Chindata Group Releases First Annual 2019 ESG Report

2020-07-29

Beijing, July 28th, 2020 — Chindata Group, a first mover in building next-generation hyperscale data centers, today published its first annual Environmental, Social and Governance (ESG) Report, reporting the company's commitments and achievements in ESG performance for 2019, presenting a comprehensive overview of its renewable energy commitment and energy efficiency, and pioneering initiatives in building the next-generation hyperscale data centers, diversity and innovation and other sustainable business operations.  


Before the ESG report, as early as December 2019, Chindata Group has took the lead to propose a long-term goal to power its next-generation hyperscale data centers with 100% renewable energy, helping clients grow greener. To this end, it has also set up a Renewable Energy Department, which is responsible for coordinating renewable energy development across the company, advancing the transition to green energy and contributing to a sustainable world.


"Since founded in 2015, we have always been aspiring to make data centers more affordable and readily accessible to all through a series of sustainability initiatives, thus bridging the digital gap. We are dedicated to providing more cost-effective and resilient data center services for human development, and empowering emerging countries," said Alex Ju, Founder and CEO, Chidata Group, "We diligently develop our hyperscale data centers at strategic locations where energy, connectivity and clients' business demands intersect. In this way, we could help customers realize their business strategy together with the long-term goal of 'go green'."


2019 ESG Report Highlights: 

Environmental

- A pioneer in Promoting the Industry

Next-generation hyperscale data centers cluster in the pan-Beijing area was the pilot cluster presented by Chindata Group, starting from Beijing, the home base for many digital leaders, and then expanding to Zhangjiakou and Datong, where energy and connectivity abound, creating a three-point data center network structure. Chindata Group selected locations close to both the corporate headquarters and end users to keep high utilization rate. The cluster also embodies the philosophy of "three-in-one" site selection and the hyperscale methodology of "centralized, standardized and modularized" data center, allowing for a full-stack solution that can achieve faster delivery, lower costs and higher scalability. These high-performance hyperscale data centers allow us to satisfy the scaling and elastic demands of leading technology companies throughout their business life-cycles, serving the iterative development of big data, artificial intelligence, cloud computing, IoT and virtual reality.


- Renewable Energy & Energy Efficiency

Chindata Group has adopted "renewable energy and data center" integrated development model since its establishment. In 2019, Chindata Group proposed an industry-wide sustainability goal of sourcing 100% renewable energy, and was ranked No.1 among China’s leading technology companies in a research report released by Greenpeace called Clean Cloud 2020: Tracking Renewable Energy Use in China’s Tech Industry. By focusing on the renewable energy use, Chindata Group reduced its CO2 emissions by about 173 thousand tons in 2019, equaling the yearly amount of CO2 emissions produced by 81,000 homes. 


Additionally, Chindata Group is able to deliver a data center with 36 MW of capacity in China within six months of breaking ground for the site, compared to the industry average of nine to ten months delivery time for a 20 MW facility. We use innovative design and technologies to optimize power usage efficiency, achieving an average annual PUE for our data centers in service of 1.21(a minimum PUE of 1.08), approximately 27.5% lower than the global industry average annual PUE of 1.67, according to Uptime Institute.


Social

- Bridging the Digital Divide

In the face of large imbalance and inequality in the digital age, Chindata Group endeavors to bridge this digital divide. Through technological innovation and supply chain linkage, we will continue to develop next-generation high speed, cost-effective, and easily accessible stable network connectivity. This not only caters to the needs of customers, but also makes information technology more accessible and affordable, allowing Chindata Group to give back to society and create more value.


- Contributing to the Society 

By developing the region's green economy through the building of commercial hyperscale data centers, Chindata Group has utilized its industrial positioning and innovative spirit. The large projects could boost the regional economy with its comparative advantages, while maintaining predictable and manageable costs through local employment. In addition, Chindata Group also plans to collaborate with upstream and downstream enterprises in the supply chain, in order to maximize value through supply chain integration.


- Platform for Employee Development

As Chindata Group takes an open, inclusive, diverse, and equal approach to talent management, and promotes an environment of professional learning and development, the total number of employees has rapidly increased to nearly 1,000 over a short span of five years. We value meritocracy over hierarchy by recruiting and promoting talents with different backgrounds, and aspire to be one of the best employers. To this end, we have built a young and ambitious team with 81.6% of our employees under the age of 35, and a management-level average age of 37, far lower than the average age of managers in our industry. 


Governance

- Compliance and Cybersecurity

Chindata Group continues to build a comprehensive legal compliance system, formulate and regularly update related legal compliance corresponding to applicable laws and regulations, in order to ensure the compliance management and maintain healthy business operations. And it operates with integrity and promotes the compliance penetration through series of training and sessions. We provide secure and reliable 24/7 operations of all systems strictly and abide by the cybersecurity laws to ensure the information security of its customers.


"We see sustainability at the core of its overall strategy, and considers environmental, social and economic factors equally important when making strategic decisions. The Group highly values the development of sustainable business and hopes to create shared value with its stakeholders," closed by Alex Ju.


Chindata Group's 2019 ESG Report was compiled in accordance with the Global Reporting Initiative (GRI) Standards: Core option. The full report can be found at https://www.chindatagroup.com/about/sustainability.html.

 


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