Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Environmental Protection
• Occupational Health and Safety
• Social Responsibility

Environmental Achievements

• Reduced energy consumption by 28.3% from 2008 to 2020.
• Reduced carbon emission rate by 33% by 2020 (target of 41.5% by 2030).
• No environmental pollution incidents in 2020.
• Completed construction of solar panels at Taichung Terminal generating approximately 559,200 kWh in 2020 (90% for own use).

Social Achievements

• Beach clean-up activities collecting approximately 2,000 kg of waste.
• Book collection campaign donating over 1,500 books in previous years and 750 children's books in 2020.

Governance Achievements

• ISO 14001 and ISO 45001 certifications.
• Compliance with MARPOL, ISM Code, and AEO regulations.
• Participation in Clean Cargo Working Group (CCWG), World Shipping Council (WSC), and Getting to Zero Coalition.

Climate Goals & Targets

Environmental Challenges

• Global climate change and its impact on the shipping industry.
• Meeting international regulations on ship pollutant emissions.
• Reducing GHG emissions in line with IMO targets.

Mitigation Strategies

• Implementation of various operational management measures and energy conservation strategies.
• Fleet replacement plan with energy-saving equipment.
• Ship speed reduction near ports.
• Optimization of navigation plans, ballast water management, and fuel efficiency.
• Investment in energy conservation projects (NT$ 3,203,123,000 in 2020).

Supply Chain Management

Responsible Procurement

• Use of eco-friendly paper certified by FSC or PEFC-CoC
• Green Mark appliances and energy-saving lighting
• Environmentally friendly water-based paint coatings for containers

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ISO 14001:2015, ISO 45001:2018, MARPOL, ISM Code, AEO

Certifications: ISO 14001, ISO 45001, DNV GL certifications for DCS, CCWG data, and other aspects

Third-party Assurance: DNV GL

Environmental Metrics

ESG Focus Areas

• Climate Change
• Environmental Governance
• Greenhouse Gas Management
• Energy and Emissions
• Water Resource Management
• Waste Management
• Security Management
• Talent Management
• Social Engagement

Environmental Achievements

• Voluntarily adopted TCFD recommendations and established a cross-divisional risk management team and framework to identify and address climate change risks and opportunities.
• Incorporated climate change issues into sustainable development material topics.
• Invested in ship simulators to improve seafarers' resilience to extreme weather.

Social Achievements

• Not disclosed

Governance Achievements

• Established a cross-divisional risk management team reporting to the Board of Directors.
• Implemented a risk management framework to identify and address climate change risks and opportunities.
• Incorporated climate change into annual budget and business planning.

Climate Goals & Targets

Environmental Challenges

• Drastic changes in climate patterns affecting terminal operations, leading to shipping schedule delays, decreased revenue, and increased costs.
• Increased severity of extreme weather causing terminal closures, increased operating costs, and decreased revenue.
• Sea level rise impacting terminal operations, causing service disruptions, decreased revenue, and accelerated asset retirement.

Mitigation Strategies

• Established extreme weather contingency SOPs, including route adjustments and customer service plans.
• Utilize weather navigation software and the 'Eagle-eye' fleet safety management system to enhance navigation safety.
• Identified alternative operating bases to ensure smooth delivery.
• Procured property insurance for high-value equipment and projects at terminals.
• Assessed base elevation projects or relocation of operating bases.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Drastic changes in climate patterns
• Increased severity of extreme weather
• Sea level rise

Transition Risks

• Changes in domestic, foreign and international laws and regulations
• Increase in demands from customers for environmental awareness
• Changes in energy policies and equipment requirements by the International Maritime Organization (IMO)

Opportunities

• Develop green energy
• Use high-efficiency equipment
• Adjust to international sustainability trends

Reporting Standards

Frameworks Used: TCFD

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Sustainable Operation
• Social Responsibility
• Governance

Environmental Achievements

• Replaced 22 older vessels in 2023, reducing the average age of the fleet to 8.73 years (significantly lower than the industry average of 14.2 years).
• Introduced low-energy consumption models and became the first in Asia to use CO2 refrigerant in reefer containers.

Social Achievements

• Won the 2023 National Agricultural Science Award for collaboration with research institutions on improving the quality of fresh produce transportation.
• Continued commitment to social welfare through various charitable initiatives.

Governance Achievements

• Received high ratings in various ESG assessments and rankings (e.g., S&P Global, FTSE Russel, Sustainalytics).

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to geopolitical instability and climate events (e.g., wildfires in Hawaii, Panama Canal water level issues).

Mitigation Strategies

• Technological advancements in reefer containers and transportation optimization to improve efficiency and resilience.
• Risk management and internal control systems to address various challenges.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Water level issues affecting shipping canals

Opportunities

• Development of energy-efficient products and services

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB Standards for Marine Transportation, TCFD, UN Global Compact

Certifications: ISO 14001:2015, ISO 14064-1:2018, ISO 27001:2013, ISO 45001:2018, CNS 45001:2018, AEO

Third-party Assurance: 立恩威國際驗證股份有限公司 (limited assurance)

Sustainable Products & Innovation

• Low-energy consumption reefer containers with CO2 refrigerant

Awards & Recognition

• 2023 National Agricultural Science Award
• Various awards from the Ministry of Transportation and Communications
• India Maritime Award
• India Shipping & Logistics Award