EPG’s First ESG Report Sets Sustainability Standards for Global Expansion

Singapore data center supplier publishes first emissions baseline

EPG Singapore Pte Ltd has published its first environmental, social, and governance report. The document covers 2025 performance and was released in April 2026. For UK businesses working with data center suppliers or monitoring supply chain emissions, this establishes a reference point for one manufacturer in the Asia-Pacific region.

The company manufactures modular and prefabricated infrastructure for data centers. It operates facilities in Malaysia and China, with research centers in Singapore and Shanghai. Its customer base spans hyperscale operators, cloud providers, and enterprise clients across multiple continents.

This marks the first time EPG has disclosed greenhouse gas emissions across its operations. The report includes Scope 1, Scope 2, and selected Scope 3 categories. Consequently, businesses that procure data center equipment can now access verified emissions data for one supplier in their chain.

What the report covers and excludes

The document presents baseline metrics across three areas. Environmental data includes full regulatory compliance and complete waste treatment records. Social metrics show women represent 31 percent of the workforce. Governance disclosures note two female directors on the board, with 22 percent representation.

EPG completed its first greenhouse gas inventory during 2025. The assessment covered direct emissions from operations, purchased energy, and key upstream and downstream activities. However, the report does not specify reduction targets or timelines. Instead, it describes this exercise as forming the basis for a future decarbonization plan.

The company maintained 47 percent of its supplier base outside mainland China throughout 2025. In Malaysia, 85 percent of locally recruited staff hold managerial positions. These figures establish a reference point for future reporting periods.

Notably, EPG plans to create a dedicated committee to oversee environmental, social, and governance integration. The committee will begin work at the company’s manufacturing plant currently under construction in Malaysia. This suggests governance structures are still being developed rather than fully established.

Regulatory context for Asia-Pacific manufacturers

Singapore updated its sustainability reporting requirements during 2025. The changes affect companies listed on the Singapore Exchange and large private enterprises. These rules require climate-related disclosures aligned with international standards issued by the International Sustainability Standards Board.

The ISSB published two standards in 2023. IFRS S1 addresses general sustainability disclosures. IFRS S2 focuses specifically on climate-related risks and opportunities. Both emphasize investor-grade information and materiality from a financial perspective. Many jurisdictions, including Singapore, have adopted or referenced these frameworks in national regulations.

EPG’s report arrives as regulatory pressure intensifies across the region. Businesses operating in or sourcing from Asia-Pacific markets face increasing expectations around emissions disclosure. For UK companies, this matters because supply chain emissions often constitute the largest portion of a carbon footprint. Data center equipment and infrastructure represent a particularly emissions-intensive category.

The timing also coincides with growing attention to supply chain resilience. Geopolitical factors have prompted many businesses to assess concentration risk in their supplier networks. EPG’s disclosure of supplier geographic distribution addresses this concern directly. Nevertheless, the report does not detail how the company selects or audits suppliers for environmental performance.

Implications for UK businesses with data center supply chains

UK organizations procuring data center infrastructure face mounting pressure to report Scope 3 emissions. PPN 06/21 requires carbon reduction plans from government suppliers. Private sector reporting under the Companies Act 2006 continues to expand. Both frameworks require businesses to account for emissions embedded in purchased goods and services.

Data center equipment presents particular challenges for Scope 3 accounting. Manufacturing processes are energy-intensive. Materials include metals, plastics, and electronic components with complex supply chains. Without supplier-specific data, businesses must rely on industry averages or spend-based estimates. These methods produce less accurate results and hinder targeted reduction efforts.

EPG’s emissions disclosure provides actual data for one supplier. UK businesses using EPG equipment can now reference verified figures rather than estimates. This improves the accuracy of their own carbon reporting. However, the report does not break down emissions by product line or facility. Therefore, companies cannot yet allocate emissions to specific purchases with precision.

The document also highlights workforce and governance practices. For businesses evaluating suppliers against ESG criteria, these metrics offer useful comparison points. Social factors increasingly feature in tender requirements and client due diligence. Governance structures, particularly board diversity and oversight mechanisms, signal management maturity on sustainability issues.

One limitation stands out. The report establishes a baseline but sets no forward-looking commitments. Businesses seeking suppliers with science-based targets or net-zero pledges will find this document insufficient. It describes current performance without indicating future direction or ambition level.

