OUR APPROACH TO SUSTAINABILITY
How we create long-term value for our business, people, communities and the environment.
As a leading digital and telecommunications conglomerate across 10 countries in South and Southeast Asia, we aspire towards advancing a digital future where people, planet and our business can collectively thrive.
By harnessing the immense capabilities of digital technology to connect, empower and drive positive change, we continue to move closer to realising our vision.
Championing Sustainability
Since our founding, we have progressively strengthened our commitment to sustainability, taking a leadership role across the ESG spectrum while aligning our actions to international standards and approaches.
Axiata Is Founded
Published our 1st Sustainability and National Contribution Report
Launched our 4P Sustainability Framework
Beyond Short-Term Profits
Nurturing People
Process Excellence & Governance
Planet & Society
Adopting Advancing To Zero
Strengthened Our ESG Efforts
Furthering Our Sustainability Journey
Launched our refreshed Axiata Sustainability Framework
Launched the Axiata Diversity, Equity and Inclusion (DEI) Policy
Championing Sustainability
Since our founding, we have progressively strengthened our commitment to sustainability, taking a leadership role across the ESG spectrum while aligning our actions to international standards and approaches.
Axiata Is Founded
Published our 1st Sustainability and National Contribution Report
Launched our 4P Sustainability Framework
Beyond Short-Term Profits
Nurturing People
Process Excellence & Governance
Planet & Society
Adopting Advancing To Zero
Strengthened Our ESG Efforts
Furthering Our Sustainability Journey
Launched our refreshed Axiata Sustainability Framework
Launched the Axiata Diversity, Equity and Inclusion (DEI) Policy
SUSTAINABILITY YEAR IN REVIEW
- Introduced Board Sustainability Committee For Enhanced ESG Oversight
- Refreshed The Axiata Sustainability Framework
Axiata Joins United Nations Global Compact
- Joined the EDISON Alliance and committed to impact the lives of 23 million people by 2025
- Among the first three Telcos globally to implement Open Digital Architecture (ODA) at a large scale
- #1 telco in 6 of our markets based on Digital Reputation Score (DRS)
- 44 start-ups under our Digital Innovation Funds
- Rolled out the Axiata Net-Zero Carbon Roadmap with three- strategic objectives
- Commenced the adoption of TCFD recommendations supported by a three-year Roadmap
- Improved energy intensity of 495.5 GJ per million GB from 674.6 GJ per million GB in baseline year (2020)1
1 Based on Scope 1 and Scope 2 emissions
- Axiata Diversity, Equity and Inclusion (DEI) Framework launched
- 293,943 training hours logged this year2
- > 22,000 lives touched under Axiata Foundation with RM16.7 million investment
- Karuna.lk launched by Dialog – Sri Lanka’s first crowdfunding platform to assist non-profits, organisations and causes
2 Training hours exclude Digital Businesses and Celcom
- Three-year Privacy Programme improved average Privacy Maturity Level to 3.1 from 1.4 in 2020
- Axiata’s Cyber Fusion Centre launched to advocate cyber resilience
- Renewed the Corruption Free Pledge with Malaysian Anti Corruption Commission
- 60% of total spend on local suppliers3
3 For Digital Telco, Infrastructure and Corporate Centre
- USD9.5 billion GDP contribution
- Supported around 0.7 million jobs across Asia
- CAPEX + OPEX investment USD4.7 billion
- Total taxes and fees paid to governments USD1.5 billion
4 Measurement of economic impact and value creation in the markets and communities served by Digital Telcos and Infrastructure
Enhancing Our Sustainability Framework
We refreshed the Axiata Sustainability Framework in 2022 to ensure that our approach remains aligned to current sustainability developments and evolving stakeholder expectations.
Pillared by four key imperatives and underpinned by our core values, the refreshed framework guides the continued integration of ESG considerations within our operations, empowering us to advance a better and more sustainable future for all through technology and innovation, in line with the United Nations (UN) Sustainable Development Goals (SDGs).
