Our commitments

Our short and long term objectives help us deliver Vicinity’s sustainability strategy in a consistent and focused manner across the business, and guide us in delivering the intended positive impacts across our communities and the environment, as well as for Vicinity.

 

Our FY20 commitments and progress

Long term objectives

FY20 objectives

FY20 progress

Community significance

   
Enhance the amenity and perception of our centres through our community investment programs’ focus on disengaged and unemployed youth, supporting increased visitation and stronger loyalty with our centres. 100% of centres to demonstrate progress in implementing initiatives aligned with youth disengagement and unemployment 78% of centres have community investment plans developed during FY20. 
  Measure the social return on investment (SROI) of our Beacon partnership in FY20 SROI study found for every $1 Vicinity invested in Beacon’s programs since 2017, there has been a positive ongoing economic benefit to the community of more than $22 each year
Increase the prosperity of marginalised communities through direct and indirect employment opportunities to enhance our brand and increase Vicinity’s value to retailers and the local community. Achieve at least $3.9 million cumulative spend over 3 year period with social enterprises by end FY20 (20% for enterprises focused on youth 25 years of age and under) Approximately $4 million spent over 3-year period with social enterprises from FY18 to FY20 (18% for social enterprises focused on youth).

 

Implement FY20 Innovate RAP initiatives Delivery timeline for Innovate RAP extended by 6 months due to COVID-19. Number of initiatives implemented during FY20, including celebration of 2019 NAIDOC Week and 2020 National Reconciliation Week.  
Achieve strong employee engagement with Vicinity’s sustainability program through increased awareness and participation Maintain an employee engagement score for sustainability that is equal to or higher than the overall employee engagement score in FY20 A full scale employee engagement survey was not conducted in FY20 due to COVID-19, as a result, engagement score for sustainability was not measured.
  Deliver job readiness workshops for disengaged youth to facilitate youth employment at 50% of centres that deliver jobs fairs in FY20 19 job fairs have been conducted to date of which 5 centres (25%) have implemented job readiness workshops for youth. Additional planned workshops did not go ahead due to COVID-19.

Low carbon smart assets

   
Net zero carbon emissions by 2030 for our wholly owned retail assets Meet annual portfolio energy/carbon intensity reduction target of 3% (against FY19 baseline) by end FY20 Achieved 12% reduction in energy intensity and 17% reduction in carbon intensity (against FY19 baseline) by end FY20.*
  Install at least 30MW of solar on our managed portfolio (20 MW on our 100% owned assets) by end FY20 Installed 25.2MW of solar on our managed portfolio.***
  Obtain NABERS energy ratings for 100% of rateable portfolio by end FY20 Obtained NABERS Energy ratings for 86% rateable portfolio.**
Reduce indirect (scope 3) emissions from our retailer’s operations and the construction of our centres to position ourselves as a partner of choice Establish a baseline against which to set a water intensity reduction target by end FY20 Baseline could not be established, as normal operating conditions were disrupted by COVID-19
  Meet short-term annual portfolio target of 47% recycling rate for operational waste (12 month average) by end FY20 Achieved a portfolio-wide recycling rate of 49% for operational waste
  Obtain NABERS water ratings for 100% of rateable portfolio by end FY20 Obtained NABERS Water ratings for 85% of rateable portfolio**

Climate resilience

   
Increase the resilience of our business and support our retailers and local communities by protecting and preparing our centres for the impacts of climate change Prioritise climate resilience measures for implementation through cost benefit analysis of various initiatives by end FY20 Quantifying financial impacts through progression of climate scenario analysis identified as the next key step to inform this analysis 
   Develop a framework for measuring resilience and establish a baseline for climate resilience for each centre by end FY20 Climate Resilience has been integrated into asset level risk registers which has enabled a climate resilience baseline to be established at the asset level. The baseline will be used to measure improvements in climate resilience at the asset over time.

Other objectives

   
Establish a responsible value chain for Vicinity Commence implementation of our Responsible Procurement Action Plan, with a focus on modern slavery in FY20 Implementation of Responsible Procurement Action Plan underway, with Vicinity’s first modern slavery statement to be published by March 2021.

Across comparable portfolio. Energy and carbon intensity reductions were 4% and 8% respectively for non COVID-19 impacted performance period (to 29 February 2020), surpassing FY20 targeted 3% reduction for both energy and carbon intensity

**Based on Vicinity’s ownership interest as at 31 December 2019. Includes 86% of rateable area for energy and 85% of rateable area for water. FY20 ratings covering 100% of our rateable portfolio will be reported via sustainability.vicinity.com.au when available

*** The Solar target was not met in FY20 due to reallocation of funding into FY21. The $73 million investment in the solar program continues to be underway. 

 

Our FY21 commitments

Long term objectives

FY21 objectives

We will achieve our objectives by

Community Significance

   
Enhance the amenity and perception of our centres through our community investment programs’ focus on disengaged and unemployed youth, supporting increased visitation and stronger loyalty with our centres Demonstrate measurable improvement in centre-level youth issues Ensuring all centres have community investment plans in place with activities focused on disengaged and unemployed youth and integrate into VSAs by end FY21
    Establishing and delivering Youth Issues Response Plan at priority centres during FY21
Increase the prosperity of marginalised communities through direct and indirect support and employment opportunities to enhance our brand and increase Vicinity’s value proposition to employees, retailers and the local community Increase procurement through social and indigenous enterprises and provide recruitment opportunities for youth and Indigenous people Achieving at least $4.5 million cumulative spend over 4 year period with social enterprises by end FY21
    Implementing FY21 Innovate Reconciliation Action Plan (RAP) initiatives
  Achieve strong employee engagement with Vicinity’s sustainability program through increased awareness and participation  

Low Carbon Smart Assets

   
Net zero carbon emissions for our 100% owned retail portfolio (scope 1 & 2) by 2030 to demonstrate evidence of a robust climate strategy, drive operational efficiencies and realise new revenue streams Deliver energy efficiency improvements and on-site solar roll out program in line with or beyond carbon target interim milestones Meeting annual portfolio energy/carbon intensity reduction target of 3% (against FY20 baseline) by end FY21
    Installing 32MW of solar on our managed portfolio (25 MW on our 100% owned assets) by end FY21
  Deliver resource efficiency programs to drive improved environmental and financial outcomes Establishing a baseline against which to set a water intensity reduction target by end FY21
  Deliver programs that enable our retailers to improve their sustainability performance Meeting short term annual portfolio target of 51% recycling rate for operational waste (12 month average) by end FY21

Climate Resilience

   
Increase the resilience of our business and support our retailers and local communities by protecting and preparing our centres for the impacts of climate change Refine and mature climate scenario analysis in line with TCFD framework Further refining the financial impacts of climate change to portfolio and business by end FY21

Other

   
Establish a responsible value chain for Vicinity Implement Responsible Procurement Action Plan, with a focus on modern slavery Continuing implementation of our Responsible Procurement Action Plan, with a focus on modern slavery in FY21