Chicony Power Technology Co., Ltd.
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:33,002.68 tCO2e/year
Scope 1 Emissions:2,607.86 tCO2e/year
Scope 2 Emissions:30,397.17 tCO2e/year
Scope 3 Emissions:19,019,297.53 tCO2e/year
Renewable Energy Share:43.63%
Total Energy Consumption:289,003.75 GJ/year
Water Consumption:591,135.42 m3/year
Waste Generated:3,426.70 tons/year
Carbon Intensity:0.91 tCO2e/NT$1,000,000 in 2023
ESG Focus Areas
- Corporate Governance
- Environmental Protection
- Employee Care
- Social Participation
Environmental Achievements
- Increased use of Post-Consumer Recycled Plastic (PCR) in power adapter plastic shells to 40.5%
- Introduced recycled copper and aluminum in adapter heat sinks, magnetic components, and wires
- Used Ocean Bound Plastic (OBP) in DC fans of some high-wattage power supplies
- Used SGCC RC10% low carbon steel in unit shells
- Incorporated PCR materials into keyboard backlights
- Renewable energy (including purchased and self-generated) usage rate reached 43.63%
- GHG absolute emissions reduction and GHG emissions intensity reduction both achieved the SBTi-reviewed 2023 targets
- CDP climate change and water security questionnaire received a “B” score
Social Achievements
- Expanded advanced health check-up packages to senior employees with over 10 years of service (and will extend to employees with over 5 years of service by 2024)
- Implemented various employee-oriented projects to create a good work environment
- Actively participated in social and public benefit activities
- Organized Chicony Group’s Family Day activities
- Human rights-related education and training totaled 24,525 hours in 2023
- Education and training totaled 169,997 hours in 2023, with a total investment of NT$19,644,894
- Suzhou Factory won the recognition of RBA Factory of Choice
Governance Achievements
- Passed ISO 27001 information security management system certification in 2023
- Ranked among the top 20% of TWSE-/TPEx-listed companies in the Corporate Governance Evaluation for 9 years (out of 10)
- Received the carbon reduction certification from CommonWealth Magazine
- Listed in the Business Weekly Carbon Competitiveness Top 100 for two consecutive years
- Honored with the TCSA Taiwan Corporate Sustainability Award - Top 100 Exemplary Sustainability Enterprises
- EcoVadis global supply chain sustainability rating upgraded from “Needs Improvement” to Bronze Medal Certification
- FTSE Russell ESG rating upgraded from 2.9 to 3.3
- No cases involving ethical management violations (bribery, corruption, collusion, etc.) occurred in 2023
- No external complaints were received in 2023
Climate Goals & Targets
Long-term Goals:
- Achieve net-zero carbon emissions by 2050
Medium-term Goals:
- By 2030, Scope 1 and Scope 2 GHG absolute emissions will be reduced by 42%, and GHG emissions intensity will be reduced by 56.8%
- By 2030, Scope 3 GHG absolute emissions will be reduced by 25%, and GHG emissions intensity will be reduced by 44.2%
- Achieve 100% renewable energy usage rate by 2030
Short-term Goals:
- GHG emissions reduction achieves the SBTi-reviewed 2024 target
- Renewable energy usage rate reaches the RE100-reviewed 2024 target
- Introduce one innovative or automated process to the factories every year
Environmental Challenges
- Geopolitical risks and global economic slump
- Rising labor costs
- High cost of renewable energy in certain regions
- Stricter criteria for product energy efficiency certification and low-carbon label verification
- Value chain decarbonization goals set by major customers
- Potential impacts of extreme weather events on production facilities and supply chain
- Water shortages impacting production processes
- Increased power consumption due to high temperatures
- Rising sea levels potentially submerging factories in low-lying areas
Mitigation Strategies
- Actively adjusting product portfolio structure by focusing on high-value and high-growth products
- Expanding into cloud-intelligence-based applications and other emerging fields
- Implementing energy saving and carbon reduction measures
- Developing smart energy-saving solutions and promoting green products and technologies
- Implementing green-factory and smart-factory programs
- Increasing automation ratio to improve production efficiency
- Upgrading product manufacturing processes
- Strengthening the advantages of high value-added power supply products from economies of scale
- Constructing plants in Thailand to disperse production base risks
- Communicating with local governments to prioritize electricity and water supply
- Investing in disaster prevention facilities
- Conducting risk effectiveness assessments for raw material suppliers
- Introducing energy management systems and evaluating renewable energy facilities
- Setting up waterproofing and drainage systems and emergency response measures
- Conducting GHG inventory and obtaining third-party assurance
- Setting reduction targets in accordance with the Science Based Targets Initiative
- Increasing R&D investment in high-energy-efficiency products
- Increasing the percentage of eco-friendly materials used in products
- Implementing relevant regulations and conducting regular advocacy activities on workplace safety
- Conducting environmental monitoring to ensure a healthy workplace
- Obtaining ISO 27001 Information Security Management System Certification
- Setting up system security measures such as firewalls and antivirus software
- Strengthening disaster prevention, monitoring, and reporting mechanisms
- Conducting information security advocacy activities
- Adopting natural hedging through mutual offsetting for USD receivable/payable positions
- Hedging risks through timely forward foreign exchange transactions
Supply Chain Management
Supplier Audits: 50 Tier 1 suppliers audited annually based on RBA standards
Responsible Procurement
- RBA Code of Conduct
- Supplier sustainability requirements
- Supplier Management Procedures
- Commitment Statement on RBA Code of Conduct
- Supplier Integrity Statement
- Declaration of Conflict-free Metal
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Water shortages
- High temperatures
- Rising sea levels
Transition Risks
- Stricter energy efficiency standards
- Carbon fees/taxes
- Customer decarbonization goals
Opportunities
- Development of energy-efficient products
- Development of climate change adaptation solutions
- Growth in smart building and green building solutions market
Reporting Standards
Frameworks Used: GRI Standards 2021, SASB indicators for the Hardware industry, TCFD Framework, TNFD Framework, Sustainable Development Best Practice Principles for TWSE-/TPEx-Listed Companies
Certifications: ISO 9001, ISO 14001, ISO 45001, ISO 50001, ISO 14064, ISO 14067, ISO 27001
Third-party Assurance: AA1000 Assurance Standard: v3 - Type 1 moderate level assurance; PwC Taiwan CPAs for financial data
UN Sustainable Development Goals
- Goal 3: Good Health and Well-being
- Goal 4: Quality Education
- Goal 7: Affordable and Clean Energy
- Goal 8: Decent Work and Economic Growth
- Goal 12: Responsible Consumption and Production
- Goal 13: Climate Action
- Goal 16: Peace, Justice and Strong Institutions
Initiatives contributing to these goals are detailed throughout the report
Sustainable Products & Innovation
- High-energy-efficiency power supply units using GaN and SiC semiconductors
- Energy-efficient LED applications
- IWA Smart Integration Platform
Awards & Recognition
- 16th TCSA, Taiwan’s Top 100 Sustainability Exemplary Awards
- CommonWealth Magazine’s Certification in Net-Zero Progress under Paris Agreement
- 16th TCSA, Corporate Sustainability Report Awards: Bronze Award
- EcoVadis Bronze Medal Certification
- Business Weekly’s Carbon Competitiveness 100 list for 2 consecutive years
- Taiwan High Compensation 100 Index