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Sustainable Environment
Energy Management

The main services of the company include development and leasing of office buildings, shopping malls, and logistics centers. The primary energy consumption in daily operations comes from office electricity usage, followed by fuel consumption for company vehicles (tracked since March 2022 after the procurement of official vehicles). Due to the rise of the local COVID-19 pandemic in mid-2021, the company began implementing work-from-home arrangements for some employees and shortened office hours for on-site staff. As a result, there has been a decreasing trend in overall electricity usage.
In fulfilling sustainability responsibility, the company has the following initiatives:
Lighting Management: Utilize energy-efficient lighting fixtures, such as LED lights, to reduce energy consumption. Turn off lights when they are not needed.
Air Conditioning Control:Ensure regular maintenance of the air conditioning system to maintain its efficiency. Adjust indoor temperatures to conserve energy, such as raising the cooling setpoint.
Electronic Device Management:Power down electronic devices not in use after working hours, such as computers, office equipment, and devices, rather than keeping them in standby mode. Use energy-saving or sleep modes to reduce energy consumption
Green Procurement:When procuring office supplies in the future, prioritize equipment and consumables with eco-labels or made from environmentally-friendly recycled materials.
Paper Usage:Minimize paper usage by storing and sharing documents digitally whenever possible. If printing is necessary, opt for double-sided printing and use recycled paper.
Employee Awareness and Training:Increase employee awareness about energy efficiency and carbon reduction. Provide training and education to encourage them to adopt energy-saving measures in their work, contributing their efforts towards energy conservation and carbon reduction.

Emission of Greenhouse Gases

In recent years, with the changing climate and intensification of extreme weather events, issues related to the greenhouse effect have come to the forefront. Countries around the world have also started advocating for energy conservation and carbon reduction. In order to promote energy conservation and carbon reduction within the company, the company has compiled statistics on daily electricity consumption and carbon emissions from gasoline consumption in official vehicles. In 2022, Scope 1 emissions amounted to 1.77 metric tons of CO2e, and Scope 2 emissions amounted to 34.94 metric tons of CO2e. We have also conducted campaigns to educate our employees about energy conservation and carbon reduction activities, which include using public transportation more frequently, reducing energy consumption, promoting waste reduction and plastic reduction concepts, as well as encouraging the use of eco-friendly utensils. These efforts aim to reduce the environmental impact in our daily lives.
Starting from 2022, the company expanded the calculation of Scope 1 emissions, resulting in an increase in the overall greenhouse gas emissions. Despite the company’s positive operational performance, there is a trend of decreased intensity. The company continues to advocate for energy conservation and carbon reduction, and is committed to implementing these practices in our daily activities.

Supplier Management

In order to adhere to corporate environmental and social responsibilities and work towards sustainable supply chain development, the Company has planned an evaluation process for all suppliers. We have initiated the signing of Supplier Social Responsibility Commitment agreements, expecting our suppliers to have robust environmental protection measures and establish safe working environments.

Climate Change Governance

In recent years, the increasing frequency of extreme weather events highlights the imminent crisis posed by global warming. Governments around the world are placing greater emphasis on climate change issues and are revising regulations at regional and national levels to strengthen the imperative for companies to integrate climate change considerations into their business operations. In response to this, the Company not only identifies operational risks brought about by climate change, but also references the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD) released by the Financial Stability Board (FSB).
The Company incorporates four core disclosure areas—Governance, Strategy, Risk Management, and Metrics and Targets—into its operational management, all of which pertain to climate-related financial information disclosure. The company also discloses its governance performance in its sustainability report, aiming to provide stakeholders with an understanding of the impacts of climate-related risks and opportunities on the Company, as well as the corresponding mitigation measures.

