Greenhouse Gas
Emissions Reduction

Managing Our Environmental Impact

Our Environmental & Social Responsibility (“E&SR”) Policy highlights our commitment to managing and mitigating the environmental impacts of our business taking into account resource use, biodiversity and climate change by establishing three Environmental and Social Objectives. The E&SR Policy lays down a solid foundation to incorporate sustainability considerations into the entire lifecycle of our projects and operations. To support the E&SR Policy, we have established a Sustainable Procurement Policy covering specific supply chain-related aspects and a Climate Change Strategy to stipulate our commitment to mitigating, adapting to, and building resilience against climate change.

In Hong Kong, all designated projects begin with a statutory Environmental Impact Assessment (“EIA”). This process engages and consults the public, evaluates potential environmental impacts, and identifies measures to avoid, minimise, and mitigate those impacts as required. After approval of the EIA and obtaining an environmental permit for construction and operation, the detailed environmental requirements are specified in contract documents for construction works, including the employment of environmental specialists with the contractors, to ensure that environmental permit conditions can be appropriately managed throughout the construction, testing and commissioning phases. In addition, electronic environmental management systems are put in place to support the planning and implementation of construction activities and mitigation measures during the construction phase for environmental management and auditing submissions.

To promote knowledge sharing and collaboration with our stakeholders, we have hosted forums, training sessions and site visits with our employees, consultants, contractors, government officials and industry practitioners under the Knowledge Environment since 2012, and the EPD-MTR Joint Environmental Forum which we have co-organised with the Environmental Protection Department (“EPD”) since 2015. Over the past decade, the Forums have covered a broad range of topics including the latest environmental compliance, green building design and sustainability initiatives, as well as low-carbon construction and innovations in practices. We also keep environmental non-governmental organisations informed about the environmental aspects of new railway line construction.

In addition, we have established ISO 14001 certified Environmental Management Systems for the Hong Kong Transport Services Business Unit, Property Management Department, Capital Works Business Unit and some of our overseas subsidiaries, to support environmental impact management and drive continuous improvements during the construction and operation phases.

• ISO 14001 for Operations Training Department (Design, Development, Implementation and Evaluation of Training and Related Consultancy Services)
• ISO 14001 for Hong Kong Transport Services Business Unit – Planning, Development and Delivery of Railway Services, and Management of Railway Assets
• ISO 14001 for Capital Works Business Unit – Project Management of Railway Projects
• ISO 14001 for MTR Corporation Ltd.-Investment Property Department and Property Management Department – Design and Provision of Property and Facility Management Services

Decarbonisation Strategies and Planning

We strive to integrate low-carbon measures into our policies, strategies and planning as well as strengthening our resilience and adaptation to climate-related risks.

Recognising climate change as a highly material issue to our business, we understand it presents both risks and opportunities to our existing operations and future development. Our commitment is demonstrated through our support of the Hong Kong Government’s Climate Action Plan 2050, which outlines strategies and targets for combating climate change and achieving carbon neutrality by 2050. We also support the International Association of Public Transport (“UITP”) Declaration on Climate Leadership which articulates the industry’s responsibility to act and its commitment to climate leadership.

Our Climate Change Strategy emphasises our commitment to managing and minimising our impacts on the climate through mitigation, adaptation and enhancing climate resilience. We have developed a long-term decarbonisation roadmap for the operation and development of our railway and property businesses in Hong Kong. This roadmap was informed by a comprehensive carbon reduction study in which we took into account a comprehensive range of factors including the latest climate science, emerging technology trends, Hong Kong Climate Action Plan 2050, and the associated risks and opportunities for our business.

We are committed to setting science-based carbon reduction targets for the operation and development of our railway network and property portfolio in Hong Kong for 2030 with the longer-term goal of achieving carbon neutrality by 2050. In 2023, our 2030 carbon reduction targets covering our railway and property businesses in Hong Kong has been approved by the Science-Based Targets initiative (“SBTi”).

Our commitment encompasses the wider value chain, ensuring that our decarbonisation efforts reflect impacts beyond our direct railway and property operations. Our Scope 3 disclosure covers activities across our businesses —from the equipment procured to support our operations, to waste generated during service delivery, and even the embodied carbon arising from new railway extension projects.

