Nuvoton Technology Corporation
Climate Impact & Sustainability Data (2022, 2023)
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Climate change
- Innovative technologies
- Social impact
Environmental Achievements
- GHG emissions per product of 0.719 kg of CO2e/cm2 of wafer, reduced by 31.72% compared to the base year level (2010)
- 3 energy conservation measures enforced in 2022, saving power by approximately 111,000 kWh
- Energy consumption per product of 0.0256 GJ/layer-wafer mask (equivalent to 7.11 kWh), reduced by 33.39% compared to the base year level
- Nitrogen usage per product of 0.59 m3/layer-wafer mask, reduced by 59.6% compared to the base year level (2010)
- Sulfuric acid usage per product of 64 grams/layer-wafer mask, reduced by 30.0% compared to the base year level (2010)
- Water usage per product of 40.1 liters/layer-wafer mask, reduced by 51.34% compared to the base year level (2010)
- Total water consumption reduced by 2.5%
- GHG emissions reduced by 3.1% compared to 2021 levels
Social Achievements
- 1,526 participants for ethical management training sessions with a completion rate of 100%
- Reinstatement rate of unpaid parental leave of 80%; retention rate of 83%
- Childcare subsidies totaled approximately NT$11.35 million disbursed in 2021-2022
- 39,397 hours of employee trainings for 30,355 trainees in total, with the average training hours per employee of 25.42 hours
- Abnormal rate in health checkup in 2022 reduced by 16.7% compared to that of the previous result
- 77 sessions of safety and health education and trainings for 1,924 trainees in total
- Contractor management and supervision enforced with 0 for the disabling injury frequency rate of contractors for 5 years in a row
- NT$325,000 contributed to Renai Children's Home
- 25,200 medical masks donated to the NTUH Hsin-Chu Branch
Governance Achievements
- Established the Risk Management Committee
- 100% completion rate for Social Responsibility Code of Conduct and Ethical Management training
- 100% non-use of conflict minerals practiced and demanded from suppliers
- ISO/IEC 15408 Common Criteria Certification achieved for information security
Climate Goals & Targets
- Net-Zero emissions by 2050
- Increase share of sustainable products in external foundry services revenue to ≥72%
- Install process gas treatment equipment to reduce the emission of fluorine-containing gases by 60% compared to the 2010 level by 2030
- Increase share of sustainable products in external foundry services revenue to ≥68%
- Reduce power consumption by 1%
- Reduce GHG emissions by 3.2%
- Complete solar power equipment installation to 8% of installed contractual capacity
- Increase share of sustainable products in external foundry services revenue to ≥65%
Environmental Challenges
- Sluggish demand for consumer electronics products
- Uncertainty in macroeconomics and general environment
- Inventory adjustments
- Climate change risks
- Water scarcity
Mitigation Strategies
- Strategy of "proactive development; prudent manufacturing"
- Careful production and inventory management
- Strengthened strategic partnerships with clientele
- Introduction of the Task Force on Climate-related Financial Disclosures (TCFD) framework
- Energy management system (ISO 50001)
- Greenhouse gas (GHG) treatment facilities
- Collaboration with suppliers for GHG inventory data collection
- Water conservation and response measures
- Water reclamation
Supply Chain Management
Supplier Audits: 11 new suppliers selected in 2022; ESG & RBA self-evaluations conducted for top 80% of packaging and testing services and raw material suppliers
Responsible Procurement
- Code of conduct
- Supplier sustainability requirements
- Declaration of Non-Use of Conflict Minerals
- Commitment to Comply with the Code of Conduct
- Confidentiality Agreement
Climate-Related Risks & Opportunities
Physical Risks
- Climate disasters arising from extreme weather events
- Delayed delivery due to climate disasters
Transition Risks
- Regional energy integration policy
- Increased operating costs
Opportunities
- Development of low-carbon products
- Development of more energy-efficient products
- Increased revenue generated from products with better competitiveness
- Better corporate competitiveness and industrial chain value
Reporting Standards
Frameworks Used: GRI Standards (2021), SASB Standards, TCFD framework
Certifications: ISO 50001, ISO 14001, ISO 45001, IATF 16949:2016, IECQ QC 080000
Third-party Assurance: SGS Taiwan Ltd.
