Aldar’s Sustainability Report To Showcases Its Sustainable Progress

2022 Was A Defining Year In The Sustainability-Led Transformation Of Aldar’s Business.

Faisal Falaknaz, acting group chief financial and sustainability officer of Aldar Properties, said, "Aldar’s 2022 sustainability report tells the story of how we are creating positive impact in the near term while also activating a sustainability roadmap that will drive positive change for years and decades to come.

Underpinning this long-term, strategic approach is our recently launched Net Zero Plan, which is already starting to drive deep and rapid change across all our lines of business and throughout our supply chain.

"Moreover, with the UAE declaring 2023 the ‘Year of Sustainability’ and hosting COP 28, we have a unique opportunity to catalyze collaboration across the real estate value chain to ensure a prosperous future for generations to come."

As mentioned in the report, Salwa Al Maflahi, Director of Sustainability and CSR at Aldar, said, "As Aldar continues on its journey to shape a better future, we are focused on achieving sustainable growth and supporting the development of the UAE economy.

"To achieve our ambitions, we are engaging our entire value chain and actioning plans that span the whole lifecycle of our assets, including everything from low-carbon design and construction through to energy efficiency.

"More broadly, as a group that is a community developer, a retail and lifestyle designer, an educator, and an investor at the same time, we are ideally positioned to tackle social challenges and create a positive impact on communities across the UAE."

Within the report, Aldar outlines the need for closer collaboration across the entire real estate sector and with governments and customers in order to achieve global climate and sustainability goals.

Aldar’s approach to collaboration led to its joining the global Science-Based Targets Initiative (SBTi) Expert Advisory Group for the building sector as well as the Middle East Clean Energy Business Council in 2022.

According to the report, in February 2023, Aldar and the Ministry of Climate Change and Environment co-hosted a real estate-ffocused National Dialogue for Climate Ambition (‘NDCA’) meeting, where 29 real estate and construction companies from across the UAE signed Aldar and MOCCAE’s Real Estate Climate Pledge.

By signing the pledge, the signatories are supporting the UAE’s Net Zero by 2050 Strategic Initiative through a commitment to publishing their own decarbonization targets before COP 28. Aldar is actively engaging companies throughout the UAE's real estate and construction sectors to encourage them to join the pledge and support the UAE’s Net Zero targets.

"As one of the largest real estate developers and managers in the region, Aldar is in a unique position to influence the actions and operations of its supply chain and enhance the sustainability of its assets throughout their entire lifespan," it stated.

Report further commented, Aldar activated its supply chain in 2022 by introducing new low-carbon design guidelines and incentivizing more sustainable building practices. It also held sustainability training sessions for more than 400 of its suppliers over the course of the year.

This work with suppliers went well with other things Aldar was doing, like a portfolio-wide energy retrofit project that should cut Aldar's energy use by about 20%.

The first phase of this project was completed in 2022, with Aldar subsequently making an additional investment of AED 25 million to expand the program.

Aldar’s focus on embedding sustainable and energy-efficient processes in its developments is reflected in the launch of The Sustainable City on Yas Island earlier this year, which saw its first phase sell out within 24 hours, a testament to the demand for a more sustainable way of living.

Aldar gave AED 7.6 billion back to the UAE economy in 2022. This showed that it was still committed to being a part of the UAE's long-term growth.In its role as a strategic partner of the national In-Country Value (ICV) program, 100% of Aldar Projects’ contracts in 2022 were awarded to ICV-certified suppliers.

Aldar is also supporting the local economy through its "Emiratization" program, which aims to develop the next generation of talent in the UAE. In 2022, Aldar saw an increase in the percentage of Emiratis in its corporate offices, reaching 42% of its workforce, up from 35% in 2021, according to the report.

People are a priority for Aldar, whether it is developing the company’s talent or ensuring the safety of its construction site workers, including those that are employed by contractual partners.

According to the report, in 2022, 100% of Aldar’s general contractors demonstrated an improvement in employment practices-related compliance since their initial onboarding, and 90% of the accommodation facilities demonstrated improved compliance against Aldar’s checklist since their initial assessment.

In line with Aldar’s commitment to creating positive social and environmental impact, the company invested over AED 42 million in social responsibility programs over the course of 2022 to promote healthy and inclusive living.

Report concluded, the partnerships forged or expanded included Emirates Red Crescent, Ma’an, the Family Care Authority, and the Department of Community Development, and enabled the company to support initiatives that provide urgent access to housing, healthcare, and education.