Keppel Infrastructure Trust : Sustainability Report

SUSTAINABILITY REPORT

SUSTAINABILITY

REPORT

Sustainability management is imperative to the continued success of KIT and its ability to create value. Guided by our three strategic pillars,

Sustainability Highlights

ENVIRONMENTAL STEWARDSHIP

we are committed to generating stable and sustainable returns for our Unitholders.

Sustainability Framework

36% reduction

Carbon emissions intensity decreased 20% year-on-year (YoY) to 6,900 tCO2e/$m. This is a 36% reduction from 2019's levels largely due to exceptional portfolio performance resulting in higher Distributable Income for KIT in 2023.

EMISSIONS INTENSITY

19%1

Increased exposure to renewable energy from 10% to 19% of AUM with the acquisition of a solar portfolio in Germany, which includes over 60,000 bundled solar photovoltaic (PV) systems across the country.

RENEWABLES

ENVIRONMENTAL

RESPONSIBLE

PEOPLE AND

RESPONSIBLE BUSINESS

STEWARDSHIP

In line with Keppel's Vision 2030, KIT actively contributes towards enhancing resource efficiency, improving our environmental performance, and contributing to addressing climate change.

BUSINESS

A resilient business is supported by a strong and effective Board, robust governance and discerning risk management.

COMMUNITY

People are at the heart of our business. We are committed to building a safe and healthy workplace, investing in nurturing and developing our people to reach their full potential as well as actively

Zero incidences

Zero instances of non-compliance with laws or regulations, nor any incident of corruption, bribery or fraud.

COMPLIANCE

Zero breaches

No incidents of physical security breaches affecting the operations of KIT's businesses and assets and no leaks, breaches, thefts and loss of customer data.

OPERATIONAL EXCELLENCE

uplifting the communities where we operate.

PEOPLE AND COMMUNITY

28.4 hours

>900 hours

For more information,	For more information,
go to: pages 54 to 65	go to: pages 66 to 71

For more information, go to: pages 72 to 81

The Trustee-Manager achieved an average of		The Trustee-Manager, as part of Keppel's Fund
28.4 training hours per employee in 2023, up from		Management and Investment platforms (Keppel FM&I),
23.7 hours in 2022.		committed more than 900 hours of community
		service in 2023, exceeding its target of 500 hours.
TRAINING AND DEVELOPMENT		VOLUNTEERISM

• Following the first phase completion of the German Solar Portfolio.

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SUSTAINABILITY REPORT

Letter to Stakeholders

ADVANCING

SUSTAINABILITY

KEVIN NEO

Chief Executive Officer

DEAR STAKEHOLDERS,

I am pleased to present Keppel Infrastructure Trust's (KIT) Sustainability Report for the financial year ended 31 December 2023.

Amidst the rising agenda of sustainability with climate change and ongoing geopolitical tension shaping the global energy landscape, KIT remains steadfast in upholding its commitment to pursue sustainable growth.

Leveraging the sustainable infrastructure theme, the continued transformation of the KIT portfolio through growth and value creation yielded record financial performance with the Trust's EBITDA, Distributable Income and Distribution per Unit (DPU) achieving its highest level since KIT was formed in 2015.

The strong performance, despite macroeconomic headwinds, is a testament to KIT's portfolio resilience. The essential services and products provided and produced by the Trust's businesses and assets attest to their relevance throughout business cycles.

ADVANCING OUR CLIMATE ACTION

Over the past year, we made good progress in our decarbonisation roadmap, by:

1. increasing our renewable energy portfolio;
2. improving energy efficiency at our businesses and assets;

1. developing infrastructure to support electrification; and
2. championing collaborations to advance our hydrogen strategy.

Our carbon emissions intensity has reduced by approximately

20% year-on-year to 6,900 tCO2e/$m, supported by KIT's record financial performance. This is a 36% reduction from the 2019 base year, exceeding the 30% reduction target set for 2030. As the KIT portfolio continues to grow, the Trustee-Manager is evaluating its carbon emissions strategy with the intention

to set longer-term emissions reduction targets.

