Hang Lung Leads Industry Dialogue on Net Zero Transition with Groundbreaking Discussion Paper
Hang Lung presents an innovative in-depth analysis of its potential journey to net zero as a model for the real estate sector, calling for greater transparency and improved benchmarks to drive real estate decarbonization
HONG KONG SAR & SHANGHAI, CHINA - Media OuReach Newswire - 24 March 2025 - Hang Lung Properties Limited (SEHK stock code: 00101) (the "Company" or "Hang Lung") has published a first-of-its-kind discussion paper, " Our Jou r ney to Net Zero: Our Scenarios and Actions to Reduce Greenhouse Gas Emissions to 2050."
While many companies have made net zero commitments, few have carefully examined how to achieve these commitments. Hang Lung has risen to this challenge, adopting an innovative approach based on a decarbonization model with more than 1,000 internal and external data inputs. From this thorough analysis, it has developed two main scenarios to understand potential pathways for the Company to reduce greenhouse gas (GHG) emissions to 2050.
From a starting point of around 1,000,000 tonnes of GHG in 2023, Hang Lung's emissions could drop to fewer than 100,000 tonnes by 2050—and even go as low as 16,000 tonnes. The scale of new construction and the emissions intensity of available construction materials will play a critical role in shaping this reduction.
The Journey to Net Zero paper concludes that the Company has the potential to fully achieve net zero by 2050. However, doing so will require consistent effort and sustained focus, including strategic collaboration with suppliers. The Company will also need to leverage advancements in technologies.
While the paper's analysis is based on a close examination of Hang Lung's emissions pathways, it also raises issues applicable to peers and standard setters. For instance, the paper highlights overlooked sources of emissions, discusses key carbon accounting issues for the sector, and calls for greater transparency and standardized benchmarking for construction materials.
"The real estate sector has a responsibility to reduce its carbon emissions," Mr. Adriel Chan, Chair of Hang Lung Properties and Chair of the Sustainability Steering Committee, said. "But we need to form a long-term vision together. By addressing key issues head-on—including the impact of business expansion, decarbonization of construction supplies and energy, and emissions blind spots—Hang Lung is demonstrating in this paper that we take our net zero commitment seriously. We also encourage our peers and partners to embrace greater transparency, so we can all learn from and collaborate with one another."
Illustrating its commitment to catalyzing change in real estate, Hang Lung has outlined eight key actions it is pursuing to support its long-term journey to net zero emissions by 2050:
Advancing energy efficiency
Expanding renewable energy procurement
Improving material efficiency
Reducing the GHG intensity of construction materials
Collaborating with suppliers
Exploring ways to repurpose existing properties
Improving lifecycle refrigerant management practices; and
Collaborating with tenants to reduce emissions.
These actions are discussed in greater detail in the paper: https://www.hanglung.com/en-us/media/sustainability-publications.
Expert Reactions
"This effort is truly a milestone and a commendable example for the real estate sector." – Wei Li, Principal, RMI China.
"Candid, collaborative and practical, this report redefines how companies should report on net zero progress." – Raefer Wallis, Founder and Chief Executive Offier, GIGA/RESET Standard.
"I believe methodologies and insights from this report can effectively enhance capacity and encourage industry action." – Da Zhang, Associate Professor, Institute of Energy, Environment and Economy, Tsinghua University.
"The scenario-based approach is very enlightening, with open analysis of uncertainty rather than strategizing with the hope of a magically smooth curve down to zero carbon emissions." – Jenny Zhang, Director of Sustainability, APAC, Urban Land Institute.
Note to Editors:
Hang Lung's sustainability achievements:
With support from top management and a long-term vision, Hang Lung aims to become one of the most sustainable real estate companies in the world. Through clear and measurable sustainability goals, including 25 Targets to be achieved by 2025, 2030 Sustainability Goals and Targets, and net zero targets validated by the Science Based Targets initiative (SBTi), the Company has gained recognition from stakeholders for its pioneering sustainability initiatives in real estate. Hang Lung obtained more than 45 ESG awards in 2024.
The Company is on the CDP "Corporate A List," with an "A" rating for Climate Change and an "A-" rating for Water Security. Since 2021, Hang Lung has received a 4-star performance rating for standing investments from the Global Real Estate Sustainability Benchmark (GRESB), and maintained an "AA" rating in the MSCI ESG Ratings assessment and a "low ESG risk" rating from Sustainalytics. The Company has also been a constituent stock of the FTSE4Good Index Series and the Hang Seng Corporate Sustainability Index (Mainland and Hong Kong) since 2021 and 2010 respectively.
