Keppel Infrastructure Trust : Sustainability Report

20% reduction

Carbon emissions intensity

decreased 21% YoY to 8,585 tCO2e/$m. This is a 20% reduction from

2019's levels due to the addition of carbon efficient assets and stronger financial performance.

10%

The Trustee-Manager grew its exposure to renewable energy from 0% to 10% of AUM with investments in a European Onshore Wind Platform and a German Offshore Wind Farm.

Responsible Business

Governance

Established BEC

Established dedicated Board ESG Committee (BEC) in January 2022 to further our commitment to sustainability.

Operational Excellence

0 breaches

There were no physical breaches affecting the operations of KIT's businesses and assets, and no complaints received concerning breaches of customer privacy, nor any leaks, thefts, or losses of customer data identified in 2022.

People and Community

Training and Development

23.7 hrs

The Trustee-Manager achieved an average of 23.7 training hours per employee in 2022, up from 9.2 hours in 2021.

Volunteerism

>1,000 hrs

The Trustee-Manager, together with Keppel Capital, committed more than 1,000 hours of community service in 2022, up from approximately 630 hours in 2021.

Sustainability Report

Letter to Stakeholders

FY 2022 was an important year in advancing our sustainability agenda. KIT reshaped its strategy and portfolio to ensure it can capitalise on and contribute to the global transition to

a low-carbon economy.

For this report, we implemented the Taskforce on Climate-related Financial Disclosures (TCFD) recommendations. KIT supports the TCFD as a useful framework to increase transparency on climate-related risks and opportunities, as well as to support better decision-making, disclosures and performance to build the resilience of KIT's portfolio and operations against climate change impact. To this end, we conducted a detailed scenario analysis in 2022, to evaluate and understand the potential impact of climate-related risks and opportunities facing KIT's portfolio, as well as build on earlier TCFD disclosures on the four key pillars to describe in further detail our approach to climate change adaptation. We have also established our full Scope 3 inventory for relevant categories in

this report.

Supporting Our People and Communities

Stewarding Responsible Business

We maintain a responsible approach to managing our portfolio, which has been integral to our ability to ensure economic sustainability and deliver long-term value

to our stakeholders.

We continue to uphold high standards of corporate governance, ethics

and integrity, and fulfill our fiduciary duties in managing assets of national importance. We have a zero-tolerance approach to corruption, bribery and fraud, and ensure that strong corporate governance is upheld through robust policies and training. Our portfolio of critical infrastructure businesses and assets continued to operate reliably

to provide essential services without major operational or service disruption, made possible by the team's efforts to ensure

Dear Stakeholders,

I am pleased to present Keppel Infrastructure Trust's (KIT) Sustainability Report for the financial year from 1 January to 31 December 2022. As we publish this report, the world is facing an increasingly uncertain economic outlook from continued tensions in geopolitics, and energy instability. Amidst these ongoing challenges, KIT continues to strengthen our resolve and commitment to pursue sustainable growth by focusing on environmental stewardship, responsible business, and people and community.

FY 2022 was an important year in advancing our sustainability agenda. KIT reshaped its strategy and portfolio to ensure it can capitalise on and contribute to the global transition to a low-carbon economy. In April, the Trust reorganised its portfolio into three key business segments: Energy Transition, Environmental Services, and Distribution and Storage. With this strategic reorientation, we made our first foray into the renewables market with the maiden acquisition of wind farms in Europe. Acknowledging the importance of managing environmental, social and governance (ESG) issues for building the resilience of the business, we also established a dedicated Board ESG Committee (BEC) at the start

of the year to further our leadership commitment to sustainability.

We have outlined in this report our performance on our material ESG factors as well as our approach and commitment to manage these factors to create long-term value

for stakeholders.

Strengthening Our Focus on Climate Action

As part of our commitment to climate action, we had set a target of 30% reduction

of carbon emissions intensity by 2030 based on 2019 levels, as well as a target to increase portfolio exposure to renewable energy by up to 25% of Assets Under Management (AUM) by 2030.

During the year, we made significant progress and reduced our carbon emissions intensity by approximately

20% from 2019 levels, bringing us closer to our target of 30% reduction by 2030. To optimise energy consumption and reduce GHG emissions across our portfolio, we deployed energy-efficient equipment and technologies while actively monitoring energy consumption at KIT's assets. Initiatives include the installation of energy-efficient lighting at KIT's waste-to-energy (WTE) plants, the utilisation of energy saving compressors and high-efficiency turbines at Keppel Merlimau Cogen Plant (KMC).