To better manage Scope 3 emission, one of such measures is our collaboration with the Hong Kong University of Science and Technology ("HKUST") to develop a quantification software to track and benchmark the embodied carbon of our new railway development projects and to explore the utilisation of blockchain technology for carbon footprint reporting in our new railway construction projects. Through this collaborative initiative, we aim to measure our embodied carbon emissions and identify potential areas where further reduction is possible. This information will enable us to incorporate low-carbon construction plans effectively.

Since 2023, we have expanded our disclosure on Scope 3 GHG emissions to cover 9 out of 15 categories that are relevant to our operations, in alignment with the GHG Protocol's Corporate Value Chain (Scope 3) Accounting and Reporting Standard and our SBTs. Additionally, we have continued to enhance the calculation of our Scope 3 emissions inventory and remain dedicated to identifying opportunities for further improvement to enhance our disclosure practices.

By setting a Scope 3 SBT, we are strengthening collaboration with our value chain partners to unlock broader decarbonisation opportunities and drive positive environmental impact beyond the sphere of our own operations.

To support the achievement of our SBTi-approved targets, we have developed a Carbon Reduction Roadmap anchored in four strategic pillars:

• Reducing energy consumption and enhancing energy efficiency
• Electrification of operations
• Scaling up renewable energy adoption
• Decarbonising the value chain

These strategies are underpinned by a diverse portfolio of practical, phased initiatives designed to drive measurable emissions reductions across our operations and supply chain.

For further details, please refer to our full Carbon Reduction Roadmap in the [READ MORE] section below.

Community Participation

With the objectives of raising public awareness towards green transport, we take an active role in engaging the public and working with the technology ecosystem to foster innovation on carbon reduction. In 2021, we introduced Carbon Wallet, a one-stop green lifestyle reward app to promote low-carbon lifestyles through actions in recycling, dining, shopping and mobility. Users can earn points for the carbon emissions saved, redeemable for green products and services from our partners. For details, please visit the official website of Carbon Wallet.

To further promote environmental protection to the public in a fun and friendly way, we introduced our Green Ambassador “Green T Baby” in 2023 to engage public with environmental tips and promote MTR’s commitments to carbon neutrality by 2050.

We also support Environment and Ecology Bureau Charter on External Lighting to switch off unnecessary lighting installations in our properties during the pre-set time to minimise nuisance to the surrounding environment.

Railway Operations

A large-scale chiller replacement project has been carried out at stations and depots, target to reduce electricity consumption by up to 20% following the project completion by 2026. We are also transitioning to LED lightings at our stations and trains and optimising operational procedures for our energy efficiency. In Hong Kong, we have adopted regenerative braking technology to convert kinetic energy produced during train braking to electrical energy which is then fed back into the power supply network for other trains.

At our stations, we focus on enhancing energy efficiency in indoor environmental controls, whilst ensuring comfort for passengers and staff. In addition to safeguarding passengers, our platform screen doors help preserve the ambient temperature by minimising air displacement caused by moving trains.

As part of our carbon reduction strategy, we are incorporating clean and renewable energy. Solar system has been installed at stations and depots including Hin Keng Station, Sunny Bay Station, Siu Hong Station, Kwun Tong Station, Tin Shui Wai Station, Tuen Mun Station, Tai Wai Depot, Tuen Mun Depot, Pat Heung Depot and Chai Wan Depot to support renewable energy development in Hong Kong. We also conducted a trial incorporating solar PV panels on our Phase 5 Light Rail Vehicle to power the in-compartment lighting system, reducing the reliance on purchased electricity. In addition, we continue to explore possible measures to lower carbon emissions of our feeder bus fleet, such as electric buses.

In Hong Kong, we utilise regenerative braking technology to convert kinetic energy from train braking into electrical energy, which is fed to the station power supply for use by station facilities. We have expanded this system with Station Energy Saving Inverter systems at Lai King Traction Substation and HKU Station, capturing an estimated average of 1,650 kWh of regenerative energy daily. This energy is converted to low-voltage AC electricity to power station facilities, including lighting, escalators, etc.

