Shui On Xintiiandi and CLP held a press conference in Nanjing to announce a strategic partnership to support China’s dual carbon goals, with Nanjing government officials in attendance

December 8, 2023, Nanjing, China - Shui On Xintiandi (Shui On), a leading investor and manager of premium and sustainable commercial properties in Mainland China, has signed a strategic cooperation framework agreement with the CLP Group (CLP), one of the largest investor-owned power businesses in Asia Pacific. The two Hong Kong enterprises will cooperate in the development of zero-carbon energy and green power to support the low-carbon energy transformation of the commercial real estate industry through high-efficiency renewable energy solutions, in line with the nation’s dual carbon goals of achieving peak emissions by 2030 and carbon neutrality by 2060.

Mr. Allan ZHANG, Chief Executive Officer, Shui On Xintiandi Limited (Left) and Mr. Roger CHEN, CLP Group Managing Director – China (Right) signed the strategic cooperation framework agreement

The first phase of the cooperation is a 10-year power purchase agreement under which CLP will supply green power from its Jiangsu Yangzhou Gongdao Solar Power Station to Shui On’s Nanjing International Finance Center (IFCX) – an iconic commercial and office complex in the heart of Nanjing’s business district. The solar energy will meet the power needs of the entire complex from 1 January 2024, reducing its annual carbon emissions by an estimated 21,000 tonnes, which is equivalent to the carbon sequestration impact of 140 hectares of forest. The agreement is the first medium to long-term agreement of its kind signed by CLP in Mainland China. Another Shui On development currently under construction, Nanjing Baiziting, will also run solely on renewable energy when it is completed.

Mr. Alan CHAN, CLP Group Senior Director - Business Development-China (first row, right) and Ms. Linda CHAN, Deputy Commercial Director, Shui On Xintiandi Limited (first row, left) signed the Power Purchase Agreement of Nanjing IFCX and Memorandum of Understanding for Shui On Power Purchase Agreement (Baiziting Project), witnessed by Mr. Allan ZHANG, Chief Executive Officer, Shui On Xintiandi Limited (second row, left) and Mr. Roger CHEN, CLP Group Managing Director – China (second row, right)

The green partnership will begin in the Shanghai and Jiangsu province region before expanding further afield as the two enterprises explore more comprehensive cooperation in the area of new energy and renewable energy including the supply and purchase of green energy and environmental, social and governance (ESG) initiatives over the longer term.

Early this year, CLP’s subsidiary CLPe signed an agreement with Shui On for Hong Kong’s first Cooling as a Service (CaaS) project. The new cooling system installed at Shui On Centre in Wan Chai has significantly enhanced the energy efficiency of this Grade A office building.

Mr. Allan B. ZHANG, Chief Executive Officer, Shui On Xintiandi Limited, stated, “As a pioneer of sustainable premium urban communities, Shui On recognizes that development of future low-carbon cities is a key area for reducing the planet’s overall carbon emissions. We have adopted a holistic carbon reduction system, from design to operation, to reduce carbon emissions through the use of renewable energy, improving energy management and creating green and healthy buildings. We are also working towards industry best practices in tenant and customer safety and well-being and are inviting everyone in our value chain to join our sustainability journey. This strategic partnership with CLP will be instrumental in achieving our goal for 100% green energy at Nanjing IFCX, which is expected to increase the percentage of renewable energy in our total electricity consumption from 15% to 20%. By introducing green energy in Baiziting and other projects, we will continue to advance near-zero carbon practices, setting a sustainability benchmark for future urban communities.”

CLP’s Jiangsu Yangzhou Gongdao Solar Power Station

CLP Group Managing Director - China Mr. Roger Chen said ESG practices and sustainable development were fundamental pillars of CLP's development strategy. “As early as 2007, CLP established its Climate Vision 2050 with the aim of achieving netzero greenhouse gas emissions across its value chain by 2050. Increasing our investments in renewable energy generation in Mainland China is a key part of our efforts to promote the adoption of zero-carbon energy,” he explained.

Mr Chen added, “CLP is also committed to providing green energy solutions to businesses and providing comprehensive support to customers in the pursuit of sustainability and ESG objectives. The strategic partnership between CLP and Shui On is mutually beneficial and underscores CLP's commitment to promoting renewable energy and creating collaborative platforms with enterprises to advance in the field of new energy, and to make a positive contribution to the nation's dual carbon goals. "

Deepening Green Sustainable Practices in NanjingShui On Xintiandi first entered the Nanjing market in 2018 with its innovative office project, INNO Zhujiang Lu, and has established the city at the forefront of its commercial asset management service innovation and green sustainable practices.

Shui On’s Nanjing IFCX

The Nanjing International Financial Center consists of a 45-story Grade-A office tower and a seven-story retail podium. Attaining both LEED GOLD and WELL HSR certifications, Nanjing IFCX has attracted a diverse mix of high-quality tenants from various fields including technology, finance, real estate construction, high-end commerce, and professional services. The introduction of green energy also means that tenants can reduce operational costs while achieving an annual carbon reduction.

Currently under construction, Nanjing Baiziting, is located in the area around Xuanwu Lake in Nanjing, a site rich in cultural and spiritual heritage. To achieve sustainable development, Shui On will revitalise 11 historical and cultural heritage buildings inside Baiziting through functional renovation, integrating innovative retail, dining, entertainment, and cultural facilities. By reshaping the social community through the juxtaposition of old and new, Shui On will continue to prioritise the human connection with new urban social experiences stemming from culture and art. The project will also implement 100% renewable energy use from the start and, in long-term operation, jointly pursue zero-carbon goals with partners and tenants.

From INNO Zhujiang Lu to Nanjing IFCX and Baiziting, Shui On will continue to bring outstanding sustainable projects to Nanjing and actively engage in green practices in the city. To support its high-quality development, Shui On will also continue to collaborate with partners like CLP to create more green practices to benefit economic, social, and environmental development, and to contribute to the green development of China.