Hang Lung has also demonstrated its sustainability leadership in renewable energy, low carbon construction and tenant partnerships. Since April 2024, 50% of Hang Lung's operating properties in mainland China have been powered by renewable energy. For low carbon construction, Plaza 66 Pavilion Extension's building structure in Shanghai is Hang Lung's first Mainland project to use almost 100% low carbon emissions steel. And the Company has partnered with 49 tenants representing 11% of its total leasable area on sustainability initiatives through its nationwide Changemakers Program for all tenants, and its first-of-its-kind sustainability collaboration with LVMH Group in 2022.
For more details, please visit: https://www.hanglung.com/en-us/sustainability
Hashtag: #HangLungProperties
The issuer is solely responsible for the content of this announcement.
About Hang Lung Properties
Hang Lung Properties Limited (SEHK stock code: 00101) creates compelling spaces that enrich lives. Headquartered in Hong Kong, Hang Lung Properties develops and manages a diversified portfolio of world-class properties in Hong Kong and the nine Mainland cities of Shanghai, Shenyang, Jinan, Wuxi, Tianjin, Dalian, Kunming, Wuhan and Hangzhou. With its luxury positioning under the "66" brand, the company's Mainland portfolio has established its leading position as the "Pulse of the City." Hang Lung Properties is also recognized for leading the way in enhancing sustainability initiatives in the real estate industry, all the while pursuing sustainable growth by connecting customers and communities.
At Hang Lung Properties – We Do It Well.
For more information, please visit www.hanglung.com.
Hang Lung Properties
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The National
an hour ago
- The National
Climate change sceptics and clean fuel shortage risk airline industry's decarbonisation target
The airline industry's central sustainability goal of net zero emissions by 2050 is at risk from the policies of climate change sceptics, such as US President Donald Trump. The rise of world leaders who support fossil fuels over renewable energy development and the scaling back of environmental regulations are 'obviously a setback', Marie Owens Thomsen, Iata's senior vice president of sustainability and chief economist, said. 'It does imperil success on the 2050 horizon,' she said. 'But I don't think it's going to reverse or halt progress, it will just slow progress. Now that's bad enough ... the 2050 deadline is coming furiously fast.' During its annual meeting in New Delhi last week the International Air Transport Association (Iata) nevertheless remained committed to the 2050 target date, despite airing escalating concerns about the cost, availability and insufficient government incentives for the production of sustainable aviation fuels (SAF). This is not where we should be in 2025 ... there is no time for delay and no tolerance for government greenwashing and unnecessary cost increases Willie Walsh, director general, Iata Iata member airlines agreed in 2021 to target net zero emissions in 2050 based mainly on a gradual switch to SAF, which is made from waste oil and biomass. The aviation industry accounts for 2.5 per cent of global carbon dioxide emissions, according to the International Energy Agency. But it has come under increasing pressure from environmentalists to curb its carbon footprint amid booming air travel demand. While the amount of SAF produced will double to two million tonnes in 2025, that represents only 0.7 per cent of airlines' jet fuel demand, according to Iata's latest data. The average cost of SAF in 2024 was 3.1 times that of jet fuel, for a total additional cost of $1.6 billion, according to Iata estimates. In 2025, the global average cost for SAF is expected to be 4.2 times that of jet fuel. 'Another problem, which is related, is that oil is so cheap,' Ms Thomsen said. 'I think that also diminishes the sense of urgency that people have.' Oil prices will need to trade above $80 a barrel, or even above $100 a barrel, before there is pressure to create new energy markets, she said. Brent, the benchmark for two thirds of the world's crude, was trading around $66 a barrel on Sunday. Lower oil prices come amid Mr Trump's tariffs scheme, his calls to " drill baby drill" and a decision by Opec to hike crude output quotas. Iata estimates the cost of achieving net zero carbon emissions by 2050 to be an enormous $4.7 trillion, or $174 billion a year. However, ramping up the production of SAF is 'entirely achievable' as there is sufficient feedstock and the technology is available to get started, Ms Thomsen said. The required SAF investments are comparable to the money governments had poured into developing previous new energy markets such as wind and solar, she said, adding that the funding can also be found by scrapping subsidies to the world's major oil producing companies. 