In growing its renewables exposure, KIT made its first solar investment with the acquisition of a 45% stake in a solar portfolio comprising over 60,000 bundled solar photovoltaic (PV) systems across Germany. When the acquisition is fully completed in June 2024, the projected combined generation capacity will be 585 MW. Together with the investment in Fäbodliden II, a 17 MW onshore wind farm in Sweden as part of the exclusive pipeline from Fred. Olsen, both acquisitions will increase KIT's total renewable capacity to 1.3 GW, almost doubling the 723 MW as

at end-2022. As at 2 January 2024, KIT's exposure to renewables was 19% of AUM, an increase from 10% in 2022, following the phase one completion of the German Solar Portfolio.

In 2023, the Trustee-Manager continued to champion innovative solutions at the Trust's businesses and assets to improve energy efficiency and reduce our carbon footprint. This includes City Energy's announced collaborations to explore the development of a green hydrogen pipeline and accelerate the commercial usage of hydrogen, and development of off-grid hydrogen fuel cell solutions. City Energy has also established Sun City, which manages the installation, operation and maintenance of solar PV systems for homes and businesses. Since the launch of its EV charging services business in April 2022, Go by City Energy has secured the exclusive rights to install EV charging services for 20,000 carpark lots in private residential and mixed developments.

Down under, KIT announced the proposed acquisition of Ventura,

a leading transportation business in Australia. As an essential service that supports Melbourne's population growth and sustainable commute, Ventura is an electrification leader in Victoria with a clear pathway for electrification, aiming to convert 25% of its 900-buses fleet to electric buses by 2030.

This being our third year in implementing the Taskforce on Climate-related Financial Disclosures (TCFD) recommendations, the Trustee-Manager has carried out an analysis of the potential financial impact from physical risks as detailed on pages 58 to 59 of this report.

The Trustee-Manager has also begun the process of quantifying the potential financial impact of identified transition risks on our portfolio and is seeking to develop a comprehensive transition plan detailing KIT's mitigation and adaptation approach. The enhanced disclosure will provide a useful metric to support better decision-making, disclosures and performance to build the resilience of KIT's portfolio and operations against climate change impact.

NURTURING OUR PEOPLE

AND COMMUNITIES

Our people are a key driver of the growth and development of the business, and the Trustee-Manager is dedicated to fostering a talented and motivated workforce.

The Trustee-Manager is committed to promoting diversity and inclusion, and we do not condone any acts of discrimination. To foster a fair and harmonious environment where individuals are respected and given equal opportunities to grow professionally and personally, the Trustee-Manager introduced the Diversity, Equity & Inclusion Policy, putting in place a more comprehensive version of the Diversity and Inclusion Statement.

The Trustee-Manager continues to prioritise the health, safety and well-being of our employees through providing comprehensive healthcare and wellbeing benefits. We encourage active lifestyles to strengthen physical

and mental health as a holistic approach to employee wellbeing.

In 2023, while the number of workplace injuries have declined compared to 2022, there was unfortunately a workplace fatality involving a subcontractor worker at one of KIT's overseas asset. The Trustee-Manager, together with the asset company, have implemented initiatives to prevent recurrence.

The Trustee-Manager encourages employees to create a positive impact in the communities. Together with Keppel FM&I, we have committed more than 900 hours towards community outreach activities. Additionally, the Trustee-Manager and KIT have also contributed approximately $353,000 in donations to support various philanthropic initiatives and community needs.

CHAMPIONING RESPONSIBLE BUSINESS PRACTICES

Conducting our business in a responsible manner is crucial for economic sustainability. We remain committed to maintaining high standards of corporate governance, ethics and integrity, and fulfilling our fiduciary duties in managing our critical portfolio of businesses and assets. We have zero tolerance for corruption, bribery, and fraud, and ensure that strong corporate governance is upheld through robust policies and training.

Our businesses and assets continued to operate reliably to provide essential

services without major operational or service disruptions, and no complaints of physical security breaches and no leaks, breaches, thefts, and loss of customer data. These results are a demonstration of a proficient team, ensuring that the highest standards of asset quality, safety and security are upheld.

LOOKING AHEAD

We will continue to lean on our growth strategy to capitalise on new and emerging opportunities, while building resilience against uncertainties and headwinds.

In aligning its ESG ambitions with growth plans, the Trustee-Manager established the KIT Responsible Investment Policy, which is in line with the United Nations (UN)-supported Principles for Responsible Investment.