Essential information for emissions reporting and procurement

Several facts from the report matter for UK businesses conducting supply chain assessments:

• EPG completed its first greenhouse gas inventory covering Scope 1, Scope 2, and key Scope 3 categories during 2025, providing a verified baseline for supplier emissions data.
• The company achieved 100 percent regulatory compliance and full waste treatment across its manufacturing operations in Malaysia and China throughout the reporting period.
• Women represent 31 percent of the total workforce, and two of nine board directors are female, indicating gender diversity metrics for supplier evaluation frameworks.
• The company maintained 47 percent of suppliers outside mainland China, demonstrating geographic diversification relevant to supply chain resilience assessments.
• A dedicated ESG committee is being established to oversee sustainability integration, starting with the new Malaysia manufacturing plant currently under construction.
• No carbon reduction targets or decarbonization timelines appear in the inaugural report, meaning future commitments remain undefined.

Questions UK businesses should consider

This inaugural report prompts several questions for companies assessing their data center supply chains. First, how does this supplier’s emissions intensity compare to alternatives? Without product-level data or emissions per unit of output, direct comparisons remain difficult. Businesses may need to request additional breakdowns directly from EPG or peer manufacturers.

Second, what reduction trajectory will EPG pursue? The report mentions a decarbonization roadmap but provides no details. Companies with science-based targets or net-zero commitments need suppliers moving in the same direction. Procurement teams should clarify whether future reports will include targets aligned with the Paris Agreement goals.

Third, how will the new ESG committee function? Governance structures matter because they determine how sustainability considerations integrate into business decisions. UK businesses should understand the committee’s mandate, reporting lines, and decision-making authority. Additionally, the phased approach, beginning with one facility, raises questions about timeline for company-wide implementation.

Fourth, what supplier standards does EPG apply? The report notes geographic diversification but does not address supplier selection criteria or auditing processes. For comprehensive Scope 3 management, businesses need visibility into their suppliers’ suppliers. EPG’s upstream emissions depend partly on the practices of its own vendors.

Finally, how will reporting evolve? First reports typically establish baselines. Subsequent editions add targets, progress updates, and expanded disclosures. Businesses should ask EPG about planned reporting frequency, scope expansion, and assurance processes. External verification adds credibility to emissions data and matters for companies facing audit requirements on their own reporting.

Practical steps for procurement and sustainability teams

UK businesses can take several actions based on this development. Procurement teams working with EPG should request the full report and any supporting documentation. This includes methodology notes for the greenhouse gas inventory and definitions of the Scope 3 categories covered. Understanding the boundaries and calculation methods ensures data compatibility with your own reporting frameworks.

Sustainability teams should incorporate this supplier data into Scope 3 inventories. Specifically, businesses can replace generic emissions factors with supplier-specific figures for EPG purchases. This improves accuracy and demonstrates due diligence in carbon accounting. Document the data source and any assumptions made when allocating emissions to specific purchases.

For businesses developing supplier engagement strategies, EPG represents a starting point for dialogue. Companies can reference the report when requesting similar disclosures from other data center equipment suppliers. Standardized requests across your supply base create consistency and facilitate comparison. Consider asking for annual updates, emissions intensity metrics, and forward-looking reduction commitments.

Procurement criteria should reflect the level of information now available. Tender documents can specify requirements for verified emissions data, workforce diversity metrics, or governance structures. However, recognize that many suppliers, particularly smaller ones, may not have reached this reporting maturity. Criteria should balance ambition with market realities.

Risk assessment processes should account for supplier sustainability performance. EPG’s geographic diversification and compliance record address some supply chain risks. Nevertheless, the absence of reduction targets introduces uncertainty for businesses with time-bound net-zero goals. Dependencies on suppliers without clear decarbonization plans may require mitigation strategies or alternative sourcing options.

Where to find additional guidance and resources

The International Sustainability Standards Board maintains comprehensive guidance on IFRS sustainability standards including S1 and S2. These documents explain climate-related disclosure requirements increasingly referenced in national regulations. UK businesses reporting under developing standards will find detailed technical guidance and illustrative examples.

The UK government provides resources on measuring and reporting environmental impacts. This includes calculation methodologies for greenhouse gas emissions and guidance on Scope 3 accounting. Businesses new to supply chain emissions reporting should review these materials before engaging suppliers on data requirements.

For businesses working with government contracts, the Procurement Policy Note 06/21 details carbon reduction plan requirements. This explains how to evaluate supplier commitments and integrate climate considerations into tender processes. Understanding these rules helps businesses establish consistent supplier expectations.

The Greenhouse Gas Protocol offers detailed guidance on Scope 3 emissions accounting. This includes methodologies for 15 categories of indirect emissions and advice on engaging suppliers for data collection. UK businesses managing complex supply chains should consult this standard when developing data collection processes.

Companies seeking support with supply chain emissions management can explore sustainable procurement guidance tailored to UK businesses. This includes practical approaches to supplier engagement, data collection, and integration of sustainability criteria into sourcing decisions. Additionally, businesses preparing for carbon reporting requirements may benefit from compliance support services addressing regulatory obligations and reporting frameworks.