SinoPac Holdings' Board of Directors Endorses 2050 Net-Zero Commitment,Joins Stakeholders in Initiating Low-Carbon Transformation,Commits to "Helping Taiwan Go Zero with Sustainable Finance"
[2022.03.23, Taipei] Climate change has become one of the biggest risks to the global economy and human survival. Governments and enterprises are joining the ranks of achieving zero greenhouse gas emissions. Taiwan is no exception. Just last year (2021), on World Earth Day, President Tsai Ing-wen declared that Taiwan's net-zero goal is set for 2050. SinoPac Holdings' Board of Directors also approved the 2050 net-zero pledge on March 15th and will work with stakeholders to initiate a low carbon transformation plan.
To leverage the financial industry's influence in supporting the net-zero goal, SinoPac has partnered with the Taiwan Business Council for Sustainable Development (BCSD) to launch a series of activities and courses on the net-zero issue. The events include forums, low-carbon transformation workshops, and thematic education training. The first event was the "2022 SinoPac ESG Forum" held on March 16th, themed "Helping Taiwan Go Zero with Sustainable Finance." We invited Tze-Luen Lin, Deputy Chief Executive Officer of the Executive Yuan's Office of Energy and Carbon Reduction, and Mr. Eoin White, an expert from SBTi, the international net-zero target initiative, to speak at the event. Mr. Peter Pu, BSI's General Manager for Northeast Asia, led the discussion with industry and academic experts from the financial sector, government, and academia, as well as directors, executives, and colleagues of SinoPac Holdings. Almost 200 participants attended the event to discuss the trend of global climate politics and net-zero transformation, the path of carbon reduction in the financial industry, and the new business opportunities that may arise for the industry when moving towards net-zero emissions.
SinoPac Holdings’ Chairman Shi-Kuan Chen stated that net-zero has become the most pressing issue in sustainable development, and we should all face this challenge with a cautious and learning attitude. SinoPac Holdings is no exception. The Board of Directors has just formally approved the net-zero target on March 15th, pledging to achieve net-zero emissions from our operations by 2030 and the entire asset portfolio by 2050. Although such a commitment is not the first in Taiwan, it is still regarded as the highest standard in the financial holdings industry and is officially promoted by the Board of Directors in response to this international climate initiative.
Tze-Luen Lin, Deputy Chief Executive Officer of the Executive Yuan's Office of Energy and Carbon Reduction, shared his views on climate politics and net-zero transformation. He believes that global sustainability covers seven major aspects, including 1) how climate change is not just a scientific issue but a tug-of-war between politics and economy, and national security and strategic issues. 2) "Decarbonization," another issue, changes the global geopolitical landscape. 3) Traditional energy structures may collapse under the low carbon trend, leading smart grid and energy storage systems to become the main trend. 4) The approach of the carbon pricing era will make carbon systems increasingly important. 5) Cities and sub-national systems play a crucial role in climate governance. 6) The role of enterprises has elevated, and the development of green capital finance and a low-carbon economy relies on corporate actions. 7) Climate issues are linked to the United Nations Sustainable Development Goals (SDGs), the rise of new climate politics, and other factors. Finally, Mr. Lin said that through behavioral change and technological innovation, the net-zero goal would be a mission possible.
The forum's theme was "New Net-Zero Business Opportunities for the Industry," and BSI's General Manager, Mr. Pu, spoke with industry experts. Mr. Pu said that sustainability and carbon reduction have become a common goal of the entire globe. He also mentioned that the four major carbon reduction aspects—transportation, habitat, agriculture, and energy- are financial industry investment and financing targets. Although these may pose ESG risks to the financial industry, these issues may also open up tremendous business opportunities.
Yi-Chuan Huang, Executive Vice President of Formosa Plastics, and Kelvin Liao, Executive Vice President of Bank SinoPac, shared how enterprises can move towards low-carbon operations and explore emerging business opportunities with their own examples. The Executive Vice President of ITRI, Alex Y.M. Peng, shared some low-carbon strategies and directions for high-carbon emission industries, such as petrochemicals and cement sectors. He also mentioned building a net-zero ecological chain from the supply end to achieve net-zero sustainability from the five aspects of manufacturing, supply, demand, environment, and economic and trade regulations.