This will guide the continued transformation of the KIT portfolio to support the sustainable infrastructure theme.

In closing, we would like to thank our valued stakeholders for their unwavering support and valuable contributions as we move forward to achieve greater heights.

Yours sincerely,

KEVIN NEO

Chief Executive Officer

14 March 2024

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SUSTAINABILITY REPORT

About This Report

Contact

The Trustee-Manager welcomes feedback that will continually enhance its sustainability efforts. Please share your feedback at [e-mail]

As KIT operates in business landscapes that value resource efficiency and ESG excellence, sustainability management is imperative to the continued success of the Trust and its ability to create value.

Keppel Infrastructure Trust (KIT) is the largest business trust listed in Singapore with a diverse portfolio of businesses and assets spanning three core segments of (i) Energy Transition, (ii) Environmental Services, and (iii) Distribution & Storage.

These businesses and assets provide essential products and services, ranging from town gas production, wind farms and solar PV assets, waste treatment and water purification, gas pipelines, to the manufacturing and distribution of essential chemicals as well as the storage of petroleum products. These diverse businesses and assets are complemented by a broad range of customers including government agencies, multinational corporations, commercial and

Business/Asset

industrial enterprises, as well as retail consumers across Asia Pacific, Europe, and the Middle East.

As KIT operates in business landscapes that value resource efficiency and environmental, social and governance (ESG) excellence, sustainability management is imperative to the continued success of the Trust

and its ability to create value.

This sustainability report outlines KIT's sustainability strategy and details the Trustee-Manager's approach to managing and documenting the performance against the Trust's material ESG factors.

INTERNAL REVIEW

In 2022, KIT initiated an internal review process with internal audit

with respect to the sustainability reporting process, procedures and controls. As part of our commitment to improving our sustainability reporting practices, the Trustee- Manager is reviewing the need for external assurance.

REPORTING PERIOD AND SCOPE

This report documents the business activities and operations of the KIT portfolio, of which KIT's equity interests in the respective entities are indicated in parentheses,

for the period of 1 January 2023 to 31 December 2023 (FY 2023).

As the first phase acquisition of a 45% interest in a German Solar Portfolio was completed in January 2024, it has been excluded from the scope of reporting.

GLOBAL REPORTING INITIATIVE STANDARDS

This report is prepared in accordance with the Global Reporting Initiative

Energy Transition

Environmental Services

Distribution and Storage

City Energy (100%)

Keppel Merlimau Cogen Plant (KMC) (51%)

Aramco Gas Pipelines Company (AGPC)1

European Onshore Wind Farm (13.4%)

Borkum Riffgrund 2 (BKR2) (20.5%)

German Solar Portfolio (45%)

Senoko Waste-to-Energy (WTE) Plant (100%)

Keppel Seghers Tuas WTE Plant (KSTP) (100%)

Keppel Seghers Ulu Pandan NEWater Plant (UPNP) (100%) SingSpring Desalination Plant (SSDP) (100%)

Eco Management Korea Holdings (EMK) (52%) Ixom (100%)

Philippine Coastal Storage & Pipeline Corporation (Philippine Coastal) (50%)

(GRI) Standards for the period from 1 January to 31 December 2023. The report embodies the Reporting Principles of Accuracy, Balance, Clarity, Comparability, Completeness, Sustainability Context, Timeliness and Verifiability from the GRI Universal Standards. The GRI Reporting Principles support the delivery of high-quality and proper presentation of the reported information.

Please refer to the GRI Content Index on pages 82 to 84 for the full list

1 Minority and non-controlling interest, as part of a global consortium to acquire a 49% stake in the asset.

of disclosures.

46 KEPPEL INFRASTRUCTURE TRUST

SUSTAINABILITY REPORT

Approach to Sustainability

SUSTAINABILITY FRAMEWORK AND POLICIES

Sustainability management is at the core of the Trustee-Manager's strategy formulation and business decisions. Its approach to sustainability is guided by the three thrusts of Environmental Stewardship, Responsible Business, and People and Community. The Trustee-Manager is committed

to minimising its environmental impact, upholding strong corporate governance, and creating positive value for all its stakeholders.