  • Governance: The company’s discussions and management related to climate change are conducted by the Sustainability Development Team, which engages in discussions and assessments. Climate change-related decisions are approved through resolutions by the Board of Directors. The General Manager in collaboration with development teams, coordinates these efforts and provides an annual TCFD climate governance response report to the board for decision-making reference.
  • Strategy: In response to the impact of climate-related risks and opportunities on the company’s strategies and financial planning, the Company refers to the Task Force on Climate-Related Financial Disclosures (TCFD) climate-related scenario analysis. Both quantitative and qualitative climate-related scenario analyses are utilized to formulate corresponding strategies. The company discusses the 2-degree Celsius scenario (2DS) in Sustainability Development Team meetings, using tools provided by the Taiwan Climate Change Integration Platform (TCCIP) as references for assessing physical climate risks. Ultimately, the decision was made to adopt the 2DS / RCP2.6 scenario as the framework for assessing physical climate risks for the company.
    In this scenario, themes related to climate change risks and opportunities are described, addressing physical risks and regulatory transition risks. The company identifies climate-related risks and opportunities pertinent to its operational scope and takes into account relevant TCFD reports from the manufacturing industry. A long-term perspective of a decade is considered for the company’s extended operational development, defining short-term as 1-3 years, medium-term as 3-5 years, and long-term as 6-10 years.
  • Risk Management: Through the “TCFD Climate Change-related Financial Disclosure Discussion Meetings” conducted by the Sustainability Development Team, the company engages in discussions involving relevant members to assess climate change risks and opportunities. These discussions are structured according to the TCFD framework, focusing on transition risks (policy and regulatory, technological, market, reputational), physical risks (immediate risks, long-term risks), and opportunities (resource efficiency, energy sources, products/services, market, resilience). The discussions aim to identify and analyze climate-related risks and opportunities by aligning with the TCFD recommendations. This collaborative process serves as a platform for assessing and addressing climate change impacts.
    • Transition Risks: Two significant risks have been identified – changes in customer behavior and increases in raw material costs.

    The Greenhouse Gas Reduction and Management Act will be changed to the Climate Change Response Act in the year 2024, imposing carbon fees on high-emission products with direct or indirect emissions. Additionally, there is a technical risk associated with the substitution of existing products with low-carbon alternatives. These two risk dimensions could potentially lead to increased operational costs, but currently, the company does not belong to a high-carbon emission industry, thus the impact on overall operations is not expected to be significant. Looking ahead, the company plans to conduct comprehensive greenhouse gas inventories in the short term, as well as assess initiatives such as purchasing green energy, installing solar energy-saving equipment, and procuring biomass energy. Carbon reduction goals will also be established.

    Changes in Customer Behavior: The company’s execution of ESG (Environmental, Social, and Governance) performance in environmental, social, and governance aspects is closely monitored. The company continues to publish ESG reports, sets goals regarding stakeholder concerns, and operates continuously in response.

    Increases in Raw Material Costs: 1. Maintain close communication with suppliers, 2. Seek alternative solutions, 3. Continuously monitor raw material trends.

    • Physical Risks: Two significant risks have been identified, both of which are immediate climate risks.

    Due to the increased frequency of extreme weather events, including more frequent typhoons and heavy rainfall, changes in rainfall patterns and extreme climate variations can potentially lead to widespread disruptions in regional transportation and damage to buildings. These factors could impact customer rights and potentially lead to financial losses, as assessed. The company’s response measures include preventive repairs to enhance asset resilience and the establishment of emergency response mechanisms related to typhoons and heavy rainfall to mitigate immediate risks. Given the preventive measures in place, the impact of these risks on overall operations is not expected to be significantly detrimental.

    • Resource Efficiency Opportunities: One significant opportunity has been identified, which adopting more efficient buildings.

    The company considers various resource efficiency practices and plans to implement the following measures: for new constructions, adopting designs that reduce energy consumption; for existing buildings, gradually replacing energy-efficient materials or equipment.

  • Metrics & Targets

    The company has established indicators and set targets based on the climate-related risks and opportunities outlined by the TCFD.

    • By 2026, following ISO 14064-1 standards, conduct a greenhouse gas emissions verified and complete a self-assessment greenhouse gas verified report.
    • By 2027, have the greenhouse gas emissions verified by a third-party verification.
    • Utilize green products.

    For the carbon verified in the year 2022, due to the operational nature of the company being office-based, energy consumption includes purchased electricity and gasoline for official vehicles. The emissions were estimated in-house, with Scope 1 emissions amounting to 1.77 metric tons of CO2e/year and Scope 2 emissions amounting to 34.94 metric tons of CO2e/year.

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