Strategy

ST Engineering recognises the risks and opportunities presented by climate change to our business.

We are committed to communicating our approach and strategies for climate mitigation, adaptation and resilience to our stakeholders. The global need to leverage technology and innovation to address climate change impacts on businesses presents opportunities for the Group over the short, medium and long-term.

The Group reviewed our climate change opportunities in both our existing business areas as well as emerging ones in 2022. This exercise enabled us to identify opportunities in energy management and efficiency, recycling and reuse, and explore technology-enabled carbon verification solutions.

These findings has been shared with the relevant stakeholders and has enabled the Group to better understand the implications of these climate opportunities on our business expansion strategy, resource allocation and overall financial planning.

Our Green Technology Taskforce (GTT) will drive and coordinate efforts across our businesses to leverage the unique opportunities presented.

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Maximising Opportunities

As part of our TCFD journey, we continuously review our climate change opportunities in both our existing and emerging business areas. In line with COP28’s theme of a Global Stocktake, the Group did a stock take of our progress across our global operations towards our 2030 goal of halving absolute Scope 1 and 2 emissions from a 2010 baseline. The Group also took the opportunity to better define our pathway to net zero.

We identified three areas including optimisation for energy and resource efficiency, greener and renewable sources of energy, and initiatives for behavioural changes. The areas identified apply to both prongs of our sustainability approach of doing our part and enabling our customers.

Leveraging the opportunities available, the Group offers a range of climate-focused products and solutions to enable our customers to advance their sustainability journeys. The three focus areas of our sustainability-linked businesses include:

These have guided the Group in developing sustainability-linked products and solutions such as our Passenger-to-Freighter (P2F) conversions, AGIL® Smart Digital Junction Suite and AGIL® Smart Water Solutions.

Collaborations and Partnerships

In 2023, the Group implemented an internal shadow carbon price on major capital expenditure, established roadmaps and embarked on the development of product carbon footprint for our major products and services.

We continue to identify and coordinate climate-related opportunities across the Group. Our GTO identifies and coordinates climate-related opportunities through technology scanning and trend identification, Research and Development (R&D) data gathering and analysis and formulation of group-wide initiatives.

Our GTO also works in close partnership with GEC, Business Areas’ leaders, the Group Strategy and Sustainability Office (GSSO) and ST Engineering Ventures. This leads to the development of new products, technologies and solutions for our global markets that are aligned with the Group’s business strategy.