Environmental and Operational Management
Greenhouse Gas Management
Since 2018, SinoPac Holdings has implemented the greenhouse gas inventory using the operational control approach to obtain information on the total greenhouse gas emissions of SinoPac Holdings and its subsidiaries. The Company has also set short, medium, and long-term reduction targets for Scope 1 and Scope 2 emissions in accordance with the financial industry indicators of the Science Based Targets Initiative (SBTi). The Company will achieve net zero emissions goals in 2030 through energy conservation and carbon reduction, use of renewable energy, and renewable energy certificates.
SinoPac Holdings’ Short, Medium, and Long-term Targets for GHG Emissions Reduction (Scope 1+Scope 2)
Energy Management
SinoPac Holdings has set up seven of its own buildings to gradually implement the ISO50001:2018 Energy Management System from 2019 onwards to optimize energy management efficiency; In 2023, SinoPac Holdings implemented ISO50001:2018 in the sixth self-owned building (Beigao) and increased the coverage of certification to 86%. The Company also continuously monitors and measures the performance of energy conservation measures based on the key characteristics of operations. In light of the national energy policy, SinoPac Holdings has set an annual goal of reducing electricity consumption by 1% since 2018.
As of the end of 2023, SinoPac Holdings has already accumulated on signing a Power Purchase Agreement (PPA) , securing a total of 6.74 million kWh green electricity per year. Also Bank SinoPac launched an experimental project that constructing rooftop solar photovoltaic energy generator at the own office building. SinoPac Holdings completed the construction of rooftop solar PV system totaling 13.5KW, which is expected to generate approximately 16,000 kWh each year (equivalent to approximately 8 tons of carbon emissions reduction). This prompts SinoPac Holding to start the green energy and low-carbon transformation plan, moving towards the vision of sustainable finance.
Implementation of Internal Carbon Pricing (ICP)
SinoPac Holdings follows the principle of "raising climate awareness and promoting low-carbon transformation" and supports sustainable trends while implementing carbon reduction management mechanisms. The Company introduced ICP in 2022 to the Group and level one subsidiaries to improve energy efficiency and reduce carbon emissions, and raise carbon reduction awareness and changes internal behaviors within the company.
SinoPac Holdings took GHG emissions from own electricity consumption (Scope 2) as the baseline, using shadow price to evaluate the effectiveness of energy conservation and carbon emissions reduction actions of its operating sites. The hidden carbon costs and benefits were included in the evaluation. In 2023, SinoPac's analysis of the average cost of each ton of CO2e reducing in recent years will still be NT$5,000/ton CO2e, and continue to be used as the reference basis for internal carbon pricing. At the beginning of each year, the internal carbon pricing mechanism refers to the carbon reduction targets and implementation status of subsidiaries to calculate their carbon emission costs/carbon income and to further plan the optimal action plan and formulate carbon reduction plans. Energy conservation benefits were evaluated based on carbon reduction targets to conduct trial calculation of carbon prices. Those who do not meet the target will have their carbon fees calculated, and those who meet the target will have their carbon income calculated so as to achieve substantial carbon emissions reduction results.SinoPac Holdings will continue to use Science Based Targets (SBT) and international carbon pricing trends for continuous ICP adjustments and gradually link the ICP to our commitment for attaining net zero emissions in company operations by 2030 while expanding the scope of application.
Waste Management
Waste from the office buildings of SinoPac Holdings and its subsidiaries is mainly domestic waste. Recyclable waste is divided into four categories: paper, bottles, iron and aluminum cans, and IT equipment. All general and recyclable waste is shipped by qualified contractors to incinerators or recycling sites for disposal. The paper waste is collected and managed by the responsible unit of the Company and handled in accordance with the document destruction rules before handed over to the paper manufacturer for disposal as recycled paper raw material.
The waste of electronic product waste is handled in accordance with internal information safety rules, and any digital data related to customer information is also kept secure and confidential and destroyed in accordance with the internal rules and procedures.
Water Resources Management
The water resources consumed by SinoPac Holdings and its subsidiaries are mainly tap water, and mainly used for drinking, air conditioning, and cleaning. There is no groundwater or other sources of water supply. SinoPac Holdings will continuously take relevant water conservation measures to reduce average water consumption by 1% per year.