SUSTAINABILITY GOVERNANCE

At CDL, integrating sustainability at the highest governance level enables strategic oversight of ESG issues for long-term value creation. For more than a decade, the strategic leadership spearheaded by our Board Sustainability Committee (BSC) has been critical in effective integration of our sustainability vision into our business and investment strategy, project development, asset management, financial and operational performance as well as community investment.

The BSC has direct advisory supervision of the Group’s sustainability strategy and targets, including that of our subsidiaries M&C and CBM Pte Ltd. The BSC also oversees CDL’s sustainability strategy and is apprised of initiatives to address climate and sustainability-related risks and opportunities, sustainable investment plans, as well as sustainability reporting on material ESG issues, work plans, performance targets setting, tracking and reporting. The CSO reports directly to the BSC, which, as at 31 December 2024, comprised four independent directors as well as CDL’s Group CEO.

This reporting structure started in 2012, where the CDL Corporate Social Responsibility-Corporate Governance (CSR-CG) Committee was established to implement an integrated governance structure, ensuring commitment across all levels and functions. The CSR-CG Committee was renamed the BSC in 2016.

Two meetings are held annually, or more frequently as and when necessary, for the management to update the BSC on the Group’s sustainability plans and performance. In addition, we engage the Board on ESG focused events such as the annual Hong Leong and CDL Group Sustainability Forum. CDL’s CSO also communicates significant global and local ESG trends and practices via emails. The CDL Sustainability Quarterly Report posted online on www.cdlsustainability. com offers regular updates on CDL’s sustainability initiatives and interim environment, health and safety (EHS) performance to the BSC and all our stakeholders. For more details on the BSC’s roles and responsibilities for climaterelated risks and opportunities, please refer to page 2 of the Corporate Governance Report booklet accompanying the CDL Annual Report 2024.

Sustainability does not work in silos in CDL. The Management Executive Committee (ExCo) and senior management of all business units are kept informed of the Company’s sustainability initiatives and progress towards ESG targets, achievements and challenges at monthly CDL senior management meetings. The Company’s sustainability governance, management and disclosures are in line with or ahead of the global best practices and SGX RegCo’s mandate on climate disclosures and board supervision.

To achieve effective integration of sustainability throughout the Company, the CSO chairs the Sustainability Committee, which comprises members across all departments and operational units. For greater accountability, our ESG performance is linked to ExCo members’ remuneration. 30% of our ExCo members’ remuneration is contingent on hitting the Group’s ESG targets, with a respective weightage of 5% for Environmental, 10% for Governance targets and 15% for Social targets. With Heads of Departments (HODs) reporting to the respective ExCo members, the ESG key performance indicators cascade down to every level in our organisation. HODs are held accountable for their ESG performances, which are then captured in their annual performance appraisals that correspond with their remuneration and promotions.

CDL Sustainability Governance Structure

 

Board Sustainability Committee (BSC)

As at 1 Jan 2025

Chairman

  • Chan Swee Liang Carolina (Carol Fong)

    Independent Non-Executive Director

    Ms Chan has more than 30 years of experience in investment banking and financial markets. Currently the Group Chief Executive Officer of CGS International Securities Singapore Pte. Ltd. (CGS International Securities), she is responsible for the overall management and financial performance of the CGS International Securities group’s equities business, a regional franchise covering Asia Pacific (ex-Japan), as well as offices in London and New York. Ms Chan is also an independent board member of Leukemia & Lymphoma Foundation.


Members

  • Sherman Kwek Eik Tse

    Executive Director
    Group Chief Executive Officer

    Appointed as an Executive Director of CDL on 15 May 2019, Mr Kwek has been the Group Chief Executive Officer since 1 January 2018 and concurrently holds the position of Executive Chairman of CDL China Limited. As at 4 January 2021, Mr Kwek has been appointed as Chairman of the Board Sustainability Committee.

    Mr Kwek has been a Council Member of the Singapore Chinese Chamber of Commerce and Industry (SCCCI) since 2013. He was appointed by the SCCCI as the Chairman of the Youth Business Affairs Committee, which is tasked with promoting the Chinese entrepreneurial spirit, managing succession planning and nurturing future business leaders. Mr Kwek is also a member of the Council for Board Diversity (formerly known as the Diversity Action Committee initiated by the Singapore Exchange Limited) which advocates greater gender diversity on the boards of listed companies. In April 2019, he was appointed as a board member of the Building and Construction Authority (BCA), a statutory board that plays a key role in shaping the built environment in Singapore.

    He graduated from Boston University with a Bachelor of Science in Business Administration, majoring in Finance and Marketing with a minor in Psychology.


  • Chong Yoon Chou

    Independent Non-Executive Director


  • Ms Jennifer Duong Young

    Independent Non-Executive Director


  • Ms Wong Su Yen

    Independent Non-Executive Director


More information on CDL’s Board of Directors is available on CDL’s corporate website.