Walking the talk

Around 30% of Tonkin + Taylor Group employees are shareholders, creating a unique structure where our people directly influence the company’s direction and their own career trajectories. This model fosters more inclusive decision-making, with a direct connection between shareholders and teams affected by company decisions. Beyond internal benefits, this approach supports our local communities by keeping profits in the regions where we operate.

Our rich history of technical excellence spans over 65 years, but we’re just as focused on the decades ahead. We’re deeply committed to our Purpose of Together we create and sustain a better world and our Vision to be Oceania’s best environmental and engineering partner.

Ensuring we’re here for the next 65 years means making strategic investments today:

• Focusing on client understanding and meeting their needs
• Continually developing our people’s expertise
• Staying attuned to evolving global challenges and opportunities
• Building diverse teams that reflect and understand the communities we serve
• Maintaining a varied portfolio that allows us to navigate economic cycles while fostering innovation

As an employee-owned firm, our management and Board are predominantly made up of representatives of our shareholders. Our Board provides governance across four key areas:

• Setting our Purpose, Vision and Strategy
• Establishing our cultural tone and fostering effective relationships
• Determining risk appetite and ensuring accountability
• Ensuring regulatory compliance

Sustainability responsibilities of our Board are outlined in our Board Charter, including setting policies guided by international best practice, integrating cultural values, and considering stakeholder impacts. The Board receives at least updates on sustainability, including progress against targets.

Our Board typically comprises:

• Up to three independent directors, including our Board Chair
• Six shareholder-elected directors
• The Group Managing Director

Only shareholders are eligible to be appointed as shareholder Elected Directors by shareholder vote. Each Elected Director holds that office for a three-year term and is eligible for reappointment. Shareholders are informed about skills and experience that would complement the existing Board composition, and are able to assess diversity and stakeholder views as part of making their vote. The Managing Director is appointed by the Board from the shareholders.

Each Board member must table all actual or potential conflicts of interest at each Board meeting, and a copy of the Board’s Interests Register is disclosed each year in the Annual General Meeting papers distributed to shareholders. The Board critically evaluates its performance annually and reviews its processes and procedures. Board members are also evaluated by providing written responses to questions followed by discussions with the Chairperson. Evaluation includes adherence to the Board Charter. The Chairperson’s position is discussed with the chair of the People + Culture Committee of the Board.

Independent reviews are conducted periodically. In 2024, the Board undertook a comprehensive review of the way it works with a view to strengthening governance practices, with support from the NZ Institute of Directors. This informed a programme of improvements that commenced in 2025.

Board committees are appointed by the Board, with an Independent Director acting as Chairperson of each committee (if available). Committees recieve at least annual reporting. Current Board committees are:

• Risk + Assurance Committee: Oversees risk management, financial performance, and audit functions. This includes setting risk appetite statements and criteria for escalation, reviewing critical concerns, and includes sustainability-related risks.
• People + Culture Committee: Guides employment policies, talent development, remuneration, and workplace culture. (The Board directly oversees health, safety, and wellbeing policies and performance)

We also have an Australian Board, which provides governance oversight of our Australian companies, giving attention to the different fiduciary requirements and business environments and strategies in that market.

Current Board member capabilities related to our impacts include water engineering, multi-party large construction projects, community engagement, environmental management, indigenous knowledge, and innovation.

Day-to-day operations are managed by our Group Leadership Team (GLT), comprising the Managing Director, operating company heads, group function leaders, and strategic executives. Management teams in each operating area support GLT members. Any critical concerns identified are escalated as appropriate to the Managing Director, Board Committees, and Board.

Our Code of Conduct establishes the ethical foundations for how we engage with clients, colleagues, suppliers, and communities. Employees must complete training on the Code, while suppliers commit to following it as part of our partnership.

• We speak up
• We are dedicated to professionalism and excellence
• We comply with the law including domestic and international standards relating to human and labour rights
• We prioritise health, safety and wellbeing
• We embrace diversity and inclusion
• We positively impact the environment and the communities we touch
• We respect privacy and confidentiality
• We manage conflicts of interest
• We are committed to fair and ethical procurement
• We compete, communicate and operate in a fair, honest and lawful manner
• We protect our intellectual property and respect the rights of others
• We involve the appropriate people in decisions and keep accurate records
• We do not tolerate corruption
• We use property and systems in an appropriate manner

Our Ethics Committee, which comprises senior managers of our business, investigates any incidents. The Ethics Committee may report matters related to the Code and supporting policies directly to the Board. Our internal audit function also periodically audits adherence to the Code (and supporting policies), or as requested by the Ethics Committee or the Board. Any concerns can be raised with managers, our people and culture team, or directly to the Ethics Committee.

