ESG Report

Environmental sustainability initiatives

We recognize the critical importance of monitoring, adapting, and flexibly applying technology to optimize energy and resource usage. This approach is essential for minimizing environmental affects, responding to epidemics, addressing climate change, and safeguarding the shared environment for all humanity.

FPT has implemented various measures to reduce energy consumption and greenhouse gas emissions. These include installing solar power systems, leveraging digital technology to facilitate online meetings and minimize the use of stationery supplies, as well as digitizing documents and data. Additionally, the Corporation regularly conducts awareness campaigns and displays posters promoting electricity and water conservation in essential areas.

Measures such as waste classification at source and utilization of recycled resources underscore FPT's dedication to environmental protection and sustainable development. This commitment is a significant stride toward establishing a clean, sustainable, and eco-friendly workplace. At FPT, 100% of waste is classified at source, with 100% of hazardous waste being identified and managed in compliance with regulations. Furthermore, FPT's recyclable waste reached more than 17.7 tons in 2023.

In 2023, FPT further broadened its efforts to disclose emissions-related data and unveiled a roadmap and commitments to curtail emissions. This endeavor aims to contribute to our nation's overarching objective of fostering sustainable green development.

FPT's primary environmental priorities encompass: (1) Adherence to legal regulations; (2) Efficient management of energy consumption, emissions, and waste; and (3) Establishing an eco-friendly working environment.

Adherence to legal regulations

In 2023, FPT Corporation, along with its subsidiaries, did not register any instances or notifications about breaches of environmental laws and regulations. The confirmation of no violations is also based on the data of incoming and outgoing documents stored in the company's data information system.

Key activities of the Corporation and its subsidiaries in 2023

Conducting environmental impact assessment reports for all projects in accordance with the regulations stipulated in the Law on Environmental Protection 2020, effective from January 1, 2022, and Decree 08/2022/ND-CP detailing specific articles of the Law on Environmental Protection, effective from January 10, 2022.
Organizing the collection, classification, storage, transportation, and treatment of all types of waste, including domestic solid waste, industrial solid waste, hazardous waste, and others, to ensure compliance with regulations outlined in Decree No. 38/2015/ND-CP and Circular 36/2015/TT-BTNMT.
Managing and operating wastewater collection and treatment systems to ensure that wastewater generated during project operations undergoes treatment to meet the current technical regulations on wastewater before discharge into the environment, as specified in QCVN 14/2008/BTNMT.
Implementing preventive measures to minimize adverse environmental impacts and prevent and respond to environmental risks and incidents. Conducting a periodic ecological management and monitoring program, regularly updated and stored at the project site and submitted to the Department of Natural Resources and Environment for inspection and supervision.

Efficient management of energy consumption, emissions, and waste

Scope and method of data collection

In 2023, FPT took proactive measures by evaluating the greenhouse gas emissions from all buildings and business locations in Vietnam that are owned by its eight subsidiaries.

FPT inventoried the sources of greenhouse gas emissions in two scopes: (1) Scope 1 – Direct emissions from fuel consumption generated by assets owned by the company (2) Scope 2 – Indirect emissions from purchasing energy from third parties. Scope 1 includes: Quantity of gasoline and oil used for company vehicles and fixed machinery systems; Usage of refrigerants in air conditioning systems; Wastewater emissions; CO2 emissions from fire extinguishers; and Use of LPG gas for cooking. In Scope 2, FPT accounted for greenhouse gas emissions sources, including electricity consumption from EVN.

In 2023, FPT's total greenhouse gas emissions amounted to 78,127 tons of CO2 equivalent. The two primary sources of these emissions were electricity consumption for lighting, machinery, and equipment operation (Scope 2) and gasoline usage for FPT-owned vehicles. FPT is strategizing to reduce greenhouse gas emissions from these primary sources and all other emission sources.

In 2023, the total water consumption at FPT-owned office buildings and training facilities reached 669,383 m3, marking a 23.3% increase compared to the previous period. However, this growth rate was lower than the direct workforce growth rate at these locations (47.5%). The water consumption index per employee at FPT-owned buildings and training facilities in 2023 was calculated at 19.1 m3/person/year, indicating a 16.4% decrease compared to the same period, when it was 22.8 m3/person/year. These figures underscore the effectiveness of the water-saving solutions implemented by FPT.

Effective management methods for energy consumption and emissions

Increasing the utilization of natural energy and water sources, such as solar energy, underground water, and rainwater;
Actively deploying solutions to minimize energy consumption and emissions, such as: monitoring monthly electricity consumption closely; implementing smart electrical and water equipment control systems; regularly cleaning heat exchangers, especially air-cooled condensers, to prevent dust and dirt accumulation that can reduce heat exchange capacity; promptly maintaining and repairing damages to avoid energy loss; transitioning from local water heaters to centralized hot water supply centers utilizing solar energy;
Enhancing the expertise of relevant personnel to ensure the effective and scientific management and operation of air conditioning and ventilation systems in the Corporation's owned buildings and training facilities;
Implementing strategies and measures to mitigate greenhouse gas emissions, such as tree planting, utilizing renewable energy/resources, establishing eco-friendly and paperless offices, and promoting virtual meetings over in-person gatherings…;
Promoting the reuse of office supplies by conducting monthly assessments of items within work areas. Unused or infrequently used items will be listed and notified to relevant departments to increase the frequency of usage;
Developing an environmental policy: in 2024, FPT will issue an environmental policy which aims at guiding, educating, and motivating employees to recognize ecological impacts and adopt eco-conscious practices. This policy will underscore the Corporation's commitment to minimizing environmental harm and cultivating a "GREEN" corporate identity, outlining specific actions, responsibilities, and strategies to reduce greenhouse gas emissions.

