Indicators and Objectives
In order to effectively manage PSMC's response to climate change, the Company has set various climate-related indicators to measure the effectiveness of climate actions, and through the TCFD governance framework, the Company has promoted the implementation of climate strategies, set climate-related objectives, adjusted them on a rolling basis in accordance with global trends and policies and regulations, and regularly reviewed the achievement of these objectives to continuously reduce the impact of climate change on the Company and enhance its resilience to climate change in the future.
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1 %
Electricity Saving
Annual electricity saving of 1%
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100 %
Meet Greenhouse Gas Target
Meet target of annual greenhouse gas reduction of 1%
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8.208 %
PFCs Emissions
The reduction of GHG emissions of perfluorinated (PFCs)(compared with 2021)
Climate Change Management |
Climate Change and Carbon Management |
Pursuant to the framework of Task Force on Climate-related Financial Disclosures (TCFD), PSMC's climate risk management framework is based on the four major areas of governance, strategy, risk management, indicators and targets. This framework aides us in the identification of potential risks and related opportunities topics derived from climate change, to assess the actual impact and the degree of influence of climate issues on the Company's business.
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As the highest climate governance body at PSMC, the Board of Directors is responsible for overseeing the consistency of the climate change strategy with the direction and goals of the group's operations, and for monitoring the achievement of these goals. In order to enhance the evaluation and implementation effectiveness of the climate change strategies and plans, the Company has established the Sustainable Development Committee to manage and integrate the organizational ESG issues and climate-related risks and opportunities, and to confirm the overall strategic direction and objectives of the organization, and has set up an ESG Committee and a Risk Management Committee under it. The ESG Committee is responsible for formulating climate change strategies, and the four strategy implementation teams under the ESG Committee will assist/guide business units in implementing climate change strategy response plans and reviewing the compliance and appropriateness of the response strategies and objectives. The Risk Management Committee is responsible for identifying and analyzing the organization's climate related risks, effectively managing the potential risks confronting the organization in the face of climate change, and ensuring that risk management is practiced in every business unit during daily operations through the four strategy implementation teams. The ESG Committee and the Risk Management Committee will regularly report the strategy implementation of each department's climate risks and opportunities to the Sustainability Development Committee on a quarterly basis, so that it can track the progress of each strategy implementation and make necessary adjustments.
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Risk Identification and Management Process |
In order to reduce the impact of climate change risks/opportunities, PSMC has designed a risk assessment form to conduct risk assessment surveys for each department's key operational activities, and to identify the key risks encountered at each stage based on the threat, impact, and degree of influence of the risks, using factors such as severity, probability of occurrence, and degree of risk hazard. In order to reduce the impact of risks, the Company also develops corresponding risk control strategies to reduce risks, and requires that the risk assessment should be adjusted in accordance with the Company's business and personnel, and should be reviewed at least every two years. In the event of a risky disaster, the head of the department will notify the company in accordance with the emergency response plan for the disaster at the plant, and the crisis management team will coordinate the crisis resolution and follow-up recovery work to maintain the company's continuous operation.
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Climate Strategy |
The Company has identified 12 climate risks and 9 climate opportunities by considering the domestic and international climate change development trends and its own current operating conditions, and the relevant departments of authority have jointly evaluated the degree of impact of climate related risks and opportunities. The evaluation covers the entire value chain of PSMC. Based on the degree of impact, vulnerability, control, and probability of occurrence that each risk and opportunity has on PSMC, we identified the key issues that we should prioritize and address for climate change after an internal investigation, and formulated the strategies and targets in order to implement climate change management. Climate Risk Climate Opportunity
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Scenario Analysis |
Physical Risk
Transformation Risk
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Energy and Resource Consumption |
PSMC continues to improve consumption efficiency, striving to reduce the impact on the environment.
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Energy Saving |
PSMC holds an environmental, safety and health guidance and has obtained ISO14001 environmental management system certification. In addition, in order to comply with the introduction time and the new version announcement, PSMC introduced the ISO 50001 energy management system in 2021 to analyze energy consumption efficiency and seek effective use of energy. PSMC is committed to building a green factory, and regularly updates the management system verification through verification operations of a third-party inspection agency to ensure its effectiveness, so that the performance and culture of energy management can gradually become deeper and stronger. The obtained ISO 50001 certificate is valid from 2022/11/21 to 2024/12/26.