Our Sustainability Targets
As part of our sustainability framework, we adopted a set of targets across key material matters to drive progress against our sustainability commitments. Download the full report to see our progress against these targets in 2022.
Material Matter
Digital Inclusion
Target
Improve the lives of around 23 million people between 2022 to 2025 in the areas of healthcare, education and financial inclusion (inclusive of digital skills)
Material Matter
Climate Change
Target
Become net-zero no later than 2050
– 45% reduction in operational emissions
(Scope 1 and Scope 2) by 2030
– Set baseline and target for Scope 3 by end 2023
Material Matter
Fair, Diverse & Inclusive Employment
Target
30% women’s representation in Axiata Group Berhad’s senior management team by 2025
Material Matter
Digital Integrity
Target
Build Digital Trust & Resilience to ensure the protection of customer information and the security of critical infrastructure
Rank among the top 25th percentile in the ASEAN region
on the National Institute of Standards and Technology
(NIST) maturity industry benchmark by 2025
Material Matter
Business Ethics & Governance
Target
Create long-term value by fostering a winning culture based on integrity, ethics and compliance achieved through our mandatory training and awareness programme for employees and broader stakeholders
– >90% training completion for Anti-Bribery & Anti-Corruption,
Whistleblowing, Data Privacy and Cyber Security yearly
30% women’s representation in Axiata Group Berhad Board of Directors (BOD) by 2025
Strengthening Sustainability Governance
In 2022, we reviewed and enhanced the roles of our committees and functions to strengthen our management of and approach to sustainability.
Our upgraded sustainability governance structure is geared towards driving close collaboration between the Group and our OpCos, and moving forward we aim to heighten our oversight across OpCos to support their continuing sustainability journeys.
Determining What Matters
We conducted a thorough materiality assessment exercise in 2022, whereby we engaged our internal and external stakeholders to develop a deeper understanding of the sustainability issues that matter most in our current operating environment.
Based on these engagements, as well as consultations with our OpCos, a refreshed materiality matrix was generated, whereby each sustainability matter was categorised into one of four levels of importance. This enables us to prioritise our sustainability initiatives and actions moving forward in order to maximise shared value for our business and our stakeholders.
Engaging Our Stakeholders
We maintain open and continuous dialogue with our valued stakeholders to better understand their evolving concerns. The insights we gain enable us to stay abreast of emerging issues across our regional footprint, driving the creation of targeted initiatives and sustainability strategies.
Society Organisations
Investors & Analysts
& Government
Management & Board
Why They Are Important
Our customers refer to the subscribers of Axiata’s services and are comprised of both individual and business consumers. We value each of our customers and the experience that they have on our network, and impact of our solutions and services. We are committed to delivering optimum performance to meet our customers’ expectations and user experience.
How We Engage
We undertake a range of surveys across our markets to understand customer satisfaction and expectations. Scores are benchmarked against our peers, and the data analyses, among others, drive operational excellence.
Why They Are Important
Our customers refer to the subscribers of Axiata’s services and are comprised of both individual and business consumers. We value each of our customers and the experience that they have on our network, and impact of our solutions and services. We are committed to delivering optimum performance to meet our customers’ expectations and user experience.
How We Engage
We undertake a range of surveys across our markets to understand customer satisfaction and expectations. Scores are benchmarked against our peers, and the data analyses, among others, drive operational excellence.
Why They Are Important
Our suppliers and business partners provide us business critical products and services that enable us to drive our business strategy. We work in partnership to deliver best value for our operations as well to build mutual beneficial support to grow respective businesses
How We Engage
We conduct engagement with key suppliers to understand solutions and services that can drive operational excellence. We come together with our business partners and suppliers to address opportunities for improvement during performance management and the Annual Supplier Forum.
Why They Are Important
We are present in a diverse and fast developing economic region. We recognise that strong community participation and engagement is needed as part of our social licence to operate.
How We Engage
Building relationships with the community through partnerships with local NGOs to foster digital inclusion initiatives, corporate responsibility programmes and needs assessment of local stakeholders. We communicate our initiatives through digital and print media.
