In 2021-22 ESG Report, Prologis announces the aggressive goal of achieving net zero emissions by 2040 across the entire value chain in three steps:

• Deploying 1 GW of solar, supported by energy storage, by 2025
• Net zero emissions from our operations by 2030
• Net zero emissions by 2040 across our value chain

ESG highlights

1. Enable sustainability for our customers

We provide solutions for our customers to reduce their use of energy in logistics operations, which is typically responsible for about 15% of a warehouse’s total operating budget. This helps them reduce their costs and carbon emissions.

We build, operate and maintain rooftop solar systems to benefit our customers. As of 2021, Prologis is the #3 ranked corporation for installed onsite solar capacity in the U.S.

Approximately 60 globally renowned corporations participated in our solar program. In the future, we will provide PV energy storage as a service to reduce operating costs with new energy.

We also help customers upgrade LED lighting with no upfront capital costs, as LED lighting uses 60 to 80% less energy than standard warehouse lighting. This program is scheduled to be 100% completed by 2025. In addition, considering the operational efficiency of new energy vehicles, we expect to manage approximately 10 MWs of EV charging capacity.

2. Efforts towards net zero emissions across the value chain

Prologis proposes two initiatives around the goal of net zero emissions across the value chain.

Initiative 1: Prologis will purchase high-quality certified carbon offsets.

Initiative 2: Prologis intends to reduce its carbon footprint in three ways:

(1) Reduce the energy consumption of buildings and customers

Prologis will adopt a more energy-efficient rooftop structure, such as white or reflective surfaces on roofs.

(2) Sustainable Building Certifications

Prologis seeks for a sustainable building certification for every project and has committed to achieving carbon neutral construction by 2025.

(3) Smart monitoring system

Prologis has developed a smart monitoring system to achieve higher business growth and reduced carbon emissions.

3. Social commitment for better life

Prologis China always believes in corporate responsibility in social development. We focus these efforts in three areas: education, the environment and community support.

Prologis encourages every employee to participate in volunteer events. In 2021, Prologis employees delivered more than 10,700 hours to local communities. We also provide strong monetary support. In 2021, Prologis and the Prologis Foundation made $4.7 million in contributions.

4. Inclusion & diversity

Prologis offers competitive compensation and benefits as well as a favorable working environment. We also try to create an inclusive and diverse culture where innovation thrives.

Our employee engagement survey, completed in 2021, indicates that 88% of Prologis employees feel they are engaged by their work at Prologis, 12% higher than the industry average.

Beyond that, Prologis provides well-structured talent development programs. In 2021, we delivered approximately 7,800 hours of learning, development and training to more than 2,000 employees.

5. Coordinated efforts for ESG goals

Prologis’s excellence in ESG performance is attributable to the synergy from the management to all employees as well as the support of customers and their cooperation.

The Prologis Group also plays a vital role in driving ESG-related strategic businesses, giving priority to the value of ESG performance in operations.

Prologis helps fund projects that enhance sustainability at our facilities. Prologis and our co-investment ventures have issued 16 green bonds and three green private placements of debt over the past four years.

Our ESG achievement will be integrated into efforts towards China's ambitious goal of “carbon neutrality” by 2060 while promoting sustainable development across the industry.