Policies and Commitments
"Mitigate and Adapt to Climate Change" is one of SinoPac Holdings’ three sustainability commitments. To implement the Sustainable Development Roadmap and enhance ESG risk management mechanisms, we integrated climate change risks into our“Risk Management Policy” and established the "Guidelines for the Management of Climate-Related Risks and Opportunities" to strengthen the management of climate risks and opportunities. We have assessed the climate related risks and opportunities, identified the financial impacts in various climate scenarios for the physical risks and transition risks, and implemented responsive mitigation or adaptation measures accordingly.
Considering that climate change has become one of the major risks to the global economy and human survival, governments and corporations in the globe have committed to net zero greenhouse gas emissions. On March 15, 2022, the Board of Directors has approved our net zero commitment, including its own operations by 2030 and its financial portfolios by 2050. We have set science-based targets (SBT) which were approved by Science Based Targets initiative (SBTi) in January 2024. We will collaborate with stakeholders to a low carbon transformation and contribute to Taiwan’s net zero through the sustainable finance.
SinoPac Holdings' Near-Term Science-Based Targets
Scope 1 and 2:
SinoPac Holdings commits to reduce absolute scope 1 and 2 GHG emissions 29.4% by 2027 from a 2021 base year.
Scope 3 Portfolio Targets:
Headline target: SinoPac Holdings’ portfolio targets cover 11% of its total investment and lending by total assets as of 2021【1】. As of that year, required activities made up 12%【2】 of SinoPac Holdings’ total investment and lending by total assets while optional activities made up 49% and out of scope activities made up 39%.
Scope 3 asset class level targets
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Note:
【1】These targets and coverage percent do not include third-party asset management activities. Third-party asset management activities made up 2% of total investment, lending, and asset management activities by total assets and assets under management.
【2】The targets cover required activities for which the minimum coverage requirement is less than 100%.
【3】This target covers 100% of fossil fuel corporate loans
Besides, we participate in the association of financial industries, seminars and events to support and promote international climate initiatives and make suggestions as appropriate. We also actively develop sustainable finance products in hopes of using the financial industry's influence to help industries in low-carbon transition. For example, we pay close attention in the issues related to climate change, and has become a TCFD supporter and a member of Taiwan Business Council for Sustainable Development (BCSD), in which our chairman served as an executive supervisor. SinoPac Holdings is also one of the co-founders of the "Taiwan Sustainable Finance Promotion Platform" and “Taiwan Nature Positive Initiative”established by BCSD in January 2021 and December 2022 respectively, aiming to working with the Platform/Initiative to create a sustainable financial ecosystem in Taiwan and help corporates increase natural risk resilience.