BOARD STATEMENT

"As part of its strategic oversight, the Board has reviewed, approved, and considered the material ESG factors in KIT's business and strategy formulation. The Board will continue to review and monitor the management and performance of these ESG factors periodically, with support from management and feedback from

key stakeholders."

As a responsible corporate citizen, the Trustee-Manager's policies form the framework for ethical business practices. These include the Anti-Bribery Policy, Whistle-Blower Policy, Insider Trading Policy, Competition Law Compliance Manual, as well as Health, Safety, Security and Environmental Policy.

KIT's Corporate Statement on Human Rights Policy demonstrates the Trustee-Manager's steadfast commitment to uphold and respect the principles outlined in the

UN Universal Declaration of Human Rights and the International Labour Organisation's Declaration on Fundamental Principles and Rights at Work. Additionally, the Trustee- Manager's approach to human rights

is shaped and directed by the UN Guiding Principles on Business and Human Rights. The Trustee-Manager takes a zero-tolerance stance for unethical labour practices such as child labour, forced labour, slavery and human trafficking and aims to eliminate these within any part of the Trust's operations, including its supply chain. Suppliers are required to acknowledge and abide by the Keppel Supplier Code of Conduct, being subject to audits.

Employees of Keppel and its subsidiaries are required to be familiar with these policy commitments which are embedded

within the Employee Code of Conduct. The policies are communicated and reinforced annually through various platforms such as online training courses and declarations of adherence to the Keppel policies.

Keppel policies are reviewed and approved by the Keppel Board, Board Committees or Senior Management in charge of the relevant policies where applicable. KIT policies are approved by the KIT Board or CEO. They are periodically reviewed to ensure they are up-to-date and relevant, and are also publicly available on the sustainability pages of the KIT website.

The Trustee-Manager is committed to minimising its environmental impact, upholding strong corporate governance, and creating positive value for all stakeholders.

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SUSTAINABILITY REPORT

Approach to Sustainability

SUSTAINABILITY GOVERNANCE

Effective governance is integral to achieving sustainable growth by providing the framework for ethical decision-making.

The Board holds responsibility in governing sustainability matters with inputs from the Board ESG Committee (BEC). The BEC provides oversight

of KIT's ESG strategy, policies and initiatives, as well as monitoring and evaluating their effectiveness to ensure long-term value creation, and makes the relevant

recommendations to the Board. The BEC also reviews and approves KIT's performance and progress against targets for material

ESG factors.

The BEC comprises three independent directors and convenes meetings

at least quarterly to review KIT's sustainability plans and performance.

The BEC is supported by a Sustainability Committee that implements the Trustee-Manager's ESG strategy and initiatives.

This committee comprises personnel from Asset Management, Finance, Human Resources, Investment, Investor Relations and Sustainability, Legal, and Risk and Compliance departments.

Performance against material ESG factors is regularly reviewed by the committee and the BEC is updated on this progress at its quarterly meetings. All directors have undergone the sustainability training mandated by the Singapore Exchange (SGX).

SUSTAINABILITY GOVERNANCE STRUCTURE

	Board of Directors
Board Level	Board ESG Committee
	Chong Suk Shien
	Chairman
Ng Kin Sze	Adrian Chan
Member	Member

Management and

Business Unit Level

Sustainability Committee

	Senior Management
Asset Management			Investment
Human Resources			Legal

Finance		Risk and Compliance

Investor Relations and Sustainability

48 KEPPEL INFRASTRUCTURE TRUST

MATERIALITY ASSESSMENT

A materiality assessment helps the Trustee-Manager understand and prioritise the significant environmental, social, economic and governance factors that affect KIT's businesses and conversely, those that can be significantly impacted by the Trust's activities.

