Annual Report 2022

73 China Merchants China Direct Investments Limited Annual Report 2022 ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT (CONTINUED) ESG GOVERNANCE STRUCTURE We have established an ESG governance structure to further implement sustainable values for both the Company and our stakeholders, through consistent management and effective communication of ESG issues and constant improvement on the Company’s ESG policies, action plans, performances, and reporting. It is the Board’s responsibility to oversee the Company’s ESG strategy and reporting, as it formulates and reviews the Company’s ESG vision, objectives, strategies and targets to ensure that they are set in accordance with the Company’s strategic goals and vision as well as the latest ESG trends and issues that may affect the Company’s operations. In addition, ESG risks are regularly identified and closely monitored to ensure that adequate ESG risk management and internal control are in place. This report has been reviewed and approved by the Board. The ESG Taskforce is led by an Executive Director and supported by respective officers from different functional departments of CMCIM, and the Board has authorised the ESG Taskforce to manage the Company’s ESG-related matters, and their responsibilities include: ‧ executing ESG policies set by the Board; ‧ reviewing ESG policies to make sure that they remain valid and fit for purposes; ‧ advising the Board on resources allocation on ESG initiatives; ‧ developing action plans and procedures to achieve ESG goals; ‧ managing material ESG-related risks; ‧ monitoring and evaluating the progress against ESG targets and advising its implementation plan; ‧ monitoring the Company’s operations to ensure that they are in compliance with relevant ESG policies and procedures, as well as applicable laws, regulations and standards; and ‧ drafting ESG report.