct, as well as the full text of our entire Value Framework, is available here.
Aspect Product Responsibility Compliance, G4-DMA c [title]
Report the mechanisms for evaluating the effectiveness of the management approach for the Aspect Product Responsibility ComplianceOur objective is to comply with all applicable laws and regulations related to information about the retail of electricity in Hong Kong and the retail of gas and electricity in Australia. Any incidences where we have not complied are documented annually in this report.
Report the results of the evaluation of the management approach for the Aspect Product Responsibility ComplianceSee above.
Report any related adjustments to the management approach for the Aspect Product Responsibility ComplianceSee above.
G4-PR9 Monetary value of significant fines for noncompliance with laws and regulations concerning the provision and use of products and services [title]
G4-PR9 a. Report the total monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services [title]
G4-PR9 a. Report the total monetary value of significant fines for non-compliance with laws and regulations concerning the provision and use of products and services [additional information]
Our objective is to comply with all applicable laws and regulations related to information about and retail of electricity in Hong Kong and the retail of gas and electricity in Australia. Any incidences where we have not complied are documented annually in this report.
In April 2014, the Australian Federal Court ordered by consent that EnergAustralia pay a penalty of $1.2 million for unlawful door-to-door selling practices in proceedings brought by the Australian Competition and Consumer Commission (ACCC). The Court declared that EnergyAustralia, through the conduct of certain sales representatives acting on its behalf, made false and misleading representations and engaged in misleading and deceptive conduct while calling on consumers at their homes to negotiate agreements for the supply of retail electricity by EnergyAustralia.
EnergyAustralia also paid around $120,000 for around 180 wrongful disconnections in Victoria and $10,000 in interest payments for delayed bills being issued in New South Wales.
On 20 November 2014, the ACCC and Australian Energy Regulator (AER) commenced civil penalty proceedings against EnergyAustralia in relation to third party sales misconduct that is allegedly in breach of the Australian Consumer Law and the National Energy Retail Rules. The ACCC and AER allege that Telechoice, a third party sales contractor of EnergyAustralia, signed up a number of customers to product contracts without obtaining the customers’ consent. The ACCC alleges 22 contraventions and the AR alleges 27 contraventions. The matter was self-identified and reported to regulators by EnergyAustralia in 2013 following internal monitoring and investigations regarding Telechoice’s conduct. EnergyAustralia terminated its contract with Telechoice.
EnergyAustralia also had 22 incidents of non-compliance with regulations and voluntary codes concerning marketing communications, including advertising, promotion and sponsorship.
In our Hong Kong retail business we did not incur any monetary fines for noncompliance related to the provision and use of electricity and we did not have any breaches of regulatory obligations.
1For simplicity sake, operating costs included earnings attributable to other non-controlling interests and netted with other gain, finance income and share of results (net of income tax) from joint ventures and associates.
2Represents current income tax but excluding deferred tax for the year.
3Represents earnings attributable to shareholders (before depreciation and amortisation and deferred tax) for the year retained.

03 - Attachments

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