In 2021, the Trustee-Manager worked with an external sustainability consultant to conduct a materiality assessment, which guided its sustainability strategy and management approach. This serves to ensure that the Trustee-Manager remains agile and responsive amid the evolving macro environment

Materiality Assessment Process

	Understand Context &			Stakeholder		Analysis &
	Identify Issues			Engagement		Validation
•	Conducted desk		•	Launched an online		• Analysed quantitative
	research, benchmarking			survey with internal and		and qualitative findings
	and an internal			external stakeholders to		to prioritise material
	document review to			prioritise the shortlist		ESG factors.
	identify relevant			of identified ESG factors.		• List of material ESG
	industry trends and		•	Conducted interviews		factors reviewed
	sustainability issues.			with investors to		and validated by
•	Reviewed current list			understand their		management team.
	of ESG factors against			perspectives on the		• Final list of material
	this context and			sustainability context		ESG factors reviewed
	developed an updated			of the industry and		and approved by
	shortlist of ESG factors			their priorities.		the Board.
	to be prioritised.

and dynamic business landscape, effectively adapting to emerging challenges and opportunities.

The materiality assessment involved

• three-stageprocess starting with reviewing the list of material ESG factors, supplemented by research on macro ESG and industry-relevant trends. KIT followed up by engaging key internal and external stakeholders.

The chart below illustrates KIT's prioritised ESG factors, grouped into two categories. These two categories reflect the level of materiality determined through the materiality assessment process. The Trustee- Manager continually reviews these ESG factors to ensure their ongoing relevance, thereby adjusting its strategy to support business sustainability.

In 2023, the Trustee-Manager reviewed its material ESG factors and determined that the previously identified ESG factors remain relevant. The Trustee-Manager will continue to review these factors regularly, to stay on top

of emerging trends, and adjust its strategies where appropriate to ensure business sustainability.

High
	Material
	ESG Factors
stakeholders
Importance to external	Important
ESG Factors

Low

Importance to KIT

High

Material ESG Factors

High importance to KIT and its key stakeholders, and considered most material and of top priority. These form the focus of its sustainability strategy and reporting, for which it aims to disclose goals, targets and performance.

• Asset Quality and Safety
• Climate Change Adaptation
• Corporate Governance
• Cybersecurity and Data Privacy
• Economic Sustainability
• Emissions
• Employee Health and Wellbeing
• Energy
• Environmental Protection
• Ethics and Integrity
• Human Capital Management

Important ESG Factors

Moderate to high importance to KIT and its key stakeholders. These are actively monitored and managed, and will be included in external reporting as relevant, based on the sustainability context and stakeholder interest.

• Community Development and Engagement
• Diversity and Inclusion
• Physical Security of Assets
• Sustainable Supply Chain Management
• Waste Management
• Water

* The ESG factors within each tier are in alphabetical order.

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SUSTAINABILITY REPORT

Approach to Sustainability

TARGETS AND COMMITMENTS

The Trustee-Manager has set out clear targets to drive performance and manage its material ESG factors. Progress against these targets is monitored and quarterly updates are provided to the BEC. In support of the UN Sustainable Development Goals (UN SDGs) and the 2030 agenda for sustainable development, the Trustee-Manager has identified a total of 10 SDGs that it can contribute most meaningfully to and guide its sustainability strategy to advance sustainable development.

These SDGs present the greatest opportunities to bolster partnerships with other stakeholders for a more sustainable future. To ensure progress and accountability, the Trustee-Manager has set short-term (2023) and medium- to long-term (beyond 2023) targets and commitments for KIT's material ESG factors.

This section summarises the Trust's performance and progress in FY 2023 against the respective targets and commitments.

Environmental Stewardship

ESG Factors	UN SDGs	Targets and Commitments
Climate Change				Commit to the
Adaptation				implementation of the
				TCFD Recommendations.
Emissions				Achieve a 30% reduction
				in carbon emissions
				intensity by 2030 from
				2019 levels and commit
				to establishing an
				absolute emissions
				reduction target in the
				long term.

Energy				Increase KIT's exposure
				to renewable energy
				by up to 25% of AUM
				by 2030.

Environmental			Maintain zero incidents
Protection			of non-compliance with
				environmental laws and
				regulations.
Waste			Divert at least 90% of
Management			waste from landfills
				annually. Recover at
				least 70% of scrap
				metal from bottom
				ash annually.
Water			Zero infringements
Management			of trade effluent
				discharge leading to
				regulatory actions.