'The world is subsidising large oil companies to the height of $1 trillion per year. With that money, if it were redirected in its totality, we could solve our energy transition in less than five years,' she said. 'The thing that is really missing is the courage and willingness to take on vested interests.' Sounding the alarm SAF production needs an 'exponential expansion' to meet the demands of the airline industry's commitment to net zero carbon emissions by 2050, said Iata, which represents some 350 airlines, comprising more than 80 per cent of global air traffic. Airlines cannot achieve the target by themselves and require more urgent action from governments, manufacturers, airport operators and fuel suppliers, Willie Walsh, Iata's director general, said. 'These actions must be accompanied by ringing the alarm bells on SAF production,' he said at the Iata meeting in India. Iata's decarbonisation roadmap estimates that SAF will provide 65 per cent of the carbon mitigation needed in 2050. 'This is not where we should be in 2025. We have a quarter-century to get to net zero. There is no time for delay and no tolerance for government greenwashing and unnecessary cost increases,' Mr Walsh said. Top priorities In April Mr Walsh had warned that industry efforts to achieve net zero by 2050 were 'off track', but he said last week that any alteration of the target was no discussed at the airlines' meeting in New Delhi. 'The industry is still obviously targeting net zero in 2050 ... we are concerned about the pace of progress,' he said. The value chain that needs to support airlines' transition to net zero is not making sufficient progress, and 'that's the reason we're calling it out', he added. Poorly co-ordinated government actions are leading to SAF mandates in different countries that have done little to stimulate production but have instead led to additional costs to the airlines without environmental benefits, he said. The Iata boss said there was a narrow window for the industry to meet its goals. 'It is a wake up-call. We still have time to get there, but we do need to see more action on the part of all the partners in the value chain to make sure the industry can get there,' he said. As of 2025, some 81 airlines had signed 170 SAF offtake agreements, signalling to producers that there is strong demand for the green fuel, according to Iata. Many airlines are unable to procure SAF without having to ship it over long distances, which defeats the purpose of reducing emissions, Mr Walsh said. 'Waning enthusiasm' Four years after global carriers committed to net zero by 2050, the Iata meeting marked escalating worry among airline chiefs about tackling climate concerns. 'There's a level of scepticism and perhaps even you could say waning enthusiasm for the overall energy transition,' Patrick Healy, group chair at Cathay Pacific, said during a panel on financing net zero target. 'Everyone's realising it's a lot more complicated than we thought a few years ago ... but it's not a problem we can turn our backs on.' Iata forecasts higher profits for airlines in 2025, with a drop in revenue offset by falling prices for traditional jet fuel. Rob McLeod, head of energy risk solutions at Hartree Partners, called on airlines to use the savings from fuel costs to invest more in SAF to help fund the energy transition. 'Lower fossil fuel prices effectively make renewables seem more expensive, but to flip it on its head: all the airlines in the room are saving so much money on their fossil jet [fuel], you've maybe got a bit more in your budget to invest more in SAF,' he told a panel about the energy transition. Iata also criticised plane manufacturers that have failed to deliver new fuel-efficient jets on time, forcing airlines to keep older planes flying for longer. 'Aircraft and engine manufacturers must make good on their promises to bring greater efficiency and carbon-reducing technologies to market fast,' Mr Walsh said. 'By the time we meet next year, we must be able to show more progress.'