Sustainable Products & Innovation
- Next-generation low-power microcontroller (M251 series)
- High-efficiency 200 MHz microcontroller
- Microcontroller featuring low power consumption, security, and built-in tactile keys and display
- Electric vehicle (EV) audio processing IC (NAU83G60)
- Power management ICs
Awards & Recognition
- 2022 AspenCore World Electronics Achievement Awards (WEAA)
- 2022 EE Awards Asia - The Promising Product of the Year
- MAPECT Taiwan M&A Awards Representative M&A Award of the Year
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Climate Change
- Greenhouse Gas Emissions
- Energy Resource Use and Consumption
- Corporate Governance and Business Integrity
- Supplier Sustainability Management
- Information Security and Privacy Protection
- Talent Appreciation and Cultivation
- Occupational Safety and Health
Environmental Achievements
- Reduced greenhouse gas emissions by 20.5% compared to 2022 (Scope 1 and 2)
- Reduced fluorinated gas emissions by 48% compared to the previous year
- Installed solar energy equipment reaching 8% of contracted capacity (producing 880,000 kWh annually)
- Reduced water usage by 2.8% compared to the previous year
Social Achievements
- Employee turnover rate of 5.6% in Taiwan and 3.6% in Japan
- Achieved a 98% completion rate for information security training among all employees in Taiwan and 100% in Japan
- Contractor injury rate of 0 for six consecutive years
- Return-to-work rate after maternity leave was 91.6% and retention rate was 91.6% in Taiwan, 100% in Japan
Governance Achievements
- Corporate governance evaluation within 6-20%
- 100% completion rate for compliance-related training in both Taiwan and Japan
- Implemented and verified the new ISO27001:2022 international information security management system standard in Taiwan
- Achieved ISO 27001:2013 certification in Japan
Climate Goals & Targets
- Achieve net zero emissions by 2050
- Reduce water usage by 10% compared to the baseline year by 2030
- Reduce fluorinated gas emissions by 70% compared to the baseline year by 2030
- Reduce greenhouse gas emissions by 50% compared to 2020 targets by 2025
- Reduce electricity consumption by 10% compared to 2020 (baseline year)
- Reduce water usage by 2.7% compared to 2023
- Reduce fluorinated gas emissions by 16% compared to 2023
- Establish a carbon accounting system
Environmental Challenges
- Global market fluctuations and economic downturns
- Supply chain disruptions
- Climate change risks (extreme weather, regulatory changes)
- Information security threats
Mitigation Strategies
- Developed alternative sourcing strategies
- Implemented energy-saving and carbon reduction projects
- Established a carbon inventory platform
- Strengthened information security protection through EDR deployment and training
- Established a risk management framework aligned with TCFD recommendations
Supply Chain Management
Supplier Audits: 7 out of 14 major suppliers completed RBA VAP assessment (Nuvoton Taiwan)
Responsible Procurement
- RBA Code of Conduct
- Supplier sustainability requirements
- Conflict Minerals Declaration
- Hazardous Substance Declaration
- ESG reporting
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Changes in rainfall patterns
- Rising average temperatures
Transition Risks
- Cost of transitioning to low-carbon technology
- Increase in greenhouse gas emission prices
- Changes in policies and regulations
Opportunities
- Energy substitution/diversification
- Development of climate adaptation solutions
- R&D and innovation in developing new products and services
- Participation in incentive policies
Reporting Standards
Frameworks Used: GRI Standards (2021), SASB Standards (2023), TCFD framework
Certifications: ISO 14001, ISO 45001, ISO 50001 (Nuvoton Taiwan), ISO 27001 (Nuvoton Japan), ISO/IEC 15408 Common Criteria (Nuvoton Taiwan & Japan), ISO/SAE 21434:2021 (Nuvoton Japan)
Third-party Assurance: SGS Taiwan Ltd.
UN Sustainable Development Goals
- SDG 7 (Affordable and Clean Energy)
- SDG 8 (Decent Work and Economic Growth)
- SDG 9 (Industry, Innovation, and Infrastructure)
- SDG 12 (Responsible Consumption and Production)
- SDG 13 (Climate Action)
- SDG 16 (Peace, Justice, and Strong Institutions)
Initiatives contribute to these goals through various ESG programs.
Sustainable Products & Innovation
- Energy-efficient microcontrollers
- Smaller, low-power chips
- EdgeBMC chip
Awards & Recognition
- EE Awards Asia 2023 - Best MCU/Driver IC Product Award
- SGS ESG Award for Sustainability Reporting Award
- Silver Award in the Electronics and Information Manufacturing Industry category for Sustainability Reporting at the 2023 Taiwan Corporate Sustainability Awards (TCSA)