Performance and Progress

• Made progress to quantify the potential financial impacts for physical and transition climate-related risks.
• Carbon emissions intensity decreased by 36% relative to 2019 levels largely due to KIT's record financial performance for FY 2023 supported by capital optimisation gains.
• Excluding capital optimisation gains and associated management fees, KIT's reduction in carbon emissions intensity from 2019 would be 7% for FY 2023, even with the addition of carbon emissions from AGPC and EMK for the year.
• The Trustee-Manager continued to optimise energy efficiency by:
• • Installing solar PV panels at select assets to generate renewable energy for operational needs.
  • Improving the energy efficiency of existing portfolio by adopting energy-efficient equipment and technologies, and exploring innovative green energy solutions.
  • Supporting electrification with the expansion of City Energy's electric vehicle (EV) charging services business, with exclusive rights to extend EV charging services to approximately 20,000 carpark lots in private residential and mixed developments. City Energy also announced collaborations to explore the development of a green hydrogen pipeline from Malaysia to Singapore, and accelerate the commercial usage of hydrogen and development of off grid hydrogen fuel
    cell solutions.
• KIT's exposure to renewables increased from 10% of AUM for FY 2022 to 19% of AUM as at 2 January 2024 with the acquisition of Fäbodliden II in December 2024 and the first phase completion of the German Solar Portfolio in January 2024.
• The wind farms generated 1,355,000 GJ based on total electricity sold in 2023.
• There were zero incidents of non-compliance with environmental laws and regulations.
• WTE plants convert waste into ash which significantly decreases waste volume.
• • KIT diverted 97% of waste from landfill in 2023.
  • Recovery rate for scrap metal from bottom ash was 74% for the
    Singapore WTE plants.
• The WTE plants recover energy through its operations to generate electricity, and sold approximately 574,000 GJ, making up 30% of electricity produced in 2023.
• Support Singapore's water security with a reliable supply of freshwater.
• There were zero reported incidents of trade effluent discharge leading to regulatory action in 2023.
• Implemented soil and groundwater testing to ensure that all pollutant levels comply with local regulatory standards.
• Utilised water-efficient equipment, technologies and processes at its plants (e.g. using seawater to cool generators at the KMC Plant and recycling water at Senoko WTE Plant to wash and cool machineries).

Page No.

57 to 63

54 to 57

54 to 57

65

64

64 to 65

50 KEPPEL INFRASTRUCTURE TRUST

Responsible Business

ESG Factors

UN SDGs

Asset Quality

and Safety

Corporate

Governance

Cybersecurity

and Data Privacy

Economic

Sustainability

Ethics and

Integrity

Physical Security

of Assets

Sustainable

Supply Chain

Management

Targets and Commitments

Fulfil contractual obligations and minimise operational disruptions due to equipment or facility problems.

Uphold strong corporate governance, robust risk management, as well as timely and transparent communications with stakeholders.

Uphold high standards of cybersecurity and data protection best practices through the Keppel Cybersecurity governance structure to minimise cyber-attack incidents.

Build a resilient portfolio of assets and businesses that delivers long-term sustainable growth and Unitholder value.

Maintain high standards of ethical business conduct and compliance best practices, with zero incidents of fraud, corruption, bribery and non-compliance with laws and regulations.

To achieve zero physical security breaches affecting plant operations.

Ensure that all major suppliers (providing products or services valued at $200,000 or more in a calendar year) adopt responsible business practices.

Performance and Progress	Page No.
• Fulfilled all contractual obligations, with no major disruption to	69 to 70
operations due to equipment or facility problems.

• Conduct regular maintenance works and designate capital investment for equipment upgrading to ensure that the highest standards of asset quality are maintained to safeguard operational resiliency.
• Certification of assets against internationally recognised standards, such as ISO 9001 and ISO 14001.

• The Trustee-Manager continued to uphold strong corporate governance 66 to 67 and robust risk management practices.

• Maintain a sound and effective system of risk management and internal controls through its Enterprise Risk Management (ERM) Framework.

• There were no complaints received concerning breaches of customer

71

privacy, nor any leaks, thefts, or losses of customer data identified in 2023.

• KIT delivered another bumper year with record EBITDA of $447.6 million 66 and record Distributable Income of $316.8 million for FY 2023, driven

by strong portfolio performance from growth and value creation.

• KIT declared a 62% increase in DPU to 6.19 cents for FY 2023, including a special distribution of 2.33 cents.