Property Operations

We have adopted a wide range of energy saving measures in our invested and managed properties, including:

• Progressive replacement of traditional lights with LED lightings;
• Monitoring of usage and temperatures of the air-conditioning systems in the main lobbies and club houses;
• Installation of high-efficiency air conditioning systems for plant rooms, common areas and main lobbies, and installation of variable speed drive (“VSD”) and EC plug Fans for air handling units;
• Installation of automatic demand control to regulate air conditioning based on occupancy levels;
• Installation of motion and optical sensor-controlled lightings with dimming function for rear staircases and mechanical floors;
• Regular review on time scheduling of lighting controls in our building management systems;
• Modernisation of lifts and escalators; Proactive replacement with high-efficiency equipment;
• Installation of smart meters;
• Participation in the energy audit conducted by the power companies and development of the associated energy saving plans; and
• Application of Sun Control Window Films at Clubhouse.

We have invested in new technologies to enhance energy efficiency in our shopping malls and office buildings. At Two ifc, a cloud-based analytics platform leveraging AutoTwin, our 3D Digital BIM property management solution. This integrated asset and carbon management platform combines IoT and AI technologies to monitor electricity consumption and equipment performance. By facilitating real-time monitoring, preemptive maintenance and optimising operations, the central chiller plant achieved an overall electricity consumption reduction of over 12%, contributing to energy saving and emissions reduction. Additionally, our energy enhancement initiative at ELEMENTS leverages advanced AI and machine learning technologies to optimise energy efficiency, earning the category winner of Building Products and Technology in Green Building Award 2025 from Hong Kong Green Building Council. The project has effectively reduced the annual energy consumption of the Air Conditioning and Mechanical Ventilation system. In addition, we are advocating for a collective effort to reduce energy consumption by engaging tenants in energy saving initiatives across all our shopping malls.

In our Headquarters, we plan to gradually replace approximately 10,000 fluorescent light tubes with energy-efficient LED tubes, reducing about 50% energy consumption on lighting. Since 2023, all traditional fluorescent light tubes in our Headquarters and replaceable neon light tubes inside MTR rooftop logos were replaced with LED lights.

Project Developments

We encourage our contractors to reduce and recycle construction waste, and reuse excavation materials during construction whenever possible. Any discarded excavation materials and construction wastes should be properly stored, sorted and disposed of in compliance with the regulations. Contractors on all new railway projects are contractually obligated to prepare and implement a Waste Management Plan which includes regular checks on waste handling practices and disposal records. The Waste Management Plans submitted by contractors have been reviewed to ensure effective on-site sorting, reuse, recycling activities, and the use of regional building materials, have been adopted as far as practicable.

Waste Management - Railway Operations

We have placed three-colour recycling bins in all MTR stations for collecting paper, cans and plastic bottles. Since 2018, free drinking water dispensers and water vending machines have been introduced at MTR stations to encourage passengers to use refillable bottles and hence to reduce the use of single-use plastics.

Prior to the enforcement of the legislation banning disposable plastics, we initiated a proactive campaign aimed at reducing the usage of disposable plastic products. This campaign targeted all food and beverage ("F&B") shops in the MTR network, encouraging them to endorse our “Environmental Protection Pledge” and to allow customers to use their own containers for takeaway.

Since 2021, waste ballast from East Rail Line has been upcycled for making eco-paver. Over 120 sets of promotional content across the entire network have been transformed from print to digital formats via QR codes to promote paperless operations. Since 2021, we have been working closely with different partners under the Legacy Train Revitalisation Programme to repurpose retired trains in a resource-utilising and socially caring manner to give our retired trains a second life and continue serving the public. Train cars were transformed into classrooms to provide relaxing learning environment, while straphangers were upcycled as arm stretching facilities for the elderly.

Our chemical waste footprint, primarily consists of used batteries and spent lubricant oil, is relatively small. We have registered our heavy rail stations, depots and bus depots with the EPD as chemical waste producers. Licensed chemical waste collectors have been appointed for proper collection, transportation and disposal of our chemical waste.

