Annual Report 2019

ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT China Merchants China Direct Investments Limited Annual Report 2019 67 In accordance with the requirements set forth in Appendix 27 to the Listing Rules, the Company hereby presents this Environmental, Social and Governance (“ ESG ”) Report. The Company is an investment company listed under Chapter 21 of the Listing Rules. The Company has appointed China Merchants China Investment Management Limited (the “ Investment Manager ”) as its investment manager to manage its investment portfolio as well as corporate affairs and to deal with its day-to-day administration under the Investment Management Agreement. The Company, therefore, has no salaried employees, premises, manufacturing or other operations. The Company discharges its corporate social responsibility through balancing the interests between its stakeholders, including its shareholders, and the community to optimise its investment portfolio, maximise shareholders’ return and at the same time minimise the related social and environmental impact, in order to achieve the ultimate goal of operating as a sustainable corporation. This report summarises the ESG policies in addressing the material ESG issues, as well as the compliance with laws and regulations relevant to those issues, of the Company and the Investment Manager, for the year ended 31 December 2019. ENVIRONMENTAL PROTECTION The Company supports environmental protection and is committed to minimising the impact of its existing business activities on the environment by supporting conservation and environmental protection programs even though it generates minimal pollutant. To reduce the environmental impact, the Company has requested the Investment Manager to implement green office practices. Such measures include the using of energy-saving lightings and recycled paper, minimising use of paper, reducing energy consumption by switching off idle lightings, computers and electrical appliances, etc. In 2019, the Company has implemented the following environmental initiatives: ‧ using recycled paper for printing the 2019 interim report; ‧ using double-sided printing and recycled paper for photocopying as much as possible; ‧ using electronic storage and communication wherever possible; and ‧ reducing travel through teleconferencing. There were no non-compliance cases noted in relation to environmental laws and regulations for the year 2019.