• There were zero incidents of fraud, corruption, bribery and non-	67 to 69
compliance with laws and regulations in 2023.

• Employees are required to adhere to the KIT Code of Conduct, which aims to establish and reinforce the highest standards of integrity and ethical business practices.

•	There were no physical security breaches affecting the operations of	70
	KIT's businesses and assets.
•	All major suppliers providing products or services valued at $200,000 or	71
	more in a calendar year have signed the Keppel Supplier Code
	of Conduct.

People and Community

Community			Participate in local
Development			community engagement
and Engagement			initiatives to support
					Keppel FM&I's target of
					>500 hours of staff
					volunteerism in 2023.
Diversity and			Maintain approximately
Inclusion			30% of female
					directorship on
					the Board.

• Dedicated more than 900 hours to support community outreach	80 to 81
activities during the year, together with Keppel FM&I.

• Contributed approximately $262,000 in donations to support various philanthropic initiatives and community needs in 2023.

• Female representation on the Board is at 33.3%.

76 to 77

Employee Health			Achieve zero workplace
and Wellbeing			fatalities.
Human Capital			• Achieve at least
Management			20 hours of training
					per employee in 2023.
					• Achieve at least 75% in
					employee engagement
					score in 2023.

• While the number of workplace injuries have decreased in FY 2023

77 to 80

compared to 2022, there was unfortunately a workplace fatality involving a subcontractor worker at one of KIT's overseas asset. The Trustee-Manager, together with the asset, has implemented initiatives to prevent recurrence.

• Various initiatives have been designed to support the physical and mental wellbeing of employees.

• Achieved an average of 28.4 hours of training per employee, higher than 72 to 76 the 23.7 hours in 2023.

• Employee engagement score in 2023 remained above 80%.
• Provide training opportunities to upskill and develop employees.

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51

SUSTAINABILITY REPORT

Approach to Sustainability

EXTERNAL MEMBERSHIPS, INITIATIVES AND CERTIFICATIONS

The Trustee-Manager contributes to several initiatives and organisations that are dedicated to advancing sustainable best practices and establishing robust corporate governance.

Through its businesses and assets, KIT actively participates in various external industry associations, initiatives, green certifications and award schemes. Keppel is a participant of the UN Global Compact and is committed to its 10 universal principles. As a demonstration of dedication to corporate environmental transparency, KIT, through Keppel FM&I is also a CDP capital markets signatory.

EXTERNAL MEMBERSHIPS AND CERTIFICATIONS

Through Keppel FM&I, the Trustee-Manager is a signatory to the UN-supported Principles for

Responsible Investment and is committed to adopting the PRI's six principles, where feasible.

Keppel's Infrastructure Division, as the operator of Keppel Seghers Ulu Pandan NEWater Plant and SingSpring Desalination Plant, is an active member of the SWA. Launched in 2004, the SWA and is a collaborative platform for member companies to strengthen Singapore's position as a one-stop centre for all water-related services and as a water technology hub.

City Energy is a member of GAS. Formed in 2001, GAS is an independent national body that provides a platform for professionals, practitioners, and experts in the gas industry to collaborate and share knowledge, as well as advance uniformity of industry practice and standards.

Keppel's Infrastructure Division, as the operator of Senoko Waste-to-Energy (WTE) Plant and Keppel Seghers Tuas WTE Plant, is a member of WMRAS. WMRAS is the only not-for-profit association for solid waste management that advocates for best practices and provides a network for industry players to promote recycling to create a more sustainable living environment.

The Trustee-Manager, through Keppel, supports SIAS, which aims to educate, engage and empower the investment community.

The MSCI ESG Ratings assessment measures a company's resilience to long term, financially relevant material ESG risks.1 In 2023, KIT maintained its 'BBB' rating.

1 The use by KIT of any MSCI ESG Research LLC or its affiliates ("MSCI") data, and the use of MSCI logos, trademarks, service marks or index names herein,

do not constitute a sponsorship, endorsement, recommendation, or promotion of KIT by MSCI. MSCI services and data are the property of MSCI or its information providers and are provided 'as-is' and without warranty. MSCI names and logos are trademarks or service marks of MSCI.

KIT's portfolio of businesses and assets have also attained various sustainability certifications as listed below.