Establishing an eco-friendly working environment

Monitoring and regulating the indoor air quality in the workplace

The presence of hazardous airborne compounds, such as CO, SO2, NO2, PM2.5, PM10, and Ozone, can lead to severe health issues. Recognizing that our workforce is our most valuable asset, FPT places a strong emphasis on providing optimal conditions for talent cultivation. Additionally, the Corporation prioritizes monitoring and managing indoor air quality within the workplace to uphold a healthy environment for employees. These measures not only enhance productivity and workforce satisfaction, but also mitigate legal risks associated with health and occupational safety regulations.

Each year, the Corporation contracts a specialized unit to comprehensively monitor the workplace environment and compile detailed reports for submission to the appropriate regulatory bodies. In 2023, based on the findings from routine monitoring assessments, the air quality within the internal working areas of both the Corporation and its subsidiaries was found to comply with the permissible limits outlined in QCVN 05:2013/BTNMT and QCVN 26:2010/BTNMT standards.

As an illustration, during the second quarter of 2023, the recorded air quality indicators at the corporation's headquarters building, FPT Tower, were found to be below the national engineering standards. Notably, no carbon monoxide (CO) gas was detected in the air during this period.

Paperless office

In addition to facilitating other businesses' transitions toward a sustainable business model, FPT actively promotes internal digital transformation initiatives aimed at streamlining operations. This approach indirectly contributes to reducing environmental footprints across the organization.

The majority of administrative and operational tasks at FPT have been digitized toward a paperless business model such as online job assignments, electronic invoicing, online purchasing management, and online payment processing. Additionally, work outcomes and other internal requests are evaluated online. FPT has seen significant progress in digital transactions, with over 100,000 electronic contracts signed in 2023. This accounts for approximately 39% of the total signed contracts, reflecting a 6.6% increase compared to 2022.

The Corporation promotes the utilization of public transportation and employee shuttle buses, alongside advocating for the adoption of technology solutions to facilitate online meetings as alternatives to business travel. This initiative aims to mitigate carbon emissions from private vehicles. In 2023, over two-thirds of FPT's meetings and exchanges were conducted online.

Embracing digital transformation to enhance operational efficiency, the Corporation, operating in the technology sector, consistently prioritizes internal digitalization efforts to streamline management and operations, aiming to boost productivity and efficiency. As a result, FPT witnessed a significant increase of 59.5% in the rate of paperless operations in 2023 compared to 2022. Moreover, the reception and processing of incoming and outgoing documents at FPT were facilitated through a proprietary document management system developed by the Corporation, leading to reduced processing times and heightened accuracy. Notably, 100% of the internal documents (excluding important official dispatches and confidential documents) were digitally disseminated via FPT's proprietary software.

An eco-friendly work environment

With offices and buildings across the country, FPT has always been aware that green offices not only help efficiently save energy and reduce office operating costs but also create creative workplaces, thereby promoting sustainable growth.

Accordingly, when investing in office buildings, FPT always conducted environmental impact assessment reports and complied with the laws and regulations on environmental protection, energy consumption, and waste/emission treatment. Simultaneously. during the design process, we also prioritized new technologies and eco-friendly materials, making the most of natural energy sources to minimize negative environmental impact, energy consumption, and discharge.

FPT's educational campuses and software parks in Hanoi, Da Nang, Binh Dinh, Ho Chi Minh City, and Can Tho were constructed using the campus model with office buildings integrated with entertainment areas, green spaces, and landscapes. They included F-Ville Software Village in Hoa Lac Hi-Tech Park (Hanoi); FPT University in Hoa Lac Hi-Tech Park (Hanoi); FPT Complex in FPT City Urban Area (Da Nang); F-Town in Thu Duc Hi-Tech Park (HCMC)… Many of them were highly praised by domestic and international organizations for green architecture prioritizing energy efficiency.

The F-Town 3 campus was classified as one of the trio of typical constructions of Bioclimatic architecture by Wallpaper – The leading British magazine on architecture, art, and fashion. The construction style and design took full advantage of natural resources to provide a comfortable and convenient living environment. More than 40% of buildings include open spaces. In addition, no corridors require energy using air conditioning.
FPT Complex (Da Nang) was awarded the EDGE (Excellence in Design for Greater Efficiencies) by the Ministry of Construction and the World Bank based on achieving savings of at least 20% in all three criteria: energy, water, and materials .
FPT University Alpha Building (Hoa Lac Hi-tech Park, Hanoi) was honored in the Future Education category at the World Architecture Festival and won first prize at the Green Architecture competition organized by the Vietnam Association of Architects for the use of green materials and energy savings.

Recognizing the importance of clean energy sources and based on the industry characteristics, FPT gave top priority to solar energy in ensuring the operation of heating and domestic hot water systems in buildings. Consistently, it affirmed FPT's commitments to environmental protection. Furthermore, it helped save electricity costs while ensuring hot water and steam supplies during the winter in the Northern region.

When designing buildings, FPT focuses on building rainwater storage systems and wastewater filtration systems to make the most of this water source. We aimed at utilizing this water source for practical purposes (such as watering plants), optimizing water consumption costs significantly in the dry season. The infrared system and automatic alternating-current sprinklers were used on all green areas to reduce water use and provide tree maintenance, bringing a nature-friendly workplace to employees.

With clean water coming from the water supply system, we strictly ensured the consistent implementation of water-saving regulations in buildings and campuses. For example, the common areas used touch-sensitive faucets that were automatically turned off when not used. We also launched emulation movements to encourage water efficiency in nationwide offices.

Furthermore, within office buildings and training facilities, the Corporation promoted the utilization of eco-friendly items, such as cups and straws made from bagasse, bottled water containers, and plastic bags crafted from recyclable materials…