Greenhouse gas emissions and reduction information

Greenhouse gas emissions and reduction information
Year:2023
(I)Business exposure to climate change-related regulations:
The Company is not one of the enterprises included in "the first batch of emission sources that shall be inventoried to register greenhouse gas emissions" as announced in the Greenhouse Gas Reduction and Management Act, and has no risk of violating the regulations.
(II) Substantial risks arising from climate changes:
The Company is engaged in IC design industry and has no wafer fabs. In case of risks caused by climate changes, apart from the cost increase due to the increase of electricity and water demand for air conditioning and office lighting, the extreme climate triggered by global warming may increase the frequency and severity of natural disasters. As a result, it may lead to power failure and water outage due to disasters, which may indirectly increase the operating costs of the Company. Additionally, clients and other stakeholders may require that the products and services provided by the Company meet requirements related to energy conservation, low pollution, no use of prohibited substances and raw materials, or ask the Company to obtain carbon and water footprint verification.
(III) Identification of Climate Change Opportunities
- Climate Change Opportunities Production Processes Improve product yield to reduce scrap costs.
- Monitor supply chain processes to ensure product quality.
- Design Low-Power Products Offer low-carbon products to enhance corporate reputation and increase revenue. Continuously develop small-volume, low-power green products.
- Provide integrated products to reduce packaging material usage.
- Develop integrated packaging products Continuously develop integrated packaging products to enhance product green competitiveness.
- Provide new solutions to meet customer demands related to climate change. Increase Revenue Continue development of BLDC MCU
- Utilize Emerging Markets Expand revenue from energy-saving products 1. Enter the AI server cooling application market.2. Customize chips tailored to specific customer functional requirements.
(IV) Greenhouse gas inventory and assurance situation
The Company is not one of the enterprises included in "the first batch of emission sources that shall be inventoried to register greenhouse gas emissions" as announced in the Greenhouse Gas Reduction and Management Act, and has no risk of violating the regulations. However, to realize the goal of Net-Zero by 2050 set by the government, the Company will follow the greenhouse gas inventory and verification schedule of TWSE/GTSM listed companies stipulated by the government and the carbon reduction plan of the government, and gradually promote the relevant greenhouse gas inventory and carbon reduction plan of the Company to achieve the goal of sustainable development.
Weltrend completed ISO 14064-1 greenhouse gas (GHG) inventory counseling and third-party verification in 2023, successfully obtaining the verification statement for GHG emissions of 2022. Currently, 2022 serves as the baseline year for GHG inventory and verification in accordance with the ISO 14064-1 standard. Based on self-assessment (headquarters and subsidiaries), the primary source of GHG emissions in 2023 was electricity consumption, with indirect emissions (Scope 2) amounting to approximately 1,441 metric tons of CO2 equivalent. Additionally, direct emissions (Scope 1) from sources such as air conditioning units, firefighting equipment, and water dispenser refrigerants contributed around 55 metric tons of CO2 equivalent, totaling 1,496 metric tons of CO2 equivalent. Overall, purchased electricity (Scope 2) accounted for about 96.32% of the total emissions, while direct emissions from fixed equipment (Scope 1) constituted only 3.68%.