Climate Change Data

Alchip Technologies, Limited

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:234.6868 tCO2e/year
Scope 1 Emissions:7.3979 tCO2e/year
Scope 2 Emissions:227.2889 tCO2e/year
Renewable Energy Share:0%
Total Energy Consumption:446,540 kWh/year
Water Consumption:0.91 m3/year (Taipei) , 1.10 m3/year (Hsinchu)
Waste Generated:1.35 tons/year

ESG Focus Areas

  • Corporate Governance
  • Environment
  • People (and their human rights)

Environmental Achievements

  • Supplier green audit pass rate reached 100% in 2022
  • Electricity consumption per unit of revenue (NTD) decreased by 7.9% compared to 2021
  • Water consumption per unit of revenue (NTD) decreased by 9.3% compared to 2021

Social Achievements

  • Employee welfare expenditure reached NTD 4,485,898
  • 100% of employees received regular performance appraisals
  • Every employee received an average of 13.5 hours of training

Governance Achievements

  • Board of directors and functional committees attendance reached 100%
  • In 2022, the revenue share of the North American market increased by nearly 26% compared to the previous year
  • In 2022, the net profit after tax grew by approximately 20% compared to the previous year
  • In 2022, the R&D expenses reached NTD 1,170,945,000 an increase of 18% compared to the previous year

Climate Goals & Targets

Long-term Goals:
  • Achieve net zero emissions
Short-term Goals:
  • Reduce carbon emissions by 1% per year (based on 2022 electricity consumption)
  • Reduce electricity consumption by 1% per year (based on 2022 consumption)

Environmental Challenges

  • Extreme weather events (typhoons, floods, droughts)
  • Power rationing, power outages
  • Increased cost of information disclosure due to corporate governance reinforcing sustainability information disclosure
  • Increased operating costs and the cost of green power due to total greenhouse gas (GHG) emissions control
Mitigation Strategies
  • Taking out fixed asset insurance, establishing multiple operational premises, implementing ZOOM videoconferencing system, installing floodgates, regularly organizing disaster education and training
  • Equipped with UPS to stabilize voltage and cope with power outages
  • Relevant personnel receive continuing education on sustainability policy development and management practices
  • Formulating a GHG reduction plan and setting phased targets to achieve net zero, proactively participating in low-carbon/sustainability-related certifications

Supply Chain Management

Supplier Audits: 6/7 suppliers evaluated in 2022, 100% pass rate

Responsible Procurement
  • Green supplier regulations (including conflict-free minerals policy, hazardous substance control, Business Continuity Plan)

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Power outages
Transition Risks
  • Increased cost of information disclosure
  • Carbon fees and taxes
Opportunities
  • Engaging in the renewable energy market
  • Energy diversification

Reporting Standards

Frameworks Used: GRI Standards, TCFD

Certifications: ISO 9001:2015

Sustainable Products & Innovation

  • Low-power and small-chip designs

Awards & Recognition

  • Green Partner

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:234.7095 tCO2e/year
Scope 1 Emissions:8.0252 tCO2e/year
Scope 2 Emissions:226.6843 tCO2e/year
Renewable Energy Share:0%
Total Energy Consumption:457,948 kWh/year
Water Consumption:2.0367 ML/year
Waste Generated:0.191 tons/year
Carbon Intensity:0.000008 tCO2e/NTD1,000

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • 100% green audit pass rate for suppliers in 2023
  • Electricity consumption per unit of revenue decreased by 53.8% compared to 2022.
  • Water consumption per unit of revenue decreased by 54.4% compared to 2022.

Social Achievements

  • Employee welfare expenditure reached NTD8,938,993.
  • 100% of employees received regular performance appraisals.
  • Every employee received an average of 1.71 hours of training.
  • Leave system exceeding statutory requirements (including three additional days of flexible leave, three days of paid sick leave, and a Christmas holiday).

Governance Achievements

  • 100% attendance rate for board of directors and functional committees.
  • No major violations of law, corruption, fraud, anti-competition, antitrust, or monopoly practices in 2023.

Climate Goals & Targets

Long-term Goals:
  • Achieve net-zero emissions.
Short-term Goals:
  • Reduce electricity consumption by 1% per year (based on 2022 consumption).

Environmental Challenges

  • Geopolitical conflicts, US-China trade tensions, global transportation restrictions, and inflationary pressures impacting global supply chains and business resilience.
Mitigation Strategies
  • Optimized supply chain to ensure product compliance with environmental, safety, and health laws; striving for green environmental standards in product design.
  • Integrating ESG into various aspects of business operations.
  • Developing environmentally friendly chip designs, enhancing social responsibility, and establishing excellent corporate governance standards.

Supply Chain Management

Supplier Audits: 12/13 suppliers audited, 100% pass rate

Responsible Procurement
  • Green management audit
  • Conflict-free minerals statement
  • Hazardous substance control
  • Green information platform
  • Business Continuity Plan (BCP)

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Power rationing, power outages
Transition Risks
  • Increased cost of information disclosure
  • Total greenhouse gas (GHG) emissions control
Opportunities
  • Engage in the renewable energy market
  • Energy diversification

Reporting Standards

Frameworks Used: GRI Standards, TCFD

Certifications: ISO 9001:2015, SONY SS-00259

Sustainable Products & Innovation

  • Low-power and small-chip designs