Business/Asset

Borkum Riffgrund 2

City Energy

Ixom

Keppel Merlimau Cogen

Keppel Seghers Tuas WTE Plant

Keppel Seghers Ulu Pandan NEWater Plant

Philippine Coastal Storage

& Pipeline Corporation

Senoko WTE Plant

SingSpring Desalination Plant

Sustainability Certification/Awards

Participated in the 2023 GRESB Infrastructure Asset Benchmark

ISO 9001, ISO 14001, ISO 45001, ISO 50001, ISO 45001, SS651 and BizSafe Star Certification, WSHC Safety Innovation Award 2023

ISO 9001, ISO 14001, ISO 45001, ISO/FSSC 22000, EcoVadis Bronze, Supplier Ethical Data Exchange (SEDEX) Membership

ISO 9001, ISO 14001, ISO 45001, ISO 50001

ISO 9001, ISO 14001, ISO 45001, ISO 50001

ISO 9001, ISO 14001, ISO 45001, ISO 50001

ISO 45001

Environmental Compliance Certificate:

• Subic Bay Metropolitan Authority (SBMA) Mabuhay Business Awards (for good corporate governance, HR and OHS practices)
• 2 PCSPC employees were awarded the Outstanding Freeport Worker Awards

ISO 9001, ISO 14001, ISO 45001, ISO 50001

ISO 14001, ISO 45001, Hazard Analysis and Critical Control Points (HACCP) Certification

52 KEPPEL INFRASTRUCTURE TRUST

STAKEHOLDER ENGAGEMENT

The Trustee-Manager regularly engages its stakeholders to obtain insights into their expectations, needs and feedback. This fosters collaboration and informs KIT's business decisions and enables continual improvement in its ESG performance.

The table below details the various channels of engagement for the respective stakeholder groups, as well as the key topics of concern and the frequency of engagement.

Employees

Objectives of Engagement

Build talent pool through continuous investments in training and development, as well as employee wellbeing and welfare.

Engagement Platforms

Dialogue sessions with senior leaders; annual employee engagement survey; appreciation month; physical, mental and financial wellbeing months; staff communication sessions; leadership programmes; teambuilding activities; dinner and dance.

Key Topics of Concern

Employees' personal and professional growth; sharing of ideas; culture of recognition and appreciation; self-directed learning; inspiring others through leading by example.

Frequency of Engagement

Ongoing regular engagement.

Customers

Objectives of Engagement

Grow customer base; deepen relationships with existing and prospective customers.

Engagement Platforms

Regular meetings; feedback channels such as emails and phone calls; regular customer satisfaction surveys.

Key Topics of Concern

Product and service quality; Health, Safety, Security and Environment (HSSE) requirements.

Frequency of Engagement

Ongoing regular engagement.

Investors

Objectives of Engagement

Ensure timely and accurate disclosure of information.

Engagement Platforms

Annual and sustainability reports; media releases; investor presentations; SGX announcements; general meetings; in-person and virtual local and overseas investor roadshows; quarterly teleconferences or webcasts; corporate website; email feedback; meetings and conference calls.

Key Topics of Concern

Business strategy and corporate developments; financial performance; sustainability issues.

Frequency of Engagement

Ongoing regular engagement.

Business Partners

Objectives of Engagement

Align practices for better planning, responsive vendor support and mutually beneficial relationships.

Engagement Platforms

Regular meetings with suppliers, contractors and joint venture partners; management site visits.

Key Topics of Concern

Compliance; collaboration; HSSE matters.

Frequency of Engagement

Ongoing regular engagement.

Governments and

Regulatory Bodies

Objectives of Engagement

Collaborate and work alongside on issues of mutual interest.

Engagement Platforms

Regular meetings and site inspections; renewal of licenses and permits.

Key Topics of Concern

Feedback on new guidelines, including sustainability; opportunities for business collaborations.

Frequency of Engagement

Ongoing regular engagement.

Local Communities

Objectives of Engagement

Impact communities positively.

Engagement Platforms

Volunteer activities; financial contributions.

Key Topics of Concern

Positive social contributions.

Frequency of Engagement

Ongoing regular engagement.

ANNUAL REPORT 2023

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