Our Businesses

(1) Toll Roads/Bridge:

SIHL owns three toll roads in Shanghai including Jing-Hu Expressway (Shanghai Section), Hu-Kun Expressway (Shanghai Section), Hu-Yu Expressway (Shanghai Section) and the Hangzhou Bay Bridge (SIHL accounted for its 23.0584% equity interest). They are representing Shanghai's main traffic gateways in the north-west, south-west and west directions, and connecting Shanghai and coastal cities in Zhejiang Province. These investment projects have been delivering stable revenue and recurring cash flow to SIHL. As at the end of 2023, the key operating figures are as follows:

Within the year, benefiting from the gradual decline of the COVID-19 impact since the beginning of the year and the recovery of various industries, the public's willingness to travel has surged. The overall traffic volume on our three toll roads and the Hangzhou Bay Bridge has increased by 44.3% compared to the previous year, driving an increase in toll revenue and profits by 30.1% and 63.5% respectively, reaching HKD 4.41 billion and HKD 1.454 billion, far exceeding expectations.

(2) Water Services

SIHL's water services business consists of two operating platforms, namely SIIC Environment (BHK SGX; 807 HKSE) and General Water of China.

SIIC Environment further deepened the strategic layout of the Yangtze River Delta area and other key areas, remaining China’s leading position as the first echelon of water and environmental markets. The benchmark solid waste project Shanghai Baoshan Renewable Energy Utilization Center has entered commercial operation, effectively improving the level of harmlessly treated solid waste and resource utilization in Shanghai, which is of great significance to promoting sustainable development in Shanghai. In addition, SIIC Environment won Macau’s first sewage treatment project, which is the first sewage treatment project acquired overseas, thereby expanding its business landscape across the Guangdong-Hong Kong-Macao Greater Bay Area. The Group will construct more high-standard and modern environmental projects, continue to uphold ESG (Environmental, Social, and Governance) social responsibilities, and strive to promote high-quality corporate development.

• SIIC Environment (BHK SGX; 807 HKSE)

http://www.siicenv.com

SIIC Environment Holdings Ltd. (“SIIC Environment”) is a top-tier integrated player in China's environmental industry. The group is previously known as Asia Water Technology Ltd. (“Asia Water”) which was listed on SGX-ST Catalist in 2005. In 2010, SIHL acquired a controlling stake and completed debt restructure in Asia Water and subsequently renamed SIIC Environment and transferred to SGX-ST mainboard in 2012. Since the restructuring, SIIC Environment has shown tremendous growth and continuous to increase its market share in China's water and environment protection sector. SIIC Environment completed primary dual listing on the Hong Kong Stock Exchange on 23 March 2018. As at the end of 2023, SIHL holds 49.25% equity interests of the company.

SIIC Environment recorded total revenue of RMB7,573 million for the year, representing a year-on-year decrease of 8.8%. This was mainly attributable to a 37.1% year-on-year decrease in construction revenue due to the completion of the main construction portion of the Baoshan project by the end of 2022. Profit attributable to shareholders decreased by 22.6% year-on-year to RMB604 million, mainly because of the rising interest rate of the US dollar and the sharp rise in the financial cost of overseas borrowing.

As at the end of 2023, SIIC Environment had nearly 250 sewage treatment and water supply projects, and its daily water treatment capacity was 13.16 million tonnes. The volume of sewage treated grew by 2.2% year-on-year to 2.525 billion tonnes, while the average wastewater treatment tariff increased by 7.8% year-on-year to RMB1.87 per tonne. The volume of water supplied increased by 2.2% year-on-year to 324 million tonnes, while the average tariff of water supplied increased by 3.1% year-on-year to RMB2.57 per tonne.

General Water of China

http://www.cecep.cn/g3031.aspx

General Water of China Investment Co., Ltd. (“GWC”) recorded a turnover of HK$2,076 million for the year, representing a year-on-year decrease of 3.3%. Net profit amounted to HK$265 million, representing a year-on-year increase of 6.8%. As at the end of 2023, General Water of China had 34 water treatment plants and 27 wastewater treatment plants with a total capacity of 6.5308 million tonnes per day. Of this total, 3.0045 million tonnes per day was dedicated to water production capacity, and 3.5263 million tonnes per day was dedicated to wastewater treatment capacity.

In addition, for the 20th consecutive year, the Company was awarded as one of the “Top 10 Most Influential Enterprises in China's Water Industry” and remained in the top three in five years.

Water Services Projects 

(3) Investment in New Business Arena

With respect to new business arena, as at the end of 2023, the photovoltaic asset capacity of Shanghai Galaxy and its subsidiary, Galaxy Energy (Shanghai) Co., Ltd., reached 740 MW. During the year, 15 photovoltaic power projects completing approximately 1,081 million kWh of on-grid electricity. However, due to severe sandstorms, the volume of radiation decreased, resulting in a 4.38% decline in electricity supplied to the grid compared to last year.

In addition, Sure Advance Holdings Limited, a wholly-owned subsidiary of the Group, holds a total of 2.78% and 7.41% equity interest in CIRC(1763.HK) and Riverine China(1417.HK) separately.