Governance and Economic

Supply Chain Social & Environment: Collaboration with Contractors (FTSE: SSC12)

17 June 2026

The Company has established operational guidelines for controlling and monitoring risks. In 2025, contractor audits were conducted operating in 60 projects, divided into 57 Low Rise projects and a number of High Rise Projects 3 projects. The Company continuously monitors social and environmental supply chain management in new and ongoing construction projects. This is linked to and sets indicators for ESG issues. The Company uses the audit results to jointly develop employees, contractors, and suppliers, and requires all contractors to pass the assessment criteria set by the Company.

In cases where a contractor does not meet the criteria, the Company requires immediate corrective actions on relevant issues, providing management advice, training, or improvement measures, along with continuously monitoring and evaluating supplier performance. continuously.

ESG-linked audit guidelines consist of 3 main parts:

  1. Environmental impact management and reduction plans, such as for dust, noise, wastewater, and waste management.
  2. Prevention and reduction of social impacts, such as traffic.
  3. Monitoring measures, such as pre-construction, during-construction, and post-construction checks.
  • Contractor Scoring: The audit results will be used as criteria for evaluating contractors to encourage them to collaborate and operate according to the Company's standards.
Score Level Assessment Scoring Criteria
≥ 90% or more = Excellent Met criteria, 90% or more
81 - 89% = Very Good Met criteria, found only minor non-compliance issues.
70 – 89% = Good Met criteria, found moderate deficiencies.
50 – 69% = Fair Met criteria, found deficiencies that require collaboration with contractors to improve and develop issues that have not yet met the criteria.
≤ 49% = Needs Improvement

Did not meet criteria

  • Did not meet criteria A written notification for improvement was issued once, and a timeframe for risk management was set.
  • If, upon expiration of the agreed period, the problem or risk issue cannot be resolved, that contractor shall be removed from the contractor register and further engagement shall cease.
  • Continuous Improvement: Develop a Corrective Action Plan for identified deficiencies, set a timeframe for implementation, and support additional training on high-risk ESG issues such as occupational safety and health. If safety equipment is not available, immediately suspend work on the project, including human rights issues.

(FTSE: SSC12)

ESG Assessment Number of projects assessed Contractors who passed the ESG assessment
Number (of entities) Proportion (%)
High Rise Projects 3 2 100
Low Rise Projects 57 140 100