HKUST Sustainability Annual Report 2021-2022

HKUST Sustainability 4 Environment Social and Governance Report 2021-22 OVERVIEW Materiality Contents Environment Social/People Governance/ Driver Sustainability Initiatives ESG Frameworks Integrate Financial Systems to Support Net-zero Solutions The University also recognizes the necessary transformations and new opportunities in the global economy and green finance sector to meet net-zero objectives. To engage in this transition, HKUST will draw upon the world-class resources in the School of Business and Management to examine important practical questions of how actions in financial systems can support the adoption of net-zero solutions and drive desired behaviours required on our campus and in our society. The near term actions are to accelerate the evaluation and adoption of net-zero incentive/disincentive mechanisms, the inclusion of internal and social cost of carbon on decision-making, and identifying steps the University can take towards standardizing best-in-class approaches. The long term aim for HKUST is to contribute to the body of practical, transformative actions through our experimentation and leadership by example. A shift of this magnitude will be disruptive throughout all pillars of the economy, society and governance. Because this level of transformation has never been attempted before we must make a conscious effort to refrain from strategies that are isolated, incremental-only, and rooted in the thinking of today. Strengthen Curriculum Modules HKUST will also identify and develop new approaches in teaching, learning, and intellectual exploration to equip our broader community to be active contributors to solving our climate change problems. Immediate priorities include the creation of a Life Cycle Hub and the development of essential skill-building modules, curriculum support, targeted research, and community building. This will support and strengthen policymakers, government officials, business leaders, and members of the community in understanding the critical mind-set changes for transitioning into a circular economy model capable of operating within a net-zero world. The long term aim includes further strengthening curriculum development, experiential learning, and skill-building (e.g. Life Cycle Thinking)