Zawya
2 days ago
- Zawya
Vingroup and Gulf States Pursue Sustainability-Led Growth as Legacy Powerhouses Reinvent
Vietnam's Vingroup and Gulf states are both rewriting their growth playbooks through state-led sustainability drives, forging a parallel transformation from legacy empires into green innovation hubs. HANOI, VIETNAM - Media OutReach Newswire - 6 June 2025 - Vietnam's Vingroup and Gulf nations share parallel journeys of strategic reinvention, as the old playbooks that delivered decades of growth are showing their limits. While Gulf countries built wealth on fossil fuel, Vingroup created enormous value through real estate and hospitality. Both are now shifting beyond their legacy sectors: Vingroup focuses on digital innovation and sustainability, and the Gulf nations seeks to diversify beyond hydrocarbons. For them, strategic reinvention becomes the logical response. Not disruption for disruption's sake, but calculated transformation grounded in self-preservation and innovation. Their experiences offer valuable lessons on how legacy powerhouses can adapt to structural transformation. A new growth engine that's not oil The UAE and Qatar demonstrate how national strategy can drive transformation. The UAE's Net Zero by 2050 initiative links energy policy with investment decisions and foreign relations. Qatar's National Vision 2030 embeds environmental stewardship into economic planning. More than just being aspirational, these documents translate into concrete investments. For example, the UAE committed over $54 billion to clean energy infrastructure, while Qatar doubled its solar capacity to 1.675 GW by 2025[1], cutting CO₂ emissions significantly. Sovereign wealth funds play crucial roles. Mubadala and QIA direct capital into clean technology as diversification hedges, treating green investments as strategic portfolio moves that reduce long-term risk while capturing growth opportunities. A Southeast Asian reinvention Turning to Southeast Asia, the story Vingroup mirrors many of the same themes of strategic reinvention seen in the Gulf. Originally a property development powerhouse, the conglomerate diversified into other fields such as electric vehicle production, smart technology, and green manufacturing. VinFast, its automotive arm, delivered over 97,000 electric cars in 2024 and targets 200,000 deliveries in 2025. In the context of Vietnam aiming to become a high-income country in its "era of national rise", Vingroup functions as a national champion, building the country's first global EV brand while creating jobs and technological capabilities. The company's manufacturing complex in Hai Phong utilizes green practices and scales to serve both domestic and export markets. The broader ecosystem reflects systematic thinking. VinBus provides electric public transport in major cities. Smart homes in Vinhomes developments showcase energy efficiency. AI and IoT technologies optimize resource use across business lines. Each initiative reinforces the others. When green visions align Shared motivations drive collaboration. Both regions face climate urgency, pursue economic resilience, and seek global relevance. Complementary strengths make partnership logical. For example, the UAE's Masdar built Indonesia's largest floating solar plant[2]. Vingroup's EV arm, VinFast, opened regional showrooms and has signed several MOUs with regional reputable companies. Vietnam and the UAE signed their first trade pact, focusing on technology exchange. These ties leverage unique strengths: the Gulf states brings capital, energy expertise, and execution; Southeast Asia offers manufacturing, markets, and innovation capacity. In their collaboration, the Gulf states and Vingroup prove legacy players can align vision and capital for systemic change. Sustainability, when policy-led, becomes a growth pathway. Strategic reinvention turns challenges into advantages. Hashtag: #Vingroup The issuer is solely responsible for the content of this announcement. Vingroup
Khaleej Times
4 days ago
- Khaleej Times
Tristar launches greenhouse gas report ahead of UAE's emission reduction law implementation
Tristar Group launched its first annual Greenhouse Gas (GHG) report a few days after the UAE Government put into effect Federal Decree-Law No. (11) of 2024 on the reduction of climate change effects. The law sets out emissions reduction targets across key sectors such as energy, infrastructure, and waste management. Tristar's initiative shows that its GHG emissions for the year 2024 were calculated to be 2,513,747 tonnes of carbon dioxide equivalents (tCO2e). Estimating GHG emissions aligns with Tristar's sustainability goals by providing crucial insights into its carbon footprint. By quantifying GHG emissions, the company aims to identify key areas for improvement and implement targeted strategies to reduce emissions across its operations. 'We did not just comply ahead of regulatory requirements but would really want to take the lead in climate change mitigation as a responsible business,' explained Tristar Group CEO Eugene Mayne. 'Considering the increasing global climate challenges, our initiative underscores the importance of corporate accountability and climate resilience in alignment with UAE's Net zero goals.' The federal law includes various mitigation measures such as carbon capture, utilisation, and storage (CCUS), and enhancement of natural carbon sinks. A key feature of the law is the introduction of a robust measurement, reporting, and verification (MRV) framework. This system mandates emissions inventories, third-party audits, and the creation of a national electronic tracking platform. As a company founded on the principles of Business with Purpose and as a member of the United Nations Global Compact network since 2011, Tristar celebrated World Environment Day on June 3 in support of the United Nation's 2025 theme on 'Beat Plastic Pollution'. Tristar offers a comprehensive range of services to cater to the needs of the petroleum, chemical and petrochemical industries, both in the ME region and globally. Its core expertise lies in its ability to safely house and distribute all types of retail fuels, lubricants, chemicals, petrochemicals and liquid gases by road, sea, or air.