Why They Are Important
The media provide a platform to communicate with our key stakeholders and local communities. Media channels allow us to promote new products and services, corporate announcements and thought leadership.
How We Engage
We engage with the media through interviews, press releases, conferences and other engagement activities.
Why They Are Important
As owners of Axiata, shareholders and analysts provide us with the financial capital needed to sustain our growth. They are entitled to receive a return on their investment and be apprised of developments in the Group.
How We Engage
We conduct an Annual General Meeting to meet and be accountable to shareholders. We also organise regular investor roadshows and analyst meetings to engage shareholders on current corporate developments.
Why They Are Important
Our regulators and authorities specify the national laws and regulations that determine the licence and scope of our activities in our respective markets of operation. They provide our OpCos access to operating licences, and impose regulatory measures which have potential cost implications for the Group.
How We Engage
We proactively engage with country regulators and authorities through industry meetings, thought leadership platforms, and capacity building workshops to support and enable the digital ecosystem.
Why They Are Important
As a regional industry player in the telecommunications industry, we collaborate and
partner with other industry bodies within and related to the industry as well as aligned with key area of interests.
How We Engage
We engage with relevant industry bodies through regular discussions and business roundtables for the continual improvements of telecommunications industry.
Why They Are Important
Our innovative and diverse workforce is essential to delivering the best digital experience for our customers. We drive a culture of high performance and accountability that attracts, develops, and retains the best talent to deliver our business strategy.
How We Engage
Axiata conducts an annual Employee Engagement Survey, regular Townhalls and a range of digital platforms to stay engaged with employees across the Group.
Advancing The UN SDGs
In support of the global sustainable development agenda, we have aligned our sustainability framework with the United Nations (UN) Sustainable Development Goals (SDGs), a set of 17 global goals established by the UN General Assembly to make the world a better place by 2030.
For 2022, we have identified nine UN SDGs that align with our sustainability agenda, and which we shall aim to advance through our initiatives.
Amplifying Our Impact
Through our memberships and participation in key local and global organisations, we gain access to insights, skills and networks that enable us to deliver greater impact.
GSMA
We drive collaboration within the mobile ecosystem as a member of the Board and working team of GSMA, while also participating in key initiatives under GSMA including the Humanitarian Connectivity Charter, Climate Action Taskforce and Connected Women Commitment Initiative.
United Nations Global Compact (UNGC)
We joined the UNGC in November 2022, pledging to incorporate the compact’s Ten Principles that enshrine ethical business practices concerning human rights, labour, environment and corruption.
CEO Action Network (CAN) Malaysia
As a member of this network and co-lead/secretariat of its Policy Advocacy Workstream, we work collaboratively with CEOs and Board members from other leading companies to shape future-ready and ESG-integrated business models and ecosystems.
TM Forum
Since 2010, we have been a member of this 850+ alliance of global companies working together to break down technology and cultural barriers between digital service providers, technology suppliers, consultancies and systems integrators.
30% Club
As a member of the 30% Club, we advocate for the achievement of minimum 30% women representation at all senior decision-making tables – including Boards and C-Suites – across Malaysia.
Our Performance In Numbers
Read about the impact we made in 2022.
About Our Sustainability Report
And Guidelines
Boundary
Frameworks, Standards And Guidelines
This year’s Sustainability and National Contribution Report has been prepared in alignment with recognised global and local sustainability reporting frameworks, standards and guidelines as follows:
- Bursa Malaysia Main Market Listing Requirements on sustainability reporting
- Bursa Malaysia Sustainability Reporting Guide (3rd edition)
- Global Reporting Initiative (GRI) Universal Standards 2021
- Sustainability Accounting Standards Board (SASB) – Telecommunications Services (Industry Standard, Version 2 18-10)
- GSMA ESG Metrics for Mobile (June 2022)
– United Nations Sustainable Development Goals - Task Force on Climate-related Financial Disclosures (TCFD) recommendations
- GHG Protocol
- United Nations Global Compact’s (UNGC) Ten Principles
- ISAE 3000 (Revised) – Limited Assurance Engagement
We are a signatory to the United Nations (UN) Global Compact and are committed to the 10 Principles. This Report serves as our Communication on Progress (CoP), which is submitted to the UNGC.
