Climate Change Data

Chang Hwa Commercial Bank, Ltd.

Climate Impact & Sustainability Data (2020, 2021, 2024)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:21,699.514 metric tons of CO2e (2019)
Scope 1 Emissions:1,896.699 metric tons of CO2e (2019)
Scope 2 Emissions:4,119.456 metric tons of CO2e (2019)
Scope 3 Emissions:15,683.359 metric tons of CO2e (2019)
Renewable Energy Share:Not disclosed
Total Energy Consumption:500,087,188 kWh (2019)
Water Consumption:19,598 kL (2019)
Waste Generated:121.60 metric tons of general waste; 16.53 metric tons of recycling waste (2019)
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Reduced carbon emissions by approximately 37,053.49 kgCO2e in Taipei head office by replacing lamps with LEDs and implementing other energy saving measures.
  • Obtained ISO 14001, ISO 50001 and ISO 14064-1 certifications.
  • Subscription of 75,000 kWh of renewable energy certificate.
  • Green Procurement of NT$20.39mn.

Social Achievements

  • Launched Employee Stock Ownership Trust (ESOT) with high participation rate (97.28%).
  • Achieved high employee retention rate (93.67% in 2019) after excluding baby boomer retirements.
  • Provided comprehensive training programs totaling approximately 400,000 hours annually.
  • Established FinTech Research Club to foster FinTech talents.
  • Completed ISO 45001 (occupational safety and health management system) certification.

Governance Achievements

  • Ranked top 5% among Taiwan listed companies in 2019 corporate governance evaluation.
  • Remained a TWSE Corporate Governance 100 Index stock, FTSE4Good Emerging Index stock, and other indices.
  • Received several sustainability awards (e.g., Excellence in Sustainability Award by BSI, Taiwan Corporate Sustainability Awards).
  • Established a Sustainable Development Committee reporting directly to the Board.
  • Implemented “Intellectual Property Rights and Trade Secrets Systematic Management Procedure”.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reduce total GHG emission by 10% by 2030 (2019 as baseline).
  • Obtain EEWH Labels for new buildings.
Short-term Goals:
  • Reduce carbon emissions by approximately 30,000 to 60,000 kgCO2e per year.
  • Reduce Taipei head office waste by 1% and increase recycling rate by 1% (2019 as baseline).

Environmental Challenges

  • Climate change related risks (physical and transition risks, including floods, rising temperatures, regulatory changes, market shifts, and consumer demand changes).
  • High employee turnover rate (due to baby boomer retirements).
  • Cyberattacks and data breaches.
  • Deforestation risks in supply chain.
  • Compliance incidents (e.g., unilateral alteration of client's insurance policies, employee receiving payment from appraisal company).
Mitigation Strategies
  • Introduced TCFD framework into daily operations.
  • Established “Sustainable Development Committee” to address sustainability issues.
  • Implemented various energy conservation and carbon reduction measures.
  • Implemented risk mitigation strategies for climate-related risks (raising credit standards, higher investment risk exposure assessment, etc.).
  • Implemented comprehensive training programs for employees.
  • Established Personal Information Management Regulations and Personal Information File Security Maintenance Plan.
  • Strengthened internal control mechanisms and employee training on compliance.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Green procurement initiatives.

Climate-Related Risks & Opportunities

Physical Risks
  • Floods
  • Rising temperatures
Transition Risks
  • Regulatory changes
  • Market shifts
  • Consumer demand changes
Opportunities
  • Green finance products

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14001, ISO 50001, ISO 14064-1, ISO 22301:2012, ISO 27001:2013, BS 10012: 2017, ISO 45001

Third-party Assurance: BSI

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Green loan products
  • Green insurance products

Awards & Recognition

  • Excellence in Sustainability Award by BSI
  • Taiwan Corporate Sustainability Awards – 3rd grade of Gold level
  • Sustainable Resilience Pilot Award by BSI
  • Best Corporate Social Responsibility Award – Bank, Non-Financial Holding Company, by Excellence Magazine
  • The Global Top 500 Banks by The Banker

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:16,361.208 tCO2e/year
Scope 1 Emissions:1,947.895 tCO2e/year
Scope 2 Emissions:14,413.313 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:103,362,403 MWh/year
Water Consumption:160,777 m3/year
Waste Generated:118.63 tons/year (general waste), 17.44 tons/year (recycled waste)
Carbon Intensity:2.475 tCO2e/employee

ESG Focus Areas

  • Governance
  • Social
  • Environmental

Environmental Achievements

  • Reduced carbon emissions by 55,586 kgCO2e through various energy-saving measures.
  • Reduced general waste by 2.26% and increased resource recycling by 2.75% in Taipei building.
  • Increased purchase of renewable energy certificates by 12.5%.

