VICOM : Sustainability Report 2021 Announcement

4/22/22, 5:58 PM

Annual Reports and Related Documents::

Issuer & Securities Announcement Details Additional Details Attachments VICOM - Sustainability Report 2021.pdf

ANNUAL REPORTS AND RELATED DOCUMENTS::

https://links.sgx.com/1.0.0/corporate-announcements/KFSKKDDNSYNC9ZSW/661c240561a64e282f47979b8c53990f4a75cea9592d0b2fa8ee0d… 1/1

VICOM is pleased to present our first standalone Sustainability Report for 2021 to highlight our annual sustainability journey, progress, and performance across the Environmental, Social and Governance ("ESG") domains. Our report articulates our sustainability strategy and aspirations, and we share this report to communicate our sustainability commitment to our valued stakeholders.

VICOM has been publicly listed on the Singapore Stock Exchange since 1995 and is headquartered in Singapore, with operational reach across both Singapore and Malaysia. VICOM comprises of VICOM Inspection Centres, JIC Inspection Services, SETSCO Services ("SETSCO"), SETSCO Services (Malaysia) and SETSCO Consultancy International. VICOM Inspection Centres and JIC Inspection Services, based in Singapore, provide vehicle inspection services to ensure highest standards of roadworthiness and emissions are upheld, whilst SETSCO and SETSCO Services Malaysia perform non-vehicular inspection and testing services across numerous industries in Singapore and Malaysia, respectively. Our SETSCO Consultancy International arm provides various technical consultancy services across a wide range of industries, including the provision of professional engineering services in the Civil and M&E fields.

As a leading Testing, Inspection, and Certification (TIC) provider, VICOM recognises the necessity of a transition towards climate-friendly initiatives in creating a safer and greener tomorrow. We aim to mitigate Environmental, Social and Governance ("ESG") risks and negative impacts whilst positively contributing to society and creating value as a global corporate citizen. VICOM embarks on numerous initiatives and activities to enable sustainable transition and better our ESG efforts, as depicted within this report.

This report has been prepared in accordance with the Global Reporting Initiative ("GRI") Sustainability Reporting Standards (Core Option) and is aligned to the Sustainability Accounting Standards Board ("SASB"): Professional & Commercial Services. We have utilised these internationally renowned sustainability standards within our report as they succinctly assist in the robust reporting and tracking of our management approaches, initiatives, key performance indicators and ultimately target setting for future sustainability ambitions across our identified material topics. Additionally, we reference our ESG efforts to the United Nations Sustainable Development Goals ("UN SDGs") within this report.

Our Sustainability Report meets all the sustainability reporting requirements mandated by the Singapore Stock Exchange ("SGX"). The SGX recently published a consultation paper, urging for the inclusion of additional sustainability related actions for listed organisations. VICOM has undertaken actions to ensure alignment with these updated SGX requirements within the prescribed timeline.

REPORTING SCOPE AND PERIOD

This report illustrates our sustainability performance and relevant ESG considerations for the financial year 2021 ("FY2021"), from 1st January 2021 to 31st December 2021.

This Sustainability Report supplements VICOM Annual Report 2021, which can be found on our corporate websitehttps://www.vicom.com.sg/.

ASSURANCE

We have not sought external assurance within this reporting cycle, however, VICOM will undergo external assurance in the future. We are currently planning to commence conducting internal assurance on our sustainability processes from FY 2022 onwards.

FEEDBACK

We have made this report available online and can be found on our website athttps://www.vicom.com.sg/.

We believe on continuous development and improvement, and we welcome your feedback on our Sustainability Report. Please do not hesitate to reach out to Zaidee Bakee, our Risk and Sustainability Officer, at [e-mail].

SUSTAINABILITY REPORT 2021

01

CONTENTS

• 01 About This Report

• 02 Message from the Chairman and CEO

• 04 2021 in Review

• 06 Our Approach to Sustainability

• 07 VICOM's Mission and Core Values

• 07 Board Statement

• 08 Our Sustainability Framework

• 11 Our Stakeholder Engagement

• 12 Materiality Approach and Process

• 14 Governing Our Sustainability and Risk

• 15 Adopting and Advancing Sustainable Technology and Innovation

• 15 Sustainability Transition

• 16 Climate Friendly Mobility

• 18 Spearheading Environmental Stewardship and Enabling The Transition Towards Sustainability

• 18 Resource Stewardship

• 20 Emissions & Air Quality

• 22 Energy

• 23 Waste

• 25 Water

• 26 Upholding Our Responsibility to Our People, Our Communities, and The Society

• 27 Human Capital Responsibility

• 27 Occupational Health & Safety

• 30 Employee Wellbeing & Work Life Balance

• 31 Human & Labour Rights

• 32 Employee Training, Upskilling & Development

• 34 Diversity, Anti-Discrimination, Inclusion & Equal Opportunities

• 36 Talent Attraction, Retention & Job Opportunity Creation

• 38 Public Health & Safety

• 43 Service Quality & Customer Relationship

• 44 Local Impact & Economic Contribution

• 46 Fortifying Strong Governance and Ethical Business in Our Journey Towards Sustainable Economic Growth and Innovation

• 46 Business & Operational Integrity

• 48 Corporate Governance

• 50 Compliance, Ethical Conduct, Transparency & Accountability

• 51 Responsible Supply Chain & Partnerships

• 52 Testing Integrity

• 54 Cybersecurity, Data Privacy & Security

• 56 Innovation & Growth

• 59 Appendices and Annexes

• 60 Appendix 1: GRI Index

• 64 Appendix 2: SASB: Professional & Commercial Services

• 65 Annex A: Human Rights Policy

• 66 Annex B: Whistleblowing Policy

• 67 Annex C: Supplier Code of Conduct

02

MESSAGE FROM THE CHAIRMAN AND CEO

VICOM LTD

The year 2021 can be marked as a year of resilience amidst ever-changing circumstances. As many adjust to learn how to live in the new normal, we have seen deliberate and concerted efforts from people, companies, and countries to make the new environment a sustainable one.

In FY 2021, VICOM made significant efforts in our sustainability journey, kicking off with the establishment of a Sustainability Committee at the Board level to oversee the integration of Environmental, Social and Governance (ESG) considerations into our business. We then undertook a robust assessment, involving in depth stakeholder engagement across our value chain, to identify the relevant material ESGissues that pertain to VICOM. Significantly, we had also published our very first standalone Sustainability Report. Previously, VICOM's sustainability efforts were subsumed as part of ComfortDelGro's Sustainability Report.

A key overarching theme for VICOM's sustainability journey is not only how we look internally but also our unique position as an enabler of the sustainability transition for our customers and other stakeholders. Through our Testing, Inspection and Certification (TIC) services, we are able to provide support to our stakeholders and our broader society as we transition to more sustainable ways of conducting business and our daily lives.

ADOPTING AND ADVANCING SUSTAINABLE TECHNOLOGY AND INNOVATION

In Singapore, there has been a burgeoning demand for the electrification of vehicles attributed to the national push towards greener energy and sustainable development.

At VICOM, we strive to enable Singapore's vision of climate friendly mobility. We have plans to install Electric Vehicle ("EV") charging stations at our premises and will commence the electrification of our fleet of vehicles, whenever possible. As we electrify our fleet, we will also extend our services to include EV testing and inspection for our customers. We are working with the