We continued to generate and consume renewable energy from solar photovoltaic (PV) systems at our assets. Besides existing solar PV panels installed at KMC and the Keppel Seghers Ulu Pandan NEWater Plant (UPNP), KIT has also completed solar panel installations at City Energy and is exploring the same at other KIT assets.

We also increased our portfolio exposure to renewables to 10% of AUM with the completion of strategic acquisitions aligned with our carbon strategy. The acquisitions include a European onshore wind platform consisting of three wind farms across Norway and Sweden, a German offshore wind farm,

as well as a leading integrated waste management platform in South Korea.

The Trustee-Manager remains committed to building a talented and engaged workforce to drive the long-term growth and resiliency of the business. We embarked on a Talent Mapping exercise during the year to assess our current capabilities and to identify future capabilities needed to drive and execute our long-term strategy. Development, redeployment and recruitment decisions were made with the insights gathered from the exercise.

To help employees build capabilities, they were encouraged to attend talks related to digitalisation and sustainability during the Keppel Capital Learning Festival held in 2022. Employees were also encouraged to attend the Global Career Festival to upskill themselves and take charge of their professional development. Average training hours exceeded pre-pandemic levels at 23.7 hours per employee.

The company also rolled out flexible working arrangements to support alternative work arrangements while fostering team camaraderie and open collaboration. In-person employee engagement activities such as team bonding activities, tea sessions with senior management, as well as townhalls also resumed. In August, employees went for their first overseas off-site since the onset of the pandemic.

The Trustee-Manager also encourages its employees to make a positive impact in the community and, together with Keppel Capital, we dedicated more than 1,000 hours to support community outreach activities during the year, exceeding the 630 hours in 2021.

In 2022, KIFM and KIT contributed approximately $168,000 in donations to support various philanthropic initiatives and community needs.

high standards of asset quality, safety and security. We do not condone any acts of discrimination and are committed to promoting diversity and inclusion.

At least 30% of KIT's Board is female and the Trustee-Manager will strive to promote diversity at all levels in the workplace.

We will continue to embed responsible business practices throughout the company to preserve the trust that we have built over the years with our investors, partners and communities, as well as to promote the right values and culture among our employees.

The Year Ahead

Looking to the year ahead, while we remain cautious of potential headwinds in the evolving macro environment, we will continue to prioritise executing on our growth strategy to build resilience and take advantage of new opportunities, and further progress on our sustainability objectives.

In closing, I would like to thank all our valued stakeholders for your support and contributions as we continue to chart our growth forward in a sustainable and prudent manner.

Yours sincerely,

Jopy Chiang

Chief Executive Officer

6 March 2023

Keppel Infrastructure Trust (KIT) owns a portfolio of businesses and assets that supports energy transition, safeguards the environment and enhances water security, as well as contributes to driving economic growth globally.

KIT's portfolio of critical infrastructure businesses and assets includes town gas production, gas pipelines, wind farms, waste treatment and water purification, manufacturing and distribution of essential chemicals, as well as the storage of

petroleum products. It serves a large and diversified customer base comprising government agencies, multinational corporations, commercial & industrial enterprises and retail consumers across Asia Pacific, Europe and the Middle East.

As KIT operates in business landscapes that value resource efficiency and environmental, social and governance (ESG) excellence, sustainability management is imperative to the continued success of the business and its ability to create value.

This sustainability report outlines KIT's sustainability strategy and describes the Trustee-Manager's approach to managing material ESG factors.

In 2022, as part of the Keppel Group, the Trustee-Manager initiated an internal review of its sustainability reporting process with advisory assistance from an external consultant. Going forward, the Trustee-Manager will perform an internal review conducted by the internal audit function, with the aim to strengthen its sustainability reporting process, procedures and controls. This report has not gone through external verification, and the Trustee-Manager will review the need

Reporting Period and Scope

This report details the business activities and operations of the KIT portfolio for the period from 1 January 2022 to 31 December 2022 (FY 2022) and reflects KIT's equity interests (indicated in parentheses) in the respective entities. They include:

for external assurance as it continues to enhance its sustainability reporting practices.