Supporting Board-approved policies and activities help embed these commitments across our operations, including our Sustainability Policy and strategy, Diversity, Inclusion, Equity, and Belonging Policy and strategy, Health and Safety Policy and approach. Our Modern Slavery Statement and Working Group, and Purposeful Decisions Principles are also key levers.

Complying with laws and regulations is part of our Code of Conduct and living our values. We work to stay up to date on laws and regulations and work with our clients and partners to operate ethically and appropriately.

Our sustainability strategy and supporting activity is informed by our materiality assessment, where we identified our three key impacts. This is supplemented by an annual assessment to help shape the content provided in our Sustainability Reports.

In 2023, we made a step-change in our approach to materiality, informed by the revised Global Reporting Initiative Standards and the SDG Impact Standards. This change focused our attention on the greatest impacts in our value chain.

Stakeholder perspectives, gathered through existing data from our ongoing engagement activity and targeted internal engagement, helped us better understand the types of impacts in our value chain.

For each outcome area of our Sustainability Framework, we set criteria to assess the scale, significance, and duration of positive and negative impacts. The criteria were developed by our sustainability and topic subject matter experts across Tonkin + Taylor Group, and drew on stakeholder perspectives and insights.

We applied these criteria to each part of our value chain. To capture the varying impacts across our projects and clients, we broke the ‘use, operation, and maintenance’ part of our value chain into the sectors we work in. The results were tested through sensitivity analysis to ensure the key impacts remained the same under various scoring assumptions.

To identify how Tonkin + Taylor Group can best influence the impacts identified, we grouped the highest impacts according to key activities in our operations that drive outcomes. The results were confirmed with different teams and leaders across Tonkin + Taylor Group, to ensure they reflect our understanding of our impacts and how we can manage them. Our 2023 assessment did not include direct engagement with the Board.

See more on our annual materiality assessment that shapes our reporting in our latest Sustainability Report.

With many suppliers, our procurement decisions are a critical lever for supporting sustainable outcomes in our supply chains and the communities we serve.

Our Procurement Policy outlines our commitment to sustainability through these processes, and our supplier prequalification process helps us to identify suppliers who are aligned in our objectives and where they may need support.

Our partnership with Amotai in New Zealand helps us to increase the diversity of our supply chain and support outcomes for the built environment workforce.

We have been Net Zero Carbon certified since 2020.

Our biggest emissions continue to come from vehicle travel, flights, and electricity.

Vehicles

Emissions from our vehicle fleet made up 28% of our 2025 footprint. Our vehicle fleet policy ensures the consideration of real vehicle needs and prioritises electric vehicles for any fleet decisions. In 2025, the policy supported the overall reduction in our fleet compared to last year.

We also continue to use EROAD telematic technology across our New Zealand fleet. This system supports achieving fuel savings, fleet size optimisation, and reducing health and safety risks for our employees through real-time driver feedback.

Flights

Flights In 2025, air travel made up 25% of our emissions. We are focused on making thoughtful travel decisions and exploring further ways to reduce air travel emissions through understanding the factors that drive our travel-related impacts. The insights are helping us see where changes in travel choices can make the biggest difference for carbon, cost, client relationships, and the health and wellbeing of our people while informing longer-term strategies to manage the emissions associated with our air travel.

Electricity

Electricity comprised 7% of our total market-based emissions footprint in 2025. For New Zealand facilities where we hold direct contracts, we have switched the majority of sites to Ecotricity. Where we’re sharing a tenancy and/or our landlord buys energy for us, we explore this option with them. Our Auckland Fanshawe office switched to Ecotricity in 2024.

Our Australian facilities are a key part of our electricity footprint. We are exploring renewable electricity options for these sites, including GreenPower.

To reduce energy demand, our policy is for new or significantly expanded facilities to aim for Green Star certification.

See our progress in our 2025 Greenhouse Gas Inventory Report.