Wastewater is treated and discharged into the public storm drainage/sewage system maintained by the Government. The Lok Ma Chau and Lo Wu stations have their own sewage treatment plants, with treated effluent discharged into nearby Hong Kong waters as approved by the EPD.

Waste Management - Property Operations

In our managed properties, we actively promote public awareness of proper waste management and work closely with the Owners’ Committees and Incorporated Owners to promote source separation programmes for recyclables such as used papers, clothes and glass bottles. We also support “Glass to Brick” programme and relevant waste-reduction charters, e.g. Waste Reduction and Recycling Charter, Glass Container Recycling Charter and Enterprise Cherish Water Campaign.

We engage stakeholders in promotional campaigns and schemes such as the “Reverse Vending Machine Pilot Scheme”, “MTR Malls Food Waste Reduction Programme” and “Pilot Scheme on Food Waste Smart Recycling Bins in Private Housing Estates”.

Furthermore, we have implemented various programmes in our managed properties to promote waste reduction, including:

• partnering with EPD Green Outreach to host educational booths to promote reduce, reuse and recycling to our residents;
• joining EPD “Green Collect” programme to enhance the current recyclable collection services at our managed residential properties; and
• collaborating with Carbon Wallet to encourage our residents to practise recycling.

Water Conservation

In our railway operations and at our managed and investment properties, water is primarily used for cleaning trains, infrastructure, stations, premises and greening of our premises. To manage and reduce our water usage, we have introduced water recycling systems and water saving devices across our railway and property operations. Water from train cleaning is recycled for future train washing or toilet flushing water in the depots.

In addition, a self-innovated “walking tank” has been developed and applied to our residential properties to conserve water during regular cleaning of water fountain. Water is purified and reused in the fountain to avoid draining out large amount of water when cleaning the water fountain. We also install sensor water taps, flow restrictions and dual flush toilets at our office premises and MTR Malls.

Indoor Air Quality

With millions of passengers passing through our stations and trains, we take extra care in monitoring and improving air quality in railway operations. To ensure healthy, comfortable and well-ventilated journeys, we monitor air quality in our stations and inside trains in accordance with the Practice Note for Managing Air Quality in Air-conditioned Public Transport Facilities: Railways published by the EPD.

Noise Mitigation

We aim to minimise noise from our operating trains and maintenance activities to protect our neighbours. We have established benchmark noise levels inside the trains based on passenger feedback to deliver a comfortable rider experience and continuously monitor in-train noise levels as well as along our railway.

To mitigate noise during the construction of new lines, construction noise management plans have been prepared for each of the projects by Hong Kong Institute of Qualified Environmental Professionals’ (“HKIQEP”) qualified noise modelling professionals for EPD’s approval, fulfilling the environmental permit condition. Where necessary, appropriate Qualified Powered Mechanical Equipment (“QPME”) and noise mitigation measures are deployed, in order to ensure full compliance of construction noise requirements throughout the project construction period. Prior to any construction works to be carried out during restricted hours, Construction Noise Permit (“CNP”) shall be obtained from EPD, and all associated CNP requirements and well-planned construction works arrangement shall be verified at all times. In addition, all site workers are trained to understand noise control compliance when working during normal and restricted hours.

For operation of railway projects, we developed an all-in-one system integrated with smart sensors that anticipates noise issues before they occur. By continuously collecting train noise data, the system adopts AI analytic algorithm using the Convolutional Neural Network technology, to identify noise sources and trends. It can provide prescriptive maintenance recommendations, allowing us to proactively address noise concerns so as to enhance the well-being of residents near railway tracks. This self-developed system is proudly awarded Gold Award in the 49^th International Exhibition of Inventions Geneva.

We widely adopt modularisation and pre-cast elements in our construction to reduce environmental impacts and noise nuisance. Building Information Modelling (“BIM”) has also been introduced for new lines and property development projects to improve the management of construction and interfaces and to enhance the efficiency of logistical planning and installation processes for building construction. Modular construction, supported by BIM modelling, has improved the process and alleviated nuisance and noise impacts during new lines and property construction.