Under the international consensus of “Net Zero by 2050”, low-carbon operation and green energy use have become important goals of our operation. In 2022, we have taken out an ESG-linked loan to demonstrate our determination to reduce “energy saving rate”, “waste reuse rate” and “production process water recycling rate”. In order to develop low-carbon operations, we have reviewed our emissions from both the operational and the production sides, and developed specific carbon reduction plans for the different aspects. In addition to completing the procurement of 10.5MW of green power certificates in 2023, we have incorporated climate change strategies into our systematic management, using the “Task Force on Climate-related Financial Disclosures (TCFD)” framework as our reference. Furthermore, the ongoing operation of the Pre-employment Student Program and the Semiconductor Academy Program has enabled us to accelerate the close collaboration between industry, government, and academia, thereby attracting professional talent and introducing innovative technologies, in order for us to actively pursue a low-carbon and sustainable business model. To achieve our long-term goal of net zero emissions, we are working with our supply chain partners to find ways to reduce carbon emissions and share carbon reduction resources, insights and experiences, thereby enhancing the overall supply chain resilience by driving low carbon transformations within the supply chain.

For many years, PSMC has been concerned with the development of environmental conservation, local communities, and the arts and culture industry domestically. The Public Welfare Committee, together with the Powerchip Environmental Protection Foundation and the Powerchip Cultural Foundation, have integrated the organization's internal and external resources to develop the three strategic pillars of “environmental conservation,” “public welfare investment,” and “arts and culture celebration” for the common prosperity of the community. We are committed to protecting the ecological environment of the land and sea by personally participating in campaigns such as coastal cleanup, mountain cleanup, and community park restroom adoption. We also hope to increase the awareness amongst young people on the conservation of Taiwan's animals, by publicizing precious and endangered species such as the leopard cat, the eastern grass owl, and the Taiwan blue magpie, as well as by strengthening community ties to build environmental education. In addition, we are also involved in community building. In 2022, our colleagues were invited to join the circle of kindness and promote seven public welfare investment projects to invest resources in education and improve the lives of the communities in rural areas. Our vision is to “build a performance stage for performing artists that is rooted in arts and culture education”. The “Powerchip Arts and Cultural Festival 2022”, the “Powerchip Century Sound Series”, and the “Music Festival Education Series” continue PSMC's 18 years of support for the arts and culture. It is also in line with the Ministry of Culture's “Enterprise for Cultural Development” to achieve the new objective of sustainable development. In the future, we hope to call on more colleagues and the public to join the ranks of public welfare and charity, to strengthen the ties between sustainable corporate management and long-term social development.

Our employees are the key drivers of our sustainable management and the pillars of our sustainable transformation and development. We value the voices of our employees and respect individual differences, and actively integrate the spirit of multiculturalism into the nature of our operations, and place emphasis on "promoting women at all management levels" and "building a diverse, inclusive and non-discriminatory workplace culture and environment". Through our Labor and Human Rights Policy, we promise to create a diversified, open, equal and non-infringing human rights environment, to provide a safe and healthy workplace and environment, to comply with labor safety and health-related laws and regulations, to prohibit illegal recruitment of labor and forced labor, to conduct regular human rights risk assessments and system reviews, to treat employees in a lawful, fair and kind manner, and to require suppliers and partners to comply with these policies as well. Under the Group's plan for global expansion, we will continue to recruit semiconductor industry talents from all over the world in the future, hoping to build cultural and professional exchanges among diverse ethnic groups, so that all employees can realize their full potential in their jobs, demonstrate their diverse values, achieving the long-term goal of attracting and retaining talent.