In addition, our disclosures were guided by relevant performance indicators from the following global ESG ratings and benchmarks such as the Carbon Disclosure Project (CDP) Worldwide, S&P Global Corporate Sustainability Assessment (CSA), FTSE4Good Bursa Malaysia and MSCI.
Frameworks, Standards And Guidelines
This year’s Sustainability and National Contribution Report has been prepared in alignment with recognised global and local sustainability reporting frameworks, standards and guidelines as follows:
- Bursa Malaysia Main Market Listing Requirements on sustainability reporting
- Bursa Malaysia Sustainability Reporting Guide (3rd edition)
- Global Reporting Initiative (GRI) Universal Standards 2021
- Sustainability Accounting Standards Board (SASB) – Telecommunications Services (Industry Standard, Version 2 18-10)
- GSMA ESG Metrics for Mobile (June 2022)
– United Nations Sustainable Development Goals - Task Force on Climate-related Financial Disclosures (TCFD) recommendations
- GHG Protocol
- United Nations Global Compact’s (UNGC) Ten Principles
- ISAE 3000 (Revised) – Limited Assurance Engagement
We are a signatory to the United Nations (UN) Global Compact and are committed to the 10 Principles. This Report serves as our Communication on Progress (CoP), which is submitted to the UNGC.
In addition, our disclosures were guided by relevant performance indicators from the following global ESG ratings and benchmarks such as the Carbon Disclosure Project (CDP) Worldwide, S&P Global Corporate Sustainability Assessment (CSA), FTSE4Good Bursa Malaysia and MSCI.
Scope And Boundary
The year’s Sustainability and National Contribution Report covers the sustainability disclosures of the Group’s Triple Core Business – Digital Telcos, Digital Businesses and Infrastructure. These are businesses in which the Group has key operating control over (“Operating Companies” or “OpCos”). Digital Telco operations account for over 91.9% of the Group’s Operating Revenue.
Our business footprint cuts across ASEAN and South East Asia which includes Malaysia, Indonesia, Sri Lanka, Bangladesh, Cambodia, Nepal, Pakistan, Myanmar, Laos and Philippines.
This Report excludes wholly owned and non-wholly owned subsidiaries and financial investments, and associate and companies that are in the process of being disposed. In 2022, the Group and its OpCos underwent two significant changes and they included the Celcom-Digi merger, making it the largest mobile telco in Malaysia, as well as deepening its presence in Indonesia and capitalising on the growing enterprise market through the acquisition of Indonesian telco, Link Net.
We note that our OpCos’ operating environments may vary significantly from one market to the next, but we have nevertheless made the attempt to harmonise general reporting areas, as well as highlight the achievements and milestones of our specific OpCos throughout the disclosure. Our OpCos are encouraged to produce their own standalone sustainability report to provide more insight into their respective sustainability management and context.
Where relevant and available, we have provided historical data for comparison.
Assurance
A limited assurance was conducted on selected indicators of Axiata Group Berhad including its Operating Companies. This year we included in the assurance scope six indicators across Environment, Social and Governance. This is part of our effort to enhance sustainability data reporting across Group. The assurance was conducted in accordance with the ISAE 3000 standard “Assurance engagements other than audits or reviews of historical financial information” and the ISAE 3410 standard “Assurance engagements on Greenhouse Gas Statements” among our key operating companies.” For more information on the subject matter and scope of assurance, please refer to the assurance statement on page 130 of our Sustainability and National Contribution Report 2021.
Reporting Suite
Download past reports produced by the Axiata Group, including Integrated Annual Reports, Governance & Audited Financial Statements and Sustainability Reports.
2012 Reports
