SMC Electric Limited (“SMC Electric”) released its 2025 Environmental, Social and Governance Report, detailing mixed progress across key climate, resource and social indicators for the year ended 31 December 2025.
The group cut combined Scope 1 and Scope 2 greenhouse-gas emissions to 224.44 tCO₂e, a 26.5% decline from 305.35 tCO₂e in 2024, mainly after switching part of its electricity to rooftop solar generation (69.16 MWh) and outsourcing portions of logistics. Total Scope 3 emissions rose to 32.82 tCO₂e on increased business travel.
Total energy consumption edged up 1.7% to 597.09 MWh as higher electricity and renewable-power use offset lower diesel consumption. Because shipments fell to 1.96 million units, energy intensity worsened to 304.64 MWh per million units (2024: 217.49 MWh) and the firm missed its 2025 intensity target; the board has reset a “maintain or reduce” target for 2026.
Water consumption climbed 18.9% to 2,870 m³ after a pipe burst at the Shunde plant, lifting intensity to 1,464 m³ per million units. Packaging use fell 19.2% to 603 tonnes, driven by greater reuse of cartons and blister packs. Non-hazardous waste totalled 0.7 tonnes, with intensity rising because of lower output and advance paper purchases. The report states there was no material hazardous waste.
Air-pollutant emissions fell sharply as outsourcing of transport lowered nitrogen oxides to 48.24 kg (-71.8%) and particulate matter to 2.24 kg (-80.5%).
SMC Electric identified extreme weather, tightening carbon regulation and raw-material cost inflation as principal climate risks. Scenario analysis under IPCC SSP1-1.9 and SSP5-8.5 pathways was incorporated into risk management; the company committed to annual board reviews and aims to keep or reduce GHG, energy and water intensities in 2026.
On workforce matters, headcount slipped to 110 (-4.3%), while the turnover rate rose to 22% from 10% a year earlier, with the highest churn (57%) in Vietnam. Average training hours per employee increased to 13.1 hours (2024: 9.4 hours). One minor workplace injury was recorded, resulting in seven lost days and no fatalities.
The supply chain expanded to 303 suppliers, 84.5% of whom are mainland-based. All suppliers are screened for quality, environmental and labour compliance; no significant breaches were reported. Product recalls again stood at zero, with a single customer complaint resolved during the year.
Community contributions totalled HK$1.16 million, supporting education, disaster relief and local charities.
Looking ahead, SMC Electric plans to pursue further solar adoption, stricter resource-efficiency measures and broadened Scope 3 emissions tracking to meet its newly stated 2026 intensity reduction goals.