Climate Change and Energy Management

Climate change has become an important issue on a global scale. Climate disaster, once occurred, could give a financial blow to businesses. The Company attentively pays attention to the risks and opportunities that come with climate change. In this year, Phison disclosed its climate-related risks and opportunities by business nature by referencing the Task Force on Climate-Related Financial Disclosures (TCFD); Phison has also identified the physical risk, transformation risk, and product/service opportunities brought about by extreme weather, and has formulated response measures. For details, please refer to the Corporate Sustainability Report p.54-56.

Greenhouse Gas Management

In response to climate change and the implementation of green operations, since 2011, the Company has been conducting an annual GHG emissions inventory through the Environmental Protection Administration of the Executive Yuan with the Greenhouse Gas Protocol tool provided by the Intergovernmental Panel on Climate Change (IPCC) of the United Nations. The Company also passed the verification against the ISO 14064-1:2018 standards.

Statistics of Energy Consumption

To review and improve our energy usage efficiency, the Company inventories our energy consumption amount every year. In 2022, the Company's total energy consumption was 108,812.61 GJ, and our energy use intensity was 1.806 GJ per million dollars of revenue. Energy intensity soared by 36.86% from the previous year, mainly due to the inauguration of new office buildings, increased number of staff, and reduced operating revenue due to the market’s correction of demand.
Since 2021, the Company has been purchasing renewable energy (electricity generated from wind power) in order to actively respond to the call for emissions reduction. In order to carry out our energy transformation in a steady pace and to reduce the GHG emissions during operations, we double the planned amount of renewable energy purchase; we aim to purchase 1% of our total electricity consumption at the beginning, and increase the amount to 3% by 2023, 10% by 2025, and 20% by 2030.
The Company purchases a certain proportion of renewable energy based on monthly electricity consumption. Due to Taipower's settlement date, only data from January to November 2023 is currently available. The company reduced 375.9 metric tons of CO2 emissions in 2023 due to the use of renewable energy.
In addition, the company obtained a total of 613 T-REC certificates from January to October 2023 (the T-REC certificate operation period is two months, and it will take until mid-February 2024 to fully obtain the number of certificates for 2023).