Simon Sustainability Report 2022

SIMON SUSTAINABILITY REPORT 2022

SCIENCE-BASED TARGETS In the past decade, we reduced our direct energy consumption by 31.27% and our carbon footprint by 65.05%. Our ongoing commitment to minimize our environmental impact has led us to fully endorse the Science Based Targets initiative (SBTi). This initiative, jointly developed by the Carbon Disclosure Project (CDP), the United Nations Global Compact, the World Resources Institute, and the WWF, will guide our efforts to reduce absolute Scope 1 and 2 GHG emissions by 68% by 2035, measured against our 2019 baseline. As part of our commitment to the SBTi, we have also established an approved target to reduce absolute Scope 3 carbon emissions from our downstream leased assets by 20.9% by 2035. Meeting these targets will require us to engage with our tenants and encourage them to adopt science-based targets themselves. We will also work with them to invest in renewable energy and other efficiency measures to reduce their operational emissions.

ENERGY CONSUMPTION (MWh)

2035 TARGET EMISSIONS BY SCOPE

900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0

70,672

6,761

792,096

BASELINE EMISSIONS BY SCOPE 2019 - Scope 1 and Scope 2 2018 - Scope 3

2017

2018

2019

2020

2021

2022

Energy (MWh) 2017-2022

ABSOLUTE EMISSIONS FROM SCOPE 1 AND SCOPE 2 (METRIC TONS OF CO 2 e)

220,851

21,129

350,000 300,000 250,000 200,000 150,000 100,000 50,000 0

1,001,385

2017

2018

2019

2020

2021

2022

Emissions (mtons C02e) 2017-2022

● Scope 1

● Scope 2

●  Scope 3

● Electric Power ● Natural Gas ● Other Energy/Emissions Sources*

(TENANT EMISSIONS ONLY)

Emissions Source - Scope 1 + 2 (mtons CO 2 e)

2017

2018

2019

2020

2021

2022

% Reduction (2013-2022)

Given the size and scale of our operations, we recognize the challenges of meeting our targets, particularly in engaging our numerous tenants. However, we remain committed to sharing our knowledge and expanding our relationship with this critical stakeholder group. We are currently finalizing our low-carbon transition plan, which will outline the specific actions we need to take over the next five, ten, and fifteen years to achieve our goals.

Electric Power

262,588

228,320

215,489

93,117 3,966

97,334 4,886

103,798

-68.92% -45.23%

Natural Gas

11,137

6,486

7,049

6,139

Other Energy Sources*

13,035

15,276

19,441

14,729

17,010

16,531

-0.72%

Total

286,759

250,082

241,979

111,812

119,230

126,469

-65.05%

Energy Source (MWh)

2017

2018

2019

2020

2021

2022

% Reduction (2013-2021)

Electric Power

626,998

589,392

565,948

442,313

494,069

492,595

-30.49% -45.28%

Natural Gas

61,342

35,728

38,819

21,839

26,908

33,807

Other Energy Sources*

52,001

56,408

60,726

38,977

49,686

47,077

-26.44%

Total

740,341

681,527

665,494

503,130

570,664

573,479

-31.27%

We follow the GHG Protocol Corporate Standard for our greenhouse gas inventory. For our GHG data tracking, we use the operational control boundaries since they most accurately reflect the day-to-day practices of our business and are most relevant to retail real estate.

* Other energy/emission sources include chilled water, diesel, ethanol blends, gasoline petrol, propane, and refrigerants.

39

ENVIRONMENT

CREATING SUSTAINABLE CENTERS

CUSTOMERS

COMMUNITIES

EMPLOYEES

APPENDIX

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