Global Reporting Initiative Standards

Energy Transition

Environmental Services

Distribution and Storage

Business/Asset

City Energy (100%)

Keppel Merlimau Cogen Plant (KMC) (51%)

Aramco Gas Pipelines Company (AGPC)1

European Onshore Wind Farm (13.4%)

Borkum Riffgrund 2 (BKR2) (20.5%)2

Senoko Waste-to-Energy (WTE) Plant (100%)

Keppel Seghers Tuas WTE Plant (KSTP) (100%)

Keppel Seghers Ulu Pandan NEWater Plant (UPNP) (100%)

SingSpring Desalination Plant (SSDP) (100%)

Eco Management Korea Holdings (EMK) (52%)2

Ixom (100%)

Philippine Coastal Storage & Pipeline Corporation (Philippine Coastal) (50%)

This report is prepared in accordance with the Global Reporting Initiative (GRI) Standards for the period from 1 January to 31 December 2022. The Reporting Principles from the latest updated GRI Standards have been applied to ensure high-quality and proper presentation of the reported information: Accuracy, Balance, Clarity, Comparability, Completeness, Sustainability Context, Timeliness and Verifiability. Please refer to the GRI Content Index on pages 73 to 76 for the full list of disclosures.

Contact

The Trustee-Manager welcomes feedback that will enhance its sustainability efforts. Please share your feedback with us at investor.relations@kepinfratrust.com.

Sustainability Framework and Policies

Sustainability management is at the core of the Trustee-Manager's strategy formulation and business decisions. Its approach to sustainability is guided by the three thrusts of Environmental Stewardship, Responsible Business, and People and Community. The Trustee-Manager is committed to minimising its environmental impact, upholding strong corporate governance, and creating positive value for all its stakeholders.

Policies guiding the Trustee-Manager's commitment toward responsible business conduct include the Anti-Bribery Policy, Whistle-Blower Policy, Insider Trading Policy, Competition Law Compliance Manual, as well as Health, Safety and Environmental Policy.

Board Statement

"As part of its strategic oversight, the Board has reviewed, approved and considered the material ESG factors in KIT's business and strategy formulation. The Board will continue to review and monitor the management and performance of these ESG factors periodically, with support from management and feedback from key stakeholders."

Guided by the KIT Corporate Statement on Human Rights, the Trustee-Manager is committed to uphold and respect the fundamental principles set out in the United Nations Universal Declaration of Human Rights and the International Labour Organisation's Declaration on Fundamental Principles and Rights at Work. The Trustee-Manager's approach to human rights is also informed and guided by the United Nations Guiding

Principles on Business and Human Rights. Unethical labour practices, such as child labour, forced labour, slavery and human trafficking in any of the Trust's operations are not tolerated, and the Trustee-Manager supports the elimination of such exploitative labour. This approach also extends to the management of the Trust's supply chain. The Keppel Group Supplier Code of Conduct

spells out the Group's expectations of suppliers with regard to ethical business conduct and human rights. The human rights performance of business partners is considered, and suppliers are required to acknowledge and abide by the Keppel Group Supplier Code of Conduct and are subject to audits when required.

These policy commitments are also embedded in the Employee Code of Conduct, which apply to all employees of the Group and its subsidiary companies. These policies are communicated and reinforced to all employees

Sustainability Committee Structure

Board of Directors

Board ESG Committee

on an annual basis through platforms such as online training courses and declarations of adherence to the Keppel Group policies.

Keppel Group policies are reviewed and approved by the Keppel Group Board, Board Committees or Senior Management in charge of the relevant policies where applicable. KIT policies are approved by the KIT Board or CEO. They are periodically reviewed to ensure they are up-to-date and relevant, and are also publicly available on the sustainability pagesof the KIT website.

Sustainability Governance

The Trustee-Manager established a dedicated Board ESG Committee (BEC) in January 2022 to further its leadership commitment to sustainability. The role of the BEC includes providing oversight of KIT's ESG strategy, policies and initiatives, as well as reviewing and monitoring their effectiveness to drive long-term value creation. This includes the approval and review of performance and progress against targets on material ESG factors.

The BEC comprises three independent directors and convenes meetings at least quarterly to discuss KIT's sustainability plans and review its performance.

The BEC is supported by a Sustainability Working Committee that implements the Trustee-Manager's ESG strategy and initiatives.