Climate Transition Plan - Metrics and Targets CLI has effectively tracked and reduced carbon emissions across its portfolio, including CLAR’s properties, leveraging on its cloud-based ETS. These results are transparently disclosed in CLAR’s SR and CLI’s annual GSR. Demonstrating its commitment to climate action, CLI had validated its gross carbon emissions reduction targets with Science Based Targets initiatives (SBTi) in FY 2022. Consistent with the goals of the Paris Agreement and the 1.5°C trajectory, these targets were set according to the SBTi’s absolute contraction approach. CLI has committed to achieving Net Zero emissions by 2050 for its Scope 1 and 2 emissions for its global portfolio, including CLAR’s properties. CLAR’s Scope 1 and 2 emissions for FY 2025, including carbon intensity, is disclosed on page 19. CLAR calculates its carbon emissions in accordance with the GHG Protocol Corporate Standard, utilising the operational control approach as the organisational boundary. For Scope 3 emissions and details on the emissions calculation methodology, please refer to the ESG Data Pack. [IFRS S2 33, 34, 35, 36] Aligned with CLI, CLAR has established sustainability and climate-related performance metrics and targets linked to the remuneration of Key Management Personnel (KMP). These metrics alongside quantitative and qualitative targets as outlined in the FY 2025 Balance Scorecard (BSC), were cascaded down to the Manager and operational teams, including Asset and Property Managers. CLAR references CLI’s shadow internal carbon price31 to quantify climate-related risks and opportunities associated with new investments. This internal carbon price feeds into the proprietary Return on Sustainability metric, enabling the integration of ESG considerations alongside financial returns when making investment decisions. This approach ensures more holistic decision-making and supports the allocation of capital toward lower carbon solutions and renewable energy projects that advance long term sustainability goals. [IFRS S2 29(f)(i), 29(f)(ii)] CLI is reviewing a carbon offsets strategy at CLI Group level that is aligned to the current SBTi requirements. Carbon offsets will only be adopted as a last-mile strategy to offset residual emissions to reach net zero once CLI has achieved its science-based reduction targets and exhausted all other decarbonisation strategies. To ensure carbon offset’s credibility and integrity, CLI’s carbon offset strategy centres on acquiring high-quality, verified carbon credits from internationally recognised and certified projects. CLAR remains committed to supporting CLI Group’s decarbonisation efforts and will continue to refine its processes to monitor climate-related risks and opportunities by exploring and adopting new measurement metrics relevant to its portfolio. In 2023, a global CLI portfolio review was conducted to assess the capital expenditure required to meet the CLI 2030 SMP environmental targets. This review aimed to quantify capital expenditure (CAPEX) required to enhance assets’ environmental performance. The CAPEX will be incorporated into the annual budgets of the respective business units. To support the achievement of CLI 2030 SMP targets, CLAR actively reviews and rejuvenates portfolio assets to sustain market relevance and long‑term value creation, while closely monitoring, tracking, and governing CAPEX deployed for these initiatives. [IFRS S2 16(c), 29(e)] D isclosures on CLI's approach can be found in its Climate Resilience Report 2023. For more information on CLAR’s climate-related targets, performance, strategies, and initiatives, please refer to the Building Portfolio Resilience and Resource Efficiency section from pages 11 to 28. Building Portfolio Resilience and Resource Efficiency 31 This is based on the anticipated Singapore carbon tax (S$50 to S$80 per tonne) to be implemented in 2030. For potential investments in markets where there are country level carbon taxes which are higher, then the higher carbon tax will apply in the ESIA process. CapitaLand Ascendas REIT 22
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