Social Achievements

  • Launched employee well-being programs, including health checkups, psychological counseling, and various recreational activities.
  • Implemented a comprehensive employee stock ownership plan with 98.01% participation rate.
  • Provided various financial assistance programs for SMEs and communities, including disaster relief and micro-loans.
  • Achieved 60% female employee representation.

Governance Achievements

  • Ranked among the top 5% of listed companies in Taiwan's 8th Corporate Governance Assessment.
  • Obtained BSI's highest level of TCFD compliance certification.
  • Implemented robust anti-corruption training and policies.

Climate Goals & Targets

Long-term Goals:
  • Achieve net-zero emissions by 2030 (compared to 2020).
Medium-term Goals:
  • Achieve Green Building certification for new branches and buildings.
  • Further reduce carbon emissions by 1% annually.
Short-term Goals:
  • Reduce carbon emissions by 1% annually (compared to 2020) and achieve a 10% reduction by 2030.
  • Reduce water and waste by 1% annually.

Environmental Challenges

  • Supply chain disruptions due to the COVID-19 pandemic.
  • Cybersecurity threats and data breaches.
  • Climate change risks, including extreme weather events and rising energy costs.
  • Economic uncertainty and market volatility.
Mitigation Strategies
  • Developed business continuity plans and implemented remote work strategies.
  • Strengthened cybersecurity infrastructure and employee training.
  • Implemented climate-related financial disclosure (TCFD) framework and risk management strategies.
  • Diversified investment portfolio and implemented robust risk management practices.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Supplier Code of Conduct
  • Sustainable procurement guidelines (ISO 20400)

Climate-Related Risks & Opportunities

Physical Risks
  • Flooding of collateral and branch locations
  • Increased operating costs due to higher temperatures
Transition Risks
  • Increased credit risk due to carbon regulations and market shifts
  • Reputational risk due to poor ESG performance
Opportunities
  • Growth in green finance and sustainable investments
  • Cost savings from energy efficiency improvements

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Standards for Banks, TCFD

Certifications: ISO 14001, ISO 50001, ISO 14064-1, ISO 46001, ISO 20400, ISO 27001, ISO 22301, BS 10012, ISO 45001

Third-party Assurance: British Standards Institution (BSI)

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Green loans
  • Sustainable investment products

Awards & Recognition

  • Various awards for corporate social responsibility, corporate governance, and sustainability.

Reporting Period: 2024

Environmental Metrics

ESG Focus Areas

  • Climate Change
  • Environmental Protection
  • Net-Zero Transition
  • Human Rights
  • Equality
  • Inclusivity
  • Sustainable Development Goals (SDGs)
  • Corporate Governance
  • Business Integrity
  • Financial Inclusion

Climate Goals & Targets

Long-term Goals:
  • Global phase-out of investment and financing in thermal coal and unconventional oil and gas by 2040

Environmental Challenges

  • ESG risks related to climate change, carbon emissions, resource management, human rights, labor rights, and other ESG factors.
Mitigation Strategies
  • Integrating ESG factors into risk assessment and management, establishing indicators and targets to monitor risk situations, and developing sustainable innovation.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Principles for Responsible Banking (PRB), Principles for Responsible Investment (PRI), Equator Principles (EP), UN Global Compact, Taiwan Sustainable Development Goals (T-SDGs), Sustainable Development Best Practice Principles for TWSE/TPEx Listed Companies, Stewardship Principles for Institutional Investors, Credit Investigation/Credit Granting Guidelines for Members of The Bankers Association Of The Republic Of China, Guidance on climate risk financial disclosures for domestic banks, Banking Industry Friendly Financial Service Guidelines

Sustainable Products & Innovation

  • Sustainable credit, sustainable development bonds, digital finance, wealth management, and insurance products