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Energy Saving Goals and Key Solutions |
In accordance with the Ministry of Economic Affairs' "Energy Conservation Targets and Implementation Plan for Energy Users", PSMC has set a target of 1% annual energy savings. 2022 saw the implementation of over 80 energy saving measures, including reviewing and improving the reduction of electricity consumption per unit of production, planning the retirement of old equipment, and developing renewable energy, reducing energy consumption by 60,928.48 gigajoules (including electricity, diesel and natural gas) and 7,057 metric tons of CO2e compared to the previous year. The energy saving rate of the entire plant is 1.30%, achieving the set target.
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Basic Energy Saving Solutions |
In addition to energy-saving measures such as product energy efficiency and setting new specifications for machines, PSMC also has basic energy-saving solutions, such as automatically turning off lighting when no one is around, adjusting lighting to accommodate the factory's work schedule, and replacing frequently used fluorescent tubes with LEDs. We look forward to working with our employees to save energy and maintain a sustainable environment through basic energy-saving solutions. |
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Renewable Energy |
In addition to the continuous improvement of energy efficiency, in 2022, PSMC has set up a green energy team to plan the Company's green energy procurement and installation in order to achieve diversified energy use, reduce greenhouse gas emissions, and prepare for future compliance with regulatory requirements. This year, we have completed the procurement and contracting of 0.5 MW of in-plant solar power system installation and the external procurement of 10.5 MW of green power certificates. In order to actively promote low-carbon transformation, PSMC also announced its participation in the RE30 Global Renewable Energy Initiative in 2022, which is expected to reach 30% of renewable energy use by 2030. PSMC will continue to incorporate the use of renewable energy in the future to achieve the mission of environmental sustainability.
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Greenhouse Gas |
In order to meet the requirements of environmental protection laws and regulations, the competent authorities, customers and other stakeholder groups, and to fulfill the responsibility of jointly protecting the global environment, PSMC is committed to reducing and managing greenhouse gas emissions. According to the results of the annual greenhouse gas inventory conducted at each of the company's plants, the overall greenhouse gas use and emission status is reviewed and managed in order to establish various reduction management measures; each department also draws up relevant greenhouse gas reduction measures and plans, and in 2022, the reduction performance of the implementation of energy-saving and carbon-reduction programs by PSMC reached 1.98%, achieving the goal of a 1% annual reduction.
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2022 Fluorinated Greenhouse Gas Reduction Effectiveness Statement |
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PSMC GHG Emission Inventory Scope |
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Greenhouse Gas Reduction Plan for 2022 |
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Product Life Cycle Assessment (LCA) |
With a sustainable management mindset, PSMC supports customers in developing energy-saving related green products. In order to understand the environmental impact of foundry wafer products at each stage of raw material acquisition and manufacturing, identify the environmental impact hot spots at each stage, formulate strategies to achieve performance improvement and communicate with customers, a complete product life cycle assessment has been introduced. Product life cycle assessment is based on ISO 14040 and ISO14044, and analysis is performed using LCA SimaPro 9.5.0.0 software. The inventory is divided into two stages, the raw material stage and the manufacturing stage. The system boundary is from the cradle to the customer gate (Cradle to Gate), to check the collected data, input it into the life cycle assessment software program and complete the record, and also allocate the process data to each In the life cycle stage, the product life cycle environmental impact assessment results are shown in the figure below. The results of this assessment provide R&D staff with sensitivity to the potential impact of various design decisions, including material selection, package use, and the relevance of production manufacturing to the use of renewable energy for that manufacturing. Efforts should be made to reduce material used, minimize the number of equipment used, increase the utilization of production equipment, etc. during the manufacturing stage. In addition, in view of the importance of the potential impact of the manufacturing stage on the whole, PSMC will continue to increase the use of renewable energy and reduce process waste in this stage, as well as reduce material use in the raw material stage by improving production yields through process improvement, and also reduce the environmental impact of raw material transportation.
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